Midterm (Chapter 1-4) 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 needs and desires
What are the two ways to find out about customers?
Primary research and secondary research
What is primary research?
When data is collected by the researcher specifically for the research question at hand
More expensive, time-consuming
What is secondary research?
When the researcher uses pre-existing data to answer a new research question
There is existing data out there, you use that to aid in your research
Cheaper, easier, faster, not always the most accurate or newest information, can be outdated
What are examples of sensory stimuli?
Sights, sounds, smells, tastes, textures
What are examples of sensory receptors?
eyes, ears, nose, mouth, skin
What was consumer behaviour referred to as before it was called consumer behaviour?
Buyer behaviour
Is consumer behaviour an ongoing process?
Yes
Did people who study consumer behaviour always think that it was an ongoing process?
No
What does “the exchange” refer to in marketing? (old definition)
two or more organizations/people give and receive something of value
this is an important part in marketing
What does the new definition of “the exchange” include?
It now includes the entire consumption process (before, during, and after the purchase)
What is the ultimate test of whether a marketing strategy will succeed or not?
Consumer response
What is marketing segmentation?
Identifies groups of customers who have similar traits then devises marketing strategies that appeal to one or more of the groups
What is the 80/20 rule when segmenting customers?
20% of users account for 80% of sales
What are examples of how you could segment the market?
age, gender, ethnicity, geography, lifestyles…
What is relationship marketing?
making an effort to interact with customers on a regular basis.
This gives them a reason to maintain a bond with the company over time
What is database marketing?
tracks specific consumers’ buying habits very close to crafting products and messages to those people’s wants/needs
What are some of the types of relationships someone might have with a product
Self-concept attachment (helps people establish their identity)
Nostalgic attachment (link with past self)
interdependence (part of daily routine)
Love (emotional benefit, positive feelings)
What is consumer-generated content?
consumers voice their opinions about the product, or brand. (on social networks primarily)
What is the meaning of consumption?
people often buy products not for what they do, but for what they mean
What is the “global consumer”
a common devotion to a brand name, movie star, or celebrity unites people worldwide.
What do we owe the possibility of the global consumer to?
the interconnectedness provided by technology
social media, the internet…
What is U commerce?
the use of ubiquitous networks (things that are found everywhere)
Example: activewear technology with customized advertisements on your watch
What has helped make consumer-to-consumer sales easier?
virtual consumption (electronic marketing)
Example: etsy
What is the horizontal revolution?
how information flows through the internet. it used to go from big companies to users. Now it flows across people as well.
What are synchronous interactions?
real-time interactions
Example: texting someone, you are able to respond and have a conversation
What are asynchronous interactions?
interactions that don’t require everyone to respond immediately
What does “culture of participation” mean
the ability to freely interact with other people
What are business ethics?
rules of conduct that guide actions in the marketplace
People’s standards: what people think is right and wrong, good or bad.
What is a code of ethics?
Organizations will create their own code of ethics that provides guidelines for how to conduct yourself
What is an example of what would be in the code of ethics of a business?
Avoid false or misleading advertising
What is culture jamming?
The aim is to disrupt the efforts of corporations that try to dominate the cultural landscape
What is green marketing?
marketers offer products in ways that are less harmful to the environment and position the brand on the basis of sustainable attributes
What is social marketing?
Marketing techniques to encourage positive behaviours such as increased literacy, or discourage drinking and driving.
What is consumer addiction?
profit from selling addictive products or by selling solutions to addiction
What is compulsive consumption?
consumers shop because they feel compelled to do so
Often repetitive, excessive, done for anxiety, depression, or boredom
What are three things to look for to identify destructive consumer behaviour?
Not engaged in by choice
Gratification derived from the behaviour is short-lived
Strong feelings of regret or guilt afterward
What does the term shrinkage mean?
inventory and cash losses from shoplifting and employee theft
Who is shoplifting most common for?
3/4 of those caught are middle/high-income individuals
It is also common among adolescents
What is anticonsumption?
rebelling against the idea of consumption itself
What are examples of anticonsumption?
Most commonly known as boycotting a particular brand
Could also be: product tampering or graffiti on buildings
Why would one use projective techniques?
If they want consumers’ subjective reactions to things like brand names, colours, and advertising images
How are projective techniques done?
Consumers are asked to explain or interpret ambiguous objects or activities
Some cases have consumers reporting the words that come to mind quickly
When would a researcher use experiments?
if a researcher wants to make cause-and-effect claims
What are humans’ external stimuli?
Sight, hearing, feel, taste, smell
Can external stimuli trigger internal sensory?
Yes
Example: hearing a song and reliving a moment
Do colours influence your emotions?
Yes
Do colours have different meanings in different cultures?
Yes
What factors affect humans’ response to color?
Age
Sex
What is a company’s trade dress?
The colors that are strongly associated with a particular company
Example: Yellow and Red for McDonalds
What system do we use to process smell cues?
Limbic system
What is sound symbolism?
The way a word sounds influences our assumptions about what it describes
Example: People are more likely to recognize brand names that start with a hard consonant (K, P…)
What happens when customers are able to touch and interact with a product? (with regards to attachment)
It creates a greater level of attachment, increasing what they are willing to pay for it
