sclt 2380 exam 2

Attitudes related to buying

-belief: opinions -changing neg. attitudes -customer POV. -Green attitudes and beliefs: growing number of consumers believe that they can have a positive effect on the environment if they buy from companies that can help them make "greener" choices -Ethical issues may arise if marketers promote inaccurate or false beliefs -meeting Expectations outcomes or events that a person anticipates -Building consumer trust builds sales

examples of producers of services

-car repair -medical services -legal services -housekeeping -library -small service buyers

4 parts of consumer behavior

-culture -ethnic groups -stereotypes: Many firms make the mistake of treating all consumers in a particular ethnic group as homogeneous -international markets: Firms that conduct business internationally must plan strategies keeping in mind the varied cultures across borders

what influences the customer making a decision (5 things)

-economic needs -psychological variables -social influences -culture -purchase situation

Why are Business and organizational markets (B2C) different

-multiple buying influence -buyers follow procedures -fewer but larger customers -economics needs are primary -behavioral needs still matter -societal concerns can matter -ethical conflicts still happen -purchasing managers are specialists

approaches to measuring social class

-occupation -education -type of housing -location of housing (income NOT a good measure)

Impersonal marketing sources (5)

-online events and virtual trade shows -sales literature and catalogs - emails/newsletters -blogs and web content -social media

Impersonal-Nonmarketing Sources (7)

-online searches -rating services -trade associations -news publications -product directories -online communications -social media

Dynamics of Buyer-Seller Relationships (5)

-powerful customer may control the relationship -buyers may use several sources to spread risks -buying varies by customer type -lead times needed for many suppliers -buyers monitor supplier performance

other social influences and definitions (3)

-reference groups: the people to whom an individual looks when forming attitudes about a particular topic. -opinion leader: people whop influence others -social media: makes it easier to influence people

new task buying requires...

-search engines -websites -competitive bids -online communities -reviews

after purchase expiernce (3)

-second thoughts -post purchase regret -spread the word

the government market characteristics and definitions

-size and diversity: make it an attractive target -competitive bids: may be required bc of purchasing regulations -approved supplier list -foreign governments -FCPA: prohibits U.S. firms from paying bribes to foreign officials.

order of PPSP Hierarchy of needs ( top to bottom )

-societal and global needs -personal needs -safety needs -physiological needs

The consumer problem solving process involves four steps

1) Information search 2) Identification of alternatives 3) Setting criteria for purchase evaluation 4) Evaluating alternatives

adoption process steps (6)

1. Awareness 2. Interest 3. Evaluation 4. Trial 5. Decision 6. Confirmation

Steps in the Organizational Buying Process

1. define the problem 2. decision making process 2.A. establish buying processes 2.b.gather information 2.c.solicit bis and select suppliers 3. managing the buyer-seller relationship

in the us, over half of the manufactures have fewer than ___ workers

10

predictive analytics definition and the 4 types

A process to analyze data to make predictions about unknown future events. - need awareness -information search -alternate identification -post-purchase

Scientific Method

A series of steps followed to solve problems including collecting data, formulating a hypothesis, testing the hypothesis, and stating conclusions.

predictive analytics: need awareness example

A sporting goods store might gather mileage data from a customer's fitness app to predict when the customer will be ready for a replacement set of running shoes.

white papers

An authoritative report or guide that addresses important issues in an industry and offers solutions.

predictive analytics: information search

Based on a customer's past car shopping behavior, a website for an automaker could present features the customer is most concerned with.

big data

Data sets too large and complex to work with typical database management tools

Wants

Learned needs; that is, they are needs expressed as a desire for a particular need-satisfier.

predictive analytics: alternate identification

Marketing managers often try to predict if customers will stop using a product. For example, if a cell phone provider knows a customer is considering a switch to a rival network, it could make the customer an offer to keep its service.

predictive analytics: post purchase

Marketing managers often try to predict if customers will stop using a product. For example, if a cell phone provider knows a customer is considering a switch to a rival network, it could make the customer an offer to keep its service.

marketing dashboard

a computer display of up-to-the-minute marketing data in an easy-to-read format customized to the manager's area of responsibility

Decision support system (DSS)

a computer program that makes it easy for marketing managers to get and use information as they are making decisions.

In routinized response behavior

a consumer resorts to habit to solve a problem. • These purchases are often referred to low-involvement purchases that have little importance or relevance to the consumer. • The idea of a decision process does not imply that consumers always apply rational processes in their buying decisions. The consumer problem-solving process doesn't always lead to a purchase

dissonance

a feeling of uncertainty about whether the correct decision was made. A customer gets disappointed when a post-purchase experience fails to live up to expectations

Market Research Process

a five‑step application of the scientific method that includes: (1) defining the problem, (2) analyzing the situation, (3) getting problem-specific data, (4) interpreting the data, and (5) solving the problem

data warehouse

a place where databases are stored so that they are available where needed.

research proposal

a plan that specifies what information will be obtained and how

General Data Protection Regulation (GDPR)

a set of laws on data protection and privacy for all individuals within the European Union

marketing model

a statement of relationships among marketing variables.

Drive

a strong internal stimulus that encourages action to reduce a need

Negotiated contract buying

agreeing to a contract that allows for changes in the purchase arrangements.

sentiment analysis

an automated process of analyzing and categorizing social media to determine the amount of positive, negative, and neutral online comments a brand receives

situation analysis

an informal study of what information is already available in the problem area.

