Consumer Behaviour Chapter 9: Consumer Intentions, Attitudes, Beliefs, and Feelings

Consumer Behavior Chapter 9: Consumer Intentions, Attitudes, Beliefs, and Feelings

Consumer intention

It is indicator will bring effect to company marketing activities. It is useful when predict consumer act. It may also provide information for market to retain their consumer. For example, let marketer to know how much demand wills there be for a new product?

How can firm predict behaviour

1)      Purchase intention is mean what consumer will think to buy

2)      Shopping intention is mean where consumer intend to buy the product

3)      Spending intention is mean how much consumer will spend

4)      Search intention is mean the consumer intend to search information

5)      Consumption intention is mean engage in particular consumption activity.

Consumer Behaviors Chapter 8: Consumer Motivation and Knowledge

Consumer Behaviors Chapter 8: Consumer Motivation and Knowledge

Consumer motivation

It is mean the drive to satisfy both physiological and psychological needs through buying the good and service. It shows what people buying.

Type of consumer needs

Physiological need: It is the most basic consumer needs. For example water and drink. That is why there are many food industry and beverage in today’s world that can help to satisfy the basic need. Beside food and drink, the sleep is also one of our basic needs. So, it helps to increase the demand for the bed, mattress and pillow industry.Sex also the one of our basic need, this also help to increase the sales for Viagra and condom.

Safety and health needs

Threat to our safety such as natural disaster, criminal, territories and disease. This creates the need for the home security alarm and personal protect device. Also, computer virus will also post the threat to our computer. That increase the demand for the antivirus software industry.

(Consumer Behavior) Chapter 7: Demographics, Psychographics, and Personality

(Consumer Behavior) Chapter 7: Demographics, Psychographics, and Personality

Demographic

Demographic is the size, structure and distribution of population. Marketer use demographic analysis as market segmentation description and analysis the trend. Also, it can used to predict consumer demand for specific product.

For marketer the not only need to know consumer mind and they need to know consumer’s consumer mind too. The reason is because the industry demand is come from the consumer demand. For example, a company who are the chicken seller, they provide the chicken to a chicken rice stall owner. Then they need not only concern about the demand for the chicken rice stall owner, it need also concern the demand from the end user which is the consumer who purchase the chicken rice. The reason is because if the demand for the chicken rice changes, it will directly affect the sale for the chicken rice stall, which indirectly affect the demand for company who sell the chicken.

Economic resource

Income is defines as money come from wage, salaries, welfare and interest. Income will determined what consumer will think will happen in future and their confident. Consumer confident then will determine how much debt consumer willing to carry.

A retailer is trying to decide what level of purchase restriction it should impose during its upcoming sale of a particular product. One school of thought is that a severe restriction should be imposed of limiting shoppers' purchases to one unit per customer. A very different approach would be to set the restriction to a much higher level, such as 10 units per customer. How might the relative effectiveness of these two different levels of restriction depend on the product being promoted?

A retailer is trying to decide what level of purchase restriction it should impose during its upcoming sale of a particular product.  One school of thought is that a severe restriction should be imposed of limiting shoppers' purchases to one unit per customer.  A very different approach would be to set the restriction to a much higher level, such as 10 units per customer.  How might the relative effectiveness of these two different levels of restriction depend on the product being promoted? 

The level of consumer involvement in product that are being promote will lead to company to used either limited severe restriction that should be imposed of limiting shoppers’ to purchase to one units per customer or to set the restriction a much higher level , such as 10 units per customer. Normally, company who sell high involvement product such as luxury product, they will set the level of purchase restriction to be one units per customer during the upcoming sale of the product. The reason company set the level of purchase restriction in this way is because they want  consumer feel the product is scarce and  this will make people have more exclusive feeling that motivate them to buy the product . Also, cost of production on the entire luxury product is usually very high toward company. So, if company set the restriction to much higher level, and reduce much of the price, this will increase the consumer demand for the product during the sales promotion. Even thought, this can stimulus the sales but actually the company does not earn any profit or even loss. This will then make the sales promotion become ineffectiveness.

In an effort to enhance its product's appeal to younger consumers, a company replaces the celebrity used for many years as its product endorser with a much younger celebrity. To its surprise, product sales actually declined after the change was made. Why might this have happened? In an effort to enhance its product's appeal to younger consumers, a company replaces the celebrity used for many years as its product endorser with a much younger celebrity. To its surprise, product sales actually declined after the change was made. Why might this have happened?

In an effort to enhance its product's appeal to younger consumers, a company replaces the celebrity used for many years as its product endorser with a much younger celebrity.  To its surprise, product sales actually declined after the change was made.  Why might this have happened?

