MKTG 315 FINAL EXAM

Types of Reference Groups: Secondary

Group to which a consumer belongs whose contact is less frequent than that found in a primary group -Professional organizations and social clubs -Brand community: Group of consumers who develop relationships bas

Types of Reference Groups: Dissociative

Group to which a consumer does not want to belong -Considered a type of outgroup for a consumer

Guerrilla Marketing

Marketing of a product using unconventional means (usually non-digital) , ex: Oreo

Enculturation

Way people learn their native culture / learning one's own culture

Utilitarian Influence / Normative Influence

Ways in which a consumer conforms to group expectations in order to receive a reward or avoid punishment

Value-Expressive Influence

Ways in which a consumer internalizes a group's values or the extent to which consumers join groups in order to express their own closely held values and beliefs (to project self-image)

Informational Influence

Ways in which a consumer uses the behaviors and attitudes of reference groups as information for making his or her own decisions

Consumer ethnocentrism

is a belief among consumers that their ethnic group is superior to others and that the products that come from their native land are superior to other products.

Best Buy Psychographic Segments

"Jill": busy suburban mom who buys electronics for family "Buzz": focused, active younger male interested in buying latest gadgets "Ray": family man who likes his technology practical "BB4B (Best Buy for Business)": small employer "Barry": affluent professional male who'll drop tens of thousands of dollars on a home theater system Five psychographic segments served by Best Buy. They represent the five prototypical customer types for Best Buy. Staff received training on the two most dominant customer types who patronize each of its outlets.

Public Luxury

(Jewelry, country club) Strong group influence for product selection; strong group influence for brand selection

Private Luxury

(Pinball machine, expresso maker) Strong group influencer for product selection; weak group influence for brand selection

Private Necessity

(microwave oven, sock) Weak group influencer for product selection; weak group influence for brand selection

Public Necessity

(shoes, cars) Weak groups influence for product selection; strong group influence for brand selection.

Approaches to Personality: State Approach

-Understands the individual in the context of the whole -Predicts what a person will do in a given situation -Limitation: Examines individuals, not groups or market segments Another way of looking at State vs. Trait: -A state is situation dependent - can change, ex: Happiness -A trait is characteristic of the individual and is consistent across situations, ex: Pessimism Idiographic Perspective: Focuses on understanding the complexity of each individual consumer

Using the Fishbein Model or ATO Approach for Attitude Change and Persuasion

1. Change Bi. Marketers can communicate to consumers that the brand no longer has a negative attribute consumers believe it to have or possesses a positive attribute of which they are unaware, ex: Hyundai Genesis or Uber Moving Forward 2. Change Ei. Marketers can convince consumers to reassess their evaluation of a particular attribute (ex: the importance of an attribute) of a brand, ex: Subaru - Importance of safety 2015 commercial 3. Add a new Bi/Ei combination. Marketers can introduce a new, often unexpected, attribute to increase the overall attractiveness of their brand, ex: Make-up with skin benefits or Pasta with new ingredients or Smart Watch with Fall Detection Change beliefs bi—Marketers can change a consumer's belief about an attribute. For example, if consumers think the cost of a Mercedes is beyond their budget, an ad can promote that the new model Mercedes is "affordable." Change evaluation ei—Marketers can change a consumer's evaluation of an attribute. For example, Listerine tastes bad (negative evaluation of taste) because it is hard working, making bad taste a positive attribute for a mouthwash. Add a new belief bi/evaluation eicombination—Marketers can introduce a new, often unexpected, attribute to increase the overall attractiveness of their brand, such as Magnavox's television that automatically adjusts to room lighting, energy efficient appliances Finally, one can decrease the competitors' higher ratings with comparative advertising

Beliefs: The Cognitive Component of Consumer Attitude

A consumer belief is a psychological association between a product or brand and an attribute or feature of that product or brand Beliefs are cognitive (based on knowledge) as opposed to affective (based on feelings) "Brand A has good value" "Brand A is less expensive than the competition" "Brand A is endorsed by celebrity x" "Brand A is a global brand"

