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301 Cards in this Set
- Front
- Back
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consumer behavior |
describes how consumers make purchase decisions and how they use and dispose of the purchased goods or services consumers product and service preferences are changing marketing managers must understand these desires in order to create a proper mix for market |
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value |
personal assessment of the net worth one obtains from making a purchase |
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perceived value |
value a consumer expects to obtain from a purchase |
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utilitarian value |
value derived from a product or service that helps the consumer solve problems and accomplish tasks |
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hedonic value |
value that acts as an end in itself rather than as a means to an end |
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traditional consumer decision making process |
1. need recognition 2. information search 3. evaluation of alternatives 4. purchase 5. post purchase behavior represent traditional buying process used as a guide for studying how consumers make decisions |
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need recognition |
result of an imbalance between actual and desired states first stage in decision making process |
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want |
recognition of an unfulfilled need and a product that will satisfy it |
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stimulus |
any unit of input affecting one or more of the five senses |
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want got gap |
imbalance between actual and desired states does not always trigger consumer action -gap must be large enough to drive consumer to take action -objective is to get consumers to recognize the want got gap |
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internal information search |
recalling past information stored in the memory |
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external information search |
seeking information in the outside environment |
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non marketing controlled information source |
product information source that is not associated with promotion |
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marketing controlled information source |
product information source that originated with marketers promoting a product |
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customers seek less information about a product when there is |
less risk involved more knowledge and more product experience low level of interest confidence in the decision taken |
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customers seek more information about a product when there is |
more risk involved less knowledge and less product experience high level of interest lack of confidence in decision taken |
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evaluation of alternatives and purchase |
consumer is ready to make a decision after creating an evoked set consumers evaluate and compare alternatives with help of environment, internal information, external information |
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evoked set |
consideration set group of brands resulting from an information search from which a buyer can choose |
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consumer decisions |
whether, when, what, where to buy and how to pay |
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partially planned purchase |
made by consumers when they know the product category they want to buy but wait until they get to the store or go online |
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unplanned purchase |
made by consumers on an impulse |
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psychological ownership |
consumers sometimes develop feelings of ownerships without even owning the good, service, or brand |
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cognitive dissonance |
inner tension that a consumer experienced after recognizing an inconsistency between behavior and values or opinions |
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consumers reduce dissonance by |
seeking information that reinforces the purchase decision avoiding information that contradicts the purchase decision revoking the original decision by returning the product |
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cognitive buying decisions |
routine response, limited decision making, extensive decision making |
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goods and services in decisions can best be described in five factors |
-level of consumer involvement -length of time to make a decision -cost of the good or service -degree of information search -number of alternatives considered |
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involvement |
amount of time and effort a buyer invests in the search, evaluation, and decision processes of consumer behavior most significant determinant in classifying buying decisions |
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routine response behavior |
frequently purchased, low cost goods and services low involvement spend little time on search and decision before making purchase |
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limited decision making |
has previous product experience but is unfamiliar with the current brands available |
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extensive decision making |
unfamiliar, expensive product or infrequently bought |
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factors determining the level of consumer involvement |
previous experience interest perceived risk of negative consequences social visibility |
