Consumer Behaviour Introduction

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Questions and Answers

What is a key reason for a company to understand consumer behavior?

  • To develop a universal marketing message for all demographics
  • To extend business overseas (correct)
  • To determine the exact pricing strategy for all products
  • To eliminate competition in the market

Which stage of the consumption process involves evaluating the product's performance after purchase?

  • Postpurchase stage (correct)
  • Post-decision stage
  • Purchase stage
  • Pre-purchase stage

In the context of consumer behavior, what are 'wants' categorized as?

  • Fixed biological requirements
  • Flexible preferences driven by consumer context (correct)
  • Necessary survival elements that create tension
  • Stable demands that do not change over time

According to the consumption process, what primarily influences the consumer's attitude during the pre-purchase stage?

<p>Product packaging and placement (A)</p> Signup and view all the answers

What percentage of customers typically account for the majority of profits in a business?

<p>20% (A)</p> Signup and view all the answers

What is the primary focus of the marketer's perspective during the purchasing stage?

<p>To understand the situational factors that affect consumer decisions (C)</p> Signup and view all the answers

What aspect characterizes the consumption behavior of consumers regarding their product choices?

<p>Consumers are influenced by both their needs and market stimuli (B)</p> Signup and view all the answers

Which statement best describes the nature of 'needs' in consumer behavior?

<p>Needs are biological requirements that can create tension when lacking (A)</p> Signup and view all the answers

What is a critical aspect that influences consumers' decision-making during the purchase stage?

<p>Temporal factors and store displays (B)</p> Signup and view all the answers

Which statement best reflects the process involved in consumer behavior?

<p>Consumers engage in a process of selecting, using, and disposing of products. (C)</p> Signup and view all the answers

How should companies categorize their marketing efforts based on consumer behavior?

<p>Target the most profitable 20% of customers. (B)</p> Signup and view all the answers

What primarily motivates the creation of wants in consumer behavior?

<p>Environmental variables and individual preferences. (D)</p> Signup and view all the answers

In what way does the post-purchase stage impact consumer behavior?

<p>It determines the potential for repeat purchases. (D)</p> Signup and view all the answers

During which part of the consumption process do consumers actively gather information about alternatives?

<p>Pre-purchase. (A)</p> Signup and view all the answers

What role do biological needs play in consumer behavior?

<p>They create inherent tension that motivates action. (B)</p> Signup and view all the answers

What is one way marketers can influence a consumer's attitude during the pre-purchase stage?

<p>By using targeted advertising and promotions. (A)</p> Signup and view all the answers

Which factor is least likely to influence the consumer's decision-making process during purchasing?

<p>The historical performance data of the product. (D)</p> Signup and view all the answers

Why is it critical for businesses to understand the consumption process from the consumer's perspective?

<p>To enhance the overall customer experience at each stage. (A)</p> Signup and view all the answers

What is the primary reason people buy products like Peeps?

<p>For the cultural and personal meanings they represent. (C)</p> Signup and view all the answers

Which factor most significantly influences brand preference among consumers?

<p>The lifestyle statement made by the brand's image. (D)</p> Signup and view all the answers

What role does consumer bonding play in the context of brand choices?

<p>It allows shared experiences and connections among like-minded individuals. (A)</p> Signup and view all the answers

How do consumers perceive products like Nike compared to their competitors?

<p>As extensions of their personal identity. (A)</p> Signup and view all the answers

What is the significance of the 'swoosh' logo for consumers of Nike?

<p>It indicates a lifestyle choice and personal statement. (C)</p> Signup and view all the answers

Why do devoted fans of certain products engage in activities like photographing or creating sculptures with Peeps?

<p>To explore and express their personal attachment to the product. (D)</p> Signup and view all the answers

How does the shelf life of 2 years impact the consumption of products like Peeps?

<p>It provides consumers with time to engage in creative uses and appreciation. (D)</p> Signup and view all the answers

What underlying factor often drives consumer choice between competing brands?

<p>The emotional and personal significance tied to brand imagery. (B)</p> Signup and view all the answers

What distinguishes hedonic needs from utilitarian needs in consumer behavior?

