Consumer Behavior.
Determine Customer Needs
people have alibis for why they think and thus don't give honest answers.
To get past this:
1. Motivational Research: big house/hummer, motivated by things
2. Projective Techniques: remove defense by using ambiguous stimuli to get people to talk about themselves by talking about how others might feel. More TRUTHiness.
TAT personality test, Cartoon Test, sentence completion (quick)
3. Qualitative Research: Focus groups are the most common. small sample that isn't random, no stat analysis, pick a moderator who can meet objectives and select subjects, learn to handle the group and how many you need. do in depth interviews too.
PROBLEM RECOGNITION > SEARCH FOR INFORMATION > EVALUATION OF ALTERNATIVES
PROBLEM RECOGNITION
significant difference in what you want and what you have. could be due to: out of stock, O makes them aware of a need, dissatisfaction with current alternative. (could also be due to change in finances, ref groups, we do better job, get people to just want)
SEARCH FOR INFO
then how should it be presented
We search INTERNAL first - cheap, may solve, save time.
if that doesnt help we use EXTERNAL - gained for current problem, may or may not happen.
VALUE V COST
Value discusses
fx of the stored info (too much = info overload = worse decision)
fx of relevance of stored info
fx of importance of the decision based on
fx of perceived risk - financial, socia(normative only)l, safety, performance, length of commitment
COST discusses
$moneys
delay of gratification
time
info overload
psychological frustration which is like standing in line, getting annoyed
Factors that effect search
Demographics
personality
so we give them info
Marketer dominated not
non personal Ads consumer reports, and
otra independent organizations and govt and specialty media
personal personal sales word of mouth, social networking
OPINION LEADERS:
Personal and not marketer dominated information often comes from Opinion leaders. They routinely give information and affect opinions, even if they dont own the P. we tend to like OLs like us. Marketers try to reach these OLs by giving them sneak previews and information. OLs like info.
ATTRIBUTION THEORY: how we attribute causes to an event> easiest when it happens many times
things to apply:
covariation principle of
distinctiveness- only w cause
consistency over time
consistency over modality: diff sitchs
consensus: others agree
single event - causal schema - past exp of similar event/cause relation
(build scenarios)
When you work with people - look for correspondance to reflect their true feelings, likely to be correspondence if they go against a specified role, do something unexpected
Search behavior ?s
how do we process : by brand? att?
methods of study
recall : used in early research, got lots of misinfo, people forgets, ok for gross measures
info display boards: flip over, pretend to choose.
learn content>what info required
learn sequence: when
depth > amount of info required
Problems: only one source, is studied, recs from friends and subcontracting not considered. will people behave normal? are alts realistic?
Process tracing techniques: learn why participants do what they do - talk out loud is protocal analysis. price is impt bc etc
observation
Malcom Gladwell
Howard Moscowitx changed the view of mkt segments by having right pepsis, not pepsi. and introducing
Horizontal segmentation: all things considered, we're on even playing field, no mustard heirarchy. diff must for diff folks.
Platonic dish> there is not one correct and platonic way to prepare a dish. search for variability. embrace diversity to find ways to happiness
Barry Shwartz and the paradox of choice
national dogma- choice is best! yay!
he says - i want a pair of jeans , not 20
secret to happiness> low expectations. wedding vows =you'll do.
lo choice is better for all. not cut and dry - its fascinating! cog dissonance
Do we always make our own decisions?
gifts, conformity, interlocking purchases
decide not to decide
own based v subcontracting: others make decision. this isnt generally recognized
subcontracting a decision : because someone else knows more, we dont have time, decision too complex or important, decision
Thorelli and Engeldow:
want to learn about info seekers , people who buy CR as subjects
64% were aware of recs
85% bought rec'd brand - own or subcontracted? never asked! ! !
Own Based Subcontracted
\hybrid/
/ \
evoked set evaluative criteria
formation formation
{brands we {all things considered,}
choose from) [mpg,megapixels}
[nikon v canon]
It is a ? of how you use the info
just evaluate more > not even hybrid - might just use as info or might use straight
IMPLICATIONS of subcontracted decision making
shorter search, many academic studies ignore
real world should be adabted
we may underesttimate the effect of OLs
you will search more when its risky and you have little info, but if its really impt you might not search much at all! just subcontract> DRs
public policy implications> should we encourage testing and rec info - then people just use stuff instead of think about info/decision OR education > how to use the CR as info '
ROSEN ARTICLE
conclusion, implications, summary purpose why unique
Learning and Memory > takes place at many levels
simple memorization :iconic rote learning thru reps
understanding : insight
ST memory - limited to 5-9 bits
learn by
Repition chunking associations
275163 275 163 913 515-0333
bas eball
LT MEMORY- 7 touches etc
Rep Association emo tie> VW car crash customer service
BEHAVIORIST VIEW OF LEARNING
classical- associations PAVLOV
operant- rewards/bf skinner
shaping behavior - down n under slowly closer to goal
partial reinforcement - slot machine
relate to other stimulus
stimulus discrimination or generalization
separate self - unique
info marketing - see diagram. sell your knowledge by doing free first
Cognitive view of Learning
mere exposure
iconic rote
vicarious learning : modeling/bandura
analytical reasoning:understand/internalize
Models of Brand choice
HI v LO INVOLVEMENT(state of arousal/interest)
HI > understanding>attitude>behavior
LO > Recog>behavior>attitude
Can be hi or lo involved with
search in the product
medium- print is hi , tv is lo - do you have to do anything? read?
