Midterm - 4220
What does JND stand for?
"Just Noticeable Difference" -meaning the Minimum detectable difference
-Consumers are especially interested in choosing brands that support causes they find personally relevant. What are some examples of causes?
- These causes include medical cures and disease prevention, social change, faith-based initiatives, and animal and child welfare.31 As a reaction to these feelings, many firms today try to integrate corporate social responsibility (CSR) into their business models.
Lifestyles
- Things consumers like to do / pattern of how they spend money and time
Define Symbol
- agreed-up association
**Differential threshold
- equals "changes" -ex: packages changes must be subtle overtime to keep current customers
Define Heavy users and why marketers care about them
- heavy users are the "most faithful" consumers to a brand -marketers often focus most on these users by using the Pareto Principle or 80/20 rule
Self-esteem
- how much you value, respect, and feel confident about yourself (high or low self esteem)
Personality Traits
- identifiable characteristics that define a person
Looking glass self
- imagining what others think of you
Freudian theory
- interpretations with a heavy emphasis on unconscious motive -a huge influence on subsequent theories of personality
Values
- is a belief that some condition is preferable to its opposite. -Core Values Value systems
Define Halo Effect
- people react to similar stimuli in much the same way they responded to the original stimulus -ex: family branding, product line extension, licensing, look a like packaging
**Materialists value..
- possessions for their status and appearance-related meanings / - expensive products that are publicly consumed -they link more of their self-identity to products / We buy things we think will make us happy, but then satisfaction diminishes after purchase
Non-materialists value..
- possessions that link them to other people and provide pleasure through use / -cherished items with personal significance
Define brand loyalty
- purchasing the brand because of habit and convenience, but without any emotional attachment to it
Define adaptation
- the degree to which consumers continue to notice a stimulus over time
-We are aware of stimuli that relate to our ______ needs
-"current" needs
What is the Endowment effect ?
-- an emotional bias that causes individuals to value an owned (or touched) object higher than its market value.
**Sensory Threshold
-- the point at which a stimulus is strong enough to make a conscious impact on our awareness
Stores use senses to entice customers to buy. How?
--Purchases are emotional -Form is function. We appreciate good design. -We buy things that provide hedonic value in addition to just doing what they were designed to do -We crave experiences
3 Types of approaches to needs
--approach-approach, -avoidance-avoidance, -approach-avoidance
Define "consumer" in the consumption process
-A consumer is a person who identifies a need or desire, makes a purchase, and then disposes of the product during the three stages of the consumption process
Triple bottom line
-A triple bottom-line orientation refers to business strategies that strive to maximize return in three ways:FinancialSocialEnvironmental
**What is the argument to : Do marketers create artificial needs?
-Argument: the objective of marketing is to create awareness that a "need" exists and suggest a way to satisfy that need.
Multiple selves
-Central identities -Others are situation specific -Affects marketing efforts
define Stimulus selection factors
-Characteristics of the stimulus that makes it noticible -ex: Contrast- stimuli that stand out, size, color, position, novelty
Sensory marketing
-Companies think carefully about the impact of sensations on our product experiences
Enculturation vs Acculturation
-Enculturation - our culture -Acculturation - another culture
What are Perceptual selection factors?
-Factors: intensity, discrimination, duration, exposure, and relevance
define haptic and an example of its use in marketing:
-Haptic = touch -ex: Online shopping
Hedonic consumption
-How consumers interact with the emotional aspects of products
Behavioral learning theories
-Instrumental(operant)conditioning-voluntary Two major approaches to learning represent this view: classical conditioning and instrumental conditioning.
Market access issues (list the 3)
-Issues: 1)Disabilities, 2) Food Deserts (no car and no supermarket within a mile), 3) low Literacy rate
difference between need & want
-Need-something we must have to live or achieve a goal -Want-a specific manifestation of a need that personal and cultural factors define
Define Needs and wants
-Need: something a person must have to live or achieve a goal -Want: specific manifestation of a need that personal and cultural factors determine In turn, companies need to develop and leverage brand equity in bold new ways to attract the loyalty of these consumer "nomads." People still "need" companies—but in new ways and on their own terms.
**Is Materialism declining?
-Over half of people in worldwide study from USA, Argentina and Mexico agree experiences matter more to them than possessions -other countries in study fell under 50% in agreement responses so they disagree
Define Stimulus organization
-The stimuli we perceive are often ambiguous. It's up to us to determine the meaning based on our past experiences, expectations, and needs.
Weber's law
-The stronger the initial stimulus, the greater a change must be for us to notice it
**Gender Socialization
-The way culture promotes masculinity or femininity from an early age
define Consumer involvement
-The way we evaluate and choose a product depends on our degree of involvement with the product, the marketing message, or the purchase situation.
