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Summary Industrial Psychology 224 Chapter 1-15

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Thorough summaries of all chapters discussed in class, excl. chapter 13 (not discussed)

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September 12, 2022
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Number of pages
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2022/2023
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,Table of Contents
Chapter 1: Consumer Behaviour: Meeting Changes and Challenges ................................... 4
Business orientation ................................................................................................................... 4
Marketing concept ..................................................................................................................... 4
Customer relationships............................................................................................................... 4
Chapter 2: The Consumer Research Process ....................................................................... 5
Consumer research ..................................................................................................................... 5
Data collection methods ............................................................................................................. 5
Customer satisfaction measurements ......................................................................................... 5
Chapter 3: Market Segmentation and Strategic Targeting ................................................. 5
Effective targeting ...................................................................................................................... 6
Consumer segmentation bases ................................................................................................... 6
Consumption segmentation bases .............................................................................................. 6
Targeting and marketing ............................................................................................................ 6
Chapter 4: Consumer Motivation ....................................................................................... 6
Needs ......................................................................................................................................... 7
McClelland’s Trio of Needs ........................................................................................................................... 7
Murray’s Psychogenic Needs ....................................................................................................................... 7
Maslow’s Hierarchy of Needs ....................................................................................................................... 7
Goals and motivation ................................................................................................................. 8
Measurement of motives ........................................................................................................... 8
Chapter 5: Personality and Consumer Behaviour ............................................................... 9
Personality ................................................................................................................................. 9
Personality theories ..................................................................................................................................... 9
Consumer innovativeness ........................................................................................................... 9
Scales of measurement ................................................................................................................................ 9
Consumer behaviour .................................................................................................................. 9
Chapter 6: Consumer Perception...................................................................................... 10
Perception ................................................................................................................................ 10
Chapter 7: Consumer Learning ......................................................................................... 11
Behavioural learning ................................................................................................................ 11
Cognitive learning .................................................................................................................... 11
Brand loyalty ............................................................................................................................ 12
Types of brand loyalty ................................................................................................................................ 12

Chapter 8: Consumer Attitudes ........................................................................................ 12
Attitudes .................................................................................................................................. 12
Attitude formation issues ......................................................................................................... 13

, Strategies of attitude change .................................................................................................... 13
Behaviour and attitude............................................................................................................. 14
Chapter 9: Communication and Consumer Behaviour ...................................................... 14
Communication model ............................................................................................................. 14
Chapter 10: The Family and its Social Class Standing ....................................................... 16
Types of families ...................................................................................................................... 16
Changing South African families ............................................................................................... 16
Functions of family ................................................................................................................... 16
Family decisions making ........................................................................................................... 17
Family life cycle ........................................................................................................................ 17
Non-traditional life cycle ............................................................................................................................ 17

Chapter 11: The Influence of Culture on Consumer Behaviour .......................................... 18
Culture ..................................................................................................................................... 18
Chapter 12: Sub-Cultures and Consumer Behaviour ......................................................... 18
Subcultures .............................................................................................................................. 18
Chapter 14: Consumer and The Diffusion of Innovations .................................................. 19
Diffusion of innovations ........................................................................................................... 19
Adopter categories ..................................................................................................................................... 20
Adoption process ..................................................................................................................... 20
Chapter 15: Consumer Decision Making........................................................................... 20
Consumer decision making ....................................................................................................... 20
Levels .......................................................................................................................................................... 20
Views .......................................................................................................................................................... 20
Process ....................................................................................................................................................... 21
Post-purchase evaluation ........................................................................................................................... 21

, Chapter 1: Consumer Behaviour: Meeting Changes and Challenges

Consumer behaviour: behaviour that consumers display in searching for, purchasing, using,
evaluating, and disposing of products and services that they expect will satisfy their needs

Personal consumer: buys things for own use, for household or for a friend

Organizational consumer: business, institution or government agency that buys things for the
organization

Business orientation

1. Production orientation: focus on production capabilities, demand > supply

2. Sales orientation: focus on selling, supply > demand

3. Marketing concept: focus on customer needs and aim to satisfy better than
competitors

Societal marketing: what’s good for society over the long term e.g. Environment and charities

Marketing concept

1. Consumer research: study consumer behaviour
2. Segmentation: dividing the market into smaller sections with similar needs or
characteristics
3. Target marketing: select segments to pursue
4. Positioning: develop an image for the product by communicating its benefits and
unique qualities

Marketing mix (4 P’s): product, price, place, promotion

Customer relationships

Customer value: ratio between customer benefits and resources used
Customer satisfaction: how product performs relative to customers' expectations

*Customer groups based on loyalty: loyalists, apostles, defectors, terrorists, hostages and
mercenaries

Customer trust: helps long-term relationships
Customer retention: keeping customers by means of loyalty programmes etc.
- They buy more
- Less price sensitive
- Cheaper than finding new customers

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