Psychology of Consumer Behavior - Test 2 PDF

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Study notes for Test 2. Includes Modules 5-9: The Self, Personality & Lifestyles, Attitudes & Attitude Change, Individual Decision Making, Purchasing, and Post Evaluation....

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Test 2 – Psychology of Consumer Behaviour 1. The Self Concept, The actual self, the ideal self, the looking glass self, the extended self Self concept: The self concept is the attitude people hold towards themselves Actual Self: The actual self is a person's realistic appraisal of their own qualities . This is what we really are in an honest reflection. Sometimes the actual self is referred to as the private self. Ideal self: The ideal self is a person's conception of how they would like to be, partially based on elements of a person's culture. Looking glass self: The looking-glass self is the process of imagining the reaction of others towards oneself. It is what you think others think about you. Extended self: the self created by the external objects which one surrounds oneself with. Four levels of Extended Self 1. Individual level: personal possessions; jewelry, car, clothes 2. Family level: residence, furnishings house as body for family 3. Community level: in terms of your neighbourhood, town, city, 4. Group Level; social groups, landmarks, monuments, sports teams

Social comparison theory: the idea that we determine our own social and personal worth based on how we measure up compared to others. 2. What type of appeal could a marketer use if you have a large gap between your actual self and your ideal self? Fantasy appeal might be effective if someone is not happy about themselves.

3. Understand the Symbolic Self Completion Theory - how do we use products in this theory? People will acquire and display symbols that are related to what they perceive as their ideal self. The symbolic self-completion theory is the perspective that people who have an incomplete selfdefinition in some context will compensate by acquiring symbols associated with their desired social identity. People will purchase products to help them feel more complete. Marketers show how their products will make them feel complete.

4. What is body image? The subjective picture or mental image of one’s own body.

5. Self Image Congruence Model Products will be chosen when their attributes match some aspect of the self.

6. What is symbolic Interaction? Stress that relationships with others play a role in forming the self. Meaning is attached to symbols. Meaning is attached to our possessions.

7. What is Personality? The qualities and traits that define the character or behavior of a specific person. 8. Freud- Id -Ego-Superego- the Reality Principle Id – when we are born, we are under the control of ID. It doesn’t care about reality; it wants what it wants. Ego- the system that mediates between id and superego. As we age, we realize we have to find a socially acceptable way of getting what we want. Superego – often it is thought of as our conscience dictating what is right and wrong. 9. What is brand equity? The extent to which a consumer holds a strong favourable and unique association with the brand.

10. How do psychologists evaluate personality? By looking at what traits people report or demonstrate, but also, they look at the context of the behaviour. Marketers want to segment consumers as far as activities, tastes, and lifestyles (psychographics).

11. What is lifestyle? A set of shared values or tastes exhibited by a group of consumers especially as these are reflected in consumption patterns. 12. What does a lifestyle appeal focus on in an ad? They want people to associate their brand to a certain lifestyle. They try to sell an image and identity, rather than a product.

13. What are demographics? Psychographics? A.I.O.s? VALS? Demographics: the observable measurements of a population’s characteristics, such as birthrate, age distribution and income.

Psychographics: the use of psychological, sociological, and anthropological factors to construct market segments. A.I.O.s: activities, interests, and opinions that are used to group consumers. VALS: (values and lifestyles survey) – a psychographic segmentation system to categorize consumers into clusters.

14. How do situational factors relate to our buying? Physical factors, social factors, time factors, the reason for the buyer’s purchase, and the buyer’s mood.

15. What is the 80/20 Rule? Rule that says about 20% of consumers in a product category account for 80% of sales.

16. What is Geographic Segmentation? Analytical techniques that combine data on consumer expenditures and other socioeconomic factors with geographic information on areas where people live.

17. What is an attitude? An attitude is a lasting, general evaluation of people (including oneself), objects, or issues.

18. What is the Functional Theory of Attitudes? They facilitate social behaviour and are determined by person’s motives. As we know, consumers can have different reasons for having the same attitude.

19. What is value-expressive and ego-defensive relating to the Functional Theory of Attitudes? Value-expressive function of attitude: a person forms a product attitude not because of its objective benefits, but because of what it says about him/her. Ego-defensive function of attitude: when an attitude formed to protect consumers from external or internal threats or insecurities.

20. What is the ABC Model of Attitudes? What does each letter stand for?

Most researchers agree an attitude has three parts: affect, behaviour, and cognition. This model focuses on the relationship between knowing, feeling, and doing. Affect – the way a consumer feels about an attitude object. It includes the emotion or opinion. Behaviour – a consumer’s actions with regards to an attitude object. Cognition – the beliefs or knowledge a consumer has about an attitude object.