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previous experience |
decreased involvement and quick choices with previous experience |
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interest |
directly related to consumer interests |
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perceived risk of negative consequences |
risk increases, so does involvement risks include financial risks, social risks and psychological risks |
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social visibility |
involve my increases as social visibility increases statement pieces |
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high involvement |
product, situational, shopping, enduring, and emotional involvement |
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product involvement |
high personal relevance |
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proactive personalization |
uses information to customize the customer experience |
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contextual interaction |
uses knowledge about where a customer is in the journey to deliver them to the next set of interactions |
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journey innovation |
extends customer interactions to new sources of value |
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consumer decision journey |
start-consider-evaluate-consider-buy-enjoy-advocate-bond-loyalty loop |
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factors affecting consumer decision making |
cultural, social, individual, psychological have an effect from the time a consumer perceived a stimulus and considers the product through post purchase evaluation |
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cultural factors |
include culture and values, subculture and social class |
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social factors |
sum up social interactions between a consumer and influential groups of people, such as reference groups, ipinion leaders, and family members |
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individual factors |
gender, age, family life cycle stage, personality, self concept, lifestyle unique to each individual |
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culture |
set of values, norms, attitudes, that shape human behavior |
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|
characteristics of culture |
pervasive- all around us functional- created by human interaction learned- not born knowing values and norms of society dynamic- adapts to changing needs of society |
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situational involvement |
circumstances of purchase transform low involvement decision into high involvement |
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subculture |
homogeneous group of people who share elements of the overall culture as well as cultural elements unique to their own group |
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social class |
group of people in society -considered nearly equal in status or community esteem -regularly socialize among themselves both formally and informally -share behavioral norms |
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capital class |
1% people whose investment decisions shape the national economy, income mostly from assets, earned or inherited |
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upper middle class |
14% upper level managers professionals owners of medium sized businesses college educated, family income well above national average |
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middle class |
33% middle level white collar, top level blue collar, education past high school typical, income somewhat above national average, loss of manufacturing jobs has reduced population of class |
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working class |
32% middle level blue collar, lower level white collar, income below national average, largely working in skilled or semi skilled skilled jobs |
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working poor |
11-12% low paid service workers and operatives, some high school educated, below mainstream in living standard, crime and hunger are daily threats |
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underclass |
8-9% people who are not regularly employed and depend on welfare system for sustenance, little schooling, living standard below poverty line |
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impact of social class on marketers |
social class indicates which medium to use for advertising knowing what products appeal to which social class helps marketers determine where to distribute their products |
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social influences |
consumers seek out opinions of others to reduce search and evaluation effort or uncertainty, pending on risk seek out others opinions for guidance on new products, products with image related attributes, products with lacking information -reference group -opinion leaders -family |
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shopping involvement |
represents the personal relevance of the process of shopping showrooming |
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reference group |
consists of all formal and informal groups that influence the buying behavior of an individual primary membership group secondary membership group aspirational reference group |
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primary membership grpup |
includes all groups with which people interact with regularly in an informal manner |
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secondary membership group |
people that you associate with less consistently and more formally |
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aspirational reference group |
group a person would like to join must conform to the norms of that group |
