chapter 16: alternative evaluation and selection

usage situation

he situation in which a product or service is used

attitude based

-brand loyalty -low involvement -recalling attitudes -general emotional feeling -restaurants, concerts, where to vacation, artwork, jewelry -emotions -evaluate now & consumer later -time between =planning, packing -holistic processing "i like that" "how would this make me feel"

attribute based

-ideal point model, weighted average model

non-compensatory models

-used for nominal & limited decision making (more common in market place than compensatory) -combine by attribute or combine by brand 1. lexicographic 2. elimination by aspects 3. conjunction 4. disjunctive

once you have used your evaluative criteria, must combine information to evaluate further

1. compensatory-- good performance on one criteria can make up for bad performance (average out) -high involvement -less used in marketplace ex: weighted average 2. non-compensatory-- good performance does NOT make up for bad performance

bounded rationality

a limited capacity for processing information

instrumental motives

activate behaviors designed to achieve a second goal

surrogate indicator

an attribute used to stand for or indicate another attribute

rational choice theory

assumes a number of things about consumer choice that often are not true -assumption 1: consumers seek out ONE optimal solution to a problem and choose on that basis -assumption 2: consumers have the skill and motivation to find the optimal solution -assumption 3: the optimal solution does not change as a function of situational factors, such as time pressures, task definition, or competitive context

situational influences on consumer choice

compromise effect--- your evaluation of the middle choice will go UP with two other options (a low and a high option) ex: evaluating apartments to live in

non compensatory decision rules

conjunctive, disjunctive, elimination-by-aspects, lexicographic -b/c very good performance on one evaluative criterion cannot compensate for poor performance on another evaluative criterion

disjunctive decision rule

establishes a minimum level of performance for each important attribute -all brands that meet or exceed the performance level for ANY key attribute are acceptable

conjunctive 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 -any criterion that fall below the minimum standards eliminate the whole product being evaluated

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 -little external search of information -nominal and limited decision making -when information is hard to find or access -when consumers face time pressures

affective choice

more holistic;focused on the way the product will make the consumer feel as they use it; evaluation of product based on the immediate emotional response -"how do i feel about it" -consumers picture using the product based o underlying motives (more likely when consummatory not instrumental) marketers should: -show how you feel while using the product and after using the product -show products that provide an emotional response

evaluative criteria

objective/subjective few in # (6 or less) surrogate criteria -rely on observing to replace what you cannot directly know -ex: price used for quality -ex: brand name used as surrogate -ex: country of origin to evaluate shoes, electronics

blind test

one in which the consumer is not aware of the products brand name

prospect theory

people are more sensitive to losses than to gains =psych value is much greater -when consumers gain, they become cautious -when consumers lose, they are more willing to take risks -the same decision can be perceived as a gain or a loss ex: "buy lean ham" vs. "buy fat ham" these are the same, but people choose "lean", more likely to choose the one framed as a GAIN -ex: "with this operation, you have a 90% chance of life" "w/o this operation, you have 10% of death" people like to hear the positively framed one-GAIN -marketers should get consumers back to the "X" and psych value will be more of a gain -people prefer getting free stuff vs. getting discount, even if the value saved is equal

metagoal

refers to the general nature of the outcome being sought

lexicographic decision rule

requires the consumer to rank the criteria in order of performance -then selects the brand that performs BEST on the most important attribute -"i want to get the brand that does best on the attribute of most importance to me"

elimination-by-aspects decision rule

requires the consumer to rank the evaluative criteria in terms of their importance and to establish a cutoff point for each criterion -all brands are first considered on the most important criteria -those that do not meet or exceed the cutoff point are dropped from further consideration

attribute-based choice

requires the knowledge of specific attributes at the time the choice is made and involves attribute-by-attribute comparisons across brands -effortful and time consuming -high purchase involvement -good for product with strong attributes, but lack good reputation in the market -brand-by-attribute matrix=easy-to-process format -focus on specific features

conjunction (non-compensatory, by brand)

select the brand that meets or exceeds ALL minimum standards

disjunctive (non-compensatory, by brand)

select the brand that meets or exceeds ANY minimum standard -the least discriminating model

elimination by aspects (non-compensatory, by attribute)

select the brand that meets or exceeds the minimum standard on the most important attribute

lexicographic (non-compensatory, by attribute)

select the brand that performs the best on the most IMPORTANT criteria

competitive context

the lower the variance across competing brands on a given evaluative criterion, the less influence it is likely to have in the decision process

sensory discrimination

the ability of an individual to distinguish between similar stimuli

evaluative criteria

the various dimensions, features, or benefits a consumer looks for in response to a specific problem -associated with desired benefit(s) -tangible (cost and performance features) vs. intangible (style, taste, prestige, feelings generated, brand image)

consummatory motives

underling behaviors that are intrinsically rewarding to the individual involved