<p>Hedonic needs fulfill the desire for excitement and fantasy. (B)</p> Signup and view all the answers

How can a company best convince consumers that its products meet their needs?

<p>By providing a variety of alternatives that promise to satisfy specific goals. (C)</p> Signup and view all the answers

What role do personal and cultural factors play in the emergence of wants from needs?

<p>They shape the specific ways in which needs are expressed. (C)</p> Signup and view all the answers

What might drive an individual to satisfy a basic need like hunger differently?

<p>Personal choices influenced by cultural tastes. (C)</p> Signup and view all the answers

In what way does the concept of motivation relate to consumer product choices?

<p>Motivation influences the direction and strength of purchasing behavior. (A)</p> Signup and view all the answers

Which of the following best exemplifies a hedonic need in a consumer purchase decision?

<p>Selecting a decadent dessert for a special occasion. (C)</p> Signup and view all the answers

What is the significance of the direction of motives in consumer behavior?

<p>It reflects how consumers aim to fulfill their specific needs. (A)</p> Signup and view all the answers

When a consumer selects a brand of jeans, what underlying motivation might influence their decision?

<p>The desire for social admiration and status associated with the brand. (D)</p> Signup and view all the answers

What is the primary difference between utilitarian and hedonic needs in consumer behavior?

<p>Utilitarian needs aim to satisfy practical benefits, whereas hedonic needs are more about emotional experiences. (A)</p> Signup and view all the answers

How does drive theory explain consumer motivation?

<p>Drive theory suggests that unpleasant states of arousal lead to compensatory behaviors. (B)</p> Signup and view all the answers

What does expectancy theory suggest concerning consumer behavior?

<p>Expectancy theory indicates that expectations about positive outcomes influence consumer choices. (D)</p> Signup and view all the answers

What is the relationship between tension and consumer drive according to the content?

<p>Arousal from tension stimulates a drive that motivates action. (B)</p> Signup and view all the answers

What common behavior contradicts the principles of drive theory?

<p>People often delay gratification even when experiencing hunger. (C)</p> Signup and view all the answers

What does the term 'productivity orientation' refer to in consumer behavior?

<p>A focus on achieving experiences on a bucket list (D)</p> Signup and view all the answers

Which of the following needs describes the desire to connect with others?

<p>Need for affiliation (A)</p> Signup and view all the answers

What primarily drives the urgency a consumer feels to satisfy a need?

<p>The degree of tension created by the gap between the current state and the goal. (C)</p> Signup and view all the answers

What motivational factor influences individuals with a high need for achievement in their product choices?

<p>Their desire to showcase personal success (B)</p> Signup and view all the answers

What outcome often occurs when a behavior successfully reduces a drive, according to the content?

<p>The consumer is less likely to repeat that behavior in the future. (D)</p> Signup and view all the answers

According to the content, what key factor currently influences explanations of motivation more than biological needs?

<p>Cognitive factors, including thought processes and expectations. (D)</p> Signup and view all the answers

Which product type is most likely to appeal to consumers with a high need for power?

<p>Muscle cars and loud boom boxes (B)</p> Signup and view all the answers

In which scenario would an individual likely demonstrate a high need for affiliation?

<p>Participating in a team sports event (B)</p> Signup and view all the answers

Which concept outlines the relationship between specific consumer behaviors and psychogenic needs?

<p>Henry Murray's psychogenic needs inventory (C)</p> Signup and view all the answers

How might consumers with a high need for achievement behave when selecting apparel?

<p>They choose items that reflect business professionalism (D)</p> Signup and view all the answers

What is a possible outcome for consumers with a strong productivity orientation when trying new experiences?

<p>They see experiences as tasks to complete (C)</p> Signup and view all the answers

Flashcards

Consumer Behavior (CB)

The study of how individuals and groups select, use, and dispose of products, ideas, and experiences to satisfy their needs and wants.

Consumer Behavior

The factors that influence a consumer's decision to purchase a product or service. This includes their needs, wants, beliefs, attitudes, and the social and cultural influences around them.

Pre-Purchase Stage

The stage where consumers decide if they need a product, research available options, and compare alternatives. This can involve internal factors (needs, wants) and external factors (marketing messages, reviews).

