Lecture 1 Flashcards
What is consumer behaviour?
The study of the processes involved when individuals or groups select, purchase, use or dispose of products, services, ideas or experiences to satisfy the needs and desires.
Name the four different eras of marketing?
- Manufacturing era
- The selling era
- The marketing era
- Modern Marketing era
What does the consumer decision making process consist of ?
- need recognition
- searching for information
- pre-purchase decision
- pre-purchase evaluation
- purchase decision
- post-purchase behaviour
What are needs?
These are basic human requiremenents (air, food, water,).
What are the 3 issues for consumers?
- pre-purchase
- purchase
- post-purchase
What are the 3 issues for marketers?
- pre purchase
- purchase
- post purchase
Why understand consumer behaviour?
to SATISFY the consumer needs, and you have to understand their needs in order to satisfy them. What people buy, why they buy and how to connect with people
What are the different types of market segmentations?
- demographics
- psychographics
- relationship marketing
market segmentation
identify groups of consumers who are similar in certain ways. Marketing strategies are then created specifically to appeal to those segments.
demographics
statistics that measure observable aspects of a population such as birth rate, age distribution and income.
example: statistics canada is a major source of demographic data
psychographics
differences in consumers personalities, attitudes, values and lifestyles
ex: the way we feel about ourselves, our attitudes to things around us, things we value
relationship marketing
involves making an effort to interact with customers on a regular basis, giving them reasons to maintain a bond with the company over time.
database marketing
database marketing tracks specific consumers buying habits very closely and crafts products and messages tailored precisely to peoples wants and needs based on this information
Popular culture
inspirational and influencial. Examples are music, movies, sports celebrities consumed by mass market is both a product of and an inspiration for marketers Tweeting, boxing day.
People often buy product not for what they do but for
what they mean.
brands convey image/personality. Helps us form bonds with other who share similar preferences.
Give some examples of popular culture
tweeting, boxing day shopping, stanley cup playoffs
Why should businesses care about consumer behaviour?
- Understand what people buy
- Understand why people buy
- Understand how to connect with people
corporate social responsibility
companies voluntarily choose to protect or enhance their positive social and environmental impacts as they go about their business activities.
Social marketing
using marketing techniques to encourage positive behaviours such as increase literacy or to discourage negative activities.
green marketing
an approach in which marketers offer products in ways that are less harmful to the environment
cause-related marketing
when some companies promise to donate their money or resources to good causes as a purchase incentive
What are the dark sides of marketing?
- Addictive consumption
- Compulsive consumption
- Impulsive consumption
- ecological crisis
What are the three common elements of destructive consumer behaviour?
- behaviour is not engaged by choice
- gratification from the behaviour is short lived
- person gets strong feelings of regret or guilt right after
business ethics
rules of conduct that guide actions in the marketplace, vary according to culture. (knowing right from wrong)
Name some issues revolved around consumerism?
- consumer theft
- shrinkage (loss of inventory due to theft)
- anti-consumption
How do we collect information on customers?
- Primary Research
2. Secondary research
Primary research
Data collected by researcher specifically for the research question at hand
Secondary research
Researcher use collected data by another entity to answer a new research question
Examples of primary research include:
- survey research
- focus groups
- experimental research
- interview
- observational research
- eye-tracking
- neuromarketing
- A/B Testing
eye tracking
showing what parts of an are are looked at by the eyes more
New approach
Neuroscience
What are come influences on consumer behaviour?
- Personal and Psychological Influences
- Marketing Mix Influences
- Situational Influences
- Sociocultural Influences
Marketing Mix includes:
Price, Product, Place, Promotion
Situation Influences include:
Purchase task, social surroundings, physical surroundings, temporal effects, antecedent states
Sociocultural Influences include
reference groups, roles and status, family, culture, subculture, social class
personal and psychological influences
- perception
- motivation
- occupation
- age/life cycle
- lifestyle
- personality
- beliefs
- attitudes
consumer addiction
psychological dependency on products or services (drinking alcohol, smoking cigarettes, drugs, addiction to technology, gambling).
shrinkage
industry term for shoplifting and employee theft.
anti-consumption
product tampering, graffiti, political protests where property is destroyed.
