Exam Revision Flashcards
Consumer behaviour
processes involved when individuals/groups select, purchase, use or dispose of products, services, ideas or experiences to satisfy needs and wants.
Three phases of consumer behaviour process
1) pre-consumption
2) consumption
3) post-consumption
Value-in-use
value of a good to the consumer in terms of usefulness it provides.
Co-create value
consumers wish to co-create value through active involvement during the process.
Crowdsourcing
where consumers become involved in ventures, such as fundraising, innovation and/or manufacturing.
Consumer
a person who identifies a need or desire, makes a purchase, and then disposes of the product.
Consumer impact on marketing - considerations (3)
- consumer knowledge should be incorporated in every aspect
- firms exist to satisfy needs
- important for marketers to identify products that reflect needs
Marketing segmentation
identifying groups of consumers who are similar to one another in one/more ways and then devising marketing strategies that appeal to one or more groups.
Market segmentation dimensions (3)
- demographics (age & population)
- product usage
- psychographics (psychological & lifestyle)
Relationship marketing
strategic perspective that stresses the long-term, human-side of buyer and seller interactions.
Database marketing
closely tracking consumers buying habits, then crafting products and messages tailored precisely to peoples wants and needs.
Types of relationships a person may have with a product (4)
- self concept attachment: helps establish user identity
- nostalgic attachment: product serves as link to past
- interdependence: product part of daily routine
- love: product elicits emotional bond of warmth
Types of consumption activities (4)
consuming as:
- experience
- integration
- classification
- play
Need
something a person must have to live and/or achieve a goal.
Want
Particular form of consumption chosen to satisfy a need.
Global consumer culture
Consumers united by their common devotion to brand name consumer goods, celebrities and leisure activities.
Digital native (4)
- individuals contribute, co-create and act as prosumers.
- increased convenience by breaking down time and location barriers.
- social-network sites create communities of similar people, spawning friendships.
- marketers and consumers coexist in a network of public and private relationships
Two perspectives on consumer research (2)
Positivism and Interpretivism
Positivism
paradigm that emphasises supremacy of human-reason and objective search for truth through science.
Interpretivism
paradigm that emphasises the importance of symbolic, subjective, experience and the idea that meaning is in the mind of the person.
Two perspectives used by normative business ethics (2)
Deontology and Teleology
Deontology
Emphasises acting according to universal moral duties without regard to the good or bad consequences of their actions.
Teleology
Predicted on the notion that the ethically correct decision is the one that produces the best consequences.
Marketplace
when companies called the shots and decided what they wanted their consumers to know and do.
Consumer-space
marketing environment where consumers act as partners with companies to decide what the marketplace will offer.
Consumer activism
consumers become activists when they promote the rights, consciousness and interests of consumers.
Corporate social responsibility
the processes that encourage organisations to make a positive impact on the various stakeholders in their community including consumers, employees and the environment.
Cause marketing
strategy that aligns a company or brand with a cause to generate business and societal benefits.
Social marketing
using marketing techniques to encourage positive activities and to discourage negative activities.
Positive of technological advancement
enables companies to tailor their messages to consumer needs.
Data privacy concerns with technological advancement (3)
- identity theft
- phishing scams
- locational privacy
Market access
consumer ability to find and purchase goods and services is limited to some groups due to physical, mental, economic or social barriers.
Green marketing
strategy which emphasises protecting natural environment.
Deviant consumer behaviour
actions that violate the accepted behaviour in a consumer context and results in harm for other customers or the organisation.
Consumer terrorism (2)
- bioterrorism (disrupting nations food supply)
- cyber-terrorism (using IT to cause harm)
Illegal acquisition and product use
- theft: shrinkage and counterfeiting
- anti-consumption: products deliberately defaced/mutilated
The five senses and marketing influence
vision - colours may influence emotions
scent - colours can stir emotions or create calming feeling
sound - create brand awareness, affects feelings and behaviours
touch - association of textures with product quality
taste - taste receptors contribute to our experience of many products
Sensory thresholds (3)
- psychophysics
- absolute threshold
- differential threshold
Absolute threshold
minimum amount of stimulation that can be detected on a given sensory channel.
Differential threshold
ability of sensory system to detect changes/differences between stimuli.
Subliminal perception
when stimulus is below the level of that consumers awareness. (little evidence to support)
technique - embeds
Attention
extent to which processing activity is devoted to a particular stimulus.
Perceptual selection
people attend to only a small portion of the stimuli to which they are exposed.
Attention economy
internet shifted focus of marketers from attracting dollars to eyeballs.
Personal selection factors (4)
- experience
- perceptual vigilance: aware stimuli relates to current needs
- perceptual defence: people see what they want to see
- adaptation: degree to which consumers continue to notice stimuli over time
Stimulus selection factors (4)
- size (stimulus size in comparison to competition)
- colour (colour powerful way to draw attention)
- position (stimulus presented in places where more likely noticed)
- novelty (stimuli presented unexpected ways draw attention)
Interpretation
meaning assigned to sensory stimuli.