Sometimes, changing the celebrity on the advertisement will lead to product sales to be reduced instead increase. There is several reasons to prove why it is so. Firstly, most of the young consumer does not wish to change and they hardly accept company use the new celebrity as the product endorser. Some young consumer may have already loyal toward the celebrity that is used by many years and the change may lead to reduce consumer loyalty toward the products.

In additional, younger celebrity may have less famous or popularity than the celebrity who used for many years as its product endorser .Therefore,those celebrity that was used for many years have stronger influence than those young celebrities. Therefore, if now  using the young celebrity , they may not have the power to influence the young customer to listen or follow what they said. In the end , they are hardly help company to promote their product toward those young customer and also pass the production information toward customer. Therefore, it will reason why it will reduce the sales after company replace the celebrity that is used for many year with a much younger celebrity.

Moreover, using young celebrity as a product endorser does not really will help to enhance the product appeal to young customers. Sometime, company may used the young celebrities that is distasteful by the young customers , this will lead to negative impact toward company instead of benefit. For example, 20% people agree  out of 716281 opinions they hate Justin Bieber, so if any company who used Justin Bieber as their product endorser, those group of people who hate Justin Bieber will then pass the negative attitude from him toward the company brand and and stop purchase the company product.In the end, product sales actually declined after the change was made.      

Following the recommendation of its advertising agency, a company modified its current advertising campaign to include a famous celebrity as a way of enticing consumers to pay attention. Yet market research has challenged the wisdom of doing this because its advertising became less, not more, effective. Why might this result have happened?

Following the recommendation of its advertising agency, a company modified its current advertising campaign to include a famous celebrity as a way of enticing consumers to pay attention.  Yet market research has challenged the wisdom of doing this because its advertising became less, not more, effective.  Why might this result have happened?

One of the promotional tool that company can use to help them promote their product is using celebrity in their advertisement campaign.It is effective as increase help consumer maintain existing consumer or expand to gather more customer in the market and increase company sales. However, it soed not mean using celebrity in their advertisement campaign is always effective , sometime it can make the advertisement become less , not more, effective because of using celebrity.The several reason that is shown below.

First of all, using celebrity in the advertisement will carry the additional risk of being so attention-getting that people forget to focus on the message of the ad itself. Celebrity having very powerful attention-getting device may negatively impact on consumers' ability to process the claims of the ad. For instance, if a person's thoughts are focused on a celebrity or attractive endorser, there may be no more short-term memory capacity left to scrutinize the ad claim. Therefore, they will neglect the main objective of company want to promote the product.

Futhermore,a consumer may find the celebrity endorser or other attention-getting device distasteful, leading to negative affect being transferred to the brand. For example,if  a company use a celebrity  that are distasteful to the people as their spokeperson or in the advertisement , most of people will ignored or not pay any attention toward the advertisement that related to the celebrity. Overall, this lead to the advertisement becomes less effective.

Moreover, celebrities who having scandal around them and is used by the company in the advertisement will make the advertisement became less effective. Consumer will having negative attitude toward the celebrity and this will then pass to the brand too. So, they may not even want to pay any attention toward the advertisement. Take the example of Wayne Rooney; his sex-filled tryst with nightclub prostitutes did not do any good to any of his current and prospective endorsements. Therefore, for those people who feel Wayne Ronney is bad, they will then not pay any attention toward the advertisement that is related to him. This will then directly affect the company sales.

Lastly, the celebrity that are used in the advertisement is does not have any linkage. Therefore, even you can remember the celebrity but you are hardly having a image association toward the product advertisement. For example, Michael Jordan is a sportperson celebrity and is used in a facial advertisement.This seem no linkage ,so even people can remember Micheal Jordan but they are hardly build the link it toward the facial advertisement. This is explain why  sometime it will be ineffective to use a celebrity in the company advertisement campaign.   

After learning about the potential benefits of including retrieval cues on a product's packaging for stimulating memory of its advertising, a company modified its packaging to include a scene from one of its current commercials. To its dismay, doing this didn't seem to help much because sales were unaffected. How might one explain the apparent ineffectiveness of this retrieval cue?

After learning about the potential benefits of including retrieval cues on a product's packaging for stimulating memory of its advertising, a company modified its packaging to include a scene from one of its current commercials.  To its dismay, doing this didn't seem to help much because sales were unaffected.  How might one explain the apparent ineffectiveness of this retrieval cue?