Attitude

A learned predisposition to react in a consistently favorable or unfavorable manner with respect to a given object We have attitudes toward many things - people, products, advertisements, ideas, and more. For the most part, these attitudes have been learned and guide our behavior toward the object. This web link brings you to one of many sites that helps measure attitudes via online surveys Attitudes are important for behavior because people want to behave in a way that is consistent with their attitudes. They are the most researched topic in consumer research and social sciences. Consumers have a positive attitude towards products that deliver value --> Attitudes and value are closely related

Buzz Marketing

Focuses on generating excitement among consumers that spreads from consumer to consumer -Taboo, Surprise, Outrage/Controversy, Humor, Remarkable Intelligence, Secret -Usually uses Social Media and Brand Ambassadors -Stealth Marketing if payment/sponsorship by the brand is hidden

Types of Reference Groups: Aspirational

Group in which a consumer desires to become a member -Group membership appeals to the consumer's ideal self

idiographic perspective

The idiographic perspective focuses on the total person and the uniqueness of his psychological makeup. Attention is not placed on individual traits or how they can be studied across multiple consumers. Rather, the focus is on understanding the complexity of each individual consumer.

Crescive Norms: 2.Mores

The mores of a culture most often are tied to the moral standards of a culture Marketers must ask what the role of culture is in influencing individual and organizational ethical decision-making practices Ex: Bribery

Psychographics

The way consumer lifestyles are measured Quantitative investigation of consumer lifestyles Involves surveying consumers using: -AIO (Activities, Interests, and Opinions) Personality traits and the self-concept -Value systems Often combined with demographics and geographic information Used to define target markets, position products, design communication strategies, and develop overall strategy

Types of Reference Groups: Formal

Group in which a consumer formally becomes a member -Includes an application process, a set of stated rules, accepted values, and norms or codes of conduct that members are expected to adhere to

Types of Reference Groups: informal

Group that has no membership or application requirements, and codes of conduct may be nonexistent -Groups that meet regularly to exercise, have coffee, or go to sporting events

Types of Reference Groups: Primary

Group that includes members who have frequent, direct contact with one another Have the most influence on their members

Intentions: The Behavior Component of Consumer Attitude

- Problem: Lack of relationship between Attitude and Behavior! --> Behavioral Intentions - Behavioral Intentions (BI) describes attitude not toward a brand but toward brand purchase and, as such, is a far better predictor of behavior than either beliefs or affective responses - Extended Fishbein Model = Theory of Reasoned Action (ToRA) or Behavioral Intentions Model: Martin Fishbein and Icek Ajzen (1975) Marketing managers and researchers alike realize that just because a consumer has a positive attitude toward a product does not mean that he will always purchase the product. Attitude-behavior consistency refers to the extent to which a strong relationship exists between attitudes and actual behavior. Because attitudes don't always predict behavior, other approaches, including the behavioral intentions model, have been developed to improve upon the ATO approach. Although attitude models are very popular in consumer research, researchers note that a number of factors can detract from the accuracy of this approach: As the length of time between attitude measurement and overt behavior grows, the predictive ability of attitudinal models weakens. The specificity with which attitudes are measured also has an impact on accuracy. Strong environmental pressures can also keep consumers from performing intended behaviors. Attitude-behavior models tend not to perform very well in impulse-buying situations.

Affect: The Emotive Component of Attitude

-Affect is the way we feel in response to marketplace stimuli such as brands -Unlike belief, affect is emotive rather than cognitive in nature -Affect is made up of beliefs plus the way we feel about or evaluate those beliefs "I feel good about consuming Brand A", ex: Toms shoes "I feel smart when I purchase Brand A at a good price", ex: Generic medicine "I feel trendy for having Brand A", ex: Apple

Fear Appeals

-Grab Attention -Fear Appeals are most effective at moderate levels: they are ineffective at low levels and they cause perceptual defense at high levels Advertisers frequently attempt to evoke some level of fear in the target audience as a means of changing attitudes and behaviors. These ads often rely on the relationship between a threat and fear. The product being advertised is often promoted as a type of solution that will remove the threat. As an overall statement, fear appeals appear to be effective when they: Introduce the severity of a threat Present the probability of occurrence Explain the effectiveness of a coping strategy Show how easy it is to implement the desired response Fear appeals attract attention, and thus increase interest. The relationship between fear and persuasion is curvilinear: extremely low and high levels of fear appeals are less persuasive than moderate levels. For example, smokers are likely to act defensively to graphic, high-intensity ads. Additional research found that while teenagers did not feel vulnerable to the health effects of smoking, they were persuaded by anti-smoking messages that stressed smoking as a barrier to being "cool," physical attractiveness, and life savvy.