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norm |
consists of values and attitudes deemed acceptable by group |
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non aspirational reference group |
dissociative groups influence our behavior when we try to maintain distance from them |
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3 important implications of reference groups |
serve as information sources and influence perceptions affect an individual’s aspiration levels norms either constrain or stimulate consumer behavior |
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showrooming |
examining merchandise in a physical retail location without purchasing it and then shopping online for a better deal on the same item |
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|
enduring involvement |
represents ongoing interest in some product |
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emotional involvement |
represents how emotional a consumer gets during some specific consumption activity |
|
|
high involvement purchases |
require extensive and informative promotion to the target market |
|
|
low involvement purchases |
require in store promotion, eye catching package design, good displays coupons for offers |
|
|
eliminating consider and evaluate phase of consumer decision journey |
automation proactive personalization contextual interaction journey innovation |
|
|
automation |
streamlines journey steps |
|
|
product involvement |
high personal relevance |
|
|
proactive personalization |
uses information to customize the customer experience |
|
|
contextual interaction |
uses knowledge about where a customer is in the journey to deliver them to the next set of interactions |
|
|
journey innovation |
extends customer interactions to new sources of value |
|
|
consumer decision journey |
start-consider-evaluate-consider-buy-enjoy-advocate-bond-loyalty loop |
|
|
factors affecting consumer decision making |
cultural, social, individual, psychological have an effect from the time a consumer perceived a stimulus and considers the product through post purchase evaluation |
|
|
cultural factors |
include culture and values, subculture and social class |
|
|
social factors |
sum up social interactions between a consumer and influential groups of people, such as reference groups, ipinion leaders, and family members |
|
|
individual factors |
gender, age, family life cycle stage, personality, self concept, lifestyle unique to each individual |
|
|
culture |
set of values, norms, attitudes, that shape human behavior |
|
|
characteristics of culture |
pervasive- all around us functional- created by human interaction learned- not born knowing values and norms of society dynamic- adapts to changing needs of society |
|
|
situational involvement |
circumstances of purchase transform low involvement decision into high involvement |
|
|
subculture |
homogeneous group of people who share elements of the overall culture as well as cultural elements unique to their own group |
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|
social class |
group of people in society -considered nearly equal in status or community esteem -regularly socialize among themselves both formally and informally -share behavioral norms |
|
|
capital class |
1% people whose investment decisions shape the national economy, income mostly from assets, earned or inherited |
|
|
upper middle class |
14% upper level managers professionals owners of medium sized businesses college educated, family income well above national average |
|
|
middle class |
33% middle level white collar, top level blue collar, education past high school typical, income somewhat above national average, loss of manufacturing jobs has reduced population of class |
|
|
working class |
32% middle level blue collar, lower level white collar, income below national average, largely working in skilled or semi skilled skilled jobs |
|
|
working poor |
11-12% low paid service workers and operatives, some high school educated, below mainstream in living standard, crime and hunger are daily threats |
|
|
underclass |
8-9% people who are not regularly employed and depend on welfare system for sustenance, little schooling, living standard below poverty line |
|
|
impact of social class on marketers |
social class indicates which medium to use for advertising knowing what products appeal to which social class helps marketers determine where to distribute their products |
|
|
social influences |
consumers seek out opinions of others to reduce search and evaluation effort or uncertainty, pending on risk seek out others opinions for guidance on new products, products with image related attributes, products with lacking information -reference group -opinion leaders -family |
|
|
shopping involvement |
represents the personal relevance of the process of shopping showrooming |
|
|
reference group |
consists of all formal and informal groups that influence the buying behavior of an individual primary membership group secondary membership group aspirational reference group |
|
|
primary membership grpup |
includes all groups with which people interact with regularly in an informal manner |
|
|
secondary membership group |
people that you associate with less consistently and more formally |
|
|
aspirational reference group |
group a person would like to join must conform to the norms of that group |
|
|
norm |
consists of values and attitudes deemed acceptable by group |
|
|
non aspirational reference group |
dissociative groups influence our behavior when we try to maintain distance from them |
|
|
3 important implications of reference groups |
serve as information sources and influence perceptions affect an individual’s aspiration levels norms either constrain or stimulate consumer behavior |
|
|
showrooming |
examining merchandise in a physical retail location without purchasing it and then shopping online for a better deal on the same item |
|
|
