Chapter 6: consumer decision making
example of need recognition
1) internal- blisters from old shoes 2) external- commercial for new car
psychological factors
determine how a consumer perceives and interacts with their environment include perception, motivation , learning, beliefs and attitudes
psychological risk
occurs when consumer feels making the wrong decision may cause some concern or anxiety (regular ice cream vs fat free)
enduring involvement
ongoing interest in some product or activity consumer is looking to consume the product or participate in the activity the things the person cares about most
internal info search
person recalls info stored in the memory -may include fondly remembering a past experience with a product
shopping involvement
personal relevance of the shopping process i.e. doing research on exactly what you want to buy before even entering the store
levels of involvement
product, situational, enduring, emotional
external information search
seeking info from the outside environment two types: marketing control information search and non-marketing controlled info search
involvement
the amount of time and effort a buyer invests in the search, evaluation, and decision process
cultural factors
the broadest and deepest influence on consumer decision making -encompasses all things consumers do without conscious choice
need recognition
the first step in the consumer decision making process -activates the consumer decision making process by either an internal or external stimulus
want
the recognition of an unfulfilled need and a product that will satisfy it
limited decision making
consumer has previous product experience, but is unfamiliar with other current brands available -moderate effort in searching for info and considering alternative i.e. when a routine purchased product is sold out
routine response behavior
little time on search and decision, buy first evaluate later -consumer familiar with potential brands, but stick with one brand i.e. milk or orange juice
subculture
a homogenous group of people who share elements of the overall culture as well as cultural elements unique to their own group
product attribute
a method of the evaluating evoked set and making a decision that involves picking a product attribute and excluding all products that dont meet that attribute -cutoffs are minimum or maximum levels of that attribute
categorization process
a products evaluation depends upon the particular category it is perceived to belong to
brand extensions
a well known brand name extends its product category into other categories. i.e. radio chips in cell phones--> pet tracking devices
evoked set
after an information search, this is the group of brands from which the consumer will chose from
value
an enduring belief shared by a society that a specific mode of conduct is socially preferable
piecemeal process
evaluation is made by examining alternative advantages and disadvantages along important product attributes
financial risk
exposure to loss of wealth or purchasing power as price increases so does the level of involvement
product involvement
high personal relevance i.e. fashion industry
emotional involvement
how emotional a consumer gets when making a purchasing decision i.e sports fans
want-got gap
imbalance between actual and desired states -marketing manager wants consumer to recognize this want-got gap -gap must be large enough to drive the consumer into action
perceived risk
increased level of involvement -financial risk, social risk, and psychological risk
external stimuli
influences from outside sources such as a recommendation, a likable color, ad on t.v. or radio
non marketing controlled information source
info source not associated with a marketers promotion -include personal experiences (talking to friends about product, blogs, consumer opinion sites, etc)
marketing controlled information
info that originates with marketers promoting a product -mass media advertising (radio, newspaper, tv, all ads)
extensive decision making
when buying an expensive product or infrequently bought item, complex buying decision with high consumer involvement -leads to most cognitive dissonance i.e. switching brands, new dog new toys= more though initially
social risk
when buying products that can affect people's social opinions of them (wearing old clothes, driving ugly car)
situational involvement
when consumer perceives risk in a specific situation i.e. buying better alcohol for a first date than usually would for self
cognitive dissonance
when people recognize inconsistantcy between their values/opinions and their behavior "buyers remorse" -reduced if consumer can justify their decision -reduced when marketers communicate effectively
satisfied purchase
when the consumers expectations of certain outcomes is met