mid sem Flashcards
consumer behaviour
study of processes involved when individuals or groups select, purchase, use or dispose products/ideas/experiences to satisfy their needs and desires.
phases of consumer behaviour
pre-consumption
consumption
post-consumption
difference between consumer and customer
customer - someone who buys something.
consumer - person who identifies a need or desire, makes a purchase, and then disposes of the product.
market segmentation
process of dividing a market into distinct subsets of consumers who have common needs, selecting one or more segments to target with a distinct marketing strategy. mostly based upon usage.
4 types of relationship a person may have with a produce
self-concept attachment.
nostalgic attachment.
interdependence.
love.
4 types of consumption activities
consuming as an experience.
consuming as integration.
consuming as classification.
consuming as play.
need
something a person must have to live or to achieve a goal.
want
the particular form of consumption chosen to satisfy a need.
culture jamming
a strategy to disrupt efforts by the corporate world to dominate our cultural landscape.
it can change the way information flows, the way institutions wield power, the way TV stations are run, and the way other industries set their agencies.
green marketing
strategy involving an emphasis on protecting the natural environment.
greenwashing
when companies make false/exaggerated claims about how environmentally friendly their products are.
deviant consumer behaviour
actions that violate the accepted behaviour in a consumer context and results in harm for other customers or the organisation.
types of addictive consumption
consumer addiction
compulsive consumption.
consumer addiction
physiological and/or psychological dependency on products or services.
compulsive consumption
repetitive shopping, often excessive, as an antidote to tension, anxiety, depression or boredom.
consumed consumers
people who are used or exploited for commercial gain in the marketplace.
what is market segmentation used for?
to expand a market, or enter a new one. It helps us satisfy the specific needs or wants of particular consumers more efficiently
market segmentations
geographic segmentation. demographic segmentation. demographic profiles. psychographic segmentation. sociocultural segmentation. user related segmentation. benefit segmentation. hybrid segmentation.
geographic segmentation
market is divided by location.
consumers living in the same area are assumed to share the same needs and wants.
demographic segmentation
based upon the identifiable and measurable statistics of a population (age, gender, marital status, income, education, and occupation).
demographic profiles
includes size of households, number of children, income levels, education levels, employment info, etc.
psychographic segmentation
employs a series of statements designed to identify relevant elements of a consumer's personality, buying motives, interests, attitudes, beliefs, values. AKA AIO (activities, interests, opinion) or lifestyle analysis.
sociocultural segmentation
sociocultural variables (groups, cultures) can be used to subdivide markets base upon: family life cycle, social class, core cultural values, subcultural memberships, cross-cultural affiliations.
user related segmentation
categories consumers in terms of product, brand or service usage.
benefit segmentation
changing lifestyles play a major role in determining important product benefits.
hybrid segmentation
allows the marketer to combine individual approaches to define and identify segments more accurately.
segmentation strategies
behavioural targeting. micro targeting. concentrated marketing. differentiated marketing. counter-segmentation
behavioural targeting
based upon usage behaviour
microtargeting
applies narrowcasting to deliver personalised messages to individuals.
concentrated marketing
targets one segment with a unique marketing mix.
differentiated marketing
targeting several segments with individualised marketing mixes.
counter-segmentation
combining two or more smaller segments and targets based upon a generic need.
perception
process of selecting, organising, and interpreting information to make sense of it.
sensation
immediate response of our sensory receptors to basic stimuli such as light, colour, odour, and texture.
study of perception
focuses on what we add to raw sensations to give the meaning.
experimental marketing
seeks opportunities to connect with consumers by engaging in a sensory way and drawing on personal.
sensory marketing - visual
marketers rely heavily on visual elements in advertising, store design, and packaging
sensory marketing - smell
odours can stir emotions, create a calming feeling and improved consumer memory. Some responses to scents result from early associations that call up a good or bad feelings.
sensory marketing - sound
sounds affects people’s feelings and behaviours.
background music creates desired moods.
advertising jingles create brand awareness.
