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108 Cards in this Set

  • Front
  • Back
What is Consumer Behavior?
The study of human responses to products, services, and marketing of products and services- CH 2
What are affective responses?
Feelings and emotions we experience when we interact with products - CH2
What are cognitive responses?
Beliefs, opinions, attitudes, and intentions pertaining to products and services, can be evaluative or nonevaluative and scope can be very specific or very broad - CH2
How can you categorize cognitive responses?
Can be evaluative or nonevaluative in nature, scope can be very specific or broad - CH2
What are behavioral responses?
Include purchase decisions and consumption-related practices,
What three types of variables affect consumer responses?
Person, Situational, and person-by-situation
What are person variables?
Dimensions that are internal to a specific individual, such as intelligence, personality, interests, hobbies, opinions and preferences
What are situational variables?
External, environmental variables that provide the context in which behaviors are performed
What are person-by-situation variables?
Dynamics between consumers and the environment that require marketers to tailor advertising techniques for maximum effectiveness
What is Under Processing?
Framing: Small changes in context have huge effects on choice.
What is Over Processing?
Accessibility: What is made most available in memory will have the biggest impact.
What is Incorrect Processing?
Inferences: Often lead to inaccurate perceptions. Common bias include inferring causation from correlation and quality from price.
What is Quitting Processing?
Habituation: Stickiness to anchor, and the status-quo bias.
What is the best defense against attacking competitors?
Providing brand information
What is involvement?
The extent to which the consumer does research on the product before buying
What is habituation?
The extent to which the consumer buys the same product over and over again
What is inertia?
Not to be confused with habituation, inertia is the consumer making the same decision over and over again simply because they are too lazy to change
What sorts of decisions are low-ticket items that are also high involvement?
When consumers have particular preferences (ex. Non-frizz shampoo)
What is complex decision making and when does it occur?
Complex decision making is a 5 step process that occurs when a consumer's decision is high involvement and low habituation.

1. Problem Recognition- Recognize a need to satisfy. Flux, a change in personal or market situation is needed for decision making.
2. Search for Information- Generally limited.
3. Evaluation. Combine information to make a judgement. Promote brand-attribute links, promote attribute importance weights, or promote rules to influence the decision.
Brand-Attribute links: SWA, VW Beetle
Importance Weights: Timex
Choice Rules: Orajel, Job Choice
4. Decision- Choose or defer.
5. Post- Purchase Evaluation- Compare against expectations. Manage expectations and satisfaction.
What are the three types of problem recognition ads?
1) Individual Shifts: Aging (Bone loss, menopause, hair loss etc.)
2) Market Shifts: Meat and milk from cloned animals
3) Creating Shifts: The Pepsi Challenge
Give an example of something that creates flux
Economic Shifts (New Administration, Unemployment, price of food, gas tuition, healthcare)
What is the general rules for providing information for complex decision making?
Information should be easy to use, information should be accessible, brand attribute link should be strong (Beetle and advantages of "thinking small"), and the attribute needs to be important to result in positive evaluations
How does the consumer make high involvement, high habituation decisions and how can the marketer facilitate these?
Loyalty decision making. Need leads directly to choice without search and evaluation. LOYALTY= Habit + Attitude
Describe low involvement decision processes
Low habituation: variety seeking
High Habituation: Inertia
What are the stages of low involvement learning and the consumer/managerial action?
Exposure: Repitition
Passive Learning: Lack of Counter Argumentation
Choice in Context: Recognition, not Recall
What are the marketing strategies for low involvement, high habituation (inertia) decision making?
Familiarity, Convenience
What are the marketing strategies for low involvement, low habituation consumer decisions?
These are variety seeking consumers.
1) Maximize differentiation through form
2) Maximize fun through games and activities
3) Encourage indulgence
4) Maximize differentiation through context
What are the branding rules for decision making?
1) Information is important when markets are in flux. Simplicity in Information
2) Brand leaders should advertise leadership
3) In a variety seeking market maximally differentiate your brand
What does attention refer to
Bringing information into conscious awareness through perception (seeing, hearing, smelling, tasting, and feeling)
To what does comprehension refer?
The ability to learn the meaning of new information by relating it to old information stored in memory
What is required for memorization to occur?
Attention and comprehension
What is product trial?
Involves actually trying or using a product. Direct, firsthand experience with a product or service provides a great deal of rich and useful information about the characteristics and properties of a new product
Why is firsthand experience important?
Provides a great deal of rich and useful information about the characteristics and properties of a new product. Also is often more informative than indirect, secondhand experience
How can product trial be encouraged for expensive consumer durables?
Encouraging potential customers to obtain direct behavioral experience with the durables by taking them out for a "test drive"
What is the role of the mass media in marketing?
