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Consumer Behaviour Definitions
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- 1Consumer behaviourstudy of processes involved when individuals/groups select purchase, use or dispose of products, services, ideas or experiences to satisfy needs and desires
- 2Role theoryconsumer behaviour resembles action/roles in plays (e.g. choosers, communicators, identity seekers, pleasure seekers, victims, rebels activist)
- 3Market segmentationdefines segments whose members are similar to one another in one or more characteristics and different from members of other segments (e.g. demographic, psychographic and geographic)
Strategy targeting brand only to specific groups rather than to everybody - 4Relationship marketingmarketers believe that key to success is in building lifelong relationships between brands and customers (e.g. charity donations, member exclusive offers)
(shared consciousness, rituals and traditions, sense of moral responsibility) - 5Database marketingfirms track consumers buying habits by computer and craft products and information tailored specifically to people’s wants and needs
- 6Brand communitya set of consumers who share a set of social relationships based on usage or interest in a product
- 7Consumer societya society where social life is organised less around our identities as producers or workers in the production system, and more according to our roles as consumers in the consumption system
- 8Global consumer cultureculture in which people around the world are united through their common devotion to brand name consumer goods, movie stars, celebrities and leisure activities
- 9Glocalisationproducts and services that are both developed and sold to global customers but designed so that they suit the needs of local markets.
- 10Political consumer‘vote with shopping basket’ to influence companies to care about other issues such as human rights and the environment
- 11Positivisma research perspective that relies on the principles of the scientific method and assumes that a single reality exists; events in the world can be objectively measured and the causes of behaviour can be identified, manipulated and predicted
- 12Interpretivisma research perspective that produces ‘thick’ description of a consumer's subjective experiences and stresses the importance of the individuals social construction of reality.
- 13Postmodernismtheory that questions the search for universal truths and the values the existence of objective knowledge
fragmentation, de-differentiation, hyperreality, chronology, pastiche, anti-foundationalism, reversals of production and consumption, decentering of the subject, juxtaposition of opposites - 14Hyperrealityphenomenon associated with modern advertising in which what is initially stimulation of hyper becomes real
- 15Pastichethe playful and ironic mixing of existing categories and styles
- 16Cultureaccumulation of shared meaning, rituals, norms and traditions among the members of an organisation or society
- 17Cultural dimensionsIBM Study from 1960's
power distance, uncertainty avoidance, masculine vs feminine, individualism vs collectivism - 18Crescive normsnorms that we discover as we interact, include customers, mores and conventions
- 19Cultural storiesevery culture develops stories and ceremonies that help members make sense of the world
- 20Myths (definition, characteristics and functions)stories with symbolic element that represent shared emotions/ideals of a culture
characteristics: conflict between two opposing forces, outcome is moral guide for people, myths reduce anxiety by providing guidelines
functions: metaphysical, cosmological, sociological, psychological - 21Ritualsset of multiple, symbolic behaviours that occur in fixed sequence and tend to be repeated periodically
- 22Fortress brands(rituals) brands that consumer closely link with rituals and ceremonials which makes them unlikely to be replaced
- 23Ritual artifactsitems or consumer goods used in the performance of rituals
- 24Sacred consumptionobjects and events that are ‘set apart’ from normal activities that are treated with awe or respect
- 25Profane consumptionconsumer objects and events that are ordinary and not special
- 26Sacralisationwhen ordinary objects, events or people take on sacred meaning
- 27Objectificationwhen we attribute sacred qualities to mundane items through processes like contamination
- 28Collectingsystematic acquisition of a particular object or set of objects
- 29Desacralisationsacred item/object is removed from its special place or is duplicated in mass quantities e.g. Eiffel Tower
- 30Fashion system (4 models)people or organisations involved in creating symbolic meaning and transferring these meanings into cultural goods
Includes psychological, economics, sociological and medical models - 31trickle down theorybenefits the wealthy, conspicuous consumption
- 32meme theoryidea or product that enters the consciousness of people over time e.g. tunes, catch phrases
- 33Collective selectionprocess by which certain symbolic alternatives are chosen over others by members of a group
- 34Core valuescommon general values shared by a culture
- 35Enculturation Acculturationlearning the beliefs and values of one’s own culture