enduring involvement |
represents ongoing interest in some product |
|
|
emotional involvement |
represents how emotional a consumer gets during some specific consumption activity |
|
|
high involvement purchases |
require extensive and informative promotion to the target market |
|
|
low involvement purchases |
require in store promotion, eye catching package design, good displays coupons for offers |
|
|
eliminating consider and evaluate phase of consumer decision journey |
automation proactive personalization contextual interaction journey innovation |
|
|
automation |
streamlines journey steps |
|
|
product involvement |
high personal relevance |
|
|
proactive personalization |
uses information to customize the customer experience |
|
|
contextual interaction |
uses knowledge about where a customer is in the journey to deliver them to the next set of interactions |
|
|
journey innovation |
extends customer interactions to new sources of value |
|
|
consumer decision journey |
start-consider-evaluate-consider-buy-enjoy-advocate-bond-loyalty loop |
|
|
factors affecting consumer decision making |
cultural, social, individual, psychological have an effect from the time a consumer perceived a stimulus and considers the product through post purchase evaluation |
|
|
cultural factors |
include culture and values, subculture and social class |
|
|
social factors |
sum up social interactions between a consumer and influential groups of people, such as reference groups, ipinion leaders, and family members |
|
|
individual factors |
gender, age, family life cycle stage, personality, self concept, lifestyle unique to each individual |
|
|
culture |
set of values, norms, attitudes, that shape human behavior |
|
|
characteristics of culture |
pervasive- all around us functional- created by human interaction learned- not born knowing values and norms of society dynamic- adapts to changing needs of society |
|
|
situational involvement |
circumstances of purchase transform low involvement decision into high involvement |
|
|
subculture |
homogeneous group of people who share elements of the overall culture as well as cultural elements unique to their own group |
|
|
social class |
group of people in society -considered nearly equal in status or community esteem -regularly socialize among themselves both formally and informally -share behavioral norms |
|
|
capital class |
1% people whose investment decisions shape the national economy, income mostly from assets, earned or inherited |
|
|
upper middle class |
14% upper level managers professionals owners of medium sized businesses college educated, family income well above national average |
|
|
middle class |
33% middle level white collar, top level blue collar, education past high school typical, income somewhat above national average, loss of manufacturing jobs has reduced population of class |
|
|
working class |
32% middle level blue collar, lower level white collar, income below national average, largely working in skilled or semi skilled skilled jobs |
|
|
working poor |
11-12% low paid service workers and operatives, some high school educated, below mainstream in living standard, crime and hunger are daily threats |
|
|
underclass |
8-9% people who are not regularly employed and depend on welfare system for sustenance, little schooling, living standard below poverty line |
|
|
impact of social class on marketers |
social class indicates which medium to use for advertising knowing what products appeal to which social class helps marketers determine where to distribute their products |
|
|
social influences |
consumers seek out opinions of others to reduce search and evaluation effort or uncertainty, pending on risk seek out others opinions for guidance on new products, products with image related attributes, products with lacking information -reference group -opinion leaders -family |
|
|
shopping involvement |
represents the personal relevance of the process of shopping showrooming |
|
|
reference group |
consists of all formal and informal groups that influence the buying behavior of an individual primary membership group secondary membership group aspirational reference group |
|
|
primary membership grpup |
includes all groups with which people interact with regularly in an informal manner |
|
|
secondary membership group |
people that you associate with less consistently and more formally |
|
|
aspirational reference group |
group a person would like to join must conform to the norms of that group |
|
|
norm |
consists of values and attitudes deemed acceptable by group |
|
|
non aspirational reference group |
dissociative groups influence our behavior when we try to maintain distance from them |
|
|
3 important implications of reference groups |
serve as information sources and influence perceptions affect an individual’s aspiration levels norms either constrain or stimulate consumer behavior |
|
|
opinion leaders |
people influence others individuals who influence opinions of others included in reference groups, group leader influential, informed, plugged in, vocal members of society |
|
|
challenge of locating opinion leaders |
look to social media, but sheer volume of posts and platforms makes determining true leaders challenging |
|
|
family |
most important social institution for consumers strongly influence values, attitudes, self concept and buying behavior responsible for socialization process assume variety of rules in purchase process |
|
|
showrooming |
examining merchandise in a physical retail location without purchasing it and then shopping online for a better deal on the same item |
|
|
socialization process |
passing down of cultural values and norms to children |
|
|
roles assumed by family |
initiators- suggest, initiate, or plant the seed for purchase process influencers-members who opinion are valued purchaser- one who actually exchanged money for product consumer- actual user |
|
|
individual differences |
