Chapter 6 - Consumer Behavior Flashcards
What influences customer behavior?
• Culture, subculture, and social class
• Social - Reference groups, family, and social roles and statuses
• Personal - Age, stage in the lifecycle, occupation, economic circumstances,
lifestyle/ values, personality and self-concept
Reference groups
Part of the social factors that influence customer behavior
- All the groups that have a direct (face-to-face) or indirect influence on their attitudes or behavior
Membership groups
Groups having direct influence
- Can be primary groups or secondary groups
Primary groups
Groups in which the person interacts continuously and informally with (family, friends, neighbors)
Secondary groups
Formal, less continuous interaction (church, unions)
Opinion leader
The person who offers informal advice or information about a specific product or product category. Think beauty guru’s.
- Highly confident, social, frequent users of the category-
- Marketers try to reach them by identifying their demographic and psychographic characteristics, identifying the media they read, directing messages to them
Brand personality
Specific mix of human traits that we can attribute to a particular brand.
Consumers more likely to choose brands whose personalities match their own
- Sincerity (down to earth, honest, wholesome, cheerful)
- Excitement (daring, innovative, spirited, up to date)
- Competence (reliable, successful, intelligent)
- Sophistication
- Ruggedness
List the 3 theories of motivation
Sigmund Freud - Person can’t understand his/her motivations
Abraham Maslow - Hierarchy of needs
Frederick Herzberg -
Freud’s theory
Behavior guided by subconscious motivations
- May use laddering technique , projective techniques
- Tapping into their unconscious
Maslow’s theory
Hierarchy of needs
Behavior is driven by lowest, unmet need
- Explains why people are driven by particular needs at particular times
- People ruth satisfy their most important need first then move to next
Herzberg’s theory
Behavior is guided by dis-satisfiers and satisfiers
- Absence of dissatisfiers is not enough to motivate a purchase, satisfiers must be present! (ex. warranty)
- Sellers should do their best to avoid dissatisfies (ex. poor training manual, service policy)
- Seller should identify the major satisfiers or motivators of purchase in the market and then supply them
Perception
The process by which we select, organize, interpret information inputs to create a meaningful picture of the world
- Motivated people are ready to act, how is influenced by their perceptions
- Perceive things through their senses
- People have different perceptions of the same object b/c of selective attention, selective distortion and selective retention
Selective attention
Process in which we screen most stimuli out b/c
- Means marketers must work very hard to attract consumers notice
- Ppl more likely to notice stimuli that relate to a current need, that they anticipate and whose deviations are large in relationship to the normal size of the stimuli (ex. 80% off vs 5%)
Selective distortion
The tendency to interpret information in a way that fits our preconceptions.
- Consumers will often distort info to be consistent w/ prior beliefs and expectations
- Works in advantage of strong brands
Selective retention
Retaining information that supports our attitudes and beliefs
- Remembering good points about a product we like and forget good points about competing products
- Works in advantage of strong brands
Hedonic bias
Occurs when people have a tendency to attribute success to themselves, and failure to external causes.
- Consumers more likely to blame products than themselves therefore marketers should explicitly explain functions, labels instructions etc.
Learning
Induces changes in our behavior arising from experience.
- Most human behavior is learned, though must is incidental
- Produced thru drives, stimuli, cues, responses, reinforcement
- When we act, we learn
Buying decision process
- Problem recognition
- Information search
- Evaluation of alternatives
- Purchase decision
- Postpurchase behavior
Awareness set
Theres a total set of brands available
- The consumer will only know a subset of these brands
- The brands the consumer knows
Consideration set
Only the consideration set of the awareness set will meet initial buying criteria
- The set thats aware, and meets buying criteria
Choice sets
As the consumer gathers more info, just a few, the choice set will remain strong contenders.
- Consumer makes final choices from these
Expectancy-value model
Consumers evaluate products and services by combing their brand beliefs both positive and negatives according to importance
Heuristics
Rules of thumb in the decision process
Behavioral economics
Behavioral decision theorists have identified many situations in which consumers make seemingly irrational choices
- a method of economic analysis that applies psychological insights into human behavior to explain economic decision-making.
Anchoring & Adjustment heuristic
First impression effect
Framing
the manner in which choices are presented to and seen by a decision maker.