Consumer behavior

Cover......Page 1
Copyright......Page 5
Dedication......Page 6
Brief Contents......Page 8
Contents......Page 10
Preface......Page 22
Credits Page......Page 30
 1. Technology-Driven Consumer Behavior......Page 31
  The Marketing Concept......Page 32
   Market Segmentation, Targeting, and Positioning......Page 33
   Socially Responsible Marketing......Page 34
   Consumers Have Embraced Technology......Page 36
   Interactive and Novel Communication Channels......Page 38
   Better Prices and Distribution......Page 41
   Customer Retention......Page 42
   Technology and Customer Relationships......Page 43
   Emotional Bonds versus Transaction-Based Relationships......Page 45
   Customer Loyalty and Profitability......Page 46
    Indian Cultural Canvas and Its Linkages to Brands......Page 48
    Unique Marketing Challenges in the Indian Context......Page 49
   The Structure of This Book......Page 50
  Summary......Page 51
  Review and Discussion Questions......Page 52
  Key Terms......Page 53
 2. Segmentation, Targeting, and Positioning......Page 55
   Stable and Growing......Page 57
   Reachable......Page 58
   Applying the Criteria......Page 59
   Demographics......Page 60
    Gender......Page 61
    Families and Households......Page 63
   Geodemographics......Page 64
   Psychographics, Values and Lifestyles......Page 66
   Benefit Segmentation......Page 69
   Usage Rate Segmentation......Page 71
  Behavioral Targeting......Page 73
   The Information “Arms Race”......Page 74
  Positioning and Repositioning......Page 76
   Umbrella Positioning......Page 77
   Key Attribute......Page 78
   Un-Owned Position......Page 79
   Repositioning......Page 80
   Perceptual Mapping......Page 81
  Summary......Page 82
  Review and Discussion Questions......Page 83
  Key Terms......Page 84
  Case One: Porsche......Page 85
 3. Consumer Motivation and Personality......Page 87
   Needs......Page 90
   Need Arousal......Page 91
   Selecting Goals......Page 92
    Frustration and Defense Mechanisms......Page 93
   Maslow’s Hierarchy of Needs......Page 95
    Physiological Needs......Page 96
    Marketing Applications of Maslow’s Theory......Page 97
    Power......Page 98
  The Measurement of Motives......Page 99
   Motivational Research......Page 100
  The Nature and Theories of Personality......Page 102
    Freudian Theory......Page 103
    Trait Theory......Page 105
   Consumer Innovators and Innovativeness......Page 106
   Need for Uniqueness......Page 107
   Optimum Stimulation Level......Page 108
   Variety and Novelty Seeking......Page 109
   Need for Cognition......Page 110
   Visualizers versus Verbalizers......Page 111
   Consumer Materialism......Page 112
   Compulsive Consumption......Page 113
   Consumer Ethnocentrism......Page 114
   Personality and Color......Page 115
  Product and Brand Personification......Page 117
   Product Personality and Gender......Page 119
  The Self and Self-Image......Page 120
   The Extended Self......Page 121
   Altering the Self......Page 122
  Summary......Page 124
  Review and Discussion Questions......Page 125
  Key Terms......Page 126
 4. Consumer Perception......Page 127
  The Elements of Perception......Page 128
   Sensory Input......Page 130
   The Absolute Threshold......Page 132
    The JND’s Implications for Product Pricing and Improvement......Page 133
    The JND’S Implications for Logos and Packaging......Page 134
   Subliminal Perception......Page 135
   Expectations......Page 136
   Selective Perception......Page 138
   Figure and Ground......Page 139
    Obscuring the Distinction Between Figure and Ground......Page 140
   Grouping......Page 141
   Closure......Page 142
  Perceptual Interpretation: Stereotyping......Page 143
   Physical Appearance......Page 144
   Halo Effect......Page 146
   Traditional and Emerging Stereotypes in Indian Advertising......Page 147
    Timely Repositioning......Page 149
   Brand Image......Page 151
   Service Image......Page 154
   Perceived Price......Page 155
   Product Quality......Page 156
   Service Quality......Page 157
   Price/Quality Relationship......Page 158
   Store Image and Perceived Quality......Page 159
   Manufacturer’s Image and Perceived Quality......Page 160
   Perceived Risk Varies......Page 161
  Summary......Page 163
  Key Terms......Page 164
 5. Consumer Learning......Page 167
   Cues......Page 169
   Reinforcement......Page 170
  Classical Conditioning......Page 171
   Classical Conditioning in the Indian Context......Page 172
   The Role of Repetition......Page 174
    Product Line Extensions......Page 176
    Licensing......Page 177
  Instrumental Conditioning......Page 178
   Reinforcing Behavior......Page 180
   Shaping......Page 181
  Observational Learning......Page 182
  Information Processing......Page 183
    Long-Term Store......Page 184
   Information Retention and Retrieval......Page 186
  Cognitive Learning......Page 187
