Marketing Summary Chapter 5
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1 Marketing Summary Chapter 5
2 The cnsumer decisin-making prcess Marketing chapter 5 - Cnsumer Behavir Cnsumer behavir: The prcess invlved when individuals/grups select, purchase, use, and dispse f gds, services, ideas, r experiences t satisfy needs/desires Invlvement: the relative imprtance f perceived cnsequences f the purchase t a cnsumer Perceived risk: the belief that chice f a prduct has ptentially negative cnsequences, whether financial, physical, and/r scial
3 5 steps in cnsumer-decisin making prcess: 1. Prblem recgnitin: the prcess that ccurs whenever a cnsumer sees a significant difference between her current state f affairs and the desired state. Marketers stimulate prblem recgnitin with the intrductin f exciting new prducts r thrugh prmtin that emphasizes the differences between the current and desired states.
4 2. Infrmatin Search: the prcess whereby a cnsumer searches fr apprpriate infrmatin t make a reasnable decisin. Internet as search tl Search marketing: marketing strategies that invlve the use f internet search engines. Search Engine Optimizatin (SEO): a systematic prcess f ensuring that yur firm cmes up at/near the tp f lists f typical search phrases related t yur business. Search Engine Marketing (SEM): Search marketing strategy in which marketers pay fr ads r better psitining Spnsred search ads: paid ads that appear at the tp/beside the internet search engine results. Cmparisn shpping agents/shpbts: web applicatins that help nline shppers find what they re lking fr at the lwest price & prvide custmer reviews & ratings f prducts and sellers Behaviral Targeting: the marketing practice by which marketers deliver advertisements fr prducts a cnsumer is lking fr by watching what the cnsumer des nline. 3. Evaluatin f Alternatives The infrmed cnsumer identifies a small number f prducts in which he is interested. Then he narrws his chices by cmparing the prs and cns f each ptin. Evaluative Criteria: the dimensins cnsumers use t cmpare cmpeting prduct alternatives 4. Prduct Chice Cnsumers make a prduct chice when they decide n ne alternative r prduct and act n this chice. Heuristics: a mental rule f thumb that leads t a speedy decisin by simplifying the prcess. Brand Lyalty: a pattern f repeat prduct purchases, accmpanied by an underlying psitive attitude tward the brand, based n the belief that the brand makes prducts superir than its cmpetitrs 5. Pstpurchase evaluatin The evaluatin f the prduct results in a level f cnsumer satisfactin/dissatisfactin. Cgnitive Dissnance: the anxiety/regret a cnsumer may feel after chsing frm amng several similar attractive chices. Influences n Cnsumer Decisin making: 1. Internal Factrs 2. Situatinal factrs 3. Scial Influences
5 Internal influences n cnsumer s decisin making 1. Perceptin : the prcess by which peple select, rganize, and interpret infrmatin frm the utside wrld. Expsure: the extent t which a stimulus is capable f being registered by a persn s sensry receptrs Subliminal advertising: suppsedly hidden messages in marketers cmmunicatins Attentin: the extent t which a persn devtes mental prcessing t a particular stimulus Interpretatin: the prcess f assigning meaning t a stimulus based n prir assciatins a persn has with it & assumptins he/she makes abut it 2. Mtivatin: an internal state that drives us t satisfy needs by activating gal riented behavir. The Hierarchy f Needs (develped by Maslw) categrizes mtives accrding t five levels f imprtance--the mre basic needs being n the bttm f the hierarchy and the higher needs at the tp. 3. Learning: a change in behavir caused by infrmatin r experience. Learning can ccur deliberately r when we are nt trying. Behaviral Learning the behaviral learning theries assume that learning take place as a result f cnnectins we frm between events