learning the value system and behaviours of another culture - 36Antecedent statesfactors used to help identify the situation, e.g. situational factors, usage context, time pressure, mood, shopping orientation
- 37Purchase environmentmore specific, rich in detail, e.g. shopping experience, point of purchase stimuli, sales interactions
- 38Post-purchase processesconsumer satisfaction, product disposal, alternative markets
- 39Time povertya feeling of having less time available than what is required to meet the demands of everyday living
- 40Flow timein flow state we become absorbed in activity and notice nothing else, not good time for advertising (e.g. sports, daydreaming)
- 41Queuing theorymathematical study of waiting lines, waiting for new product could reflect good quality, waiting for too long creatives negative feelings
- 42Sensory marketingcompanies pay extra attention to the impact of sensations on our product experience, affects product usage and evaluation
- 43Co-consumerother patrons in a consumer setting
- 44Expectancy disconfirmation modelconsumers form beliefs about the product based on prior experience and/or communications about the product that imply a certain level of quality. Actual satisfaction depends on the degree to which performance is consistent with those expectations
- 45Kano modelapproach to customer satisfaction, operates with three types of expectation (basis, performance and enthusiasm) -> product experience is important for customer satisfaction
- 46Conscientious consumerism LOHASoccurs on personal health margin with a growing interest in global health
Lifestyles of health and sustainability, worry about and environment and want products to be produced in a sustainable way - 47Divestment ritualwhere you dispose empty possession of private meanings to prevent contagion
- 48Sensory systemsproducts and commercial messages often appeal to our senses, but because of profusion of these meanings, most won’t influence us
- 49Haptic sensessenses felt through touch
- 50Phonemesindividual sounds that might be more or less preferred by consumers
- 51Absolute thresholdminimum amount of stimulation a person can detect on any sensory channel, to give product attention it needs to be above this threshold
- 52Differential thresholdability of sensory system to detect changes in or differences between two stimuli
- 53Just noticeable difference (JND)minimum change required in a stimulus that can be detected (e.g. price change)
- 54Subliminal perceptionrefers to stimulus below the level of the consumers awareness, stimulus can be made more prominent through.........
- 55Embedsfigures inserted into magazines advertising by using high speed photography or airbrushing
- 56Subliminal auditory processingsounds, music or voice text inserted into advertising (e.g. John Cleese in Schweppes)
- 57Interpretationmeaning we assign to sensory stimuli, which is based on a schema
- 58Schemaan organised collection of beliefs and feelings represented in a cognitive category
- 59Stimulus Organisation (3 principals)Gestalt Psychology, a school of thought that maintains people derive meaning from the totality of a set of stimuli rather than from an individual stimuli
Principal of Closure: consumers think that incomplete picture is complete (e.g. JB whisky advertisement)
Principle of Similarity: consumers group objects together that share similar characteristics (e.g. firms with extended product line)
Principal of Figure Ground: one part of the stimulus will dominate whilst the others will recede into the background - 60Perceptual Mapwhere brands are perceived in consumers minds, determines how brands are currently perceived to determine future positioning (e.g. Burberry)
- 61Perception selectivityprocess in which people attend only to a small portion of stimuli to which they are exposed
- 62Behavioural learning theoriesassuming learning takes place as a result of responses to external events -> stimulus response connections (i.e. intuition)
- 63Classical conditioningstimulus that elicits response is paired with another stimulus that initially does not elicit a response on its own (e.g. dog with bell and meat)
- 64Stimulus generalisationprocess that occurs when behaviour caused by reaction to one stimulus occurs in the presence of another, similar, stimuli
- 65Stimulus discriminationwhen behaviour caused by two stimuli is different to when consumers learn to differentiate a brand from its competitors
- 66Instrumental conditioning (operant conditioning)individuals learn to inform behaviours that produce positive outcomes and to avoid those that yield negative outcomes (e.g. owner of new shops provides perks to new customers to generate repeat business)
- 67Cognitive theoriesfocus on consumers as problem solvers who learn when they observe (thought through)
- 68Activation models of memoryapproaches to memory stressing different levels of processing that occur to activate some aspects of memory rather than others, depending on the nature of the processing task
- 69State dependent retrievalpeople are better able to access information if their internal states is same as time of recall as it was when the information was learned
- 70Mood congruence effectunderscores desirability of matching consumers mood at the time of purchase when planning exposure to marketing
