Consumer Behavior Final

Name the stages of the household life cycle (HLC).

1. Single 1 2. Young couple, no children 3. Full nest 1 4. Single parent 5. Middle age single 6. Empty nest 1 7. Delayed full nest 2 8. Full nest 2 9. Single parent 2 10. Empty nest 2 11. Older single

Companies spend millions of dollars each year for celebrities to appear in their marketing communications and these are often a good investment. Identify six reasons why celebrity endorsers can be effective.

1. attract attention 2. attitude toward the ad 3. trustworthiness 4. expertise 5. aspirational aspects 6. meaning transfer

In an attempt to alter consumers' cognitive component of their attitude toward Pepsi brand of cola, a freshness date was added on the cans. Pepsi wanted consumers to consider this attribute that was never a consideration before. Pepsi was using which strategy to alter the cognitive structure of a consumer's attitude?

Add beliefs

A local car dealership advertises quite frequently on local broadcast and cable television, and it seems as though the man in the ad is always yelling for consumers to "Come on down, you'll be glad you did!" This car dealership uses the same type of ad over and over even though the specific information changes, and consumers tend to shut out the message, evaluate it negatively, or disregard it. John is so sick of these ads that he instantly changes the channel when one comes on. This is an example of _____.

Advertising wearout

Nike has several models of athletic shoes, and most have high functionality. However, several models are also sleek looking and can actually make a fashion statement for the wearer as well as performing the functional aspects of the product. By going beyond the cognitive associations of functionality and attempting to tap consumers' affective reactions, Nike and other marketers are developing products with _____.

Aesthetic appeal

Research has shown that the power of groups to influence an individual to agree with the incorrect judgment of the others is known as the ____.

Asch phenomenon

A learned predisposition to respond in a consistently favorable or unfavorable manner with respect to a given object is known as a(n) _____.

Attitude

Compare and contrast one-sided and two-sided messages.

Both types of messages present a good point of view, while the two-sided message also present the bad point of view. Two-sided messages are more effective.

The value consumers assign to a brand above and beyond the functional characteristics of the product is known as _____.

Brand equity

Many consumers associate Mercedes automobiles with status, luxury, quality engineering, and high price. This is an example of Mercedes' _____.

Brand image

When Honda introduced its Odyssey mini-van, its advertising merely claimed, "It's the Honda of mini-vans." This is an example of _____.

Brand leverage

Capitalizing on brand equity by using an existing brand name for new products is called:

Brand leveraging

____ is defined as the exponential expansion of word-of-mouth.

Buzz

Which of the following statements is FALSE regarding humorous appeals? A. Ads built around humor appear to increase attention to the ad. B. The overall effectiveness of humor is generally increased when the humor relates to the product or brand in a meaningful way. C. Humorous ads are low risk because they tend to translate well across situations and cultures. D. Companies have been successful using humor that is only loosely tied to the product. E. Ads built around humor appear to increase liking of the ad.

C. Humorous ads are low risk because they tend to translate well across situations and cultures.

For years, American automobiles did not have the level of quality that foreign, particularly Japanese, automobiles had. However, that has changed, and most automobiles built in the United States have comparable or superior quality than imports. Consumers' attitudes are slow to change, however, and marketers must use which strategy to change the cognitive component of consumers' attitudes?

Change beliefs

Using the toll-free number 1-800-FLOWERS to help consumers remember the phone number is an example of _____.

Chunking

What are the two basic forms of conditioned learning?

Classical and operant

Coca-Cola does not advertise during the evening news because the marketer does not want the often negative information reported on the news to create a negative feeling toward the brand. Which type of learning creates an association between the brand and some response?

Classical conditioning

Describe the difference between classical and operant conditioning.

Classical pairs two stimuli, while operant pairs behavior and response. Operant is voluntary and classical is involuntary.

Yoriko likes Toyota automobiles because she thinks they have the highest reliability of all automobiles on the market. Her belief about Toyota's reliability represents which component of her attitude?

Cognitive

Many Jeep owners elect to become members of a Jeep ____ and attend brand fests, such as Jeep Jamboree, Jeep 101, and Camp Jeep.

Community

Which of the following involves presenting two stimuli in close proximity so that eventually the two are perceived to be related or associated?

