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Culture
Culture is often the most powerful cause of a person's
Marketing to Subcultures
Procter & Gamble targets Hispanics using print and TV and has developed special Spanish versions of some brands.
Social Class
Societys relatively permanent and ordered divisions Social Class Members share similar values, interests,
Social Factors
Groups: Reference Groups Aspirational Groups Dissociative Groups Opinion Leaders Family Roles and Status
Personal Factors
Age and Life-Cycle Stage
Tastes and preferences change over time.
Occupation
Occupation influences the purchase of clothing, cars, memberships, etc.
Economic Situation
Income-sensitive goods Counter-cyclical goods
Personal Factors
Lifestyle:
Pattern of living (AIO) Activities Interests Opinions.
VALS:
Classifies consumers with
Freudian Theory
Subconscious motivations
Big 5 - OCEAN
Perception
Process by which people select, organize, and interpret information to form a meaningful picture of the world.
Selective Attention
believe.
Selective Retention
Remembering the good aspects of something you like and
Learning
One Definition:
A relatively permanent change in behavior due to experience.
attitudes.
Need Recognition
Buyers recognize a need or problem as a result of internal or external stimuli.
Marketing communications often stimulate need recognition.
Hungry yet?
Information Search
High vs. Low Involvement Purchases
Cost vs. Benefit Model
Big-Ticket Anomolies
Cognitive Economy
edmunds.com
Information Sources
Personal
Public
Mass media articles or news programs, Internet searches, consumer rating organizations
Commercial
Experiential
Using, handling, examining or sampling the product
Evaluation of Alternatives
ELM: Central vs. Peripheral Route processing
Some Types of Evaluation Calculus:
Compensatory vs. Non-compensatory Weighted Tally Processes Elimination-by-aspects Lexicographic Checkbox Choice Affect Referral
Assume consumer weighs Memory, Graphics, Size/Weight and Price 30%, 20%, 40%, and 10%, respectively.
Computer As score would be: (30% x 10) + (20% x 8) + (40% x 6) + (10% x 4) = 7.4
Successive Sets
Postpurchase Behavior
Consumer satisfaction/dissatisfaction results from gaps
Expectation Recalibration
Cognitive Dissonance
Cognitive Dissonance: Did I make the right purchase? Should I have bought this?
Minimize dissonance by:
Offering mechanisms for making complaints
(Customer Service, 800 hotlines, e-mail, etc.) Being responsive to problems and questions Advertising (remind consumer why choice made sense) Minimizing the potential for product misuse (good product instructions) and Poke-Yoke.
ideas early, but carefully. Early majority: deliberate adopters, who adopt before the average person. Late majority: skeptical, adopt only after the majority of people have tried a product. Laggards: last to adopt, tradition bound, and skeptical of change.
target market?
Complexity
Is the innovation difficult to understand or use or perceived as
such?
Communicability
Can results be easily observed and described to others?
Question
Do consumers always know what they really want or need? Customer always right?
Reactance
Reactance is an
emotional reaction in direct contradiction to rules or regulations that threaten or eliminate specific behavioral freedoms. - Wikipedia
Decision Heuristics
Anchoring & Adjustment Reference Points Emotion Mood Regulation
Elevation Maintenance
Affect Evaluation
Mental Accounting
Consumers Segregate gains Integrate losses Integrate smaller losses with larger gains Segregate small gains from large losses
Implications for marketing strategy?
What are the obvious (i.e. more superficial) reasons why consumers do What are the not-so-obvious, more deep-seated reasons/motivations