Word-of-Mouth (WOM)

-Information about products, services, and experiences that is transmitted from consumer to consumer -Negative word-of-mouth is more influential than positive word-of-mouth Consumers tend to tell more people about unsatisfactory experiences than pleasing ones -Satisfied consumers tend to spread positive WOM Value: More value that consumers receive, the more they tend to tell others about their experiences with products and services

High Context

-Infromation resides in context -Emphasis on background, basic values, societal status -Less emphasis on legal paperwork -Focus on personal reputation Saudi Arabia, Japan

Low Context

-Messages are explicit and specific -Words carry all information -Reliance on legal paperwork -Focus on non-personal documentation of credibility Switzerland, United States, Germany

Sex Appeals

-Overt sex appeals have been found to be ineffective in terms of product recall and evaluation -Romantic themes work more than focus on explicit sex -Controversial (objectification of women and men) / Risk of offending audiences Using sexual imagery in advertisements certainly is popular in many parts of the world. Moderate levels of nudity appear to be most preferred, as highly explicit content tends to direct attention away from the product. Overt sex appeals (such as nudity) have been found to be largely ineffective in terms of product recall, evaluation of the ad appeal, and product perceptions. Gender plays a role in advertising effectiveness regarding nudity. Finally, research also reveals that including a romantic theme (rather than focusing on the explicit pleasure of sex) may have positive benefits for marketers.

Balance Theory

-States that consumers are motivated to maintain perceived consistency in the relations found in a system --> Alter attitudes to maintain consistency -Based on the Consistency Principle: human beings prefer consistency among their beliefs, attitudes, and behaviors Triad Attitude Structures: Person Perception of Attitude Object Perception of other Person/Object Balance theory considers how a person perceives relations among different attitude objects, and how s/he alters her/his attitudes so that these remain consistent (or "balanced"). This perspective involves relations among three elements, so we call the resulting attitude structures triads. Each triad contains (1) a person and his perceptions of (2) an attitude object, and (3) some other person or object. The theory specifies that we want relations among elements in a triad to be harmonious. If they are unbalanced, this creates tension that we are motivated to reduce by changing our perceptions in order to restore balance. To see how balance theory works, consider this scenario. Alex wants to date Larry; Alex has positive sentiment toward Larry. Larry wears an earring; Larry has positive attitude toward earring. Alex doesn't like men who wear earrings and has negative sentiment toward earrings. Alex will now feel pressure to restore balance by altering the triad. She can decide she doesn't like Larry or that she really does like earrings on men. She might try to negate the relationship between Larry and the earring. The theory doesn't say what specific route Alex will take but it does explain that she will do something to restore balance.

Hierarchy of Effects and ABC Approach

-Suggests that affect (A), behavior (B), and cognitions (C) form in a sequential order -Follow one of four hierarchies: High-Involvement: C-A-B - Need to think through the purchase Low-Involvement: C-B-A - Basic beliefs without strong feelings Experiential: A-B-C - Impulse purchases or purchases based on feelings Behavioral Influence: B-C-A - Some purchases occur without strong beliefs or affect

Attitude Components: The ABC Approach

A: Affect or Feelings about an object C: Cognitions or Beliefs that the consumer has about the object B: Behavior that consumers exhibit as well as their intentions to behave Attitudes incorporate knowledge and assist consumers in making decisions. For example, knowledge that gas prices are up change consumer attitudes towards long drives, frequent trips, and good mpg cars --> to save on gas.

Reward Power

Ability to provide desired rewards, ex: Sports Scholarship s related to the ability of the group to provide desired rewards. These can be in the form of praise, approval, public recognition, or even monetary gains (jobs...) ex: AMA, Sports Team for Scholarship...

