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ADMS 3210 (1)
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ADMS 3210 Consumer Behaviour Textbook Notes

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Administrative Studies
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ADMS 3210
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Elena Skliarenko

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ADMS 3210 Consumer Behaviour – Notes Ch 1- Intro to Consumer Behaviour Consumer behaviour- study of the processes involved when individuals or groups select, purchase, use, dispose of products, services, ideas to satisfy their needs and desires -it is an ongoing process Exchange- 2+ orgs or people give and receives something of value Consumers’ Impact on Marketing Strategy Segmenting Consumers Marketing Segmentation- identifies groups of consumers similar to one another in one or more ways Demographics- stats that measure observable aspects of a population -trends revealed in demo studies are of interest to marketers Psychographics- differences in consumers’ personalities, attitudes, values, lifestyles Agediff age groups have diff needs and wants Genderdifferentiating by gender starts ever since they wear diapers Family structure and life stageit has such a big effect on a consumers’ spending priorities -young singles and newlyweds vs. single parent households Social class and incomedetermines which groups have the greatest buying power and mkt potential Ethnicitymulticulturalism Geographyclimate changes Lifestyles beyond demographicsthe way we feel about ourselves, the things we value Relationship Marketing: Building Bonds with Consumers Relationship marketing- making an effort to interact with consumers on a regular basis, giving them reasons to maintain a bond with the company over time Marketing and Culture Popular culture- music, movies, sports consumed by the mass market -is both a product of marketers, and an inspiration for them too Consumer generated content- consumers who voice their opinions about brands and products online -is an important part of marketing’s influence on culture -people often buy products not for what they do, but for what they mean The Global Consumer -global consumer culture, in which people around the world are united by their common devotion to brand name consumer goods U-commerce- ubiquitous networks that enable real time connections in business and consumption behv -wearable computers, customized ads -the rise of global marketing means even smaller companies are looking to expand overseas, thus increasing the pressure to understand how customers in other countries are the same or diff Virtual consumptionelectronic marketing increases convenience -is more than B2C and C2C -it gives an easy way for consumers around the world to exchange info about their experiences Digital native- students that have grown up wired, are in an “always on” world -today each of us can communicate with huge numbers of people with just a click Horizontal revolutionwhere info flows across people instead of up and down Social media are the online means of communication, conveyance and collaboration Synchronous interactions occur in real time Asynchronous interactions don’t require all participants to respond immediately -social media platforms enable a culture of participation where people have the ability to freely interact Marketing Ethics and Public Policy Business ethics- ethical business is good business -consumers think better of products made by firms they feel are behaving ethically -notions of right and wrong differ across people, orgs and cultures though -the cultural differences influence whether bus practices are acceptable Needs and Wants: Do Marketers Manipulate Consumers? -artificial needs -advertising/promotions -consumer space -public policy and consumerism Consumer Activism and its Impact on Marketing Culture jamming- aims to disrupt efforts by the corporate world to dominate our cultural landscape -CSR, corporate giving, green marketing Social marketing- using marketing techniques to encourage positive behaviours -transformative consumer research-promotes research projects that include the goal of helping people or bringing about social change -consumers are collaborators who work with the researchers The Dark Side of Consumer Behaviour Addictive Consumption Def’n- physiological or psychological dependency on products of services -many companies profit from selling addictive products like alcohol, drugs, cigarettes to the market Compulsive Consumption Def’n- repetitive shopping; gambling -it is behaviour that centres on the process of buying -much negative or destructive consumer behaviour can be characterized by: behaviour isn’t engaged in by choice gratification derived from the behaviour is short lived the person experiences strong feelings of regret or guilt afterwards Illegal Activities Shrinkage- inventory and cash losses from shoplifting and employee theft -about three quarters of those caught do it for the thrill and affection -there is also the abuse of exchange and return policies Anticonsumption- rebelling against the idea of consumption itself -product tampering, where innocent people are hurt or killed How do we find out about Consumers? Role of Consumer Research Primary research -surveys -focus groupssmall group sessions guided by a moderator -used when a new idea or product is being tested, or researchers want to generate new ideas -interviewsdirect contact with the consumer, one on one interaction -can take much longer though -observational researchconsumer behaviours are directly observed -drawback is consumers may not always express the truth Ethnographic research- researchers observe and record how consumers behave in real world contexts -qualitative researchstorytelling where consumers are asked to talk about their experience -role playing, where consumers are asked to put themselves in a role -photos or a diary that rep a consumer’s consumption experiences -when marketers want to collect qual data that they believe will have trouble in providing accurate responses they use projective techniques -involves an ambiguous, unstructured object -experimental researchwhen the researcher wants to make cause and effect claims -random assignments to put participants into groups or experimental conditions Independent variables are those that the researcher manipulates Dependent variables are those that the researcher measures Ch 2- Perception Sensory Marketing: Harnessing Perception for a CA Sensory marketing is something that companies pay more attention to -the impact of sensation on our product experiences -can help us decide which products appeal to us Sightadvertising, store design, packaging -colours can influence our emotions; are rich in symbolic value and cultural meanings -how our eyes can make us eat more when it comes to quantity packaging and variety Smellodours can stir emotions or create a calming feeling Hearingjingles, background music -stores and restaurants often play certain music to create a certain mood -vowel sounds, brand names with repetition in their phonetic structure Touchparticipants who touched an item had a higher attachment level than those that didn’t Kansel engineering- translates customers’ feelings into design elements Tastespecialized cos called flavour houses keep busy trying to develop new tastes to please the changing palates of consumers -changes in culture also determine the tastes that consumers find desirable Exposure- process by which the consumer comes into contact with the stimulus and has the potential to notice it Psychophysics- the focus on how the physical env is integrated into our personal subjective world Absolute threshold- minimum amt of stimulation that can be detected on a sensory channel Differential threshold- ability of a sensory system to detect changes in a stimulus or differences between two stimuli Just noticeable difference (JND)- the minimum change in a stimulus that can be detected -the amt of change necessary to be noticed is related to the original intensity of the stimulus -the stronger the initial stimulus, the greater the change must be for it to be noticed (Weber’s law) -the main point of this law is the ratios, not the absolute differences that are important Subliminal perception- perception of stimuli below the level of consumer consciousness -subliminal messages can be sent on both visual and aural channels Embeds- tiny figures that are inserted into magazine ads by using high speed photography or airbrushing Attention- the extent to which the brain’s processing activity is devoted to a particular stimulus -consumers are often in a state of sensory overload; being exposed more info than can handle Perceptual selectivity- people attend to only a small portion of the stimuli to which they’re exposed -experience also determines how much exposure to a particular stimulus a person accepts -perceptual vigilance is a factor in selective exposure -consumers are more likely to be aware of stimuli that relate to their current needs -perceptual defence means that people see what they want to see Adaptation- the degree to which consumers continue to notice a stimulus over time -a consumer can be habituated and require stronger doses of a stimulus for it to continue to be noticed Factors that lead to adaptation: -intensity -duration -discrimination -exposure -relevance Stimulus Selection Factors Contrastin size, colour, position, novelty Interpretation- the meanings that people assign to sensory stimuli Schema- set of beliefs -provides a cognitive framework that helps interpret info that surrounds a particular stimulus, such as a brand Gestalt Psychology- thought that maintains that people derive meaning from the totality of a set of stimuli rather than from any individual stimulus Principle of closure- consumers perceive an incomplete picture as complete -we fill in the blanks on the basis of our prior experience -also occurs at work when we hear only part of a jingle or theme Principle of similarity- consumers tend to group together objects that share similar physical characteristics Figure-ground principle- part of a stimulus will dominate while other parts recede into the background Perceptual Positioning -perceptions of a brand comprise both its functional attributes and its symbolic attributes -this meaning constitutes the product’s market position Positioning strategy- fundamental part of a company’s marketing efforts as it uses elements of the marketing mix to influence the consumer’s interpretation of the brand’s meaning Reposition- updating a brand’s image for an evolving market Positioning Dimensions include: price leadership attributes product class occasions users design Ch 3- Learning and Memory Learning- permanent change in behaviour caused by experience Behavioural learning theories- assumes learning takes place as the result of responses to external events Classical Conditioning Def’n- when a stimulus that elicits a response is paired with another stimulus hat initially doesn’t elicit a response on its own (Pavlov) Unconditioned stimulus (UCS) is naturally capable of causing the response Conditioned stimulus (CS) doesn’t initially cause it, but the subject learns to associate the two together -thus creating a conditioned response Associative Learning Def’n- consumers learn associations between stimuli in a simple way without complex processes Repetition -repeated exposures increase the strength of stimulus response associations and prevent the decay of these associations in memory -the interval between exposures may influence the effectiveness of this strategy Extinction- when the effects of prior conditioning are reduced and disappears -occurs when a product is overexposed Stimulus Generalization Def’n- tendency of stimuli similar to a CS to evoke similar conditioned responses Stimulus Discrimination Def’n- occurs when a stimulus similar to a CS isn’t followed by a UCS -reactions are weakened and will soon disappear Masked branding- deliberately hiding a product’s true origin (Eg. Canada Dry not Canadian) Marketing Applications of Conditioning Brand equity- a brand has strong positive associations in a consumer’s memory Repetition -scheduling more than 3 exposures is a waste; 1 creates awareness nd 2 demonstrates its relevance to the consumer 3 reminds the product’s benefits Advertising wear out can occur though, where a marketing stimulus is shown so many times that a consumer will no longer pay attention to it -can be alleviated by varying the way in which the basic message is presented Conditioning Product Associations -the order in which the conditioned stimulus and the unconditioned are presented can affect the likelihood that learning will occur -the unconditioned stimulus should be presented before the conditioned stimulus Applications of Stimulus Generalization Strategies based on stimulus generalization include: -family branding -licensing -product line extensions -look alike packaging Instrumental Conditioning Def’n- aka operant conditioning -occurs as the individual learns to perform behaviours that produce positive outcomes and to avoid negative outcomes -behaviours are associated with either rewards or punishments Shaping occurs when consumers are rewarded for successive steps taken toward the desired response -instrumental learning occurs as a result of a reward received following the desired behaviour Positive reinforcement- response is strengthened and appropriate behaviour is learned Negative reinforcement- removes something negative that increases a desired response Punishment- used to decrease an unwanted