CB FINAL REVIEW

Types of antecedent states:

Types of antecedent states: >>Moods Transient feeling states that are generally not tied to a specific event of object. >>Momentary Conditions Temporary states of being (tired, ill, having extra money, being broke, etc.)

"Conservative when crowded"

"Consumers in crowded environments get conservative and safety-focused"

On what depend the pstpurchase dissonance

>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

Consumers need ongoing incentives to return such as:

>product-related news features >user-related discussion forums >updates on new products

Four types of situations:

-The Communications Situation -The Purchase Situation -The Usage Situation -The Disposition Situation

Retailers can promote such items by...

>> jointly >> display them together, or >>train sales personnel to make relevant complementary sales

Firms need to satisfy consumer expectations by

>>Creating reasonable expectations through promotional efforts, and >>Maintaining consistent quality so the reasonable expectations are fulfilled

How to reduce reduce dissonance:

>>Increase the desirability of the brand purchased >>Decrease the desirability of rejected alternatives >>Decrease the importance of the purchase decision >>Reverse the purchase decision (return before use)

Two dimensions of search are particularly appropriate:

>>The type of decision influences the level of search, and >>The nature of the evoked set influences the direction of the search

Decision Rules for Attribute-Based Choices

>Conjunctive Rule >Disjunctive Rule >Elimination-by-Aspects Rule >Lexicographic Rule >Compensatory Rule

Three major strategic issues for firms:

>How can they drive their information to consumers? >How can they drive consumers to their information? >How (if at all) can online selling be utilized or integrated with existing channels?

Which of the following statements is true regarding moods?

Ad and brand attitudes are often influenced in a mood-congruent manner.

Three types of consumer choice processes:

Affective Choice Attitude-Based Choice Attribute-Based Choice

Consumer decisions require information about:

Appropriate evaluative criteria The existence of various alternatives Performance of each alternative on each evaluative criterion

A-I-D-A (??)

Attention Interest Desire Action

Lexicongraphic Desicion 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.

Disjunctive Rule:

Establishes a minimum required performance for each important attribute (often a high level). All brands that meet or exceed the performance level for any key attribute are acceptable. If minimum performance was:

Conjunctive Rule:

Establishes minimum required performance for each evaluative criterion. Selects the first (or all) brand(s) that meet or exceed these minimum standards. If minimum performance was:

Elimination-by-Aspects Rule

First, evaluative criteria ranked in terms of importance Second, cutoff point for each criterion is established. Finally (in order of attribute importance) brands are eliminated if they fail to meet or exceed the cutoff. If rank and cutoff were:

External Search

If a resolution is not reached through internal search, then the search process is focused on relevant external information. Ongoing search is done to acquire information and because the process is pleasurable.

Which of the following is NOT an action a consumer may utilize to reduce dissonance?

Increase the importance of alternatives that were not considered in the purchase initially.

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.

Given what was said in class, when would Best Buy be better able to sell product warranties?

Much crowd in the store

Situational Characteristics and Consumer Behavior

Physical surroundings Social surroundings Temporal perspectives Task definition Antecedent states

There are three categories of consumers:

Promoters Passively satisfied Detractors

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.

Product Use

Retailers can frequently take advantage of the fact that the use of one product may require or suggest the use of other products, e.g., dresses and shoes.

Internal Search

Search of long-term memory to determine if a satisfactory solution is known what are types of potential solutions, and ways to compare the possible solutions.

Which of the following statements is FALSE regarding information search?

Searching for information is free.

SurroundingsPhysical

Store Atmosphere is the sum of all the physical features of a retail environment.

Temporal Perspectives

Temporal perspectives deal with the effect of time on consumer behavior.

Consider the study involving coffee mugs. In one case, students were given a coffee mug as theirs to keep, and later asked for what price they would sell the coffee mug. In another case, students were asked what price they would pay for this same coffee mug. One group gave their average price as $2.25, and one group gave an average price as $4.50. Which group gave the lower average price ($2.25)?

The group that was not given a coffee mug, but was asked if they wanted one

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

Which of the following is NEVER a type of consumer choice process?

affective choice attitude-based choice rational choice

Switching costs

are the costs of finding, evaluating, and adopting another solution.

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

Karl and his wife are considering putting a built-in pool in their backyard. They were discussing who they could get to do it for them, and they realized they knew of five good pool contractors in their city. These five pool contractors that they thought of as potential contractors for them represent their _____.

awareness set

Which 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?

conjunctive

Rebecca is a single woman in her 40s. She sold her Honda Civic and bought an Acura CSX, which is considerably more expensive, but she really liked it. She was going to her brother's house with her mother, and she asked that her mother drive. She didn't want her brother to see that she had purchased an expensive car for herself. Rebecca was experiencing _____.

consumption guilt

Repeat purchasers

continue to buy the same brand though they do not have an emotional attachment to it.

The desired features or characteristics required to meet a consumer's needs are his or her _____.

evaluative criteria

Situational influence

includes all those factors particular to a time and place that do not follow from a knowledge of the stable attributes of the consumer and that have an effect on current behavior.

How does music influence consumer behavior?

influences mood

Brand loyalty

involves commitment to the brand - it is a biased behavioral response expressed over time.

A ritual situation

is a socially defined occasion that triggers a set of interrelated behaviors that occur in a structured format and that have symbolic meaning.

Net Promoter Score (NPS)

is an indirect word-of-mouth (WOM) measure of true attitudinal loyalty.

Website design

is critical. Ongoing and repeat traffic requires relevant and frequently updated content.

Task definition

is the reason the consumption activity is occurring.

Postpurchase Dissonance

occurs when a consumer has doubts or anxiety regarding the wisdom of a purchase made

Connie just purchased her first new car, and she's actually feeling a little bad about it. She's concerned about how much money she spent and how long she will be making car payments. She's not sure she made the right choice, either. She liked another car a little better, but ended up purchasing another model. Connie is experiencing _____.

postpurchase dissonance

Which of the following occurs when a consumer actively acquires a product that is not used or used only sparingly relative to its potential use?

product nonuse

Giving out candy to children on Halloween, giving chocolate and roses to sweethearts on Valentine's Day, and wearing green and drinking green beer on St. Patrick's Day are all examples of _____.

ritual situations

External information search is

skewed toward limited search, with the greatest proportion of consumers performing little external search immediately prior to purchase.

The 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.

One aspect of purchasing from QVC, one of the cable shopping channels on television, is that the "offer" will expire within a certain amount of time, creating a sense of urgency among consumers. Teresa watches this channel frequently, and admitted that this aspect of the situation does influence her decision to buy something. Which characteristic of the situation is influencing Teresa and others' behavior?

temporal perspective

Affective choices

tend to be more holistic. Brand not decomposed into distinct components for separate evaluation. Evaluations generally focus on how they will make the user feel as they are used.

Attribute-based choice requires _____.

the knowledge of specific attributes at the time the choice is made and attribute-by-attribute .

Even if a dissatisfied consumer takes no external action, which of the following is likely?

will have a less favorable attitude toward the store or brand