Session 9

Question 1

Why do people buy some products and not others?

Answer 1

Consumers have different motivations for their behaviors.

Question 2

Why do marketers care about these motivations
and behaviors?

Answer 2

Understanding what consumers do, and why they do it, is a
vital first step towards being able to predict and (ultimately)
influence these behaviors.

This helps us to more effectively orient our marketing actions
around the wants and needs of our consumers.

Question 3

How do marketers learn about consumer behavior? (2)

Answer 3

1. Questioning
2. Observation

Question 4

What is included in questioning? (in context about learning about consumer behavior) (4)

Answer 4

Qualitative methods
1. Focus groups
2. In-depth interviews
3. Quantitative Methods
4. Surveys

Question 5

What is included in observation? (in context about learning about consumer behavior) (2)

Answer 5

1. Direct observation
2. Field experiments

Question 6

What is rationale behind focus groups?

Answer 6

in-depth probing, unstructured discussion, ability to
observe dynamics

Question 7

What is typical format of focus groups?

Answer 7

8-10 carefully chosen individuals, 1-2
moderators, about 1-hr long, incentives for participants

Question 8

For what are focus groups commonly used?

Answer 8

Products, product concepts, ad copy, script for
further studies, questionnaire design

Question 9

In what does direct observation consist? (in context about learning about consumer behavior)

Answer 9

Watch how your customers interact with your products or your
services

Question 10

What are the 2 direct observation approaches?

Answer 10

1. Hidden observer
2. Lab-based observed product usage

Question 11

What is a hidden observer? What does he look for (3)?

Answer 11

researcher disguised as a shopper
1. How long are lines?
2. What are people looking at?
3. How easy is it for them to find products?

Question 12

What are the types of ‘lab-based observed product usage’? (3)

Answer 12

1. In-person experiences
2. Online user testing
3. Biometrics

Question 13

What are the steps of consumer decision process (in order)? (4)

Answer 13

Awareness, interest, desire, action

Question 14

What are the steps of consumer decision process (other ones, in order)? (5)

Answer 14

1. Need recognition
2. Information search
3. Evaluation
4. Purchase decision
5. Post-Purchase Behaviour

Question 15

Where does classic ‘purchasing funnel’ lack? (4)

Answer 15

1. emphasis on sales/closure, not customer experience and CLV
   - no post-purchase behavior phase
   - no place for satisfaction, repeat purchase, word-of-mouth
2. fails to capture all touch points
   - digital/social channels
   - well-informed, powerful customers with many choices
3. no feedback loop / iteration
4. views marketing as a monologue rather than a dialogue

(purchasing is not a finish line…)

Question 16

What is need recognition?

Answer 16

Assessing present state and desired state, realizing there is a particular need to get there (**interpretation, not written)

Question 17

What are 2 types of information search and evaluation?

Answer 17

1. Internal
2. External

Question 18

What does internal part of information search and evaluation involve?

Answer 18

Scan memory for past experiences

Question 19

What type of sources does external part of information search and evaluation include? (3)

Answer 19

1. Personal sources (relative, friends, etc.)
2. Public sources (public rating platforms, government agencies, etc.)
3. Marketing dominated sources (advertising, salespeople, store displays, company websites, etc.)

Question 20

What is satisfaction the main driver of?

Answer 20

1. Repeat business
2. Positive word-of-mouth

Question 21

Consumer involvement: see slide 25

Answer 21

.

Question 22

What is motivation?

Answer 22

the psychological process that initiates, guides,
and maintains goal-oriented behaviors.

Question 23

How can marketers take advantage of motivation?

Answer 23

By promoting motivation to purchase (e.g.., by highlighting unmet needs that their product can fulfill).

Question 24

What are 5 categories of needs? (from less important to most)

Answer 24

1. Self-actualization need (e.g., Self-fulfillment)
2. Personal needs (e.g., Status, respect, prestige)
3. Social needs (e.g., friendship, belonging, love)
4. Safety needs (e.g., freedom of harm, financial security)
5. Physiological needs (e.g., food, water, shelter, oxygen)

Question 25

3 components of motivation?

Answer 25

exposure—> attention —> perception

Question 26

see slide 32

Question 27

Difference between word-of-mouth and advertisement?

Answer 27

Word of mouth much more influential than advertisements

Question 28

What is word-of-mouth?

Answer 28

Recommendations from trusted sources

Question 29

What is viral marketing (what does it aim to do)?

Answer 29

aims to generate a lot of word of
mouth online, so that people spread key messages
about a given product

Question 30

What are 3 types of socio-cultural influences?

Answer 30

1. Conformity
2. Informational influence
3. Cognitive shortcut

Question 31

What is conformity (in context of socio-cultural influences)?

Answer 31

doing the same as others; ‘monkey see,
monkey do”

Question 32

What is informational influence (in context of socio-cultural influences)?

Answer 32

other people as a source of
information

Question 33

What are cognitive shortcuts (in context of socio-cultural influences)?

Answer 33

often easier to do what others do
than to fully investigate all options

Question 34

What are the sources of socio-cultural influences? (6)

Answer 34

1. Culture
2. Family
3. Reference Group (e.g. social media)
4. Opinion Leaders (e.g. professionals)
5. Formal Leader (e.g. prime minister)
6. Aspirational Group