Marketing 305 Consumer Behavior

Demographic, Geographic, Psychographic, Behavioral, and Benefits Sought
Size, Rate of Growth, Competition, Resources, Accessible, and Measurable
By Benefit, By User, or Competitive
Consumer Behavior
The study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires.
80/20 Rule
20 percent of users account for 80 percent of sales.
Segmentation that describes others by looks or character; Gender, Age, Income, Education, Occupation, Race, Religion, Marital Status etc.
Segmented by characteristics; Value, Hobbies, and lifestyles.
Segmented by location and where we live; Regions, States, Countries, or Provinces.
Segmented based on usage; Light vs Heavy user, Brand Loyalty
Segmented on how one product can benefit your wants and needs.
Physical Inventory, tangible
Experience quality, intangible; Processes, People, and Physical Evidence
Process (service)
training program, sales process
People (service)
Looking for personal evidence, experience quality
Physical Evidence (Service)
4 P’s of marketing program
Product, Price, Place, and Promotion
Consumer Behavior Process
Pre-Purchase, Post-Purchase, Purchase
Post-Purchase Cognitive Dissonance
Having a second thought after purchasing a product; Buyers remorse
Role Theory
We as consumers are “actors” in a play; we purchase depending on role at time
Products that express our identity and who we are; SIU t-shirt, coach bag, rolex
Products that reminds us of the past; ninja turtles, mustang
Products that are apart of our daily routine; toothpaste, deodorant, coffee
Products that elicits strong emotions; Flowers, jewelry, cards
modernism; encourages us to stress the function of objects, to celebrate technology and to regard the world as a rational, ordered place with a clearly defined past, present and future.
postmodernism; this perspective argues that our society emphasizes on science and technology too much. This ordered rational view of behavior denies or ignores the complex social and cultural world in which we live.
Marketing Research
Surveys, Focus groups, Experiments, Observation, Sampling and Perceptual mapping
An immediate response to our sensory receptors to basic stimuli.
Sensory Receptors
See, Taste, Smell, Touch and hear.
Basic Stimuli
Light, color, odor, sound and texture.
The process by which we select, organize and interpret sensations; how we give them meaning.
Hedonic Consumption
Reflects our emotional interaction with products.. among competing products, we often value form over function; what a product says about us is often more important than what it actually does.
Soft music, lighting, store layout, appearance of staff and scents in the air that attract us to certain retail establishments and set a mood that increases our propensity to buy.
Absolute Thresholds
The minimum amount of stimulation a person can detect on a given sensory channel.
Differential Thresholds
The ability of a sensory system to detect changes in or differences between two stimuli.
Weber’s Law
The stronger the initial stimulus, the greater a change must be for us to notice it.
Subliminal Perception
A stimulus below the level of the consumer’s awareness.
Sensory Overload
Exposed to far more information than one can process
Seeing something new and placing it with its right category.
The correspondence between signs and symbols and their roles in how we assign meanings.
The product that focuses on the message; Marlboro cigarettes
The sensory image that represents the product image; cowboy
What we derive from the sign; rugged, individualist, american
A sign that resembles the product in some way; mustang horse
A sign that connects to a product because they share some property; pine tree for pine sol
A sign that relates to a product by either conventional or agreed-on associations; Medusa head Versace
Observational Learning
We don’t have to experience it ourselves, we can see someone else having the experience.
Incidental Learning
We learn even when we’re not making a conscious effort.
We’re exposed to new stimuli, we receive feedback that causes us to modify out behavior, when we find ourselves in a similar situation later on, we recognize it because it’s now part of our schema.
Behavioral Learning
We learn as the result of responses to external events; black box of what goes in and what comes out
Classical Conditioning
Stimulus that elicits a response on its own.
Unconditioned Stimulus
Paired with another stimulus that, on its own, wouldn’t elicit a response; later becomes a conditioned stimulus
Conditioned Stimulus
If repeated enough, produces a response on its own. (Pavlov)
Instrumental Conditioning
We learn to perform behaviors that produce positive outcomes and avoid those that produce negative outcomes; rewarded after behavior.
Cognitive Learning
Views customers as problem solvers who use information to control their environment.
A process of acquiring, storing, and retrieving information.
Evoked Set
Those products already in memory plus those prominent in the retail environment that are actively considered during a consumer’s choice process.
Consideration Set
The products a consumer actually deliberates about choosing.
To independently think about a product; recall what was seen.
To recognize a product by given clues or examples; have you seen this.
The process that leads or drives people to behave as they do; occurs when a need is aroused that we need to satisfy.
Utilitarian need
Basic needs; hunger, thirst
Hedonic need
Psychological need; status, loved
Positive outcomes and conflicted between which one should you choose; vacation (conflict)
Attracted to something but has a downside to it; eating a burger (conflict)
conflicted, have to make a choice but both have a downside
Henry Murray
Need for affiliation, play, achievementt, uniqueness, power
Belief that one condition is preferable to another.
Core Values
Deeply-held values that guide our actions
Value possession; the more expensive the more you like and care about it.
The world is coming closer together
Standardize strategy
Keep product the same all around the world; Coca Cola
Localized strategy
change product to fit the economy; McDonalds in China vs USA
Self Concept
Our beliefs about our own attributes and how we evaluate ourselves on these qualities; influences our consumption patterns. We strive to fulfill society’s expectations about how we should look and act.
Self Esteem
We either feel good about ourselves and spend more time on ourselves (high) or we feel badly and lack confidence and spend more time with others (low)
Social Comparison
We evaluate ourselves relative to people appearing in ads; search for standards or anchors
Ideal Self
Conception of how we’d like to be
Actual Self
Realistic appraisal of how we really are.
Impression management
We try to manage what others think of us; We choose clothing and other products to portray us in a positive light.
Security Blankets
We attach to products/objects that we rely on to maintain our self-concept
Body Image
We buy products to look like the models that wear them.

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