not all persons are equally influenced in their purchase decisions consumers differ in their feelings of connectedness to other consumers |
|
|
separated self schema |
consumers perceived himself a distinct and separate from others |
|
|
connected self schema |
person sees himself as an integral part of group |
|
|
individual influences |
impacts a person’s susceptibility to social influences, factors such as gender, age, life cycle stage, personality, self concept, lifestyle play roles in decision making generally stable over the course of one’s life |
|
|
gender |
physiological differences between men and women result in different needs distinct cultural, social and economic rules played by men and women |
|
|
age and family life cycle stage |
can have a significant impact on behavior |
|
|
non traditional life cycles |
be aware of non traditional life paths that are common and provide insights into needs and wants of consumers as divorced parents, lifelong singles, childless couples |
|
|
single parents |
create poverty of time cope with dual demands of career and raising children, always on lookout for time saving products |
|
|
enduring involvement |
represents ongoing interest in some product |
|
|
life events |
life changing events occur at any time death, moving, birth, adoption, retirement, job loss, divorce, marriage stressful, take steps to minimize stress with new consumption patterns |
|
|
personality |
broad concept that can be thought of as a way of organizing and grouping hiw and individual typically reacts to situations |
|
|
self concept |
self perception, how consumer perceives themselves includes attitudes, perceptions, beliefs and self evaluations may change, gradually |
|
|
emotional involvement |
represents how emotional a consumer gets during some specific consumption activity |
|
|
high involvement purchases |
require extensive and informative promotion to the target market |
|
|
low involvement purchases |
require in store promotion, eye catching package design, good displays coupons for offers |
|
|
eliminating consider and evaluate phase of consumer decision journey |
automation proactive personalization contextual interaction journey innovation |
|
|
automation |
streamlines journey steps |
|
|
product involvement |
high personal relevance |
|
|
proactive personalization |
uses information to customize the customer experience |
|
|
contextual interaction |
uses knowledge about where a customer is in the journey to deliver them to the next set of interactions |
|
|
journey innovation |
extends customer interactions to new sources of value |
|
|
consumer decision journey |
start-consider-evaluate-consider-buy-enjoy-advocate-bond-loyalty loop |
|
|
factors affecting consumer decision making |
cultural, social, individual, psychological have an effect from the time a consumer perceived a stimulus and considers the product through post purchase evaluation |
|
|
cultural factors |
include culture and values, subculture and social class |
|
|
social factors |
sum up social interactions between a consumer and influential groups of people, such as reference groups, ipinion leaders, and family members |
|
|
individual factors |
gender, age, family life cycle stage, personality, self concept, lifestyle unique to each individual |
|
|
culture |
set of values, norms, attitudes, that shape human behavior |
|
|
characteristics of culture |
pervasive- all around us functional- created by human interaction learned- not born knowing values and norms of society dynamic- adapts to changing needs of society |
|
|
situational involvement |
circumstances of purchase transform low involvement decision into high involvement |
|
|
subculture |
homogeneous group of people who share elements of the overall culture as well as cultural elements unique to their own group |
|
|
social class |
group of people in society -considered nearly equal in status or community esteem -regularly socialize among themselves both formally and informally -share behavioral norms |
|
|
capital class |
1% people whose investment decisions shape the national economy, income mostly from assets, earned or inherited |
|
|
upper middle class |
14% upper level managers professionals owners of medium sized businesses college educated, family income well above national average |
|
|
middle class |
33% middle level white collar, top level blue collar, education past high school typical, income somewhat above national average, loss of manufacturing jobs has reduced population of class |
|
|
working class |
32% middle level blue collar, lower level white collar, income below national average, largely working in skilled or semi skilled skilled jobs |
|
|
working poor |
11-12% low paid service workers and operatives, some high school educated, below mainstream in living standard, crime and hunger are daily threats |
|
|
underclass |
8-9% people who are not regularly employed and depend on welfare system for sustenance, little schooling, living standard below poverty line |
|
|
impact of social class on marketers |
social class indicates which medium to use for advertising knowing what products appeal to which social class helps marketers determine where to distribute their products |
|
|
social influences |
consumers seek out opinions of others to reduce search and evaluation effort or uncertainty, pending on risk seek out others opinions for guidance on new products, products with image related attributes, products with lacking information -reference group -opinion leaders -family |
|
|
shopping involvement |
represents the personal relevance of the process of shopping showrooming |
|
|
reference group |
consists of all formal and informal groups that influence the buying behavior of an individual primary membership group secondary membership group aspirational reference group |
|
|
primary membership grpup |
includes all groups with which people interact with regularly in an informal manner |
|
|
secondary membership group |
