Marketing Compact Summary:
Chapter 1: Introduction
Consumer Behaviour: reflects the totality of consumers’ decisions with respect to the
acquisition, consumption, and disposition of goods, services, activities, experiences, people,
and ideas by (human) decision-making units over time.
Offering= a product, service, activity, experience, or idea offered by a firm to consumers.
- Acquiring an Offering= buying
- Using an Offering= customer experience
- Disposing of an Offering= get rid off
4 segments of financial consumers:
1. Stretched spenders= live paycheck to paycheck and feel anxious
2. Carefree spenders= live paycheck to paycheck and do not feel anxious
3. Security seekers= don’t live paycheck to paycheck and feel anxious
4. Cushioned savers= don’t live paycheck to paycheck and do not feel anxious
The Psychological Core: Internal consumer Processes
Before consumers make decisions, they must have some source of knowledge to base their
decisions
Motivation, Ability, and Opportunity:
- Motivation: motivated to learn about … and think about them
- Ability: familiar with the info, so there is the ability to evaluate options
- Opportunity: create time to have the opportunity to learn and think about the
decision
Exposure, Attention, Perception, and Comprehension:
- Exposure: make sure to be exposed and attends to any information related to the
decision
- Attention: not all information will be attended.
- Perception: exposed information many times is never perceived consciously
- Comprehension: all information attended need to be comprehended for the decision
Memory and Knowledge:
Memory: information stored in a memory about all topics in categories
Knowledge: the ability to retrieve the stored information in her memory during the decision
process.
Forming and Changing Attitudes:
A consumer creates a certain attitude towards something and this attitude changes when
new information is encountered. However, an attitude does not certainly predict behaviour.
,The Process of Making Decisions:
The processes of the Psychological Core are closely related to the process of Making
Decisions.
Problem Recognition and the Search for Information
Problem Recognition occurs when consumers realize they have unfulfilled needs, thus start
searching for info on how to solve the problem.
Making Judgements and Decisions
High-effort decision= with a lot of time invested and mental energy when making it. Thus, a
lot of info exposure and comprehension resulting in memories of making the decision.
Low-effort decision= simple and quick decision to make, resulting in less enduring attitudes
and memories.
Making Post decision Evaluations
This will allow the consumer to judge whether they made the right decision.
The Consumer’s Culture: External Processes
Our consumption decisions and how we process information are affected by our culture.
Which refers to the typical expected behaviours, norms, and ideas that characterize a group
of people.
Reference groups and Other Social Influences
Reference groups= people whose values are shared and opinions of are respected
Consumers might want to match people they admire and listen to their advice through word
of mouth, for example through social media. This can make consumers feel to behave in
certain ways.
Diversity Influences
Many diverse cultural factors influence our choices and behaviour. For example, what is
normal to do according to certain groups, countries, etc. But also, gender, age, background
all affect our impressions.
Household and Social Class Influences
Household and social class influences consumers with certain achievements, for example
from an upper middle class or living with parents, having siblings.
Values, Personality, and Lifestyle
Choices are also based on a consumers’ beliefs, personality, activities, interests, opinions,
etc.
Consumer Behaviour Outcomes and Issues
The Psychological Core, Decision-making processes, and the Consumer’s Culture affect
consumer behaviour.
,Consumer Behaviours can symbolize who we are
The groups we belong to, and our self can affect the symbols or external signs we use,
consciously or unconsciously to express our actual or desired identity.
Consumer Behaviours can diffuse through a market
The diffusion of information can have both positive and negative effects for marketeer
because consumers affect each other with every choice they make and thus keep influencing
each other by looking at someone choices.
Consumer Behaviours, ethics, and social responsibility
Consumers face conflicting priorities, and they try to balance an immediate outcome against
a long-term outcome or try to balance their own interest against the interest of others.
Making business decisions based on marketing implications
Crowdsourcing= consumers can submit new ideas for products and activities
Perceptual map= see how consumers view other brands in comparison with their own and
then plot the results. Brands in the same quadrants of the map are perceived as offering
similar benefits to consumers which is used for the positioning of the brand.
What are our communication objectives?
- enhance brand-name awareness few people have heard of the brand
- enhancing brand knowledge people don’t know anything about the brand
- encourage positive brand attitudes people don’t know what makes the brad
desirable
Copy testing/pretesting= testing an ad’s effectiveness before it appears in public.
Chapter 2:
Motivation= what moves people, an inner state of activation, with the activated energy to
achieving a goal.
Highly motivated consumers= more likely to pay careful attention to information relevant to
that goal, think, understand, comprehend, evaluate, and remember the information for later
use. (e.g., new keyboard)
Low motivation consumers= devote little effort to processing information and making
decisions. (e.g., new paper clips) Here consumers might use decision-making shortcuts, such
as the cheapest or same brand as last time.
Motivated reasoning= consumers process information in a biased way, so that they can
obtain the conclusion they want to reach. (e.g., confirmation bias occurs when consumers
only search for information that confirms their conclusion and ignore contradictions)
, Involvement and its Types:
A final outcome of motivation that evokes a psychological state is called involvement:
- Enduring involvement= long-term interest in an offering, activity, or decision.
- Situational involvement= Temporary interest in an offering, activity, or decision,
often caused by situational circumstances.
- Cognitive involvement= Interest in thinking about and learning information pertinent
to an offering, activity, or decisions.
- Affective involvement= interest in expending emotional energy and evoking deep
feelings about an offering, an activity, or a decision.
- Response involvement= interest in certain decisions and behaviours, deciding
between brands.
Motivation is affected when consumers regard something as:
Personal relevant= something that has a direct bearing on the self and has potentially
significant consequences or implications for our lives.
Consistent with self-concept= our mental view of who we are, define who we are.
Values= abstract, enduring beliefs about what is right/wrong, important, or good/bad. (e.g.,
sustainability vegan)
Needs= gap between the current and an ideal or desired state.
- Functional needs= need that motivates the search for offerings that solve
consumption-related problems. (e.g., food, order, safety, health, etc.)
- Symbolic needs= need that relates to the meaning of our consumption behaviours to
ourselves and to others. (e.g., status, uniqueness, achievement, etc)
- Hedonic (experimental) needs= needs for sensory stimulation, cognitive stimulation,
novelty, desires for sensory pleasure. (e.g., relaxation and play after week of study)
Needs can conflict in 3 various ways:
Approach-avoidance= when an offering that fulfils one need but fails to fulfil
another. (e.g., smoking people think is cool, but you struggle with the health
problems)
Approach-approach= when each can satisfy an important but different need. (e.g.,
invited to a career-night function at the same time of being invited to a party)
Avoidance-avoidance= when neither can satisfy an important but different need
(e.g., going home alone now or waiting longer for a friend)
Goal= particular end state or outcome that a person would like to achieve. Goals are more
concrete than needs.
- Promotion-focused= consumers are motivated to act in ways to achieve positive
outcomes. These goals focus on hopes, wants, and accomplishments.
- Prevention-focused= consumers are motivated to act in ways to avoid negative
outcomes. These goals focus on responsibilities, safety, and guarding against risks.