   Strategic Applications of Consumer Involvement......Page 189
   Passive Learning......Page 190
   Recognition and Recall Measures......Page 191
   Brand Equity......Page 192
  Summary......Page 193
  Key Terms......Page 194
 6. Consumer Attitude Formation and Change......Page 197
   Consumers Learn Attitudes......Page 199
   Attitude Formation Toward Product Categories/Brands......Page 200
   Attitudes Are Consistent with Behaviors......Page 201
   Attitudes Occur within Situations......Page 202
   The Affective Component......Page 203
   The Conative Component......Page 205
    Changing Beliefs about Competing Brands......Page 207
  Multi-attribute Attitude Models......Page 208
   Attitude-toward-object Model......Page 209
    Adding an Attribute......Page 210
    Developing New Products......Page 211
   Attitude-toward-behavior Model......Page 212
   Theory of Reasoned Action......Page 213
   Attitude-toward-the-ad Model......Page 215
   The Utilitarian Function......Page 217
   The Value-expressive Function......Page 218
   Associating Brands with Worthy Objects or Causes......Page 219
  The Elaboration Likelihood Model......Page 220
   The Ideal Point Model (Ipm)......Page 221
  Cognitive Dissonance and Resolving Conflicting Attitudes......Page 222
   Self-perception Attributions......Page 224
   Foot-in-the-door Technique......Page 225
   Analyzing Self-attributions......Page 226
  Summary......Page 227
  Key Terms......Page 228
  Case Two: Procter & Gamble......Page 229
  Case Three: Lifebuoy/Unilever Asia Private Limited......Page 231
 7. Persuading Consumers......Page 233
  The Communication Process......Page 235
   Selective Exposure......Page 236
   Psychological Noise......Page 237
   Addressable Advertising......Page 238
   Images and Text......Page 240
   Message Framing......Page 241
   Order Effects......Page 242
   Comparative Advertising......Page 243
   Fear Appeals......Page 244
   Humorous Appeals......Page 245
   Humor in Advertising: The Indian Way......Page 246
   Sexual Appeals......Page 247
   Timeliness Appeal......Page 248
  Measures of Message Effectiveness......Page 249
   Indian Brands and Stereotyping of Women......Page 251
   Brand Communication, Brand Relationships, and Lifestyle Appeals......Page 252
  Summary......Page 253
  Hands-on Assignments......Page 254
  Key Terms......Page 255
  Targeting Segments versus Eyeballs......Page 257
   The Advantages of Impression-Based Targeting......Page 258
  Google’s Consumer Tracking and Targeting......Page 260
   Permissions to Collect Personal and Social Information......Page 261
   Social Advertising’s Best Practices......Page 262
  Consumers and Mobile Advertising......Page 265
   The Advantages and Shortcomings of Mobile Advertising......Page 266
  Measuring Media’s Advertising Effectiveness......Page 267
   Google Analytics......Page 268
  Traditional Media’s Electronic Evolution......Page 269
   Newspapers and Magazines......Page 270
   Television and Radio......Page 271
   Branded Entertainment......Page 272
   More Applications of Social Media in Consumer Behavior......Page 273
  Summary......Page 276
  Review and Discussion Questions......Page 277
  Key Terms......Page 278
 9. Reference Groups and Word-of-Mouth......Page 279
   Types of Reference Groups......Page 281
    Friendship Groups......Page 282
    Virtual Communities......Page 283
    Conformity......Page 284
    Product Conspicuousness......Page 286
  Credibility of Spokespersons, Endorsers, and Other Formal Sources......Page 288
   Celebrities......Page 289
   Medium Credibility......Page 291
   Celebrity Appeals in the Indian Context......Page 292
  Word-of-Mouth and Opinion Leadership......Page 293
   Characteristics of Opinion Leaders......Page 294
    Sociometric Method......Page 295
   Social Networks......Page 296
   Weblogs......Page 297
   Viral Marketing......Page 298
   Managing Negative Rumors......Page 299
   Innovators......Page 300
   Laggards......Page 301
  Summary......Page 302
  Hands-on Assignments......Page 303
  Case Four: Keystone Light/MillerCoors......Page 304
 10. The Family and Its Social Standing......Page 307
  The Family as a Socialization Agent......Page 308
   Parental Styles and Consumer Socialization......Page 310
   Consumer Socialization Is Learning......Page 311
   Adult and Intergenerational Consumer Socialization......Page 312
    Emotional Support......Page 313
  Family Decision-making and Consumption-related Roles......Page 314
   Husband–Wife Decision-making......Page 315
   Children Are Three Markets......Page 316
   Measuring Family Decision-making......Page 317
   Family Members’ Roles......Page 318
   Bachelorhood......Page 319
   Parenthood......Page 320
   Summary of the Family Life Cycle......Page 322
  Nontraditional Families and Non-family Households......Page 323
   Consumer Behavior of Nontraditional Families and Households......Page 324
