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Consumer Behavior Consumer Behavior Buying, Having, and Being Ninth Edition Michael R. Solomon Saint Joseph s University and The University of Manchester (U.K.) Prentice Hall Boston Columbus Indianapolis New York San Francisco Upper Saddle River Amsterdam Ca...

Consumer Behavior Consumer Behavior Buying, Having, and Being Ninth Edition Michael R. Solomon Saint Joseph s University and The University of Manchester (U.K.) Prentice Hall Boston Columbus Indianapolis New York San Francisco Upper Saddle River Amsterdam Cape Town Dubai London Madrid Milan Munich Paris Montreal Toronto Delhi Mexico City Sao Paulo Sydney Hong Kong Seoul Singapore Taipei Tokyo Editorial Director: Sally Yagan Interior and Cover Designer: Karen Quigley Editor in Chief: Eric Svendsen Cover Illustration: Tom Herzberg Acquisitions Editor: James Heine Manager, Visual Research: Beth Brenzel Executive Editor: Melissa Sabella Photo Researcher: Teri Stratford Product Development Manager: Ashley Manager, Rights and Permissions: Zina Arabia Santora Image Permission Coordinator: Craig A. Jones Editorial Assistant: Karin Williams Editorial Media Project Manager: Denise Vaughn Director of Marketing: Patrice Lumumba Jones Production Media Project Manager: Lisa Rinaldi Senior Marketing Manager: Anne Fahlgren Full-Service Project Management/Composition: Senior Managing Editor: Judy Leale S4Carlisle Publishing Services Marketing Assistant: Melinda Jensen Printer/Binder: Courier/Kendallville Associate Production Project Manager: Ana Cover Printer: Lehigh-Phoenix Jankowski Color/Hagerstown Senior Operations Supervisor: Arnold Vila Text Font: 9.5/12 Utopia Senior Art Director: Janet Slowik Credits and acknowledgments borrowed from other sources and reproduced, with permission, in this textbook appear on appropriate page within text. Photo Credits: Shutterstock/Supri Suharjoto, 2; Shutterstock/Artbox, 52; Tracy Siermachesky/ Shutterstock, 92; Phil Date/Shutterstock, 126; Yuri Arcurs/Shutterstock, 164; Mana Photo/Shutterstock, 212; Zsolt Nyulaszi/Shutterstock, 254; Client: Asia Injury Prevention Foundation, Greig Craft President, Asia Injury Prevention Foundation, Mirjam Sidik Vice President of Regional Operations, Agency: Ogilvy & Mather, Tom Notman Executive Creative Director, Quang Chinh Creative Director, Xuan Hien Ngo Creative Director, Ky Le Production Manager, Carla Laus Group Account Director, Huy Bui Account Director, Dung Tran Account Executive, NamPhuong Tran Account Executive, Photographer: Pro-I Studio, 268; Darko Novakovic/Shutterstock, 302; Mandy Godbehea/Shutterstock, 344; Ljupco Smokovski/Shutterstock, 380; Elke Dennis/Shutterstock, 418; Sakala/Shutterstock, 454; Client: Bank Austria Creditanstalt AG, Agency: Jung von Matt/Donau, Austria, Creative direction: Gerd Schulte-Doeinghaus, Alexander Rabl, Art Direction: Christian Hummer-Koppendorfer, Copywriters: Christoph Gaunersdorfer, Photographers: Gunter Parth, 466; Anyka/Shutterstock, 488; PETOO/Shutterstock, 512; Wallenrock/Shutterstock, 538; Simone van den Berg/Shutterstock, 572. Mintel Credits: Data Courtesy of Mintel International, 300, 453, 537, and 617. Copyright © 2011, 2009, 2007 by Pearson Education, Inc., publishing as Prentice Hall, One Lake Street, Upper Saddle River, New Jersey 07458. All rights reserved. Manufactured in the United States of America. This publication is protected by Copyright, and permission should be obtained from the publisher prior to any prohibited reproduction, storage in a retrieval system, or transmission in any form or by any means, electronic, mechanical, photocopying, recording, or likewise. To obtain permission(s) to use material from this work, please submit a written request to Pearson Education, Inc., Permissions Department, One Lake Street, Upper Saddle River, New Jersey 07458. Many of the designations by manufacturers and seller to distinguish their products are claimed as trademarks. Where those designations appear in this book, and the publisher was aware of a trademark claim, the designations have been printed in initial caps or all caps. Library of Congress Cataloging-in-Publication Data Solomon, Michael R. Consumer behavior / Michael R. Solomon. 9th ed. p. cm. Includes bibliographical references and index. ISBN-13: 978-0-13-611092-7 (alk. paper) ISBN-10: 0-13-611092-4 1. Consumer behavior. I. Title. HF5415.32.S6 2011 658.8 342 dc22 2009040547 10 9 8 7 6 5 4 3 2 1 ISBN 10: 0-13-611092-4 ISBN 13: 978-0-13-611092-7 BRIEF CONTENTS Consumers in the Marketplace Chapter 1 Consumers Rule 4 Consumers as Individuals Chapter 2 Perception 54 Chapter 3 Learning and Memory 92 Chapter 4 Motivation and Values 126 Chapter 5 The Self 164 Chapter 6 Personality and Lifestyles 212 Chapter 7 Attitudes and Persuasion 254 Consumers as Decision Makers Chapter 8 Decision Making 304 Chapter 9 Buying and Disposing 344 Chapter 10 Groups 380 Chapter 11 Organizational and Household Decision Making 418 Consumers and Subcultures Chapter 12 Income and Social Class 456 Chapter 13 Ethnic, Racial, and Religious Subcultures 488 Chapter 14 Age Subcultures 512 Consumers and Culture Chapter 15 Cultural Influences on Consumer Behavior 540 Chapter 16 Global Consumer Culture 572 v CONTENTS About the Author xiii Should Consumer Research Have an Academic or an Preface xvii Applied Focus? 41 Acknowledgments xxiii Two Perspectives on Consumer Research 42 Taking It from Here: The Plan of the Book 43 Chapter Summary 44 Key Terms 45 Consumers in the Review 46 Consumer Behavior Challenge 46 Marketplace 3 Case Study 48 Notes 49 Chapter 1: Consumers Rule 4 Consumer Behavior: People in the Marketplace 6 What Is Consumer Behavior? 