week two - consumer decision process

Question 1

what are the five stages in consumer decision making

Answer 1

1) problem recognition
2) information search
3) evaluation of alternatives
4) buying decision/not buying decision (purchase)
5) outcomes after buying the product (post-purchase experience)

Question 2

what are some of the types of consumer decisions

Answer 2

• low/high cost
• frequent/infrequent purchasing
• low/high consumer involvement
• familiar/unfamiliar brands
• little/extensive thought given to the purchase

Question 3

what is the customer problem

Answer 3

any state of discomfort, deprivation felt by a person

Question 4

what is problem recognition

Answer 4

a realisation by the customer that he or she need to buy something to get back ot the normal state of comfort physically or psychologically due to an internal or an external stimulus, and can arise from an actual or ideal state

Question 5

what is information search

Answer 5

the process in which we survey the environment for appropriate data to make a reasonable decision

Question 6

what ate the types of information search

Answer 6

1) internal/external search
2) repurchase vs ongoing search
3) deliberate vs accidental search

Question 7

what are the determinants of a prepurchase/ongoing search

Answer 7

prepurchase:
- involvement with purchase
ongoing:
- involvement with product

Question 8

what are the motives of a prepurchase/ongoing search

Answer 8

prepurchase:
- making better purchase decisions
ongoing:
- building a bank of information for future use

Question 9

what are the outcomes of a prepurchase/ongoing search

Answer 9

prepurchase:
- better purchase decisions
ongoing:
- increased impulse buying

Question 10

what are the determinants of the amount of search

Answer 10

• time pressure
• familiarity and expertise
• involvement

Question 11

what marketer/non-marketer sources can we use to find information

Answer 11

marketer:
- mass media/personal media (e.g. advertising)
non-marketer
- personal (e.g. friends and family)
- independent sources (public information)

Question 12

what are non-compensatory criteria

Answer 12

short cuts to making choices, people eliminate options that do not meet basic standards

Question 13

what are compensatory criteria

Answer 13

the willingness to offset good product qualities against bad ones

Question 14

what are the three non-compensatory criteria

Answer 14

• lexicographic
• elimination by aspects
• conjunctive

Question 15

what are the two compensatory criteria

Answer 15

• simple additive
• weighted additive

Question 16

what is lexicographic

Answer 16

• The brand that is the best based on the most important attribute
• If two or more brands are seen as being equally good on that attribute, the consumer then compares them on the second most important attribute
• This selection process goes on until the tie is broken

Question 17

what is elimination by aspects

Answer 17

• Brands are evaluated on the most important attribute
• In this case, though, specific cut-offs are imposed

Question 18

what is conjunctive

Answer 18

• this entails processing by brand
• as with the elimination-by-aspects procedure, cut-offs are established for each attribute
• A brand is chosen if it meets all of the cut-offs, while failure to meet any one cut-off means
  it will be rejected
• If none of the brands meet all of the cut-offs, the choice may be delayed, the decision rule may be changed, or the cut-offs may be modified

Question 19

what is meant by simple additive

Answer 19

• the consumer merely chooses the alternative that has the largest number of positive attributes
• This choice is most likely to occur when his or her ability or motivation to process information is limited
• One drawback to this approach for the consumer is that some of these attributes may not be very meaningful or important
• An ad containing a long list of product benefits may be persuasive, despite the fact that many of the benefits included are actually standard within the product class and aren’t determinant attributes at all

Question 20

what is meant by weighted additive

Answer 20

• When using this rule, the consumer also takes into account the relative importance of positively rated attributes, essentially multiplying brand ratings by importance weights
• If this process sounds familiar, it should. The calculation process strongly resembles the multi-attribute attitude model

Question 21

why might people deviate from the identified choice

Answer 21

• physical surroundings
• social surroundings
• emotional states
• time experience
• store image, atmospherics

Question 22

what is cognitive dissonance

Answer 22

a post-purchase doubt the buyer experiences about the wisdom of the choice

Question 23

expectancy disconfirmation model

Answer 23

topic 2, end of slides