Podcast
Questions and Answers
What does psychographic segmentation focus on when dividing the market?
What does psychographic segmentation focus on when dividing the market?
- Geographical locations of consumers
- Psychological characteristics of consumers (correct)
- Product pricing strategies
- Demographic factors like age and gender
Which research method is characterized by using a Likert scale for data collection?
Which research method is characterized by using a Likert scale for data collection?
- Quantitative simple question approach (correct)
- Focus group discussions
- Qualitative probing interview
- Observational research
What is the main purpose of the laddering technique in qualitative research?
What is the main purpose of the laddering technique in qualitative research?
- To quantify product sales in different markets
- To measure consumer preferences on price
- To analyze demographic data only
- To uncover personal and emotional benefits of products (correct)
What kind of consumer response is typically gathered through qualitative research?
What kind of consumer response is typically gathered through qualitative research?
Which of the following best describes the type of analysis used in quantitative research?
Which of the following best describes the type of analysis used in quantitative research?
What does Balance Theory primarily focus on?
What does Balance Theory primarily focus on?
What is an example of a Unit Relation in Balance Theory?
What is an example of a Unit Relation in Balance Theory?
Which technique involves starting with a small request before making a larger one?
Which technique involves starting with a small request before making a larger one?
Which of the following best describes Normative Influence?
Which of the following best describes Normative Influence?
What do Injunctive Norms refer to?
What do Injunctive Norms refer to?
In the context of the Door-in-the-face technique, what is usually the initial request?
In the context of the Door-in-the-face technique, what is usually the initial request?
What type of appeal is most effective for getting attention and reducing counterarguments in advertisements?
What type of appeal is most effective for getting attention and reducing counterarguments in advertisements?
What outcome did the 1951 Asch Experiment highlight?
What outcome did the 1951 Asch Experiment highlight?
Which factor does NOT contribute to source credibility in advertising?
Which factor does NOT contribute to source credibility in advertising?
What is the primary goal when achieving a Balanced Triad in Balance Theory?
What is the primary goal when achieving a Balanced Triad in Balance Theory?
What is the negative consequence of excessive repetition in advertising?
What is the negative consequence of excessive repetition in advertising?
Which bias refers to a source's inaccurate knowledge about a topic?
Which bias refers to a source's inaccurate knowledge about a topic?
How does a moderate amount of fear appeal in advertising impact its effectiveness?
How does a moderate amount of fear appeal in advertising impact its effectiveness?
What is the term for the phenomenon where beautiful people are perceived more positively across various attributes?
What is the term for the phenomenon where beautiful people are perceived more positively across various attributes?
Which of the following best describes the tedium effect in advertising?
Which of the following best describes the tedium effect in advertising?
What is an emotional response that is NOT primarily driven by cognitive processing?
What is an emotional response that is NOT primarily driven by cognitive processing?
What is the primary difference between maximizers and satisficers?
What is the primary difference between maximizers and satisficers?
How does bounded rationality affect consumer decision-making?
How does bounded rationality affect consumer decision-making?
What is the sunk cost fallacy?
What is the sunk cost fallacy?
Which of the following describes the decoy effect?
Which of the following describes the decoy effect?
What effect can choice overload have on consumers?
What effect can choice overload have on consumers?
Which statement correctly describes heuristics in decision-making?
Which statement correctly describes heuristics in decision-making?
What characterizes the inept set in evaluating alternatives?
What characterizes the inept set in evaluating alternatives?
How do maximizers typically feel after making a decision?
How do maximizers typically feel after making a decision?
What role do brand missionaries play in brand communities?
What role do brand missionaries play in brand communities?
Which factor can increase group cohesiveness?
Which factor can increase group cohesiveness?
What characterizes aspirational reference groups?
What characterizes aspirational reference groups?
Why is it important for brands to build communities?
Why is it important for brands to build communities?
What is a common characteristic of in-groups?