The mass media enables managers to reach a large number of potential customers very quickly and efficiently. Furthermore, secondhand information provided by advertising often leads consumers to try products that they would not have tried otherwise.
What are limits of attention?
Consumers attend to a very small fraction of the marketing communications to which they are exposed and that is available in the marketplace
What did George Miller contribute to marketing psychology?
People can attend to seven units or pieces of information at one time. The size of a unit depends on a person's level of knowledge or expertise: As knowledge increases, the size of a unit also increases
How can marketers overcome limits of attention?
Because consumers cannot attend to and think about a large amount of information at one time, presenting information in a way that reduces the time and effort involved in making brand comparisons helps consumers make better decisions
What is attention intensity?
The amount of information people can attend to, varies from five to nine units. Knowledgeable people attend to and think about larger units of information. Can also process more units.
What is arousal?
The state of wakefulness or alertness
What is the relationship between arousal and attention intensity?
U-shaped relationship. Intensity is low when arousal is either low or high.
What is cognitive capacity?
The ability to attend to and think about information
Briefly describe what voluntary and involuntary attention are
The two factors that influence allocation of attention. People voluntariliy attend to information that is relevant to current plans, intentions, and goals. Some marketing stimuli are so attention-drawing that they are difficult to tune out, even when we try to ignore them (involuntary attention).
What are salient stimuli?
Draw attention involuntarily. Some products, packages, and ads "stick out" because they are different and interesting. Salience is context dependent. (Ex. Rolls Royce sticks out in ghetto, not in country club parking lot). Novel, unusual, changing, moving, bright, intense and complex stimuli
What is the figure-ground principle of perception?
Stimuli are salient only when they are very different from other stimuli. Unique or different stimuli are focal and everything else fades into the background.
What is the drawback of novel products or advertising?
Novel products influence use because they are different and therefore difficult to ignore. Eventually, however, the novelty wears off and firms have to develop new products all over again.
What are vivid stimuli?
Draw attention automatically and involuntarily. Unlike salient stimuli, vivid stimuli are attention-drawing across contexts. Vividness is context independent.
What are the three criteria for vivid stimuli?
1) Emotionally interesting
2) Concrete and imagery provoking
3) Proximate in a sensory, temporal, or spacial way
How can the difference between salient and vivid stimuli be summarized?
Salient stimuli capture the attention of all the people some of the time, vivid stimuli capture the attention of some of the people all of the time
What is concreteness?
Vvid and easy to visualize information
How can concreteness be applied to marketing?
Making a product attribute more concrete in an ad increases the amount of attention paid to the attribute and this increases the perceived importance of the attribute
What is proximity?
Information that is proximal to a consumer is more vivid and has more impact than information that is distant or not immediately relevant.
What is sensory proximity?
Referes to firsthand versus secondhand information. Perceived by our own senses
What is temporal proximity
Refers to how recently an event occurred. Events that occurred recently are much more vivid and attention-drawing compared with events that happened a long time ago
What is spatial proximity
Refers to the location of events. Events that occur where we live now are much more vivid than events that occur overseas.
When are people risk-averse vs. risk-seeking?
When outcomes are framed in terms of gains, people are risk-averse. When outcomes are framed in terms of losses, people are risk-seeking.
What is conscious awareness?
Refers to information that is currently under active consideration
What is the Atkinson and Shiffrin model
Suggests that information is first perceived and transferred to the sensory registor. Some of the info stored in the sensory register is transferred to short-term memory. Some info stored in short-term memory is transferred to long-term memory. Transfer of info from short-term memory to long-term memory is controlled by rehearsal and coding processes
What is Rehearsal?
Involves repeating info over and over in your head
What is Coding?
Involves relating info stored in short-term memory to info stored in long-term memory
What are the important differences between short-term and long-term memory?
Short-term has small storage capacity, long-term is large. Info held in short-term memory is based on an acoustic code, long-term is based on semantic (meaning related) code
What does permastore mean?
Indicates information remains in long-term memory permanently.
What is organization?
The process of grouping or chunking individual pieces of information into larger units on the basis of a specific relationship between the pieces
What is the organization principle of long-term memory?
Organization facilitates memory performance
What is the encoding-specificity principle of long-term memory?
Contextual or background cues present during learning and during retrieval influence memory performance
What is the association principle of long-term memory?
Pieces of information sotred in long-term memory are connected to other related pieces of information
What is associative interference?
Complex, embellished associative networks lead activation to spread in many different directions at once, and this uses up activation. It takes time to find a particular node in a rich , elaborate associative network. The bigger the associative network, the longer it takes to find a particular node.
What is part-list cuing
Presenting the names of some brands when consumers are trying to recall as many brands as possible, which reduces the number of brands retrieved.
What are the two basic rules for creating a stickiness encoding process for your product?