- 71Familiarity and recallprior familiarity with an item enhances recall
- 72Highlighting effectconsumers learning about brands according to their strength of association between brands and their attributes
- 73Salience recallrefers to brand prominence or level of activation in the memory
- 74von Restorff effectincreased novelty of stimulus improves recall
- 75Starch testscores on familiarity with advertisement (i.e. noted, associated and read most)
- 76Nostalgiabittersweet emotion where we view the past with sadness and longing
- 77Utilitarianused to achieve purpose
- 78Hedonicmore of enjoyment, stimulates senses
- 79Goal valenceencourages consumer to approach positive goal (eat apple as healthy) and avoid negative goal (bad breath)
- 80Drive theorybiological needs that produce unpleasant states of arousal (e.g. hunger)
- 81Expectancy theorybehaviour is pulled by expectation of achieving desirable outcomes (i.e. positive incentives)
- 82Theory of cognitive differences(approach-approach motivational conflict) based on premise that people have a need for order and consistency in their lives and that a state of tension is created when beliefs or behaviours conflict with one another (i.e. live with consequences of choice, reassure it is a good decision)
- 83Maslow's Hierarchy of needsSelf actualisation: showing self fulfillment, enriching experiences (e.g. travel, education)
Ego needs: linking product to success (e.g. credit cards, cars, shoes)
Belongingness: showing acceptance through brands (e.g. brand clothing and deodorant)
Safety: security, shelter, protection (e.g. safe car, security system)
Physiological: water, sleep, food - 84Freudian theory (three states)most human behaviour stems from fundamental conflict between a person's desire to gratify physical needs and necessity to function as responsible member of society
id: almost entirely oriented towards immediate gratification, animalistic instinct, tempted by desires, maximise pleasures -> selfish and illogical
ego: mediates between id and superego, makes compromises, finds way to gratify id in way that is acceptable towards outside world
superego: counteracts id, systems is persons conscience, internalises society rules and prevents id seeking self gratification - 85Personality traitsidentifiable characteristics that define a person
- 86Materialismthe importance people attach to worldly possessions (big 5 neo-Freudian inventory)
- 87Brand personality Brand personification Brand anthropomorphismset of traits people attribute to product as if it were a person
give non-humans human like traits (animism)
given non-humans both human form and human like traits (e.g. Absolut Vodka vs Stoli Vodka, trendy vs traditional) - 88Involvementpersons perceived relevance of an object based on their inherent needs
- 89Inertiaconsumption low end of involvement, decisions made out of habit because lack motivation to consider alternatives (e.g. tissues)
- 90Psychographic studiesuse of psychological, sociological and anthropological factors to determine how the market is segmented by propensity of grounds within the markets - and reasons - to make decision about product, person, ideology or otherwise hold attitude or use a method
- 91Geodemographyusing data on consumer expenditures and other socioeconomic factors with geographic information about the areas people live to identify consumers with similar consumption patterns
- 92ABC Model of attitudesthree components to attitude, emphasises inter-relationships between knowing, feeling and doing
Affect: way consumer feels about objects (e.g. I like Colgate toothpaste)
Behaviour: person intention to do something with regard to an attitude object (e.g. I intend to buy Colgate)
Cognition: beliefs consumer has to attitude object (e.g. Colgate prevents countries - 93Principal of Cognitive Consistencyconsumers value harmony among their thoughts, feelings and behaviours and they are motivated to maintain uniformity
- 94Cognitive dissonancepeople have need for order and consistency in their lives and state of tension created when beliefs or behaviours conflict with one another
- 95Self perception theoryalternative explanation of dissonance effects, assumes people use observations of own behaviour to determine what their attitudes are
- 96Social judgement theoryassume people assimilate new information about attitude objects in light of what they already know and feel
- 97Latitudes of rejection and acceptanceformed around attitude standard, ideas that fall in latitude will be favourably received whilst those falling outside won’t
- 98Balance theoryconsiders relations among elements a person might perceive as belonging together, involves relations between the person and their perceptions, an attitude object and some other person/object -> triad
- 99Elaboration Likelihood Model (ELM)approach that one of two routes to persuasion (central vs peripheral) will be followed, depending on the personal relevance of a message; route taken determines relative importance of message contents vs other characteristics such as source attractiveness
- 100Two factor theoryrepetition as advertising technique, net effect of positive learning factor and negative tedium factors that define that repetition initially is favourable before increased exposure causes advertising fatigue -> varying content of advertisement would be more favourable