What is a common characteristic of in-groups?
What is anti-conformity?
What is anti-conformity?
What can brands use dissociative groups for in their advertising?
What can brands use dissociative groups for in their advertising?
What is propinquity in the context of social connections?
What is propinquity in the context of social connections?
What is the primary focus of long-term oriented societies?
What is the primary focus of long-term oriented societies?
In cultural contexts, what defines the concept of masculinity vs femininity?
In cultural contexts, what defines the concept of masculinity vs femininity?
Which type of innovation represents a significant change that creates a new product category?
Which type of innovation represents a significant change that creates a new product category?
What distinguishes price skimming from penetration pricing?
What distinguishes price skimming from penetration pricing?
How do early adopters typically behave in market psychology?
How do early adopters typically behave in market psychology?
What is the purpose of rituals in a cultural context?
What is the purpose of rituals in a cultural context?
In what way does gift-giving differ culturally according to the concepts of economic and symbolic exchange?
In what way does gift-giving differ culturally according to the concepts of economic and symbolic exchange?
Which demographic is typically categorized as low-involvement consumers?
Which demographic is typically categorized as low-involvement consumers?
Flashcards
Psychographic Segmentation
Psychographic Segmentation
Dividing a market based on consumers' psychological characteristics, like personality traits, values, lifestyles, opinions, and interests.
Laddering
Laddering
A method used to understand the deeper motivations behind consumer choices by exploring the relationships between product attributes, consequences, and values.
Big Five Personality Traits
Big Five Personality Traits
A set of personality traits that attempt to describe an individual's personality, including Openness, Conscientiousness, Extraversion, Agreeableness, and Neuroticism.
VALS Framework
VALS Framework
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Qualitative Research
Qualitative Research
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Balance Theory
Balance Theory
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Unit Relation
Unit Relation
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Sentiment Relation
Sentiment Relation
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Balanced Triad
Balanced Triad
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Unbalanced Triad
Unbalanced Triad
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Door-in-the-face Technique
Door-in-the-face Technique
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Foot-in-the-door Technique
Foot-in-the-door Technique
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Low-ball Technique
Low-ball Technique
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Celebrity Endorsement
Celebrity Endorsement
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Visuals in Advertising
Visuals in Advertising
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Mere Exposure Effect
Mere Exposure Effect
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Adaptation
Adaptation
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Two-Factor Theory of Repetition
Two-Factor Theory of Repetition
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Source Credibility
Source Credibility
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Source Attractiveness
Source Attractiveness
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Halo Effect of Beauty
Halo Effect of Beauty
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Maximizers
Maximizers
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Satisficers
Satisficers
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Heuristics
Heuristics
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Price-quality Belief
Price-quality Belief
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Brand-quality Belief
Brand-quality Belief
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Country of Origin Belief
Country of Origin Belief
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Consideration Set
Consideration Set
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Sunk Cost Fallacy
Sunk Cost Fallacy
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Reference Group
Reference Group
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In-groups
In-groups
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Group Cohesiveness
Group Cohesiveness
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Aspirational Reference Group
Aspirational Reference Group
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Dissociative Reference Group
Dissociative Reference Group
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Anti-conformity
Anti-conformity
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Brand Missionaries
Brand Missionaries
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Cognitive Consistency
Cognitive Consistency
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High Power Distance
High Power Distance
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Masculinity
Masculinity
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Long-term orientation
Long-term orientation
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Indulgence
Indulgence
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Rituals
Rituals
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Ritual Artifact
Ritual Artifact
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Dynamically Continuous Innovation
Dynamically Continuous Innovation
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Discontinuous Innovation
Discontinuous Innovation
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Study Notes
Segmentation
- Traditionally, markets are segmented demographically (age, gender, income).
- Psychographic segmentation segments based on psychological characteristics.
- Examples include personality traits (Big 5), values, and lifestyles (VALS).
