Midterm - 4220

What does JND stand for?

"Just Noticeable Difference" -meaning the Minimum detectable difference

-Consumers are especially interested in choosing brands that support causes they find personally relevant. What are some examples of causes?

- These causes include medical cures and disease prevention, social change, faith-based initiatives, and animal and child welfare.31 As a reaction to these feelings, many firms today try to integrate corporate social responsibility (CSR) into their business models.

Lifestyles

- Things consumers like to do / pattern of how they spend money and time

Define Symbol

- agreed-up association

**Differential threshold

- equals "changes" -ex: packages changes must be subtle overtime to keep current customers

Define Heavy users and why marketers care about them

- heavy users are the "most faithful" consumers to a brand -marketers often focus most on these users by using the Pareto Principle or 80/20 rule

Self-esteem

- how much you value, respect, and feel confident about yourself (high or low self esteem)

Personality Traits

- identifiable characteristics that define a person

Looking glass self

- imagining what others think of you

Freudian theory

- interpretations with a heavy emphasis on unconscious motive -a huge influence on subsequent theories of personality

Values

- is a belief that some condition is preferable to its opposite. -Core Values Value systems

Define Halo Effect

- people react to similar stimuli in much the same way they responded to the original stimulus -ex: family branding, product line extension, licensing, look a like packaging

**Materialists value..

- possessions for their status and appearance-related meanings / - expensive products that are publicly consumed -they link more of their self-identity to products / We buy things we think will make us happy, but then satisfaction diminishes after purchase

Non-materialists value..

- possessions that link them to other people and provide pleasure through use / -cherished items with personal significance

Define brand loyalty

- purchasing the brand because of habit and convenience, but without any emotional attachment to it

Define adaptation

- the degree to which consumers continue to notice a stimulus over time

-We are aware of stimuli that relate to our ______ needs

-"current" needs

What is the Endowment effect ?

-- an emotional bias that causes individuals to value an owned (or touched) object higher than its market value.

**Sensory Threshold

-- the point at which a stimulus is strong enough to make a conscious impact on our awareness

Stores use senses to entice customers to buy. How?

--Purchases are emotional -Form is function. We appreciate good design. -We buy things that provide hedonic value in addition to just doing what they were designed to do -We crave experiences

3 Types of approaches to needs

--approach-approach, -avoidance-avoidance, -approach-avoidance

Define "consumer" in the consumption process

-A consumer is a person who identifies a need or desire, makes a purchase, and then disposes of the product during the three stages of the consumption process

Triple bottom line

-A triple bottom-line orientation refers to business strategies that strive to maximize return in three ways:FinancialSocialEnvironmental

**What is the argument to : Do marketers create artificial needs?

-Argument: the objective of marketing is to create awareness that a "need" exists and suggest a way to satisfy that need.

Multiple selves

-Central identities -Others are situation specific -Affects marketing efforts

define Stimulus selection factors

-Characteristics of the stimulus that makes it noticible -ex: Contrast- stimuli that stand out, size, color, position, novelty

Sensory marketing

-Companies think carefully about the impact of sensations on our product experiences

Enculturation vs Acculturation

-Enculturation - our culture -Acculturation - another culture

What are Perceptual selection factors?

-Factors: intensity, discrimination, duration, exposure, and relevance

define haptic and an example of its use in marketing:

-Haptic = touch -ex: Online shopping

Hedonic consumption

-How consumers interact with the emotional aspects of products

Behavioral learning theories

-Instrumental(operant)conditioning-voluntary Two major approaches to learning represent this view: classical conditioning and instrumental conditioning.

Market access issues (list the 3)

-Issues: 1)Disabilities, 2) Food Deserts (no car and no supermarket within a mile), 3) low Literacy rate

difference between need & want

-Need-something we must have to live or achieve a goal -Want-a specific manifestation of a need that personal and cultural factors define

Define Needs and wants

-Need: something a person must have to live or achieve a goal -Want: specific manifestation of a need that personal and cultural factors determine In turn, companies need to develop and leverage brand equity in bold new ways to attract the loyalty of these consumer "nomads." People still "need" companies—but in new ways and on their own terms.

**Is Materialism declining?

-Over half of people in worldwide study from USA, Argentina and Mexico agree experiences matter more to them than possessions -other countries in study fell under 50% in agreement responses so they disagree

Define Stimulus organization

-The stimuli we perceive are often ambiguous. It's up to us to determine the meaning based on our past experiences, expectations, and needs.

Weber's law

-The stronger the initial stimulus, the greater a change must be for us to notice it

**Gender Socialization

-The way culture promotes masculinity or femininity from an early age

define Consumer involvement

-The way we evaluate and choose a product depends on our degree of involvement with the product, the marketing message, or the purchase situation.