behaviour -occurs when a response is followed by an unpleasant event -when a positive outcome is no longer received, extinction is likely to occur 4 Types of Learning Schedules Ratio schedulesreinforce the learned based on the number of responses Interval schedulesreinforce the learner after a certain amount of time passes Fixed ratio reinforcement- reinforcement occurs only after a fixed number of responses Variable-ratio reinforcement- they don’t know how many responses are required Fixed interval reinforcement- after a specified time period has passed Variable-interval reinforcement- time that must pass varies around some average Application of Instrumental Conditioning Principles Frequency Marketing Def’n- reinforces the behaviour of regular purchasers by giving them prizes with values that increase along with the amount purchased -frequent buyer programs Cognitive Learning Theory Def’n- views people as problem solvers who actively use info from the world around them to master their environment Observational Learning Def’n- when people watch the actions of others and note the reinforcements they receive -they then model the behaviour; aka imitate the behaviour of others -modeling can have negative side effects though; ie. Violence on TV shows and children -for observational learning in the form of modeling to occur, four conditions have to be met: consumer’s attn must be directed toward the approp model whom it is desirable to emulate consumer must remember what the model says/does consumer must convert this info into actions consumer must be motivated to perform these action Applications of Cognitive Learning Principles -consumers’ ability to learn vicariously makes the lives of marketers much easier -marketers don’t have to reward nor punish them for purchase behaviours Role of Memory in Learning Memory- acquiring info and storing it over time so it’ll be available when needed Encoding- info is entered in a way the system will recognize Storage- knowledge is integrated with what is already in memory Retrieval- mind accesses the desired info -marketers rely on consumers to retain info they have learned about products and services -during the consumer decision making process, the internal memory is combined with external to permit brand alternatives to be identified -one way to encourage purchasing is to provide peel off stickers on packages so when there is low supply, the consumer can just stick it on their shopping list Encoding of Info for Later Retrieval -brand names that are linked to physical characteristics are more easily retained (tide detergent) -low involvement products benefit more from descriptive names since it’s easier to remember Types of Meaning Sensorycolour or shape -activated when the person sees a picture of the stimulus Semanticsymbolic association Personal Relevance Episodic memoriesmemories for events that are personally relevant Flashbulb memoriesvivid and unique -brands are more likely to be positively evaluated when they connect through a narrative Memory Systems Sensory memory- storage of the info we receive from our sense; is very temporary ST memory- limited period of time; limited capacity -verbal input may be stored acoustically or semantically Chunking- info is stored by combining small pieces into larger ones LT memory- for info to enter into LT memory, elaborative rehearsal is needed -thinking about the meaning of a stimulus and relating it to other info already in memory Sorting Info in Memory -diff levels of processing occur that activate some aspects of memory rather than others -aka activation models of memory Associative Network Models -incoming piece of info is stored in an associative network containing related info organized according to some set of relationships Knowledge structure- storage units like complex spider webs filled with pieces of data -info is stored into nodes that are connected by associative link -links form between nodes as an associative network is developed Spreading Activation -as one node is activated, other nodes associated with it also begin tyo be triggered Spreading activation- allows consumers to shift back and forth between meaning levels Memory trace could be stored through: -brand specific -ad specific -brand identification -product category -evaluative reactions -meaning concepts are individual nodes, that can be combined into a proposition -a proposition links two nodes together to form a more complex meaning, which can serve as a chunk -propositions are integrated to produce a schema Script- sequence of procedures expected by an individual Analogical Learning Def’n- an analogy between the new product and an existing product Base- existing product Target- new product Attributes- identifiable features of the product Relations- how the product relates to a desired outcome -what types of analogies are most effective depends on the target market Ie. Professional vs. novice golf player Retrieving Info for Purchase Decisions Retrieval- accessing info from LT memory Factors Influencing Retrieval -in the case of low involvement products, descriptive brand names are more likely to be recalled than those that don’t provide cues of what the product is -when consumers were exposed to advertising after they had directly experienced a product, the ad altered their recollections of the experience Familiarity and Recallprior familiarity with an item enhances its recall -extreme familiarity can result in inferior learning and recall Salience and RecallSalience is its prominence or activation in memory -stimuli that stand out are more likely to command attention -any technique that increases the novelty of a stimulus also improves recall (von Restorff effect) -mystery ads occur where the brand isn’t identified until the end of the ad -they’re more effective at building associations between the product category and the brand Unipolar emotion- wholly positive or wholly negative Pictorial vs. Verbal Cuesinfo presented in picture form is more likely to be recognized later -they don’t necessarily improve comprehension though Factors Influencing Forgetting Interference- additional info learned leads to the displacement of earlier info -consumers subsequently learn new responses to the same stimuli in retroactive interference -prior learning can interfere with new learning, called proactive interference Products as Memory Markers -ads that succeed in getting us to think about our own past also appear to get us to like these ads more -products are important as life markers when our sense of past is threatened or challenged Marketing Power of Nostalgia Nostalgia- past is viewed with sadness and longing; “the good old days” Retro brand- updated version of a brand from a prior historical period -they often inspire consumers to think back to an era where life was more stable Memory and