Question | Answer |
Consumer Behaviior | the behavor that consumers display in searching for, purchasing, using, evaluating, and, disposing, of products and services that they expect will satisfy their needs. |
The individual who buys goods and services for his or her own use, for household use, for the use of a family member, or for a friend. | personal consumer |
a business gov. agency, or other institution (profit or noprofit) that buys, the goods, services, and\or equipment necessary for the orrrrganization to function. | organizational consumer |
assumes that to be successful, a company must determine the needs and wants wants of specific target markets & deliver the desireeeed satisfactions better than the competition
* make what you can sell
* focus on buyer'S NEEDS | the marketing concept |
* the process & tools used to study consumer behavor
* two perspectives:
* positivist approach
* interpretivist approach | consumer research |
process of dividing the market into subsets of consumers with common needs of characteristics | segmentation |
the selection of one or mmmore of the segments to pursue | targeting |
- deleveloping a distinct image for the product in the mind of the consumer.
- successful...........
* communcating the benefits of the product
* communicating a unique selling proposition | positioning |
marketing mix | product, price, place, promotion |
successful relationships | customer value
customer retention
customer satisfaction |
defined as the ratio between the customer's perceived benefits & the resources used to obtain those benefits (costs)
-perceived value is relative & subjective by produuuuct/person
-delevoping a value proposition is critical | customer value |
the individual's perception of the performance of the product or service in relation to his or her expectations. must manage! wow customer
- customers identified based on loyalty include loyalists, aposttties, defectors, terrorists, hostages, and merrrrc | customer satisfaction |
obj. of providing value is to retain highly satisfied customers.
-loyal customers are key
* they buy more products/deepen CR
* they are less price sensitive
* they pay less attention to competitors' adv.
* servicing them is cheaper
* SPRE | customer retention |
trackss costs & revenues of individual consumers, categ. them into their based on consumption behavior, cust. pyramid groups customers into 4 tiers | customer profitability-foccused marketing |
-make only what you can sell instead of trying to sel what you make ; don't focus on the product; focus on the need that it satisfies; market products & services that match customers' needs better than competitors offerings | traditional marketing concept |
use tech. that enables customers to customize what you make; focus on the products's perceived value, as well as the need that it satisfies; utilize an understanding of customer needs to develop offering that customers perceive as more valuable than compe | value & retention focused marketing |
consumers have more power & access to info. computers smart phones; marketers can gather more info. about consumers; markets must offer more products and services | impact of digital technologies |
marketers adhere to principles of social responsibility in the marketing of their goods & services; that is, they mustt endeavor to satisfy the needs & wants of their target markets in ways that preserve & enhance the wellbeing of consumers & society as a | societal marketing concept |
Consists of depth interviews, focus groups, metaphor analysis, collage research, and projective techniques.
Administered by highly trained interviewer-analysts.
Findings tend to be subjective.
Small sample sizes. | Qualitative Research |
Descriptive in nature.
Enables marketers to “predict” consumer behavior (positivism).
Research methods include experiments, survey techniques, and observation.
Findings are descriptive, empirical, and can be generalized to larger populations. | Quantitative Research |
Defining purposes and objectives helps ensure an appropriate research design.
A statement of objectives helps to define the type and level of information needed. | Developing Research Objectives |
Data that has been collected for reasons other than the specific research project at hand
Includes internal and external data | Secondary Data |
Data generated in-house
May include analysis of customer files
Useful for calculating customer lifetime value | Secondary Data ; Internal Data |
Data collected by an outside organization
Includes federal government, periodicals, newspapers, books, search engines
Commercial data is also available from market research firms | Secondary Data ; External Data |
Include research design, data collection methods, instruments to be used, and the sample design | Quantitative Research Designs |
Include depth interviews, focus groups, projective techniques, and metaphor analysis | Qualitative Research Designs |
Helps marketers gain an in-depth understanding of the relationship between people and products by watching them buying and using products
Helps researchers gain a better understanding of what the product symbolizes | Data Collection MethodsObservational Research |
it collects the appropriate data for the study. | validity |
if the same questions, asked of a similar sample, produce the same findings. | reliability |
The process of dividing a potential market into distinct subsets of consumers and selecting one or more segments as a target market to be reached with a distinct marketing mix | Market Segmentation |
Phase 3
Product/Brand Positioning
Phase 2
Target Market and Marketing Mix Selection
Phase 1
Market Segmentation | Three Phases of Marketing Strategy |
Discover the needs and wants of groups of consumers to develop specialized products to satisfy group needs
Used to identify the most appropriate media for advertising | Segmentation Studies |
Region
City Size
Density of area
Climate | Geographic Segmentation |
Age
Sex
Marital status
Income
Education
Occupation | Demographic Segmentation |
Needs-motivation
Personality
Attitudes | Psychological Segmentation |
Lifestyle) Segmentation | Psychographic |
Cultures
Religion | Sociocultural Segmentation |
Usage rate
Awareness status
Brand loyalty | Use-Related Segmentation |
Time
Location
Person | Use-Situation Segmentation |
Demographic/
Psychographics | Hybrid Segmentation |