Consumer Behavior Flashcards
What are the elements in the consumption process?
Need -> Want -> Exchange -> Cost and Benefits -> Reaction -> Value
This loops back with feedback. How satisfied is the customer after the exchange has been completed.
What is consumption process?
Process by which goods, services, or ideas are used and transformed into value
What is consumer orientation?
Businesses that are centered around the idea of satisfying customers through value.
Explain market orientation?
An organizational culture that embodies creating value for customers among all employees
What is Stakeholder Marketing?
A firm recognizes that its customers expand beyond sales. Value creation must be made for shareholders, investors, key personal
What is relationship marketing?
The idea that the firms success is enhanced through repeat business.
Define touch points?
These are the direct contacts between the customer and the firm.
Why do we study Consumer Behavior?
The study of CB is interrelated with most functions of the business e.g. economics, Psychology, sociology, anthropology
What is interpretive Research?
seeks to explain the inner meanings and motivations associated with specific consumption experiences.
What is Quantitative research?
Using a numerical and analytical tools measurement to address questions about consumer behavior.
Explain how the consumer value framework functions
This is a framework explaining how internal and external influences affect our perceptions on value (Hedonic & Utilitarian) and shape consumption related behaviors. This framework the basis for all CB studies.
What is the value equation?
Value = What you get - What you give
What are internal influences? with examples
Things that go on inside the mind and heart of the consumer e.g.g emotions, motivations, lifestyle, EI. Perception, learning, implicit memory, categorization, attitudes, information
What are some external influences? with examples
Social and cultural aspects of life as a consumer. e.g. acculturation, reference groups, social class, family influence, media, cultural and culture values
What is Utilitarian Value?
Value derived from a product that helps the consumer with some task - (Products that service a specific purpose offering no emotional/hedonic benefits)
What is Hedonic Value?
Value derived from the immediate gratification that comes from some activity.
What is value co-creation?
The realization that a consumer is necessary and must play a part in order to produce value
Define exposure
Process of bringing some stimulus within proximity of a consumer so that the consumer can sense it with one of the five human senses.
Define Contrast
State that results when a stimulus does not share enough in common with existing categories to allow categorization
Define Attention?
purposeful allocation of information-processing capacity toward developing an understanding of some stimulus.
Define Selective Distortion
Process by which consumers interpret information in ways that are biased on their previously held beliefs.
What is JND
Just noticeable difference - Condition where one stimulus is sufficiently stronger than another so that someone can actually notice that the two are not the same.
What is the mere exposure effect?
Effect that leads consumers to prefer a stimulus to which they’ve previously been exposed - pen example
What is the Mere association effect?
The transfer of meaning between objects that are similar only by accidental association Mayo clinic and Mayonnaise
What are some factors that get attention?
Intensity of Stimuli Contrast Movement Surprising Stimuli Size Involvement
Define involvement
The personal relevance toward, or interest in, a particular product.
What is the classical conditioning process?
change in behavior that occurs simply through associating some stimulus that naturally causes some retain; a type of unintentional learning