6 Classical cnditining: learning that ccurs when a stimulus eliciting a respnse is paired with anther stimulus that initially desn t elicit a respnse n its wn but will cause a similar respnse ver time because f its assciatin with the 1 st stimulus Operant cnditining: learning that ccurs as the result f rewards r punishments Cgnitive learning cgnitive learning thery views peple as prblem-slvers wh d mre than passively react t assciatins between stimuli. Cgnitive learning ccurs when cnsumers make a cnnectin between ideas r by bserving things in their envirnment Observatinal learning: learning that ccurs when peple watch the actin f thers & nte what happens t them as a result 4. Attitudes: a lasting evaluatin f a persn, bject, r issue. 3 cmpnents f a persn s attitudes: Cgnitin: the belief r knwledge a persn has abut a prduct and its imprtant characteristics. Affect: the verall emtinal respnse a persn has t a prduct. Affect is usually dminant fr expressive prducts. Behavir: the ding cmpnents f attitudes, invlves a cnsumer s intentin t d smething, such as the intentin t purchase r use a certain prduct. 5. Persnality: the set f unique psychlgical characteristics that cnsistently influences the way a persn respnds t situatins in the envirnment - Self-cncept: an individual s self image that s cmpsed f a mixture f belief, bservatins & feelings abut persnal attributes; the attitude tward the self. Cnsumers buy prducts that are extensins f themselves and marketers create brand images that will be cngruent with the selves f different types f peple 6. Age peple in the same age grup may share a cmmn set f experiences and have similarities in prduct preferences. The purchase f gds and services may als depend n cnsumers psitin in the family life cycle the stages thrugh which family members pass as they grw lder. 7. Lifestyle - a pattern f living that determines hw peple chse t spend their time, mney, and energy and that reflects their values, tastes, and preferences. Cnsumers ften chse gds, services, and activities that are assciated with a certain lifestyle. Situatinal & scial influences n cnsumers decisins Situatinal influences includes sensry marketing (marketing techniques that link distinct sensry experiences such as a unique fragrances with a prduct r service) The physical envirnment - Fr example, physical surrundings may influence buying when attractive decr elevates a persn s md and leads t impulse buying.
7 Time - If time pressures are high, cnsumers may search less and buy prducts that are quick t btain. Time pverty: cnsumers belief that they re mre pressed fr time than befre Scial influences n cnsumer s decisin Culture - sciety s persnality. It includes the values, beliefs, custms, and tastes prduced by a sciety. Culture includes imprtant rituals that have cnsumptin implicatins: weddings, hlidays, graduatin. Subculture - a grup existing within a larger culture whse members share a distinctive set f beliefs r characteristics. Each f us belngs t several subcultures. These subcultures can be religius grups, ethnic grups, r reginal grups. Micrcultures: grups f cnsumers wh identify with a specific activity r art frm Emerging Lifestyle trends: cnsumerism & Envirnmentalism Cnsumerism: a scial mvement that attempts t prtect cnsumers frm harmful business practices Envirnmentalism: a brad philsphy & scial mvement that seeks cnservatin & imprvement f the natural envirnment Kyt prtcl: a glbal agreement amng cuntries that aims at reducing greenhuse gases that create climate change Envirnmental stewardship: a psitin taken by an rganizatin t prject r enchance the natural envirnment as it cnducts its business activities. Green marketing: a marketing strategy that supprts envirnmental stewardship, thus creating a differential benefit in the minds f custmer Scial class - verall rank f peple in a sciety. Peple wh are within the same class have similar ccupatins, incme levels, and educatin. They als share tastes in clthing, decrating styles, and leisure activities. Status symbls: visible markers that prvide a way fr peple t flaunt their membership in higher scial classes Mass-class: the hundreds f millins f glbal cnsumers wh nw enjy a level f purchasing pwer that s sufficient t let them affrd high-quality prducts.
8 Grup membership - Peple act differently in grups than they d n their wn. Reference grup: set f peple a cnsumer wants t please r imitate. Cnsumers refer t these grups in making purchases what they wear, where they g, what brands they buy, and s n. Opinin leaders: peple wh influence thers attitudes r behavirs because f their expertise abut the prduct. They usually have high levels f interest in the prduct categry and serve as valuable infrmatin surces. Gender rles: sciety s expectatins regarding the apprpriate attitudes, behavirs, and appearance fr men and wmen. Metrsexual: a straight, urban male wh s keenly interested in fashin, hme design, gurmet cking & persnal care
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