- 101Refutational argumentnegative issue raised then dismissed
- 102Discretionary incomethe money available to a household over and above what it requires to have a comfortable standard of living, its an indicator of the propensity/ability of people to spend on consumption goods
- 103Consumer confidencereflects how pessimistic or optimistic people are about the future health of the economy and how they will fare in the future
- 104Behavioural economicshow consumer’s motives and their expectations about the future affect their current spending and how these individual decisions add up to affect a society’s economic welfare
- 105Social stratificationartificial divisions in society, scarce/valuable resources are distributed unequally to status positions
- 106Achieved statusperson receives rewards/status because of his hard work
- 107Ascribed statusinherited money/wealth
- 108‘Nouveau riches’conspicuous consumption, experience anxiety, status symbols purchased
- 109‘Old money’don’t need to prove they have money
- 110Horizontal mobilitymoving from one position to another roughly equivalent social status, eg nurse to teacher
- 111Upward mobilitybecoming better off than your parents - higher social class, eg Cinderella
- 112Downward mobilitybecoming worse off, eg going on unemployment benefits or becoming homeless
- 113Psychological perspectives on selfdefines personality as the combination of the characteristic patterns of thoughts, feelings and behaviours that make an individual's’ distinctive character
- 114Self conceptthe beliefs a person holds about his/her own attributes and how he/she evaluates these qualities
- 115Attribute dimensionscontent (physical attractiveness vs. mental aptitude), positivity (self esteem), intensity, stability over time and accuracy (how self perceptions correspond to reality)
- 116Self esteempositivity of a person’s self concept, often related to acceptance by others
- 117Social comparisonevaluate yourself based on interactions with others, this is increased due to exposure to adverts (artificial images)
- 118Ideal selfour conception of how we would like to be
- 119Actual/real selfour more realistic appraisal of the qualities we have
- 120Impression managementwe work to ‘manage’ what others think of us by using products and services
- 121Self/product congruenceconsumers respond favourably to products/brands that help to improve, enhance or maintain their self-concept
- 122Actual self congruitybrand image matches consumer’s actual self
- 123Ideal self congruitybrand image matches consumer’s ideal self
- 124Social self congruitybrand image matches consumer’s social self
- 125Ideal social self congruitybrand image matches consumer’s ideal social self
Virtual identity - 126Symbolic interactionism:relationship with other people play a large part in forming the self
- 127Looking-glass selftaking the role of others and imagining the reactions of others towards you, take readings of our own identity by ‘bouncing’ signals of others and trying to project what impression they have of us
- 128Self-consciousnessawareness of self
- 129Symbolic self-completion theorypeople who have an incomplete self-definition complete the identity by acquiring and displaying symbols associated with it
- 130The extended selfindividual, family, community and group - possessions are an extension of the self
- 131Ahuvia ‘Beyond the extended self’ (2005) 3 relationships between two identitiesDemarcating - the consumer makes a choice between the two identities
Compromising - where the consumer would try to create an identity that lies somewhere between the two identities
Synthesising: where the consumer seeks to synthesis a new identity which takes on the positive aspects of both identities, but not the negative aspects - 132Agentic rolesmen are expected to be assertive and have certain skills
- 133Communal roleswomen are taught to foster harmonious relationships
- 134Sex-typed traitscharacteristics we stereotypically associate with one gender or another
- 135Sex-type productstake on masculine or feminine attributes (eg Gillette male razor, Venus female razor)
- 136Masculinity three traditional models of masculinitystudy of male images and the complex cultural meaning of masculinity
Breadwinner - respect and achievement vs autonomy, lacks independence, conforms
Rebel - immaturity stigma vs conformity stigma, independent
Man-of-action - synthesises the positives from the other two, but not the negatives - 137Sex-typed peoplestereotypically masculine or feminine - females more sensitive to pieces of information, men consider the overall themes, concern with their behaviour is matching the culture’s definition of gender roles
- 138Sex-typed peoplestereotypically masculine or feminine - females more sensitive to pieces of information, men consider the overall themes, concern with their behaviour is matching the culture’s definition of gender roles
- 139Metrosexualconcerned with appearance, high disposable income
- 140Androgynypossession of both masculine and feminine traits
- 141GLBT consumers characteristicshigh disposable income, likely to have high paid jobs and a second hours, still largely ignored by marketers
