Consumer Behavior and Analysis Final Essays
Questions and Answers High Distinction Level
2023
Discuss the two levels and the two dimensions of the environment. Provide examples of each. - -
2 Levels:
1) Macro: large-scale, environmental factors
-economic conditions
- politics
-landscape
2) Micro: social aspects and immediate surroundings.
-people in your family
- a particular salesperson
- a clean store
2 Dimensions
1) Social Environment: social interactions
-two types of social interaction:
-direct social interaction: someone talking to a sales-representative about which shirt they like
better.
-vicarious social interaction: observing what shirts other customers are buying.
2) Physical Environment: non-human, physical aspects where human behavior occurs.
3 major environment factors
1) Time
-Consumer behavior is often influence by time. For example, a consumer may not purchase
anything before 8 if their favorite stores don't open before that time.
2) Weather
-A consumer may be less likely to go out and shop if the weather is too hot or too cold
3) Lighting
- can change a consumers mood, behavior, or anxiety level.
-Discuss the five generic consumer situations and provide examples of each. For each, identify
uncontrollable and controllable factors that should be considered in the development of
marketing strategies. - -1) Information Acquisition
- consumers gain information
,- The two main information acquisitions
1) Information contact is when consumer see something like a billboard while driving on the
highway (uncontrollable)
2) Communication would be a consumer asking a sales-representative about a product
(controllable)
2) Shopping
- consumer comes in contact with a store/product
- social, physical, and spacial elements
- very incontrollable factor in marketing
3) Purchase Situations
- funds transferred and a consumer receives product
- consumer going to a check out line at a grocery store
-marketer can control ease and availability of purchase
4) Consumption
- use of a product/service
- consumption is when they drink soda
- no control over the consumption
-Dentists and hair-stylists have control
(on their premises)
5) Disposal
- consumer disposes product or product package
- no control when the disposal is done away from premise
-If a consumer is throwing away package in grocery store, marketer could encourage the
consumer recycles by providing different trash bins. This is an example of a controllable factor.
-Use the Wheel of Consumer Analysis to describe how affect and cognition and behaviors
interact with environmental factors in an automatic-purchase situation. - -The Wheel of
Consumer Analysis
3 parts
1) Consumer Behavior
2) Consumer Environment
3) Consumer Affect and Cognition
(all parts form circle and affect each other: interrelated)
-An automatic-purchase situation occurs when a purchase is made extremely convenient for the
consumer.
(This can be influenced by all 3 parts)
EXAMPLE:
-perfect purchase situation is when all factors work together harmoniously
- if a consumer is in a good mood, has lots of energy, and it's a beautiful day out, and a farmer's
market is very close by, they will be more likely to go shop and purchase there.
, -Another example would be a consumer who wants to go get a hair cut. If the consumer didn't
want to go out in the rain and they could only pay with a credit card, the perfect situation would
start off with a nice, sunny day. Anther factor would be a close-by beauty salon that accepts
credit. The consumer may also feel insecure about their current hair style, leading to a higher
likelihood of getting a haircut. If all these factors come together, an automatic-purchase situation
is more likely to occur.
-How can marketers use situational analysis to segment markets? Identify product categories
where the approach has been used to the advantage of the marketing organization. - --Situation
can be defined as a goal-directed behavior and the environment where that behavior occurs.
-Situational analysis can also be used to segment markets.
-many consumer-behavior situations are common and reoccurring, a marketer can use this
information to create groups or segments of consumers.
-An example would be a group of consumers living in a rural part of town. Since the consumers
live far from the city, they tend to order more products online. A marketer could determine this
group of consumers due to their physical situation. A marketer could then target this group by
emailing coupons for their online store to this particular area. This would encourage more online
ordering.
-One other example would be when a marketer changes a product to best fit the situation of a
particular market segment. For example, in very cold areas, a restaurant many change their menu
to offer more hot drinks. In this situation, a company is changing their product to best fit the
physical environment or, more specifically, the weather.
-Explain how disposition situations are of interest to marketers. - --Disposition situation is when
the key area of interest is the disposal of product
- recycling and a green way of thinking has been becoming more and more important to people -
disposition situations are becoming more important in marketing.
-Some people merely throw away products, some give old products to charity. Due to cost
consciousness and concern for the natural environment, more recycling of waste has been taking
place in areas such as the US.
-Marketers can help cater to this new trend a few ways.
1) Businesses such as fast-food restaurants can offer recycling bins for waste.
2) Companies with highly packaged products can start using recyclable materials.
3) A marketer could highly advertise that their products are recyclable and green. Eco-friendly
consumers will be more likely to buy their products and will be more likely to spend higher
amounts on the products.
