CB Topic 7 and 8 Flashcards
What are the 3 attributes consumers consider when reviewing possible solutions to a problem? [Evaluation of Alternatives: Criteria]
- Price
- Features
- Quality
It’s the main reason for customers to buy.
Determinant Criteria
Consumer Decision can be divided into:
Hedonic and Utilitarian
This is a consumer decision that includes emotional, symbolic, and subjective attributes or benefits that are associated with an alternative.
HEDONIC
This is a consumer decision that pertain to functional or economic aspects associated with an alternative.
UTILITARIAN
This is a human decision-making process in which consumers attempt to satisfice rather than optimize.
Bounded Rationality
This is when a consumer accept an available option as satisfactory.
Satisfice
What are the 3 human process in bounded-rationality model.
- Cognitive Limitations
- Information Imperfection
- Time Constraint
This refers to inability of humans to process information in an optimal manner.
COGNITIVE LIMITATIONS
This refers to the lack of information a consumer has. Despite not knowing the entirety of the product’s information, consumers still make informed decisions to select the other alternatives.
INFORMATION IMPERFECTION
This refers to when making a purchase, consumers will have to make quick decision in a less short of time.
TIME CONSTRAINT
Refers to consumers evaluation products based on the overall feeling that is evoked by the alternative. Emotions and feelings can be associated.
AFFECT-BASED EVALUATIONS
This is about keeping practicality and being rational in mind in choosing a product. This means using all the information you have acquired before making a purchase decision.
ATTRIBUTE-BASED EVALUATIONS
This refers to a group of similar products that share related characteristics and helps brands focus their promotional efforts effectively.
PRODUCT CATEGORIES
Builds brand trust, which often expands to other categories through the ________.
Halo Effect
What are the 2 category levels?
- Superordinate Categories
- Subordinate Categories
This is a category level that is abstract in nature and represent the highest level of categorization.
Superordinate Categories
This is a category level that is clearly identifiable and highly detailed specific features.
Subordinate Categories
This is an attribute that is visually apparent and easily recognizable. Referred to as search qualities because they can easily be evaluated prior to actual purchase.
Perceptual Attributes
This is an attribute that is not readily apparent and can only be learned through experience with the product. Perceived only during consumption.
Underlying Attributes
What are the criteria selections?
- Situational Influences
- Product Knowledge
- Expert Opinions
- Social Influences
- Online Sources
- Marketing Communications
During the evaluation process in criteria selection, consumers make judgements about:
- Presence of feature
- Feature levels
- Benefits associated with features
- Value associated with the benefit
- How objects differ from each other
Several issues that affect consumer judgements in Criteria Selection.
- Just noticeable difference
- Attribution correlation
- Quality perceptions
- Brand name associations
2 Major Types of Rules that consumers use when selecting products.
- Compensatory Rules
- Non-Compensatory Rules
This is when consumers to select products that may perform poorly on one attribute by compensating good performance on the other attribute.
Compensatory Rules
This is strict guidelines where any option that does not meet the specification is eliminated from consideration.
Non-Compensatory Rules
This is model that is compensatory that attempts to explain the rationality of choice of the product by the consumer by using measure of his overall attitude towards object.
FISHBEIN MODEL
What is the formula of Fishbein Model?
[(A,= E (b) (e)]
What are the four major categories of non-compensatory rules?
- Conjunctive Rule
- Disjunctive Rule
- Lexicographic Rule
- Elimination-By-Aspects (EBA) Rule
This is when a consumer uses certain minimum cutoffs on all salient or most noticeable attributes.
CONJUNCTIVE RULE
This is when a consumer entails trade-offs between aspects of choice alternatives.
DISJUNCTIVE RULE
This is when a consumer rank-orders product-attributes in terms of importance.
LEXICOGRAPHIC RULE
This is when a consumer rates the attributes in order of importance and, in addition, defines the minimum required values.
ELIMINATION-BY-ASPECTS (EBA) RULE
This is commonly used in non-compensatory model.
LEXICOGRAPHIC RULE
This is a set of rules that are often used in low-involvement situations.
Non-compensatory rules
This is when consumers choose where they will buy the product. Less brand loyal and more store loyal.
Retail Outlet Selection