touch
encouraging shoppers to touch a product encourages them to image they own it, where people value things more highly if they own it.
taste
taste receptors contribute to our experience of many products.
subliminal perception
occurs when the stimulus is below the level of the consumer’s awareness.
attention
the extent to which processing activity is devoted to a particular stimulus.
perceptual selection
people notice a small portion of the stimuli to which they are exposed.
consumers are often in a state of sensory overload, exposed to far more information than they can or are willing to receive.
personal selection factors
experience.
perceptual vigilance.
perceptual defence.
adaptation.
stimulus selection factors
size, colour, position, novelty.
interpretation
the meaning that we assign sensory stimuli.
Gestalt perceptual principles
ensures that the perceiver organises a lot of separate images into a familiar image.
positioning strategy
a fundamental part of a company’s marketing efforts as it uses elements of the marketing mix to influence the consumer’s interpretation of its meaning.
a message has 3 components:
object - the product that focuses the message.
sign - the sensory image that represents the intended meanings of the object (icon, index, symbol).
interpretant - the meaning derived from a sign to symbol.
motivation
the process that leads people to behave as they do.
once a need has been activated, a state of tension exists that drives the consumer to attempt to reduce or eliminate the need.
goal
the end state that is desired by the consumer.
drive
degree of arousal present due to a discrepancy between the consumer’s present state and some ideal state.
intrinsic motivation
to be motivated by the enjoyment of an activity without a further end-goal.
extrinsic motivation
motivated by external influences, or by a goal that is separate from ourselves.
need for achievement
to attain personal accomplish.
need for affiliation
to be in the company of others.
need for power
to control one’s environment
need for uniqueness
to assert one’s individual identity.
Maslow’s hierarchy of needs
hierarchy made up of biogenic and psychogenic needs, the order of development is fixed.
physiological > safety > belongingness > ego needs > self-actualisation
one of the most influential theories for motivation in marketing.
brand equity
when a brand has strong positive association in a consumer’s memory and commands loyalty.
(classical conditioning)
behavioural learning theories
learning takes place as a result of responses to external events.
people’s experiences are shaped by feedback they receive as they go through life.
types of learning theories
classical conditioning
instrumental or operational conditioning
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 this second stimulus causes. similar response because it is associated with the first stimulus.
more likely to occur after repetition, as repetition increases the strengths of the associations.
marketing applications of classical conditioning principles
used to promote aspects of products through pairing images, people or sensory stimulation. the condition stimulus should be presented prior to the unconditioned stimulus.
creating positive associations by marketing.
applications of repetition.
applications of stimulus generalisation.
applications of stimulus discrimination
instrumental or operant conditioning
occurs as the individual learns to perform behaviours that produce positive outcomes and avoid behaviours that yield negative outcomes.
- positive reinforcements (rewards)
- negative reinforcement
- punishment
- extinction
frequency marketing
reinforces regular purchases bye giving them reward with values that increase along with the amount purchased (frequent flyer programs, crown casino loyalty card)
gamification
application of game elements such as points, competition and rules to encourage engagement with a brand, product or organisation
cognitive learning theory
this theory stresses the importance of internal mental processes.
it is about thinking and processing.
this perspective acknowledges people as problem-solvers who actively use information from the world around them, then uses that info to take action.
environmental approach,
people learn based on progressing through 3 stages:
inactive representation (action-based). iconic representation (image-based). symbolic representation (language-based).
maturation approach
Piaget
we respond to a situation based on our existing knowledge.
when there is no schemata, or plan for a particular situation, we modify our behaviour and learn from the situation we are in.
assimilation
assimilation
process where we respond to the situation based upon existing knowledge.
observational learning
occurs when we watch the actions of others and note the reinforcement they receive for their behaviours, so learning occurs as a result of vicarious rather than direct experience.
marketing applications of cognitive learning principles
- marketers can reinforce or punish consumers by showing them what happens to desirable model who do or do not use their products.
- consumers’ evaluations of models are not limited to stimulus-response connections.
