Marketing Final (Alternative Evaluation & Selection)
Consummatory motives
Underlie behaviors that are intrinsically rewarding to the individual involved Affective Choice
Non-Compensatory
A high level of one attribute cannot offset a low level of another (e.g. Even though an apartment is close to campus, you still aren't going to pay $700 a month)
What is bounded rationality?
A limited capacity for processing information
Assumptions under the Rational Choice Theory
1. Consumers seek one optimal solution to a problem and choose on that basis 2. Consumers have the skill and motivation to find the optimal solution 3. The optimal solution does not change as a function of situational factors such as time pressure, task definition, or competitive context
Instrumental motives
Activate behaviors designed to achieve a second goal "Olay" ad for wrinkle face cream
Ad showing a Sierra Mist trying to get consumers to imagine the pleasure they would get from drinking the product.
Affect-based
Types of Consumer Choice Processes
Affective Choice, Attitude-Based Choice, Attribute-Based Choice
Which of the following tends to be more holistic in nature, and the brand is not decomposed into distinct components that are evaluated separately from the whole?
Affective choice
Surrogate Indicator
An attribute used to stand for or indicate another attribute (e.g. use price to stand for quality)
The lower the motivation to make an optimal decision, the more likely an ____ _____ choice will be made.
Attitude based
Joseph is considering the purchase of a computer, and he is comparing brands on the basis of price, memory, speed, and reliability. He mentally ranks each alternative on these attributes and makes a selection based on these rankings. Joseph is using which type of choice process?
Attribute-based choice
All are non-compensatory rules except for
Compensatory Rule
Decision Rules for Attribute-Based Choices
Conjunctive Rule Disjunctive Rule Elimination-by-Aspects Rule Lexicographic Rule Compensatory Rule
Lexicographic Decision Rule
Consumer ranks the criteria in order of importance Then selects brand that performs best on the most important attribute If two or more brands tie, they are evaluated on the second most important attribute. This continues through the attributes until one brand outperforms the others.
Compensatory
Consumers average across attribute levels. This allows a high level of one value to offset a low value of another.
Which of the following is NEVER a type of a consumer choice process? a. affective choice b. attitude-based choice c. rational choice d. a and b e. all of the above are types of consumer choice processes
E. All of the above are types of consumer choice processes
Disjunctive Rule
Establishes a minimum level of performance for each important attribute (often a fairly high level that sets the performance standard very high and makes it hard for a brand to attain) All brands that meet or exceed the performance level for any key attribute are considered acceptable "I'll consider all (or buy the first) brands that perform really well on any attribute I consider important."
Conjunctive Rule
Establishes minimum required performance standards for each evaluative criterion and selects the first or all brands that meet or exceed these minimum standards "I'll consider all brands that are acceptable on the attributes I think are important." where each attribute is given a minimum number. Any brand falling below any of these minimum standards (cutoff points) would be eliminated from further consideration
Map for Alternative Evaluation & Selection for Attribute Based Choices
Evaluate criteria, Importance of criteria, and Alternatives considered LEAD TO Evaluation of alternatives on each criterion LEADS TO Decision rules applied LEADES TO Alternative selected
Attitude-Based Choice
Involves the use of general attitudes, summary impressions, intuitions, or heuristics No attribute-by-attribute comparisons are made at the time of choice Focuses on brand, overall performance, and image
Affective Choice
Looks at two cameras: one is sleek, modern, and cool. The other one seems to boring and bland for her so she chooses the first one because she thinks about how good of an impression she would make taking pics at a wedding or party. More holistic in nature (looked at as a whole) The brand is not decomposed into distinct components The evaluation of products is focused on how they will make the user feel and is based on immediate emotions
What does "Alternative Evaluation & Selection" come after in the Consumer Decision Making Process?
Problem Recognition and Information Search
Elimination-By-Aspects Decision Rule
Requires the consumer to rank the evaluative criteria in terms of their importance and to establish a cutoff point for each criterion Those that do not meet or exceed the cutoff point are dropped (eliminated) from further consideration "I want to buy the brand that has a high level of an important attribute that other brands do not have."
Attribute-Based Choice
Requires the knowledge of specific attributes at the time the choice is made and involves attribute-by-attribute comparisons across brands Produces a more nearly optimal based decision
Compensatory Rule
States that the brand that rates highest on the sum of the consumer's judgments of the relevant evaluative criteria will be chosen
Sensory discrimination
The ability for an individual to distinguish between similar stimuli (e.g. taste of food products, the clearness of a screen, sound of stereo systems)
What is an alternative metagoal?
The general nature of the outcome being sought
Evaluative criteria are typically associated with
desired benefits Ex) Consumers want fluoride (evaluative criteria) in their toothpaste to reduce cavities (benefit)
The type of evaluate criteria a consumer uses in a decision can be _____ or ______.
tangible (cost and performance features) or intangible (style, feelings associated, prestige, brand image)