Define Extinction

-This commercial aired 10 years ago. Do you remember it?

Which reinforcement works best?

-Variable-Interval Reinforcement

Define perceptual defense:

-We ignore or distort stimuli that are threatening

Define Incidental learning

-We learn even when we don't try: We recognize many brand names and hum many product jingles, for example, even for products we don't personally use. -We call this casual, unintentional acquisition of knowledge

Consumer rights and types of responses (3 types)

-What do you do if you're not happy with a product? -Voice-response - appeal to company -Private-response - talk to friends -Third-party response - complain via another source -Federal agencies oversee consumer-related activities

Personality and problems with it in marketing

-a person's unique psychological makeup and how it influences the way they respond to the environment -We don't always behave the same -We're not consistent -Situational factors play a large role

Green marketing

-a strategy that involves the development and promotion of environmentally friendly products and stressing this attribute when the manufacturer communicates with customers. - this strategy has not fared well in recent years. -Nonetheless, there still is demand for environmentally friendly products: U.S. consumers spend more than $40 billion a year on them.

Define Recall

-ask consumers to think of ads they remember

compenents of brand personality

-authenticity is key Sincerity excitement Ruggedness Competence Sophistication

cognitive learning theories

-classical conditioning -People learn they can make larger purchases with credit cards, and they also leave larger tips than when they pay by cash

Define Schema

-cognitive framework we develop through experience

5 senses and CB

-color, smell, scents, Sound symbolism, touch, taste

Define Reinforcement schedules

-combo of all reinforcement

How can companies mess with consumer needs?

-companies can mainpulate into thinking you "need" something

*Consumers motivation to consume is______ and _________

-complex and varied

Male/female gender roles/androgyny

-def: culture's expectations about how someone in a certain gender should dress, act or speak -they vary by culture and are changing

Define Semiotic relationships and 3 examples of it being used to market

-def: how we assign meaning to signs and symbols and how marketers use symbols to create meaning for consumers -Object, Sign, Interpretant

Reasons for doing body modifications

-depends on cultural norms -distinguish group members from non group memebers -gender category -enhance sex role -indicate desired social conduct

define Corporate social responsibility

-describes processes that encourage the firm/ organization to make a positive impact on the various stakeholders in its community including consumers, employees, and the environment. For example: -the shoe company TOMS is well-known for its promise to give a needy child a pair of shoes for every pair it sells.

Define Gesalt theory

-emphasizes that the whole of anything is greater than its parts. -That is, the attributes of the whole are not deducible from analysis of the parts in isolation.

Define Encoding

-episodic memory, narrative

Cause marketing

-for-profit company aligns with a cause

*The empowered consumer is...

-hands-on, smart and loyal (and global?) -our power is changing the consumer landscape

When is Repetition an issue?

-issue in classical conditioning -Repeated exposure: use of sounds, words, or ideas for effect and emphasis

Social marketing

-marketing a cause like a product -Consumer behavior impacts directly on major public policy issues that confront our society

**Greenwashing

-occurs when companies make false or exaggerated claims about how environmentally friendly their products are. Think about the old story of the "boy who cried wolf ": - According to one report, more than 95 percent of consumer companies that market as "green" make misleading or inaccurate claims.

3 ways instrumental conditioning occurs

-occurs when we learn to perform behaviors that produce positive outcomes and avoid those that yield negative outcomes. -We most closely associate this learning process with the psychologist B. F. Skinner, who demonstrated the effects of instrumental conditioning by teaching pigeons and other animals to dance, play Ping-Pong, and perform other activities when he systematically rewarded them for desired behaviors.

Define Observational learning

-occurs when we watch the actions of others and note the reinforcements they receive for their behaviors

List the 4 Types of reinforcement

-positve and negative reinforcement -punishment: When unpleasant events follow a response =Fixed-Interval Reinforcement -Variable-Interval Reinforcement

Define Intentional learning

-process by which consumers set out to specifically learn information devoted to a certain subject

Curation

-products are carefully chosen by an expert

Define Icon

-resembles product

Business ethics

-rules of conduct that guide actions in the marketplace; standards against which most people in a culture judge what is right and what is wrong, good or bad. These universal values include honesty, trustworthiness, fairness, respect, justice, integrity, concern for others, accountability, and loyalty. Because each culture has its own set of values, beliefs, and customs, companies around the world define ethical business behaviors quite differently.

Provenance

-shoppers are willing to pay MORE for an item when they know exactly where it comes from

Define recognition

-show ads and ask if people have seen them

Define figure-ground principle

-states that one part of a stimulus will dominate (the figure), and other parts recede into the background (the ground).

Define closure principle

-states that people tend to perceive an incomplete picture as complete. That is, we tend to fill in the blanks based on our prior experience.