21. What is involvement? High involvement – the consumer accumulates knowledge of a product and forms beliefs. Low involvement – situation occurs when a consumer does not have a strong preference for a brand. Buys the product and then has a feeling about it afterwards. Habitual Decision Making is just buying the same brand over and over without consideration of any alternatives. There is very low involvement. This category includes two types: those who are brand loyal and then those who buy out of brand inertia. Someone who is brand loyal doesn't consider any alternatives; while a person who buys out of inertia repeatedly has no particular commitment to the brand. Inertia is buying out of habit but without commitment. Limited Decision Making is the middle point between habitual and extended decision making. It involves recognition of a problem and several solutions but the decision making is limited. The search will be internal (what a person knows or feels) and limited external search. Simple decision rules (Heuristics) may be followed and the decision will be based on a few attributes. There would be limited post evaluation after the purchase. Extended Decision Making occurs as a result of high involvement and involves extensive internal and external search. Following the search there will complex evaluation on multiple alternatives. The choice may involve emotions and/or rational thinking. After the decision there may be a thorough post purchase evaluation.

22. What does it mean when you say a value is internalized? Occurs when there are high level, deep seated attitudes internalized and part of a person’s value system. Brand or product becomes a close part of the person’s identity.

23. What is cognitive Dissonance? The theory that when a person is confronted with inconsistencies among attitudes or behaviours, they will take some action to resolve the dissonance by changing an attitude or behaviour.

24. What is a multi-attribute model and what are the factors that are important? Multi-Attribute Attitude Models are used to measure a consumer's overall attitude.

These are models that assume a consumer's idea of an attitude object depends on beliefs about several or many attributes of the object. The use of a multi-attribute model implies that an attitude towards a product or brand can be predicted by identifying specific beliefs and combining them to derive a measure of the consumer's overall attitude. Elements: Attributes-Characteristics. The assumption is these can be identified. Beliefs-Cognitions about an object. The extent that a brand has particular attribute. Importance weight-priority of attribute. These vary across consumers.

25. What do source attractiveness and credibility mean? Source attractiveness: the source’s perceived social value – physical appearance, personality, social status, and similarity to receiver. Source credibility: a communications source’s perceived expertise, objectivity or trustworthiness.

26. What is the halo effect? When a person is rated highly on one feature, it is assumed they have other positive features. Example: attractive person is also assumed to be smart and nice.

27. Understand the differences between these types of appeals- humour, fear, sex and also rational and emotional Humour: an appeal that is connected in a positive funny way with a brand to appeal to the specific target group without being offensive to the intended group. Fear: an attempt to change attitudes or behaviour through use of threats or be heightening of negative consequences of noncompliance with a request. Ex: cigarette packaging. Fear too great leads to denial. Fear is most effective when it is at a moderate level and when a solution is given. Sex: the connection between the product and sexual appeal is clear so the product is remembered. Rational: a decision-making process that is based on making choices that result in the optimal level of benefit or utility for an individual Emotional: a feeling associated with physical and psychological changes that influence our behavior

28. What is the Elaboration Likelihood Model- what makes something high or low? The approach that there are one of two routes to persuasion – a central route (for high involvement rational purchases) or a peripheral route (low involvement) where the cues surround the message.

29. What is the mere exposure effect? It describes our tendency to develop preferences for things simply because we are familiar with them. For this reason, it is also known as the familiarity principle

30. What is rational decision making, extended decision making? Rational decision making: a careful analytical decision maker who takes his time, is logical, and thinks things out using objective data and careful analysis. Extended decision making: consumer tries to gain as much information as possible from both internal and external sources.

31. What is problem recognition? When the buyer becomes aware of a difference between desired state and actual state.

32. What's the difference between primary and secondary demand? Primary demand: establishes a new category of product. Marketing has to establish a strong reason why people need this type of product. Secondary demand: means that there is already a category of products when a company promotes an alternative to what is already out there. Encourages the consumer to prefer a specific product within the already established category.

33. How does risk affect the amount of search you do when buying? If there is risk involved in a decision and little knowledge, mor effort will be taken to make a decision.

34. What are Heuristics? The mental rules that lead to a speedy decision. An adjective for experience-based techniques that help in problem solving, learning, and discovery. A ‘rule of thumb’.

35. What are- Inertia? Brand loyalty? Inertia: a person who buys something repeatedly has no particular commitment to the brand buy buys out of habit without commitment. Brand loyalty: a favourable attitude towards a consistent purchase of a single brand over time.

36. What is an antecedent state and how does it affect your buying? The conditions prior to a purchase. We can be predisposed to buy or predisposed not the buy depending on the situation and personal feelings.

37. Understand these types of consumers- ethical, economic, apathetic. Ethical: likes to help the underdog. They like to follow certain ethical beliefs like to shop local, buy green, buy organic, support Canadian products, only buy products not tested on animals, etc. Economic: rational and goal-oriented. They want value for their money. They could be coupon users, sales hunters, dollar store patrons, or points collectors. Apathetic: hates shopping. Sees the whole process as a necessary and unpleasant chore.