- 142Body imagea consumer’s subjective evaluation of his/her physical self, marketing strategies often exploit consumer’s tendencies to distort their body images by preying on insecurities about appearance, creating a gap between real and ideal physical self and consequently the desire to purchase products and services to narrow that gap
- 143Ideals of beautyexemplar of appearance, varies across cultures and over time in the same society, part of beauty seems to be genetic or intrinsic and part appears to be cultural or learned
- 144Body decoration and mutilationseparate group members from non-group, place individual in social organisation, place the person in a gender category, enhance sex-role identification, indicate desired social conduct, indicate high status or rank, provide a sense of security
- 145Occupational prestigestable over time and similar across countries, single best indicator of social class
- 146Incomenot distributed evenly across countries, how money is spent is more influential on class than income, better indicator of class as stable over time, often a result of class, occupation and education, better predictor of major non-status/nonsymbolic expenditures
- 147Social classbetter predictor of lower to moderately priced symbolic purchases
- 148Luxury goodscan be functional, a reward or a luxury
- 149Taste culturesdifferentiate people in terms of their aesthetic and intellectual preferences, largely reflect education and income, e.g. rich people prefer ballet and opera, poor people prefer boxing and wrestling
- 150Economic capitalincome
- 151Social capitalnumber of friends, family and their social class, where they work etc, networks
- 152Cultural capitalset of distinctive and socially rare tastes and practices - opera, pubs, gigs etc, education, manners
- 153Great British Class Survey (8 classes)elite, established middle class, technical middle class, new affluent workers, traditional working class, emergent service workers and precariat/precarious proletariat
- 154Status symbolswhat matters is having more wealth/fame than others
- 155Status-seekingmotivation to obtain products that will let others know you have ‘made it’
- 156Typology of Status Signalling (4 types)Patrician: signal to each other, use quiet signals, high wealth and low need for status
Parvenu: associate with other have and want to disassociate with have-nots, use loud signals, high wealth and high need for status
Proletarian: do not engage in signalling, low wealth and low need for status
Poseur: aspire to be have, mimic the Parvenus, low wealth and high need for status - 157Conspicuous consumptionthe desire to provide the prominent visible evidence of your ability to afford luxury goods, eg private villa, low license plate number
- 158Parody displaydeliberately avoid status-symbols, seek status by mocking it
- 159Microculturesa community of consumers who participate in or otherwise identify with specific art forms, popular culture movements and hobbies, share a strong identification with an activity or art form, have own unique set of norms, vocab and product insignious
- 160Ethnic subculturea self-perpetuating group of consumers who share common cultural or genetic ties where both its members and others recognise it as a distinct category
- 161De-ethnicisationoccurs where a product we associate with a specific ethnic group detaches itself from its roots and appeals to other groups as well
- 162Acculturationoccurs, at least in part, with the influence of acculturation agents - friends, family, organisations, media
- 163Consumer acculturation (Penaloza 1994) (four immigration features culture)Assimilation: immigrants adopt lifestyle of new country, eg products that are identified in mainstream culture
Maintenance: immigrants maintain aspects from home, eg continue to eat ethnic food
Resistance: immigrants resist the new culture
Segregation: immigrants are separated from the residents of country - 1644 acculturation strategies for local majority consumers (Luedicke, 2011)1. multiculturalism strategy - majority citizens embrace the immigrants as enrichments to the social-cultural fabric
2. ‘pressure cooker’ strategy - majority citizens who expect immigrants to abandon their original culture and to assimilate to the local culture
3. ‘segregation strategy’ - majority citizens who, by denying access to the newcomers, leave immigrants no choice but to pursue their original cultures ways at a distance from the mainstream
4. ‘exclusion strategy’ - majority citizens who proactively exclude immigrants from their local area - 165Reference groupsan actual or imaginary individual/group conceived of having significant relevance upon an individual's evaluations, aspirations and behaviour
- 166Informational influence (reference groups)an individual seeks information about brands from experts, friends, neighbours, independent testing agency, based on knowledge, credible sources
- 167Utilitarian influence (reference groups)an individual's decision to purchase a brand is influenced by people who they have social interaction with, family members preferences and their own preferences, complying to the image others expect of you
