Chp 4: Consumer Behaviour Flashcards
LO1: what does consumer process model represent
represents the steps that consumers go through before, during and after making purchases
LO1: 5 steps in consumer process model
1) need recognition 2) information search 3) alternative evaluation 4) purchase decision 5) postpurchase
LO1: what makes need recognition larger?
The greater the discrepancy between these needy and desired state, the greater the need recognition
LO1: step 1) need recognition: define need recognition
the beginning of the consumer decision process; occurs when consumers recognize they have an unsatisfied need and want to go from needy state to a different desired state
LO1: step 1) need recognition: example of need recognition
difference between actual hungry state and desired (not hungry) state is greater when you are starving, so need recognition is larger
LO1: step 1) need recognition: 3 types of consumer needs
1) functional needs
2) psychological needs
3) both
LO1: step 1) need recognition: define functional needs
pertain to performance of product or service
LO1: step 1) need recognition: define psychological needs
pertain to personal gratification consumers associate with product/service
LO1: step 1) need recognition: what needs do most products seek to satisfy and example
Most goods and services seek to satisfy both functional and psychological needs (example: purses satisfy functional need of transporting money and a psychological need of an exciting/expensive purse)
LO1: step 1) need recognition: what does successful marketing require
requires determining the correct balance of functional and psychological needs that best appeals to their target markets
LO1: step 1) need recognition: tactics marketers use to make consumers identify needs and 3 examples
Marketers use many tactics to either remind customers or a need or create a new need, example: using reminder advertising for products or showing how a product could enhance a customer’s image or altering layout of store example: place things people buy together like eggs and bread together so when they buy bread, they are reminded to buy eggs too
LO2: step 2) info search - explain info search
search for info about options that exist to satisfy consumer need
LO2: step 2) info search: what does length and intensity of info search depend on
depends on perceived risk associated with purchasing product and importance of product to consumer
LO2: step 2) info search: 2 key types of info
1) internal
2) external
LO2: step 2) info search: define internal search for info and example
occurs when buyer examines own memory and knowledge about product/service, gathered through past experiences
ex. Eating at restaurant you know you like
LO2: step 2) info search: define external search for info and 2 examples
occurs when buyer seeks info outside his own personal knowledge base to help make buying decision
example: Like talking to friends or looking on search engines
LO2: step 2) info search: 3 factors affecting consumer search process
1) perceived benefits vs perceived costs of info search
2) locus of control
3) actual or perceived risk
LO2: step 2) info search: factors affecting consumer search process: explain perceived benefits vs perceived costs
is it worth time and effort to search for info about product/service; probably spend more time researching safety of cars
LO2: step 2) info search: factors affecting consumer search process: explain internal locus of control
people believe they have some control over outcomes of their actions. They generally engage in more search activities
LO2: step 2) info search: factors affecting consumer search process: explain external locus of control
people believe fate or other external factors control all outcomes. It doesn’t matter how much info they gather, if they make good decision it isn’t to their credit and if they make bad decision it isn’t their fault
LO2: step 2) info search: factors affecting consumer search process: explain actual/perceived risk
1) 5 types of risk can delay/discourage purchase
2) The higher the risk, the more likely the consumer will engage in extended search.
LO2: step 2) info search: factors affecting consumer search process: 5 actual/perceived risks
1) performance risk
2) financial risk
3) social risk
4) physiological risk
5) psychological risk
LO2: step 2) info search: factors affecting consumer search process:actual/perceived risks: explain performance risk and example
perceived danger inherent in poorly performing product/service (example tesla car takes longer to charge than expected)
LO2: step 2) info search: factors affecting consumer search process:actual/perceived risks: explain financial risk and how this can be allieved
risk associated with money outlay and includes initial cost to purchase and costs of using item (warranties can alleviate this)