people that you associate with less consistently and more formally |
|
|
aspirational reference group |
group a person would like to join must conform to the norms of that group |
|
|
norm |
consists of values and attitudes deemed acceptable by group |
|
|
non aspirational reference group |
dissociative groups influence our behavior when we try to maintain distance from them |
|
|
3 important implications of reference groups |
serve as information sources and influence perceptions affect an individual’s aspiration levels norms either constrain or stimulate consumer behavior |
|
|
opinion leaders |
people influence others individuals who influence opinions of others included in reference groups, group leader influential, informed, plugged in, vocal members of society |
|
|
challenge of locating opinion leaders |
look to social media, but sheer volume of posts and platforms makes determining true leaders challenging |
|
|
family |
most important social institution for consumers strongly influence values, attitudes, self concept and buying behavior responsible for socialization process assume variety of rules in purchase process |
|
|
showrooming |
examining merchandise in a physical retail location without purchasing it and then shopping online for a better deal on the same item |
|
|
socialization process |
passing down of cultural values and norms to children |
|
|
roles assumed by family |
initiators- suggest, initiate, or plant the seed for purchase process influencers-members who opinion are valued purchaser- one who actually exchanged money for product consumer- actual user |
|
|
individual differences |
not all persons are equally influenced in their purchase decisions consumers differ in their feelings of connectedness to other consumers |
|
|
separated self schema |
consumers perceived himself a distinct and separate from others |
|
|
connected self schema |
person sees himself as an integral part of group |
|
|
individual influences |
impacts a person’s susceptibility to social influences, factors such as gender, age, life cycle stage, personality, self concept, lifestyle play roles in decision making generally stable over the course of one’s life |
|
|
gender |
physiological differences between men and women result in different needs distinct cultural, social and economic rules played by men and women |
|
|
age and family life cycle stage |
can have a significant impact on behavior |
|
|
non traditional life cycles |
be aware of non traditional life paths that are common and provide insights into needs and wants of consumers as divorced parents, lifelong singles, childless couples |
|
|
single parents |
create poverty of time cope with dual demands of career and raising children, always on lookout for time saving products |
|
|
enduring involvement |
represents ongoing interest in some product |
|
|
life events |
life changing events occur at any time death, moving, birth, adoption, retirement, job loss, divorce, marriage stressful, take steps to minimize stress with new consumption patterns |
|
|
personality |
broad concept that can be thought of as a way of organizing and grouping hiw and individual typically reacts to situations |
|
|
self concept |
self perception, how consumer perceives themselves includes attitudes, perceptions, beliefs and self evaluations may change, gradually combines ideal self image and real self image |
|
|
ideal self image |
the way an individual would like to be perceived |
|
|
real self image |
the way an individual actually perceived himself |
|
|
psychological influenced |
perception, motivation, learning tools used to recognize their feelings, gather and analyze information, formulate thoughts and opinions, take action can be affected by environment, applied on specific occasions |
|
|
perception of stimuli |
perceive different stimuli and process those stimuli in different ways depending on environment |
|
|
perception |
process by which people select, organize, and interpret stimuli into meaningful and coherent picture |
|
|
selective exposure |
process whereby a consumer noticed certain stimuli and ignores others |
|
|
selective distortion |
decide which stimuli to notice and which to ignore |
|
|
emotional involvement |
represents how emotional a consumer gets during some specific consumption activity |
|
|
selective retention |
remembering only information that supports personal feelings or beliefs |
|
|
high involvement purchases |
require extensive and informative promotion to the target market |
|
|
low involvement purchases |
require in store promotion, eye catching package design, good displays coupons for offers |
|
|
eliminating consider and evaluate phase of consumer decision journey |
automation proactive personalization contextual interaction journey innovation |
|
|
automation |
streamlines journey steps |
|
|
product involvement |
high personal relevance |
|
|
proactive personalization |
uses information to customize the customer experience |
|
|
contextual interaction |
uses knowledge about where a customer is in the journey to deliver them to the next set of interactions |
|
|
journey innovation |
extends customer interactions to new sources of value |
|
|
consumer decision journey |
start-consider-evaluate-consider-buy-enjoy-advocate-bond-loyalty loop |
|
|
factors affecting consumer decision making |
cultural, social, individual, psychological have an effect from the time a consumer perceived a stimulus and considers the product through post purchase evaluation |
|
|
cultural factors |
include culture and values, subculture and social class |
|
|
social factors |
sum up social interactions between a consumer and influential groups of people, such as reference groups, ipinion leaders, and family members |
|
|
individual factors |
gender, age, family life cycle stage, personality, self concept, lifestyle unique to each individual |
|
|
culture |
set of values, norms, attitudes, that shape human behavior |
|
|
characteristics of culture |
