MKT 351 EXAM 3-Pham
ritual situations
a socially defined occasion that triggers a set of interrelated behaviors that occur in a structured format and that have symbolic meaning
indirect method of evaluation
assume consumers will not or cannot state their evaluative criteria (projective technique and perceptual mapping)
momentary conditions
reflect temporary states of being, such as tired, being ill, having extra money, being broke, etc.
symbolic performance
relates to aesthetic or image-enhancement performance
instrumental performance
relates to the physical functioning of the product
product analysis
examines the purchase or use of a particular product or brand
responding to consumer problem
-developing a new products or altering existing one -modifying channels of distribution -changing pricing policy -revisiting advertising strategy
approaches to reevaluate or alter decision to reduce dissonance
-increase the desirability of the brand purchased -decreased the desirability or rejected alternatives -decrease the importance of the purchase decision -reverse the purchase decision(return the product before use)
satisfying consumer expectations
1) creating reasonable expectations through promotional efforts 2) maintaining consistent quality so the reasonable expectations are fulfilled
marketing strategy and problem recognition steps
1. discovering consumer problems 2. responding to consumer problems 3. helping consumers recognize problems 4. suppressing problem recognition
desire to resolve problem(2 factors)
1. the magnitude of the discrepancy between the desired and actual states and 2. the relative importance of the problem
steps for developing situation-based marketing strategies
1. use observational studies, focus group discussions, depth interviews, and secondary data to discover the various usage situations that influence the consumption of the product 2. survey a larger sample of consumers to better understand and quantify how the product is used and the benefits sought in the usage situation by the market segment 3. construct a person-situation segmentation matrix, rows are major usage situations and columns are groups of users with unique needs or desires 4. evaluate each cell in terms of potential(sales volume, price level, cost to serve, competitor strength, etc.) 5. develop and implement a marketing strategy for those cells that offer sufficient profit potential given your capabilities
emotion research
Critical in helping marketers anticipate consumer reaction to problems and train customer service personnel to respond appropriately (ex. surveys, focus group research, and personal interviews)
brand loyalty
a biased behavioral response expressed over time by a decision-making unit with respect to one or more alternative brands out of a set of such brands that is a function of psychological processes
embarrassment
a negative emotion influenced by both the product and the situation
instrumental motives
activate behaviors designed to achieve a second goal
situational influence
all those factors particular to a time and place that do not follow from knowledge of the stable attributes of the consumer and the stimulus and that have an effect on current behavior
projective technique
allows the respondent to indicate the criteria someone else might us
relationship marketing
an attempt to develop an ongoing, expanding exchange relationship with a firm's customers
surrogate indicator
an attribute used to stand for or indicate another attribute
Net Promoter Score (NPS)
an indirect word-of-mouth measure of true attitudinal loyalty; 3 categories of consumers are promoters, passively satisfied, and detractors; NPS=promoters minus detractors
human factors research
attempts to determine human capabilities in areas such as vision, strength, response time, flexibility, and fatigue and the effect on these capabilities of lighting, temperature, and sound (ex. slow motion/time-lapse, video recording)
relative importance of evaluative criteria
constant sum scale(most common direct) and conjoint analysis(most common indirect)
assumption 2
consumers have the skill and motivation to find the optimal solution; reality- consumers lack both the skill and motivation to do so (bounded rationality-a limited capacity for processing information)
assumption 1
consumers seek one optimal solution to a problem and choose on that basis; reality-consumers have all sorts of "metagoals" (the general nature of the outcome being sought) that are different from this
repeat purchasers
continue to buy the same brand though they do not have an emotional attachment to it
disjunctive decision rule
establishes a minimum level of performance for each important attribute; all brands that meet or exceed the performance level for any key attribute are considered acceptable
conjunctive decision rule
establishes minimum required performance standards for each evaluative criterion and selects the first or all brands that meet or exceed these minimum standards
antecedent states
features of the individual person that are not lasting characteristics such as momentary moods or conditions
activity analysis
focuses on a particular activity, such as preparing dinner, maintaining the lawn, or swimming, then surveys or focus groups attempt to determine what problems consumers encounter during the performance of the activity
committed customer
has an emotional attachment to the brand or firm
the disposition situation
how you dispose of products and their packaging
the usage situation
how you use a certain product
rational choice theory
implicitly or explicitly assumes a number of things about consumer choice that often are not true
direct method of evaluation
include asking consumers what criteria they use in a particular purchase or in a focus group setting, noting what consumers say about products and their attributes
physical surroundings
include decor, sounds, aromas, lighting, weather, and configurations of merchandise or other materials surrounding the stimulus object
generic problem recognition
involves a discrepancy that a variety of brands within a product category can reduce; increasing this results in total market expansion
selective problem recognition
involves a discrepancy that only one brand can solve; firms attempt this to gain or maintain market share