Conditioning

Cole purchased a Harley-Davidson motorcycle because he identifies himself with what he feels is the type of owner of a Harley (a rough, tough manly-man). Many other owners of this brand also feel this way, and they get upset when they see someone like Cole riding one because they think he is not the "right' kind of person to own this brand (that is, definitely NOT a rough, tough manly-man). Which characteristic of brand communities does this illustrate?

Consciousness of kind

Jake is teaching his son, Nathan, how to handle money, count change, how to save for a desired purchase, and how to choose an appropriate product. Jake is teaching his son ____.

Consumer skills

The process in which young people acquire skills, knowledge, and attitudes relevant to their functioning as consumers in the marketplaces is known as ____.

Consumer socialization

Harley-Davidson motorcycle owners that join a Harley group, Jeep owners that attend events sponsored by Jeep, and Star Trek "Trekkies" are all examples of ____.

Consumption subcultures

When consumer input is requested by firms online it is called ____.

Crowdsourcing

Which of the following statements is TRUE? A. It is hard to "unlearn". B. Learning can happen subconsciously. C. Experience (e.g., pushing a button gets results) can result in learning. D. All of the above are true. E. None of the above is true.

D. All of the above are true.

Which of the following statements is FALSE regarding word-of-mouth communications? A. It is estimated that two-thirds of all consumer product decisions are influenced by WOM. B. Negative experiences are powerful motivators of WOM. C. Going beyond satisfaction to deliver more than was expected appears to have the potential to generate substantial WOM. D. Not all personal sources are equal in value. E. Consumers generally trust advertising as much as they do WOM.

E. Consumers generally trust advertising as much as they do WOM.

Which of the following is a characteristic of a consumption subculture? A. an identifiable, hierarchical social structure B. a set of shared beliefs or values C. unique jargon, rituals, and modes of symbolic expressions D. a and b E. a, b, and c

E. a, b, and c

Which of the following is a household factor that influences purchase and consumption behavior? A. structure of household unit B. stage of the household life cycle C. household decision process D. a and b E. a, b, and c

E. a, b, and c

Regarding the balance of family roles and purchasing, which of the following traditionally male-dominated categories is/are tipping toward the wife? A. TV remote control B. household finances C. family weekend activities D. A and B E. all of the above

E. all of the above

Stages of the household life cycle are based on ____? A. age of the adult members B. marital status of the adult members C. presence of children D. age of children E. all of the above

E. all of the above

Which of the following is a factor determining a reference group's influence on a consumer? A. whether or not the product is a necessity B. whether the use of the product or brand is visible to the group C. the degree of commitment the individual feels to a group D. the individual's confidence in the purchase situation E. all of the above

E. all of the above

Which of the following is NOT a factor affecting the spread of innovations? A. relative advantage B. trialability C. compatibility D. observability E. profitability

E. profitability

Which adopter group represents the critical second category (13.5%) to adopt an innovation?

Early adopters

A long-running television commercial for Dial soap would show an individual in various situations with other people (e.g., car pool or elevator). This individual would join the others and look around, appearing to be in discomfort. Then a voice over would say, "Aren't you glad you used Dial...don't you wish everyone did?" Which type of appeal does this illustrate?

Fear appeal

Cole and Alexis are married and now in their 50s, and both have careers that keep them very busy. However, their children are grown, so they have more free time and money than they used to have. Which type of product or service are they likely to spend LESS money on than they have in the past?

Food at home

Olivia and her husband Adam are now in their 40s and have two children living at home. Their daughter, Courtney is 14 years old, and their son, Marcus, is 11 years old. To which stage of the household life cycle do they belong?

Full nest 2

Two or more individuals who share a set of norms, values, or beliefs and have certain implicitly or explicitly defined relationships to one another such that their behaviors are interdependent is known as a(n) ____.

Group

According to the Census Bureau, all the people who occupy a housing unit is defined as a ____?

Household

What is the basic consumption unit for most consumer goods?

Household

What is a major difference between delayed full nest 1 and younger new parents?

Income

Identify the five adopter categories of innovations and the percentage of the population for each category.

Innovators- 2.5% Early adopters- 13.5% Early majority- 34% Late majority- 34% Laggards- 16%

Which of the following is a reason marketers rarely target unmarried couples?

It is not cost efficient

Which of the following is the primary determinant of how material is learned?

