Lectures summary Consumer Marketing

Lecture 1: Introduction to consumer marketing


A lot of new products launched in the market fail, because it doesn't target
a job that people want.
 JIBS (jobs-to-be-done)
o Job = what an individual really seeks to accomplish in a
circumstance.
o People hire a product to get a job done.
 Advantage of this logic: it shifts perspective to costumer; it has
predictive power because it is solution free.
 It is a simple framework that puts emphasis on the ‘why' behind
what a consumer is doing.


There are different types of needs crucial for purchase decisions, not only
the aware needs.
Latent needs = unconscious or hard-to-articulate wishes, desires,
dreams.
Combination of needs:
 Functional needs
 Emotional needs
 Social needs


Lecture 2: Understanding consumers


Habitual products: products mostly less than 10 euros and based on
heuristics. The decision process of this product is different.


DMP (Decision making process): steps consumers go through while
making a purchase.
Understanding the decision-making process (DMP) helps with recognizing
opportunities.


AIDA: Awareness, interest, desire, action -> marketing funnel

,Cross model




Segmentation:
 Why segment: different buyers have different needs: heterogeneity
 Segmentation tries to divide the market into subsets of costumers
with different members between segments and similar within.
 Benefits:
o To the firm (leads to sustainable profit growth):
 Identification of valuable costumers (higher CLV)
 More targeted promotions and marketing
communications
o To the costumer (leads to satisfaction and loyalty):
 Costumized products and services
 Personalized experience
 Segmenation base: descriptor = characteristics that help identify
segments.
 All consumers -> descriptors (who) -> behaviors (what) - >
motivations (why).
o Geographic: countries, cities, IP adress
o Demographic: age, gender, level income, education
o Psychographic: interests, personality, social status
o Behavioural: occasion, loyalty, buyer readiness
o Persona: persona segmentation divides costumers into
groups based on blended data as well as costumer goals: JIBS,
pain/gain, behavioural and demo data.
o Predicitve: uses historical behavioural patterns to predict and
influence future costumer behaviours.

, Segmentation leads to targeting: evaluating segment attractiveness and
targeting most attractive ones.


Lecture 3: Consumer attention, perception and memory


Impact of attention in marketing:
 Attention is selective, limited and can be divided.
 Attention to brand in magazine ad improves the brand memory.
 Attention to brand predicts preference.
 Attention is not perception.
What consumers see is a lot determined by what they expect: they see
patterns where there are none and try to fit it to personal beliefs and
ideas.
Perception is reality: what is percieved is not true, marketers need to be
aware that perception is as influential as what is real.


 Memory increases fluency of future processing and this can enhance
the evaluations of brands.
 Primacy effect: tendency to remember first piece of information.
 Recency effect: tendency to remember last piece of information.
o These influence consumer judgements over long and short
term.


Consumers are influenced by forces:
 Internal: attention, motivation, memory.
 Social: norms, authority, comparison.
 External: marketing mix, surroundings, trends.


What can you do about it:
 Make it stand out (color, contrast)
 Attractive
o Make stimuli suprising and novel, personally relevant,
pleasant.