Aesthetic Preferences -we like ads and products that remind us of our past, prior experiences also determine what we like now Measuring Memory for Marketing Stimuli Recognition vs. Recall -two basic measures of impact are recognition and recall Recallmore important in situations where consumers don’t have product data at their disposal Recognitionimportant where consumers are confronted with thousands of product options -package recognition/familiarity can have a negative consequence in that warning labels may be ignored Problems with Memory Measures Response biases- results from a measuring instrument aren’t caused by what’s being measured, but rather to something else about the instrument/respondent (response bias) Memory lapse- unintentionally forgetting info Memory for facts vs. Feelings- effective strategy relies on a LT buildup of feeling rather than on a one shot attempt to convince consumers to buy the product -it’s not necessarily sufficient to alter consumer preferences Ch 4- Motivation and Affect Motivation Process Motivation- processes that cause people to behave as they do -occurs when a need is aroused Goal- the desired end state Drive- degree of arousal -once the goal is attained, tension is reduced and the motivation recedes Motivational Strength Drive Theory -focuses on biological needs that produce unpleasant states of arousal (Eg. Stomach grumbling) Homeostasis- goal oriented behaviour attempting to reduce the unpleasant state to return it to one that’s balanced -drive theory runs into challenges when it tries to explain some facets of human behaviour that run counter to its predictions though Eg. People may delay gratification; if they know they’re going out for a good dinner they may hold back on eating during the day Expectancy Theory Def’n- behaviour is pulled by expectations of achieving desirable outcomes rather than being pushed from within -we essentially choose one product over another because it looks to have more +ve consequences Motivational Direction Types of Needs Biogenic needselements necessary to maintain life (food, air, water) Psychogenic needsbecoming a member of a culture (need for status, power) -consumers can also be motivated to satisfy either utilitarian or hedonic needs -they can be motivated to purchase because it provides both benefits Motivational Conflicts (3) Approach-Approach Conflict -person has to choose between two desirable outcomes Theory of Cognitive Dissonance- people have a need for consistency and that a state of tension is created when beliefs conflict with one another -marketers attempt to reduce this by highlighting the superiority of their brand Approach-Avoidance Conflict -the p&s we desire have negative consequences attached to them, as well as positive Eg. Mink coat, eating potato chips -marketers avoid this by convincing consumers they’re deserving of this Avoidance-Avoidance Conflict -choosing between two undesirable outcomes -marketers address this through messages that stress the unforeseen benefits of choosing one option Classifying Consumer Needs -Murray says that a set of psychogenic needs result in specific behaviours *Fig 4.2 biogenic vs hedonic* -his structure serves as the basis for Thematic Apperception Test (TAT) and Personal Preference Schedule (PPS) -Murray believed everyone has the same basic set of needs but differ in how they’re prioritized Specific Needs and Buying Behaviours -those with a high need for achievement strongly value personal accomplishment -they put a premium on products that signify success -other needs relevant to consumer behaviour: need for affiliation need for power need for uniqueness Maslow’s Hierarchy of Needs *Fig 4.3* -theory says that satisfaction doesn’t motivate behaviour, but dissatisfaction does -we don’t need to satisfy one need before the next one motivates us Criticism: can’t precisely measure -assumptions may be particular to Western culture Motivation and Goal Fulfillment -stet SMART goals -consumers who feel like they’re closer to attaining a goal are more likely to pursue an alternative goal Consumer Involvement Involvement- person’s perceived relevance of the object based on their inherent needs, values, interests -can be viewed as the motivation to process information Levels of Involvement: Inertia to Passion Inertia- low end of involvement -decisions are made out of habit Flow state- when consumers are deeply involved with a product, ad or website -they become engrossed in the site’s contents -there are diff types of advertising strategies depending on the level/type of involvement Many Faces of Involvement Product Involvement -is related to a consumer’s level of interest in a particular product -is the most powerful way to enhance product involvement Mass customization- personalization of products and services for individual customers at a mass production price Message-Response Involvement -print media is an example, as it demands high involvement -the reader is actively involved -performances are also an example; the message is itself a form of entertainment Interactive mobile marketing- consumers participate in real time promotional campaigns Purchase Situation Involvement -refers to differences that may occur when buying the same object for different contexts Strategies to Increase Involvement -appeal to consumers’ hedonic needs -use novel stimuli (unusual cinematography) -use prominent stimuli, like loud music or fast action -use of celebrity endorsers -maintain an ongoing relationship with them -let consumers make the messages; consumer generated content Affect Types of Affective Responses Affect- the experience of emotionally-laden states Evaluations- valenced (+ve or –ve) reactions to events that aren’t accompanied by high levels of arousal Moods- temporary positive or negative affective states -moods diffuse Emotions- more intense, often related to a specific triggering event Negative state relief- helping others as a means of resolving one’s own –ve moods Eg. World Vision Mood congruency- our judgments are often consistent with our existing mood states -this is why retailers have pleasing bg music, friendly staff -viewing things more +vely if we’re in a +ve mood How Social Media Taps into Our Emotions -we may share good or bad feelings on social media Sentiment analysis- scours the social media universe to collect and analyze the words people use when they describe a product Word-phrase dictionary- used by the researcher to code the data Discrete Emotions Happiness -experiential purchases are more open to positive reinterpretations -people report increased levels of happiness when they spend money on others, instead of themselves Envy -a negative emotion associated with the desire to reduce the gap between oneself and some one who is superior on some dimension Benign envy- when the individual believes