Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
144 Cards in this Set
- Front
- Back
What is CB?
|
Study of how people select, purchase, use and/or dispose products, services, etc. to fulfill needs & desires
|
|
cognition (thought)
|
product-related knowledge, beliefs, opinions, intentions
|
|
affect (feeling)
|
product-related emotions
|
|
observable behaviors
|
product-related decisions & actions
|
|
Loss leaders
|
help to attract customers. ex. CDs at Walmart
|
|
relationship marketing
|
interact with customers regularly; give them reasons to
maintain a bond with the company |
|
exploratory research
|
no explicit hypothesis, utilize association techniques (word association, emotionality) projective techniques (storytelling), focus group. helps evaluate postion, helpful to look @ speed of response & whether it is pos or neg
|
|
problem-solving research
|
specific hypothesis. Descriptive/Correlational research (e.g., consumer panel, survey, observation). what ppl say: survey. what ppl do: observation.
|
|
correlation
|
measure the relationship b/t 2 variables (causation not implied)
|
|
dangers of what people say...
|
introspection cannot always be counted on. most meaning is conveyed through non-verbal cues.
|
|
1940s
|
economic man; rational
|
|
1950s-60s
|
irrational consumer; vulnerable to external influences
|
|
1970s
|
problem solver; try to make the best decision given certain limitations (Miller's chunk, 5-9 chunks)
|
|
1980s-90s
|
cognitive miser; use heuristics to simplify decisions
|
|
2000s-10s
|
constructive processor.
|
|
Consumer Decision Process
|
need/problem recognition -> info search ->alternative eval -> purchase -> consumption -> post-purchase behavior
|
|
pros & cons to CDP model?
|
adv: can be applied to wide range of situations
dis: can be very complex, complications of hyperchoice |
|
extended problem solving (EPS)
|
All stages in the process are followed.
More expensive products, infrequently purchased, high consumer involvement , unfamiliar products |
|
limited problem solving (LPS)
|
No time, resources, or motivation to engage in EPS
Less expensive products, frequently purchased, low consumer involvement, familiar products |
|
mid-range problem solving
|
between EPS & LPS
|
|
Habitual Decision Making
|
for repeat purchases, lowest difficulty of decision making
|
|
problem/need recognition
|
1st stage of decision making, there is a perceived diff b/t an ideal and actual state
|
|
opportunity recognition
|
ideal state changes
|
|
need recognition
|
actual state cahnges
|
|
how are needs activated
|
Time
Changed circumstances Product acquisition Product consumption Product innovation Marketing influence |
|
information search
|
2nd stage of CDM process, motivated action of knowledge either independent (memory) or experiential (environment)
|
|
familiarity effects
|
amt of search differs depending on level of product knowledge
|
|
searching by brand
|
used by experts, used in the later stages of a search
|
|
searching by attribute
|
used by novices, used in early stages of search
|
|
confirmation bias
|
Seek out information that confirms our existing beliefs and weight this information more than information that disconfirms our belief
|
|
mood bias
|
Positive mood makes us evaluate options more favorably
|
|
negative bias
|
_________
Negative information is perceived to be more salient, diagnostic and weighted more heavily in judgment |
|
Alternative Evaluation
|
determining evaluation criteria and choice alternatives, assessing alternatives, and applying decision rules
|
|
evaluative criteria
|
dimensions used in judging choice alternatives. can be utilitarian (practical) or hedonic (pleasurable, emotional)
|
|
evoked set
|
A subset of available alternatives that we know about
|
|
Consideration set
|
A subset of available alternatives that we consider when making a choice
|
|
Cutoffs
|
Restrictions or requirements for acceptable attribute values that customers employ in judging performance of alternatives
|
|
Cues or Signals
|
Brand name, warranty, or price as a quality signal
|
|
compensatory decision rule
|
A perceived weakness of one attribute may be offset or compensated for by the perceived strength of another attribute. Requires explicit trade-offs among alternatives.
-Simple additive rule -Weighted additive rule |
|
non-compensatory decision rule
|
A product’s weakness on one attribute cannot be offset by its strong performance on anther attribute Decision making process proceeds in a simple and sequential manner.
-Conjunctive rule -Disjunctive rule -Lexicographic rule -Elimination-by-aspects (EBA) rule |
|
weighted additive
|
assumes rational consumer, brand-based processing (aka overall not attribute by attribute)
-attribute x weight and add all up |
|
equal weight
|
Considering all of the alternatives and all of the attribute values for each alternative
brand-based processing |
|
additive difference
|
Alternatives are processed in pairs with the values of the two alternatives compared on each attribute.
-attribute-based processing |
|
conjunctive
|
Consumers set up minimum cutoffs for each attribute that represent the absolute lowest value the consumer would accept.
