Unit 12 - Influences on Consumer Decisions

promotes the idea that by having a product, the consumer will reach a goal related to social status or self esteem

aspirational advertising

claims everyone is doing it

bandwagon appeal

offer testimonials from well-known public figures such as celebrities

endorsements

compliments the consumer

flattery advertising

encourages people to buy a product because it comes from their country or region

patriotic advertising

attracts consumers with the promise of savings

promotions and rewards

promotions are ____. _____ takes the form of discounts or payments applied to future purchases

sales, rewards

traditional stores with a physical presence

brick and mortar stores

beginning in the early 2000’s, what greatly impacted shopping?

social media

they have a large number of followers and the ability to influence their thinking and decisions, they are likable and trendsetters

social media influencers

raised more than $220 million and increased awareness of ALS

ice bucket challenge

5 ways that influencers make money

free gifts of products from advertisers, income from companies who pay for their products to be talked about, fees charged to advertisers for as placements, commissions on sales made through buy links, charging for appearances as a celebrity

how many followers does a micro-influencer have

10,000-50,000

browsing history, locations, and spending behavior (data analysis)

how advertisers track social media data

bruinesses reinvest part of their products into the business

capital investment

for businesses with employees, business practices include…

management (levels and authority), leadership style (authoritarian, hands-off, democratic)

for all businesses, business practices include…

use of technology, ethical standards, advertising

“4p’s” to establishing a product

product, place, price, promotion

ways companies attract consumers

offer sales, free samples, special offers, loyalty rewards

product placement is also known as _____ advertising

inadvertent

what day after thanksgiving is a sales day for brick and mortar stores and online shopping?

Black Friday, cyber monday

consumers always buy on product instead of another substitute product

brand loyalty

ways companies can lose brand loyalty

poor-quality or dangerous product, poor customer service, prices become too high, failure to follow changes in trends

how long does an object have to be noticed in a brick and mortar store?

3-7 seconds

happens when a product is shown as part of the background in social media or an entertainment product such as a movie where the characters use a specific brand

product placement