7 Consumer Behavior Is a Process 8 Consumer Behavior Involves Many Different Actors 8 Consumers Impact on Marketing Strategy 9 Consumers Are Different! How We Divide Them Up 9 Consumers as Marketing s Impact on Consumers 15 Individuals 53 Popular Culture 15 Consumer-Generated Content 16 What Does It Mean to Consume? 17 Chapter 2: Perception 54 The Global Consumer 18 Virtual Consumption and the Power of Crowds 20 Sensory Systems 56 Blurred Boundaries: Marketing and Reality 22 Hedonic Consumption and the Design Economy 58 Marketing Ethics and Public Policy 23 Exposure 68 Needs and Wants: Do Marketers Manipulate Sensory Thresholds 68 Consumers? 25 Subliminal Perception 73 Are Advertising and Marketing Necessary? 26 Attention 74 Do Marketers Promise Miracles? 27 Personal Selection Factors 76 Public Policy and Consumerism 28 Stimulus Selection Factors 77 The Dark Side of Consumer Behavior 33 Interpretation 79 Consumer Terrorism 34 The Eye of the Beholder: Interpretational Biases 82 Addictive Consumption 34 Semiotics: The Symbols Around Us 83 Compulsive Consumption 36 Consumed Consumers 37 Chapter Summary 86 Illegal Activities 37 Key Terms 87 Consumer Behavior as a Field of Study 39 Review 87 Where Do We Find Consumer Researchers? 40 Consumer Behavior Challenge 88 Interdisciplinary Influences on the Study of Consumer Case Study 88 Behavior 40 Notes 89 vii viii Contents Chapter 3: Learning and Memory 92 Chapter 5: The Self 164 Learning 94 What Is the Self? 166 Behavioral Learning Theories 94 Does the Self Exist? 166 Marketing Applications of Classical Conditioning Self-Concept 167 Principles 97 Fantasy: Bridging the Gap Between the Selves 168 Cognitive Learning Theory 102 Self-Consciousness 172 Consumption and Self-Concept 173 Memory 105 How Our Brains Encode Information 106 Sex Roles 179 Types of Meaning 106 Gender Differences in Socialization 180 Memory Systems 107 Female Sex Roles 184 How Our Memories Store Information 108 Male Sex Roles 186 How We Retrieve Memories When We Decide What to Gay, Lesbian, Bisexual, and Transgender (GLBT) Buy 111 Consumers 190 What Makes Us Forget? 112 Body Image 192 How We Measure Consumers Recall of Marketing Ideals of Beauty 192 Messages 116 Working on the Body 199 Bittersweet Memories: The Marketing Power of Body Image Distortions 203 Nostalgia 119 Chapter Summary 204 Chapter Summary 120 Key Terms 205 Key Terms 121 Review 205 Review 121 Consumer Behavior Challenge 205 Consumer Behavior Challenge 121 Case Study 206 Case Study 122 Notes 207 Notes 123 Chapter 6: Personality Chapter 4: Motivation and Values 126 and Lifestyles 212 The Motivation Process: Why Ask Why? 128 Personality 214 Motivational Strength 129 Consumer Behavior on the Couch: Freudian Needs Versus Wants 132 Theory 214 How Do Our Needs Influence What We Buy? 134 Neo-Freudian Theories 218 Trait Theory 220 Consumer Involvement 137 Levels of Involvement: From Inertia to Passion 138 Brand Personality 221 The Many Faces of Involvement 140 Lifestyles and Psychographics 226 Values 146 Lifestyle: Who We Are, What We Do 226 Core Values 147 Lifestyles as Group Identities 228 How Do Values Link to Consumer Behavior? 150 Products Are the Building Blocks of Lifestyles 230 Conscientious Consumerism: A New American Core Psychographics 233 Value? 154 Psychographic Segmentation Typologies 239 Materialism: He Who Dies with the Most Toys, Geodemography 242 Wins 156 Behavioral Targeting 247 Chapter Summary 158 Chapter Summary 248 Key Terms 159 Key Terms 248 Review 159 Review 249 Consumer Behavior Challenge 159 Consumer Behavior Challenge 249 Case Study 160 Case Study 250 Notes 161 Notes 251 Contents ix Chapter 7: Attitudes and Steps in the Decision-Making Process 310 Problem Recognition 310 Persuasion 254 Information Search 311 Do We Always Search Rationally? 313 The Power of Attitudes 256 Mental Accounting: Biases in the Decision-Making The ABC Model of Attitudes 257 Process 314 Hierarchies of Effects 257 How Do We Decide Among Alternatives? 320 How Do We Form Attitudes? 259 Product Choice: How Do We Select from the All Attitudes Are Not Created Equal 259 Alternatives? 325 The Consistency Principle 260 Neuromarketing: How Your Brain Reacts to Self-Perception Theory 262 Alternatives 326 Social Judgment Theory 262 Cybermediaries 327 Attitude Models 264 Heuristics: Mental Shortcuts 329 Do Attitudes Predict Behavior? 267 Do We Choose Familiar Brand Names Because Trying to Consume 270 of Loyalty or Habit? 332 How Do Marketers Change Attitudes? 271 Chapter Summary 336 Decisions, Decisions: Tactical Communications Key Terms 337 Options 271 Review 337 The Elements of Communication 272 Consumer Behavior Challenge 338 An Updated View: Interactive Communications 272 Case Study 339 New Message Formats 274 Notes 340 The Source 275 The Message 280 Types of Message Appeals 283 The Message as Art Form: Metaphors Be with Chapter 9: Buying and You 287 Disposing 344 The Source Versus the Message: Do We Sell the Steak or the Sizzle? 289 Situational Effects on Consumer Behavior 346 Our Social and Physical Surroundings 348 Chapter Summary 291 The Shopping Experience 354 Key Terms 292 When the Going Gets Tough, the Tough Go Review 292 Shopping 355 Consumer Behavior Challenge 293 E-Commerce: Clicks Versus Bricks 356 Case Study 294 Retailing as Theater 357 Notes 295 Store Image 360 Mintel Section 2: General Instructions for the Mintel Memo Atmospherics 361 and Dataset Exercises 300 In-Store Decision Making 362 The Salesperson: A Lead Role in the Play 366 Postpurchase Satisfaction 367 Just What Is Quality? 367 What Can We Do When We re Dissatisfied? 369 TQM: Going to the Gemba 370 Consumers as Decision Product Disposal 371 Makers 303 Disposal Options 371 Lateral Cycling: Junk Versus Junque 372 Chapter Summary 373 Chapter 8: Decision Making 304 Key Terms 374 Review 374 We Are Problem Solvers 306 Consumer Behavior Challenge 374 Perspectives on Decision-Making 307 Case Study 376 Types of Consumer Decisions 308 Notes 376 x Contents Chapter 10: Groups 380 Reference Groups 382 When Are Reference Groups Important? 