consumer behavior test 3
Children's impact on purchase decisions
- Choosing restaurants and items in supermarkets - Teen Internet mavens - Pester power: they don't give up and ask so many times
types of advertising appeals
- Comparative -Fear -Humor -Abrasive -Sex -Audience participation -Timely -Celebrities
reference groups
A person or group that serves as a point of comparison for an individual in the formation of either general or specific values, attitudes, or behavior. -Normative -Comparative -Membership -Symbolic
types of families
1) nuclear-two parents and at least one child 2) extended- If the household has at least one grandparent 3) single parent
guidelines for fear appeals
1. Understand reaction and previous experiences 2. Beware the boomerang effect 3. Behavior change long and complex process 4. Study relationship with action and anxiety 5. Determine whether rational or emotional fear appeal 6. Repeat advertising over the long term 7. Accept that some addicts may not respond 8. Consider alternatives
middle class
50 percent of household incomes - households earning between $25,000 and $85,000 As luxury products become more affordable, middle-class consumers will be drawn to purchasing them
paid search
= PPC, CPC, Pay Per Click, Cost Per Click, Search It is the process of gaining traffic/conversions by purchasing ads on search engines Via an Auction Purchased on a Cost per Click Model You only pay when someone clicks! Typically a super efficient channel Considered low hanging fruit
geodempographics
A composite segmentation strategy that uses both geographic variables (zip codes, neighborhoods) and demographic variables (e.g., income, occupation) to identify target markets
normative reference groups
A group that influences the general values or behavior of an individual
membership reference group
A group to which a person either belongs or would qualify for membership.
comparative reference group
A group whose norms serve as a benchmark for highly specific or narrowly defined types of behavior
symbolic reference group
A group with which an individual identifies by adopting its values, attitudes, or behavior despite the unlikelihood of future membership.
ambush marketing
A marketing technique in which advertisers work to connect their product with a particular event in the minds of potential customers, without having to pay sponsorship expenses for the event. ex- might involve selling music merchandise just outside the grounds of a concert without the consent or awareness of the concert promoters, relying on association with the concert to drive sales
interactive tv
A medium that combines TV broadcasts and the interactivity of the Internet. iTV and can be delivered to one's TV, computer, or mobile device in the form of a two-way communication between subscribers and providers of cable or satellite TV
sleeper efffect
A sleeper effect takes place in a situation when effects of a persuasive message are stronger when more time passes
formal communication
A source that speaks on behalf of an organization-- either a for-profit (commercial) or a not-for-profit organization
source credibility
A source's persuasive impact, stemming from its perceived expertise, trustworthiness, and believability
bid modifers
A way to alter bids by device type -Desktop -Tablet -Mobile Can be done at the Campaign or Ad Group level Ad Group trumps Campaign Can enter a value from -90% - +900% EX: If you're bidding $1.00 for the Keyword Fall Boots and you set your Mobile Bid Modifier to +50%, you would bid $1.50 for that KW on Mobile Devices
Status consumption versus Conspicuous consumption
Conspicuous consumption- purchase that is meant to be seen, i.e lamborghini or rolex watch, is a subset of below Status consumption- higher level purchases b/c you can afford to buy it (rolex is both but difference is that status purchase does not necessarily have to be visible)
CPC (COST PER CLICK)
Average amount you pay per click. Spend ÷ Clicks
the communication model
Communication is the transmission of a message from a sender to a receiver via a medium/channel, - where the sender receives communication feedback, which alerts the sender as to whether the intended message was received. - Senders encode their messages by using words, pictures, symbols, spokespersons, and persuasive appeals, - then, the receivers decode them. If the messages are to be persuasive, the receivers must decode the messages as the senders intended.
Celebrity endorsement
Celebrities appear on behalf of products, with which they may or may not have direct experience or familiarity, for extended periods. Figure 9.6 features "K.J." Noons—a kickboxing and martial arts champion—as a spokesperson for a not-for-profit organization named People for the Ethical Treatment of Animals (PETA). "K.J." is a tough fighter and he states that while he and his opponents in the ring are equally matched, animals often need protection from violence and abuse by bigger and stronger humans.
earned social media
Channels where consumers pass along messages about brands to one another (this is what you want)
sales effects
Determination if an advertisement increased a product's sales. Asks the question, "Did the ads increase sales?"
persuasion effects
Determination if the marketing message was correctly received, understood, and interpreted. Asks the question, "Was the message received and interpreted correctly?"