Choose one: - If you've ever spent a little bit more on something because you know it was locally sourced or 100% recyclable, you've experienced (greenwashing / sustainable marketing).

-sustainable marketing.

Define similarity principle

-tells us that consumers tend to group together objects that share similar physical characteristics.

Extended selves

-the external objects we consider a part of our self-identity -Levels: Individual Family Community Group

Materialism (and 3 aspects of its category)

-the importance people attach to worldly possessions: -●Money ●Appearance ●Status

Absolute threshold

-the weakest amount of stimuli that a person can detect 50% of the time refers to the minimum amount of stimulation a person can detect on a given sensory channel. The sound a dog whistle emits is at too high a frequency for human ears to pick up, so this stimulus is beyond our auditory absolute threshold.

Define Inertia

-to describe businesses that do not adapt or change their marketing strategies to meet growing consumer concerns, changes in the marketplace or economic situations.

Actual self

-ur more realistic appraisal of the qualities we have

Sensory overload

-we are exposed to far more information than we can process.

Define Associative networks

-where incoming pieces of info are stored and contain many bits of related info

Cradle to cradle

-zero resources used in production/disposal

3 Types of Affective responses

1) Evaluations-positive/negative reaction 2) Moods-not linked to an event 3) Emotions-most intense/linked to an event

Consumer-brand attachments (list the 4 types)

1) Self-concept attachment— 2) Nostalgic attachment— 3) Interdependence— 4) Love—

3 Types of Consumer theft and fraud:

1) Shrinkage 2) serial wardrobers 3) counterfeiting

List the 4 Types of memory

1) sensory, 2) short-term, 3) long-term memory 4) encoding

Define Memory process (3 steps)

1-encoding-info enters in a way the system will recognize 2-storage-integrate this knowledge with what is already in memory until it is needed 3-retrieval-access the desired info

the 3 Stages of perception:

1. Exposure 2. Attention 3. Interpretation

4 types of attachment in Relationship marketing

4 types of relationships a person might have with a product: 1) Self-concept attachment— 2) Nostalgic attachment— 3) Interdependence— 4) Love—

**What is the argument to : Do marketers link products to desirable social attributes?

Argument: products are designed to meet existing needs. If needs didn't exist, companies would fail.

brand behaviors in brand personality

Brand is repositioned several times or changes slogan repeatedlyFlighty, schizophrenic Brand uses continuing character in advertisingFamiliar, comfortable Brand charges high prices and uses exclusive distributionSnobbish, sophisticated Brand frequently available on dealCheap, uncultured Brand offers many line extensionsVersatile, adaptable

Value/custom/more

Crescive normsCustom - norm that controls basic behaviorMore - custom with a moral overtone Convention - norm that regulates how

how to use in Psychographics

Define target marketCreate a new view of marketPosition the productBetter communicate product attributesDevelop product strategyMarket social and political issues

Collective self

Deriving your identity from a social group

Motivational conflicts

Goals have valence(direction) Approach positive goals Avoid negative outcomes

Sensation

How our sensory receptors respond to stimuli -not always aware they are being used

Choose one: -In this new environment, (companies / individuals) dictate to companies the types of products they want and how, when, and where (or even if) they want to learn about those products.

Individuals

Lifestyle marketing perspective

Marketers want to tie products to social situations -requires identifying the set of products and services that consumers associate with a specific lifestyle.

4 Types of needs

Need for affiliation Need for power Need for uniqueness Need for achievement

Product complementarity

Products with symbolic meanings that relate to one another

Examples of marketing appealing to vision

Store design, pakcaging, problems with perception sometimes,

T/F: a NEED is a basic biological motive; a WANT represents one way that society has been taught to satisfy the need.

TRue

Perception

The process by which people select, organize and interpret these sensations.

Define Love (attachment)

The product elicits emotional bonds of warmth, passion, or other strong emotion

define love in relationship marketing

The product elicits emotional bonds of warmth, passion, or other strong emotion

Define Self-concept attachment

The product helps to establish the user's identity.

define self-concept attachment

The product helps to establish the user's identity.

Define Interdependance (attachment)

The product is a part of the user's daily routine.

define interdependance in relationship marketing

The product is a part of the user's daily routine.

Define Nostalgic attachment

The product serves as a link with a past self.

define nostalgic-attachment

The product serves as a link with a past self.

Define Consumer behavior

The 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.)

