PBB Chp 2

Consumer _____ and _____ refer to two types of mental responses consumers exhibit toward stimuli and events in their environment.

: affect; cognition

Consumer processes not only involve a dynamic and interactive system but also represent a _____ system.

: reciprocal

In its use of the Wheel of Consumer Analysis, marketing seeks to elicit change through:

A) appeal.

The BASIC task of marketing strategy is to: A) positively influence consumer behavior. B) dramatically lower marketing costs. C) significantly raise product prices. D) eliminate competitors. E) expand market presence.

A) positively influence consumer behavior.

Political parties/candidates are MOST likely to use the Wheel of Consumer Analysis as a tool to change:

A) society

Products, brands, packaging, advertisements, coupons, stores, credit cards, price tags, salespeople's communications, and, in some cases, sounds (music), smells (perfume), and other sensory cues are examples of _____ used in marketing strategy. A) stimuli B) sales promotions C) atmospherics D) overt influences E) covert influences

A) stimuli

Describe the relationship between the three elements of the Wheel of Consumer Analysis using an example.

As the three elements are interconnected as a reciprocal system, any of the elements can be either a cause or an effect of a change at any particular time. The following examples illustrate instances of how they interact with each other. A consumer sees an ad for a new laundry detergent that promises to clean clothes better than Tide. This ad changes what the consumer thinks about the new brand and leads to a purchase of it. In this case, a change in the consumer's environment (the ad for the new detergent) led to a change in cognition (the consumer believed the new detergent was better), which led to a change in behavior (the consumer bought the new brand). In a different scenario, a consumer receives a free sample of a new liquid detergent in the mail, tries it out, likes it, and then purchases it. In this case, a change in the consumer's environment (the free sample) led to a change in behavior (use and purchase), which led to a change in the consumer's affect and cognition (liking the new brand). Students might present varied examples.

Consumer analysis may be used to analyze all of the following

B) a target market. C) consumers of an industry's product. D) an entire society. E) individual consumers.

As a result of the reciprocal nature of the consumer process, all of the following can be deduced

B) any of the three elements of consumer analysis may be a starting point for analysis. C) consumers can continually change. D) consumer analysis may be conducted at any level of aggregation. E) the use of consumer research and analysis in developing marketing strategies becomes important.

Successful marketing strategies are based upon an accurate understanding of the _____ of/ for both the companies and the competitors. A) advertorial campaigns B) consumer-product relationships C) price ranges D) marketing psychology E) financial strength

B) consumer-product relationships

Which of the following is overt in nature?

Behavior

_____ refers to the physical actions of consumers that can be directly observed and measured by others.

Behavior

Why is behavior of unique and critical concern to the marketer?

Behavior is observable (overt). As the only element of consumer marketing activity that DIRECTLY contributes to sales and profits, behavior is obviously the critical factor in marketing. The marketer continually seeks to influence behavior through impacting consumer affect and cognition, monitors the behavioral results of those efforts, and adjusts if necessary.

Consumer research includes the following types of studies EXCEPT A) advertising pretests. B) sales promotion effects. C) cost-benefit analysis. D) traffic and shopping patterns. E) test marketing.

C) cost-benefit analysis.

In studying marketing strategy, the marketer is most interested in: A) techniques for repositioning his/her product B) expanding distribution C) identifying those consumer variables that impact the success of a marketing strategy D) expanding the scope/use of marketing research E) improving marketing strategies corresponding to popularity ratings.

C) identifying those consumer variables that impact the success of a marketing strategy

Production and sale of shoes that vary in design, features, and price to appeal to groups of consumers that are similar in some ways, could be explained through:

C) market segmentation.

The change in societal attitudes toward smoking demonstrates: A) that cigarette manufacturers can create needs. B) that consumers do not trust advertisements. C) that political/health activists well understand the use of marketing tools. D) that smoking is the only cause of cancer. E) that lawyers are willing to donate their services for the public good.

C) that political/health activists well understand the use of marketing tools.

_____ refers to the mental structures and processes involved in thinking, understanding, and interpreting stimuli and events.

Cognition

Why is cognition important to marketers?

