Marketing - Influences Flashcards
Custmmer Choice
Customer Choice Influences
P.E.G.S
Psychological, Economic, Governmental, Socio-Cultural
Consumer Choice
Psychological
Personal characteristics of an individual that affect their personal choices
* perception
* attitude
* lifestyle factors
* personality + self image
* learning + motives
Consumer Choice
Economic
Impact of changes in the level of economic activity on buying behaviour
* Boom
* Contraction
* Recession
Consumer Choice
Government
Policies and procedures that impact customer choice
E.g. importing restrictions, firearms, their influence on interest rates
Consumer Choice
Socio-Cultural
The impact of other individuals + groups on buying behaviour
* Family roles
* Reference/Peer groups
* Socioeconomic (societal rank)
* Culture
Consumer Laws
Consumer Laws
Australian Consumer Law
Competition and Consumer Act 2010
* deceptive + misleading advertising
* price discrimination
* implied conditions
* warranties
Consumer Laws - CCA 2010
Deceptive + Misleading Advertising
Businesses must ensure any representation is not unture of false and unlikely to mislead their customers/target market.
Bait Advertising
* Advertising products that are unavailable or available in very limited quantities at reduced prices
Environmental (‘green’) Claims
* When businesses make environmental claims about products, they must be able to substantiate them
Premium Claims
* Claiming that the product has added benefits when compared to similar products.
Dishonest Advertising
* Advertisements must not use words that are deceptive or claim that a product has some specific quality that it doesn’t.
Consumer Laws - CCA 2010
Price Discrimination
Charging customers different prices for the same good/service based on what the seller thinks they can get the customer to agree to
Consumer Laws - CCA 2010
Implied Conditions
The unspoken and unwritten terms of a contract.
Customer Guarantees
* products must be acceptable quality
* services must be provided w/ care and skill/knowledge
Consumer Laws - CCA 2010
Warranties
Promise made by business that they will correct any defects in the goods they produces or services they deliver.
* False/misleading statements concerning warranty conditions of the warranty are prohibited under the CCA 2010
Ethical Influences
Ethical Influences
- Truth and Accuracy
- Good Taste in Advertising
- Products that may Damage Health
- Engaging in Fair Competition
- Sugging
Ethical Influences
Truth + Accuracy
Businesses can be held morally responsible for misleading the public
* untruths due to concealed facts
* exaggerated claims
* vague statements
Ethical Influences
Good Taste in Advertising
- highly subjective to what is ‘good taste’
- some may find an advert offensive while others won’t
Ethical Infleunces
Engaging in Fair Competition
Must be fair to competitors when reffering to them
Anti-Competitve Conduct that is Prohibited
* mergers
* resale price maintenance
* missues of market power
Ehtical Influences
Sugging
Selling under the guise of a survey + is a sales technique disguised as market research.
Ethical issues raised = invasion of privacy and deception.