the superior other deserves his/her status Malicious envy- the superior other doesn’t deserve their status Guilt -an individual’s unpleasant emotional state associated with possible objections to their actions, inaction -guilt is activated in charitable giving -guilt appeals activates consumers’ sense of consumer social responsibility Embarrassment -a concern for what others are thinking about us -often arises when socially sensitive products are purchased Eg. Condoms, diapers, tampons -can arise between consumers when a social custom or norm is violated Eg. Rejection of a cr card when out on a dinner Ch 5- The Self Self concept- the beliefs a person holds about their own attributes and how they evaluate these qlties -there are parts of the self that are evaluated more positively than others -situational factors can influence how we feel about ourselves -stereotype threat- the anxiety the consumers feel when they fear they might act in a way that confirms the group stereotype ie. Female not knowing anything when they go to a mechanic Self-Esteem -the positivity of one’s attitude toward themselves -marketing communications can trigger a process of social comparison, where the person evaluates themselves by comparing it with other people’s selves and those of media images Real and Ideal Selves Ideal self- how they would like to be Actual self- more realistic appraisal Impression management- the manager what others think of us -choosing clothing and other products that present us in a good light Multiple Selves -having different role identities -some identities are more central to the self than others -a marketer may want to ensure the appropriate role identity is active before pitching products Virtual Identity Virtual identities- ie. Second Life Computer-mediated environments (CME)- ie. Webkinz Avatars-researchers are investigating how these online selves will influence consumer behaviour and how the identities we choose in CMEs relate to our real life identities Symbolic Interactionism Def’n- relationships with other people play a large part in forming the self -people that exist in a symbolic environment -the consumer interprets their own identity and this assessment continuously evolves The Looking-Glass Self Def’n- imagining the reactions of others toward us -is a process of reflexive evaluation that occurs when an individual attempts to define the self -we take readings of our own identity by bouncing signals off other and trying to project the impression they have of us Self-Consciousness -high self monitors are more attuned to how they present themselves in their social environments, and their product choices are influenced by how these items will be perceived by others -they buy things based on how they think others will perceive them Consumption and Self-Concept Products that Shape the Self; You Are what You Consume -the products a consumer owns places them in a social role, helping answer “Who am I now” -inferences about personality based on a person’s choice of leisure activities, food preferences -objects can act as a security blanket by reinforcing our identities, esp in unfamiliar situations Symbolic self-completion theory- people who have an incomplete self-definition complete this by displaying symbols associated with it Ie. Teen boys using cars and cigarettes to be more masculine Self/product Congruence Def’n- products will be chosen when their attributes match some aspect of the self -is a cognitive matching between attributes and the consumer’s self image -some specific attributes have been found to be useful in describing some of the matches between consumers and product; ie. Rugged/delicate, excitable/calm, rational/emotional The Extended Self Def’n- external objects that we consider a part of us -many people cherish possessions as if they were a part of them Ie. Photograph, trophy, old shirt, car, pet 4 Levels of the Extended Self: Individual levelyou are what you wear Family levelincludes a consumer’s residence and the furnishings in it Community leveldescribe themselves in terms of the neighbourhood Group levelattachments to certain social groups Gender Roles -people conform to their culture’s expectations about what those of their gender should do Gender Differences in Socialization Agentic goals- self-assertion and mastery (males) Communal goals- affiliation and the fostering of harmonious relations (females) Gender vs. Sexual Identity Sex-typed traits- characteristics stereotypically associated with one gender or the other Sex-Typed Products- the take on masculine or feminine attributes, and consumers often associate them with one gender or another Eg. Princess phones, pink and blue diapers Androgyny Def’n- the possession of both masculine and feminine traits -the “normality” of sex-typed behaviours varies across cultures; ie. Western vs. Asian -differences in ender role orientation can influence responses to marketing stimuli -sex-typed people in general are more concerned with ensuring their behaviour is consistent with their culture’s definition of gender-appropriateness Gender-Bending Products Def’n- traditionally sex-typed item adapted to the opposite gender -promoting an item that is traditionally for one gender, for the other Ie. Tweezing products for men Female Roles -the evolution of a new managerial class of women has forced marketers to change their traditional assumptions about women as they target the growing market Contemporary Young Mainstream Female Achievers (CYMFA)- identifies different roles women play in different contexts -a wave in one direction may set off a ripple in another Male Roles -like women, men receive mixed messages about how they are supposed to behave and feel -men are increasingly concerned with their appearance -L’Oreal reports that men’s skincare products are now its fastest-growing sector Metro-sexual- straight urban male who exhibits strong interests in fashion, home design, cooking -men try to redefine sex roles while they stay in a safety zone ie. Using moisturizer, but stopping at serums and eye creams Gay, Lesbian, Bisexual, Transgender Consumers -efforts to measure this group have been controversial Body Image Def’n- consumer’s subjective evaluation of their physical slef; isn’t necessarily accurate -is not uncommon to find marketing strategies that exploit consumers’ tendencies to distort thei body images by preying on insecurities -desire to purchase products to narrow that gap Body Cathexis Def’n- the emotional significance of some object or person, and some parts of the body are more central to self concept than others Ideals of Beauty Def’n- a particular model of appearance -physical features, clothing styles, cosmetics, hairstyles, skin tone, body type Working on the Body Hair and the Self -preference for long/short hair is reflective of the social situation -men draw the line at women shaving their heads; they say it’s too masculine/tough/hostile Fattism -society has an obsession with weight; the pressure to be slim is constantly reinforced -a number of companies specifically target the weight-conscious; Weight Watchers Body Image Distortions -many people perceive a strong link between self esteem and appearance -some consumers exaggerate this connection and make sacrifices to attain what they consider desirable -women are often taught the quality of their bodies reflect their self worth Cosmetic Surgery -it is commonplace and accepted among many segments of consumers Body Decoration and Mutilation Decorating the self serves a number of purposes: To separate group members from nonmembers To place the individual in the social organization To place the person in a gender category To enhance gender-role identificationmodern use of high heels To provide a sense of securitylucky charms To indicate desired social conductearrings on left/right ear for gay men To indicate high status or worknumber of feathers worn -tattoos, body piercing Ch 6- Personality, Lifestyles and Values Personality- a person’s psychological makeup and how it influences the way they respond to the env Consumer Behaviour on the Couch: Freudian Theory Freudian Systems Id- oriented toward immediate gratification -is selfish and illogical Pleasure principle- behaviour is guided by the primary desire to maximize pleasure and avoid pain Superego- person’s conscience Ego- mediates between the id and the supergo Unconscious motives- consumers cannot necessarily tell us their true motivations for choosing a product -persons channels his unacceptable desires into acceptable outlets by using products that signify these underlying desires -the product stands for a consumer’s true goal (one that’s socially unacceptable) by acquiring the product, the person is able to experience vicariously the forbidden fruit Motivational Research Def’n- socially unacceptable needs are channeled into acceptable outlets -relies on in-depth interviews with individual consumers -few consumers but probes deeply into each person’s purchase motivations -great appeal to marketers for: cost efficiency intuitive sense providing insights Neo-Freudian Theories of Personality Karen Horney: people can be described as moving toward others (compliant); away from others (detached); against others (aggressive) Carl Jung: analytical psychology; emphasized both the individual’s development as a creative person and their individual, and racial history -believed that people are shaped by the cumulative experiences of past generations Archetypes- universally shared ideas and behaviour patterns BrandAsset Archetypes Model proposes healthy relationships among Archetypes as well as unhlthy ones Adv; easy to understand a brand’s personality -archetypes telegraph instantly to those responsible for brand communication -assure marketing decision makers that the changes will achieve concrete business objectives -can act as an early warning signal that a brand is in trouble *Pg 159* Trait Theories Traits- identifiable characteristics that define a person -people can be distinguished yb the degree to which they’re socially outgoing -innovativeness, public self-consciousness, need for cognition Innie or Outie? Idiocentries- having an individualist orientation Allocentrics- having a group orientation Differences between the two: Contentmentidiocentrics score higher to “I’m very satisfied with the way things are right now in life” Health-consciousnessallocentrics are healthier and prefer to be healthier Food preparationkitchen is the favourite room of allocentrics Workaholicsidiocentrics are more likely to say they work very hard Travel and entertainmentidiocentrics are more interested in other cultures When Traits are Useful -personality traits often interact with situational factors to predict how consumers will behave Public self-consciousness- choices that allow them to present a positive view of the self to others Need for uniqueness- motivates the relevance of this personality trait Need for cognition- when the consumption situation provides the opportunity for effortful cognitive activity; ie. Thinking -consumers high in this enjoy thinking extensively about things like products and its attributes Brand Personality Def’n- set of traits people attribute to a product as if it were a person Brand equity-the extent to which consumers hold strong associations with a brand, and the extent to which they’re willing to pay more for the branded version -the creation of a distinctive brand personality is one of the primary ways marketers make a product out from the competition and inspire years of loyalty Animism- practice where inanimate objects are given qualities that make them alive There are two types: Level 1: allows the consumer to feel that the spirit of the celebrity is available through the brand Ie. Brand is associated with somebody close, or a celebrity (grandma used to use Kraft jam) Level 2: objects are given human characteristics Ie. Green Giant, Michelin Man Lifestyles and Psychographics Lifestyle: Who we are, What we do Lifestyle- pattern of consumption reflecting a person’s choices of how they spend time and money -a lifestyle marketing perspective recognizes that people sort themselves into groups on the basis of the things they like to do -these choices create opportunities for strategies that recognize the potency of a consumer’s lifestyle Lifestyle as Group Identities -it’s a statement about who we are in society and who we’re not -because people’s attributes change, it’s important for marketers to continuously monitor the social landscape to try to anticipate where these changes will lead Products are the Building Blocks of Lifestyles -lifestyle marketing strategies attempt to position a product by fitting it into an existing pattern of consumption and create a brand personality that’s relevant to a variety of products and situations -is to focus on product usage in desirable social settings -we must look at patterns of behaviour to understand consumers; how people use products to define their lifestyles Product complementarity- when the symbolic meanings of different products are related to each other Psychographics Def’n- use of psychological, sociological, anthropological factors to determine how the market is segmented by the propensity of groups within the product Conducting a Psychographic Analysis Can take several forms: lifestyle profile that looks for items that differentiate between used and non-users product specific profile that identifies a group and then profiles the consumers on product-relevant dimensions general lifestyle where respondents are placed into homogenous groups based on similarities product-specific questions used in a general approach are