Define Extinction
-This commercial aired 10 years ago. Do you remember it?
Which reinforcement works best?
-Variable-Interval Reinforcement
Define perceptual defense:
-We ignore or distort stimuli that are threatening
Define Incidental learning
-We learn even when we don't try: We recognize many brand names and hum many product jingles, for example, even for products we don't personally use. -We call this casual, unintentional acquisition of knowledge
Consumer rights and types of responses (3 types)
-What do you do if you're not happy with a product? -Voice-response - appeal to company -Private-response - talk to friends -Third-party response - complain via another source -Federal agencies oversee consumer-related activities
Personality and problems with it in marketing
-a person's unique psychological makeup and how it influences the way they respond to the environment -We don't always behave the same -We're not consistent -Situational factors play a large role
Green marketing
-a strategy that involves the development and promotion of environmentally friendly products and stressing this attribute when the manufacturer communicates with customers. - this strategy has not fared well in recent years. -Nonetheless, there still is demand for environmentally friendly products: U.S. consumers spend more than $40 billion a year on them.
Define Recall
-ask consumers to think of ads they remember
compenents of brand personality
-authenticity is key Sincerity excitement Ruggedness Competence Sophistication
cognitive learning theories
-classical conditioning -People learn they can make larger purchases with credit cards, and they also leave larger tips than when they pay by cash
Define Schema
-cognitive framework we develop through experience
5 senses and CB
-color, smell, scents, Sound symbolism, touch, taste
Define Reinforcement schedules
-combo of all reinforcement
How can companies mess with consumer needs?
-companies can mainpulate into thinking you "need" something
*Consumers motivation to consume is______ and _________
-complex and varied
Male/female gender roles/androgyny
-def: culture's expectations about how someone in a certain gender should dress, act or speak -they vary by culture and are changing
Define Semiotic relationships and 3 examples of it being used to market
-def: how we assign meaning to signs and symbols and how marketers use symbols to create meaning for consumers -Object, Sign, Interpretant
Reasons for doing body modifications
-depends on cultural norms -distinguish group members from non group memebers -gender category -enhance sex role -indicate desired social conduct
define Corporate social responsibility
-describes processes that encourage the firm/ organization to make a positive impact on the various stakeholders in its community including consumers, employees, and the environment. For example: -the shoe company TOMS is well-known for its promise to give a needy child a pair of shoes for every pair it sells.
Define Gesalt theory
-emphasizes that the whole of anything is greater than its parts. -That is, the attributes of the whole are not deducible from analysis of the parts in isolation.
Define Encoding
-episodic memory, narrative
Cause marketing
-for-profit company aligns with a cause
*The empowered consumer is...
-hands-on, smart and loyal (and global?) -our power is changing the consumer landscape
When is Repetition an issue?
-issue in classical conditioning -Repeated exposure: use of sounds, words, or ideas for effect and emphasis
Social marketing
-marketing a cause like a product -Consumer behavior impacts directly on major public policy issues that confront our society
**Greenwashing
-occurs when companies make false or exaggerated claims about how environmentally friendly their products are. Think about the old story of the "boy who cried wolf ": - According to one report, more than 95 percent of consumer companies that market as "green" make misleading or inaccurate claims.
3 ways instrumental conditioning occurs
-occurs when we learn to perform behaviors that produce positive outcomes and avoid those that yield negative outcomes. -We most closely associate this learning process with the psychologist B. F. Skinner, who demonstrated the effects of instrumental conditioning by teaching pigeons and other animals to dance, play Ping-Pong, and perform other activities when he systematically rewarded them for desired behaviors.
Define Observational learning
-occurs when we watch the actions of others and note the reinforcements they receive for their behaviors
List the 4 Types of reinforcement
-positve and negative reinforcement -punishment: When unpleasant events follow a response =Fixed-Interval Reinforcement -Variable-Interval Reinforcement
Define Intentional learning
-process by which consumers set out to specifically learn information devoted to a certain subject
Curation
-products are carefully chosen by an expert
Define Icon
-resembles product
Business ethics
-rules of conduct that guide actions in the marketplace; standards against which most people in a culture judge what is right and what is wrong, good or bad. These universal values include honesty, trustworthiness, fairness, respect, justice, integrity, concern for others, accountability, and loyalty. Because each culture has its own set of values, beliefs, and customs, companies around the world define ethical business behaviors quite differently.
Provenance
-shoppers are willing to pay MORE for an item when they know exactly where it comes from
Define recognition
-show ads and ask if people have seen them
Define figure-ground principle
-states that one part of a stimulus will dominate (the figure), and other parts recede into the background (the ground).
Define closure principle
-states that people tend to perceive an incomplete picture as complete. That is, we tend to fill in the blanks based on our prior experience.