382 Consumers and Types of Reference Groups 385 Subcultures 455 Conformity 391 Opinion Leadership 392 How Influential Is an Opinion Leader? 392 Chapter 12: Income and Social Types of Opinion Leaders 393 Class 456 How Do We Find Opinion Leaders? 395 Consumer Spending and Economic Behavior 458 Word-of-Mouth Communication 398 Income Patterns 458 Negative WOM and the Power of Rumors 400 To Spend or Not to Spend, That Is the Question 458 Cutting-Edge WOM Strategies 401 Social Class Structure 461 Chapter Summary 410 Pick a Pecking Order 461 Key Terms 411 Class Structure in the United States 464 Review 411 Class Structure Around the World 465 Consumer Behavior Challenge 412 Social Class and Consumer Behavior 468 Case Study 413 Components of Social Class 469 Notes 414 Status Symbols 475 How Do We Measure Social Class? 479 Chapter 11: Organizational and Chapter Summary 482 Household Decision Making 418 Key Terms 483 Review 483 Organizational Decision Making 420 Consumer Behavior Challenge 484 Organizational Decision Making 420 Case Study 484 B2B E-Commerce 424 Notes 485 The Family 425 The Modern Family 426 Animals Are People Too! Nonhuman Family Members 427 The Family Life Cycle 429 The Intimate Corporation: Family Decision Making 432 Chapter 13: Ethnic, Racial, Sex Roles and Decision-Making Responsibilities 433 and Religious Subcultures 488 Heuristics in Joint Decision Making 437 Subcultures, Microcultures, and Consumer Children as Decision Makers: Consumers-in- Identity 490 Training 439 Ethnic and Racial Subcultures 491 Consumer Socialization 440 The Big Three American Subcultures 499 Sex-Role Socialization 442 Cognitive Development 442 Religious Subcultures 504 Marketing Research and Children 443 How Religion Influences Consumption 504 Born-Again Consumers 505 Chapter Summary 445 Key Terms 446 Chapter Summary 506 Review 446 Key Terms 506 Consumer Behavior Challenge 447 Review 507 Case Study 448 Consumer Behavior Challenge 507 Notes 449 Case Study 508 Mintel Section 3: Mintel Memo and Dataset Exercise 453 Notes 509 Contents xi Chapter 14: Age Subcultures 512 Chapter Summary 566 Key Terms 567 Age and Consumer Identity 514 Review 567 Consumer Behavior Challenge 567 The Youth Market 516 Case Study 568 Teen Values, Conflicts, and Desires 517 Notes 569 Gen Y 518 How Do We Research the Youth Market? 522 Gen X 523 Chapter 16: Global The Mature Market 524 Consumer Culture 572 Baby Boomers 525 Where Does Popular Culture Come From? 574 The Gray Market 527 How Do We Know What s In? 577 Gray Power: Seniors Economic Clout 527 High Culture and Popular Culture 580 Perceived Age: You re Only as Old as You Feel 528 Reality Engineering 582 How Should Marketers Talk to Seniors? 529 How Can We Segment Seniors? 531 The Diffusion of Innovations 587 How Do We Decide to Adopt an Innovation? 587 Chapter Summary 532 Behavioral Demands of Innovations 589 Key Terms 533 Prerequisites for Successful Adoption 590 Review 533 The Fashion System 591 Consumer Behavior Challenge 533 Cultural Categories 591 Case Study 534 Behavioral Science Perspectives on Fashion 593 Notes 535 Cycles of Fashion Adoption 595 Mintel Section 4: Mintel Memo and Dataset Exercise 537 Global Diffusion 601 Think Globally, Act Locally 602 Cultural Differences Relevant to Marketers 603 Consumers Does Global Marketing Work? 605 The Diffusion of Consumer Culture 606 and Culture 539 Emerging Consumer Cultures in Transitional Economies 606 Chapter Summary 609 Chapter 15: Cultural Influences Key Terms 610 Review 610 on Consumer Behavior 540 Consumer Behavior Challenge 611 Case Study 612 What Is Culture? 542 Notes 612 Cultural Stories and Ceremonies 545 Mintel Section 5: Mintel Memo and Dataset Exercise 617 Myths 546 Rituals 550 Glossary 619 Sacred and Profane Consumption 561 Index 631 Sacralization 561 Domains of Sacred Consumption 562 From Sacred to Profane, and Back Again 565 ABOUT THE AUTHOR Michael R. Solomon, Ph.D., is Professor of Marketing and Director of the Center for Consumer Research in the Haub School of Business at Saint Josephs University in Philadelphia. He also is Professor of Consumer Behaviour at the Manchester School of Business, The University of Manchester, United Kingdom. Prior to joining the Saint Josephs faculty in fall 2006, he was the Human Sciences Professor of Con- sumer Behavior at Auburn University. Before moving to Auburn in 1995, he was Chair of the Department of Marketing in the School of Business at Rutgers Univer- sity, New Brunswick, New Jersey. Professor Solomon began his academic career in the Graduate School of Business Administration at New York University, where he also served as Associate Director of NYU s Institute of Retail Management. He earned B.A. degrees in psychology and sociology magna cum laude at Brandeis Uni- versity and a Ph.D. in social psychology at The University of North Carolina at Chapel Hill. He was awarded the Fulbright/FLAD Chair in Market Globalization by the U.S. Fulbright Commission and the government of Portugal, and he served as Distinguished Lecturer in Marketing at The Technical University of Lisbon. Professor Solomons primary research interests include consumer behavior and lifestyle issues; branding strategy; the symbolic aspects of products; the psy- chology of fashion, decoration, and image; services marketing; marketing in virtual worlds, and the development of visually-oriented online research methodologies. He has published numerous articles on these and related topics in academic jour- nals, and he has delivered invited lectures on these subjects in Europe, Australia, Asia, and Latin America. His research has been funded by the American Academy of Advertising, the American Marketing Association, the U.S. Department of Agri- culture, the International