Schema
set of beliefs which stimulus is assigned.
Priming
process by which certain properties of a stimulus will evoke a schema. this leads consumers to evaluate the stimulus in terms of other stimulus they have encountered and believe to be similar.
Stimulus organisation
stimulus will be interpreted based on its assumed relationship with other events, sensations or images.
- closure principle: perceive incomplete picture as complete.
- principle of similarity: group together objects with similar physical characteristics
- figure ground principle: one part of stimulus will dominate (figure)
Semiotics
study that examines correspondence between signs and symbols and their role in the assignment of meaning.
3 Components of a message
- object (product)
- sign (sensory image represents intended meaning)
- interpretant (meaning derived)
Classical conditioning
occurs when a stimulus that elicits a response is paired with another stimulus that initially does not elicit a response on its own. over time second stimulus causes similar response through association.
Stimulus generalisation
tendency of stimuli similar to a conditioned stimulus to evoke a similar conditioned response.
Types of operant conditioning (3)
- positive reinforcement
- negative reinforcement
- punishment
Operant (instrumental) conditioning
occurs as the individual learns to perform behaviours that produce positive outcomes and avoid behaviours that yield negative outcomes.
Observational learning
when people watch the actions of others and note reinforcements received for their behaviours.
Cognitive learning (2)
iconic rate learning - association between two or more concepts in the absence of conditioning.
reasoning - most complex learning form, where high involvement decisions generate some reasoning.
Memory
process of acquiring and storing information over time so that it will be available when needed.
Stages of memory (3)
- encoding stage (information entered in recognisable way)
- storage stage (knowledge integrated into what is already in memory and warehoused)
- retrieval stage (person accesses the desired information)
Memory systems (3)
- sensory memory
- short term memory
- long term memory
Augmented reality
media that combines a physical layer with a digital layer to create a combined experiences.
Motivation
processes that lead people to behave as they do.
Goal
end state that is desired by the consumer.
Drive
degree of arousal present due to a discrepancy between the consumers present state and some ideal state.
Motivation can be descried in terms of…(2)
- strength: pull it exerts on the consumer
- direction: particular way consumer attempts to reduce motivational tension
Types of needs (4)
- biogenic: needs necessary to maintain life
- psychogenic: culture-related needs
- utilitarian: emphasise objective, tangible aspects of products
- hedonic: subjective and experimental needs
Motivation conflicts (3)
approach-approach - choosing between 2 desirable alternatives
approach-avoidance - desire a goal but also wish to avoid (eating chocolate)
avoidance-avoidance - choosing between 2 undesirable alternatives
Henry Murray need dimensions (3)
- autonomy: being independent
- defendence: defending the self against criticism
- play: engaging in pleasurable activities.
Thematic apperception technique (TAT)
1 - what is happening?
2 - what led up to this situation?
3 - what is being thought?
4 - what will happen?
Maslow’s hierarchy of needs
- self actualisation
- ego-needs
- belongingness
- safety
- physiological
McGuire’s psychological motives (4)
- cognitive preservation motives
- cognitive growth motives
- affective growth motives
- affective preservation motives
Consumer involvement
a person’s perceived relevance of the object based on their inherent needs, values and interests.
levels:
- low: simple processing (only basic features of message are considered)
- high: elaboration (incoming information is linked to pre-existing knowledge)
Personality concept
a person’s unique psychological makeup and how it consistently influences that way a person responds to their environment.
Freudian systems
- ID: immediate gratification
- Ego: system that mediates between ID and superego
- Superego: person’s conscience
Many faces of involvement
- product involvement (interest in a product)
- message-response involvement (interest in marketing communications)
- purchase-situation involvement (differences that may occur when buying the same object for different contexts)
Trait theory
An approach to personality that focuses on the quantitative measurement of personality traits.
- innovativeness
- materialism
- self-consciousness
- need for cognition
- frugality
Innie vs Outie
David Reisman
extent to which a person is motivated to consume in order to fit in, in contrast to consuming to express a unique sense of self without concern for acceptance by a group.
Brand personality
traits people attribute to a product as if it were a person.
Brand equity
extent to which a consumer holds strong favourable and unique associations with a brand in memory.
Animism
practice found in many cultures whereby inanimate objects are given qualities that make them somehow alive.
level 1 - people believe object is possessed by soul of being
level 2 - objects are anthropomorphised or given human characteristics
Idiocentrics vs Allocentrics
Idiocentrics - individuals who have an individualist orientation
Allocentrics - individuals who have a group orientation.
Power of conformity
the impact of shaping one’s behaviour to meet the expectations of a group.
Need for uniqueness
degree to which a person is motivated to conform to the preferences of others versus standing apart from the crowd.
