Heuristics

Question 1

List the four types of heuristics

Answer 1

Prediction, Persuasion, Choice and Compliance

Question 2

Two examples of prediction heuristics

Answer 2

Availability and Representativeness

Question 3

What type of heuristic involves the consumer attempting to predict an outcome?

Answer 3

Prediction

Question 4

What type of heuristic involves the consumer taking shortcuts when processing advertiser’s messages

Answer 4

Persuasion

Question 5

Describe what anchoring is

Answer 5

Over reliance on one piece of often irrelevant information to make a decision

Question 6

Describe what arbitrary coherence is

Answer 6

Initial price of a product can be arbitrary but once established in our mind will shape what we are willing to pay for that kind of product

Question 7

What is framing?

Answer 7

How we make a decision through the context in which a choice is presented to us

Question 8

Describe what choice heuristic lets us do

Answer 8

Allows us to reduce the number of attributes to be considered for the possible alternative choices

Question 9

Describe what happens with a lexicographic heuristic

Answer 9

Consumers decide which attribute is the most important and which brand offers the best value for this attribute. If brands tie, the second most important attribute is considered

Question 10

What are heuristics in marketing?

Answer 10

Mental shortcuts (rules of thumb) to aid in decision making