Consumer Behaviour: Influencers and Analysis
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Questions and Answers

A company aims to increase product involvement among its consumers. Which strategy would likely be MOST effective in achieving this?

  • Simplifying the product's features to ensure ease of use and minimize learning curves.
  • Implementing a marketing campaign that focuses solely on the product's functional benefits.
  • Reducing the product's price to make it more accessible to a broader audience.
  • Collaborating with influencers to create excitement and build a community around the product. (correct)

A consumer consistently purchases the same brand of coffee beans, despite the availability of cheaper and equally rated alternatives. This behavior BEST exemplifies:

  • Variety-seeking behavior.
  • Cognitive dissonance.
  • Brand loyalty. (correct)
  • Impulse buying.

Liquid Death, a canned water company, achieved significant success through marketing. What key element MOST contributed to its success?

  • Creating excitement and a high level of involvement around a typically mundane product. (correct)
  • Focusing exclusively on the product's low cost compared to bottled water.
  • Targeting only a niche market of extreme sports enthusiasts.
  • Utilizing only traditional advertising methods such as television commercials.

Which of the following scenarios BEST illustrates the concept of 'unsought goods'?

<p>An individual buying a life insurance policy, which they don't necessarily want but know is important for future security. (D)</p> Signup and view all the answers

After accidentally deleting important files from their phone, a person diligently backs up their data regularly from then on. This change in behavior is BEST explained by:

<p>Cognitive Learning. (A)</p> Signup and view all the answers

A company wants to understand general consumer opinions about a new product category before launching a specific product. Which research approach is most suitable?

<p>Descriptive Research (B)</p> Signup and view all the answers

A luxury car brand notices that their vehicles appear 'cheap' at exclusive yachting events but seem expensive in their dealerships. What type of research is exemplified by this realization?

<p>Observational Research (D)</p> Signup and view all the answers

A beverage company wants to release a new energy drink and needs to understand the cause-and-effect relationship between different ingredients and consumer energy levels. Which research approach would be most appropriate?

<p>Causal Research (B)</p> Signup and view all the answers

What is the primary difference between primary and secondary market research?

<p>Primary research is conducted to solve a specific problem at hand; secondary research relies on already existing data. (A)</p> Signup and view all the answers

A company is trying to understand the cultural context in which their product is used by consumers. Which research method is MOST suitable?

<p>Ethnographic Research (D)</p> Signup and view all the answers

Which of the following data types is generally considered qualitative?

<p>Open-ended responses from a customer feedback survey. (B)</p> Signup and view all the answers

A company wants to determine the market size for a new product. Which type of data would be most helpful?

<p>Sales data from similar products. (B)</p> Signup and view all the answers

What is 'desk research' commonly known as?

<p>Secondary Research (A)</p> Signup and view all the answers

A company is launching a new line of luxury chocolates. According to consumer behavior principles, which approach would most effectively drive demand?

<p>Focusing on the exquisite taste, unique ingredients, and the feeling of indulgence they provide. (A)</p> Signup and view all the answers

A beverage company is considering a marketing campaign. Which strategy would best leverage the principles of attitude and nostalgia to increase sales?

<p>Creating advertisements that evoke positive memories and associations with past experiences. (C)</p> Signup and view all the answers

A customer is deciding whether to purchase a new smartphone. According to the Theory of Planned Behavior, which factor would most likely prevent the purchase, even if the customer desires the phone?

<p>A temporary mindset focused on saving money and reducing unnecessary expenses. (D)</p> Signup and view all the answers

A small business owner is struggling to differentiate their product in a crowded market. How can they use the 7Ps of marketing to create a competitive advantage?

<p>By strategically optimizing their product, price, place, promotion, people, process, and physical evidence to create a unique and valuable offering. (B)</p> Signup and view all the answers

A company is assessing the potential demand for its new product. Which sequence reflects the correct progression from a basic consumer need to an actual demand for a specific product?

<p>Need → Want → Demand (A)</p> Signup and view all the answers

In the context of marketing to both consumers and customers, what is the MOST critical factor for a company to consider?

<p>Balancing the appeal to the consumer's desires with the customer's requirements and motivations. (B)</p> Signup and view all the answers

Which of the following is a primary distinction in the focus of B2B versus B2C marketing strategies?

<p>B2B focuses on logical, process-driven purchasing decisions, while B2C focuses on emotion-driven purchasing decisions. (A)</p> Signup and view all the answers

Within the realm of B2B marketing, which strategy is MOST likely to be prioritized to cultivate strong, lasting business relationships?

