Marketing Final (Alternative Evaluation & Selection)

Consummatory motives

Underlie behaviors that are intrinsically rewarding to the individual involved Affective Choice

Non-Compensatory

A high level of one attribute cannot offset a low level of another (e.g. Even though an apartment is close to campus, you still aren't going to pay $700 a month)

What is bounded rationality?

A limited capacity for processing information

Assumptions under the Rational Choice Theory

1. Consumers seek one optimal solution to a problem and choose on that basis 2. Consumers have the skill and motivation to find the optimal solution 3. The optimal solution does not change as a function of situational factors such as time pressure, task definition, or competitive context

Instrumental motives

Activate behaviors designed to achieve a second goal "Olay" ad for wrinkle face cream

Ad showing a Sierra Mist trying to get consumers to imagine the pleasure they would get from drinking the product.

Affect-based

Types of Consumer Choice Processes

Affective Choice, Attitude-Based Choice, Attribute-Based Choice

Which of the following tends to be more holistic in nature, and the brand is not decomposed into distinct components that are evaluated separately from the whole?

Affective choice

Surrogate Indicator

An attribute used to stand for or indicate another attribute (e.g. use price to stand for quality)

The lower the motivation to make an optimal decision, the more likely an ____ _____ choice will be made.

Attitude based

Joseph is considering the purchase of a computer, and he is comparing brands on the basis of price, memory, speed, and reliability. He mentally ranks each alternative on these attributes and makes a selection based on these rankings. Joseph is using which type of choice process?

Attribute-based choice

All are non-compensatory rules except for

Compensatory Rule

Decision Rules for Attribute-Based Choices

Conjunctive Rule Disjunctive Rule Elimination-by-Aspects Rule Lexicographic Rule Compensatory Rule

Lexicographic Decision Rule

Consumer ranks the criteria in order of importance Then selects brand that performs best on the most important attribute If two or more brands tie, they are evaluated on the second most important attribute. This continues through the attributes until one brand outperforms the others.

Compensatory

Consumers average across attribute levels. This allows a high level of one value to offset a low value of another.

Which of the following is NEVER a type of a consumer choice process? a. affective choice b. attitude-based choice c. rational choice d. a and b e. all of the above are types of consumer choice processes

E. All of the above are types of consumer choice processes

Disjunctive Rule

Establishes a minimum level of performance for each important attribute (often a fairly high level that sets the performance standard very high and makes it hard for a brand to attain) All brands that meet or exceed the performance level for any key attribute are considered acceptable "I'll consider all (or buy the first) brands that perform really well on any attribute I consider important."

Conjunctive Rule

Establishes minimum required performance standards for each evaluative criterion and selects the first or all brands that meet or exceed these minimum standards "I'll consider all brands that are acceptable on the attributes I think are important." where each attribute is given a minimum number. Any brand falling below any of these minimum standards (cutoff points) would be eliminated from further consideration

Map for Alternative Evaluation & Selection for Attribute Based Choices

Evaluate criteria, Importance of criteria, and Alternatives considered LEAD TO Evaluation of alternatives on each criterion LEADS TO Decision rules applied LEADES TO Alternative selected

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 Focuses on brand, overall performance, and image

Affective Choice

Looks at two cameras: one is sleek, modern, and cool. The other one seems to boring and bland for her so she chooses the first one because she thinks about how good of an impression she would make taking pics at a wedding or party. More holistic in nature (looked at as a whole) The brand is not decomposed into distinct components The evaluation of products is focused on how they will make the user feel and is based on immediate emotions

What does "Alternative Evaluation & Selection" come after in the Consumer Decision Making Process?

Problem Recognition and Information Search

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 Those that do not meet or exceed the cutoff point are dropped (eliminated) from further consideration "I want to buy the brand that has a high level of an important attribute that other brands do not have."

Attribute-Based Choice

Requires the knowledge of specific attributes at the time the choice is made and involves attribute-by-attribute comparisons across brands Produces a more nearly optimal based decision

Compensatory Rule

States that the brand that rates highest on the sum of the consumer's judgments of the relevant evaluative criteria will be chosen

Sensory discrimination

The ability for an individual to distinguish between similar stimuli (e.g. taste of food products, the clearness of a screen, sound of stereo systems)

What is an alternative metagoal?

The general nature of the outcome being sought

Evaluative criteria are typically associated with

desired benefits Ex) Consumers want fluoride (evaluative criteria) in their toothpaste to reduce cavities (benefit)

The type of evaluate criteria a consumer uses in a decision can be _____ or ______.

tangible (cost and performance features) or intangible (style, feelings associated, prestige, brand image)