Level of involvement

Name and describe the two components of memory.

Long-term and short-term memory

Which type of memory is viewed as an unlimited, permanent storage that can store numerous types of information such as concepts, decision rules, processes, affective (emotional) states, and so forth?

Long-term memory

Benjamin finally got a phone number from a girl, and instead of writing it down, he kept repeating it to himself over and over until he could dial the numbers and make the call (didn't help). Which of the following describes what Ben was doing?

Maintenance rehearsal

____ is the total accumulation of prior learning experiences.

Memory

Simply presenting a brand to an individual on a large number of occasions might make the individual's attitude toward the brand more positive is known as _____.

Mere exposure

Narumi claims to know everything about Japan. She reads about the country, watches Japanese shows, and even taught a class to high school students (nobody signed up). She constantly updates herself by visiting websites and hangs out with others who are interested in Japan as well (not many). Due to her enduring involvement and expertise in this area, Narumi would be considered a(n) ____.

Opinion leader

Which of the following offers marketing managers a useful technique for measuring and developing a product's position by taking consumers' perceptions of how similar various brands or products are to each other and relates these perceptions to product attributes?

Perceptual mapping

Which of the following is NOT a guiding principle for marketing to online communities and social networks?

Post marketing content so it does not stand out and appears as just another participant in the community, such as a flog

You are a marketing manager and want to use the power of reference groups to influence consumers. Reference group influence can take three forms. Name each group.

Primary groups, Secondary groups, Dissociative reference groups, and Aspirational reference groups

Vanity Fair, the makers of Lee jeans, learned from market research that young men perceived the brand as for women. As a result, they developed an advertising campaign targeted to young men and used Buddy Lee, which is a little doll in dungarees that is portrayed as "cool," to alter this market's perception of this brand. Vanity Fair's deliberate decision to significantly alter the way the market views its brand is an example of _____.

Product repositioning

Benjamin and Cheyanne are in their 40s, childless, and were married for 15 years, but are now divorced. However, Cheyanne has always wanted children, so she adopted a son, Austin, who is now two years old. To which stage of the household cycle do Cheyanne and her son belong?

Single parent 2

Dr. Oz is a doctor on a weekly health program, and Dr. Oz is highly esteemed in his field and provides up-to-date medical information for viewers. Sometimes he recommends specific products, and Ronnie, a regular viewer of the program, trusts what he says or recommends because he doesn't seem to have an apparent motive to mislead viewers. Which characteristic does Dr. Oz possess?

Source credibility

The Geico Gecko, the Jolly Green Giant, and the Aflac duck are examples of ____.

Spokescharacters

Which of the following occurs when a company provides financial support for an event such as the Olympics or a concert?

Sponsorship

Cheyanne appeared in a television commercial for a local eyewear/designer glasses firm. She tells the audience how she suffered from headaches several times a month due to the wrong glasses she had purchased. However, once she visited this particular store in the mall and picked different glasses, her headaches disappeared. She claimed, "I kept expecting the headaches to come back, but they didn't. I have a whole new lease on life, thanks to LensCrafters!" Which type of ad is this?

Testimonial ad

Advertisements and packages for Kellogg's Smart Start breakfast cereal include the seal of the American Heart Association, indicating that it is a heart-healthy choice. This seal can influence consumers to purchase this brand because the American Heart Association has a reputation of trustworthiness and expertise. The seal appearing on packages and in advertisements represents a ____.

Third-party endorsement

Andrew and Holly have been married for almost twenty years, and this is the first marriage for both of them. They have two children living at home. Which type of family is this?

Traditional family

The owner of a local restaurant wants to enhance consumers' attitudes toward his restaurant by changing the affective component of their attitude. Which of the following is an appropriate approach to achieve this objective?

Use positive music in their advertisements so that over time consumers will transfer the positive affect associated with the music to the restaurant.

Which of the following is an online "pass-it-along" strategy?

Viral marketing

Which type of communication involves individuals sharing information with other individuals in a verbal form including face-to-face, phone, and the Internet?

Word-of-mouth

Yoriko had an unpleasant experience at the Kiku restaurant one day. She went back to work and told all her coworkers and friends about this experience, and many of them said they would never go back to that restaurant. Which type of communication is this an example of?

Word-of-mouth