<p>Personalized communication and engagement to foster trust and understanding. (B)</p> Signup and view all the answers

How does branding emphasis typically DIFFER between B2B and B2C marketing approaches?

<p>B2B branding focuses on positioning, while B2C branding focuses on messaging. (C)</p> Signup and view all the answers

In B2C marketing, what is the MOST likely strategic approach to the customer decision-making process?

<p>Making the process quick, easy, and emotionally appealing. (D)</p> Signup and view all the answers

What is the primary objective of audience targeting in B2B marketing compared to B2C marketing?

<p>B2B marketing involves finding a niche for audience targeting, while B2C marketing is more funnel-focused. (D)</p> Signup and view all the answers

How does ad copy in B2B marketing generally DIFFER from ad copy in B2C marketing?

<p>B2B ad copy uses the terms their clients are familiar with, while B2C ad copy can be more playful and emotional. (D)</p> Signup and view all the answers

According to the Engel-Kollat-Blackwell Model, what is the primary goal of the human brain in relation to internal states?

<p>To maintain a state of equilibrium or balance. (D)</p> Signup and view all the answers

Which of the following is the MOST accurate description of the 'evoked set' in consumer behavior?

<p>The brands a consumer actively considers when making a purchase decision. (D)</p> Signup and view all the answers

A consumer consistently buys a particular brand of coffee without much thought or research. This is MOST likely an example of:

<p>Routinized choice behavior. (B)</p> Signup and view all the answers

Which of the following scenarios BEST illustrates the use of a heuristic in decision-making?

<p>Selecting a product based on a well-known celebrity endorsement, without further research. (D)</p> Signup and view all the answers

A car manufacturer includes advanced safety features in their new model, even though these add to the production cost. According to the material, this strategy is MOST likely aimed at influencing which dimension of perceived quality?

<p>Features (C)</p> Signup and view all the answers

Which of the following is LEAST likely to be considered an internal source of information during consumer decision-making?

<p>Recommendations from a trusted friend. (C)</p> Signup and view all the answers

A consumer is looking to buy a new smartphone. They have a budget in mind, but are willing to slightly exceed it for a phone with a significantly better camera. This BEST illustrates the decision-making behavior related to:

<p>Compensatory decision-making (D)</p> Signup and view all the answers

Which of the following scenarios BEST demonstrates how 'perceived quality' can differ from 'objective quality'?

<p>A consumer believes a more expensive brand is superior, even though it performs similarly to a cheaper alternative. (D)</p> Signup and view all the answers

A company selling luxury watches focuses heavily on the craftsmanship and heritage of their products in their marketing campaigns. This MOST directly aims to influence consumers' perceptions of:

<p>Quality (C)</p> Signup and view all the answers

Which of the following is NOT considered a primary method for gathering consumer insights?

<p>Analyzing pre-existing market reports to identify trends. (A)</p> Signup and view all the answers

A researcher aims to understand the nuanced experiences of individuals using a specific product. Which in-depth interview type would be MOST suitable?

<p>Unstructured interview (C)</p> Signup and view all the answers

What is the primary benefit of using focus groups in consumer research?

<p>Exploring a wide range of opinions and perspectives in a social context. (D)</p> Signup and view all the answers

A company wants to understand how consumers navigate and interact with their products in a real-world setting. Which research method would be MOST appropriate?

<p>Observations (D)</p> Signup and view all the answers

A researcher is developing a sampling plan for a study on consumer preferences. Why is it important to define the target population clearly?

<p>To guarantee that the sample accurately represents the group the researcher wants to draw conclusions about. (D)</p> Signup and view all the answers

What is the key goal of 'sampling' in the context of market research?

<p>To select a subset of the population that accurately represents the characteristics of the entire group. (B)</p> Signup and view all the answers

A marketing team is trying to understand the various influences affecting consumer decisions related to sustainable products. Which approach would provide the most comprehensive understanding?

<p>Considering cultural, social, and personal factors impacting consumer choices. (A)</p> Signup and view all the answers

Which of the following best describes the relationship between marketing strategy and consumer behavior?

<p>Marketing strategy aims to influence consumer behavior, but consumer behavior also informs and shapes the strategy. (B)</p> Signup and view all the answers

A company is launching a new product targeting young adults. Which of the following would be the LEAST effective way to understand their consumer behavior?