Council of Shopping Centers, and the U.S. Department of Commerce. He currently sits on the editorial boards of the Journal of Consumer Be- haviour, the Journal of Retailing, and The European Business Review, and he re- cently completed an elected 6-year term on the Board of Governors of the Academy of Marketing Science. Professor Solomon has been recognized as one of the 15 most widely cited scholars in the academic behavioral sciences/fashion literature, and as one of the 10 most productive scholars in the field of advertising and marketing communications. Professor Solomon is a frequent contributor to mass media. His feature articles have appeared in such magazines as Psychology Today, Gentlemans Quarterly, and Savvy. He has been quoted in numerous national magazines and newspapers, in- cluding Allure, Elle, Glamour, Mademoiselle, Mirabella, Newsweek, the New York Times, Self, USA Today, and the Wall Street Journal. He frequently appears on televi- sion and speaks on radio to comment on consumer behavior issues, including The Today Show, Good Morning America, Inside Edition, Newsweek on the Air, the Entrepreneur Sales and Marketing Show, CNBC, Channel One, the Wall Street Jour- nal Radio Network, the WOR Radio Network, and National Public Radio. He acts as consultant to numerous companies on consumer behavior and marketing strategy issues and often speaks to business groups throughout the United States and over- seas. In addition to this text, Professor Solomon is coauthor of the widely used text- book Marketing: Real People, Real Choices. He has three children, Amanda, Zachary, and Alexandra, a son-in-law Orly, and a new granddaughter Rosi. He lives in Philadelphia with his wife Gail and their other child a pug named Kelbie Rae. xiii NEW TO THIS EDITION! * Eight new end-of-chapter cases covering topics such as consumer behavior dur- ing recessions (Chapter 1), the effect of avatars and virtual worlds on consumer behavior (Chapter 3), product endorsements (Chapter 7), online consumerism (Chapter 9), social media marketing (Chapter 8), and consumer subcultures (Chapters 13 and 14) * Eight updated end-of-chapter cases (Chapters 2, 5, 6, 10, 11, 12, 15, and 16) * Fourteen new CB as I See It boxes, feature consumer behavior professors and leading researchers who share their knowledge of and perspectives on their ar- eas of expertise * A brand new feature CB as I Live It highlights 18 individuals and student groups from schools across the country who contribute their own perspectives on key concepts * Four brand-new end-of-section Mintel Memos and Data Exercises use data from recent consumer behavior market research to encourage hands-on applica- tions of concepts * New content added to every chapter, including the following topics and much more: Transformative consumer research and the 80/20 rule (Chapter 1) Anthropomorphism and schema processing (Chapter 2) Online repetition and wearout (Chapter 3) Consumer-generated content strategies and live advertising (Chapter 4) Facial morphing, sexting, and gender-bending products (Chapter 5) Personality and media usage (Chapter 6) Social media, widgets, Japandering, and spokescharacters (Chapter 7) Blissful ignorance effect, hyperopia, reputation economy, and brand ad- vocates (Chapter 8) Online gambling and gripe sites (Chapter 9) Group influence, urban myths, and Tweetups (Chapter 10) B2B promotional products and network effects (Chapter 11) Tightwads, spendthrifts, and BRIC (Chapter 12) Cosplay (Chapter 13) Segmenting boomers, Gen Y, and media usage (Chapter 14) Headbanging collective ritual, Oprah devotion, and superstition (Chapter 15) Gadget lovers, global obesity, and ideologies regarding technology (Chapter 16) xv PREFACE I love to people-watch, don t you? People shopping, people flirting, people consum- ing. Consumer behavior is the study of people and the products that help to shape their identities. Because I m a consumer myself, I have a selfish interest in learning more about how this process works and so do you. In many courses, students are merely passive observers; they learn about topics that affect them indirectly, if at all. Not everyone is a plasma physicist, a medieval French scholar, or a marketing professional. But we are all consumers. Many of the topics in this book have both professional and personal relevance to the reader, re- gardless of whether he or she is a student, professor, or businessperson. Nearly everyone can relate to the trials and tribulations of last-minute shopping, primping for a big night out, agonizing over an expensive purchase, fantasizing about a week in the Caribbean, celebrating a holiday, or commemorating a landmark event, such as graduating, getting a driver s license, or (dreaming about) winning the lottery. In this edition, I have tried to introduce you to the latest and best thinking by some very bright scientists who develop models and studies of consumer behav- ior. But that s not enough. Consumer behavior is an applied science, so we must never lose sight of the role of horse sense when we apply our findings to life in the real world. That s why you ll find a lot of practical examples to back up these fancy theories. What Makes This Book Different: Buying, Having, and Being As this book s subtitle suggests, my vision of consumer behavior goes well be- yond studying the act of buying having and being are just as important, if not more so. Consumer behavior is more than buying things; it also embraces the study of how having (or not having) things affects our lives and how our possessions influence the way we feel about our- selves and about each other our state of being. I developed the Wheel of Consumer Behavior that appears at the beginning of text sections to underscore the complex and often inseparable interrelationships between