owned social media
Messages sent by marketers and delivered to consumers via channels that the marketers control
paid social media
Messages sent via channels that are not owned by the marketers, who pay for using the channels
Modifications of FLC and Non-traditional FLC
More families moving away from traditional family lifestyle, now there are many different accepted versions of a family lifestyle (couples with no kids, single parent with adopted kid, young adult moves back home with mom, etc)
low NFC
More likely to be attracted to the background or peripheral aspects of an ad, such as an attractive model or well-known celebrity
high NFC
More likely to be responsive to the part of an ad that is rich in product related info or description
positive framework
Often used in advertising when an advertiser stresses the benefits to be gained by using a product
shopping groups
People may shop together just to enjoy shopping or to reduce their perceived risk; that is, they may bring someone along whose expertise regarding a particular product category will reduce their chances of making incorrect purchases. Referral programs are an important element of shopping groups. Another example of a shopping group is the shared experience of waiting in line. Retail experts say that by standing in a crowd, shoppers see themselves as making the right buying decision—a concept known as "social proof
Conversion Rate:
Percentage of Clicks that resulted in an Order. Orders ÷ Clicks
CTR (click through rate)
Percentage of times someone clicked on your ad. Clicks ÷ Impressions
selective exposure
Perception technique in which consumers actively seek out messages that they find pleasant or are sympathetic to, and actively avoid painful or threatening one.
captive advertising screens
Promotional messages placed in locations where consumers spend time (and generally do not expect to see advertisements), - such as elevators, - cinemas, - retail stores, - restaurants, - bars, - fitness clubs, - college campuses, - and transit.
encoding
Senders encode their messages by using words, pictures, symbols, spokespersons, and persuasive appeals
message framing
Should a marketer stress the benefits to be gained by using a specific product, that is, positive message framing; or the benefits to be lost by not using the product, that is, negative message framing?
data aggregators
Specialized companies—generally known as—enable advertisers to place bids on the opportunities to reach specific users, who meet a given criteria, on an impression-by-impression basis
traditional family life cycle
Stage I: Bachelorhood Stage II: Honeymooners Stage III: Parenthood Stage IV: Post parenthood Stage V: Dissolution
google quality score
The 1-10 reported for each keyword in your account is an estimate of the quality of your ads and landing pages triggered by that keyword 10 is the highest! Having a high means the engine's system thinks your ad and landing page are relevant and useful to someone looking at your ad
Celebrity spokesperson
The celebrity represents the brand or company over an extended period
conformity
The degree of influence that a reference group exerts on an individual's behavior depends on the individual, product, and social factors. These factors include conformity, the group's power and expertise, the individual's experience and personality, and the conspicuousness of the product.
Social class (& variations in schemes for measuring)
The division of members of a society into a hierarchy of distinct status classes, so that members of each class have either higher or lower status than members of other classes upper -> upper-middle -> middle -> working -> lower small portion of population -> larger portion -> back to smaller, middle is largest portion
PRIZM
The most sophisticated geo-demographic segmentation is Nielsen's which combines socioeconomic and demographic factors—education, income, occupation, family life cycle, ethnicity, housing, and urbanization—with consumer buying and media exposure data, to locate concentrations of consumers with similar lifestyles and buying behaviors.
exposure effects
The number of consumers exposed to a message and how they react. Asks the question, "How many consumers received the message?
consumer socilization
The process by which children acquire the skills, knowledge, and attitudes necessary to function as consumers
socialization
The process of imparting to children the basic values and modes of behavior consistent with the culture
recall
The recall of a commercial and its central theme is evidence of its attention-getting and persuasive power.
broadcasting (traditional media)
The term traditional media is synonymous with _ media (or mass media) and consists of channels where all receivers receive the same one-way messages from marketers (i.e., they cannot send direct responses to the message sources).
time shift
Viewers can also _ _ by recording TV shows and viewing them at their leisure while skipping over commercials
credibilty
When marketers use institutional advertising and focus on publicity and how they may be perceived by their many markets
negative framework
Where the consumer is shown what they will lose by NOT using the product
changes in demographics and spending
With more women working, many households have double income. In addition, families are shopping for time-saving products and services since they have less time at home decrease in married couples with children and an increase in women and men living alone
e-wom
Word-of-mouth taking place online is and occurs in social networks, brand communities, blogs, chat rooms, and tweets. Three dimensions underlay consumers' engagement in e-wom: 1. Tie strength—the degree of intimacy and frequency of contacts between the information seeker and the source. 2. Similarity among the group's members in terms of demographics and lifestyles. 3. Source credibility—the information seeker's perceptions of the source's expertise.
advertising resonance
Wordplay, often used to create a double meaning, used in combination with a relevant picture.
retargeting
a form of online targeted advertising by which online advertising is targeted to consumers based on their previous Internet actions.
