Consumer Attitude Formation & Change PDF

40 MCQs — 20 Marks, 0.5 Mark each 6 Essays — 15 Marks, 2.5 Marks each Trust your knowledge the questions are easy and some of them are general knowledge. Some MCQs will have the same answer repea...

40 MCQs — 20 Marks, 0.5 Mark each 6 Essays — 15 Marks, 2.5 Marks each Trust your knowledge the questions are easy and some of them are general knowledge. Some MCQs will have the same answer repeated multiple times so do not panic. Consumer Attitude Formation & Change Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall  MCQ Definition Attitude A learned predisposition to behave in a consistently favorable or unfavorable manner with respect to a given object. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 6 of 27 Attitude Formation MCQ Always link the learning process with attitude formation. Learning related to —> Attitude Perspective related to —> Behaviour Consumers learn attitudes Sources of attitude formation – Experience – Family and friends – Media/Internet/Social Media Role of personality factors – Need for cognition – Innovativeness Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 7 of 27  Essay The Conative Component Similar to table 6.5 idea Similar to midterm, Likert-scale to measure attitude. The answer should be in two parts without explanation: 1. Write a question to measure the attitude of …. towards…. 2. Must write all five options (strongly agree, agree, neutral, disagree, strongly disagree) Topic 6 essay example: How to measure the attitude of consumers towards Apple? Answers: The question: To what extent do you agree with the following statement: “Apple products are worth their price because of their quality and innovation.” The Options (5-point Likert scale): 1 - Strongly Disagree 2 - Disagree 3 - Neutral 4 - Agree 5 - Strongly Agree Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 12 of 27  MCQ Learning Objective 6.3 Definitions, all theory models 6.3 To understand the structures of multi-attribute models and their use in altering consumers’ attitudes. attitude-toward- object model attitude-toward- behavior model the theory-of- reasoned-action model the theory of trying- to-consume the attitude-toward- the-ad-model. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 15 of 27 Attitude-Toward-Object Model Used to change attitudes Ways – Add an attribute – Change perceived importance of an attribute – Develop new products Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 16 of 27 Other Multi-attribute Models The attitude-toward-behavior model is designed to capture the individual’s attitude toward behaving or acting with respect to an object, rather than the attitude toward the object itself (so attitudes correspond somewhat more closely to actual behavior than the attitude-toward-object model). The theory-of-reasoned-action incorporates a cognitive component, an affective component, and a conative component arranged in a pattern different from that of the tri-component model. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 17 of 27 The theory of trying-to-consume is Attitude-toward-the-ad model depicts, designed to account for the cases the consumer forms various feelings as where the action or outcome is not the result of exposure to an ad that certain but reflects the consumer’s impact attitudes towards the brands efforts to consume. Sometimes advertised. personal impediments or environmental impediments prevent the desired outcome. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 18 of 27  MCQ Definition Defensive Attribution People generally accept (or take) credit for success (internal attribution), but assign failure to others or outside events (external attribution) Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 28 of 27 Applications MCQ Definition Why does the foot-in-the door technique increase the likelihood that the requestee will fulfill a larger request? How is it different from the door-in-face technique? 1. Foot-in-the-door technique (most commonly used)—> Telling/asking the consumers by a little effort to say yes; by requesting something little like their phone number (send pills, offers, ads) just for them to be convinced to say yes, elevating the acceptance. 2. Door-in-face-technique —> When consumers are not willing to give their phone number, already rejecting, so you can give them a service for free to reduce the rejection, and change their opinions of saying no. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 29 of 27  Persuading Consumer Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Learning Objective 7.1 MCQ 7.1 To understand the elements and persuasive capabilities of communication, as well as the barriers to effective communication. Understand the Communication Model very well, the position of each element, where it starts/ends, and their functions Communication: is the transmission of a message from a sender to a receiver via a medium of transmission (also named “channel”). Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 5 of 27 Communication Interference Selective exposure Time shift Psychological noise Overcoming psychological noise: MCQ – Repetition – Contrast – Digital technologies – Effective positioning and providing value Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 7 of 27 Comparison MCQ Traditional media New media Broadcast Narrowcast One-way Two-way Directed at groups Addressable Not customized or Customized interactive Interactive Less accurate feedback, Response-measurable delayed feedback Which one of them is more customized than the other? A blank:………is response measurable. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 10 of 27 Messages Essay Verbal, nonverbal or both Steps for sponsor (individual or organization) – Establish objectives Write verbal, nonverbal advertisement message. Write any sentence you read or heard from TikTok or any ad. Create awareness 1. Non-verbal — write/describe what did you see (e.g., colors, 4k quality, used a celebrity …etc.). Promote sales 2. Verbal — what did they say in the ad (the script). Encourage/discourage practices Attract patronage Reduce dissonance Create goodwill/favorable image – Select medium – Design (encode) message Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 13 of 27  Advertising & Social Media Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall  Impression- vs. Segment-based Targeting MCQ “Real-time bidding: A technique that allows Definitions/Comparison/What advertisers to reach the right user, in the right does it mean place, at the right time” Impression-based targeting Segment-based targeting Real-time bidding Pre-negotiated prices Ads target browsers based Audience profiles; waste on aggregated data coverage Two-way communications One-way communications Customized messages One-size-fits-all message Immediate feedback Delayed feedback of Retargeting limited use Timeshifting a challenge Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 6 of 35  Facebook Impressions MCQ The highest number of active users are Facebook users Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 7 of 35  MCQ Google Advertising Revenue The points belongs to what Web-search ads – “Sponsored space” Online display ads Mobile advertising YouTube ads Non-Google sites (search and display networks) Shopping site – product-search engine Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 9 of 35  MCQ Definition Social Media Means of interactions among people in which they create, share, and exchange information and ideas in virtual communities and networks. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 11 of 35  MCQ Definition Owned social media Messages sent by marketers and delivered to consumers via channels that the marketers control Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 19 of 35 Responses to Mobile Ads - Cross-cultural: different countries, far locations from each other (Middle and Eastern Asia) Cross-cultural differences - Cross-national: different countries, close location from each other (Gulf countries) – Japanese men – mobile ads → effective word-of- mouth – Korean shoppers – depends on interface and control – Chinese consumers – ease of use, usefulness and trust affect receptiveness Language and source – High credibility source can entertain – Low credibility source should be serious, clear, concise Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 25 of 35  Essay Media Exposure Consumer engagement rate and its relationship to ROI (return on investment) Customer Engagement Rate (CER): 1. The formula: CER/ Views = (Like Media exposure effects +Dislike+Comment) / Views. 2. It is important to measure engagement and the success of the campaign, its also reflect on the – How many consumers Return on Investment (ROI). – Who received it Companies – Nielsen – Mediamark Research Inc. – Arbitron Cross-platform measurement Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 33 of 35  Reference Groups & Word of Mouth Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall  Know why family is the most important reference group, and the process name MCQ Definition 1. Reference groups are groups that serve as sources of comparison, influence and norms for peoples’ opinion, values and behaviors. The most important reference group is the family because it provides children with the skills, knowledge, attitudes, and experiences necessary to function as consumers, a process called consumer socialization. Word-of-Mouth consists of communications where satisfied customers tell other people how much they like a business, product, service, or event (although the information transmitted can also be negative) Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 4 of 27 Family = Most Important Reference Group Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 5 of 27  MCQ Types of Source Examples A formal source is either a person or medium providing consumption- related information and hired and paid by an organization. An informal source is a person whom the message receiver knows personally, such as a parent or friend who gives product information or advice, or an individual met and respected online. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 8 of 27 Reference Group Influence Reference groups are groups that serve as frames of reference for individuals in their consumption decisions because they are perceived as MCQ credible sources Know the difference Comparative Influence arises when people Normative Influence compare themselves to consists of learning and others whom they adopting a group’s respect and admire, and norms, values, and then adopt some of those behaviors. people’s values or imitate their behaviors. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 9 of 27 Credibility of spokespersons, endorsers, MCQ celebrities, salespersons, vendors, and media Definitions/know the difference and what each one does Endorsers and Spokespersons Celebrities Salesperson credibility Works with big companies Vendor credibility Works as a freelancer or for small companies. Message credibility (previous experience) Medium credibility Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 15 of 27 Endorsers and Spokespersons MCQ Synergy between endorser and type of product/service advertised important Endorsers with demographics similar to target audience more credible & persuasive Consumers must trust the marketer (even if they like the endorser) Message contents must be congruent with spokesperson’s qualifications Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 16 of 27 E-WOM Essay The whole slide is important In marketing, word-of-mouth consists of transmitting advice and other types of information about products, brands, and shopping experiences. Word-of-mouth taking place online is called e-wom and occurs in social networks, brand communities, blogs, chat rooms, and tweets. Factors affecting engagement Social networks Brand communities Blogs and microblogs Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 26 of 27  Family & Social Class Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Chapter 10 Learning Objectives MCQ Definition 1. A family is defined as two or more persons related by blood, marriage, or adoption residing together. there are three types of families: married couples, nuclear families, and extended families. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 5 of 35  Consumer Socialization MCQ Definition Consumer Socialization is defined as the process by which children acquire the skills, knowledge, attitudes, and experiences necessary to function as consumers. Pre-adolescent – Observe parents and older siblings – Families more reliable *Consumer socialization filled up from the family, this process starts when consumer are teenagers and buy the than advertising things they like. Teenagers – Peers most influential – Like products when parents disapprove Anything the parents disapprove or say no to the teenagers wants to have/do..‫كل ممنوع مرغوب‬ Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 8 of 35  MCQ Socialization Agents Who are they? the ones that have control in the The definition of Socialization Agent is the person or social norms of the society and involved like organization involved in the socialization process because of mothers; have a say-so. Know their characteristics. frequency of contact with the individual and control of over the rewards and punishments given to the individual Mothers stronger socialization agents than fathers Mothers usually: – more involved – control children’s exposure to commercial messages – regulate spending Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 10 of 35 Learning Objective 10.5 Essay Define & list the objective What is social class and social status, and how it is determined? 1. Social class is the division of members of a society into a hierarchy of distinct status classes, so that members of each class have relatively the same status and members of all other classes have either more or less status. 2. Social class stems from social status, which is the degree of prestige the members of one social class have in comparison with members of other social classes. Status is composed of several factors, including wealth (amount of economic assets), power (the degree of influence over others), and the amount of esteem one receives from others. Social status is within the community and a result of it is the social class Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 26 of 35 Subjective vs. Objective Measures Essay Subjective – estimate your social class Objective Those are the factors that determine the social class – Occupation – Education – Income – Multivariable Index Index of status characteristics Socioeconomic status score Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 28 of 35 Comparing Social Classes MCQ Talks about the relationship of consumption patterns and the income/spending habits determined by the social class. The higher the social class, the higher the income so the consumption habits will change Social Comparison Theory: When the individual compare his Spending patterns own material possessions with others to determine relative social standing. – Clothing, fashion and shopping – Saving, spending and credit card usage Media consumption Discussion Question: Why should marketers care about downward mobility and its affect on consumption patterns? Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 31 of 35  Culture is so related to society Culture = Society Culture’s Influence on Consumer Behavior Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall “Levels” of Cultural Norms MCQ Definition level reflects the underlying dimensions of culture that affect multiple societies (i.e., subcultural cross-national or cross-cultural boundaries). Supranational For instance, it might reflect regional character, or racial and religious similarities or differences, or shared or different languages National level reflects shared core values, customs, and personalities that represent the core of the “national character” of a particular country Group level which reflects the subdivisions of a country or society, such as subcultures, and the influences of various reference groups. Prefered by the lower classes At the supranational level, youth 14-24 segmented as: In-crowd Networked intelligentsia Pop mavericks Thrill renegades Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 6 of 29 Learning Cultural Values MCQ Definition with example Formal learning takes place when parents, older siblings, and other family members teach younger members “how to behave.” Informal learning takes place when children imitate the behaviors of selected others, such as family, friends, or TV and movie heroes and characters. Formal learning By receiving the culture values themselves Informal learning By observation Technical learning Enculturation (consumer socialization) vs. acculturation Marketing’s influence Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 9 of 29  MCQ Definition Ritual A type of symbolic activity consisting of a series of steps (multiple behaviors) occurring in a fixed sequence and repeated periodically. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 11 of 29 Measuring Cultural Values MCQ Content analysis Field observation Depth interviews Focus groups Questionnaires Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 16 of 29 Criteria to Select Core Values Essay The value must be pervasive The value must be enduring The value must be related to consumption behavior The question does not have a right or wrong answer. Give one example of Saudi Culture or Values; e.g., hospitality, generosity, citizenship, loyalty, respect …etc. Copyright © 2015 Pearson Education, Inc. publishing as Prentice Hall Slide 20 of 29