Marketing (Grewal.Levy) Chapter 6

affective component
component of attitude that reflects what a person feels about the issue at hand-his or her like or dislike of something
attitude
person’s enduring evaluation of his or her feelings about and behavioral tendencies toward an object or idea; consists of three components; cognitive, affective, and behavioral
behavioral component
component of attitude that comprises the actions a person takes with regard to issues at hand
cognitive component
component of attitude that reflects what a person believes to be true
compensatory decision rule
at work when the consumer is evaluating alternatives and trades off one characteristic against another, such that good characteristics compensate for bad ones
consumer decision rule
the set of criteria that consumers use consciously or subconsciously to quickly and efficiently select from among several alternatives
conversion rate
percentages of consumers who buy products after viewing it
culture
set of values, guiding beliefs, understandings, and ways of doing things shared by members of a society
determinant attributes
product or service features that are important to the buyer and on which competing brands or stores are perceived to differ
esteem needs
needs that enable people to fulfill inner desires
evaluation criteria
consists of a set of salient, or important, attributes about a particular product
evoked set
comprises the alternative brands or stores that the consumer states he or she would consider when making a purchase decision
extended problem solving
a purchase decision process during which the consumer devotes considerable time and effort to analyzing alternatives; often occurs when the consumer perceives that the purchase decision entails a lot of risk
external locus of control
refers to when consumers believe that fate or external factors control all outcomes
external search for information
occurs when the buyer seeks information outside his or her personal knowledge base to help make the buying decision
financial risk
risk associated with a monetary outlay; includes the initial cost of the purchase, as well as the costs of using the item or service
functional needs
pertain to the performance of a product or service
habitual decision making
a purchase decision process in which consumers engage with little conscious effort
impulse buying
buying decision made by customers on the spot when they see the merchandise
internal locus of control
refers to when consumers believe they have some control over the outcomes of their actions, in which case they generally engage in more search activities
internal search for information
occurs when the buyer examines his or her own memory and knowledge about the product or service, gathered through past experiences
involvement
consumers interes in a product or service
learning
refers to a change in a persons thought process or behavior that arises from experience and takes place throughout the consumer decision process
lifestyle
a component of psychographics; refers to the way a person lives his or her life to achieve goals
limited problem solving
occurs during a purchase decision that calls for, at most, a moderate amount of effort and time
love needs
needs expressed through interactions with others
maslows hierarchy of needs
a paradigm for classifying peoples motives. it argues that when lower-level, more basic needs (physiological and safety) are fulfilled, people turn to satisfying their higher-level human needs (social and personal)
motive
a need or want that is strong enough to cause the person to seek satisfaction
multi-attribute model
a compensatory model of customer decision making based on the notion that customers see a product as a collection of attributes or characteristics. the model uses a weighted average score based on the importance of various attributes and performance on those issues
need recognition
the beginning of the consumer decision process; occurs when consumers recognize they have an unsatisfied need and want to go from their actual, needy state to a differ, desired state
negative word of mouth
occurs when consumers spread negative information about a product, service, or store to others
non compensatory decision rule
at work when consumers choose a product or service on the basis of a subset of its characteristics, regardless of the values of its other attributes
perception
the process by which people select, organize, and interpret the information to form a meaningful picture of the world
performance risk
involves the perceived danger inherent in a poorly performing product or service
physiological needs
those relating to the basic biological necessities of life; food, drink, rest, shelter
physiological risk
the fear of an actual harm should a product not perform properly
post purchase cognitive dissonance
the psychological uncomfortable state produce by an inconsistency between beliefs and behaviors that in turn evokes a motivation to reduce the dissonance; buyers remorse
psychological needs
pertain to the personal gratification consumers associate with a product or service
psychological risk
associated with the way people will feel if the product or service does not convey the right image
reference group
one or more persons whom an individual uses as a basis for comparison regarding beliefs, feelings, and behaviors
retrieval sets
includes those brands or stores that the consumer can readily bring forth from memory
safety needs
one of the needs in the pssp hierarchy of needs; pertain to protection and physical well being
safety risk
same as psychological risk. associated with the way people will feel if the product or service does not convey the right image
self-actualization
when a person is completely satisfied with his or her life
situational factors
factors affecting the consumer decision process; those that are specific to the situation that may override, or at least influence, psychological and social issues
social risk
the fears that consumers suffer when they worry others might not regard their purchase positively
universal sets
includes all possible choices for a product category
consumer decision process
1. need recognition
2. information research
3. alternative evaluation
4. purchase
5. post purchase
five types of risk
performance
financial
social
physiological
psychological
factors affecting the consumer decision process
Marketing mix
psychological factors
situational factors
social factors
marketing mix
product
price
place
promotion
psychological factors
motives
attitudes
perceptions
learning
lifestyle
social factors
family
reference group
culture