Normally, people see the advertisement, they will store it in either their short term or long term memory .But, due to decay theory, and memories on the advertisement grow weaker with the passage of time. For company then have to think of several strategies to help consumer to retrieve the advertisement memory from their long term memory. One of the strategies is to use the power of packaging.A successful packaging will help consumer to increase their strength of linkages between the to-be-remembered item and other memory nodes such as advertisement information. However, not all the packaging can effectively stimulate the memory of the advertisement  from it memory.There are several reason state below.

Firstly,the picture or art-work that is used in the packaging are just normal appeal and it does not really touch people attention. Something unattractive will not grab the attention of many as they pass by. Furthermore, the packaging does not have any strong image associated with the current commercial. Therefore, even if consumer can remember the picture or art-work but they hardly link to the current commercial that is done by the company. So, they are hardly retrieving their memory of the advertisement. In the end, they will not consumer the product.

Next,using a wrong colour for the packaging. Dull colour will often lead to the packaging become unattractive toward s consumer. If the packaging is not using any eye-catching colour, it will hardly get consumer attention toward the product. Less attractive colour will lead to consumer ignore the product or not even retrieve the memory of the advertisement?

Lastly,packaging is not unique and very common. Therefore, people hardly getting any attention toward the product. They may just see the product but will not really have any impressive over the product or packaging. In addition, some packaging is ugly and it is distasteful toward most of the consumer, therefore they will try to avoid or do not want to see the product due to the packaging. Overall, less memory toward the product packaging will then  hardly have the image association toward  the current advertisement.    

In conclusion, attractive and unique packaging will usually grab more customer attention and higher chance for people to strengthen the image association toward the advertisement. Therefore, it can effectively help consumer to retrieve the information of the advertisement from their long term memory.

An ad to illustrate “classical conditioning"

An ad to illustrate "classical conditioning"

Heineken used young bikini girl on their advertisement is because they want to change the neutral stimulus of Heineken beer to become conditioned stimulus toward man and help man to create conditioned respond toward Heineken beer.Man is doing not have any weird respond toward Heineken beer, this show neutral stimulus. So, when Heineken is shown to man, they do not have any special respond towards it. A young girl who wear bikini is shown on Heineken advertisement is then introduce to human as a new stimulus which is known as unconditioned stimulus. Man natural respond to the sight of young bikini girl, they will feel sexual excitement, horny and the surge of desire. This reaction is known as natural, innate, automatic, not taught or conditioned and man respond is called unconditioned respond. Next, the advertisement present both young bikini girl and Heineken beer toward man. Man will feel sexual excitement, horny not because of the Heineken beer, which is neutral stimulus, but because of the bikini girl, the unconditioned stimulus.If man keep repeating see the advertisement , they will be conditioned to respond to the Heineken beer.In the end, man will feel sexual excitement and horny when see the Heineken beer even in the absence of the bikini girl.This respond now has been conditioned.It is now a conditioned respond , Heineken beer become conditioned stimulus.Overall, by using  young bikini girl on the Heineken advertisement, it can grab more people attention and increase the brand awareness in their memory.

Put consumers in a good mood” to shape consumers positive processing of products (Ad)

Put consumers in a good mood” to shape consumers positive processing of products (Ad)

Coca-cola polar bear is known to be coca-cola mascot and it is often used in much coca-cola advertisement .Coca-cola have using polar bear in this advertisement for promote their product is because they want to put consumer in the good mood to increase consumer favourable toward their products. In this advertisement, a group of polar bear they are crowded around either drinking or holding the Coca-cola. There are just like human in this advertisement and look cute, mischievous, playful, and filled with fun. Most of the people , especially children who view this advertisement will find it cute and having  a positive mood state.Also,while view those polar bear act like human drink and enjoy the Coca-cola, consumer normally will feel humour , funny and increase their favourite mood state. Once consumer is at their favourite mood state, they will be more, receptive to listen and pay more attention to what the advertisement trying to said. In addition, happy consumer will have greater chance to form favourable product opinion. Good feelings enhance persuasion partly by enhancing positive thinking. In a good mood, people view the world through rose-coloured glasses. They also make faster, more impulsive decisions, they rely less on systematic thinking, but more on heuristic cues.In the end, it can increase purchase on Coca-cola and help Coca-cola generate more sales and profit.

