Ch 5.1-5.3: Consumer Markets & Buyer Behaviour

Question 1

Consumer Markets and Consumer Buyer Behaviour

Answer 1

Consumer buyer behaviour
Buying behaviour of final consumers (individuals, families)

Consumer market
All the individuals and households that buy or acquire goods and services for personal consumption

Question 2

Figure 5.1 Some Issues That Arise during Stages in the Consumption Process (1/3) prepurchase issues

Answer 2

prepurchase issues from consumer’s perspective: how does a consumer decide that they need a product? what are the best sources of information to learn more about alternative choices?

marketer’s perspective: how are consumer attitudes toward products formed and changed? what cues do consumers use to infer which products are superior to others?

Question 3

consumer behaviour is linked by

Answer 3

consumer behaviour is linked by situational characteristics and consumer characteristics (different characteristics lead to diff behav)

Question 4

consumer behabiour is what activvities

Answer 4

consumer behaviour are activities that undertake the
-awareness
-interest
-evaluation
-trial
-adoption

some steps may be missing for important needs

Question 5

Situational Characteristics

Answer 5

any factor that may affect the psychology of the consumer such as emergency, temperature, occasion (such as occasions like mother’s day, birthday, Christmas, and religious holiday, perceived risk of the product or service, dark, light, wind, whether someone is watching or not, geography, whether the individual is on top of a mountain or the beach, etc.)

Question 6

consumer characteristics

Answer 6

related to culture, social factors, personal or psychological. These factors along with situational factors help us understand why different consumers may behave differently when they face the same products and services. Certain factors may increase the probability of engaging in a certain type of behavior and others may decrease that probability. For example, high income (economic situation) and being from upper middle class (social class) and having interest in classical music (lifestyle) may increase the likelihood that someone buys seasonal tickets for Montreal Symphony Orchestra (MSO). If, however, the individual has low income and is not interested in classical music, this probability decreases dramatically. So, if you happen to be marketing MSC, you will target upper middle class consumers with high income and interest in classical music. As you can see, factors affecting consumer behavior become strong candidates to be segmentation variables.

Question 7

CONSUMER BEHAVIOUR: EXAMPLES OF VARIOUS CONSUMER RESPONSE

Answer 7

 Whether the consumer is interested in a product or service
 Whether the consumer buys a product or service (or a particular brand)
 Whether the consumer is a light user or very heavy user of the product (or brand)
 Whether the consumer has a positive or negative attitude towards a particular brand
 Whether the consumer buys the product in a planned manner or upon sight (called impulse buying)
 Which distribution channel does the consumer want to buy the product at (“brick and morter” store, online, home delivery)?
 When does the consumer want to buy the product?
 Is the consumer sensitive to certain marketing occasions (Halloween, religious holidays, mother’s day, father’s day, valentine day, wedding season, graduation month (May, June). Note that all of these are “occasions” on Table 6.1. Consumers become sensitive to these occasions if they have some other characteristics.
 Does the consumer need the product? Does the consumer demand the product (has the income and willing to pay for the product)? What specific needs and wants motivate the consumer?
 What “readiness stage” is the consumer at (see “The Stages in the Adoption Process” in Section 5.3 (page161) (awareness, interest, evaluation, trial, and adoption).
 Whether the consumer perceive “value” in a product or service given its price,
 Whether the consumer is a “brand loyal” repeat buyer or not,

Question 8

. It is important to note that the popular use of influencers in social media today is based on the theory of reference groups, especially the aspirational groups, and their effects on individual behaviour.

Answer 8

. It is important to note that the popular use of influencers in social media today is based on the theory of reference groups, especially the aspirational groups, and their effects on individual behaviour.

Question 9

family

Answer 9

Many consumption-related decisions are made by the members of the family jointly. For example, choice of a travel destination for family travel package, what brand of a car to buy for the family, where to buy a house for the family, how to remodel the kitchen, etc. When you study this section in your text pay attention to the fact that family members may assume different roles in these decisions.

Question 10

LIFESTYLE SEGMENTATION AND ITS EXTENSIONS

Answer 10

How is lifestyle defined (see page 154) Remember this abbreviation: AIO: Activities, Interests, Opinions)? What do we mean by each of these components used to define lifestyle). Be able to give examples for each. How does lifestyle affect consumer behaviour? Why are marketers interested in using lifestyle as an important variable in understanding their consumers?

Question 11

PERCEPTION!!!!!

Answer 11

by selective attention? Why is it important in marketing? (Hint: consider differentiation, positioning and brand image building by advertising and other communication programs). Know the meaning of three perception related concepts: (1) selective attentionscreen out /filtering PRESSING NEED, AND ANTICIPATED STIMULI LIKE STARBUCKS, (2) Selective distortion interepretSALESMAN, NEGATIVE REVIEW INTO POSITIVE, and (3) selective retention REMEMBER WHAT MATTERS TO THEM.

Question 12

Beliefs and attitudes affect brand process

Answer 12

by strengthening the positive beliefs about brands by differentiation and positioning

Question 13

five product chracterisitics

Answer 13

(relative advantage, compatibility, complexity, divisibility, and communicability)

Question 14

purchase issues

Answer 14

consumer perspective is acquiring a product a stressful/pleasant experience

marketer: how do situational factors, time pressure or store displays affect the cocnumer’s purchase decision

Question 15

pospurchase issues

Answer 15

consumer’s does the product provide pleasure /perform its intended function, how is it disposed

marketers: what determines consumer will be satistied wwwith a prodct and whether they will buy agai, will they share with others the product

Question 16

characteristics in difference consumer behaviour (4) in buyer

Answer 16

cultural: culture, subculture (ethnicict, religsions, languages), social class. values, perceptions, wants

social: reference groups (membership like family, and aspirational like movie star), family, roles and status

personal: age and life-cycle stage, occupation, economic, lifestyle, personality

psychological: motivation, perception, learning, beliefs and attitudes

Question 17

product involvmetn

Answer 17

personal importance of the produce to an individuals (high involvement is cars and phones, low is grocery

Question 18

decision process

Answer 18

• need recognition,
• information search and - evalitation of alternatives (which could be skipped for low involvement products),
  -purchase decision, - post purchase beavopir

Question 19

adp[ter categories

Answer 19

venturesome, seeking respect, deliberate, skeptical, tradition bound

Question 20

chracteristics of prodcuts influencing innovation rate of adotpion

Answer 20

relative advantage, compatibility, complexcity, divisibuity (can it be tried on limited basis, communicailit,