ad: get people more involved in P can be a strat
McD's > emo commercials Mrs. Thatcher
retaliation : Wendys wheres the beef(substance, not emo)
Family Influence
HH is all live in one unit, household
Family impacts
socialization - norms etc
Family Life Cycle FLC
FLC, defined thru married v single, age of parents, age of kids
single single 18-26 n/a
newly married: married 22-? n/a
full nest i : married under 6
full nest ii: married over 6
full nest iii: married pick fights carefully w/ adolescents
empty nest i: married downsize in college etc
empty nest ii: married retiring
solitary survivor: dead spouse
axe works due to insparational ref groups
FAMILY ROLES
decision maker
initiator
info gatherer
influencer
gatekeeper
purchaser
preparer
user
maintainer
disposer
Family Role info
decision maker: makes decisions
usually hi class its the husband, lo its the wifey
autonomic : separate but together
syncatic - joint
initiator: notices problem
info gatherer: need to know how to present the info
influencer:
in FNi the kids start being this
gatekeeper: control flow of info
R rated movies for the ninos?
purchaser
might change decision
ie/ men in grocery stores
preparer
if it isnt usable when u buy
assemble, cook, clear directions
if not clear: no repurchase
GM snack n cake - alum coating on cardboard
powdered egg= not doing well by family
user
maintainer
clean.inspect / car/oil/ DOG ewwww.
disposer
impt for green mktg, and when its like batteries and u need to get them info on how to
In home test is best! will figure out who does what role and how those need to be addressed and what info is needed
EVALUATION OF ALTERNATIVES
attitude> to react positive or neg to an object consistently
usually are formed
developed through SOCIALIZATION, REPEATED EXPOSURE, LEARNING
Attitudes are green
behavioral (action), Affective (emo, outward statement or expression), Cognitive (thoughts)
OBJECTS have ATTRIBUTES which are phys or emo properties and a BELIEF is the probability that an object posseses an att. and an EVALUATION is how you feel about how + or - it is to have that att
COMPENSATORY model
if one att in an object isnt doing well, but another exceeds expectations, that can make up for it
Fishbeins expectancy model >
Ao=E Bi Ei
sum of all beleifs times evaluation for each attribute
NON-COMPENSATORY model- look in txt for more examples
poor performance in one att screws it over
Conjunctive- must pass all minimums, but then might have many who pass and then you have a smaller evoked set (hurdles/marines)
Lexicographic - order atts by important, pick one that scores best on most impt, if theres a tie, go to 2nd best etc
(political candidates/class schedule)
ATTITUDE!
We want to be able to change an attitude, so learn how they are formed
Fishbein behavioral intention model
> look at att toward behavior not object, know if ull buy it
B=I = Aact(w1)+SN(w2)
Intention= Attitude toward action of purchase * weight + Social norm*weight
weight measures which is more important to you
Aact=E Bi Ei where i is an outcome of action and not an attribute
SN is measures by
E NBj * MCj
where j is ref group
NB is their opinion - normative beleif of what you think they think
MC is how much you care, Motivation to Comply
END notes for 2nd test
Still need notes on Rosen article and these pages
Chpt 6
212-215
How family members interact is dependent on culture/subculture, role specialization of diff fam members , the degree of involvemet each has in product(teens more in interwebs), and personal chars of family members(education level etc/traits aggresiveness)
USA is less male dependent now, and vs other countries
CONFLICT RES
bargaining, impression mgmt(misrepping facts to suit argument) , use of authoruty, reasoning, playig on emo, additional info
When coercive methods - like silent treatment - is used.. satisfied w outcome, not w decision process
Conclusions about family decision making -
1- diff fam members involved at diff stages
2- diff members evaluate diff atts
3- a decision maker taking acct of what other fam members want in process is impt, tho seldom studied
4- who participates and what method used are fx of P category then fx of chars of fam members and family .
5- agreement more common than dis.