the individual consumer and his or her social realities. In addition to understanding why people buy things, we also try to appreciate how products, services, and consumption activities con- tribute to the broader social world we experience. Whether we shop, cook, clean, play basketball, hang out at the beach, or even look at ourselves in the mirror, the marketing system touches our lives. As if these experiences aren t complex enough, the task of understanding the consumer increases when we take a multicultural perspective. xvii xviii Preface CHAPTER 8 Decision Making 333 We ll explore these ideas with intriguing and current examples Marketers like this Danish restaurant often as we show how the consumer behavior discipline relates to your rely on consumers expectations based on country-of-origin cues. Source: Courtesy of Reef N Beef/Saatchi daily life. Throughout the ninth edition, you ll find up-to-the- minute discussions of topics such as social networking, tweetups, carbon footprints, sensory signatures, alternate-reality games, vir- tual identity and online avatars, frugalistas, sock puppeting, gripe sites, sexting, bromances, helicopter moms, cosplay, and headbang- ing rituals. If you can t identify all of these terms, I can suggest a text- book you should read immediately! Going Global The American experience is important, but it s far from the whole people spend roughly twice as much of their toilet paper budget on the top choice than on the second-ranked brand, about twice on the number two brand as on the story. This book also considers the many other consumers around third-ranked brand, and about twice on the number three brand as on the number four brand. One ramification is that a brand that moves from number two to num- the world whose diverse experiences with buying, having, and being ber one in a category will see a much greater jump in sales than will, say, a brand that moves from number four to number three. Brands that dominate their markets are as much as 50 percent more profitable than their nearest competitors.94 we must understand. That s why you ll find numerous examples of Inertia: The Lazy Customer Many people tend to buy the same brand just about every time they go to the marketing and consumer practices relating to consumers and com- panies outside the United States throughout the book. If we didn t store. Often this is because of inertia we buy a brand out of habit merely because it requires less effort (see Chapter 4). If another product comes along that is cheaper (or if the original product is out of stock), we won t hesitate to change our minds. A competitor who tries to encourage this switch often can do so rather eas- ily because the shopper won t hesitate to jump to the new brand if it offers the right incentive. know it before the tragic events of September 11, 2001, we certainly When we have little to no underlying commitment to a particular brand, mar- keters find it easy to unfreeze our habit with the help of promotional tools such as know it now: Americans also are global citizens, and it s vital that we point-of-purchase displays, extensive couponing, or noticeable price reductions. Some analysts predict that we re going to observe this kind of fickle behavior more and more as consumers flit from one brand to the next. Indeed, one industry ob- all appreciate others perspectives. server labels this variety-seeking consumer a brand slut; she points out that from Net Profit Digital Consumer Behavior: A Virtual Community Our online behaviors also can satisfy needs at different lev- As more of us go online every day, there s no doubt the world is changing and con- els of Maslow s hierarchy, es- pecially when we participate sumer behavior evolves faster than you can say the Web. This ninth edition con- in social networks like Facebook. Web-based companies can build loyalty if they keep these tinues to highlight and celebrate the brave new world of digital consumer behavior. needs in mind when they design their offerings: Today, consumers and producers come together electronically in ways we have We can satisfy physiological needs when we use the Web to research topics such never known before. Rapid transmission of information alters the speed at which as nutrition or medical questions. The Web enables users to pool informa- new trends develop and the direction in which they travel especially because the tion and satisfy safety needs when they call attention to bad practices, flawed virtual world lets consumers participate in the creation and dissemination of new products, or even dangerous predators. Profile pages on Facebook and MySpace products. let users define themselves as individuals. One of the most exciting aspects of the new digital world is that consumers can Online communities, blogs, and social networks provide recognition and achieve- interact directly with other people who live around the block or around the world. ment to those who cultivate a reputation for being especially helpful or expert in As a result, we need to radically redefine the meaning of community. It s no longer some subject. Users can seek help from others and con- enough to acknowledge that consumers like to talk to each other about products. nect with people who have similar tastes and interests. Now we share opinions and get the buzz about new movies, CDs, cars, clothes you Access to invitation-only communities provides status. name it in electronic communities that may include a housewife in Alabama, a Spiritually-based online communities can disabled senior citizen in Alaska, or a teen loaded with body piercings in Amster- provide guidance to troubled people.20 dam. And many of us meet up in computer-mediated environments (CMEs) such as Facebook, Twitter, and Second Life. I m totally fascinated by what goes