Podcast
Questions and Answers
Eating out is not a need.
Eating out is not a need.
True (A)
The purpose of advertising is to...
The purpose of advertising is to...
- Tease the consumer
- Inform the consumer
- Persuade the consumer
- All of the above (correct)
Making the customer do product research is a common market strategy.
Making the customer do product research is a common market strategy.
False (B)
When a company places an ad and offers no interest on your purchase for three years, the cost of the financing is built into the price of the item.
When a company places an ad and offers no interest on your purchase for three years, the cost of the financing is built into the price of the item.
What is a safe assumption to make regarding companies and their marketing strategies?
What is a safe assumption to make regarding companies and their marketing strategies?
The concept best explained by the statement, 'Money spent here cannot be money spent there.' is...
The concept best explained by the statement, 'Money spent here cannot be money spent there.' is...
The method companies use to compete for your money: '90 days same as cash' is...
The method companies use to compete for your money: '90 days same as cash' is...
The method companies use to compete for your money: Reputation for holding its value is...
The method companies use to compete for your money: Reputation for holding its value is...
The method companies use to compete for your money: Car salesman is...
The method companies use to compete for your money: Car salesman is...
The method companies use to compete for your money: TV commercials are...
The method companies use to compete for your money: TV commercials are...
Four common marketing tactics are...
Four common marketing tactics are...
Dave tells the story of a man who bought his dream car, drove it home, but then returned it the next day after some money calculations. This story is an example of...
Dave tells the story of a man who bought his dream car, drove it home, but then returned it the next day after some money calculations. This story is an example of...
When making a significant purchase, you should consider what 3 things?
When making a significant purchase, you should consider what 3 things?
Financing is a form of product positioning.
Financing is a form of product positioning.
What are 3 'power over purchase' tactics?
What are 3 'power over purchase' tactics?
A good salesperson will answer a question with a question.
A good salesperson will answer a question with a question.
Never buy something you do not fully understand.
Never buy something you do not fully understand.
The amount of stuff a person has is directly related to contentment and happiness.
The amount of stuff a person has is directly related to contentment and happiness.
Young single adults should find an accountability partner with whom to discuss big purchases.
Young single adults should find an accountability partner with whom to discuss big purchases.
Inflation has no effect on your buying power.
Inflation has no effect on your buying power.
A budget has little effect on a person's financial success unless he or she also develops power over purchase.
A budget has little effect on a person's financial success unless he or she also develops power over purchase.
You should never wait overnight before making a big purchase if there is only one item left.
You should never wait overnight before making a big purchase if there is only one item left.
Teens have cited 'friends' as the strongest influence over their purchase decisions.
Teens have cited 'friends' as the strongest influence over their purchase decisions.
Repetition has proven to be an ineffective marketing technique.
Repetition has proven to be an ineffective marketing technique.
Zero percent financing is nothing more than a really good marketing technique.
Zero percent financing is nothing more than a really good marketing technique.
The promotion of a product or service by identifying it with distinct characteristics is called...
The promotion of a product or service by identifying it with distinct characteristics is called...
To buy an item with credit; paying over time is called...
To buy an item with credit; paying over time is called...
Referring to the opportunity that is given up because you choose to do something else with your money is called...
Referring to the opportunity that is given up because you choose to do something else with your money is called...
An amount of money you spend, usually $300, that causes some pain to part with is called...
An amount of money you spend, usually $300, that causes some pain to part with is called...
The process of communicating the value of a product or service to customers is called...
The process of communicating the value of a product or service to customers is called...
Refers to the public ability to recall and recognize a brand by its logo, jingles, packaging, etc. is called...
Refers to the public ability to recall and recognize a brand by its logo, jingles, packaging, etc. is called...
Feeling regret or concern after making a large purchase is known as...
Feeling regret or concern after making a large purchase is known as...
An economic system based on a free market, profit motive, open competition and private ownership of the means of production is called...
An economic system based on a free market, profit motive, open competition and private ownership of the means of production is called...
The persistent increase in the cost of goods and services or the persistent decline in the buying power of money is known as...
The persistent increase in the cost of goods and services or the persistent decline in the buying power of money is known as...
A spur-of-the-moment, unplanned decision to buy a product or service is called...
A spur-of-the-moment, unplanned decision to buy a product or service is called...
Why is financing a purchase a bad idea?
Why is financing a purchase a bad idea?
Why should you always consider the opportunity cost when making a significant purchase?
Why should you always consider the opportunity cost when making a significant purchase?
What are the five steps you should take before making a significant purchase?
What are the five steps you should take before making a significant purchase?
What effect does inflation have on purchasing power?
What effect does inflation have on purchasing power?
Summarize factors that influence consumer decisions.
Summarize factors that influence consumer decisions.
Explain why consumer awareness is such an important part of a healthy financial plan.
Explain why consumer awareness is such an important part of a healthy financial plan.
Identify ways companies compete for your money.
Identify ways companies compete for your money.
Study Notes
Consumer Needs and Marketing
- Eating out is classified as a luxury, not a necessity.
- Advertising aims to tease, inform, and persuade consumers.
- Significant market strategies do not typically rely on customers conducting their own product research.
Financial Strategies and Sales Techniques
- Zero-interest financing, like "90 days same as cash," incorporates financing costs into product pricing.
- Companies extensively research and spend millions on marketing due to fierce competition for consumer dollars.
- Opportunity cost highlights that money allocated to one expense cannot be used for another.
Power Over Purchase Tactics
- Prior to making a significant purchase, consider your buying motives, opportunity cost, and prioritize cash payments.
- Effective strategies to maintain power over purchases include waiting overnight, seeking trusted advice, and evaluating opportunity costs.
Personal Selling and Marketing Tactics
- Common marketing tactics include personal selling, financing options, product repetition, and effective product positioning.
- A good salesperson often answers inquiries with follow-up questions to engage the consumer.
Consumer Behavior Insights
- Teens recognize friends as a primary influence on their purchase decisions.
- Repetitive marketing has successfully proven to be effective in influencing consumer choices.
- Consumer awareness is vital for financial well-being; understanding marketing techniques protects against overspending.
Economic Concepts
- Inflation decreases the purchasing power of money, necessitating consideration for future expenses and retirement planning.
- Significant purchases are typically any expenditure above $300 that causes discomfort in spending.
- Impulse buys are unplanned, spontaneous purchases that can disrupt budget management.
Brand and Market Awareness
- Branding helps products stand out through distinct characteristics, enhancing public perception and recall.
- Marketing encompasses the communication of product value to customers, an essential component of successful sales.
Insights on Decision Making
- Always evaluate potential regret or buyer's remorse associated with large purchases.
- Following a methodical approach to significant purchases—waiting, reflecting, understanding, and seeking advice—can help avoid regret.
Importance of Financial Discipline
- Financing purchases can lead to debt, which undermines financial stability and wealth accumulation.
- Maintaining awareness of marketing strategies is crucial to avoid unnecessary spending motivated by advertising pressures.
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Description
This quiz explores various aspects of consumer needs and marketing strategies. It covers topics like the classification of eating out as a luxury, the role of advertising, and the importance of understanding financial strategies in sales. By understanding these concepts, individuals can better navigate consumer behavior and make informed purchasing decisions.
