Chapter 5 Flashcards

Question

4- purchase decision -- > non-compensatory decision rule

Answer 1

Non-Compensatory Decision Rule Conjunctive rule: Consider the brand only if it meets acceptable standards on key attributes (e.g., ≥ 3 Lexicographic rule: first evaluate brands on the most important attribute. If there is a tie, then evaluate on the 2nd most important, until a brand is selected. Consumers usually use a combination of compensatory & noncompensatory decision rules. Screen out certain brands with non-compensatory, then evaluate the final candidates with compensatory. Example: first eliminate expensive brands, then evaluate on Q, style, warranty, features.

Answer 2

Postpurchase behavior is the stage of the buyer decision process in which consumers take further action after purchase, based on their satisfaction or dissatisfaction.

Answer 3

Cognitive dissonance is buyer discomfort caused by postpurchase conflict. Postpurchase cognitive dissonance: Consumers feel uneasy about acquiring the drawbacks of the chosen brand and about losing the benefits of the brands not purchased Postpurchase customer satisfaction is a key to decreasing cog dissonance and building profitable customer relationships. Most marketers go beyond merely meeting the customer expectations—they aim to delight customers.

Answer 4

Customer journey: the sum of the ongoing experiences consumers have with a brand that affect their buying behavior, engagement, and brand advocacy over time. The customer journey: By understanding the customer journey, marketers can work to create brand experiences that will result in positive purchase behavior, engagement, and brand advocacy over time.

Answer 5

The adoption process is the mental process an individual goes through from first learning about an innovation to final regular use. * Stages in the adoption process include: – Awareness – Interest – Evaluation – Trial – Adoption

Answer 6

1 * Innovators 2 * Early Adopters 3 * Early Mainstream 4 * Late Mainstream 5 * Lagging Adopters

Answer 7

( 2.5 ) the first individuals to adopt an innovation; are willing to take risks, youngest in age, have the highest social class, have great financial resources, very social and have closest contact to scientific sources and interaction with other innovators. Risk tolerance has them adopting technologies which may ultimately fail. Financial resources help absorb these failures.

Answer 8

–( 13,5 ) the second fastest group of individuals who adopt an innovation; have the highest degree of opinion leadership among the other adopter categories. typically younger, have a higher social status, have more financial resources, advanced education, and are more socially forward than late adopters. More discrete in adoption choices than innovators. Realize judicious choice of adoption will help them maintain central communication position/op leadership.

Answer 9

( 34 % )–adopt an innovation after a varying degree of time. Time of adoption is significantly longer than the innovators and early adopters; tend to be slower in the adoption process, have above average social status, contact with early adopters, and seldom hold positions of opinion leadership in a system

Answer 10

(34%)–adopt an innovation after the average member of the society; approach an innovation with a high degree of skepticism and after the majority of society has adopted the innovation. Typically skeptical about an innovation, have below average social status, very little financial resources, in contact with others in late majority and early majority, very little opinion leadership.

Answer 11

(16%)–the last to adopt an innovation; show little to no opinion leadership. Typically have an aversion to change-agents and tend to be advanced in age. Tend to be focused on “traditions”, likely to have lowest social status, lowest financial resources, be oldest of all other adopters, in contact with only family and close friends, very little to no opinion leadership.

Answer 12

* Relative advantage * Compatibility * Complexity * Divisibility * Communicability

Answer 13

The degree of superiority to existing products. HDTV offers substantially improved picture quality, speeding up its rate of adoption.

Answer 14

The degree of fit to the values &behaviors of potential consumers. Adoption will be slow if it is not compatible with their existing habits & behaviors. HDTV is highly compatible w/ the lifestyles of TV-watchers. You would not buy a battery-driven car if there were no chargers available to charge it.

Answer 15

The degree to which an innovation is difficult to understand or to use. HDTVs are not very complex. As more programming has become available and prices have fallen, the rate of HDTV adoption is increasing faster than that of complex innovations.

Answer 16

The degree to which an innovation may be tried on a limited basis. Would you buy an expensive innovative new car without having the opportunity to test drive it? Spottify, Netflix offer free trial periods to help Cs understand the benefits on a limited time basis.

Answer 17

Communicability is the degree to which the results of using an innovation can be observed or described to others. Because HDTV lends itself to demonstration and description, its use has spread faster among consumers. Same for EVs.

Answer 18

The set of perhaps 10 or more brands that consumers begin evaluating in order to generate a smaller choice set.

Answer 19

The stage of the buyer decision process in which the consumer uses information to evaluate alternative brands.

Answer 20

The smaller set of brands—say, five or fewer—that consumers carefully evaluate in order to make their final choice.

Answer 21

Generally, the consumer’s purchase decision will be to buy the most preferred brand, but two factors can come between the purchase intention and the purchase decision.