Purchase Stage

The stage where consumers actually make the purchase decision. This can involve factors like the shopping environment, the price, and the availability of the product.

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Post-Purchase Stage

The stage where consumers evaluate their purchase experience and decide if they are satisfied. This can involve assessing the product's performance, its usefulness, and its value for money.

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Marketing's Impact on Consumer Behavior

The ability to predict and influence consumer behavior to achieve marketing objectives. This involves understanding consumer needs, wants, and motivations, and using this knowledge to create effective marketing strategies.

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The 80/20 Rule

The understanding that a small percentage of customers (typically around 20%) generate a large percentage of profits (around 80%). Companies focus their marketing efforts on these high-value customers.

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Marketing and Needs/Wants

While marketing can't create fundamental needs (like hunger or thirst), it can influence wants and create a desire for specific products or services by appealing to consumers' emotions and offering solutions to their problems.

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What is Consumer Behavior?

The study of how individuals or groups choose, use, and dispose of products, ideas, or experiences to fulfill their needs and desires.

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What influences consumer behavior?

Focuses on the consumer's needs, wants, beliefs, and attitudes, as well as social and cultural influences that impact purchasing decisions.

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How does marketing impact consumer behavior?

Understanding how the company's marketing efforts can be aligned with consumer behavior to achieve marketing objectives.

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What are needs?

Basic requirements for survival, such as food, water, and shelter.

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What are wants?

Desires that are not essential for survival but provide comfort and satisfaction.

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Can marketing create needs?

Marketing cannot create basic needs, but it can influence wants and create a desire for specific products or services to meet those wants.

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Forbrukeratferd

Forbrukeratferd er studiet av hvordan individer og grupper velger, bruker og kvitter seg med produkter, ideer og opplevelser for å tilfredsstille sine behov og ønsker.

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Tre faser av forbrukeratferd

Forbrukeratferd er delt inn i tre faser: før kjøpet, kjøpet og etter kjøpet. Før kjøpet vurderer forbrukeren behovet for et produkt og undersøker alternativer. Kjøpsfasen er når selve beslutningen om kjøp tas. Etter kjøpet evaluerer forbrukeren kjøpsopplevelsen og produktet.

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Markedsføring og ønsker

Markedsføring kan ikke skape grunnleggende behov, men det kan påvirke ønsker og skape et ønske om spesifikke produkter eller tjenester for å tilfredsstille disse ønskene.

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Markedsføring og forbrukeratferd

Markedsføring handler om å forstå og påvirke forbrukeratferd for å oppnå markedsføringsmål. Dette innebærer å forstå forbrukernes behov, ønsker og motivasjoner, og bruke denne kunnskapen til å lage effektive markedsføringsstrategier.

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80/20-regelen

80/20-regelen sier at en liten andel av kundene (vanligvis rundt 20%) genererer en stor del av fortjenesten (rundt 80%). Bedrifter fokuserer markedsføringsinnsatsen på disse høyverdige kundene.

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Meaningful consumption

Products are often bought not just for their functionality, but for what they mean.

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Brand image

The deeper meanings associated with a product help it stand out from others and appeal to specific consumers.

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Beyond functionality

A product's functionality is important, but it may not be the only factor driving consumer choice.

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Marketing for meaning

Companies often use marketing techniques to create an image for their product that resonates with their target audience.

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Consumption as bonding

Consumption choices can create a sense of shared identity and connection among people.

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Lifestyle statements

People often buy products to express themselves and reflect their values or aspirations.

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Marketing's influence on wants

Marketing can influence consumer behavior by creating a need or desire for a specific product or service.

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Motivation

The force that drives people to satisfy their needs and wants. It can be driven by biological needs or cognitive expectations.

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Drive

A state of tension that arises from an unmet need, driving individuals to seek out ways to reduce it.

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Drive Theory

The urge to reduce the tension created by a drive. It explains how needs and wants drive behavior.

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Expectancy Theory

A theory that suggests people are motivated by their expectations of achieving desirable outcomes, rather than internal biological drives.

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Utilitarian Need

A functional or practical need that motivates a behavior.

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Hedonic Need

An experiential need that involves emotions, fantasies, and a desire for pleasure.

