Chapter 5, Consumer and Buyer Behavior

Homeostasis

A tendency to maintain a balanced or constant internal state; the regulation of any aspect of body chemistry, such as blood glucose, around a particular level we are motivated to maintain homeostasis

the placebo effect

The placebo effect vividly demonstrates the role that expectations play on our feelings, thoughts, and behaviors. This term refers to the well-documented tendency for your brain to convince you that a fake treatment is the real thing—and thus a sugar pill or other placebo can actually reduce pain, treat insomnia, and provide other benefits.

sentiment analysis

a technique that allows marketers to analyze data from social media sites to collect consumer comments about companies and their products

hedonic consumption

multisensory, fantasy, and emotional aspects of consumers' interactions with products

strategies to increase product involvment

1. mass customization 2. DIY (the IKEA Effect) 3. Co-creation 4. gamification

perceived risk

As a rule, product decisions are likely to be highly involving if the consumer believes there is a lot of perceived risk. This means the person believes there may be negative consequences if he or she chooses the wrong option. Risk is greater when a product is expensive or complicated.

approach-approach conflict

Conflict that results from having to choose between two attractive alternatives

avoidance-avoidance conflict

Conflict that results from having to choose between two distasteful alternatives

negative state relief model

Helping others as a way to resolve one's own negative moods is known as negative state relief.

hierarchy of needs

Maslow's pyramid of human needs, beginning at the base with physiological needs that must first be satisfied before higher-level safety needs and then psychological needs become active Physiological—"I eat what I grow." • Safety—"I feel safe in the garden." • Social—"I can share my produce with others." • Esteem—"I can create something of beauty." • Self-actualization—"My garden gives me a sense of peace."

happiness economy

Proponents of a happiness economy claim that well-being is the new wealth, and social media technology is what allows us to accumulate it.

sadvertising

Recently we've seen a trend in advertising toward inspirational stories that manipulate our emotions like a roller-coaster: Think about the commercials Budweiser ran during SuperBowls about a puppy who befriends a horse, gets lost, finds his way home, and so on. This practice even has a name: sadvertising.

product involvement

a consumer's level of interest in a particular product

emotional oracle effect

a finding reported by researchers that people who trust their feelings are able to predict future events better than those who do not The likely reason is that those with more confidence were better able to access information they had learned that could help them make an informed forecast

happiness

a mental state of well-being characterized by positive emotions

envy

a negative emotion associated with the desire to reduce the gap between oneself and someone who is superior on some dimension

lovemark

a passionate commitment to one brand whether in the case of the hottest new Apple iPhone, a Justice shirt, or even a pricey university

involvement

a person's perceived relevance of the object based on their inherent needs, values, and interests

embarressment

an emotion driven by a concern for what others think about us

guilt

an individual's unpleasant emotional state associated with possible objections to his or her actions, inaction, circumstances, or intentions

retail therapy

apparently the act of shopping restores a sense of personal control over one's environment and as a result can alleviate feelings of sadness.

expectancy theory

apparently the act of shopping restores a sense of personal control over one's environment and as a result can alleviate feelings of sadness. we have a drive to do what is expected

evaluations

are valenced (i.e., positive or negative) reactions to events and objects that are not accompanied by high levels of physiological arousal.

brand loyalty

consistent preference for one brand over all others ex. apple over android

inertia

describes consumption at the low end of involvement, where we make decisions out of habit because we lack the motivation to consider alternatives.

situational involvement

describes engagement with a store, web site, or a location where people consume a product or service That's why some fans who attend Atlanta Falcons football games get visited by a cheerleader in the stands for a photo op, and also why Chrysler is ramping up its efforts to get people to test drive cars at dealerships and auto shows.

need for affiliation

desire to associate with others, to be part of a group, to form close and intimate relationships

drive theory

focuses on biological needs that produce unpleasant states of arousal ex. your stomach growls during a morning class

word-phrase dictionary

in sentiment analysis, a library that codes data so that the program can scan the text to identify whether the words in the dictionary appear

moods

involve temporary positive or negative affective states accompanied by moderate levels of arousal

cult products

items that command fierce consumer loyalty and devotion ex. Eagles, Apple

incidental brand exposure

motives that can lurk beneath the surface and cues in the environment that can activate a goal even when we don't know it ex. People in a room who were exposed to a sign of the brand name "Apple" provided responses on an unrelated task that were more unique compared to those who saw a sign with the IBM brand name

affect

our decisions are driven by our emotional responses to products. Social scientists refer to these raw reactions as affect. That explains why so many marketing activi-ties and messages focus on altering our moods or linking their products to an affec-tive response, although different types of emotional arousal may be more effective in some contexts than others.

Strategies to increase situational involvement:

personalization high-tech subscription boxes

message involvement

properties of the medium and message content that influence a person's degree of engagement with the message Print is a high-involvement medium (whether it appears on a "dead tree" or in an e-book). The reader actively processes the information and (if desired) he or she is able to pause and reflect on it before turning the page.73 In contrast, television is a low-involvement medium because it requires a passive viewer who exerts relatively little control (remote-control "zipping" notwithstand-ing) over content

mood congruency

refers to the idea that our judgments tend to be shaped by our moods. For example, consumers judge the same products more positively when they are in a positive as opposed to a negative mood. This is why advertisers attempt to place their ads after humorous TV programming or create uplifting ad messages that put viewers in a good mood.

motiation

refers to the processes that lead people to behave as they do.

emotions

such as happiness, anger, and fear tend to be more intense and often relate to a specific triggering event such as receiv-ing an awesome gift.

variety-seeking

the desire to choose new alternatives over more familiar ones opposite of brand loyalty!

need for power

the extent to which an individual desires to control or influence others

material accumulation

the instinct to earn more than we can possibly consume, even when this imbalance makes us unhappy

theory of cognitive dissonance

theory based on the premise that a state of tension is created when beliefs or behaviors conflict with one another; people are motivated to reduce this inconsistency (or dissonance) and thus eliminate unpleasant tension

alternate reality games (ARGs)

thousands of people participate in a fictional story or competition to solve a mystery

need for uniqueness

to assert one's individual identity

narrative transportation

where people become immersed in the storyline One study showed that people who are feeling lucky engage in this process when they look at an advertisement for a lottery; once immersed, it is hard to distract them from the message.76 Not a great thing for compulsive gamblers, but a powerful effect nonetheless.