Coercive power

Ability to punish or sanction, ex: Social Sanctions, Negative Peer Pressure is the opposite of reward power. It is held by someone who has the ability to punish. ex: Family or members of society who have the power to punish individuals through "Sanctions" if they do not conform to cultural norms

Attitude-Toward-the-Object (ATO) or Fishbein Model

Ao = Attitude toward the object in question bi = Strength of belief that the object possesses attribute i ei = Evaluation of the attractiveness or goodness of attribute i N = Number of attributes and beliefs -Known as compensatory model >Compensatory model: Low ratings for one attribute are compensated for by higher ratings on another Ao = attitude toward the object bi = Brand A is expensive (Attribute i = Price) ei = Expensive is bad given my resources m = number of salient or important attributes

Legitimate power

Associated to Authority; Set and Understood Rules/Agreements ex: Boss over Employees, Government Bodies (IRS) In many situations, social arrangements dictate that differing levels of power are de-pendent upon one's position in a group. Legitimate power is used to describe this type of power, and it is associated with authority. ex: Government (Traffic tickets, IRS...), boss...

Crescive Norms: 3.Conventions

Conventions are practices tied to the conduct of everyday life in various settings -Foods to be served in certain settings -Appropriate clothing to be worn -How to entertain guests and family -How respect is shown within a family or in business and other settings -Greetings, handshakes... Hugging and kissing: More prevalent in Latin America than here: less prevalent in Asia than here. Tipping at a restaurant is another example.

Using Core Societal Values

Core Societal Values Scoreboard -Explained using Geert Hofstede's Cultural Dimensions -Geert Hofstede is a Dutch sociologist who introduced 4 Cultural Dimensions in his Framework for Assessing Culture (1978). The fifth dimension "Long-Term Orientation" was added later, and more recently "Indulgence" was added as Dimension 6 -CSV scores for a country can be essential information for marketers appealing to consumers in another country

Crescive Norms: 1.Customs or Traditions

Customs are behaviors that have lasted over time Customs are often passed down in the family setting Gender roles, holiday or religious celebrations, and the types of ceremonies carried out within a society are examples

innovativeness

Degree to which an individual is open to new ideas and tends to be relatively early in adopting new products, services, or experinces onsumer innovativeness refers to the degree to which a consumer is open to new ideas and quick to adopt, buying new products, services, or experiences soon after they are introduced. Innovative consumers are also generally dynamic and curious, and they are often young, educated, and relatively affluent. Although researchers do not necessarily agree on the extent to which innovativeness is exhibited across product categories, a consumer with a strong degree of innovativeness may be expected to be innovative in a number of situations.

Need for cognition

Degree to which consumers enjoy engaging in efforful cognitive information processing refers to the degree to which consumers tend to engage in effortful cognitive information processing. Consumers who have a high degree of this trait tend to think carefully about products, problems, and even marketing messages. Research also indicates that the effect of humorous advertising is impacted by the need for cognition. Studies also indicate that the need for cognition trait influences consumers' reactions to ads with sexual content

Masculinity versus Femininity

Degree to which gender roles are clearly delineated. Value placed on being competitive, successful, assertive, aggressive vs. on nurturing and social responsibility high value is placed on such things as monetary gain, material possessions, competition, being successful, and being assertive and aggressive

Uncertainty Avoidance

Degree to which people feel threatened by ambiguous situations vs. cultural acceptance of ambiguity is the degree to which people feel threatened by ambiguous situations and have beliefs and institutions that help them to avoid this uncertainty. High uncertainty avoidance (a "certainty culture") is found in societies that have routinized behavior patterns, many rules and regulations, and low tolerance for new ideas or new ways to do things

Competitiveness

Enduring tendency to strive to be better than others The competitiveness trait may be defined as an enduring tendency to strive to be better than others. A competitive person is generally easy to identify; research reveals that the trait often emerges in the following ways: When a consumer is directly competing with others. When a consumer enjoys winning vicariously through the efforts of others. When a consumer attempts to display superiority over others by openly flaunting exclusive products, especially publicly visible products.

The Belief-Importance Model: Fishbein Model

Evaluation of Beliefs based on their Importance Allows for Comparison among Alternatives: Weighted Additive Rule in Alternative Evaluation Compensatory Decision Rule The belief-importance model is a modification of the Fishbein Model which examines brands in comparison to each other by identifying beliefs about a brand and the importance of those beliefs. Because it compares different brands, the belief-importance model is useful for positioning.