<p>Analyzing sales data from a completely unrelated demographic. (D)</p> Signup and view all the answers

A company notices a sudden drop in sales for a product primarily marketed through social media. Which research approach would BEST help them understand the change in consumer behavior?

<p>Conduct a series of in-depth interviews to explore consumer perceptions of the product. (B)</p> Signup and view all the answers

Flashcards

Hedonic

Relating to pleasure or enjoyment, often linked to desires and wants.

Utilitarian

Relating to practical and functional benefits, often linked to needs.

Demands

Wants backed by purchasing power, reflecting consumer's readiness to buy.

7 P's of marketing

A marketing framework including Product, Price, Place, Promotion, People, Process, Physical Evidence.

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Theory of Planned Behavior (TPB)

A theory suggesting that intention, influenced by attitudes, norms, and perceived control, predicts behavior.

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Level of involvement

The amount of effort and attention a consumer gives to a product before purchasing.

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Brand loyalty

A consumer's commitment to repurchase a preferred product or continue using a brand.

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Influencer marketing

Collaborating with individuals who have influence over potential customers to promote products.

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Unsought goods

Products that consumers do not think about regularly or do not know they need.

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Learning by doing

Acquiring knowledge or skills through direct experience or practice rather than by theory or instruction.

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B2B Marketing

Marketing activities aimed at business customers, emphasizing logical, process-driven decisions.

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B2C Marketing

Marketing activities targeted at individual consumers, focusing on emotional decision-making.

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Customer Relationships

B2B marketing emphasizes personal relationships while B2C focuses more on transactions.

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Branding Focus

B2B branding focuses on positioning; B2C branding emphasizes messaging and emotional appeal.

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Decision-Making Process

In B2B, communication is open and collaborative; in B2C, the process is quick and streamlined.

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Audience Targeting

B2B targets specific niches; B2C uses a broader, funnel approach to reach consumers.

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Ad Copy Style

B2B ad copy uses familiar terms; B2C ad copy is often playful and emotional.

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Engel-Kollat-Blackwell Model

A model explaining the human brain's drive for balance in decision-making processes.

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In-depth interviews

Qualitative research method involving direct interaction with individuals to gather detailed information.

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Focus groups

Structured discussions with a group to explore their perceptions and opinions on a topic.

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Observations

Research method that involves recording behaviors or events as they occur in natural settings.

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Primary research

Data collected directly from the source for a specific purpose, such as surveys or interviews.

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Sampling

The process of selecting a subset of individuals from a population to represent the whole.

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Consumer behavior

The study of how individuals make decisions to spend their resources on consumption-related items.

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Consumer influences

Factors that affect how consumers make purchasing decisions, including personal, social, and cultural influences.

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Quantitative research

Research that focuses on collecting numerical data and generalizing it to populations.

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Qualitative research

Research that explores attitudes, behaviors, and experiences through open-ended questions and interviews.

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Market strategy

Plan of action designed to promote selling products or services to targeted consumers.

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Perceived Quality

The perception of a product's quality based on information and experience.

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Descriptive Research

Research aimed at describing characteristics of a population or phenomenon.

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Casual Research

Research that seeks to determine cause-and-effect relationships.

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Evoked Set

The group of brands that a consumer considers when making a purchase decision.

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Observational Research

A method where researchers observe participants in their natural environment.

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Consideration Set

The subset of brands that a consumer believes are viable options.

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Decision Making Goals

Objectives that guide consumers when choosing between options.

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Ethnographic Research

Detailed study of people and cultures in their natural environment.

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Primary vs Secondary Research

Primary research collects original data; secondary research analyzes existing data.

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Information Search

The process of gathering data to help make a purchasing decision.

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Brand Trust

The level of confidence a consumer has in a brand and its products.

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Marketing Influence

The effect that branding and advertising have on consumer choices.

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Structured vs Unstructured Data

Structured data is organized in a fixed format; unstructured data is raw and unorganized.

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Consumer Trust Factors

Elements that contribute to a consumer's trust in a product or brand.

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Study Notes

Consumer Behaviour - Kurskrav

  • To be equipped with efficient business skills.
  • Understand the determinants of consumer behavior.
  • Know how to collect and analyze data to better understand consumer purchase decisions.
  • Diagnose decision stages, key players, their decision criteria, and credible sources of information.

Consumer Behaviour - Overview

  • Understand consumer behavior through the mobilization of qualitative approaches.
  • Teach students how to conduct a qualitative market research, from implementation to analysis of the results.
  • Enhance students' understanding of the main influencers on the consumer decision process.
  • Teach participants how to analyze consumer and business decision process, and make recommendations.
  • Illustrate through examples from various sectors.

