* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
Download Contemporary Advertising
Brand loyalty wikipedia , lookup
Product lifecycle wikipedia , lookup
Multi-level marketing wikipedia , lookup
Marketing research wikipedia , lookup
Ambush marketing wikipedia , lookup
Food marketing wikipedia , lookup
Guerrilla marketing wikipedia , lookup
Digital marketing wikipedia , lookup
Viral marketing wikipedia , lookup
Marketing plan wikipedia , lookup
Target audience wikipedia , lookup
Marketing communications wikipedia , lookup
Bayesian inference in marketing wikipedia , lookup
Neuromarketing wikipedia , lookup
Marketing mix modeling wikipedia , lookup
Street marketing wikipedia , lookup
Product planning wikipedia , lookup
Marketing strategy wikipedia , lookup
Direct marketing wikipedia , lookup
Youth marketing wikipedia , lookup
Target market wikipedia , lookup
Green marketing wikipedia , lookup
Multicultural marketing wikipedia , lookup
Elaboration likelihood model wikipedia , lookup
Marketing channel wikipedia , lookup
Integrated marketing communications wikipedia , lookup
Advertising campaign wikipedia , lookup
Consumer behaviour wikipedia , lookup
Global marketing wikipedia , lookup
McGraw-Hill/Irwin © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Chapter 5 Marketing and Consumer Behavior: The Foundations of Advertising The importance of the marketing process in business and the role of advertising and other communications tools Insert Range Rover ad Here (p. 143) Objectives Define marketing Explain the role ads play in marketing Discuss product utility and its relation to consumer needs Explain the relationship of utility and needs Identify key participants in marketing Outline the consumer perception process Explain why “perception is everything” Describe the fundamental motives behind purchases Discuss influences on consumer behavior Explain cognitive dissonance The relationship of Marketing to Advertising Marketing Create exchanges that satisfy the perceived needs, wants, and objectives of individuals and organizations The Relationship of Marketing to Advertising Marketing Conception Pricing Promotion Advertising Distribution Customer Needs and Product Utility Utility The product’s ability to satisfy both functional needs and symbolic (psychological) wants perception, Exchanges Perception, Exchanges, and satisfaction Satisfaction Marketing facilitates exchanges by: Exchanges Any transaction in which the a person or organization trades something of value with someone else perception, Exchanges Perception, Exchanges, and satisfaction Satisfaction Exchanges Marketing facilitates exchanges by: Developing goods and services Pricing them affordably Distributing them Informing us about them perception, Exchanges Perception, Exchanges, and satisfaction Satisfaction Perception . . . is everything! Seller provided information can help buyers to perceive a purchase is an equalvalue exchange perception, Exchanges Perception, Exchanges, and satisfaction Satisfaction Perception Marketing is concerned with two perceptions: The customer’s perception of the product or service The seller’s perception of the customer’s needs, wants, and objectives perception, Exchanges perception, Exchanges, and satisfaction satisfaction Satisfaction Must occur every time a product is used Leads to more exchanges perception, Exchanges perception, Exchanges, and satisfaction satisfaction Satisfaction Advertising reinforces satisfaction By reminding consumers why they bought the product By helping them defend the purchase to others By enabling them to convince other prospects to buy Key Participants in the Marketing Process Customers Centers of Influence Prospective Customers Current customers Key Participants in the Marketing Process Customers ReIndustrial seller Business Government Global Consumer Markets Markets Markets markets Key Participants in the Marketing Process Government Consumer Business Global Markets markets Markets Customers Marketers Consumer Behavior: The Key to Advertising Strategy Consumer Behavior Mental and emotional processes and activities of people who produce goods and services to satisfy needs and wants The Consumer Decision Process: An Overview Personal Learning and Processes Perception Motivation persuasion Interpersonal Society Culture Family Influences Nonpersonal Influences The Consumer Decision Process: An Overview Personal Processes Interpersonal Influences Nonpersonal Place Time Environment Influences The Consumer Decision Process: An Overview Interpersonal Influences Steps in the decision process Personal Processes Nonpersonal Influences Needs Wants 1. Problem recognition 2. Information search 3. Evaluation and selection 4. Store choice and purchase 5. Postpurchase behavior The Consumer Perception Process Physical data (stimuli) Ad/commercial Promotion News item Product/store Price tag Conversion Physiological Psychological screens (sensory) screens (emotional) Sight Hearing Touch Taste Smell Personality Self-concept Attitudes Beliefs Habits Mental files (memory) Awareness Nonawareness Feedback •Information •Needs •Wants Theories of Learning Learning Cognitive Theory Conditioning Theory Mental process of memory, thinking, problem solving Relevant Trial-and-error process to how we Relevant to basic, learn from others simple, everyday and evaluate purchases complex purchases Persuasion: Elaboration Likelihood Model (ELM) Exposure to the persuasive communication (AD) Is involvement with the product or message high? Attention Comprehension Focus on “central” Product-related information Deeper thoughts about product attributes and consequences More elaboration Central Route Processing IF YES Persuasion Product beliefs Brand attitude Purchase intention Elaboration Likelihood Model Exposure to the persuasive communication (AD) Attention Focus on “peripheral” nonproduct information Is involvement with the product or message high? Peripheral Route Processing IF NO Comprehension Persuasion •Shallow thoughts about nonproduct information •Low elaboration •Nonproduct beliefs •Attitude toward ad •Brand attitude •Purchase intention Learning Leads to habit Produces attitude Learning Produces brand interest Leads to brand loyalty Defines needs and wants Learning Consumer Motivation Process Motivation Underlying force that contributes to our purchasing actions. Stems from . . . Needs Wants Maslow’s Heirarchy of Needs Golf lessons Luxury car Pendant Tires Breakfast cereal Self-actualization Esteem Social Safety Physiological Motives Negatively oriented motives Positively oriented motives Problem removal Problem avoidance Sensory gratification Intellectual stimulation Social approval Informational Motives Transformational Motives Interpersonal influences Family Society Social Classes Interpersonal Influences Reference Groups Opinion Leaders Nonpersonal influences Time Nonpersonal Influences Place Environment Purchase Decision and Postpurchase Evaluation She is thinking about buying a CD player Meet Chris! Purchase Decision and Postpurchase Evaluation Chris considers an evoked set •Sony •Panasonic •Pioneer Purchase Decision and Postpurchase Evaluation These brands satisfied her evaluative criteria •High quality •Durable •Skip resistant Purchase Decision and Postpurchase Evaluation After choosing a CD player, Chris begins postpurchase evaluation Will my friends like it? Was it worth the money? Purchase Decision and Postpurchase Evaluation To deal with conflicted feelings about her purchase, Chris may try to reduce cognitive dissonance It’s a great player I love looking at ads for it!