Long-Term Orientation

Extent to which a culture values long-term benefits over immediate reward. Confucian Dynamic values: persistence, hard work, thrift, future-orientation is the extent to which a culture has a future orientation. They tend to forgo immediate rewards for the long-term good. This is based on the Confucian Dynamic values such as persistence, hard work, thrift, shame, future-orientation, and dynamic mentality

Value consciousness

Extent to which consumers tend to maximize what they receive from a transaction as compared to what they give represents the tendency for consumers to focus on maximizing what is received from a transaction as compared to what is given. Research reveals that value consciousness is an important concept in consumer behavior. Value-conscious consumers can be expected to pay close attention to the resources that they devote to transactions and to the benefits that they receive.

Individualism versus Collectivism

Extent to which culture values the welfare of the individual versus that of the group he individual is the primary focus and development of the "private self" is encouraged. In contrast, collectivistic cultures emphasize the good of the group and emphasize society as a whole

Materialism

Extent to which material good have importance in a consumers life refers to the extent to which material goods are important in a consumer's life. Materialism is seen as consisting of three separate dimensions: Possessiveness—a tendency to retain control and ownership over possessions Nongenerosity—an unwillingness to share with others Envy—resentment that arises as a result of another's belongings and a desire to acquire similar possessions

Humor Appeals

Highly successful in grabbing attention and increasing interest --> cut through the clutter Create a positive mood and enhance attitudes High levels can detract attention from the product and decrease source credibility Marketers also frequently use humorous ads. One recent study confirmed that humorous ads can attract attention, create a positive mood, and enhance both attitude toward a brand and purchase intentions. However, humor appeals can also decrease the credibility of a message source. The overall effectiveness of a humorous ad depends, in part, on the characteristics of both the individual consumer and the advertisement. High levels of humor can cause consumers to fail to pay attention to the product being advertised, and high levels can also limit information processing.

Social Self-Image

How consumer feel others see them

Ideal Self-Image

How consumer would like to see themselves

Actual Self-Image

How consumers see themselves

Ideal Social Self-Image

How consumers would like others to see them

Message effects

How the appeal of a message and its construction affect persuasiveness -Fear Appeals -Humor Appeals -Sex Appeals

Referent power

Individuals identify with and admire this group, ex: Celebrities, Country Club, Rotary Club Exists when the one person identifies with and admires the qualities of another and tries to copy the referent's behavior. It's important to marketers because consumers voluntarily modify what they do and buy to identify with the referent. ex: Celebrities...

Fundamental Elements of Communication"Languages" of Culture: Nonverbal Communication

Information passed through some unspoken act Time Space and Distance Mannerisms/Gestures/Body Language Eye contact, arm gestured, hand shakes, greetings Symbols and Material Artifacts Unlucky numbers, physical items (Statue of Liberty, Christmas trees, furniture, clothing...) Aesthetics and Colors Color associations, what is considered beautiful 7 is unlucky in Ghana, Kenya, lucky in India and the Czech Republic; and 4 is unlucky in Japan and China. Number of flowers in a bouquet: If odd it's bad in China White: Identified with purity and cleanliness in the West, with death in parts of Asia Good Food Colors: Brown in China; Yellow in Japan and South Korea; Red in USA

Socialization

Involves learning through observation and the active processing of information about lived, everyday experience. The process takes place in a sequence something like this: Social interaction ⤅ Modeling ⤅ Reinforcement

Expert power

Knowledge and Expertise, ex: Physicians, American Heart Association accrues to a person who is an expert and has knowledge in a particular field. Due to their expertise, others will be influenced by them. ex: Physicians...

Consumer Lifestyles

Lifestyles: The ways consumers live and spend their time and money -Influence purchase patterns of consumption and behaviors People sort themselves into groups on the basis of things they like to do and how they spend their time and money -Useful in identifying viable market segments ex. living green. metrosexual

Cultural Orientation

Low-Context vs. High Context Cultures (Edward Hall 1976) Edward Hall: American Anthropologist Time Orientation of Cultures: Polychronic vs. Monochronic (1959)

Time Orientation

Monochronic Culture: Consumers are more comfortable doing one thing during a clock block of time, time is viewed as linear, high in punctuality (committed to the job, do not disturb others, high in privacy, promptness emphasized...) Polychronic Culture: People do two or more things at a time, time is viewed as cyclical, less punctual (cancel appointments, lateness, change plans, interruptions...)

