Test 3 prep

Test 3 prep

1. Outlet Selection and Purchase

   • Fourth Stage of consumer decision making process
     • Problem recognition
       • info search
         • evaluation and selection
           • STORE CHOICE AND PURCHASE
             • post purchase activities
   • Stages of consumer shopping
     • Prepare to shop
     • transportation to store
     • enter store
     • move through store
     • Check out
     • Go home, unload, store stuff
     • inventory replenishment
     • shopping influenced by HH: social networks, HH finances, consumption habits etc
     • PERSONAL MOTIVES FOR SHOPPING
       • Role playing, diversion, self gratification, learning new trends, physical activity, sensory stimulation
     • SOCIAL MOTIVES FOR SHOPPING
       • social experiences outside the home
         • communication with others who share one's interest
           • peer group attraction
             • status and authority
               • pleasure of bargaining
   • PHYSICAL SHOPPING ENVIRONMENT
     • Ambient factors
     • Design factors
     • Social factors
   • Retail Price Positioning Strategies
     • Gen. pricing strategies
       • Penetration: low price/high volume Skimming: high price/low volume
     • Supermarket pricing strategies
       • Every Day Low Prices (EDLP): lower avge price, lower variability in pricing Promotional pricing (HILO) high avge price, more variability in pricing
   • Store layout
     • Grid
     • Spine
     • Loop/Racetrack
     • Free form
   • Retail Anthropology
     • Sacrifice display space for customer comfort
     • store entry is a transition zone
     • product placement should be convenient
     • custs dont like to be jostled/brushed against
     • interception rate linked to avge sale
     • waiting time decreases satisfaction
     • mangers over estimate conversion rate
   • Brand 1st, retailer 2nd
     • brand orientated ads, manufacturer distributes selectively
   • Retailer 1st, brand 2nd
     • retailer ads, manufacturer distributes in key retailers
   • Retail Attraction/Gravity
     • custs trade-off distance vs assortment of store/mall
     • different for high cost/risk goods

2. Expectancy disconfirmation

   • where cust expectations fall above or below the reality

3. Age, Coherts, Families, HH's

   • Coherts created by:
     • Formative events
     • demographic shifts
     • economic shifts
   • Young coherts
     • Gen X and Y and millennials
   • Mature Coherts
     • Baby boomers, WW2 and post war
   • Trends affecting HH structure
     • delayed marriage, cohabitation w/out marriage, same sex couples, dual career families, rising cost of housing
   • FLC spending: impulsive, long term, on children, on holidays, on medication
     • young singles, newly married, full nest I-III, empty nest I-II, solitary survivor
     • Limitations
       • FLC doesn't cover remarriage, divorce, individual differences
   • Buying centre roles
     • initiator, gatekeeper, influencer, decider, buyer, user

4. Lvls of mental programming

   • personality, culture (learned), human nature (inherited)

5. Hofstedes custural dimensions

   • power distance
   • uncertainty avoidance
   • Individualism
   • Masculinity
   • long term orientation
   • Indulgence
   • Inglehart - Welzel values
     • Traditional vs secular-rational
       • reject divorce, abortion etc.
       • divorce, abortion, suicide
     • Survivalist vs self expression
       • economic and physical security, low trust
       • tolerant of religion,gender equality, sexual expression

6. Monochronic cultures

   • Polychronic cultures
     • doing many things at once
     • long term relationships
     • changing plans often and easily
   • one thing at a time
   • short term relationships
   • committed to tasks

7. Models of acculturation

   • progressive learning
   • U curve, W curve
   • situational ethnicity

8. Localisation vs standardisation