extended decision making
involves extensive internal and external search followed by a complex evaluation of multiple alternatives and significant post purchase evaluation, doubt about it is likely
limited decision making
involves internal and limited external search, few alternatives, simple decision rules on a few attributes, and little post purchase evaluation
nominal/habitual decision making
involves no decision per se, occur when there is very low involvement with the purchase (brand loyal purchases and repeat purchases)
decoy effect
involves placing a third and clearly inferior brand in the choice set to influence choice outcomes
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 the choice
product nonuse
occurs when a consumer actively acquires a product that is not used or used only sparingly relative to potential use
post purchase dissonance
occurs when a customer has doubts or anxiety regarding the wisdom of a purchase made and is a function of the following: -the degree of commitment or irrevocability of the decision -the importance of the decision to the consumer -the difficulty of choosing among the alternatives -the individual's tendency to experience anxiety
consumption guilt
occurs when negative emotions or guilt feelings are aroused by the use of a product or a service
consumer-to-consumer sale
occurs when one consumer sells a product directly to another with or without the assistance of a commercial intermediary
inactive problem
one of which the consumer is not aware; require the marketer to convince consumers that they have the problem and that the marketer's brand is a superior solution to the problem
active problem
one the consumers aware of or will become aware of in the normal course of events; require the marketer only to convince consumers that its brand is the superior solution
key characteristics of situations
physical surroundings, social surroundings, temporal perspectives, task definition, and antecedents
consumer decision
produces an individual carefully evaluating the attributes of a set of products, brands, or services and rationally selecting the one that solves a clearly recognized need for the least cost
crowding
produces less satisfactory purchases, an unpleasant shopping trip, and a reduced likelihood of returning to the store
judgements of brand performance on specific evaluative criteria
rank ordering scales, semantic differential scales, and likert scales; SAM is a graphical approach designed to tap more directly into the pleasure-arousal-dominance dimensions of emotions
lexicographic decision rule
requires the consumer to rank the criteria in order of importance, then selects the brand that performs the best on the most important attribute, if two or more tie on that attribute they are evaluated on the second most important attribute and so on
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 from further consideration
attribute-based choice
requires the knowledge of specific attributes at the time the choice is made, and it involves attribute-by-attribute comparisons across brands
perceptual mapping
researcher uses judgement to determine dimensions underlying consumer evaluations of brand similarity
aromas
scented environment produces a greater intent to resist the store, higher purchase intention for some items, and a reduced sense of time spent shopping
the purchase situation
situation in which you make a purchase (mood can affect, atmosphere of store, etc.)
temporal perspectives
situational characteristics that deal with the effect of time on consumer behavior; limited purchase time often limits the search
problem analysis
starts with a problem and asks respondents to indicate which activities, products, or brands are associated with those problems
compensatory decision rule
states that the brand that rates highest on the sum of the consumer's judgments of the relevant evaluative criteria will be chosen
affective choice
tends to be more holistic in nature, brand is not decomposed into distinct components each of which is evaluated separately from the whole, choices often based on the immediate emotional response to the product or service
churn
term used to refer to turnover in a firm's customer base
sensory discrimination
the ability of an individual to distinguish between similar stimuli
switching costs
the costs of finding, evaluating, and adopting another solution
affective performance
the emotional response that owning or using the product or outlet provides
purchase involvement
the level of concern for, or interest in, the purchase process triggered by the need to consider a particular purchase
assumption 3
the optimal solution does not change as a function of situational factors such as time pressure, task definition, or competitive context; reality-context effects are common
social surroundings
the other individuals present in the particular situation
atmospherics
the process managers use to manipulate the physical retail environment to create specific mood responses in shoppers
task definition
the reason the consumption activity is occurring
problem recognition
the result of a discrepancy between a desired state and an actual state that is sufficient to arouse and activate the decision process
store atmosphere
the sum of all the physical features of a retail environment; influences customer judgments of store quality and image
evaluative criteria
the various dimensions, features, or benefits a consumer looks for in response to a specific problem
actual state
the way an individual perceives his or her feelings and situation to be at the present time
desired state
the way an individual wants to feel or be at the present time
the communication situation
the way someone receives a message
moods
transient feeling states that are generally not tied to a specific event or object
consummatory motives
underlie behaviors that are intrinsically rewarding to the individual involved
colors
warm-reds and yellows are more arousing than cool colors-blues and greys
servicescape
what atmosphere is referred to when describing a service business such as a hospital, bank, or restaurant
center stage effect
where a product is physically located has an influence on preference for that product