38. What is fast fashion and what are some of the implications of it? It is clothing that is inspired by designs worn by celebrities or models on the runways, manufactured quickly and cheaply to get to market to meet the demands of quickly changing trends. Key Concerns     

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The clothing industry is the second-highest polluter of clean water. Retailers of fast fashion dump toxic chemicals into clean water supplies because clothing production is a land- and water-intensive industry. (Institute of Sustainable Communication) Many fast-fashion retailers outsource production to developing countries where resources and labor are cheap, Workers where fashions are made work in dangerous environments, human rights abuse and often do not make a living wage (40 million garment workers around the world 85% are women) Outsourcing is to countries that depend on coal power, a bad-carbon footprint. fashions created from polyester derived from fossil fuels (contributes to global warming and sheds microfibers during washing adding to plastic levels in oceans) Textile Waste in Landfills because it is cheap it ends up thrown out

39. What is exchange theory? Every interaction involves an exchange of value. It states that people do decision making using a cost benefit analysis. Stages in decision making: Stage 1 – problem recognition/need Stage 2 – information search Stage 3 – evaluation of alternatives Stage 4 – product choice/decision

Stage 5 – consumption and learning/post purchase evaluation

Quiz 5 Question 1 A large gap between your actual self and your ideal self means you could be affected by this type of appeal Answer: fantasy

Question 2 ________________is the subjective picture or mental image of one's own body Answer: body image

Question 3 Jerome is a fan of the Calgary Stampeders. This attachment helps to define his extended self. Answer: true

Question 4

Self-image congruence models predict that products will be chosen when their attributes match some aspect of the self. Answer: true Question 5 According to the _________ perspective, each person potentially has many social selves. Who we are or which self we activate is continually evolving as we respond to new people and situations? Answer: symbolic interactionist

Question 6 Simply put, the _________ includes those objects that we consider to be a part of who we are. Answer: extended self

Question 7 A person's conception of an "ideal self" is molded in part by seeing people in ads who seem successful or attractive. Answer: true

Question 8 By acting the way, we assume others expect us to act, we often wind up making these perceptions really happen, in a form of: Answer: self-fulfilling prophecy

Question 9 Femvertising is Answer: the trend to market to women with an appeal to female empowerment

Question 10 The positivity of one's attitude towards oneself is called ___________________; marketing can alter by triggering social comparison Answer: self esteem

Question 11 The phrase, "You are what you consume," recognizes that products do more than influence the perceptions of others about who we are. They also: Answer: help us determine our own sense of self as well

Question 12 The idea that we see ourselves as incomplete and believe that we can complete ourselves by buying products is called Answer: symbolic self-completion theory

Question 13 As consumers try to match to an ideal, much effort is put into altering the body; diets, surgery, clothing. All these alterations involve spending money, usually buying something, or buying into something Answer: true

Question 14 Sara Lee discovered that people who preferred portion-controlled snack items measured high in selfesteem: they felt they were in control over what they ate. Answer: false

Question 15 The attitude a person holds towards her/himself; the beliefs about your own attributes; composed of many attributes; can be distorted. This is a definition of Answer: self-concept

Question 16 In regard to gender roles: Unlike maleness and femaleness masculinity and femininity are not biologic

Answer: true

Question 17 Symbolic interactionism stresses that people are influenced by the interpretations of meaning shared by others in a symbolic environment. Answer: true

Question 18 A metrosexual is defined as a man tough on the inside but soft around the edges: He loves designer clothes, but is comfortable competing in sports Answer: true

Question 19 The tendency for us to behave as we perceive others expect of us is called self-image congruency. Answer: false

Question 20 The four levels of the extended self are: Answer: community, family, individual, group

Quiz 6 Question 1 Trait scales were specifically developed to measure gross overall tendencies in the individual rather than for making predictions about brand purchases. Answer: true

Question 2 Lifestyle is a statement about who one is in society and who one is not. Answer: true

Question 3 The letters of VALS stand for: Answer: values and lifestyles

Question 4 _________ describes a consistent pattern whereby consumers buy the same brand just about every time they go to the store, out of habit, merely because it takes less effort. Answer: inertia

Question 5 The use of in-depth interviews is typical of which kind of consumer research: Answer: motivational research

Question 6 Today most applications of Freudian theory in marketing are related to: Answer: the sexuality of products

Question 7 Beverly is a stockbroker, who benefited from the period when tech stocks were high; and she likes change in her life and the finer things. According to the VALS type: Answer: innovator

Question 8 The three Freudian systems are the: Answer: id, ego, superego

Question 9 In Freudian theory, the _________ is that part of the mind guided by the primary desire to maximize pleasure. Answer: id

Question 10 Geodemography is the study of how the thermal patterns of the jet stream can be linked to the need for seasonal products like snow ski equipment. Answers: false

Question 11 The storehouse of memories that we come into the world with is called the:

Answers: collective unconscious Question 12 Erin likes to be self-sufficient. He grows his own vegetables, mows his own lawn, paints his house and does his own repairs. According to the VALS typology he can fit into in which of the following groups: Answer: makers

Question 13 _________________________is the attribution of uniquely human characteristics to non-human creatures and beings, natural and supernatural phenomena, material states and objects or abstract concepts. Answer: anthropomorphism

Question 14 The "20-80 rule," as the term generally is used in marketing research, means: Answer: about 20 percent of a product's users account for 80 percent of the volume sold

Question 15 Personality refers to a person's unique psychological makeup, thought by some consistently to influence the way a person behaves. Answer: true

Question 16 When people research personality, they primarily look at _____________________. Answer: traits