Cognition includes the knowledge, meanings, and beliefs that consumers have developed from their experiences and stored in their memories. It also includes the processes associated with paying attention to and understanding stimuli and events, remembering past events, forming evaluations, and making purchasing decisions and choices. Although many aspects of cognition are conscious thinking processes, others are essentially automatic. Marketers often try to increase consumers' attention to products and their knowledge about them. This could lead to greater chances of the consumers buying the product.

BRIEFLY describe the two mental processes that determine consumer perception

Consumer affect and cognition refer to two types of mental responses that consumers exhibit towards stimuli and events in their environment. Affect refers to their feelings about stimuli and events, such as whether they like or dislike a product. Affective responses can be favorable or unfavorable and vary in intensity. Cognition refers to the mental structures and processes involved in thinking, understanding, and interpreting stimuli and events

Why is consumer behavior a reciprocal system?

Consumer behavior is the result of interactions between affect, cognition, behavior, and the environment. Affect and cognition can change consumer behavior and environments. Behavior can change consumers' affect, cognition, and environments. Environments can change consumers' affect, cognition, and behavior. Any of these elements may be a cause or an effect. By definition, reciprocal systems are dynamic, difficult to understand, and fluid

_____ includes many types of studies, such as test marketing, advertising pretests, sales promotion effects, analysis of sales and market share data, pricing experiments, traffic and shopping patterns, surveys, and many others.

Consumer research

Successful marketing strategies can result from all of the following EXCEPT: A) correctly identifying the target market. B) understanding consumer-product relationships for the firm's customer. C) understanding consumer-product relationships for customers of competitors. D) increasing the annual budget for the advertisements. E) creating an advantage over competitive offerings.

D) increasing the annual budget for the advertisements.

T/F: A consumer receives a free sample of a new liquid detergent in the mail, tries it out, likes it, and then purchases it. In this case, a change in the consumer's cognition led to a change in behavior, which led to a change in the consumer's environment

False

T/F: Consumer analysis is the "hub" or center of the Wheel of Consumer Analysis

False

T/F: Consumer environment excludes other physical stimuli, such as stores, products, advertisements, and signs, that can change consumers' thoughts, feelings, and actions.

False

T/F: Consumer research and analysis becomes redundant when a strategy has been implemented.

False

T/F: In the Wheel of Consumer Behavior, cognition refers to their feelings about stimuli and events, such as whether they like or dislike a product

False

T/F: Marketers analyze that the company offering superior quality is one way of influencing consumer affect.

False

T/F: One implication of viewing consumer processes as a reciprocal system is that consumer analysis can be used to analyze only groups of consumers that make up a target market.

False

T/F: Shopping at stores or on the Internet, buying products, and using credit cards are all examples of consumer affect.

False

T/F: The Wheel of Consumer Analysis is a tool that is only capable of identifying the changes in the environment, cognition and affect, and behavior that interact to create changes in societies in general.

False

T/F: The first implication of viewing consumer processes as a reciprocal system is that any analysis of consumers must consider all three elements as separate entities with exclusive influences on consumer behavior

False

T/F:Attitude refers to the mental structures and processes involved in thinking, understanding, and interpreting stimuli and events.

False

T/F:Once the marketer has successfully effected a change, he/she can be assured that the change will be permanent

False

Briefly define "marketing strategy" and discuss its creation/role?

Marketing strategy is a set of planned stimuli created and placed in the environment in an effort to influence, affect, cognition, and/or behavior. Strategy must be based on consumer research/analysis, carefully implemented, continually monitored, and modified as needed. As the hub of the Wheel of Consumer Analysis, strategies must be designed not only to influence consumers, but to be influenced by them. Thus, marketing strategies should be developed, implemented, and changed based on consumer research and analysis.

Briefly describe the levels of consumer analysis.

The Wheel of Consumer Analysis is a flexible tool and hence consumer research and analysis can be conducted at several different levels. Societies: Changes in what a society believes and how its members behave can be analyzed with the Wheel of Consumer Analysis. Industries: It can be used to analyze the relationships of a company and its competitors with consumers in specific industries. Market segments: It can be used to analyze groups of consumers who have some similarity in cognition, affect, behavior, and environment. Individual Consumers: The Wheel of Consumer Analysis can be used to analyze the consumption history, a single purchase, or some aspect of a purchase for a specific consumer.

What is the implication of the consumer environment, to marketers?