Choose one: - If you've ever spent a little bit more on something because you know it was locally sourced or 100% recyclable, you've experienced (greenwashing / sustainable marketing).
-sustainable marketing.
Define similarity principle
-tells us that consumers tend to group together objects that share similar physical characteristics.
Extended selves
-the external objects we consider a part of our self-identity -Levels: Individual Family Community Group
Materialism (and 3 aspects of its category)
-the importance people attach to worldly possessions: -●Money ●Appearance ●Status
Absolute threshold
-the weakest amount of stimuli that a person can detect 50% of the time refers to the minimum amount of stimulation a person can detect on a given sensory channel. The sound a dog whistle emits is at too high a frequency for human ears to pick up, so this stimulus is beyond our auditory absolute threshold.
Define Inertia
-to describe businesses that do not adapt or change their marketing strategies to meet growing consumer concerns, changes in the marketplace or economic situations.
Actual self
-ur more realistic appraisal of the qualities we have
Sensory overload
-we are exposed to far more information than we can process.
Define Associative networks
-where incoming pieces of info are stored and contain many bits of related info
Cradle to cradle
-zero resources used in production/disposal
3 Types of Affective responses
1) Evaluations-positive/negative reaction 2) Moods-not linked to an event 3) Emotions-most intense/linked to an event
Consumer-brand attachments (list the 4 types)
1) Self-concept attachment— 2) Nostalgic attachment— 3) Interdependence— 4) Love—
3 Types of Consumer theft and fraud:
1) Shrinkage 2) serial wardrobers 3) counterfeiting
List the 4 Types of memory
1) sensory, 2) short-term, 3) long-term memory 4) encoding
Define Memory process (3 steps)
1-encoding-info enters in a way the system will recognize 2-storage-integrate this knowledge with what is already in memory until it is needed 3-retrieval-access the desired info
the 3 Stages of perception:
1. Exposure 2. Attention 3. Interpretation
4 types of attachment in Relationship marketing
4 types of relationships a person might have with a product: 1) Self-concept attachment— 2) Nostalgic attachment— 3) Interdependence— 4) Love—
**What is the argument to : Do marketers link products to desirable social attributes?
Argument: products are designed to meet existing needs. If needs didn't exist, companies would fail.
brand behaviors in brand personality
Brand is repositioned several times or changes slogan repeatedlyFlighty, schizophrenic Brand uses continuing character in advertisingFamiliar, comfortable Brand charges high prices and uses exclusive distributionSnobbish, sophisticated Brand frequently available on dealCheap, uncultured Brand offers many line extensionsVersatile, adaptable
Value/custom/more
Crescive normsCustom - norm that controls basic behaviorMore - custom with a moral overtone Convention - norm that regulates how
how to use in Psychographics
Define target marketCreate a new view of marketPosition the productBetter communicate product attributesDevelop product strategyMarket social and political issues
Collective self
Deriving your identity from a social group
Motivational conflicts
Goals have valence(direction) Approach positive goals Avoid negative outcomes
Sensation
How our sensory receptors respond to stimuli -not always aware they are being used
Choose one: -In this new environment, (companies / individuals) dictate to companies the types of products they want and how, when, and where (or even if) they want to learn about those products.
Individuals
Lifestyle marketing perspective
Marketers want to tie products to social situations -requires identifying the set of products and services that consumers associate with a specific lifestyle.
4 Types of needs
Need for affiliation Need for power Need for uniqueness Need for achievement
Product complementarity
Products with symbolic meanings that relate to one another
Examples of marketing appealing to vision
Store design, pakcaging, problems with perception sometimes,
T/F: a NEED is a basic biological motive; a WANT represents one way that society has been taught to satisfy the need.
TRue
Perception
The process by which people select, organize and interpret these sensations.
Define Love (attachment)
The product elicits emotional bonds of warmth, passion, or other strong emotion
define love in relationship marketing
The product elicits emotional bonds of warmth, passion, or other strong emotion
Define Self-concept attachment
The product helps to establish the user's identity.
define self-concept attachment
The product helps to establish the user's identity.
Define Interdependance (attachment)
The product is a part of the user's daily routine.
define interdependance in relationship marketing
The product is a part of the user's daily routine.
Define Nostalgic attachment
The product serves as a link with a past self.
define nostalgic-attachment
The product serves as a link with a past self.
Define Consumer behavior
The study of the processes involved when individuals or groups select purchase, use,or dispose of: - products ,services, ideas, or experiences (to satisfy needs and desires.)