- attractiveness can be based on several components (e.g., attractiveness, expertise and similarity to the evaluator).
memory
a process of acquiring and storing information over time so that it will be available when needed.
stages of memory
encoding - information entered in a recognisable way.
storage - knowledge integrated into what is already in memory and warehoused.
retrieval - the person accesses the desired information.
sensory meaning
a consumer may process a stimulus simply in terms of its sensory meaning (colour, shape), which is why we use these in our marketing messages.
semantic meaning
symbolic associations, such as the idea that rich people drink champagne or that fashionable men wear earrings.
memory systems
sensory memory
short-term memory
long-term memory
sensory memory
very temporary storage of information we receive from our senses.
short-term memory
limited period of time and limited capacity. working memory (holds memory we are currently processing).
long-term memory
can retain information for a long period of time.
in order for information to enter the LTM, elaborative rehearsal is required. this process involves thinking about the meaning of a stimulus and relating it to information already in memory.
chunking
when information is stored by combining small pieces into larger ones.
factors influencing retrieval of information for purchase decisions.
physiological factors (age). situational factors (brand, viewing environment).
personality
a person’s unique psychological make-up and how it consistently influences the way a person responds to their environment.
traits relevant to consumer behaviour
innovativeness
materialism
self-consciousness
need for cognition
self-consciousness
degree to which a person deliberately monitors and controls the image of the self that is projected to others.
brand personality
set of traits people attribute to a product or brand as if it were a person.
a brand personality is a statement about how the brand is positioned and understanding tis is crucial to any marketing strategy.
brand equity
the extent to which a consumer holds strong, favourable and unique associations with a brand in memory.
relationships between consumers and brand personality
trusted brands,
sociable brands,
exciting brands,
sincere brands.
theory of Cognitive Dissonance
a state of tension occurs when beliefs or behaviours conflict with one another (aka buyer’s remorse).
cognitive dissonance reduction
process by which people are motivated to reduce tension between beliefs or behaviours and thus eliminate tension (e.g., wearing a hat when getting a bad haircut).
motivational conflicts
approach-approach
approach-avoid
avoid-avoid
self
how a person organised thoughts, feelings, identities and motives in an interactive system influenced by self-reflection and their personal view of their characteristics.
3 dimensions of self
bodily or material self.
relational self.
reflective self.
bodily self
influence by our biological needs.
relational self
emerges through our social and cultural interactions which shape our collective identities, shared values and cultural orientation.
reflective self
view of the self as an active agent that has the capacity to objectively examine, judge and sometimes regulate or revise our selves.
self concept
the beliefs a person hold about their own attributes and they evaluate these qualities.
dimensions of attributes:
content, positivity, intensity, stability, and accuracy.
how to modify the self concept?
by discovering new ideas, joining social groups we admire, endorse certain types of people over others, and by receiving images from the culture around us.
self esteem
positivity of a person’s self-concept.
self-esteem advertising
attempts to change products attitudes by stimulating positive feelings about the self.
identity
any category label with which a consumer self associates.
ideal self
a person’s conception of how they would like to be.
partially folded by elements of a consumer’s culture.
actual self
a person’s realistic appraisal of the qualities they do and do not possess.
impression management
our efforts to manage what others think of us by strategically choosing cues that put us in a good light.
fantasy
a self induced shift in consciousness.
fantasy appeals
marketing communications aimed at individuals with a large discrepancy between their real and ideal selves.
marketing strategies: allow us to extend our vision of ourselves by placing us in unfamiliar, exciting situations or by permitting us to try on interesting or provocative roles.
self-consciousness
a painful awareness of oneself magnified by the belief that others are watching intently..
public self-consciousness
a heightened concern about the nature of one’s public image.
self-image congruence model
products will be chosen when their attributes match some aspects of the self.
symbolic self-completion theory
people who have an incomplete self-definition tend to complete this identity by acquiring and displaying symbols associated with it.
the extended-self
external objects that consumers consider a part of themselves.
-individual level, family level, community level, and group level.
