Chapter 6 - Consumer imagery

Question 1

Expand upon product positioning

Answer 1

• Image the consumer has of the product in their mind
• More important than the actual attributes
• Core is the unique position the product occupies in the mind of the consumer
• Conveys a product in terms of how it fills and need
• Successful positioning creates distinctive, positive brand image

Question 2

List the positioning strategies and give brief example

Answer 2

1. Top of the range - upper class, status
2. Service - friendly, top service
3. Value - good price
4. Reliability - warranty, durable
5. Attractive - cool, aesthetic
6. Country - patriotic
7. Brand name - expensive, exclusive

Question 3

Explain packaging as a positioning element

Answer 3

• Packaging must convey the image that the brand communicates to consumers (green packaging for eco-friendly)

Question 4

Explain product repositioning

Answer 4

• Marketers may be forced or choose to reposition in response to market developments (competition or consumer preferences)

Question 5

What is perceptual mapping

Answer 5

• Analytic technique enabling how they want their brand to appear in relation to other brands

Question 6

Expand upon service positioning

Answer 6

• Imaging a key factor for services
• Difficult as intangible – must link desired image with brand name
• Services often want differentiated positioning strategy to market several versions of their service to different markets

Question 7

Expand upon perceived price

Answer 7

• Should reflect the value that the customer receives from the purchase
• Can perceive price as high, low, or fair and this has strong influence on purchase intention and satisfaction
• Reference prices – used as base to compare and judge another price
o Internal (retrieved from consumers memory)
o External (‘sold elsewhere at x price”)

Question 8

Expand upon perceived quality of product

Answer 8

• Intrinsic cues – characteristics of the product itself

* Extrinsic cues – price, brand image, surroundings

Question 9

Why is it difficult to perceive quality of service? How do we?

Answer 9

• Intangible
• Variable
• Perishable
• Simultaneous consumption and production

Servqual scale designed to measure the gap between customer’s expectations and perceptions of actual service delivered

Question 10

Perception of retail store image:

Answer 10

• Brands carried
• Ambiance
• Prices
• Clientele

Question 11

Perception of manufacturer’s image

Answer 11

• Favourable image tied to new product acceptance

* Both a product and institutional image

Question 12

What is perceived risk and what types are there?

Answer 12

•	Degree of uncertainty perceived by consumer as to consequences of purchase
Types:
•	Functional
•	Physical
•	Financial
•	Social
•	Psychological

Question 13

How do consumer handle risk?

Answer 13

• Seek info
• Stay brand loyal
• Buy most expensive
• Seek reassurance