tailored to a product category AIOS Def’n- activities, interests, and opinions -marketers create profiles of customers who resemble one another in their activities -researches give respondents a long list of statements and ask them to indicate how much they agree with each one -they also look for patterns of usage and attitudes toward the product Uses of Psychographic Segmentation To define the target market To create a new view of the market To position the product To better communicate product attributes To develop overall strategy To market social and political issues Psychographic Segmentation Typologies -respondents answer a battery of questions that allow the researchers to cluster them into a set of distinct lifestyle groups -these systems are usually sold to companies that want to learn more about their customers and potential customers VALS (Values and Lifestyles) -are arranged vertically by resources and horizontally by self-orientation *Fig 6.3* Thinkerssatisfied, comfortable, practical, value functionality Achieverscareer oriented and prefer predictability over risk Experiencersimpulsive, enjoy risky experiences Believersstrong principles, favour proven brands Striverssimilar to achievers but with less resources; concerned about others’ approval Makersaction oriented, focuses energy on self-sufficiency Survivorsmost concerned with meeting the needs of the moment Geodemography Def’n- analytical techniques that combine data on consumer expenses with geographic info about the areas in which people live to identify consumers who share common consumption patterns Values Def’n- belief that some condition is preferable to its opposite -plays a very important role in their consumption activities -two people can believe in the same behaviour, but have diff belief systems Core Values -differences in values often explain why marketing efforts that are a big hit in one country isn’t in another Value system-a general set of core values that uniquely defines a culture -they’re taught to us by socialization agents (parents, friends, teachers) Acculturation- process of learning the value system of another culture Ways to Classify Values Terminal values- desired end states -the List of Values (LOV) Scale was developed to isolate values with more direct marketing applications -identifies nine consumer segments on the basis of the values and relates each to differences in consumption behaviours Conscientious Consumerism: A New Core Value? Conscientious consumerism- focus on personal health LOHAS- lifestyles of health and sustainability -people who worry about the environment, wan products to be produced in a sustainable way Materialism: “He who dies with the most toys wins” Def’n- the importance of people attach to worldly possessions -North Americans inhabit a society in which people gauge their worth and the worth of others based on what they own, and how much they own Ch 11- Group Influence and Social Media Reference Groups Def’n- actual/imaginary individual or group conceived of as having significant relevance upon an individual’s behaviour -they influence consumers in three ways; informational, utilitarian, value-expressive Types of Reference Groups -reference groups describe any external influence that provides social cues Eg. Liberal Party, the Raptors, Arcade Fire Normative influence- ref group that helps set fundamental standards of conduct Eg. Parents and us going to university Comparative influence- decisions about specific brands are activities are affected Eg. Weight Watchers Formal vs. Informal Groups -formal org ahs a recognized structure -informal would be a group of friends, living in a student res -small, informal groups exert a more powerful influence on individual consumers Brand Communities Def’n- setoff consumers who share a set of social relationships based on usage in a product -they meet only for brief periods -can also form when consumes come together for a particular activity around a brand -they are more forgiving than others of product failures -less likely to switch brands, are emotionally involved in the company’s welfare Membership vs. Aspirational Reference Groups Aspirational reference groups comprise idealized figures -the likelihood that people will become part of a consumer’s identified reference group is affected by several factors: Propinquity (physical nearness)- as physical distance decreases and opportunities for interaction increase, relationships are more likely to form Mere exposure- we tend to like people more if we see them more Group cohesiveness- the degree to which members of a group are attracted to each other -smaller groups tend to be more cohesive Positive vs. Negative Reference Groups Dissociative reference groups- groups the consumer wants to avoid association with -they may avoid buying anything that identifies with that group Antibrand Communities Def’n- groups gather to talk negative around a celebrity, store, brand -they’re united through their disdain for it Eg. Rachael Ray Sucks community; those against Starbucks, McDs When Reference Groups are Important -ref group influences aren’t equally powerful for all types of products -the specific impact of ref groups may vary; they might determine the use of certain roducts, or they might have specific effects on brand decisions 2 dimensions that influence the degree to which ref groups are popular: whether the purchase is to be consumed publicly or privately whether it is a luxury or necessity -reference group efforts are more robust for purchases that are luxuries, and those that are socially visible to others Power of Reference Groups Social power- the capacity to alter the actions of others Referent Powerif a person admires the qualities of an individual or a group, they will try to imitate the referent’s behaviours Information Powerpeople with info power are more able to influence consumer opinion by their access to the truth or knowledge Legitimate Powersometimes people are granted power by virtue of social agreements -uniform may be used to enhance their aura of authority Expert Powerconsumers are influenced by experts who are assumed to be able to evaluate products in an informed way Reward Powerwhen a person ahs the means to give positive reinforcement, they will have power of a consumer that this reinforcement is valued Coercive Powerrarely employ4ed in marketing situations; may be used in fear appeals though Conformity Def’n- change in believes as a reaction to real or imagined group pressure Norms- informal rules -we conform in many small ways everyday -unspoken rules govern many aspects of consumption; gift giving, gender roles, personal hygiene Factors Influencing the Likelihood of Conformity Cultural pressures Group unanimity, size, expertise (as groups gain power, compliance ↑) Fear of deviance Susceptibility to interpesonal