MKTG STRAT AND Fam
fam decisoin process caries across segments like stages in cycle
discover who is involved at each stage, what motivations are, and develop strat to meet needs of all
consumer socialization - youngsters acquire skills and knowlege and attitudes relevant to fx of them as consumers in mkt
content - what they learn
process - how they learn it
217-220
process of CS
ads/friends
instrumental raining - direct
modeling - indirect
mediation - parent alters child's initial interpretation(it can walk! nope, it cant)
SUPERMERCADO AS CLASSROOM
observing
making requests
making selections
making assisted purchases
making independent purchases
MKT to children
ethics?
who understands?
kids clubs
Chpt 7
241-249
WOM - face to face
opinion leader - go to guy.
enduring involvement: hi LT interest in P category=enhanced knowledge
gregarious
Market Mavens - generalized mkt influencers, no specific category
extroverted/concientious
direct flow - mktg info to relevant seg
two step flow of communication:on person receives info - passes on
multi step flow of comm: mktg or otra info to OL to mkt seg and back around
can be direct or indirect
hard candy - indirect etc
KNOWLEDGE
purchase
involvement HI LO
HI med hi
LO lo med
MKT strat for this
ads to stimulate convos
simulating - celeb
P sampling - seeding - free stuff to potential customers bzz agent etc
BUZZ_ sony cameras and blue cross blue men EXPONENTIAL EXPANSION OF WOM
Chpt 8
285-287, 294(b)-297,
VOLUNTARY EXPOSIRE -
infomercials
permission based mktg - email lists
ATTN
SITUATIONAL FACTORS
stimuli in env other than focal stimulus - P or ad
clutter - density of stumuli
single sponsor tv shows/shorter comms
program involvment - editorials around ads how much people are interested
NONFOCUSED ATTN
cocktail pty effect
Hemispheric lateralization - activity on each side o brain
Left - rational - needs rest
Right - images/impressions- keeps going - enerRgizeR
subliminal stumuli
interpretation - assignment of meaning to sensations
gestalt - rEvolution w vert line missing in E
perceptual relativity - relative not absolute
cognitive interpretation - stum are placed into existing categories of meaning
affective interpretation - emotion triggered by stimuli
300(b)-303, 307-311
STIMULUS chars
organization: phys arrangement of stimulus objects
proximity :close together stimuli = same category
generics
ambush mktg - try to make u think that a big organization is part of event,
but it is not.
closure - E in REVOLUTION
figure/ground - u know what focus is
307-311
PERCEPTION AND MKTG STRAT
retail strat
cross promotions- ads for milk in cookie aisle
brand name and logo development
linguistic considerations:mtn dew cherry v code red and nutra sweet
branding strats:
brand extention : levi nice jackets - no work
cobranding: intel INSIDE! woah.
logo design and typographics: fedex
Media strat: where to put ads
Ads:capture attn, convey meaning - mt bachelor
package design/labels: m n ms more colors = eat more, taller packages=more inside, etc
Chpt 14
517-526
Types of Consumer problems :
active
inactive
ie/ timberlane
uncontrollable determinants of problem recog
desired v have
STRAT
discover probs
activity analysis:survey to concentrate on an activity and what needs may exist there
P analysis: same, for P
problem analysis: start w/ problem (organization) sees if its a problem
human factors research : carpal tunnel?
emo research " how consumers cope w/ emo when P fails? etc
respond to C Problems
insurance/cc - when gradutate
helping C recog problems
generic v selective problem recog
generic - variety of brands w/in category can fix
early in PLC, firm has hi mkt share . problem recog limited, industrywide effort - milk
selective- only one brand can solve! blister block
approach to problem recog - - problem recog depends on importance of decision and magnitude of diff bw desired and current state
influence desired state/ influence perception of current state
timing - shovel
suppressing prob recog - cigarette
Chpt 15
533(b)-537,
Types of info sought
evaluative criteria:other brands/stores etc
awarenesss set - all brands u know of
evoked set - ones u might buy
inept set - ones u dont want
inert - brands you're indifferent to
STRAT- must focus on awareness, but also perception
existence of many solultions
performance level or char of each solution on each criteria
539-545(b),
info search
intwrwebs- not used equally by segments or countries
info is expected online
info boosts offline sales
viewed as valuable
reduce role of salespeople - cars
do more buy generics after longer search instead of branded?
info overload
how do sites drive consumers to info and info to consumers and how can online be integrated w offline
behavioral tgting - if they visited 3 times, hit w snapple
seach engine optimization seo
551-556
STRAT based on patterns
Maintenence
Disrupt- right now its inept, improve it and advertise the shit out of it.
Capture- get them in the store for qualities they want - point of purchase displays showing impt things
Intercept - attract inept when they are looking at othersthat are already evoked
Preference- info campaign saying - we're IDEAL!
Acceptance-