Session 1 - Introduction

  • Attend lectures.
  • Be respectful.
  • Review online course materials.
  • Collaborate effectively in groups.
  • Ask questions for clarification.
  • Look after and support each other.
  • Have fun.
  • Stay safe and healthy.
  • Contact instructor with questions.

Assessments

  • Individual Continuous Assessment (20%): A multiple-choice test covering theory from sessions 1 to 6. Due 10/02/2025. Includes both open and closed questions.
  • Group Continuous Assessment (20%): Work in pairs as a marketing agency on a client project. Choose a student-oriented product/service. Deliver a 10-minute presentation on 17th March. Presentation content includes: product/service introduction, market research, adapting the marketing mix based on the research, and justification for two campaign ads (one video, one billboard).
  • Exam (60%): Covers materials from class and practical application of theory.

Types of Consumer Behavior

  • Variety Seeking: Consumers display minimal thought regarding brand differences and switch brands/products frequently, due to low switching costs. Marketers encourage repeat purchases by ensuring ample availability, running frequent campaigns, competitive pricing, and providing coupons/free samples.
  • Complex Buying Behavior: Consumers purchase expensive, rarely-bought products with numerous options (e.g., cars). They conduct extensive research before making a decision, consulting other people.
  • Habitual Buying Behavior: Consumers buy everyday products, rarely considering differences between brands. For example, buying the usual brand of milk.
  • Dissonance-Reducing Buying Behavior: Consumers have trouble seeing differences between competing brands or products within a product category. They experience buyer's remorse after a major purchase. Marketers utilize post-purchase support campaigns.

What is Important To Know About Consumer Behavior

  • Demographics (age, gender, income etc).
  • Competitors (what customers like about opponents? What are the weaknesses?)
  • Brand perceptions and loyalty (do customers strongly relate to a brand?)
  • Products and Services (evaluation of product or service over another)
  • Habits (how many times do consumers engage with the product?)
  • In/Influencers (how do these influences consumers decisions?)
  • Cultures and media (such as ads)
  • How do all factors influence a consumer decision?

Continumm of Buying Decision Behavior

  • Routine Response: Low-cost, frequently bought items, with little consumer involvement. (e.g., milk).
  • Limited Problem Solving: Moderate effort in decision-making (e.g., clothing, some electronics).
  • Extensive Problem Solving: High-cost, unfamiliar products, requiring significant time and effort research (e.g., homes, cars).

Marketing and Consumer Decision Making

  • Consumer decision making involves both rational choices (e.g., price, function), and emotional factors (e.g., brand recognition, feeling, prestige).
  • Every purchase decision involves a mixture both.

Reducing Risk

  • Psychological Risk: Consumers are concerned about the emotional impact of their decisions.
  • Financial Risk: Consumers want value for their money.
  • Performance Risk: Consumers want products to function correctly.
  • Social Risk: Consumers are concerned about how others will perceive their purchase.
  • Time Risk: Consumers need efficient purchase experiences.

Different Consumer Contexts

  • Customer: A company or person purchasing a product/service.
  • Consumer: The end user of a product/service.
  • Buyer: The decision-maker in a purchase.
  • Shopper: Someone looking to buy a product (online or offline).

Qualitative vs. Quantitative Market Research

  • Qualitative research involves in-depth, unstructured data gathering; used for greater insights.
  • Quantitative research involves numerical data analysis; used for confirming or rejecting theories.

Coding Qualitative Data

  • Coding is a technique that organizes data into themes, for easier research.

Forms of Sampling

  • Probability sampling involves random selection; ensuring all groups have a chance of being represented. (e.g., Cluster, Systematic, Multistage)
  • Non-probability sampling does not involve random selection. (e.g., Convenience, Voluntary, Snowball)

Other Information

  • B2B vs. B2C: Understanding Business-to-Business and Business-to-Consumer contexts.
  • Consumer needs vs. Wants: Different needs and wants of consumers, and how to understand each.
  • Information Search: How consumers gather information relating to a product or service before a decision is made.
  • The Consideration Set: The brands or options that a consumer considers during the purchase process.

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Consumer Behaviour PDF

Description

Learn efficient business skills and understand consumer behavior determinants. Know how to collect and analyze data to better understand consumer purchase decisions, diagnose decision stages, key players, and their decision criteria.

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