real time bidding
a means by which advertising inventory is bought and sold on a per-impression basis, via programmatic instantaneous auction, similar to financial markets. With real-time bidding, advertising buyers bid on an impression and, if the bid is won, the buyer's ad is instantly displayed on the publisher's site
search dvertising
a method of placing online advertisements on web pages that show results from search engine queries. Through the same search-engine advertising services, ads can also be placed on Web pages with other published.
geotargeting
a setting that helps you show your ads to customers in a selected geographic location Location targeting helps focus advertising efforts on the areas where we'll find the right customers, helping to increase profits and eliminate waste
comparative advertising
a widely used marketing strategy in which a marketer claims product superiority for its brand over one or more explicitly named or implicitly identified competitors, either on an overall basis or on selected product attributes. - Sophistication - Negativity - Gender - Promotion vs. Prevention-focused - Reasonable factual evidence
two sided message
acknowledges competing products.if the audience is critical or unfriendly (e.g., if it uses competitive products), if it is well educated, or if it is likely to hear opposing claims, then a two-sided message is likely to be more effective
segment based targeting
advertisers prenegotiate prices for advertising space in media (magazines or shows) whose audiences largely never match the profiles of consumers the advertisers wish to target.the audiences marketers reached via these media are larger and more diverse than their target markets and nearly always include many people who have no interest in the products advertised Pre-negotiated prices, Audience profiles,waste coverage,One-way communications ,One-size-fits-all,Delayed feedback of limited use,Timeshifting a challenge
early adopters
are consumers who buy new products within a relatively short period following introduction, but not as early as the innovators. They are venturesome, likely to engage in word-of-mouth, and also likely to assist others who are considering adopting the new products. second 13.5%
fear appeal
are often employed to discourage distracted driving caused by using mobile phones and texting, as well as drunk driving.
user permisions
are requests to allow installation of the applications on the users computers
late majority
are risk averse and slow to adopt innovation. They wait until most other consumers have adopted the new product before buying it next 34%
Autonomic decisions
are those where either the husband or the wife is the primary or only decision maker.
Joint decisions
are those where the husband's and wife's influence are equal
Husband-dominated decisions
are those where the husband's influence is greater than the wife's.
Wife-dominated decisions
are those where the wife's influence is greater than the husband's.
keyword search types
broad(or modified broad)-Greatest coverage phrase-Narrowed target group exact-Very specific search query negative-Exclude irrelevant search queries
impression based targeting
can customize messages based on the data, gets immediate feedback, and can repeat messages to consumers based on their interests and responses. Real-time bidding Ads target browsers based on aggregated data Two-way communications Customized messages Immediate feedback Retargeting
adopter categories
classification that depicts where consumers stand in relation to other consumers in terms of the first time they purchase an innovation. Sociologically the model assumes that all members of a given society would,adopt the innovation.the # of people belonging to each category was calculated in a manner resembling a statistical normal distribution innovators the first 2.5% to adopt,early adopters the next 13.5%; early majority the next 34%; late majority the following 34% and the laggards the last 15%.
Composite variable indexes (ISC v SES)
combine a number of socioeconomic factors to form one overall measure of social-class standing ISC- Index of status characteristics: weighted measure of occupation, source of income, house type, and dwelling area SES- Socioeconomic status scores: the US Bureau of Census's combo of 3 basic factors- oppcupation, income, and educational attainment
early majority
consists of consumers who buy innovations after the early adopters have done so. next 13.5%
word of mouth
consists of transmitting advice and other types of information about products, brands, and shopping experiences
buzz agents
consumers who promote products clandestinely and generally receive free product samples but not monetary payments. many company's pick typical consumers
narrow casting (new media)
defined as means that permit marketers to send messages that are:1. Addressable and directed to specific persons rather than groups of consumers. 2. Customized, and based on data gathered from tracing consumers' surfing and clicks online, in combination with other information, to either small groups or individual consumers. The additional data includes the receiver's location (which can be determined from an IP address or a GPS integrated into a mobile device) and information from "cookies" installed on the hard drive of a digital device.
sexual appeals
detract consumers from the message content and tend to interfere with message comprehension, particularly when there is substantial information to be processed. - Nudity may negatively affect the product message.
socialization model
focuses on: - young children, family influences more basic values and behavior (religion, manners, educational motivation) - friends influence more expressive behaviors/attitudes (styles, fads, fashion)
friendship groups
fulfill a wide range of needs: They provide companionship, security, and opportunities to discuss problems that an individual may be reluctant to discuss with family members. They may be a credible source of information about purchases.