Questions and Answers High Distinction Level
2023
Discuss the two levels and the two dimensions of the environment. Provide examples of each. - -
2 Levels:
1) Macro: large-scale, environmental factors
-economic conditions
- politics
-landscape
2) Micro: social aspects and immediate surroundings.
-people in your family
- a particular salesperson
- a clean store
2 Dimensions
1) Social Environment: social interactions
-two types of social interaction:
-direct social interaction: someone talking to a sales-representative about which shirt they like
better.
-vicarious social interaction: observing what shirts other customers are buying.
2) Physical Environment: non-human, physical aspects where human behavior occurs.
3 major environment factors
1) Time
-Consumer behavior is often influence by time. For example, a consumer may not purchase
anything before 8 if their favorite stores don't open before that time.
2) Weather
-A consumer may be less likely to go out and shop if the weather is too hot or too cold
3) Lighting
- can change a consumers mood, behavior, or anxiety level.
-Discuss the five generic consumer situations and provide examples of each. For each, identify
uncontrollable and controllable factors that should be considered in the development of
marketing strategies. - -1) Information Acquisition
- consumers gain information
,- The two main information acquisitions
1) Information contact is when consumer see something like a billboard while driving on the
highway (uncontrollable)
2) Communication would be a consumer asking a sales-representative about a product
(controllable)
2) Shopping
- consumer comes in contact with a store/product
- social, physical, and spacial elements
- very incontrollable factor in marketing
3) Purchase Situations
- funds transferred and a consumer receives product
- consumer going to a check out line at a grocery store
-marketer can control ease and availability of purchase
4) Consumption
- use of a product/service
- consumption is when they drink soda
- no control over the consumption
-Dentists and hair-stylists have control
(on their premises)
5) Disposal
- consumer disposes product or product package
- no control when the disposal is done away from premise
-If a consumer is throwing away package in grocery store, marketer could encourage the
consumer recycles by providing different trash bins. This is an example of a controllable factor.
-Use the Wheel of Consumer Analysis to describe how affect and cognition and behaviors
interact with environmental factors in an automatic-purchase situation. - -The Wheel of
Consumer Analysis
3 parts
1) Consumer Behavior
2) Consumer Environment
3) Consumer Affect and Cognition
(all parts form circle and affect each other: interrelated)
-An automatic-purchase situation occurs when a purchase is made extremely convenient for the
consumer.
(This can be influenced by all 3 parts)
EXAMPLE:
-perfect purchase situation is when all factors work together harmoniously
- if a consumer is in a good mood, has lots of energy, and it's a beautiful day out, and a farmer's
market is very close by, they will be more likely to go shop and purchase there.
, -Another example would be a consumer who wants to go get a hair cut. If the consumer didn't
want to go out in the rain and they could only pay with a credit card, the perfect situation would
start off with a nice, sunny day. Anther factor would be a close-by beauty salon that accepts
credit. The consumer may also feel insecure about their current hair style, leading to a higher
likelihood of getting a haircut. If all these factors come together, an automatic-purchase situation
is more likely to occur.
-How can marketers use situational analysis to segment markets? Identify product categories
where the approach has been used to the advantage of the marketing organization. - --Situation
can be defined as a goal-directed behavior and the environment where that behavior occurs.
-Situational analysis can also be used to segment markets.
-many consumer-behavior situations are common and reoccurring, a marketer can use this
information to create groups or segments of consumers.
-An example would be a group of consumers living in a rural part of town. Since the consumers
live far from the city, they tend to order more products online. A marketer could determine this
group of consumers due to their physical situation. A marketer could then target this group by
emailing coupons for their online store to this particular area. This would encourage more online
ordering.
-One other example would be when a marketer changes a product to best fit the situation of a
particular market segment. For example, in very cold areas, a restaurant many change their menu
to offer more hot drinks. In this situation, a company is changing their product to best fit the
physical environment or, more specifically, the weather.
-Explain how disposition situations are of interest to marketers. - --Disposition situation is when
the key area of interest is the disposal of product
- recycling and a green way of thinking has been becoming more and more important to people -
disposition situations are becoming more important in marketing.
-Some people merely throw away products, some give old products to charity. Due to cost
consciousness and concern for the natural environment, more recycling of waste has been taking
place in areas such as the US.
-Marketers can help cater to this new trend a few ways.
1) Businesses such as fast-food restaurants can offer recycling bins for waste.
2) Companies with highly packaged products can start using recyclable materials.
3) A marketer could highly advertise that their products are recyclable and green. Eco-friendly
consumers will be more likely to buy their products and will be more likely to spend higher
amounts on the products.