Symbolic Consumption

One classification of product value and human needs is into: Utilitarian (solving a problem), experiential (having a hedonic sensory stimulating experience), and value expressive (expression of one's self): Symbolic consumption of brands is related to value-expressive needs.

the Big Five Psychological Personality Traits (Five Factor Model)

Openness vs. Dogmatism: Being curious, insightful, imaginative, original, and open to new experiences and diversity. Conscientiousness: Being organized, determined, responsible, and dependable. Extravesion vs. Introversion: Being outgoing, persuasive, and displaying leadership roles. Agreeableness: Being friendly, sympathetic, warm, kind, and good natured. Neuroticism vs. Stability: Being emotionally unstable, nervous, and anxious.

Word-of-Mouth Types

Organic: occurs naturally when consumers truly enjoy a product or service and they want to share their experiences with others. Amplified: occurs when marketers attempt to accelerate WOM in existing customer circles, or when they develop entirely new forums for WOM, like blogs or social media pages.

Brand Image

Overall vision or position of the brand in consumer's mind -Consumers give meaning to brands/products... -Consumers use brands that are related to forms of the self, which can express their own self-concept [Value Expressive Need] Personality-like traits associated with brands constitute: Brand Personality -Competitive, Strong, Reliable... EX. Nissan - Innovative "Innovation for all campaign" Volvo - Safe Maserati - Luxurious Brands also symbolize certain meanings and these meaning create the Brand image in the consumer's mind. We consume brands related to a form of the self -> it is important to understand Brand Image and Brand Personality (the meanings we give to brands)

Cultural Sanctions

Penalties associated with performing a nongratifying or culturally inconsistent behavior -Negative actions on the parts of members of the culture -When members of a culture do not conform to the norms (customs, mores, or conventions) of the society, they may be "sanctioned" -Avoidance, shunning, or banning, where individuals are not allowed to participate in various activities A consumer performing a culturally inconsistent act may be shunned or suffer banishment from a group. Ex: In the United States, depositing litter in a particular bin is a social norm. Someone littering on the roads would incur a cultural sanction that includes penalties.

Self-esteem

Positivity of the self-concept that one holds

body esteem

Positivity with which people hold their body image -Actual vs. Ideal Body Image (how people view their bodies, physical selves, appearance) -Cosmetic Surgery: Consumers are increasingly electing to have cosmetic surgery to change a poor body image or enhance appearance Body piercings and tattoos are other ways of self-expression

Acculturation

Process by which consumers come to learn a culture other than their native culture / learning a new culture

Shaping

Process by which consumers' behaviors slowly adapt to a culture through a series of rewards and sanctions

Self-Congruency Theory

Proposes that consumer behavior can be explained by the: -Congruence of a consumer's self-concept with the image of typical users of a product Consumer identity and product ownership -Researchers suggest that brands are used to express and validate consumer identity Organizational identification -Exists when consumers feel close to organizations

Normative Influence and Conformity

Reference groups establish Normative Systems -Social Norm is any rule of behavior for meeting societal expectations -Members of a group must adhere to the normative system Conformity occurs when an individual yields to the attitudes and behaviors of other group members -Peer Pressure is the pressure to conform or behave in accordance with group expectations Pressure to Conform is affected by: -Group Characteristics: Unanimity, Size, Expertise, and Status -Personal Characteristics: Susceptibility to Interpersonal influence Commitment to group: Separateness-Connectedness Fear of consequences embarrassment or confrontation Susceptibility to interpersonal influence: assesses an individual's need to enhance the image others hold of the individual Separateness-Connectedness: Separated self-schema: Self-conceptualization of the extent to which a consumer perceives himself or herself as distinct and separate from others Connected self-schema: Self-conceptualization of the extent to which a consumer perceives himself or herself as being an integral part of a group (commitment to the group) Diffusion of Responsibility - Bystander Effect or The Genovese Syndrome Group Think: Tendency of a group to share a wrong point of view (stereotype outgroups, collective rationalization, illusion of unanimity.... Crowd Wisdom: Research has shown that decisions made in groups can be better than individual decisions only if the group is: 1)diverse 2)composed of independent members who give their uninfluenced opinion, 3)decentralized in knowledge (each member has knowledge in their area), and 4) able to aggregate this knowledge.

