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CB8_BabinHarris_Ch11.pptx

Chapter 11 – Consumers in Situations

Copyright ©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Consumers in Situations

11

1

Situational Influences

Temporary conditions

Affect consumer decision making and the eventual value experienced

LO 1

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2.1 Consumer Value Framework (CVF)

LO 1

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Figure

3

11.1 Situational Influences Can Exist in Any of These Forms

LO 1

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Exhibit

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Time and Consumer Behavior

Consumer’s thoughts, feelings, and behavior:

Are affected by time-related factors

Combine to create differing perceptions of value

Time pressure, time of year, and time of day can affect consumption

Each time form represents a different temporal factor

Temporal factor: Situational characteristics related to time

LO 2

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Effects of Temporal Factors on Consumer Behavior

Time pressure

Consumers:

Process less information when time is scarce

Tend to rely on simple choice heuristics (habits)

Consumer’s orientation can switch from hedonic to utilitarian

Seasonality

Fashion differs from one season to another

Food items vary in demand with the season

LO 2

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Effects of Temporal Factors on Consumer Behavior (continued)

Discretionary (spare) time

Consumers with more spare time seek services of utilitarian value

Hedonically motivated consumers will more likely trade time for money

LO 2

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Effects of Temporal Factors on Consumer Behavior

Seasonality

Fashion differs from one season to another

Food items vary in demand with the season

Cycles

Physical cycles can create situational influences on consumers

circadian cycle: sleeping and waking

Menstrual cycle: fertile vs non-fertile

hunger cycle:

LO 2

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Advertiming

Ad buys that include a schedule that runs the advertisement at times when customers will be most receptive to the message

LO 2

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11.1 Situational Influences Can Exist in Any of These Forms

LO 1

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Exhibit

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Copyright ©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Atmospherics and Servicescape

LO 5

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Atmospherics

Servicescape

Feelings created by the total aura of physical attributes that comprise a physical environment

Physical environment in which consumer services are performed

11.6 Qualities of an Environment

LO 5

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Exhibit

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Antecedent Conditions

Situational characteristics that a consumer brings to information processing

Shape value in a situation by framing the events that take place

Include:

Economic resources - Buying power, third-party payments, and consumer budgeting

Orientation

Mood

Security

LO 6

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Shopping

Set of value-producing consumer activities that increase the likelihood of a purchase

Represents the inverse of marketing

Shopping via the Internet

Brings 24/7 access to shopping environments

Smart agent software: Learns an Internet user’s preferences

Automatically searches information on selected websites and distributes it

LO 3

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Types of Shopping Activities

LO 3

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Acquisitional shopping

Oriented toward a specific, intended purchase or purchases

Epistemic shopping

Oriented toward acquiring knowledge about products

Experiential shopping

Designed to provide interest, excitement, relaxation, fun, social interaction, or some other desired feeling

Impulsive shopping

Characterized by a diminished regard for consequences, spontaneity, and a desire for immediate self-fulfillment

11.2 Types of Shopping Activities

LO 3

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Exhibit

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Outshopping

Shopping in a city or town to which consumers must travel rather than in their own hometowns

Customers are motivated by the desire for the experience

LO 3

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In-class activities

Select a retail website or a retail store. Describe how each elements of the environment affect a customer experience

Use Exhibit 11.6 as a guideline for your analysis

What would you suggest to improve customer experience

Prepare 4-5 slides to present your findings

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11.6 Qualities of an Environment

LO 5

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Exhibit

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Personal Shopping Value (PSV)

LO 3

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Utilitarian shopping value

Worth obtained because some shopping task or job is completed successfully

Hedonic shopping value

Worth of a shopping activity because the time spent doing the activity itself is personally gratifying

11.3 Impulsive versus Unplanned Shopping Behavior

LO 4

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Exhibit

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Personality Traits That Affect a Consumer’s Unplanned or Impulsive Behavior

LO 4

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Impulsivity

Represents how sensitive a consumer is to immediate rewards

Self-regulation

Action-oriented: Consumers with a high capacity to self-regulate their behavior

State-oriented: Consumers with a low capacity to self-regulate their behavior

11.4 Questions Distinguishing Low from High Self-Regulatory Capacity

LO 4

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Exhibit

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Retail Approaches Aimed at Encouraging Impulse Purchases

LO 4

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Merchandising complimentary products together

Encouraging add-on purchases

Creating an emotionally charged atmosphere

Making things easy to buy

Providing a discount

Characteristics of Compulsive Consumer Behavior

LO 4

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Harmful

Uncontrollable

Driven by chronic depression

Key Terms

Temporal factors

Time pressure

Discretionary (spare) time

Seasonality

Circadian cycle

Advertiming

Near-field communication (NFC)

Shopping

Smart agent software

Acquisitional shopping

Epistemic shopping

Experiential shopping

Impulsive shopping

Outshopping

Reversal theory

Personal shopping value (PSV)

Utilitarian shopping value

Hedonic shopping value

Fit

KEY TERMS

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Key Terms (continued)

Functional quality

Affective quality

Retail personality

Impulsive consumption

Unplanned shopping

Impulsivity

Consumer self-regulation

Action-oriented

State-oriented

Atmospherics

Servicescape

Congruity

Olfactory

Foreground

Music

Background music

Crowding

Nonlinear effect

Source attractiveness

Emotional ability

Social comparison

Antecedent conditions

Mental budgeting

KEY TERMS

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Summary

Situational influences such as time, condition, and place affect value

Time can affect consumer behavior in the form of time pressure, time of year, or time of day

Types of shopping activities - Acquisitional, epistemic, experiential, and impulsive

Impulsive purchasing is not synonymous with unplanned purchasing behavior

Atmosphere elements include odors and colors, and antecedent conditions include economic resources and moods

SUMMARY

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CB8 | CH11

Copyright ©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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CB8 | CH11

Copyright ©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.