on in virtual worlds, and you ll see a lot of material in this edition that relates to these emerging consumer playgrounds. We have just begun to explore the ramifications for consumer behavior when a Web surfer can project her own picture onto a Web site to get a virtual makeover or a corporate purchasing agent can solicit bids for a new piece of equipment from vendors around the world in minutes. These new ways of interacting in the market- place create bountiful opportunities for businesspeople and consumers alike. You will find illustrations of the changing digital world sprinkled liberally throughout Preface xix this edition. In addition, each chapter features boxes I call Net Profit, which point to The Tangled Web specific examples of the Net s potential to improve the way we conduct business. But is the digital world always a rosy place? Unfortunately, just as in the real In recent years we ve wit- nessed a new attempt to world, the answer is no. The potential to exploit consumers, whether by invading manipulate attitudes that some call sock puppet- their privacy, preying on the curiosity of children, or simply providing false product ing. This term describes a company executive or other biased source who poses as someone information, is always there. That s why you ll also find boxes I call The Tangled Web else as he touts his organization in social me- dia. For example, in 2007 it came to light that that point out some of the abuses of this fascinating new medium. Still, I can t imag- the CEO of Whole Foods posted derogatory ine a world without the Web, and I hope you ll enjoy the ways it s changing our field. comments about rival Wild Oats without re- vealing his true identity. More recently a non- When it comes to the new virtual world of consumer behavior, you re either on the profit research organization called GiveWell that rates the effectiveness of charities had to train or under it. discipline two of its founders who pretended to be other people on blogs and then referred people to the group s Web site.68 Similar problems potentially dilute the Marketing Opportunity Consumer Research Is a Big Tent: credibility of Wikipedia, the open-source on- line encyclopedia that is beloved by many stu- The choice dents. of aAnyone great brand can edit entries, so their relia- The Importance of a Balanced Perspective name isbility is not assured. so important contributors companies often hire nam- self-servingtoentries, ing consultants may that Although other alert eventually correct false or come there is still room for or- up with a winner. These ganizationsexperts try to to color find content in a way that servesclick theirbecause goals. For example, a visitor ed- Like most of you who will read this book, the field of consumer behavior is young, semantic associations that they evoke some desirable itedconnection. the Wikipedia That entry for the SeaWorld dynamic, and in flux. It is constantly cross-fertilized by perspectives from many strategy brought us namestheme such as parks to killer whales to change all mentions of orcas Qualcomm and he or she also deleted a ( quality and communications ), Verizon different disciplines the field is a big tent that invites many diverse views to en- (veritas is Latin for truth,paragraph and horizon criticized SeaWorld s lack of that sug- gests forward-looking), respect and Intel toward its orcas. It turns out the ( intelli- ter. I try to express the field s staggering diversity in these pages. Consumer re- gent and electronics ).changes The name originated Viagraat a computer located in rhymes with the famousAnheuser-Buschwaterfall Niagara. the company that happens searchers represent virtually every social science discipline, plus a few from the People associate water to withown both SeaWorld. sexualityAn employee of PepsiCo deleted several paragraphs of the Pepsi entry physical sciences and the arts for good measure. From this blending of disciplines and life, and Niagara Falls is a honeymoon mecca. Philip Morris Companies that focused renamed on itsit-detrimental health effects, comes a dynamic and complex research perspective, including viewpoints re- Marketing Pitfall and a self Altria Group to convey its expansion be- person at Wal-Mart altered an entry yond cigarettes into packaged about howfoods the retailer and pays its employees. garding appropriate research methods, and even deeply held beliefs about what brewing. This word means high, Another paid which formis of Strongly influencer sock puppeting is so- aheld values can programs controversial choice; onecalled brand consultant that attempt are and what are not appropriate issues for consumer researchers to study in the comments, I m not suretohigh make conversations startis online right for for life very difficult marketersa who about brands sell company with many mood-altering when they encourage products bloggers to write about first place. in its brand portfolio. This is thebe case personal-care 43 them. These sponsored conversations can with tampons; products. These semantic combinations effective,get but harderagain70marketers percent ofneed to be The book also emphasizes how strategically vital it is to understand consumers. to find, so some U.S. women use about careful them,the butpotential only 100 millionsource rec- to distort out consultants of a potential appeal market to ofour billion For1.7 eligi- awarded Many (if not most) of the fundamental concepts in marketing emanate from a man- more basic instincts ble womenwhenommendations. they around focus the onworld link- example, Kmart do. Resistance ages between the raw soundsa shoppingof vowels spreeand to a group of bloggers who to using this product posed a major problem ager s ability to know people. After all, if we don t understand why people behave as consonants (phonemes) for Tambrands. agreed and The Panasonic to post re-about their experiences. emotional company flewshow makes only bloggers one Consumer to the sponses. Studies on sound product, so itsymbolism needs Show to sellintampons in aswhere they they do, how can we identify their needs? If we can t identify their needs, how can we that respondents who many countries Electronics speak asdifferent possible lan-to Las Vegas, continue grow- guages associate posted about the show and Panasonic prod- ing.theButsame sounds with such satisfy their needs? If we can t satisfy people s needs, we don t have a marketing con- emotion-laden feminine qualities as Tambrands uctssadunveiled hygiene and has trouble there. insecure, products sellinggave Mercedes in asome its a blogger alive and daring. To get at use these of associations, an SUV for weekcultures in exchange for cept, so we might as well fold our big tent and go home! such as Brazil, researchers usually where posts about it. many young women fear they give will subjects lose theirpairs of non- virginity if they use a tam- To illustrate the potential of consumer research to inform marketing strategy, sense names pon. that Adiffer phoneme, for example, in only it ashowed commercial paressa and single there featured taressa, an actress who says in a reassuring voice, Of the text contains numerous examples of specific applications of consumer behavior and ask whichcourse, soundsyou faster, re notmore goingdaring, to lose your virginity. nicer, and so on. TheyPriorve to found launching that asoundsnew global advertis- concepts by marketing practitioners as well as examples of windows of opportunity that come to aing fullcampaign stop (p, b, t, d) connote for Tampax in 26 countries, the slowness, whereasfirm stheadvertising f, v, s, andagency z sounds where we could use these concepts (perhaps by alert strategists after they take this seem faster. Prozac into threeandclusters Amazonbased convey divided the world on aresidents resis- sense of speedtance (of recovery or of delivery). course!). The Marketing Opportunity boxes you ll find in each chapter highlight the When naming consultants to using tampons. Resistance was so intense in Muslim got the assignment countries that the agency to label a new didn handheld t evenpersonal try to selldigitalthere!as- fascinating ways that marketing practitioners translate wisdom they glean from sistant (PDA), they first thought of Strawberry * consumer research into actual business activities. In cluster 1 (including because the little keyboard buttons resembled seeds. They liked thetheberry United part Kingdom, the United States, of the nameand Australia), because they knew that women people feltassociated comfortable the with the idea andand letter b with reliability offereda berry littlecommuni- resistance. The agency cated smallness compareddeveloped a teaser to other PDAs. But ad to encourage The Good, the Bad, and the Ugly a linguist pointed out fast connotation.*Voila! more with thatfrequency it, In cluster or straw is syllable and the product needed to have anot? of ause: 2 (includingPDA The BlackBerry slowShould I sleep France, Israel, and was born.44 South Africa), about 50 percent of women use the product, but some con- A strategic focus is great, but this book doesn t assume that everything marketers do cerns about the loss of virginity remain. is in the best interests of consumers or of their environment. Likewise, as consumers To counteract these objections, the agency obtained endorsements from gy- we do many things that are not so positive either. We suffer from addictions, status necologists within each country. * In cluster 3 (including Brazil, China, and envy, ethnocentrism, racism, sexism, and many other isms. Regrettably, there are Russia), Tambrands encountered the greatest resistance. To try to make in- times when marketing activities deliberately or not encourage or exploit these roads in these countries, the researchers found that the first priority is simply to human flaws. This book deals with the totality of consumer behavior, warts and all. explain how to use the product without We ll highlight marketing mistakes or ethically suspect activities in boxes I call making women feel squeamish a chal- lenge they still try to figure out. If they Marketing Pitfall. do and that s a big if Tambrands will have changed the consumer behavior of On a more cheerful note, marketers create wonderful (or at least unusual) things, millions of women and added huge new markets to its customer base in the such as holidays, comic books, Krispy Kreme donuts, nu-jazz music, Webkinz, and process.75 xx Preface the many stylistic options that beckon to us in the domains of clothing, home design, the arts, and cuisine. I also take pains to acknowledge the sizable impact of market- ing on popular culture. Indeed, the final section of this book captures very recent work in the field that scrutinizes, criticizes, and sometimes celebrates consumers in their everyday worlds. I hope you will enjoy reading about such wonderful things as much as I enjoyed writing about them. Welcome to the fascinating world of con- sumer behavior! Consumer Behavior in the Trenches I m a huge believer in the value of up-to-date information. Our field changes so rap- idly that often yesterday s news is no news at all. True, there are timeless studies that demonstrate basic consumer behavior constructs as well today as they did 20 years ago or more (I may even have authored some of them!). Still, I feel a real ob- ligation to present students and their professors with a current view of research, popular culture, and marketing activities whenever I can. For this reason, each time I start to contemplate my next edition, I write to colleagues to ask for copies of pa- pers they have