Attitudes: Characteristics

Relatively enduring overall evaluations of objects, products, services, issues, or people Attitudes are Learned: Direct Experience, Influence from others, Mass Media (Advertisements...)... Attitudes are Enduring and Consistent but not permanent --> they can be changed Behavior and Attitudes are influenced by the Context or Situation --> sometimes behavior is inconsistent with attitude because of the circumstances but in general behaviors are consistent with attitudes

Power Distance

The extent to which members accept social inequalities and differences in power - Strict Vertical Relationships is tied to the level of social inequality that exists and how willing members of society are to accept authority at all levels. Some cultures emphasize strict, vertical relationships while others have more informality and equality. For instance, the U.S. differs substantially from Japan on this dimension

Source Effects and Persuasion

Source Effects: Characteristics of a source that influence the persuasiveness of a message -Credibility: A source's perceived expertise and trustworthiness (objectivity) Expertise: Knowledge, skill, experience related to the product or service Trustworthiness: Extent to which the source believes the message and has no reason to present false information Attractiveness: Social value associated with the source based on appearance, personality, status, similarity to the receiver Likability: Likable sources tend to be more persuasive Meaningfulness or Congruence: Extent to which a celebrity who endorses a brand has characteristics that match the brand attributes or is relevant to the product (Matchup Hypothesis) Another factor is Source Likeability: Source likeability also affects a spokesperson's effectiveness. Likeable sources tend to be persuasive. Interestingly, it has been found that source likeability affects persuasion more for consumers with low need for cognition than for those with a high degree of this trait. This again highlights the importance of individual difference variables in persuasion.

Productivity Orientation

Tendency for consumers to focus on being productive, making progess, and accomplishing more in less time represents the tendency for consumers to focus on being productive, making progress, and accomplishing more in less time. Consumers with a high degree of productivity orientation are able to be productive even when pursuing leisure activities.

Elaboration Likelihood Model

There are two routes to message persuasion: Central route processing—factual messages with quality information and convincing evidence are more effective. When a product is of high importance, a consumer is likely to think through the advertising and examine details and information. This is the central route to persuasion. Peripheral route processing—emotional appeals are more effective. On the other hand, if the purchase is lower involvement, the consumer is more likely to be persuaded by music, pictures, and short slogans in the ads. This is the peripheral route to persuasion, which we often see for low-involvement products, especially on television advertising. This model is affected by two user characteristics—motivation and ability. If consumers are motivated and able to think about a message, they will use central route processing. If they're not motivated, they will probably use peripheral route processing. Message relevance, Need for cognition, and Purchase responsibility increase motivation On the left-hand side of the model, we see central variables on the top and peripheral variables on the bottom. Central variables (product benefits, verbal description, product description on package...), which lead to the central route, will be effective on highly-motivated consumers (high involvement). They will do the thinking necessary to understand the information they are presented. Peripheral variables, including music, spokespeople, and bright packaging, work on lower-involvement consumers. Together, or alone, they create an attitude change that results in a certain behavior. Reminder: Involvement is the degree to which the product is relevant and important to the consumer.

A Brand Personality Framework

This is a brand personality framework that shows the five dimensions of a brands personality. Brand personality can be tied to many successful brands. If the personality is favorable and strong, it will strengthen the brand and lead to a more favorable attitude, brand preference, higher purchase intention, and brand loyalty. In addition, in commodity category, detergent for example, it can help differentiate a brand ("it's the one with the Snuggly Teddy Bear")

Personality

Totality of thoughts, emotions, intentions, tendencies, and behaviors -Consistently exhibited by people as they adapt to the environment A person's unique psychological makeup and how it consistently influences the way a person responds to the environment -Unique to an individual -Stable and interact with situations to influence behavior -Specific behaviors varying across time -Combination of specific traits or characteristics This definition highlights the cognitive (thoughts), affective (emotions), motivational (intentions), and behavioral (behaviors) aspects that are central to personality. Personality traits are relatively stable and interact with situations to influence behavior. Personality traits are expected to remain consistent across situations. However, consumer researchers realize the importance of situational influencers, and the combined influence of situations and traits greatly influence specific behaviors. Specific behaviors can vary across time. Simply knowing a consumer possesses a specific trait does not allow to predict a particular behavior.

