Influences on marketing Flashcards
Factors influencing consumer choice
Psychological
Economic
Government
Sociocultural
Psychological influences
Influences within an individual that affects his/her buying behaviour (PMAPS L)
Perception
Motives
Attitudes
Personality
Self-image
Learning
Economic influences
Economic forces that influence a businesses capacity to compete and a customers willingness to spend (BB)
Boom
Bust
Sociocultural influences
Influences exerted by other people and groups that effect an individuals buying behaviour (SPF C)
Social class
Peer group
Family role
Culture and sub-culture
Government
Policies that directly/indirectly influence business activity and customers spending (ER)
Economic policies
Regulation and laws
Consumer laws
Warranties
Deceptive and misleading advertising
Implied conditions
Price discrimination
The Australian consumer law (2011)
The ACL is a single national law that ensures all customers have the same rights and all Australian business are subject to the same conditions
The competition and consumer act (2010)
The CCA is an act affecting marketing and overall business activity in Australia. It has 2 main purposes
1. Protect customers against undesirable practices
2. Regulate certain trade practices that restrict competion
Who are the ACL and CCA enforced by
The Australian Securities And Investment Commission (ASIC) and The Australian Competition And Consumer Commission (ACCC)
Deceptive and misleading advertising
When a business makes any representation (direct or implied), the business must ensure that the representation is not untrue or false and is not likely to mislead consumers.
The CCA makes this illegal.
Price discrimination
Price discrimination involves charging customers different prices for the same product or service based on what the seller thinks they can get the customer to agree to.
The CCA prohibits price discrimination - if it could substantially reduce competition.
Implied conditions
Implied conditions are the unspoken and unwritten terms of a contract.
The CCA introduced new consumer guarantees providing customers with remedies if goods failed to comply with provisions in the ACL - Under the ACL products/services come with automatic guarantees that they will work and do what you asked for.
Warranties
A warranty is a promise made by a business that they will correct any defects in the goods that they produce or in the services that they deliver; that is, it is a promise to repair or replace faulty products.
The CCA prohibits False or misleading statements concerning the existence and exclusion of certain conditions of the warranty.
Ethical issues/influences
Good taste in advertising
Engaging in fair competition
Truth and accuracy in advertising
Sugging
Products that may damage health