Psychographics

To classify consumers in terms of psychological, subjective variables in addition to observable characteristics (demographics)

Both of these play a key role in purchase decisions and how marketers define consumer motives and satisfy needs

Utilitarian & Hedonic

Consumption constellation

We use these sets of products together to define our roles

Instrumental conditioning

a form of learning in which the participant receives a reinforcer only after performing the desired response, and thereby learns a relationship between the response and the reinforcer -voluntary

Classical conditioning

a learning process that occurs when two stimuli are repeatedly paired -involuntary

Ideal of beauty

a model, or exemplar, of appearance valued by a culture -Drive our purchase decisions

*Technology and culture create a new "_______ ____" consumer

a new "always on" consumer

Addiction

a physiological or psychological dependency on products or services. Many companies profit from selling addictive products or from selling solutions for kicking a bad habit. -Types/issues: Addictive Consumption - Social Media, cyberbullying, Compulsive Consumption (hoarding)

Self-concept

a sense of one's identity and personal worth

Define relationship marketing

a strategy that focuses on keeping and improving relationships with current customers and give them solid reasons to maintain a bond with the company over time.

**What is the argument to : Do Marketers Promise Miracles?

advertising functions as mythology does in primitive societies: It provides simple, anxiety-reducing answers to complex problems. -Response: Marketers simply do not know enough about people to manipulate them. - Consider that the failure rate for new products ranges from 40 to 80 percent. - in reality the industry is successful when it tries to sell good products and unsuccessful when it sells poor ones.

Anthromorphism

attribute human characteristics to objects or animals

Drive theory

biological needs that produce unpleasant states of arousal

T/F: -1/11 Americans lived in food insecure households in 2018 -32 million Adults in the US can't read. This rate hasn't changed in 10 years.

both true

Utilitarian Consumption

consist of basic requirements of life that cannot be avoided or denied, such as food, clothing or medical care

Vanity sizing

deliberately assigning smaller size tag to bigger garment "one size fits none"

Valence

direction

Self-comparison

evaluating one's abilities and opinions by comparing oneself with others

T/F Consumers are NOT especially interested in choosing brands that support causes they find personally relevant.

false

This an example of ___________ _________: -Another survey found that the number of products that claim to be green has increased by 73 percent since 2009—but of the products investigated, almost one-third had fake labels, and 70% made green claims without offering any proof to back them up.

green washing

5 types of risk associated with purchase decisions

monetary, functional, physical, social, psychological

Maslow's hierarchy of needs

must attain a certain level before we activate a need for the next higher one

Cognitive dissonance

need for order and consistency in life and a state of tension exists when beliefs or behaviors conflict with one another

Stimulus generalization

occurs when a UCS does not follow a stimulus similar to a CS. When this happens, reactions weaken and will soon disappear. -Part of the learning process involves making a response to some stimuli but not to other, similar stimuli. -tendency of stimuli similar to a CS to evoke similar conditioned responses

Ideal self

one's perception of whom one should be or would like to be

Homeostasis

our natural balanced state

Body image

our subjective evaluation of our self

Define Modeling

process of imitating the behavior of others

Motivation

process that lead people to behave as they do. occurs when a need is aroused that the consumer wishes to satisfy

What are Hedonic Products?

provide more experiential consumption, fun, pleasure, and excitement (designer clothes, sports cars, luxury watches, etc.)

criteria may be different depending on the type of ____ it's important for marketers to provide each of us "actors" with the props we need to play all of our varied roles; these might include "up-and-coming executive," "geek," or "hipster."

role

--Marketers' Messages are More Effective when they Appeal to Several _______

senses

Define Index

shares a property

What are the three stages of the consumption process?

stages : 1-prepurchase 2-purchase 3-postpurchase

Pareto Principle (80/20 rule)

the 80/20 Rule: 20 percent of users account for 80 percent of sales. This guideline often holds up well,but should not be used strictly alone for evaluation.

What are Utilitarian Products?

the abilities of products to satisfy rational needs

Define market access

the ability to find and purchase goods & services

Define Androgyny

the possession of both masculine and feminine traits

Define Sustainability

the promotion of environmental and socially responsible products, practices, and brand values. - If you've ever spent a little bit more on something because you know it was locally sourced or 100% recyclable, you've experienced sustainable marketing.

Affect

the way a consumer feels about an attitude object

Role theory

theory that much of consumer behavior resembles actions in a play. a.ka. how do you define yourself? What is your "role?" (teacher, mother etc.) EX:Could be one role meeting bf's parents and another on night out with friends. We as consumers seek the lines, props, and costumes necessary to put on a good performance. Because people act out many roles, they sometimes alter their consumption decisions depending on the particular "play" they are in at the time.

Demographics

to categorize in terms of age, gender, income, or occupation. These are descriptive characteristics of a population

Why do organizations exist?

to satisfy needs

Database marketing

tracks specific consumers buying habits closely and crafts products and messages tailored to peoples wants and needs based on this info

Archetypes

universally recognized idea or behavior pattern