-brand-based processing |
|
disjunctive
|
Similar to conjunctive rule with two important exceptions:
-Consumers set up acceptable levels for the cutoffs, levels that are more desirable. -Evaluations are made on several (rather than all) of the most important attributes (choose first brand that meets cutoff on one attribute or small subset) |
|
lexicographic
|
Determines the most important attribute, and then examines the values of all alternatives on that attribute.
The alternative with the best value on the most important attribute is selected. -attribute-based processing |
|
elimination-by-aspects (EBA)
|
Similar to the lexicographic rule except that EBA
incorporates the notion of an acceptable cutoff -After attributes are ordered in terms of importance, alternatives are compared on the most important attribute -attribute-based processing |
|
what leads to store loyalty?
|
store image: location, merchandise suitability, knowledge of staff.
interior design, types of patrons, return policies, credit availability |
|
cognitive dissonance
|
regret; can lead to abortion of the consumption process. post-purchase effect. consumers will seek balance in the psychological set by seeking supporting info or distorting contradictory info
|
|
marketing implications of cognitive dissonance?
|
-make claims that accurately depict product performance
-contact buyers post purchase -depict satisfied buyers in advertising |
|
80% of sales come from __% of your customers
|
20%
|
|
why is customer satisfaction important?
|
-influences repeat buying
-shapes word-of-mouth communication -dissatisfaction can lead to complaints |
|
customer lifetime value
|
how much money a customer spends over a lifetime at a given retailer
|
|
dissatisfaction leads to...
|
-voice responses: seeking redress from the seller
-private responses: negative word-of-mouth -third-party responses: taking legal action |
|
satisfaction
|
when performance = expectations
|
|
dissatisfaction
|
when performance < expectations
|
|
delight
|
when performance > expectations
|
|
negative disconfirmation
|
performance is less than expected
|
|
positive disconfirmation
|
performance is greater than expected
|
|
confirmation
|
performance matches expectations
|
|
divestment
|
outright disposal, recycling, remarketing
|
|
"satisficing" strategy
|
picking something that is just good enough. use of heuristics
|
|
use of heuristics leads to biases which are...
|
systematic errors
|
|
types of heuristics
|
performance, habit, brand loyalty, price
|
|
impulse purchases
|
unplanned urge to buy that results from additional info in store
|
|
Normative Model
|
how should ppl make decisions? (rational, optimizing).
statistician/economist |
|
Prescriptive Model
|
how can we help people make better decisions? (debiasing, correcting)
people make relative judgments consultant |
|
Descriptive Model
|
how do people actually make decisions?
(bounded rational, heuristics, satisficing) -psychologist |
|
framing effects:
____ loom larger than equivalent _____ |
losses, gains
|
|
Category membership
|
if A is highly similar to B, A seems to belong to B
|
|
Causal judgments
|
if A is highly similar to B, A seems to cause B
|
|
representative heuristic
|
Judge the probability that an item is a member
of a class by the degree to which the item is representative of (resembles) the class |
|
Availability Heuristic
|
Focus on the ease with which instances can be brought to mind
|
|
Anchoring & Adjustment
|
adjustment often insufficient
anchors often irrelevant |
|
For any marketing stimulus to
have an impact, consumers should be ____ to it, pay ____ to it, and ____ it in the way marketers intend |
exposed, attention, perceive
|
|
sensation
|
the immediate response of our sensory receptors (eyes, ears, nose, mouth, and fingers) to basic stimuli (light, color, sound, odor, and texture)
|
|
perception
|
the process by which sensations are selected, organized, and interpreted
|
|
exposure
|
occurs when there is physical
proximity to a stimulus that allows one or more of our five senses the opportunity to be activated |
|
Activation happens when a stimulus meets or exceeds _______
|
the lower threshold
|
|
zipping
|
fast forwarding past commercials
|
|
zapping
|
switching to other channel during a commercial w/ remote
|
|
flipping (ignoring)
|
moving from one channel to another
|
|
marketing tactics to get consumers' attention?
|
road blocking, repetition, message placement (beg. vs. end), distribution, non-traditional routes (sponsorships)
|
|
product placement pros and cons?
