CHAPTER 1

2/2/12 3:40 PM

Marketing concept Organization should satisfy wants and needs to make profits Consumer Behavior Dynamic interaction of affect & cognition, behavior, and the environment by which humans conduct the exchange aspects of their lives *Dynamic b/c involves interactions; involves exchanges Approaches to the study of CB o Interpretive, traditional, marketing science 3 groups that use knowledge about CB o mktg organizations, gov & political orgs., consumers Marketing strategy Design, implementation & control of a plan to influence exchanges to achieve organizational objectives Stimuli such as products, brand, packaging

CHAPTER 2

2/2/12 3:40 PM

Consumer Analysis (3 elements) 1. Affect & Cognition- feelings; thinkingbeliefs 2. Behavior- consumers actions; can be observed by others 3. Environment- everything external that influences consumer thinking/feeling/doing **Wheel of Consumer Analysis o 3 elements surrounding marketing strategy (center) Relationships among elements o Reciprocal System o Each connected by double-sided arrow b/c any can be a cause or an effect of a change in one or more of the other elements 5 implications (of viewing as reciprocal system) o must consider all 3 elements & relationships o any element may be starting point for analysis o dynamic; consumers can change continuously o applied at several levels; ex. consumer, group, society o highlights importance of consumer research/anal. In most strategies

CHAPTER 3

2/2/12 3:40 PM

Affective Responses (types of, from strongestweakest) Emotions- joy, love Specific- satisfaction, warmth Moods- calm, bored Evaluations- favorable, unfavorable The Affective System (5 characteristics) Largely reactive cant plan a specific goal Little direct control mostly indirect Felt physically butterflies = excited Respond to any type of stimulus can like an object or the action of talking to a salesperson Learned mostly from childhood

Cognition (what is it?) Understanding Evaluating Planning Deciding Thinking o *all mental processes Cognitive Systems (functions of) Interpret, make ease of and understand Process, or think about these interpretations Affect and Cognition (relationship between) Pg. 44 Both affect and cognition are important to understand CB o For spec. mktg purposes one may have > importance o Ex./ affect usually more imp for feeling products (food, cars) Metaphors Address both affect & cognition in mktg strategies Allows people to use knowledge

CHAPTER 4

2/2/12 3:40 PM

Means-end chains Provide a deep understanding of how consumers think and feel about products and brands Links consumers knowledge about attributes with knowledge of consequences and values Common representation of a means-end chain (4 levels)
Attributes Functional consequences Psychosocial consequences Values

Levels Levels

**proposes that the meaning of a product attribute is given by its perceived consequences of product knowledge Used to interpret new information and make purchase choices Formed when people acquire meaning concepts (accretion process) and combine into larger, more abstract knowledge (tuning) Ex. Braking + accelerating = handling of meaning Four levels (from most abstractleast)

o product class (Coffee) o product form (Ground; whole bean) o brand (Folgers) o model/features (1-pound bag) Consumers Product knowledge (three types) Attributes (characteristics) o Change to make products more appealing o Product + brand = bundle of attributes o Concrete attributes- tangible, physical chars. (fabric) o Abstract attributes- subjective, intang. (quality, stylishness) Benefits (desirable consequences consumers seek when buying/using products and brands) Consumers often think of products/brands as bundles of benefits rather than bundles of attributes marketers can use benefit segmentation to divide consumers into subgroups according to their desires

Consequences- outcomes that occur when prod. purch/used Functional consequences- tangible outcomes of using a product experienced directly (Snickers satisfies hunger) Psychosocial consequences- psychological and social outcomes of product use Psychological consequences- internal, personal outcomes (Lululemon makes me fee sylish) Social consequences- (friends will envy my new TV) Perceived risks- undesirable consequences to avoid Influenced by 1. Degree of unpleasantness of neg consequences 2. Likelihood that they occur Physical risks- (Benadryll makes you sleepy) Financial risk- (Shoes go on sale just after purchase) Functional risk- (Aspirin doesnt help headache very well) Psychological risk- (friends will think shirt is weird) Values (peoples broad life goals) o Involve emotional affect associated with goals and needs o Instrumental values- preferred modes of conduct; ways of behaving that have + value (having a good time) o Terminal values- preferred states of being (happy, successful) o *both instrumental and terminal values (goals or needs) represent the most personal consequences people are trying to achieve o Core values- central to self-concept; knowledge about self (ex. Growing value of environment has caused Pepsi to reduce plastic in Aquafina water bottles) *key element in selfschema Identifying Consumers Means-end Chains Best accomplished with one-on-one personal interviews in which researchers come to understand consumers meanings for product attributes and consequences 2 step process:

o 1- researcher identifies the product attributes most important in making a purchase decision o 2-interview process called laddering (Why is that important to you?) designed to reveal hot the consumer associated product attributes with more abstract consequences and values **allows marketing managers to dig below consumers surface knowledge (attributes/consequences) to their deeper meanings/ beliefs about psychosocial consequences and value satisfactions

ZMET Interview elicits metaphors from consumers that reveal their deep meanings (cognitive and affective) about a topic Trained interviewers spend about 2hrs with each consumer exploring the meaning of his of her pictures or visual metaphors o Steps: pre-interview instruction, storytelling, expand the frame, sensory images, vignette, digital image Involvement Consumers perceptions of importance or personal relevance for an object, event, or activity Ex./ absolutad.com artistic print ads of absolut Intrinsic self-relevance Based on consumers means-end knowledge stored in memory Acquired through past experiences with a product Situational self-relevance Determined by aspects of the immediate physical and social environment that activate important consequences and values makes products and brands seem self-relevant Ex./ 50% off sign at Dickss will activate self-relevant thoughts Levels of Intrinsic Self-relevance (for a product or a brand) (stronger levels) Brand Loyalists- strong ties to a brand; positive means-end knowl. Routine Brand Buyers- low intrinsic self-relevance for the product category but have a favorite brand; little brand switching (weaker levels)

Information Seekers- positive means-end knowl. about product category but no brand stands out at superior Brand Switchers- low intrinsic self-relevance for brand and category Influencing Intrinsic Self-relevance Ex./ Gillette; designed new razors product connected consumers important consequences and values; Venus bigger handle, women feel attractive, confidence, self-esteem

In-class Questions

2/2/12 3:40 PM

Core product (affect and cognition) Wet throat Actual product (environment) Water Color 1st thing people react to BLUE = fav color in America b/c calming (spec. sky blue) Positioning P in STP (segment, target)