- 168Value-expressive influence (reference groups)individual feels the purchase will enhance their image to others, make them be admired/respected by others, give them the characteristic they would like to have, notion of ideal self
- 169When are reference groups important? (7 power types)Social power: capacity to alter the actions of others
Referent power: when people imitate the behaviour of a person they admire
Information power: when someone knows something others would like to know, eg websites that evaluate products
Legitimate power: someone is given power due to social agreements, eg police
Expert power: when someone has specific knowledge about a content area
Reward power: when someone can provide positive reinforcement, eg cash reward
Coercive power: influencing a person by social or physical intimidation - 170Membership reference groupspeople the consumer actually knows, advertisers use ‘ordinary people’
- 171Aspirational reference groupspeople the consumer does not know but admires, adverts use celebrity spokespeople
- 172Avoidance groupsmotivation to distance oneself from other people/groups
- 173Anti-brand communitiescoalesce around a celebrity, store or brand, but in this case they’re united by their disdain for it
- 174Deindividuationindividual identities veecome submerged within a group
- 175Social loafingpeople don’t devote as much to as task when their contribution is part of a larger group
- 176Risky shiftgroup members show a greater willingness to consider riskier alternatives following group discussion than if members made their own decisions
- 177Factors influencing conformitycultural pressures, fear of deviance, commitment, group characteristics (unanimity, size, expertise), susceptibility to interpersonal influence
- 178Opinion leadershave influence, experts, technically competent or legitimate power, unbiased evaluation - do not represent the interests of one particular firm, socially active, similar to the consumer, among the first to buy and interested in product category
- 179Market mavenactively involved in transmitting marketplace information of all types, overall knowledge of how and where to get products, good source of information for new products and sales
- 180Surrogate consumermarketing intermediary hired to provide input into purchase decisions however consumer relinquishes control over decision making functions, eg interior designer, wedding planner,
- 181How do we find opinion leaders? (two methods)Self-designating method: ask individual's whether they consider themselves to be opinion leaders, easy to apply to a large group of potential opinion leaders, inflation or unawareness of own importance/influence
Key informant method: key informants identify opinion leaders - 182Word-of-Mouth communicationmore reliable form of marketing, social pressure to conform, influences 2/3rds of all sales, powerful when we are unfamiliar with the product category
- 183Directed learningexisting product knowledge obtained from previous information search or experience of alternatives
- 184Incidental learningmere exposure over time to conditioned stimuli and observations of others
- 185Internal searchscanning our memory bank to assemble information about products
- 186External searchinformation is obtained from adverts, friends, brochures etc
- 187Evoked setcomprises these products already in memory (the retrieval set) plus those prominent in the retail environment
- 188Inept setalternatives the consumer is aware of but would not consider buying
- 189Inert setalternatives not under consideration
- 190Basic level categorywhere items have a lot in common but still a wide range present
- 191Superordinate categorymore abstract
- 192Subordinate categoryincludes individual brands
- 193Heuristicsmental shortcuts, to decrease time and effort to make a decision
- 194Consumer inertiathe tendency to buy a brand out of habit merely because it requires less effort
- 195Brand loyaltyrepeat purchasing behaviour that reflects a conscious decision to continue buying the same brand
- 196Non-compensatory decision rules (define and three rule types)shortcuts to make choices, a products with a low standing on one attribute cannot make up for this position by being better on another attribute
Lexicographic rule: select the brand that is best on the most important attribute
Elimination-by-aspects rules: must have a specific feature to be chosen
Conjunctive rules: minimum cutoffs are established - brand chosen if it meets all the cut-offs - 197Compensatory decision rules (define and two rules)collective decision making, give a product a chance to make up for its shortcomings
Simple additive rule: choose the alternative with the most positive attributes (even though some maybe be meaningless/unimportant)
Weighted additive rule: consumer takes into account the relative importance of positively rates attributes - 198Extended problem solvingdecision is related to the person’s self concept and the outcome has a high degree of risk/unfamiliar product that carries risk
- 199Sandwich generationadults who care (financial and practical care) for their parents as well as their own children
- 200Boomerang kidsadult children who return to live with their parents
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- Definitions for Consumer Behaviour
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