Marketing Information System (MIS)

an organized way of continually gathering, accessing, and analyzing information that marketing managers need to make decisions

business and organizational customers

any buyers who buy for resale or to produce other goods and services.

informational privacy

anything that limits others' access to personal data that people consider sensitive or confidential

Needs

basic forces that motivate consumers to do something.

In the United States, manufacturers are concentrated in the _____

big metropolitan area ex- TX, NY, CA, ohio

Personal-Nonmarketing Sources (3)

buying center members, outside business associates, consultants and outside experts

Global or societal needs

concerned with an individual's desire to see the needs of others or the natural world fulfilled. •Examples: reducing poverty, creating cleaner air.

personal needs

concerned with an individual's need for personal satisfaction, unrelated to what others do. • Examples: personal satisfaction, accomplishment, fun, freedom, and relaxation.

Safety needs

concerned with protection and physical well-being. • Examples: health, medicine, exercise, and security.

economic buyer theory

consumers decide what to buy based on economic needs

Culture & Ethnicity

cultural influences include a consumer's ethnic background and international factors.

secondary data

data previously collected for any purpose other than the one at hand

Qualitve data

data which is a description of how people feel or think.

Social needs

derived from a person's interactions with others. • Examples: love, friendship, status, esteem, and connecting with others.

Service producers are more geographically ______than are manufacturers. In the United States, this segment of the economy is _______

dispersed, large and growing fast

vendor analysis

formal rating of suppliers on all relevant areas of performance

customer panels

groups of customers assembled to provide attitudes and perceptions about a service over time

North American Industry Classification System (NAICS) codes

groups of firms in similar lines of business.

Social influences

have to do with the associations that the buyer might have with other people. Examples: culture, social class, and family influences

The ability to satisfy economic needs largely depends on _____

how much money a consumer has available

Activities

identify what people do—they are objectively observable.

Retailers and wholesalers: -committee buying is ____ -buyers watch ______ closely -reorders are______

impersonal computer output straight rebuys

primary data

information collected for the specific purpose at hand

personal data

information that can be used by itself or in combination with other information to identify someone

straight rebuy

is a routine repurchase that uses existing suppliers to fill a standard order

Response

is an effort to satisfy a drive. •The response chosen depends on the person's past experience and the cues.

modified rebuy

is the in-between process. Some review of the buying process is done but not as much as in a new-task buy -needs some effort for required characteristics

Reinforcement

learning process occurs when the response is followed by satisfaction—reduction in the drive. •Repeated reinforcement leads to the development of a habit—making the individual's decision process routine.

New-task buying

occurs when a customer organization has a new need and wants a great deal of information -needs a lot of effort for required characteristics

Selective exposure

our eyes and minds seek out and notice only information that interests us.

Buying center: gatekeepers

people in key positions in the organization who control the flow of information. include receptionists, secretaries, researchers, and others

economic buyers

people who know all the facts and logically compare choices to get the greatest satisfaction from spending their time and money

Empty nesters are...

people whose children are grown and who are now able to spend their money in other ways. They spend more on travel and other things they couldn't afford earlier in life.

Buying center: influencers

people whose expertise is used to help determine which products are needed. are often technical people who help write specifications

market research

procedures to develop and analyze new information to help marketing managers make decisions

cues

products, signs, ads, and other stimuli in the environment—an individual chooses some specific response.

Purchase situation factors

reason for the purchase, time pressure involved, and surroundings of the purchase

just-in-time delivery

reliably getting products there just before the customer needs them.

requisition

requesting to buy something

personal marketing sources (3)

salespeople, others from supplier firms, trade shows

Because of their ____ size, many service firms have buying procedures that may not be as ______ as in larger organizations.

small, formal

Interests

tend to create stronger drives that may pinpoint market opportunities.

.competitive bid

terms of sale offered by different suppliers in response to the buyer's purchase specifications.

Physiological needs

the most basic needs people experience. • Examples: biological needs for food, liquid, rest, and sex.

Buying center: deciders

the people in the organization who have the power to select or approve the supplier.

Buying center: users

the people who will actually use the product—possibly production workers or support staff.

Buying center: buyers

the purchasing managers who are responsible for working with suppliers and arranging for the terms of the sale

customer journey map

the story and graphic diagram of a customer's experience in the buying process from need awareness through the purchase process and post-purchase relationship.

Psychological Variables

things that are going on in the mind of the consumer that affects the purchase. Exs: attitudes, personality, learning processes, trust, and perceptions

economic needs

those needs that are concerned with the consumer making the best use of his or her time and money

Singles and young couples are more willing to ____ new products and brands.

try

Quantitive data

uses numbers to describe what is observed

An individual's insistence on buying Johnson & Johnson's bath soap for their toddler can be termed as a:

want

Selective retention

we remember only what we want to remember

discretionary income

what is left of income after paying taxes and paying for necessities.

limited problem solving

when a consumer is willing to put some effort into deciding the best way to satisfy a need

depth interview

where a researcher asks detailed, open-ended questions to get people to share their thoughts on a topic, without giving them many directions or guidelines about what to say.

extensive problem solving

•consumer attempts to satisfy a completely new or important need. • Much information is needed. • The consumer has no experience. • The decision—and risk of making a wrong decision—are important. • These purchases are often referred to as high involvement purchases.

what are example of economic needs

•economy of purchase or use, •efficiency in operation or use, •dependability in use, •improvement of earnings, and convenience

Selective perception

•we screen out or modify ideas, messages, and information that conflict with previously learned attitudes and beliefs.