Chapter 5 Flashcards
Need Recognition
the beginning of the consumer decision process; occurs when consumers recognize they have an unsatisfied need and want to go from their actual, needy state to a different, desired state
Functional Needs
pertain to the performance of a product or service
Psychological Needs
pertain to the personal gratification consumers associate with a product or service
Internal Search for Information
occurs when the buyer examines his or her own memory and knowledge about the product or service, gathered through past experiences
External Search for Information
occurs when the buyer seeks information outside his or her personal knowledge base to help make the buying decision
Internal Locus of Control
refers to when consumers believe they have some control over the outcomes of their actions, in which case they generally engage in more search activities
External Locus of Control
refers to when consumers believe that fate or other external factors control all outcomes
Performance Risk
involves the perceived danger inherent in a poorly performing product or service
Financial Risk
risk associated with a monetary outlay; includes the initial cost of the purchase, as well as the costs of using the item or service
Social Risk
the fears that consumers suffer when they worry others might not regard their purchases positively
Physiological Risk (safety risk)
the fear of an actual harm should a product not perform properly
Psychological Risk
associated with the way people will feel if the product or service does not convey the right image
Universal Sets
includes all possible choices for a product category
Retrieval Sets
includes those brands or stores that the consumer can readily bring forth from memory
Evoked Set
comprises the alternative brands or stores that the consumer states he or she would consider when making a purchase decision
Evaluative Criteria
consist of a set of salient, or important, attributes about a particular product
Determinant Attribute
product or service features that are important to the buyer and on which competing brands or stores are perceived to differ
Consumer decision rules
the set of criteria that consumers use consciously or subconsciously to quickly and efficiently select from among several alternatives
Compensatory decision rule
at work when the consumer is evaluating alternatives and trades off one characteristic against another, such that good characteristics compensate for bad ones
Multi-attribute model
a compensatory model of customer decision making based on the notion that customers see a product as a collection of attributes or characteristics. The model uses a weighted average score based on the importance of various attributes and performance on those issues
Noncompensatory Decision Rule
at work when consumers choose a product or service on the basis of a subset of its characteristics, regardless of the values of its other attributes
Decision Heuristics
mental shortcuts that help consumers narrow down choices; examples include price, brand, and product presentation
Conversion Rate
percentage of consumers who buy a product after viewing it
Post purchase Cognitive Dissonance
the psychologically uncomfortable state produced by an inconsistency between beliefs and behaviors that in turn evokes a motivation to reduce the dissonance; buyer’s remorse
Negative Word of Mouth
occurs when consumers spread negative information about a product, service, or store to others