The consumer environment refers to everything external to consumers that influences what they think, feel, and do. It includes social stimuli, such as the actions of others in cultures, subcultures, social classes, reference groups, and families, that influence consumers. It also includes other physical stimuli, such as stores, products, advertisements, and signs, that can change consumers' thoughts, feelings, and actions. The consumer environment is important to marketing because it is the medium in which stimuli are placed to influence consumers. For example, marketers run commercials during TV shows that their target markets watch to inform, persuade, and remind them to buy certain products and brands.

Describe the relationship between consumer analysis and strategy development.

Though there is no single right sequence, the logical sequence is to first research and analyze what consumers think, feel, and do relative to a company's offerings and those of competitors. In addition, an analysis of consumer environments is called for to see what factors are currently influencing them and what changes are occurring. Based on this research and analysis, a marketing strategy is developed that involves setting objectives, specifying an appropriate target market, and developing a marketing mix (product, promotion, price, place) to influence it. After the target market has been selected based on careful analysis of key differences in groups of consumers, marketing strategies involve placing stimuli in the environment that hopefully will become part of the target market's environment and ultimately influence its members' behavior. Consumer research and analysis should not end when a strategy has been implemented, however. Rather, research should continue to investigate the effects of the strategy and whether it could be made more effective.

T/F: Behavior is critical for marketing strategy because only through behavior can sales be made and profits earned

True

T/F: Consumer behavior is also called overt behavior to distinguish it from mental activities, such as thinking, that cannot be observed directly.

True

T/F: The Wheel of Consumer Analysis can be used to analyze the relationships of a company and its competitors with consumers in specific industries

True

T/F: The consumer environment refers to all external forces that exert influence upon what consumer's think, feel, and do

True

T/F: Wheel of Consumer Analysis can be used to analyze the consumption history, a single purchase, or some aspect of a purchase for a specific consumer

True

T/F:Liking McDonald's french fries or disliking Bic pens are examples of affective responses.

True

Discuss the implications of viewing consumer analysis as a reciprocal system.

Viewing consumer processes as a reciprocal system involving affect and cognition, behavior, and the environment has five implications. First, any comprehensive analysis of consumers must consider all three elements and the relationships among them. Second, any of the three elements may be the starting point for consumer analysis. Third, because this view is dynamic, it recognizes that consumers can continuously change. Fourth, although our example focused on a single consumer, consumer analysis can be applied at several levels. Finally, this framework for analyzing consumers highlights the importance of consumer research and analysis in developing marketing strategies.

A consumer, dissatisfied with his or her current brand of laundry detergent, selects one that promises to get white clothes whiter. In this example, a change in _____ led to a change in the consumer's environment, which led to a change in _____.

affect; behavior

The development of successful marketing strategies requires research into and analysis of all of the following

consumer affect, consumer cognition, consumer behavior, consumer competition

Physical stimuli such as stores, products, advertisements, and signs, that can change consumers' thoughts, feelings, and actions are example of _____.

consumer environment

all of the following are elements of affect

emotions, moods, feelings, attitudes

A consumer sees an ad for a new laundry detergent that promises to clean clothes better than Tide. This ad changes what the consumer thinks about the new brand and leads to a purchase of it. In this case, a change in the consumer's _____ led to a change in cognition.

environment

A _____ is a set of stimuli placed in consumers' environments designed to influence their affect, cognition, and behavior.

marketing strategy

From a consumer analysis point of view, a(n) _____ is a set of stimuli placed in consumers' environments designed to influence their affect, cognition, and behavior

marketing strategy

A comprehensive consumer analysis

must continuously monitor changes in all three elements of the consumer process

Although many marketing strategies are designed to influence consumers' affect and cognition, these strategies must ultimately result in _____ consumer behavior to have value for the company.

overt

In a ___ system, each system element can be either a cause or an effect of a change at any particular time

reciprocal

While consumer analysis may begin with any element of the process, it is assumed that marketers TEND to start with an analysis of

specific overt behaviors needed to achieve objectives.

the study of cognition includes an analysis of the processes associated with all of the following

stimuli & events, remembering past events, forming evaluations, making purchasing decisions and choices

T/F: The consumer environment is important to marketing because it is the medium in which stimuli are placed to influence consumers

true

T/F:Essentially, marketing strategies are introduced into an environment in an attempt to influence consumers

true