MG103 - Final Flashcards
Consumer behavior
the activities associated w/ the purchase, use, and disposal of goods and services
basic research
examines general questions in an attempt to extract generalizable knowledge
applied research
examines specific questions marketers or companies care about
ways to get data
observations, experiments, surveys
primary data
you are gathering the data yourself (the data doesn’t already exist)
secondary data
you got the data from someone else
quantitative data
number based data
qualitative data
non numerical data
how to choose a research method
time you have, quantity of the effect to the number of people, type of firm or business they are in, the point you are at in your research
A/B Test
a randomized experiment method that is a way to compare two versions of something
attention is…?
limited, selective, and can be divided
process of marketers
- gain exposure
- attract attention
- keep attention and counteract habituation
perception is influenced by…
- the context
- pre-existing knowledge
- input from the five senses
attention economy
a concept that describes how humans manage info available to them
Weber’s Law
the just-noticeable difference between two stimuli is a function of the magnitude of the original stimulus
shrink-flation concept - used to figure out whether two stimuli seem different
JND - just noticeable difference
the Stroop Effect
the delay in reaction time between two stimuli
- congruent: word meaning matches font color
- incongruent: word meaning does not match font color
Miller’s rule
short-term memory capacity 7 +- 2 items
Gist
fuzzy impression of the general meaning of the experience
Verbatim
mental representation of exact detail
Are people more likely to share verbatim or gist?
gist (bottom line)
measures of memory in marketing: Top of mind
named the brand first
measures of memory in marketing: unprompted awareness
named the brand spontaneously (given category)
measures of memory in marketing: prompted awareness
recognized brand when asked
measures of memory in marketing: unprompted advertising awareness
remembered seeing ads spontaneously
measures of memory in marketing: prompted advertising awareness
remembered seeing ads when asked
measures of memory in marketing: advertising message recall
accurately remembered the content of the ads
Zeigarnik effect
consumers remember unfinished or interrupted tasks better than completed tasks
Classical conditioning
associate one stimulus with another, producing an involuntary response
evaluative conditioning
terminology for the special case of classical conditioning that affects evaluative responses to the CS
see endorser, positive feelings –> see brand, positive feelings
spontaneous recovery
conditioned response is not forgotten, just suppressed
UCS - Unconditioned stimulus
celebrities, imagery, senses, emotions
Positive Reinforcement
Something people like + Give it
- rewards systems (points, stars, etc.)
positive punishment
something people don’t like + give it
negative punishment
something people like + take it away
negative reinforcement
something people don’t like + take it away
kids want to avoid nagging, so they do what needs to be done (nagging results in desired behavior)
seatbelt beeping going off, stops beeping once buckled in
Punishment
frequency matters more than size
ex. parking tickets
affect
umbrella term for all our feelings
- emotions (don’t last very long), moods, personality
affect heuristic
a mental shortcut where current feelings, rather than information, drive the decision process
implications of affect heuristic
charitable giving
- statistical victim: just general statistics (7 million ppl have died) - identifiable victim: one particular victim (this girl in Africa needs your help)
also at play in risk assessment
- people afraid to fly but chances of dying higher when driving
affective forecasting
predicting your future feelings
- people are generally accurate about the direction of their feelings but not too accurate about the intensity or duration
pain of payment
tightwad: too difficult to spend money
spendthrift: not too much pain on spending money
unconflicted: have a little pain
method of payment may affect the pain
2 types of purchases: utilitarian and hedonic
need based vs. pleasure
people are motivated by their needs
Maslow’s hierarchy of needs
outdated hierarchy of motivators
modern: overlapped layers, basic needs still met when higher stakes motivators addressed
top to bottom: self actualization, self esteem, love and belonging, safety and security, physiological needs
compensatory products
when needs are not met, consumers vulnerable to marketing
people who feel they lack in income may purchase very flashy designer goods
self-determination theory
how internal a motivation is
- intrinsic motivation: desire derived from pure personal enjoyment
- involves activities that meet competence (knowledge in the subject), relatedness (human connection), and autonomy (self ruling)
confirmation bias
people are motivated to believe information that confirms what they think or want to think
range of decisions we make
- domain (time, money, social)
- time frame
- context
- level of risk
- routine or novel
- involvement (how much you care about it)
- reason (utilitarian vs. hedonic)
- process followed to make the decision
dual process models
different approaches to decisions and behavior
quick / emotional / automatic vs slow / rational / effortful
system 1 decisions
- if one of two objects is recognized, infer it has a higher value (recognition heuristic)
- compare to a category prototype (representativeness heuristic)
- info that is more mentally avail has a stronger influence on judgement (availability heuristic)
priming
to retrieve a specific memory from the web of associations, you must first activate one of the strands that leads to it
- makes concepts more mentally avail, more likely to be applied to a decision
market segmentation
creates groups of consumers w/ common needs, characteristics, or behaviors
- a way to identify your most valuable customers
pareto principle
applies to the distribution of sales and revenue
80-20 rule: for many events, roughly 80% of the effects come from 20% of the causes
personality
enduring characteristics and behavior that comprise a person’s unique adjustment
5 factor model (personality)
OCEAN
O - openness
C - conscientious
E - extraversion
A - agreeable
N - neuroticism
consumer choices reflect identities; products and brands that reflect self-identity are more likely to be chosen
framing
the way that info is presented; framing effects = when this impacts decisions
ex. 80% fat or 20% fat free
culture
patterns of meaning acquired and expressed by members in a group
exerts an influence thru social norms
norms
a culture’s rules of behaviors
learned partly by observing how others act and feel
difference between norms and social comparison
norms focus on how we want to act similarly to others while social comparison is about feeling better or worse than others
social comparison theory
how people evaluate their abilities and opinions by comparing them to others
theoretically, social comparisons can focus on what is different (contrast) or what is the same (assimilation)
Reasons why marketers care about culture
- helps with understanding consumers
- ethical marketing
- effective communication
- product development
- market entry and expansion
cues to infer someone’s status
- appearance
- settings
- activities
- possessions
- interpersonal associations
- voice
cues to higher status also change over time