|
realism, efficient, endorsement effect
con: lacks control |
|
attention
|
the extent to wich processing activity is devoted to a particular stimulus
|
|
attention intensity
|
the amt of info ppl can attend to (5-9 units)
|
|
Why do consumers pay
attention? |
novelty(context-dependent), unexpected stimuli, vividness(not context-dependent)
|
|
personal selection factors: vigilance
|
more aware of stimuli that relate to current needs
|
|
personal selection factors: defense
|
see what you want to see
|
|
personal selection factors: adaptation
|
degree to which stimuli noticed over time
|
|
How can marketing managers
grab consumers’ attention? |
isolation, big size, intensity, surprise, human attraction, less clutter, easy to process, attention grabbing stimuli, connect w/ consumer needs
|
|
auditory intensity
|
determines whether sound will be perceived
|
|
sonic identity
|
using songs to support brand image
|
|
absolute threshold
|
minimum amount of stimulus
intensity needed for detection |
|
Just-noticeable difference (JND)
|
differential threshold; The amount by which two stimuli must differ before a person can perceive that they are different
|
|
Weber's Law
|
the stronger the initial stimulus, the greater the additional intensity needed for the second stimulus to be perceived as different
|
|
subliminal perception
|
the activation of sensory receptors by stimuli presented below the threshold level of awareness
|
|
mere exposure effect
|
subliminal presentation of a stimulus can lead to increased liking for the stimulus (caveat: has to be neutral. no preconceived notions)
|
|
gestalt psychology
|
When we see an item, we evaluate it as a “whole thing,” not as a collection of its tiny part
|
|
closure
|
perceive incomplete picture as complete
|
|
perceptual confirmation
|
We perceive and interpret ambiguous data to be in line with our expectations & beliefs
|
|
interpretation
|
the meaning we assign to stimuli
|
|
Comprehension
|
The process of understanding and giving meaning to that which we have just perceived; prior knowledge plays an integral role
|
|
schema
|
a set of associations linked to a concept
|
|
Managing brand schemas
|
Salient associations should be favorable, unique
|
|
Extending schemas
|
Brand extensions
Brand alliances |
|
Changing
|
repositioning - very difficult task
|
|
Comparison omission
|
omitting info in a claim to mislead
|
|
Piecemeal data
|
overall impression of individ statements misleading
|
|
Incidental learning
|
learning by accident
|
|
conditioning
|
a form of learning based on association of a stimulus (info) and response (behavior or feeling)
|
|
classical conditioning
|
a stimulus that elicits a response is paired with another stimulus that initially does not elicit a response on its own
|
|
instrumental (operant) conditioning
|
the individual learns to perform
behaviors that produce positive outcomes and to avoid those that yield negative outcomes |
|
determinants of classical conditioning?
|
-strength of conditioning
-contiguity (seen close together) -blocking (UCS not associated w/ other stimuli) -fit -ordering of CS and UCS -forward conditioning most effective (CS precedes UCS) |
|
higher order conditioning, stimulus generalization
|
CS now becomes UCS...
|
|
extinction
|
when a positive outcome is removed
|
|
reinforcement schedules
|
fixed-interval reinforcement
variable-interval reinforcement, fixed-ratio reinforcement, variable-ratio reinforcement |
|
utilitarian reinforcement
|
consistent good quality, rebates & coupons
|
|
hedonic reinforcement
|
store atmosphere, toy in a cereal box,
|
|
social reinforcement
|
reinforcement from reference group
|
|
encoding
|
sens -> STM
info enters in a way the the system will recognize (can be acoustic, visual, or semantic) |
|
storage
|
ST -> LT
integrate knowledge into memory Can store episodic, procedural, or semantic memories |
|
retrieval
|
LT -> ST
access desired information can be done via recognition or recall |
|
sensory memory types
|
fleeting (1/4th -> several seconds), echoic (3-4 sec, and iconic (250 msec)
|
|
duration in STM is ___ seconds
|
18
|
|
2 types of LTM
|
episodic (autobiographical and semantic (meaning)
|
|
serial position of ad
|
1st 5: semantic LTM
last 6: acoustic STM |
|
serial position matters b/c of ____ and _____ effects
|
primacy, recency
|
|
Organizing Principle
|
Categorization facilitates memory performance
|
|
Encoding-Specificity Principle
|
Contextual cue (match between encoding and retrieval of
information) |
|
Association Principle
|
Information nodes sharing a direct link (interrelated pieces of knowledge)
|
|
priming
|
Activating a node in memory, often outside of awareness
|
|
Cognitive Learning
|
Occurs when information from STM stored in LTM
|
|
Rehearsal
|
Repetition
|
|
Elaboration
|
Integration between stimulus and knowledge
|
|
Retrieval
|
transfer of information from inactive LTM to active STM
|
|
Retrieval influenced by?
|
-strength of memory trace
-retrieval cues -spreading activation |
|
Strength of Elaboration influenced by?
|
-Motivation
-intentional learning (spelling list) -incidental learning (reading book) -Ability -individual factors (knowledge) -environmental factors -distractions -age |
|
Forgetting
|
failure to retrieve something from memory
|
|
Reasons for Failure to retrieve from LTM?
|
-decay theory (mem. grows weaker)
-inaccessibility -interference |
|
retroactive interference
|
learning new interferes with the memory of old
|
|
proactive interference
|
old knowledge interferes with ability to learn something new
|
|
part-list cueing effect
|
a partial list impedes ability to think of new items in that list
|
|
factors effecting retrieval?
|
-salience (von Restorff effect) (uniqueness - like Pringles can)
-prototypicality -redundant cues/repetition -retrieval cues (brand names) -mood -pics vs. words |