Psychographics
To classify consumers in terms of psychological, subjective variables in addition to observable characteristics (demographics)
Both of these play a key role in purchase decisions and how marketers define consumer motives and satisfy needs
Utilitarian & Hedonic
Consumption constellation
We use these sets of products together to define our roles
Instrumental conditioning
a form of learning in which the participant receives a reinforcer only after performing the desired response, and thereby learns a relationship between the response and the reinforcer -voluntary
Classical conditioning
a learning process that occurs when two stimuli are repeatedly paired -involuntary
Ideal of beauty
a model, or exemplar, of appearance valued by a culture -Drive our purchase decisions
*Technology and culture create a new "_______ ____" consumer
a new "always on" consumer
Addiction
a physiological or psychological dependency on products or services. Many companies profit from selling addictive products or from selling solutions for kicking a bad habit. -Types/issues: Addictive Consumption - Social Media, cyberbullying, Compulsive Consumption (hoarding)
Self-concept
a sense of one's identity and personal worth
Define relationship marketing
a strategy that focuses on keeping and improving relationships with current customers and give them solid reasons to maintain a bond with the company over time.
**What is the argument to : Do Marketers Promise Miracles?
advertising functions as mythology does in primitive societies: It provides simple, anxiety-reducing answers to complex problems. -Response: Marketers simply do not know enough about people to manipulate them. - Consider that the failure rate for new products ranges from 40 to 80 percent. - in reality the industry is successful when it tries to sell good products and unsuccessful when it sells poor ones.
Anthromorphism
attribute human characteristics to objects or animals
Drive theory
biological needs that produce unpleasant states of arousal
T/F: -1/11 Americans lived in food insecure households in 2018 -32 million Adults in the US can't read. This rate hasn't changed in 10 years.
both true
Utilitarian Consumption
consist of basic requirements of life that cannot be avoided or denied, such as food, clothing or medical care
Vanity sizing
deliberately assigning smaller size tag to bigger garment "one size fits none"
Valence
direction
Self-comparison
evaluating one's abilities and opinions by comparing oneself with others
T/F Consumers are NOT especially interested in choosing brands that support causes they find personally relevant.
false
This an example of ___________ _________: -Another survey found that the number of products that claim to be green has increased by 73 percent since 2009—but of the products investigated, almost one-third had fake labels, and 70% made green claims without offering any proof to back them up.
green washing
5 types of risk associated with purchase decisions
monetary, functional, physical, social, psychological
Maslow's hierarchy of needs
must attain a certain level before we activate a need for the next higher one
Cognitive dissonance
need for order and consistency in life and a state of tension exists when beliefs or behaviors conflict with one another
Stimulus generalization
occurs when a UCS does not follow a stimulus similar to a CS. When this happens, reactions weaken and will soon disappear. -Part of the learning process involves making a response to some stimuli but not to other, similar stimuli. -tendency of stimuli similar to a CS to evoke similar conditioned responses
Ideal self
one's perception of whom one should be or would like to be
Homeostasis
our natural balanced state
Body image
our subjective evaluation of our self
Define Modeling
process of imitating the behavior of others
Motivation
process that lead people to behave as they do. occurs when a need is aroused that the consumer wishes to satisfy
What are Hedonic Products?
provide more experiential consumption, fun, pleasure, and excitement (designer clothes, sports cars, luxury watches, etc.)
criteria may be different depending on the type of ____ it's important for marketers to provide each of us "actors" with the props we need to play all of our varied roles; these might include "up-and-coming executive," "geek," or "hipster."
role
--Marketers' Messages are More Effective when they Appeal to Several _______
senses
Define Index
shares a property
What are the three stages of the consumption process?
stages : 1-prepurchase 2-purchase 3-postpurchase
Pareto Principle (80/20 rule)
the 80/20 Rule: 20 percent of users account for 80 percent of sales. This guideline often holds up well,but should not be used strictly alone for evaluation.
What are Utilitarian Products?
the abilities of products to satisfy rational needs
Define market access
the ability to find and purchase goods & services
Define Androgyny
the possession of both masculine and feminine traits
Define Sustainability
the promotion of environmental and socially responsible products, practices, and brand values. - If you've ever spent a little bit more on something because you know it was locally sourced or 100% recyclable, you've experienced sustainable marketing.
Affect
the way a consumer feels about an attitude object
Role theory
theory that much of consumer behavior resembles actions in a play. a.ka. how do you define yourself? What is your "role?" (teacher, mother etc.) EX:Could be one role meeting bf's parents and another on night out with friends. We as consumers seek the lines, props, and costumes necessary to put on a good performance. Because people act out many roles, they sometimes alter their consumption decisions depending on the particular "play" they are in at the time.
Demographics
to categorize in terms of age, gender, income, or occupation. These are descriptive characteristics of a population
Why do organizations exist?
to satisfy needs
Database marketing
tracks specific consumers buying habits closely and crafts products and messages tailored to peoples wants and needs based on this info
Archetypes
universally recognized idea or behavior pattern