in press that they believe will be important in the future. Their coop- eration with my request allows me to include a lot of fresh research examples; in some cases these articles will not yet CB AS I SEE IT Professor Jennifer Aaker, Stanford University have been published when this book comes out. I ve listed To address these questions, we conducted a set of longitudinal The results also speak to ongoing research in marketing, which suggests those who help me in this endeavor in the Acknowledg- experiments that show that the intensity of mixed emotions is that emotional experiences can fundamentally impact purchase intent ments section, which follows. I magine you are at Disneyland about to board the Space Mountain ride. As underestimated at the time of recall an effect that appears to increase over time and does not occur to the as well as foster brand loyalty. For example, the amount of warmth that emanates from a brand or the fun I ve taken this initiative to the next level with a feature I you climb into your rocket, you feel joy and apprehension a mixed feeling that same degree with uniformly happy or sad emotions. Together, these results enjoyed by a brand (e.g., iPhone) can fundamentally influence our call CB as I See It. In every chapter you ll find a flesh-and- persists even after the ride is over. You indicate that, as time passes, mixed relationship with it. However, in grip the safety bar, at once thrilled and frightened. You leave the Space emotions are increasingly difficult to recall, that memory for them fades, reality, most consumer-brand relationships are defined, at some blood consumer behavior professor who shares his or her Mountain ride dizzy with mixed and that felt conflict underlies this point or another, by a transgression emotions. How will you recall your experience a week later? Will you recall bias. The results of this work speak to that gives rise to negative feelings among consumers such as when perspective as a leading researcher in a particular area of remember the mixed emotions you experienced on the ride? Or will the several domains of research. For example, the results imply that something you buy breaks. Our research suggests that the degree to specialization about an appropriate topic. I ve let these memory of those mixed emotions fade? individuals who are comfortable with which a negative event is categorized Questions regarding the memory of mixed emotions are impor tant. Many inconsistency should recall mixed emotions more accurately. Similarly, if as part of a mixed experience (versus as a single negative event) impacts esteemed colleagues largely speak for themselves, so now of life s most important events are defined by mixtures of emotions where people find themselves feeling both there is an increased desire to resolve the emotion of felt conflict, the effects documented here should be muted for the probability that the consumer will remember that experience and be influenced by it. If the transgression is you can benefit from other voices who chime in on relevant positive and negative emotions e.g., graduating from college ( I m making individuals who are not disturbed by the ambiguity associated with mixed mentally clumped together with positive interactions with the brand, research issues. Again, I ve listed these participants in the progress, but leaving my friends and emotions. And, the effects should the memory of the mixed emotional family ), moving ( I m starting a new life, but losing my old one ), or dissipate if the mixed emotions we experience consist of a dominant experience may indeed fade which would not be the case if the Acknowledgments section, and I m grateful for their won- achieving major life goals ( I m thrilled to have reached the destination, but emotion (e.g., strong feelings of anger), thereby reducing the conflict transgression stood alone as an isolated negative event. derful cooperation and for letting me share their words I m sad the journey is over ). we feel. and their photos! with you. But who says professors know everything (well, professors do...). As I ve already noted, there s no doubt that con- sumer-generated content (in the form of buzz marketing strategies, commercials submitted by brand users, and so on) is fundamentally changing business and consumer be- CB AS I LIVE IT Drew Rudebusch, The University of Washington havior. I believe we should practice what we teach, and so of these musings were my motivations. I quickly realized that the like traveling the world. I became more interested than ever before by travel this edition includes yet another new feature that lets real motivation for many of my decisions was not sustaining me any longer. An discounts and adver tisements about adventures abroad. Graduating and students have their way. For the new box, CB as I Live It, I in- A quarter-life crisis. That is what some people called it. Others just said I altered living situation, coupled with a totally different perspective on the future, combined to make for a getting a job took on a totally different meaning than just months before. I looked for ward to spending my vited individuals or student groups at schools across the was scared. Probably true, but who isn t scared when they are about to graduate. Call it whatever you want, but the one marketer s dream. I was truly on a mission to find myself, and provided an open door for marketers to inspire paychecks in a drastically new way. Does this mean my motivation for a nice car, a comfortable home, and United States to contribute their own views on key concepts. thing I know for certain is that my motivations have changed dramatically. me with their motivational messaging. I grew less interested in tailored suits have gone away entirely?

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