downward mobility
going down in social class than parents did
microblog
has less content than the traditional blog and allow users to exchange small elements of content, such as short sentences, individual images, and video links, mostly via Twitter
psychological noise
in the form of competing advertising messages or distracting thoughts can affect the reception of a promotional message.
basic permisions
includes name,identification,gender,photo,personal demographics, and list of friends
sensitive information requests
includes questions about users highly personal lives and opionions,such as political or religious affiliation and even sexual orientation.
friends permissions
includes requests to share information the users have about friends using the same app
objective measure of social class
individuals answer specific socioeconomic questions and then are categorized according to answers
subjective measures of social class
individuals are asked to estimate their own social-class positions
opionion leader
informally influences others, who might be either opinion seekers or recipients, occurs between two or more people, neither of whom is or represents a commercial seller or would gain directly from providing advice or information. Knowledgeable in product category Self-confident, outgoing, sociable Read special-interest publications and websites Often same socioeconomic & age group as receivers
blog
is a discussion or informational site published on the Internet and consists of discrete entries ("posts"
viral markeitng
is a marketing technique that uses pre-existing social networks and other technologies to produce increases in brand awareness or to achieve other marketing objectives through encouraging individuals to pass along messages
Impressions
is counted each time an ad is displayed in the SERP
Media exposure effects
measure how many consumers were exposed to the message and their characteristics. Consumer research companies assess how many consumers received the message and construct a profile of those who received it. The largest syndicated company that collects such data and sells it to advertisers and other organizations is Nielsen
Need For Cognition (NFC)
measures a persons craving for enjoyment of thinking
upward mobility
movement upward in social-class standing from the social-class position into which the consumer was born i.e dream of getting a high paying job post graduation
informal communication
people who influence one's consumption via online social networks and other Web forums.
ambient advetising
placing ads on unusual items or in unusual places you wouldn't normally see an ad. An ad doesn't have to be placed outside. advertising can be found anywhere and everywhere! The key to a successful media campaign is to choose the best media format available and combined with effective message. These kinds of ads often make someone think about a certain place or thing differently
one sided message
pretends that its products are the only ones of their kind.If the audience is friendly (e.g., if it uses the advertiser's products), if it initially favors the communicator's position, or if it is not likely to hear an opposing argument, then a one-sided (supportive) message that stresses only favorable information is most effective
product placement
provides exposure that consumers don't try to avoid- it shows how and when to use the product and enhances the product's image (in movies, tv)
primacy effect
suggests material presented first is most effective.If audience interest is low, the most important point should be made first to attract attention.A study found that revealing the brand name at the onset of a message enhances brand recall and message persuasiveness.
recency effect
suggests material presented last is most effective.if interest is high, it is not necessary to pique curiosity, so product benefits can be arranged in ascending order, with the most important point mentioned last.
differential decay
suggests that the memory of a negative cue (e.g., a low credibility source) simply decays faster than the message itself, leaving behind the primary message content.
Dual Spouse Work Involvement (and implications)
takes into account occupation status and career commitment of both spouses for segmentation. It puts together an 8-segment schema that explains attitudes, motivations, and consumer spending. How to not get divorced: understand your partners work involvement and that it may change too, recognize effort spouse it putting into house keep up and match that
social status
the amount of status members of one social class have in comparison with members of other social classes (wealth, power, and prestige)
laggards
the very last consumers to adopt innovations. By the time they get around to purchasing their first electronic readers, the innovators and early adopters are already switching to more advanced models with advanced features. are generally high-risk perceivers and the last ones to recognize the value of innovative products.
downscale consumers
those potential buyers having annual household incomes of $40,000 or less
Affluent consumers
those with household incomes of $100,000 or more per year, are an especially attractive target to marketers because they have a large share of discretional income
humor appeals
used appeals in the belief that humor will increase the acceptance and persuasiveness of their advertising communications. used in 80 % of ads.
permission based marketing
voluntary and self selected nature of such online offerings, where consumers "opt in"to receive emailed based promotions
.Online display ads
which are fixed banners that do not vary according to users' profiles or search patterns, posted on websites.
portable people meters (PPM)
which are small devices, equipped with GPS, that the consumers clip onto their belts and wear all day (in exchange for monetary incentives). The devices monitor codes embedded in the audio streams of media that consumers receive (e.g., TV and radio programs and in-store announcements) and also have the capacity to capture visual images of the screens and written materials that consumers are exposed to (e.g., billboards and other out-of-home media, magazines and newspapers read, and online surfing).
sensation seeking
which is the pursuit of novel and exciting sensations and experiences may increase favorable responses to nudity in advertising