Singularity (One Node)
What are consequences of attributes
Consumer beliefs about product attributes and benefits
What are the three major types of consumer beliefs
Descriptive beliefs, informational beliefs, inferential beliefs?
What are descriptive consumer beliefs?
Based on direct, firsthand experience with a product
What are informational consumer beliefs?
Based on indirect, secondhand information
What are inferential consumer beliefs?
Beliefs that go beyond the information given or the information that is available from firsthand or secondhand sources
What is the expectancy disconfirmation model?
Suggests that consumer form expectations about product performance before they purchase a product. After they buy a product, they compare the product's actual performance with the level of performance that was expected prior to purchase. If actual performance is better than expected, consumer are satisfied with the product. If actual performance is worse than expected, consumers are dissatisfied with the product
What are attributions
Causal inferences concerning why a product performed worse than expected
What is comprehension?
Involves relating information presented in a message to information based on prior experience and stored in memory
What is novel about believing vs. nonbelieving to the consumer?
Unbelieving or rejecting a false claim requires an additional step and extra effort than believing. When we are overloaded with too much information, when we have to make a judgement or decision quickly, or when we try to do too many things at once, we are less able to engage in the extra effort required for unbelieving and are more likely to believe claims that are not true
What is important about repetition?
Repetition exacerbates the tendency to believe what is not true
What are pragmatic inferences?
Everyday assumptions about claims that are literally true but figuratively false
What is comparison omission
Ex. 50 doctors recommend Brand X, but 50 doctors out of a sample of 1000 is not that impressive
What is affirmation of the consequent
Statements of the form "if p, then q" are often misinterpreted as meaning "if q, then p." Ex. "Women who look younger use Oil of Olay"
What is transformational advertising?
Transformational Advertising transforms product and service experiences into “larger than life” events
What is deception?
DECEPTION: Encoding Failures, the claim is discrepant from the facts.
For example, the claim uses staged demonstrations that belie the facts.
What is miscomprehension?
MISCOMPREHENSION: Decoding Failures. Claim is discrepant from the belief because of everyday inference processes, under or over processing. Some groups might be particularly vulnerable to incorrect inferences.
Why is corrective advertising generally ineffective
Repetition causes belief, even for negative statements
What is the theory of reasoned action?
Suggests that beliefs are combined additively to form attitudes. The greater the number of favorable beliefs one holds, the more favorable one's attitude.
What are attitude-based preferences?
Preferences formed on the basis of consumers' overall attitudes toward two or more products
What are attribute-based preferences?
Preferences formed on the basis of comparing one or more attributes of two or more brands
What is the anchoring and adjustment heuristic?
Involves forming an initial judgement or first impression and then shifting this judgement upward or downward depending on the implications of imagined possibilities
What is the attraction effect?
Adding a new alternative to the product line. Compared with a similar but inferior decoy product, the original brand seems much more attractive
What is the trade-off contrast effect?
Similar to the attraction effect except that trade-offs (as opposed to single attributes) are compared across brands
What is the compromise effect?
Brands that are intermediate in terms of price, quality, number of bells and whistles, or virtually any dimension are frequently chosen, and they are chosen even more frequently when consumers are required to justify their decisions to others
What is stimulus-based choice
All relevant brand and attribute information is directly observable, as when consumers visit a grocery store to buy cereal and all seven brands they wish to consider are available on the shelves
What is memory-based choice
In this situation, none of the information the consumer needs is directly available and comparisons among brands must be performed by retrieving relevant information from memory
What is between-alternative processing choice heuristic?
Where many brands are compared one attribute at a time
What is within-alternative processing choice heuristic?
Where many attributes are examined one brand at a time
What are compensatory strategies?
Good attributes can compensate for bad attributes
What is the attitude heuristic?
Consumers may simply select the brand associated with the most favorable previously formed attitude
What is the lexicographic heuristic?
Involves choosing the best brand on the basis of its most important attribute
What is the lexicographic semiorder heuristic?
Similar to the lexicographic heuristic except that close values are treated like ties
What is the elimination-by-aspects heuristic?
Involves comparing alternatives on an attribute selected probabilistically and eliminating or rejecting alternatives that do not meet a minimum cutoff point on this attribute
What is the additive-difference heuristic?
Involves computing the difference between the values of each attribute of two brands, weighting the differences by attribute importance, and then summing the weighted differences to obtain an overall score
What is the majority of confirming dimensions heuristic?
A simpler variation of the additive-difference heuristic. The values of each attribute of two brands are compared, and the brand with the greatest number of superior attributes is chosen
What is the conjunctive heuristic
Involves setting a minimum acceptable cutoff level for each attribute and selecting the first alternative that meets the minimum standard for all attributes
What are phased strategies?
Involve the use of more than one choice strategy
What are processing goals?
Influenced by variables such as involvement and accountability.
What is processing load?
Refers to the amount of limited cognitive capacity needed for information processing