Consumer Behavior PDF

Chapter 1: Buying, Having, and Being 1. What is consumer behavior? - Consumer behavior involves the actions consumers take in acquiring, using, and disposing of goods and services, including the mental and emotional processes involved in these activities 2. Understand the different actors/player...

Chapter 1: Buying, Having, and Being 1. What is consumer behavior? - Consumer behavior involves the actions consumers take in acquiring, using, and disposing of goods and services, including the mental and emotional processes involved in these activities 2. Understand the different actors/players in consumer behavior. - The key actors include the decider, purchaser, user, initiator, and influencer, who play various roles in the decision-making and consumption process 3. Understand the three perspectives on consumer behavior. - The three perspectives are: 1. Consumers as Systematic Decision Makers: Consumers maximize the benefits of purchases in a rational manner. 2. Consumers as Active Interpreters: Cultural and social contexts influence how consumers interpret products. 3. Consumers as Complex & Irrational Beings: Humans do not always make rational decisions and are influenced by various external factors. --- Chapter 3: Perception 4. What is sensation? Understand the perceptual process. - Sensation is the immediate response of sensory receptors (e.g., eyes, ears) to stimuli. - The perceptual process involves selecting, organizing, and interpreting sensory data to make sense of the world. 5. Hedonic consumption and sensory marketing. - Hedonic consumption involves the fantasy and emotional aspects of consumer interactions with products. - Sensory marketing uses sensations to enhance product experiences, such as focusing on sound, color, or texture to create emotional reactions. 6. What does exposure refer to? Absolute and differential thresholds. - Exposure refers to when a stimulus comes within range of someone's sensory receptors. - The absolute threshold is the minimum level of stimulus detectable, while the differential threshold refers to the ability to detect changes or differences between two stimuli. - The j.n.d (just noticeable difference) is the minimal change that can be detected, and Weber’s Law states that the stronger the initial stimulus, the greater the change needed to detect a difference. 7. What does attention refer to? Why is it hard to get attention?  - Attention refers to the degree of processing activity devoted to a stimulus. It is harder to get attention due to sensory overload, where consumers are bombarded with too many stimuli at once. 8. Perceptual selection factors: selective exposure, attention, perceptual vigilance, defense, and blocking. What does the process of perceptual selection mean? What are the personal and stimulus selection factors? - Perceptual selection refers to the process by which individuals select, organize, and interpret stimuli from their environment, deciding which stimuli they will pay attention to and which they will ignore. Given the overwhelming amount of sensory input, people can’t pay attention to everything, so they selectively focus on stimuli that are most relevant or noticeable to them. - Personal selection factors are individual characteristics that influence which stimuli are selected: - Experience: Past experiences influence what individuals pay attention to. - Perceptual vigilance: People are more likely to notice stimuli that are relevant to their current needs. - Perceptual defense: People may ignore or distort stimuli that are threatening or uncomfortable. - Adaptation: People become used to a stimulus over time, which decreases its impact. - Stimulus selection factors are features of the stimuli itself that make it more likely to be noticed: - Size: Larger stimuli are more likely to be noticed. - Color: Bright or contrasting colors grab attention. - Position: Items placed in prominent positions (e.g., eye-level shelves) are more noticeable. - Novelty: Unusual or unexpected stimuli stand out more - Selective exposure: Consumers focus on messages aligned with their beliefs. - Selective attention: Consumers notice stimuli relevant to their needs. - Perceptual vigilance: They focus on stimuli that relate to their current needs. - Perceptual defense: Screening out information that is threatening. - Perceptual blocking: Avoiding overstimulation by tuning out. 9. Interpretation: schema and priming. - Interpretation refers to the meaning assigned to stimuli. - Schema is the mental structure that organizes information. - Priming occurs when exposure to one stimulus influences the response to another, related stimulus. 10. Principles of stimulus organization: Gestalt, figure-ground, closure, similarity. - Gestalt: The whole is greater than the sum of its parts. - Figure-ground: Differentiating the figure from the background. - Closure: Filling in gaps to form a complete picture. - Similarity: Grouping similar items together. 11. Semiotics: object, sign, and interpretant. - Semiotics involves the study of signs and symbols in conveying meaning. - The object is the product, the sign is the sensory representation, and the interpretant is the meaning derived. 12. Perceptual map and brand positioning. - Perceptual mapping helps visualize how consumers perceive brands relative to competitors. Brand positioning involves establishing a distinctive image in the consumer’s mind. --- Chapter 4: Learning and Memory 13. What is learning? - Learning refers to the process of acquiring knowledge and experience that influences future behavior. 14. Behavioral learning: Classical conditioning (UCS, CS, UCR, CR). - Classical conditioning involves pairing an unconditioned stimulus (UCS) with a conditioned stimulus (CS) to create a conditioned response (CR). The unconditioned response (UCR) is the natural reaction to the UCS. 15. Principles of classical conditioning: repetition, stimulus generalization. - Repetition strengthens the conditioned response, while stimulus generalization leads to similar responses to related stimuli. 16. Instrumental conditioning: positive reinforcement, negative reinforcement, punishment, extinction. - Positive reinforcement increases behaviors by offering rewards - Negative reinforcement removes negative conditions - Punishment discourages behaviors - Extinction reduces behaviors by withholding reinforcement. 17. Cognitive learning: observational learning. - Cognitive learning involves internal mental processes, while observational learning occurs by watching others and imitating their behavior. 