Self-Concept or Self-Image

Totality of thoughts/beliefs and feelings that an individual has about himself or herself -Enduring images of the self --> consumer behavior -Consumers are motivated to act in accordance with their self-concepts -We have a variety of social roles (daughter, student, athlete, friend,...) --> multiple self-concepts To understand multiple selves, think of the way you present yourself and think about yourself at a formal university function (career fair perhaps) vs. a party with good friends. Next, think of the clothing you would purchase for these events. It would likely be very different as you are presenting a different "self" at each event.

Approaches to Personality: Trait Approach

Trait approach: Focuses on specific consumer traits as motivators of various consumer behaviors -A trait is defined as a distinguishable characteristic that describes one's tendency to act in a relatively consistent manner -Useful for Marketers: Ability to analyze market segments Nomothetic Perspective: Focuses on particular traits that exist across a number of people Aims to find common personality traits that can be studied across people

Fundamental Elements of Communication"Languages" of Culture: Verbal Communication

Transfer of information through either the literal spoken or written word -Translation alone is insufficient to guarantee effective communication -Translation equivalence: Two phrases share the same precise meaning in two different cultures Using backtranslation can mitigate for mistakes

Culture

is defined as patterns of values, beliefs, and learned behavior that are held in common and transmitted by the members of any given society -Commonly held societal beliefs that define what is socially gratifying -It gives meaning to objects and activities -It facilitates communication among its members Giving meaning to objects: Consider how much culture defines the meaning of furniture, religious objects, and everyday items like food and drink. For instance, Dunkin Donuts sells more cups of coffee in the United States with the slogan "America Runs on Dunkin." But in India, that slogan doesn't work, because breakfast on the run is not part of the Indian diet. Giving meaning to activities: Consider, for example, the role of things as simple as recreational activities and even washing (hygiene). A daily shower is not a universally accepted norm. Facilitating communication: The shared meaning of things facilitates communication. When strangers meet, culture indicates whether a handshake, hug, or kiss is most appropriate. Things as simple as making eye contact can take on dramatically different meanings from one culture to another.

Reference Groups

is the group whose perspective an individual takes on in forming values, beliefs, attitudes, opinions, and overt behaviors Anyone who has significant relevance to you and who can influence your behavior Few—if any—of us are untouched by the influences of those around us Types of Reference Groups Primary vs. Secondary Formal vs. Informal Membership vs. Aspirational vs. Dissociative Reference Groups are groups of individuals who have a significant relevance for a consumer and who impact the consumer's evaluations, aspirations, and behaviors Primary vs. Secondary Reference Groups: Primary groups have the most frequent face-to-face contact and are much more influential than secondary reference groups, with which the interaction is much less frequent ex: Friends vs. AMA Formal vs. Informal Reference Groups: Formal groups have some sort of structure, membership and maybe attendance requirements; whereas informal groups have no special membership ex: Professional Associations, Rotary, or Alumni Associations vs. Running Group, Kids Play-date Group Membership vs. Aspirational Reference Groups: Membership groups are those to which the individual belongs, aspirational groups are which the individual aspires or would like to belong ex: Your basketball team, your colleagues at work, your classmates... Successful business people, professional athletes, performers... symbolizing the ideal self Dissociative Groups: Individuals deny or avoid connections with this type of group ex: Racists, Criminals...

Cultural Norms

specify the appropriate consumer behavior in a situation within a specific culture Rules of behavior which provide guidance regarding acceptable and unacceptable behavior. Norms are established for the collective good of the group Enacted norms are explicitly agreed on rules, easily recognized Crescive norms are learned and practiced by members of a social unit but may not be readily recognized by nonmembers