   Advertising to Nontraditional Households......Page 325
  Social Standing and Consumer Behavior......Page 326
   Subjective versus Objective Measures......Page 327
   Occupation......Page 328
   Education......Page 329
   Income......Page 330
   Multivariable Measures......Page 332
   Upward Mobility......Page 333
   Middle-class Consumers......Page 336
   Clothing, Fashion, and Shopping......Page 338
   Downward Mobility......Page 339
  Summary......Page 340
  Review and Discussion Questions......Page 341
  Key Terms......Page 342
 11. Culture’s Influence on Consumer Behavior......Page 343
   Culture’s Continuous Evolution......Page 345
   Cultural Beliefs Reflect Consumers’ Needs......Page 347
   Symbolism in the Indian Cultural Context......Page 348
   Marketing Influences on Cultural Learning......Page 349
   Rituals......Page 350
  Measuring Cultural Values......Page 352
   Field Observation......Page 353
    Gordon’s Surveys of Personal and Interpersonal Values......Page 354
   Family Orientation......Page 355
   Shopping as a Ritual......Page 356
    Achievement Orientation......Page 357
    Middle-of-the-Road Approach to Tradition......Page 358
    Use of Hi-Tech Products......Page 359
   The Indian Context......Page 360
    Hamam (Soap)......Page 361
    Colgate (Toothpaste)......Page 362
    Parry’s (Sugar)......Page 363
   Adapting IMC to Emerging Markets......Page 364
  Summary......Page 365
  Hands-on Assignments......Page 366
  Key Terms......Page 367
 12. Cross-Cultural Consumer Behavior: An International Perspective......Page 369
  Cross-Cultural Analysis and Acculturation......Page 371
   Measures of Cross-Cultural Aspects......Page 373
   Consumer Research Difficulties......Page 374
   Product and Service Customization for Local Cultures......Page 375
   Promotional Appeals......Page 376
   World Brands versus Local Brands......Page 377
   Brand Shares and Extensions......Page 381
  Global Marketing Opportunities......Page 383
   Spending Power and Consumption Patterns......Page 384
   The Global Teen Market......Page 387
  Cross-Cultural Segmentation......Page 388
   Global Desi: International Brands and India......Page 389
  Summary......Page 390
  Hands-on Assignments......Page 391
  Case Five: LG Mobile/LG Electronics MobileComm USA......Page 392
 13. Consumer Decision-Making and Diffusion of Innovations......Page 395
   Decision-Making: Input......Page 396
    Pre-Purchase Search......Page 398
    Online versus Traditional Information Search......Page 399
    How Does the CDM Process of the Model Work?......Page 400
    Brand-Sets and Attributes Considered During Evaluation......Page 402
    Consumer Decision Rules......Page 403
    Incomplete Information and Noncomparable Alternatives......Page 404
   Decision-Making: Output......Page 405
  Consumer Gifting Behavior......Page 406
   Brand Equity and Consumer Decision-Making Process: Emerging Markets......Page 410
  Diffusion and Adoption of Innovations......Page 412
   The Meaning of “New” Products......Page 413
   Product Features That Affect Adoption......Page 414
   Diffusion of Innovation in the Indian context......Page 417
  Summary......Page 419
  Key Terms......Page 420
 14. Marketing Ethics and Social Responsibility......Page 423
  The Societal Marketing Concept: Utopia or Reality?......Page 424
   Self-regulation versus Laws......Page 427
   Inspiring Overeating and Irresponsible Spending......Page 430
   Manipulative or Uninformative Nutritional Labeling......Page 431
   Direct-to-consumer Pharmaceutical Advertising......Page 432
   Covert Marketing......Page 433
   False or Misleading Advertising......Page 434
   What Is “Deceptive”?......Page 435
  Provocative Marketing......Page 436
  Abusing Consumers’ Privacy......Page 438
   Advocating Beneficial and Discouraging Detrimental Conduct......Page 439
   Cause-related Marketing......Page 441
   Consumer Ethics......Page 442
  Summary......Page 444
  Review and Discussion Questions......Page 445
  Key Terms......Page 446
 15. Consumer Research......Page 447
    Government Secondary Data......Page 450
  Designing Primary Research......Page 451
    Depth Interviews......Page 452
    Focus Groups......Page 453
    Projective Techniques......Page 455
   The Scope of Quantitative Research......Page 457
    Observational Research......Page 458
    Survey Research......Page 459
   Quantitative Research Data Collection Instruments......Page 460
    Attitude Scales......Page 461
    Sampling and Data Collection......Page 465
  Combining Qualitative and Quantitative Research......Page 466
  Himalaya Face Wash: Brand Associations and Lifestyles......Page 468
    Clean & Clear......Page 469
   The Challenge for Himalaya......Page 470
  Review and Discussion Questions......Page 475
  Key Terms......Page 476
  Case Six: Pima Air and Space Museum......Page 477
Endnotes......Page 480
Glossary......Page 510
Subject Index......Page 532