An a using “Isolation” technique to grab consumers attention (1 ad)

An a using “Isolation” technique to grab consumers attention (1 ad)

Isolation technique is a promotional tool that marketer using few stimulus in the advertisement to help them to promote their product. By using isolation technique Consumer can easily understand what is the meaning in this advertisement and store in their memory. From the figure 1.4, it shows a lot of ‘Z’ and in the end it turns in to ‘N’ which is the first letter of Nescafe. The symbol “Zzz” is used to represent the sleepy and sound of a person snoring. So, by using a lot of “Zzz” , this advertisement is trying to show that when a person is feeling sleepy , Nescafe can help to change a sleepy guy to a normal awake person. Form this advertisement, Nestle is just using 3 words to stimulus in the advertisement to help them promote their Nescafe. This is simple yet can  grab consumer attention effectively.A lot of ‘Z’ is used in the advertisement and no other complicate word, image in the advertisement, so consumer will not feel distraction and then pay more attention toward the advertisement. Also, this advertisement can help consumer to build a strong image association, for instance when they think of ‘Zzz’ , they will link to Nescafe, and this will make people more easily to recall back the information of this advertisement.

http://dictionary.reference.com/browse/ZZZ

An ad to illustrate curbing of negative “word of mouth communication” in promoting a product

  An ad to illustrate curbing of negative “word of mouth communication” in promoting a product

The failure of RJ Reynolds’ (RJR) 1988 “smokeless” cigarette, Premier, was in part due to widespread bad word of mouth about the product’s flavour, quality and difficulty of use. In 1994 RJR introduced an updated version of Premier, the ostensibly “reduced risk” Eclipse cigarette. To curb the Negative word of mouth that is, RJR then develop this advertisement to limited the negative word of mouth. The advertisement print reads, “Be one of the first in Lincoln to discover what 80% less second-hand smoke and virtually no lingering odor can mean to you” (emphasis in original). This directly educates the customer the benefit of this is new cigarettes.

Convince consumers that currently do not own life insurance that they should have a life insurance policy, and encouraging existing policyholders with inadequate levels of coverage to increase their coverage. Which stage of the decision-making process is most relevant here? How would you proceed in deciding what the company should do?

   Convince consumers that currently do not own life insurance that they should have a life insurance policy, and encouraging existing policyholders with inadequate levels of coverage to increase their coverage.  Which stage of the decision-making process is most relevant here?  How would you proceed in deciding what the company should do?   

   It is advisable for the people to buy insurance as it provides protection against unfortunate events in life such as illness, accident, disability or death thus ensuring family and beloved are well protected. (Protection 2009)

The company should posses of different package of insurance to segment to market due to the needs of individual thru demographic analysis. The demographics analysis is further segment to age structure of markets. It is important for the company to understand customers’ lifecycle stage and their age to target on their customer.

Select a high involvement and a low involvement product being marketed or promoted on the web. How do the websites differ? Specifically, are their differences in (i) the amount of information offered? (ii) The types of information

Select a high involvement and a low involvement product being marketed or promoted on the web. How do the websites differ? Specifically, are their differences in (i) the amount of information offered? (ii) The types of information

Apple official website has provided enormous and specific information of Mac Book Pro. Apple offered customer information about Mac book pro feature. This include it is the battery life, graphic, running application speed and wireless built in. Furthermore, Apple provides information about Mac Book Pro technical specifications. For example, its size and the weight, processor and memory and builds in camera. Moreover, it also provides the Mac Book Pro design information and explains them in detail. For instance, explain the design of multi-touch track pad, the story behind each part of Mac book pro. Most importantly, other than showing only Mac book pro price, Apple has also provide other Mac book price.

Mac book pro is consider high involvement product which mean people do not always buying this kind of product and need a lot of information before making their decision. Therefore, Apple has offered all the specific detail that customer need it to decide well on which Mac book they want to buy. In addition, most of the people do not buy this kind of product frequently because it is costly. So, by offering the price there enable consumer to check whether it is within their budget.

Convince consumers that currently do not own life insurance that they should have a life insurance policy, and (2) encouraging existing policyholders with inadequate levels of coverage to increase their coverage. Which stage of the decision-making process is most relevant here? How would you proceed in deciding what the company should do? (1) convince consumers that currently do not own life insurance that they should have a life insurance policy, and (2) encouraging existing policyholders with inadequate levels of coverage to increase their coverage. Which stage of the decision-making process is most relevant here? How would you proceed in deciding what the company should do?

Convince consumers that currently do not own life insurance that they should have a life insurance policy, and  encouraging existing policyholders with inadequate levels of coverage to increase their coverage.  Which stage of the decision-making process is most relevant here?  How would you proceed in deciding what the company should do?

Need recognition is used to answers this question. Customers who currently do not have a life insurance policy are simply because they do not recognise there is the need of it. So, why people do not buy life insurance?

Firstly, people think life insurance is costly. For example, most of the youth, especially those who just enter the society, earn less income. Due to lack of financial strength, so they are hardly to afford to buy a life insurance. Another example is a low income earner who has a family to take care. Worst, if there have an old man in the family; there will have more expense to pay such as medical fees. So, they do not have extra money to buy life insurance.