Consumer Behavior Exam 1
Utilitarian Need
An everyday need
Enculturation
Learning the beliefs and values of one's own culture
Acculturation
Learning the value system and behaviors of another culture
Social Marketing
Making social change - change behaviors
Heuristics
Mental availability that sticks to our mind
Reference Group
One or more people that we use as a benchmark (basis for comparison)
Terminal Values
Preferred end states of being ex: Beauty
Motivation
Produced by state of tension
True or False: Claire remembers that uniquely wonderful taste that can only come from a frosty mug of root beer. As she heads to the soft drink aisle in her grocery store, she decides that today is the day to experience root beer again. Claire has just conducted what is called an internal search for information.
True
True or False: Consumer Behavior impacts directly on major public policy issues that confront our society.
True
How can a marketer boost a person's motivation to process relevant information?
A. Using novel stimuli
Instrumental Values
preferred methods of behavior
The Three Stages of the Consumption Process in order, are ______
A. identify a need, make a purchase, dispose of product
Consumer Heuristics
"Rules of Thumb" - Types (important in problem solving): search, evaluation, choice.
Levels of Maslow's Hierarchy of Needs
(BASED ON WESTERN MOTIVATIONS) 1) Self Actualization: self fulfillment, enriching experiences 2) Ego Needs: prestige, status, accomplishment 3) Belongingness: love, friendship, acceptance by others 4) Safety: security, shelter, protection 5) Physiological: water, sleep, food . According to Maslow, Motivation comes from each of those needs & each must be met before going to next . LL needs -> UL needs
Consumption Process:
(Consumer and Marketer Perspective) Pre-purchase issues : Why Purchase issues: What/How Post Purchase issues: Outcome
Novel Stimuli
(those that are new, different, or unusual) often attract our attention
Types of Motivational Needs
1) Achievement (effort over luck): must win at any cost 2) Affiliation (focus on relationships): loyalty and harmony; no disagreement 3) Power (passion for influence. tech. and coach): desires control of everyone and everything
3 Types of Decision Making Processes
1) Cognitive - deliberate, rational, sequential 2) Habitual - behavioral, unconscious, automatic 3) Affective- emotional, instantaneous
Levels of Intrinsic Self Relevance: 4 Market Segments
1. Brand loyalists: always buy a product (least involved) 2. Routine Brand Buyers 3. Information Seekers > continually searching (highly involved). 4. Brand Switchers > continually searching (highly involved)
A customer buying an unfamiliar product that carries a fair degree of risk would most likely engage in what type of decision-making?
A. Cognitive Decision-Making
_______ needs, the lowest order needs in Maslow's Hierarchy, can also be described as _____ needs.
A. Physiological; biogenic
Jeff had collected a nice wardrobe before graduating from college. All of his friends considered him "well dressed." After the first day at his new job, however, Jeff immediately went out and replaced most of his clothes with what was considered to be professional dress clothing. Jeff had just experienced the power of a new ________. A) reference group B) information cascade C) avoidance group D) brand community
A. Reference Group
Need for Uniqueness
Assert one's individual identity Enjoy products that focus on their unique character (perfumes, clothing)
Core Values
values shared within a culture
When considering a purchase, brand-loyal consumer will have a much smaller ________
B. Evoked set - list of brands other than their own liked ones
Although not officially part of the consumer behavior process, which people may recommend certain products instead of actually buying or using them?
Influencers
Features actually used to differentiate among choices are called ________ attributes.
C. Determinant
____ is the process by which the consumer surveys the environment for appropriate data to make a reasonable decision.
C. Information search
A(n) ______ is an actual or imaginary individual or group conceived of having significant relevance upon an individual's evaluations, aspirations, or behavior
C. Reference group
A ______ is the manifestation of an emotional desire that is often shaped by culture.
C. Want
Need for Power
Control one's environment Focus on products that allow them to have mastery over surroundings (muscle cars, loud boom-boxes)
Manufactured Demand
Created by marketers - make you think you need to spend money on something you don't actually need ex: tap water vs. bottle water
Which of the following is NOT part of the consumer behavior process?
D. Identifying the demographic characteristics of the consumer
Cause Marketing
Doing well by doing good ex: Toms shoes - when buy shoes, give shoes to those in need.
Mass Customization
Enhances product involvement ex: NikeiD
True or False: According to Anne Angeles, Businesses amplify their "WHAT" to inspire consumer engagement.
False
True or False: Drive Theory is the theory used to explain how behavior is pulled by expectations of achieving desirable outcomes.
False
True or False: The fact that people often buy products not for what the products fo but for what they mean implies that a products basic function is unimportant?
False
Types of Reference Groups:
Formal/ informal: ( clearly specified structure) Primary/ Secondary: (direct, face-to-face interactions) Membership: People become formal members of membership ref. groups Aspirational: aspire to join aspirational ref. group Dissociative: people seek to avoid or reject dissociative ref. groups
Laddering Technique
Hoping to uncover motivation/values & uncover customer wants - Interview: semi structured
Levels of Involvement
Inertia to Flow State Inertia: consumption at low end of involvement (decisions made out of habit) Flow State: occurs when consumers are truly involved ( sense of control, concentration, mental enjoyment, distorted sense of time) (fully involved in decision)
Level of Involvement in Consumer Decisions
Routine Response Behavior: low cost, frequent purchasing. Limited Problem Solving: more affect involved Extensive Problem Solving: more expensive products, infrequent purchasing, very involved purchase
Print Ad
Technique for increasing involvement ex: Billboards
True or False: Hirosi ordered the expensive "heart attack special" at the local pub. It came with a one-pound hamburger and a full bucket of fries. Halfway through the meal, Hirosi was not feeling well. Yet according to the sunk-cost fallacy, Hirosi will likely continue until he has finished the "special."
True
Need for Achievement
Value personal accomplishment Place a premium on products that signify success (luxury brands, technology products)
Simon Sinek's Golden Circle
WHY, HOW, WHAT - inside - out method * Amplify their "WHY"
Sticky Service
Want a customer to stay and keep coming back ex: Target, Walmart, Home Depot
Need for Affiliation
Want to be with other people Focus on products that are used in groups (alcoholic beverages, sports bars)
Means End Chain Model
brand -> attributes -> functional consequences -> psychological consequences -> values
Green Marketing
decrease environmental changes
Group Influence
ex: Onion: people are less likely to buy an onion because they are smelly and people care about what others think
Hedonic Need
experiential need, involving emotional responses or fantasies
Brand community
group of consumers who develop relationships based on shared interests or product usage ex: Harley Davidson, Peleton
Decision Making Process
problem recognition, information search, evaluation of alternatives, product choice, outcomes Problem Recognition: difference between current state and ideal state Information Search: process which we survey the environment for appropriate data to make a reasonable decision. - (internal & external search) - internal: already known info -external: search for info (2 types: prepurchase & ongoing)
Prospect Theory.
risk differs when we face gains versus losses
Business Ethics
rules of conduct that guide actions in the marketplace
Consumer Behavior
study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires.
Group
two or more people who interact with each other to accomplish a goal