- Psychographic needs include Culture-related needs (Achievement, Status/Recognition, Ambition, etc.).
Qualitative vs Quantitative Research
- Qualitative:
- Sample size: small
- Information per respondent: high
- Type of analysis: subjective, interpretative
- Consumer responses: implicit attitudes, feelings, motivation
- Quantitative:
- Sample size: large
- Information per respondent: low
- Type of analysis: objective, statistical
- Consumer responses: explicit attitudes, awareness, choice
Laddering
- A qualitative research technique to uncover the deeper meanings and motivations behind consumer needs.
- Categorizes attributes, consequences, and values of products. Provides a hierarchical understanding.
Big 5 Personality Model
- Measures personality dimensions.
- The dimensions include: Openness to experience, Conscientiousness, Extraversion, Agreeableness, and Neuroticism.
Attitude Components
- Affective component: How consumers feel about a product.
- Behavioral component: Consumers' intention toward a product.
- Cognitive component: Consumers' beliefs about a product.
Overview of Attitude Consistency
- Cognitive dissonance theory: Tension arising from conflicting attitudes or behaviors.
- Balance theory: Maintaining harmony in relationships.
- Commitment and consistency: Influencing attitudes by commitment.
- Normative influence: Attitude is influenced by others.
- Reciprocity: Act consistently with commitments made.
Influencing Attitudes
- Commitment & consistency:
- Door-in-the-face technique: Asking for a large favor first, then a smaller one.
- Foot-in-the-door technique: Starting with a small request, then a larger one.
- Low-ball technique: Changing terms of agreement later.
Overview of Elaboration Likelihood Model
- Product involvement influences persuasion, based on consumer needs, values, and interests.
- Consumers with high involvement follow the central route of processing information (logic, evidence).
- Low involvement consumers follow the peripheral route (emotion, cues).
Comparative Advertising
- Pros: Demonstrates uniqueness and strengths relative to competitors. Builds brand identity. More effective than non-comparative ads.
- Cons: Sources can be derogated (discredited) because of perceived aggression. Priming the competitor can create awareness and free exposure.
Ch.9 Judgment and Decision Making
- Problem Recognition: Ideal vs Actual State.
- Information Search: Internal (memory) or External (environment) search.
- Evaluation of Alternatives: Evoked set (considered), inert set (unconsidered), inept set (rejected).
- Product Choice: Sunk cost fallacy, asymmetric dominance effect (decoy effect).
Attitude Changes
- Cognitive Dissonance Theory: Internal tension created by conflicting ideas or behaviors. (example: buying a plane despite concern for the environment)
- Balance Theory: Consumers strive to maintain consistency among their attitudes. (example: admiration for a celebrity who is also endorsed for a product)
Ch. 10 Group Influence and Social Media
- Reference Groups: a group with influence on your evaluations, aspirations or behavior
- Brand Communities: consumers who share common interest in a product or brand.
Ch. 11 Social Class
- Gini Coefficient: A measure of income inequality (0 = perfect equality, 100 = perfect inequality)..
Ch. 12 Income & Social Class
- Consumer confidence is a metric forecasting economic trends.
Ch. 13 Cultural Influences
- Culture influences attitudes.
- Different cultures react differently to marketing strategies.
- Standardized (one size fits all) or localized marketing.
Ch. 14 & 15 Cultural Influences & Innovation
- Hofstede's Cultural Dimensions: Cultural values affect behavior.
- Rituals, Social Conventions, and Symbolic Behavior: Patterns of behavior based on culture.
- Innovation Types: Continuous, dynamically continuous, and discontinuous innovations.
- Crossing the Chasm: Stages of consumer adoption of innovation.
- Psychology of Early Adopters and Majorities.
Consumer Behavior/Decision Making
- Stages: Problem recognition, information search, evaluation of alternatives, choice, and consumption.
- Maximizers: Seek the perfect option, more likely to experience regret.
- Satisficers: Find a good-enough option.
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