Consumer Behaviour - Chapter 4 Flashcards
What are the steps of the Consumer Decision Process
- Need Recognition
- Information Search
- Alternative Evaluation
- Purchase Decision
- Postpurchase
What is Need Recognition about
Consumer Decision Process
Occurs when consumers recognize they have an unsatisfied need, and they want to go from their 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 w a product or service
Internal search for information
Occurs when buyers examines their own memory and knowledge act the product/service, gathered through past experiences
External search for information
Occurs when buyers seek info outside their personal knowledge base to help make the buying decision
Internal locus of control
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 w a monetary outlay; includes the initial cost of the purchase, as well as the costs of using the item or service
Social risk
Involves the fears that consumers suffer when they worry that others might not regard their purchases positively
Physiological risk
Risk associated w the fear of an actual harm should the product not perform properly
Psychological risk
Associated w the way ppl will feel if the product/service does not convey the right image
Retrieval sets
Consist of those brands or stores that can be readily brought forth from memory
Evaluative criteria
Consist of a set of saint, or important, attributes act a particular product that are used to compare alternative products
Determinant attributes
Product or service features that r important to the buyer and on which competing brands or stores r perceived to differ
Consumer decision rules
The set of criteria consumers use consciously or subconsciously to quickly and efficiently select from among several alternatives
Compensatory decision rule
Is at work when the consumer is evaluating alternatives and trades off one characteristic against another, such that good characteristics compensate for bad ones
Non-compensatory 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 them narrow down their choices; ex: price, brand, and product presentation
Postpurchase dissonance
An internal conflict that arises from an inconsistency between 2 beliefs, or between beliefs and behaviour
Negative word-of-mouth
When consumers spread negative info abt a product, service or store to others
Motive
A need or want that is strong enough to cause the person to seek satisfaction
Physiological needs
Relate to the basic biological necessities of life : food, drink, rest, shelter
Safety needs
Protection and physical well being
Love (social) needs
Our interactions w others
Esteem needs
Allow ppl to satisfy their inner desires
Self-actualization
Occurs when u feel completely satisfied w ur life and how u live
Attitude
A person’s enduring evaluation of their feelings act and behavioural tendencies toward an object or idea
Cognitive component
A component of attitude that reflects what we believe to be true
Affective component
A component of attitude that reflects what a person feels apt the issue at hand - their like or dislike of something
Behavioural component
A component of attitude that comprises the actions a person takes w regard to the issue at hand
Perception
The process by which we select, organize and interpret info to form a meaningful picture of the world
Learning
A change in a person’s thought process or behaviour that arises from experience and takes place throughout the consumer decision process
Lifestyle
The way consumers spend their time and money to live
Reference group
One or more persons an individual uses as a basis for comparison regarding beliefs, feelings, and behaviours
Situational factors
Factors affecting the consumer decision process
Involvement
The consumer’s degree of interest in or concern art the product or service
Extended problem solving
A purchase decision process during which the consumer devotes considerable time and effort to analyzing alternatives
Limited problem solving
Occurs during a purchase decision that calls for, at most, a moderate amt of effort and time
Impulse buying
A buying decision made by customers on the spot when they see the merchandise
Habitual decision making
Describes a purchase decision process in which consumers engage w little conscious effort
Evoked sets
Include only the brands that consumers consider when making a purchase decision
Situational factors
Can help facilitate purchases
Why would customer dissatisfaction occur?
When a product fails to live up to high performance expectations
When would limited problem solving occur?
When the consumer has a purchase decision that calls for, at most, moderate effort & time
When do consumers use extended problem solving?
Risky purchase decisions
Factors Affecting Consumer’s Search Processes
- The perceived benefits vs perceived costs of search
- The locus of control
- Actual or perceived risk
If firm gets brand into consumer’s evoked set, what happens?
Increased the likelihood of purchase and therefore reduced search time because the consumer will think specifically of the brand when considering choices
What are the postpurchase outcomes
Cusomer Satisfaction
Postpurchase Dissonance (buyer’s remorse)
Customer Loyalty or disloyalty
What are the 2 types of buying processes consumers engage in?
Extended problem solving
Limited problem solving
