Chapter 3 Flashcards
Understanding consumer decision-making: All external
- Individual factors
- social factors
- Purchase situation
Understand + Predict + Influence
Customer decision-making process
- Problem recognition
- customer realises need/ want
- marketers can expose customers to stimuli such as smells or sights - information search
internal- memory/ experience
external-
- non-marketing controlled
- marketing-controlled
-risk
- prior knowledge
- level of interest - Evaluate alternatives
Evoked set:
- brands that are seriously considered
- product attributes
- customer decision-making process - purchase
- post-purchase behaviour
- how well expectations are met determines whether the customer is satisfied
- cognitive dissonance= inconsistency between values/opinions and behaviour that leads to an inner tension or anxiety
Factors determining the level of consumer involvement
Previous experience
Interest
Perceived risk of negative consequences
Situation
Social visibility
Types of buying Decisions
- Routine response behaviour
- Low involvement
- Low cost
- Quick decision-making - Limited decision- making
- medium involvement
- Medium cost
- Medium time of consideration - Extensive decision-making
- High involvement
- High cost
- Long consideration time
Marketing implications of consumer involvement:
- High involvement products: extensive communication
- Low involvement products: customers may not recognise wants until they are in a shop, so in-store advertising is vital
Buyer behaviour influences
- Individual factors
- Social factors
- Prevailing purchase situation
Individual factors:
Perception
Motivation
learning
Values, beliefs and attitudes
Personality, self-concepts, lifestyle
Social Factors:
Culture
Reference Groups
Opinion leader
Family
Social class
Motivation
Maslow hierarchy
- Physiological needs
- Safety needs
- Social needs
- Esteem needs
- Self-actualisation needs
Perception
the process by which we select, organise and interpret stimuli into a meaningful and coherent picture
- Price
- Colour
- Warranties
Learning
Types of Learning:
-Experiential learning
-Conceptual learning
Additional factors:
- Reinforcement
- Repetition
- Stimulus generalisation
- Stimulus discrimination
- Product differentiation
Values, beliefs and attitudes
Value = an enduring belief that a specific mode of conduct is personally or socially preferable to another mode of conduct
Belief = an organised pattern of knowledge that an individual holds as true about his or her world
Attitude = a learned tendency to respond consistently toward a given object
Personality, self-concepts, lifestyle
Personality = a way of organising and grouping the consistencies of an individual’s reactions to situations
Self-concept = how consumers perceive themselves (ideal versus real self-image)
Lifestyle = a mode of living as identified by a person’s activities, interests and opinions – psychographics examine and categorise lifestyles
Culture
Culture = the set of values, norms and attitudes that shape behaviour, as well as the products of that behaviour as they are transmitted from one generation to the next
- Culture is dynamic – adapts to needs and environments
Subculture = a homogenous group of people who share elements of the overall culture as well as cultural elements unique to their own group
- Subcultures in SA;
‘Black market’
Protestant, WASP, Jewish, Catholic, Muslim
Reference Groups
Social power:
- Information
- legitimate
- expert
- referent
Types of reference groups:
Direct:
Primary- small, informal groups
Secondary- Large, formal groups
Indirect
Aspirational- Desirable to be a member
Non- Aspirational- Avoids membership
