Lecture 3 - Consumer well-being, values and morality

Question 1

Why are advertising executives so untrusted?

Answer 1

A lot of companies release useless products that consumers do not actually need
Ex: The Nicer Dicer Plus: tool that helps you cut vegetables (you can cut them already on your own)

Question 2

Research showing how consumers are pragmatic

Answer 2

Body lotion that said it contained recitine on the packaging
People had no clue what recitine was
If it is on the packaging then it must be good
They interpret the packaging is good

Question 3

Hedonic treadmill

Answer 3

Ongoing process of seeing a product, buying it, being satisfied for a short time, adapt to the product, and wanting a new one

Question 4

Trend: shift to consumer well-being

Answer 4

Global consumers believe wellness should be a core mission for brands
Consumers prefer personalized experiences that align with their values and needs
Consumers express willingness to pay more for enhanced experiences that provide comfort and pleasure, as well as personal growth.

Question 5

Experiences vs things

Answer 5

Experience = spending money to acquire an experience
Things = spending money to acquire material possession

Question 6

Hedonic well-being

Answer 6

What is subjectively pleasant
Pleasure: positive emotions
Comfort: relaxation, ease and painlessness

Question 7

Eudaimonic well-being

Answer 7

What is truly, objectively and inherently good and right
Authenticity: clarifying one’s true self and values
Meaning: seeking what truly matters and what has value
Excellence: striving for high standards and quality in one’s ethics
Growth: gaining knowledge, insight and skill

Question 8

Eduaimonia and hedonia are things you…

Answer 8

Want (orientation)
Do (behavior)
Feel (experience)
Can achieve (functioning)
… but they’re primarily defined as orientations (things you want)

Question 9

Scale measuring eudaimonia and hedonic

Answer 9

Seeking relaxation?
Seeking to develop a skill?
Seeking to do what you believe in?

Question 10

Parenting styles - authoritative

Answer 10

Parents with an authoritative style raise children with a sense of eudaimonia
Hedonia is not related to any parenting styles

Question 11

Why do people need to know about hedonia and eudaimonia?

Answer 11

People need to meet their well-being needs
Their orientation depends on context

Question 12

Loyalty

Answer 12

Consumer’s commitment to a brand
Repeated purchases
Positive word-of-mouth recommendations

Question 13

Experimental things

Answer 13

Spending money with the primary intention of acquiring a life experience

Question 14

Material purchases

Answer 14

Spending money with the primary intention of acquiring a material possession

Question 15

Ambiguous nature of some purchases

Answer 15

It is not whether a purchase is material or experimental, instead it is the set of psychological processes that tend to be invoked by experiences and material goods that determine how much satisfaction they provide

Question 16

Why are experiential purchases better?

Answer 16

1. Experiential purchases enhance social relations more than material goods.
2. Experiential purchases form a bigger part of a person’s identity
3. Experiential purchases are evaluated more on their own terms and evoke fewer social comparisons than material purchases

Question 17

Materialism

Answer 17

The chronic tendency to view monetary possessions as important sources fir of satisfaction in life

Question 18

Low materialism

Answer 18

If experiences and things are positive, consumers derive happiness from that instead of material possessions
If experiences are negative they suffer more disappointing experiences from things

Question 19

High materialism

Answer 19

No difference in happiness derived from positive experiences and things
They suffer more from disappointing possessions than experiences

Question 20

Intrinsic motivation

Answer 20

Because of the interest and enjoyment in the task itself
Enjoyment
Purpose growth
Curiosity
Passion
Fun

Question 21

Extrinsic motivation

Answer 21

Because of the outcome that will result in doing the task
Promotions
Pay raises
Bonuses
Benefits

Question 22

Which orientations fulfil intrinsic needs?

Answer 22

Both eudaimonic and hedonic

Question 23

Eudaimonic well-being

Answer 23

Based on self-determination theory - eudaimonic well-being is about experiences that allows u to satisfy the following needs:
Competence
Autonomy
Relatedness

Question 24

Research on hedonic vs eudaimonic happiness

Answer 24

A person showed a joyful face (hedonic orientation), angry face and determined face (eudaimonic orientation)
Participants distinguished the joyful face as it is associated with hedonic happiness and is easier to recognize
Participants had a hard time distinguishing between the angry face and the determined face - when someone is experiencing eudaimonic happiness they might not look happy

Question 25

Freedom from

Answer 25

Being away from the hectic and stressful everyday life, putting aside your thoughts
Calm and hedonic experiences

Question 26

Freedom to

Answer 26

Being whatever you want to be, feeling confident, feeling balanced
Eudaimonic experiences relate to this omre

Question 27

Mogilner and Bhattacharjee

Answer 27

Younger people tend to derive more happiness from extraordinary experiences than ordinary experiences
Difference disappears when people get older

Question 28

Values and Morality

Answer 28

Consumers are willing to pay a minimum for products from a socially responsible company
More likely to buy from companies that advocate for issues they care about
75% of consumers refuse to purchase from companies that support contrary issues

Question 29

Schwartz (2012) value dimensions

Answer 29

Vertical axis: promotion vs prevention (power and achievement)
Horizontal axis: self-focus vs social-focus

Question 30

Value Quadrants

Answer 30

Openness to change
Self-transcendence
Conservation
Self-enhancement

Question 31

Most important values

Answer 31

Benevolence, universalism and self-direction

Question 32

Least important values

Answer 32

Power and stimulation

Question 33

Opposing relationships between values

Answer 33

Self-transcendence vs self-enhancement: actions expressing self-transcendence reduce self-enhancement motives
Openness to change vs conservation: acting on openness to change reduces motivation for conservation

Question 34

Brand values - ING

Answer 34

‘Love beats money’ campaign
The campaign illustrated family relations, but consumers do not associate ING with this
Inconsistency with ING actions, CEO got a 50% raise after the campaign
Misfit between self-enhancement reputation of ING and the self-transcendence-oriented campaign

Question 35

Values in different sectors

Answer 35

Banks: expected to prioritize competence, achievement and power
Public services: expected to exhibit benevolence and act with good intentions

Question 36

Conflicting values in advertising messages

Answer 36

Advertisements addressing promotion and prevention values may be less persuasive
Messages are harder to process when they are conflicting
Rolex: attempts to connect luxury (self-enhancement) with moral betterment (self-transcendence)

Question 37

Citizen/consumer paradox

Answer 37

‘Citizen’ wants ethical, ‘consumer’ wants equality
People have inconsistent identities

Question 38

How can ethical consumer behavior be stimulated?

Answer 38

People need to be confronted with ethical information and not wait for them to ask for it

Question 39

Why do people not want to have ethical information?

Answer 39

Blissful ignorance: people avoid ethical information because they want to preserve their current behavior without feeling guilty
Cognitive dissonance: if you made a non-ethical choice, it gives you unease if you care about the environment