18. How does observational learning/modeling occur? How does cognitive learning apply in marketing? - Observational learning occurs when individuals learn by watching the behavior of others and then imitate it. This type of learning involves processes such as attention, retention, production, and motivation. In marketing, observational learning is applied when celebrities or influencers are shown using products, encouraging consumers to model their behavior. 19. Understand the memory process – input, encoding, storage, and retrieval. How do we encode incoming information? What are the different types of meaning? (sensory meaning, semantic meaning, episodic memories, and narratives) - The memory process consists of four key stages: 1. Input: Information enters the brain through sensory inputs. 2. Encoding: Converting information into a format that can be stored. 3. Storage: Retaining information over time. 4. Retrieval: Recalling stored information when needed. - Encoding can involve: - Sensory meaning: Refers to encoding based on sensory attributes (e.g., sight, sound). - Semantic meaning: Involves encoding based on the symbolic or factual meaning. - Episodic memories: Personal memories related to specific events or moments. - Narratives: Information encoded in the form of stories. 20. Understand the three memory systems: sensory memory, short-term memory, and long-term memory. - Sensory memory: Briefly holds sensory information (e.g., sights, sounds) for just a few seconds. - Short-term memory: Also called working memory, holds information temporarily for processing (about 20-30 seconds). - Long-term memory: Stores information over an extended period, possibly indefinitely. 21. Understand the storage-related concepts – associative networks and spreading activation. What are the schema and script? - Associative networks: Information in long-term memory is stored in nodes that are linked to related concepts. - Spreading activation: When one node is activated, related nodes are also triggered, helping in memory retrieval. - Schema: Cognitive structures that organize knowledge and provide a framework for interpreting information. - Script: A type of schema that represents knowledge about a sequence of events in specific contexts (e.g., the steps of dining at a restaurant) 22. Have a general understanding of the concept of retrieval. - Retrieval refers to the process of accessing stored information. This can be influenced by cues, context, and how the information was encoded. 23. Understand and differentiate recognition and recall. - Recognition involves identifying information that you’ve encountered before (e.g., multiple-choice tests). - Recall requires retrieving information from memory without external cues (e.g., essay questions). --- Chapter 6: The Self 24. What is self-concept?  - Self-concept is the collection of beliefs a person holds about their own identity and attributes, such as intelligence, physical appearance, and personal traits. 25. Understand the western and eastern perspectives on the self. - In Western cultures, the self is seen as independent and focused on individual achievement and personal goals. - In Eastern cultures, the self is seen as interdependent, emphasizing relationships, group harmony, and collective well-being. 26. Understand and differentiate the real (or actual) and ideal selves. What does the process of impression management mean? - The actual self refers to how we perceive ourselves in reality, while the ideal self refers to how we would like to be. - Impression management is the process of controlling how others perceive us by presenting ourselves in certain ways or using products that enhance our image. 27. What does the idea of multiple selves represent? - The multiple selves concept acknowledges that people have different roles in various contexts, such as being a parent, employee, or friend. These roles can result in different self-representations depending on the situation. --- Chapter 10: Buying, Using, and Disposing 28. Why do we shop? Understand the various reasons. - People shop for various reasons, including: - Utilitarian motives: Fulfilling functional needs like purchasing groceries. - Hedonic motives: Seeking pleasure, excitement, or social interaction. 29. Know the benefits and limitations of e-commerce. - Benefits: - Convenience: Easy access to products from home. - Variety: A wide range of products available. - Personalization: Recommendations based on browsing history. - Limitations: - Security concerns: Fear of fraud or data theft. - Lack of physical interaction: Inability to touch or try products before purchase. 30. What is (retail) store image? What factors shape or influence it? - Store image refers to the perception consumers have of a store, which is shaped by factors such as layout, atmosphere, staff, product assortment, and pricing. 31. How do store environments influence purchases? What does a POP stimulus stand for? What types of spontaneous shopping take place in the store environment? - Store environments influence purchases through factors like lighting, music, product placement, and layout.  - POP (Point-of-Purchase) stimulus refers to displays or promotions that grab a consumer's attention in the store. - Types of spontaneous shopping include unplanned purchases and impulse buying 32. According to the expectancy disconfirmation model, how do we understand consumer satisfaction/dissatisfaction? When does satisfaction or dissatisfaction occur? What would consumers do when they are dissatisfied? - The expectancy disconfirmation model suggests that satisfaction occurs when a product exceeds or meets consumer expectations, while dissatisfaction happens when a product fails to meet expectations. - Dissatisfied consumers may engage in actions such as complaining, requesting refunds, or spreading negative word-of-mouth. 33. Get a general understanding of product disposal issues. What is lateral cycling? What are the three types of divestment rituals? - Product disposal refers to how consumers get rid of products they no longer need, which can involve selling, recycling, or donating items. - Lateral cycling is when consumers exchange products with others (e.g., second-hand purchases). - The three types of divestment rituals include: 1. Iconic transfer: Taking photos of the item before discarding. 2. Transition-place rituals: Temporarily storing items before final disposal. 3. Ritual cleansing: Washing or cleaning the item before giving it away. -