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Consumer Goal

The desired end state that a consumer aims to achieve through their behavior.

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Marketing & Consumer Motivation

A method used by marketers to understand the needs, wants, and expectations of consumers to develop products and services that provide desired benefits.

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Need vs. Want

The difference between something we really need for basic survival (like food or water) and something we desire for comfort or satisfaction (like a new phone or a fancy car).

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Want

A specific desire, driven by personal and cultural factors, that fulfills a need.

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Need

A basic requirement for survival that motivates us to act to reduce a tension state; things essential for living.

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Dual Benefit

A product's ability to deliver both practical benefits (like safety and function) and emotional benefits (like excitement and status).

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Company's Goal

Companies try to convince consumers that their products are the best solution to satisfy a need, by emphasizing the benefits and value of their offering compared to alternatives.

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Productivity Orientation

A constant drive to utilize time constructively, often expressed through engaging in new experiences, even if unusual, to mark them off a list of desired achievements.

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Psychogenic Needs

A set of needs that define a person's motivations and influence their behaviors. They are not constant but vary based on our experiences.

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Need for Autonomy

A need for independence and self-reliance, often expressed through actions like choosing solo activities or products that emphasize individuality.

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Need for Defendance

A need to defend oneself against criticism or negative comments, leading to choices that bolster self-image or protect one's reputation.

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Need for Play

A need to participate in enjoyable activities for pure pleasure or entertainment, often manifested through engaging in leisure hobbies or seeking fun experiences.

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Need for Affiliation

The desire to be in the company of other people, often shown through preferences for products and services that facilitate social interactions.

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Need for Power

The drive to have control over one's environment, often expressed through choosing products or services that empower the user to feel in charge.

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Need for Achievement

A strong emphasis placed on personal accomplishments and achievements, driving choices of products and services that project success.

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Study Notes

Session 1: Introduction to Consumer Behaviour

  • Companies should understand consumer behaviour to expand businesses overseas and understand consumer perception of brands and products.
  • Consumer behaviour involves understanding how consumers buy products, including considerations like packaging design.
  • Consumer behaviour analysis studies how individuals or groups select, purchase, use, and dispose of products, services, ideas, and experiences.
  • Consumers are individuals, buying items for personal use, or for resale.
  • Companies should understand consumer behaviour to understand consumers' "real" perception of brand/product.

Stages in Consumer Insight

  • Consumers go through stages before, during and after purchasing a product
  • Pre-purchase stage: consumer decides whether or not a product is needed. They find sources of information to select suitable alternatives. Factors like the time of day or store display can affect purchase decisions.
  • Purchasing stage: This process can be stressful (or pleasant). Consumers evaluate product value and other factors. Consumers determine product value and how a product fits their sense of self.
  • Post-purchase stage: consumer evaluates whether the product met the expectation. Did it give pleasure or was it as expected? Consumers determine whether the product met expectations and if there were any issues concerning the purchase. How a product is disposed of and the environmental impact are important considerations. Environmental impact of product disposal is crucial.

Consumer Perspective

  • 20% of products generate 80% of profits.
  • Companies should focus on high-value customers to optimize marketing efforts.
  • Companies target 20% of customers who generate the most profits as these are the most valuable to the business.
  • Companies can optimize their marketing efforts by concentrating on valuable customers.

Marketing and Needs

  • Marketing can involve creating customer needs, and these can be biological (e.g hunger).
  • Needs can be influenced by comfort or other factors both within and external to consumers, and not every need is a priority. Products that help customers meet a need can be more successfully sold.
  • Ways of satisfying needs are not always constant and can depend on the environment, and the consumer
  • Current needs are important to marketing success.
  • How products are disposed of and the environmental impact are important considerations in consumer behaviour.

Hierarchy of Needs

  • A pyramid model that illustrates self-fulfillment needs and deficiency needs.
  • The hierarchy shows that consumers' needs vary in types and severity and can affect purchase decisions.
  • Understanding a consumer's needs is crucial for successful marketing.
  • Understanding consumers' needs is vital for effective marketing, as products should meet critical needs. For example, Google Glass failed because it did not effectively address a real need.

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