Motives--A motive is an internal energizing force that orients a person's activities toward satisfying a need or achieving a goal.Actions are effected by a set of motives, not just one. If marketers can identify motives then they can better develop a marketing mix. MASLOW hierarchy of needs!!
Handout...Nutrament Debunked...Nutrament, a product marketed by Bristol-Myers Squibb originally was targeted at consumers that needed to receive additional energy from their drinks after exercise etc., a fitness drink. It was therefore targeted at consumers whose needs were for either love and Belonging or esteem. The product was not selling well, and was almost terminated. Upon extensive research it was determined that the product did sell well in inner-city convenience stores. It was determined that the consumers for the product were actually drug addicts who couldn't not digest a regular meal. They would purchase Nutrament as a substitute for a meal. Their motivation to purchase was completely different to the motivation that B-MS had originally thought. These consumers were at the Physiological level of the hierarchy. BM-S therefore had to redesign its MM to better meet the needs of this target market.Motives often operate at a subconscious level therefore are difficult to measure. Perception--What do you see?? Perception is the process of selecting, organizing and interpreting information inputs to produce meaning. IE we chose what info we pay attention to, organize it and interpret it. Information inputs are the sensations received through sight, taste, hearing, smell and touch. Selective Exposure-select inputs to be exposed to our awareness. More likely if it is linked to an event, satisfies current needs, intensity of input changes (sharp price drop). Show
Selective Distortion-Changing/twisting current received information, inconsistent with beliefs. Advertisers that use comparative advertisements (pitching one product against another), have to be very careful that consumers do not distort the facts and perceive that the advertisement was for the competitor. A current example...MCI and AT&T...do you ever get confused? Selective Retention-Remember inputs that support beliefs, forgets those that don't. Interpreting information is based on what is already familiar, on knowledge that is stored in the memory. Handout...South Africa wine....Problems marketing wine from South Africa. Consumers have strong perceptions of the country, and hence its products.Ability and Knowledge--Need to understand individuals capacity to learn. Learning, changes in a person's behavior caused by information and experience. Therefore to change consumers' behavior about your product, need to give them new information re: product...free sample etc.South Africa...open bottle of wine and pour it!! Also educate american consumers about changes in SA. Need to sell a whole new country. When making buying decisions, buyers must process information. Inexperience buyers often use prices as an indicator of quality more than those who have knowledge of a product. Learning is the process through which a relatively permanent change in behavior results from the consequences of past behavior. Attitudes--Knowledge and positive and negative feelings about an object or activity-maybe tangible or intangible, living or non- living.....Drive perceptions Individual learns attitudes through experience and interaction with other people. Handout...Oldsmobile.....Oldsmobile vs. Lexus, due to consumers attitudes toward Oldsmobile (as discovered by class exercise) need to disassociate Aurora from the Oldsmobile name.Exxon Valdez-nearly 20,000 credit cards were returned or cut-up after the tragic oil spill. Honda "You meet the nicest people on a Honda", dispel the unsavory image of a motorbike rider, late 1950s. Changing market of the 1990s, baby boomers aging, Hondas market returning to hard core. To change this they have a new slogan "Come ride with us". Attitudes and attitude change are influenced by consumers personality and lifestyle. Consumers screen information that conflicts with their attitudes. Distort information to make it consistent and selectively retain information that reinforces our attitudes. IE brand loyalty. There is a difference between attitude and intention to buy (ability to buy). Personality--all the internal traits and behaviors that make a person unique, uniqueness arrives from a person's heredity and personal experience. Examples include:
There is a weak association between personality and Buying Behavior, this may be due to unreliable measures. Nike ads. Consumers buy products that are consistent with their self concept. Lifestyles--Recent US trends in lifestyles are a shift towards personal independence and individualism and a preference for a healthy, natural lifestyle.Lifestyles are the consistent patterns people follow in their lives. EXAMPLE healthy foods for a healthy lifestyle. Sun tan not considered fashionable in US until 1920's. Now an assault by the American Academy of Dermatology. Handout...Here Comes the Sun to Confound Health Savvy Lotion Makers..Opinion leaders--Spokespeople etc. Marketers try to attract opinion leaders...they actually use (pay) spokespeople to market their products. Michael Jordon (Nike, McDonalds, Gatorade etc.)Can be risky...Michael Jackson...OJ Simpson...Chevy Chase Roles and Family Influences--Role...things you should do based on the expectations of you from your position within a group.People have many roles. Husband, father, employer/ee. Individuals role are continuing to change therefore marketers must continue to update information. Family is the most basic group a person belongs to. Marketers must understand:
Handout...Two Income Marriages Are Now the NormBecause 2 income families are becoming more common, the decision maker within the family unit is changing...also, family has less time for children, and therefore tends to let them influence purchase decisions in order to alleviate some of the guilt. (Children influence about $130 billion of goods in a year) Children also have more money to spend themselves.Reference Groups--Individual identifies with the group to the extent that he takes on many of the values, attitudes or behaviors of the group members. Families, friends, sororities, civic and professional organizations. Aspiration groups (want to belong to) The degree to which a reference group will affect a purchase decision depends on an individuals susceptibility to reference group influence and the strength of his/her involvement with the group. Social Class--an open group of individuals who have similar social rank. US is not a classless society. US criteria; occupation, education, income, wealth, race, ethnic groups and possessions.Social class influences many aspects of our lives. IE upper middle class Americans prefer luxury cars Mercedes.
Lower class people tend to stay close to home when shopping, do not engage in much prepurchase information gathering. Family, reference groups and social classes are all social influences on consumer behavior. All operate within a larger culture. Culture and Sub-culture--Culture refers to the set of values, ideas, and attitudes that are accepted by a homogenous group of people and transmitted to the next generation.Culture also determines what is acceptable with product advertising. Culture determines what people wear, eat, reside and travel. Cultural values in the US are good health, education, individualism and freedom. In american culture time scarcity is a growing problem. IE change in meals. Big impact on international marketing. Handout...Will British warm up to iced tea?No...but that is my opinion!!...Tea is a part of the British culture, hot with milk.Different society, different levels of needs, different cultural values. Culture can be divided into subcultures:
Culture effects what people buy, how they buy and when they buy. What is the term for a situation requiring the purchase of a product for the first time?A new buy is a situation requiring the purchase of a product for the very first time.
What are 3 types of buying situations?There are three types of business buying situations that need to be considered. They are straight rebuy, modified rebuy, and new buy.
What is straight rebuy situation?a purchase in which the customer buys the same goods in the same quantity on the same terms from the same supplier.
What is a purchase situation the buyer routinely orders the goods and services purchased from the same vendor's as in the past?A straight rebuy is a buying situation where a company reorders the same products in the same quantity from the same supplier.
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