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  1. consumer behavior
    the process individuals or groups go through to select, purchase, use, and dispose of goods, services ideas, or experiences to satisfy their needs and desires
  2. habitual decision making
    consumers make little or no conscious effort, make purchases automatically (ex: buying cereal)
  3. extended problem solving
    • when consumers make very important decisions (ex: buying a house) carefully go through the steps
    • problem recognition
    • information research
    • evaluation of alternatives
    • product choice post purchase evaluation
  4. involvement
    • the relative importance of perceived consequences of the purchase to a consumer
    • low-involvement: consumer's decision is often a response to environmental cues (influence the decision by how store displays product)
    • high-involvement: consumer is likely to carefully process all the available information and to have thought about the decision well before going to buy the item
  5. perceived risk
    the belief that choice of a product has potentially negative consequences, whether financial, physical, and/or social
  6. Step 1: Problem Recognition (motivation)
    occurs whenever a consumer sees a significant difference between his current state of affairs and some desired state or ideal state
  7. Step 2: Information Search (perception)
    • process where a customer searches for appropriate information to make a reasonable decision
    • Internet as a Search tool
    • Personal Sources/ Market Controlled Sources/ Public Sources/ Personal experience
    • Behavioral Targeting: the marketing practice by which marketers deliver advertisements for products a consumer is looking for by watching what the consumer does online
  8. Step 3: Evaluating of Alternatives
    • 1. identifies a small number of products in which he is interested.
    • 2. narrows down his choices by deciding which are feasible
    • 3. evaluative criteria: dimensions consumers use to compare competing product alternatives (power, comfort, price)
  9. Step 4: Product Choice
    • consumers often rely on decision guidelines, heuristics, metal rule of thumb that leads to a speedy decision by simplifying the process (price=quality)
    • brand loyalty: when people buy from the same company over and over/ superior products
    • country of origin: certain characteristics if it comes from a certain country
  10. Step 5: Post Purchase Evaluation
    • consumer evaluates just how good a choice he made
    • consumer satisfaction/dissatisfaction: overall feelings, or attitude, a person has about a product after purchasing it
    • cognitive dissonance: he anxiety or regret a consumer may feel after choosing from among several similar attractive choices
  11. Internal Influences on Consumers' Decisions
    • Perception
    • Motivation
    • Learning
    • Attitudes
    • Personality
    • Age
    • Lifestyle
  12. Perception:
    the extent to which a stimulus is capable of being registered by a person's sensory receptors
  13. Perception:
    Subliminal advertising
    supposedly hidden messages in marketers' communications
  14. Perception:
    • extent to which we devote mental processing activity to a particular stimulus
    • more likely to pay attention to messages that speak to the current needs
  15. Perception:
    • process of assigning meaning to a stimulus based on prior associations a person has with it and assumptions he makes about it
    • if we don't interpret the product the way it ws intended because of our prior experiences the best marketing ideas will be "waisted"
  16. Motivation
    internal state that drives us to satisfy needs by activating goal-oriented bahavior
  17. Learning
    • change in behavior caused by information or experience
    • 1. behavioral learning
    • 2. cognitive learning
  18. behavioral learning
    • behavioral learning theories: theories of learning that focus on how consumer behavior is changed by external events or stimuli
    • classical conditioning: the learning that occurs when a stimulus eliciting a response is pared with another stimulus that initially does not elicit a response on its own but will cause a similar response over time because of its association with the first stimulus.
    • operant conditioning: people learn actions result in rewards/ punishments (feedback influences how they will respond; loyalty cards)
    • stimulus generalization: good/ bad feelings associated with product will rub off on other resembling products (ex: product line extensions)
  19. Cognitive Learning Theory
    • stresses the importance of internal mental processes and that views people as problem solvers who actively use info from the world around them to master environment
    • observational learning: people watch the actions of others/ note what happens to them as a result
  20. Attitudes
    • a learned predisposition to respond favorably or unfavorably to stimuli on the basis of relatively enduring evaluations of people , objects, and issues
    • affect: feeling component; refers to the overall emotional response a person has to a product (dominant for expressive products)
    • cognition: knowing component, the beliefs of knowledge a person has about a product/ important characteristics
    • behavior: doing component; a consumer intention to do something, such as the intention to purchase or use a certain product
  21. Pesonality
    • unique psychologic characteristics that consistently influence a person responds to situations
    • personality traits: underscore the potential value of considering personality
    • buy products that are extensions to their personality
    • marketers create brand personalities...appeal to different types of people
    • innovativeness
    • materialism
    • self confidence
    • sociability
    • need for cognition
  22. self concept
    • attitude toward yourself
    • mixture of beliefs about one's abilities/ observations of own's behavior/ feelings about one's attributes
    • self esteem advertising: stimulate feelings about self
  23. Age
    • internal influence on purchasing behavior
    • more in common with those own age
    • family life cycle: the stages through which family members pass as they grow older.
    • Behavioral tend to evolve through maturity, experience changing income status
  24. nostalgia
    attracted to products that remind them of past goods and services often appeal to a specific age group
  25. lifestyle
    • pattern of living that determines how people choose to spend their time, money, and energy and that reflects their values, tastes, and preferences
    • demographics: characteristics help marketers identify (age and income) what products people buy, but not why.
    • psychographics: groups consumer according to psychological and behavioral similarities
    • describe people in terms of their activities, interests, opinions (AIOs) with info create profiles of customers who resemble each other in terms of activities/ pattern of product use
  26. Social Influences
    • Culture: society's personality (values, beliefs, customs, and
    • rituals / values / myths/ customers /laws/ material artifacts
    • Subcultures: a group coexisting with other groups in larger group whose members share a distinctive set of beliefs (characteristics or common experiences)
  27. Situational Influences
    • Pysical Environment: Moods/ behavings are influenced by
    • arousal/pleasure
    • themed environments/ in store display

    • when, where, how consumers shop
    • physical surroundings/ time pressures
    • dimensions of physical environment: decor, smells, lighting influence consumption
    • time of day, the season, how much time also affect decision making
    • Time:
    • time poverty
    • saving time
  28. consumerism:
    • social movement directed toward protecting consumers from harmful business practices. "consumerism bill of rights"
    • the right to be safe
    • the right to be informed
    • the right to be heard
    • the right choose freely
  29. environmentalism
    • socia movement coming from the concern for the many ways in which our consumption behavior impact world
    • environmental stewardship: a position taken by an organization to protect or enhance the natural environment as it conducts its business
    • green marketing: creating earth friendly but still profitable product
    • green washing: red flag marketer make ads look as if prod is great
  30. social class
    • social standing of groups of people within a society
    • occupation income
    • education wealth
  31. Group Membership
    • reference group: set of people, consumer wants to please or imitate (inspire to belong)
    • conformity: change in beliefs or actions as a reaction to real or imagined group pressure
  32. Opinion leader
    • person who influences other's attitudes or behaviors b/c he possesses expertise about product (celebrities)
    • impart both positive and negative information about the product
  33. gender roles
    • societies expectations regrading appropriate attitudes , behaviors, appearance for men/women
    • metrosexual: straight, urban male who is keenly interested in fashion, home design, gourmet cooking, and personal care
  34. Consumer to consumer E-Commerce
    • online communities/ purchases that occur among individuals with directly involving manufacturer or retailer
    • online games
    • chat rooms, rings, lists and boards
    • Social networks
    • Blogs
Card Set:
2011-09-30 19:41:29
Consumer Behavior Chap

Chapter 5
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