pervasive- all around us functional- created by human interaction learned- not born knowing values and norms of society dynamic- adapts to changing needs of society |
|
|
situational involvement |
circumstances of purchase transform low involvement decision into high involvement |
|
|
subculture |
homogeneous group of people who share elements of the overall culture as well as cultural elements unique to their own group |
|
|
social class |
group of people in society -considered nearly equal in status or community esteem -regularly socialize among themselves both formally and informally -share behavioral norms |
|
|
capital class |
1% people whose investment decisions shape the national economy, income mostly from assets, earned or inherited |
|
|
upper middle class |
14% upper level managers professionals owners of medium sized businesses college educated, family income well above national average |
|
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middle class |
33% middle level white collar, top level blue collar, education past high school typical, income somewhat above national average, loss of manufacturing jobs has reduced population of class |
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working class |
32% middle level blue collar, lower level white collar, income below national average, largely working in skilled or semi skilled skilled jobs |
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working poor |
11-12% low paid service workers and operatives, some high school educated, below mainstream in living standard, crime and hunger are daily threats |
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underclass |
8-9% people who are not regularly employed and depend on welfare system for sustenance, little schooling, living standard below poverty line |
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impact of social class on marketers |
social class indicates which medium to use for advertising knowing what products appeal to which social class helps marketers determine where to distribute their products |
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social influences |
consumers seek out opinions of others to reduce search and evaluation effort or uncertainty, pending on risk seek out others opinions for guidance on new products, products with image related attributes, products with lacking information -reference group -opinion leaders -family |
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shopping involvement |
represents the personal relevance of the process of shopping showrooming |
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reference group |
consists of all formal and informal groups that influence the buying behavior of an individual primary membership group secondary membership group aspirational reference group |
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primary membership grpup |
includes all groups with which people interact with regularly in an informal manner |
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secondary membership group |
people that you associate with less consistently and more formally |
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aspirational reference group |
group a person would like to join must conform to the norms of that group |
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norm |
consists of values and attitudes deemed acceptable by group |
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non aspirational reference group |
dissociative groups influence our behavior when we try to maintain distance from them |
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3 important implications of reference groups |
serve as information sources and influence perceptions affect an individual’s aspiration levels norms either constrain or stimulate consumer behavior |
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opinion leaders |
people influence others individuals who influence opinions of others included in reference groups, group leader influential, informed, plugged in, vocal members of society |
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challenge of locating opinion leaders |
look to social media, but sheer volume of posts and platforms makes determining true leaders challenging |
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family |
most important social institution for consumers strongly influence values, attitudes, self concept and buying behavior responsible for socialization process assume variety of rules in purchase process |
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showrooming |
examining merchandise in a physical retail location without purchasing it and then shopping online for a better deal on the same item |
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socialization process |
passing down of cultural values and norms to children |
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roles assumed by family |
initiators- suggest, initiate, or plant the seed for purchase process influencers-members who opinion are valued purchaser- one who actually exchanged money for product consumer- actual user |
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individual differences |
not all persons are equally influenced in their purchase decisions consumers differ in their feelings of connectedness to other consumers |
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separated self schema |
consumers perceived himself a distinct and separate from others |
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connected self schema |
person sees himself as an integral part of group |
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individual influences |
impacts a person’s susceptibility to social influences, factors such as gender, age, life cycle stage, personality, self concept, lifestyle play roles in decision making generally stable over the course of one’s life |