Real and Ideal Self
Ideal - a persons conception of how they would like to be.
Actual - a persons realistic appraisal of the qualities they do and do not possess.
Fantasy - bridging the gap between the two.
Multiple selves (3)
role identities - different components of the self.
symbolic interactionism - stresses that relationships with other people play a large part in forming the self.
looking glass self - process of imagining the reactions of others toward us.
Self consciousness
a painful awareness of ones self magnified by the belief that others are watching intently.
public - heightened concern
Symbolic self-completion theory
people who have an incomplete self-definition tend to complete this identity by acquiring and displaying symbols associated with it.
Self image congruence
products will be chosen when their attributes match some aspect of the self.
4 levels of the extended self
external objects that consumers consider apart of themselves 1 - individual level 2 - family level 3 - community level 4 - group level
Gender differences in socialisation
Agentic goals (male) - stress self assertion and mastery Communal goals (female) - stress affiliation and fostering harmonious relations
Sex identity
an important component of a consumer’s self concept.
Androgyny
the possession of both masculine and feminine traits.
Body image
a consumers subjective evaluation of their physical self.
Body cathexis
a person’s feelings about their body.
Ideal of beauty
a person’s satisfaction with their physical image is affected by how closely that image corresponds to the image valued by their culture.
Attitude components
emotion - way a consumer feels about an attitude object
cognition - beliefs a consumer holds about an attitude object
Attitude hierarchies (3)
standard learning hierarchy - learn feel do
low-involvement hierarchy - learn do feel
experiment hierarchy - feel do learn
Comparative advertising
a strategy in which a message features two or more recognisably presented brands and compares them in terms of specific attributes.
Emotion dimensions (3)
- pleasure
- arousal
- intimidation
Changing the cognitive component of attitudes (learn)
constructing the argument:
- supportive argument: present one or more positive attributes of the product
- refutational arguments: raise a negative issue then dismiss it.
drawing conclusions: determine whether to make conclusions on behalf of consumers or let them draw their own conclusions
Changing the emotion component of attitudes (feel)
- humor
- fear
using humour
- risky strategy as humour varies
- effective when the brand is clearly identified and humour does not distract
using fear
- emphasise negative consequences of not changing behaviour
- effective when the threat is immediate and accompanied with a solution to resolve the threat.
How do marketers change attitudes?
persuasion which involves an active attempt to change attitudes.
Psychologic principles that influence people (6)
- reciprocity (likely to give if we receive)
- scarcity (items more attractive when they aren’t available)
- authority (authoritative sources are more believable)
- consistency (people try not to contradict themselves)
- liking (we agree with those we like/admire)
- consensus (we consider others before deciding what to do)
Continum of buying decision behaviour
1 Habitual behaviour
2 Limited problem solving
3 Extensive problem solving
Extended problem solving
Decisions which adhere most closely to the traditional decision making perspective. Consumers seek information from memory and from outside sources.
Stages in consumer decision making (5)
- problem recognition (consumer recognises a problem or need or want)
- information search
- evaluation of alternatives
- product choice
- post purchase outcome
Limited problem solving
More straightforward, as buyers are not as motivated to seek information or alternatives and use simple decision rules.
Habitual decision making
Decisions with little/no conscious effort. Therefore consumers can be primed to respond without conscious thought. This allows consumers to minimise time and energy spent on purchase decisions.
Perspectives on consumer choice
- people will integrate information
- evaluate pros and cons of alternatives
- arrive at satisfactory decision
Buckets of consumer decision making (3)
- cognitive: deliberate, rational, sequential
- habitual: behavioural, automatic
- affective: emotional, instantaneous
Affective events theory
Experiencing an affective event can create an emotion that leads to an affect-driven attitude and behaviour.
Affect control theory
Explains that changes in our thoughts and behaviours to maintain our emotions, as opposed to changing our emotions to be consistent with our thoughts and behaviours.
Affect infusion model (4)
ways consumers change judgement: 1 - direct access 2 - motivated 3 - heuristics 4 - substantive processing
Affect as information
Decisions made based on how we feel.
Emotion as social influence (EASI) model
Explains how others use emotions to make decisions.
Influenced in 2 ways:
- inferential processes
- affective reactions
Ways consumers can be primed:
- manipulating environment to alter behaviour (layout, music)
- framing the perspective (food labels)
- retail stores are designed to generate movement
EKB model
- types of info searches
- search activity
Types of info search:
- external: seek information from marketers
- internal: based on memory
Search activity is greater when:
- purchase is important
- info is easy to obtain
- low prior experience
Economics of information
Assumes consumers will gather as much data as needed to make an informed decision. Continue until the value of additional information exceeds the cost of gathering it.
Variety seeking
The desire to choose new alternatives over more familiar ones.
Evoked set
Alternatives actively considered during decision making.
Consideration set
Alternatives that you would actually consider.