influence Commitment Social Comparison Def’n- consumers compare themselves to others that increase the stability of one’s self evaluation -people tend to be selective about whom they use as benchmarks Co-oriented peer- people tend to choose these; or a person of equivalent standing when undergoing social comparison Tactical Requests To increase the likelihood that a person will conform to our wishes: Foot in the door techniqueconsumer is asked a small request, and then is hit up with somthing bigger Eg. Door to door selling Low ball techniqueperson is asked for a small favour and is informed after that it will cost more Door in the face techniqueperson is asked to do something extreme but when they reject they get asked something small Group Effects on Consumer Behaviour -people in larger groups tend to focus less attention on themselves, so normal restraints on behaviour are reduced Deindividuation- individual identities get submerged within a group Risky shift-group members show a greater willingness to consider riskier alternatives -as more people are involved in a decision, each individual is less accountable for the outcome, so diffusion or responsibility occurs. -value hypothesis occurs where riskiness is a culturally valued characteristic, and social pressures operate on individuals to conform to attributed valued by society Decision polarization- whichever direction the group leans toward, it becomes even more extreme after discussion Social loafing- people don’t devote as much effort when their contr’n is part of a larger group effort Hope shopping parties- capitalize on group pressures to boost sales -is effective b/c of informational social influence -normative social influence causes group members to cave in, thus the bandwagon effect -groups can influence decisions via the roles they play within the group; Initiatorbrings the idea up Gatekeeper— conducts the info search Influencertries to sway the outcome of the decision Buyeractually makes the purchase Userconsumes the product Resisting Conformity -important to distinguish between independence and anticonformity -anticonformity people specifically go out their way not to buy that brand -independent people are truly oblivious to what is expected -when threatened with a loss of freedom, ppl try to overcome this loss called reactance Eg. Explicit albums; since they’re censored, people may go out their way to buy it Nature of Opinion Leadership Opinion leader- person who is frequently able to influence others’ attitudes/behaviours -they’re technically competent -they evaluated product info in an unbiased way -they possess knowledge power -are socially active and highly interconnect in their communities -similar to the consumer in terms of their values and beliefs; referent power -among the first to buy new products Extent of an Opinion Leader’s Influence -generalized opinion leadersought for all types of purchases -monomorphicexperts in a limited field -polymorphicexperts in several fields Types of Opinion Leaders Innovatorsearly purchasers Innovative communicatorsopinion leaders who are early purchasers Two step flow model of influence- proposes that a small group of influencers are responsible for dissemination of info -but influence is driven more by those that are easily influenced that interact together Influence network- two way dialogue with the opinion leader -occurs when a piece of info triggers a sequence of interactions Market maven- people who are actively involved in transmitting marketplace info of all types Surrogate consumer- active player in many categories -hired to provide input into purchase decisions Eg. Interior decorators, stockbrokers, professional shoppers Identifying Opinion Leaders -most opinion leaders may influence 5-10 consumers rather than an entire market segment -because of the difficulties involved, most attempts focus on exploratory studies in which the characteristics of representative opinion leaders can be identified The Self-Designating Method -ask individual consumers whether they consider themselves to be opinion leaders -results are viewed with skepticism Sociometry Sociometric methods- trace communication patterns among group members -people who tend to be sources of product related info can be identified by asking group members whom they go to for product info -since it’s most precise, it’s hard and expensive -can be used to better understand referral behaviour and to locate strengths and weaknesses -network analysis focuses on communication in social systems; considers the relations among people in a referral network and measures the tie strength among them -weak ties can perform a bridging function though; can link you to another network Word of Mouth Communication WOM- product info transmitted by individuals to individuals -more reliable, trustworthy than recommendations through formal marketing channels Factors Encouraging WOM -person might be highly involved and take pleasure in talking about it -person might be knowledgeable and use convos as a way to let others know about it -person might initiate such a discussion out of a genuine concern Negative WOM Def’n- weighted more heavily by consumers than are positive -shown to reduce the credibility of a firm’s advertising and to influence consumers’ attitudes Buzz Building Def’n- activities undertaken by markets to encourage consumers to spread WOM -some have started a business unit to spread the word about its products among young people Crowd Power Wisdom of crowds- under the right circumstances, groups are smarter than the smartest people in them -implies that large number of consumers can predict successful products Geurrilla Marketing Def’n- promotional strategies that use unconventional locations and intensive WOM campaigns to push products; leaking certain cds to djs -are affordable, and can do an excellent job at it Viral Marketing Def’n- getting customer to sell a product on behalf of the company that creates it Social Media and Consumer Behaviour -companies work to adapt their strategies to new communications platforms: -they improve as the number of users increase -they’re free -sites rely on users to sort contents Cyberplace- online community where people connect online that engage in sociable r/ns Social Networks Def’n- set of socially relevant nodes Nodes- members of the network -the experience interactions Social graphs- used to show the interconnections of units in a network Flows- exchanges of info or resources among members Media multiplexity- flows that might be sent toward an entire community Social object theory- social networks will be more powerful communities if there is a way to activate relationships among people -an object is of common interest and its primary function is to mediate the interacti
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