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gender |
physiological differences between men and women result in different needs distinct cultural, social and economic rules played by men and women |
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age and family life cycle stage |
can have a significant impact on behavior |
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non traditional life cycles |
be aware of non traditional life paths that are common and provide insights into needs and wants of consumers as divorced parents, lifelong singles, childless couples |
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single parents |
create poverty of time cope with dual demands of career and raising children, always on lookout for time saving products |
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enduring involvement |
represents ongoing interest in some product |
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life events |
life changing events occur at any time death, moving, birth, adoption, retirement, job loss, divorce, marriage stressful, take steps to minimize stress with new consumption patterns |
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personality |
broad concept that can be thought of as a way of organizing and grouping hiw and individual typically reacts to situations |
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self concept |
self perception, how consumer perceives themselves includes attitudes, perceptions, beliefs and self evaluations may change, gradually combines ideal self image and real self image |
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ideal self image |
the way an individual would like to be perceived |
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real self image |
the way an individual actually perceived himself |
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psychological influenced |
perception, motivation, learning tools used to recognize their feelings, gather and analyze information, formulate thoughts and opinions, take action can be affected by environment, applied on specific occasions |
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perception of stimuli |
perceive different stimuli and process those stimuli in different ways depending on environment |
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perception |
process by which people select, organize, and interpret stimuli into meaningful and coherent picture |
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selective exposure |
process whereby a consumer noticed certain stimuli and ignores others |
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selective distortion |
decide which stimuli to notice and which to ignore |
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emotional involvement |
represents how emotional a consumer gets during some specific consumption activity |
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selective retention |
remembering only information that supports personal feelings or beliefs |
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implications of perception |
used to identify price, brand names, quality and reliability changed in product or repositioning of product awareness of foreign consumers perceptions is required when expanding globally |
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threshold level of perception |
minimum difference in stimulus that the customer will notice just noticeable difference |
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motive |
driving force that causes a person to take action to satisfy specific needs |
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maslow hierarchy of needs |
method of classifying human needs and motivations into five categories physiological, safety, social, self esteem, self actualization |
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physiological needs |
hunger, thirst |
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safety needs |
security, protection |
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social needs |
sense of belonging, love |
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esteem needs |
self esteem, recognition, status |
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self actualization need |
self development, self realization |
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high involvement purchases |
require extensive and informative promotion to the target market |
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learning |
creates changes in behavior through experience and practice experiential conceptual reinforcement repetition |
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experiential |
occurs when an experience changes behavior |
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conceptual |
not learned through direct experience but based upon reasoning |
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reinforcement |
can be positive or negative |
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reptition |
key strategy in promotional campaigns because it can lead to increased learning spread over time rather than clustered together |
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stimulus generalization |
form of learning that occurs when one response is extended to a second stimulus similar to the first |
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stimulus discrimination |
learned ability to differentiate among similar products |
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low involvement purchases |
require in store promotion, eye catching package design, good displays coupons for offers |
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eliminating consider and evaluate phase of consumer decision journey |
automation proactive personalization contextual interaction journey innovation |
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automation |
streamlines journey steps |
