MKT 351 Ch.17 Study

Consumer Behavior Exam 4 Ch.17

Retail Outlet

any source of products or services for consumers

Omni-channel shoppers

consumers who browse and/or purchase in more than one channel simultaneously

Store brands

a brand that is manufactured exclusively for one retailer, to be sold at its own store. Ex: Walmart - Great Value

Reference prices

a price with which other prices are compared

Internal reference price

a price or price range that a consumer has in memory to use for comparisons

External reference price

a price presented by a marketer for the consumer to use as a comparison price

Perceived risk

uncertainty in potential for negative consequences that consumers feel when making a purchase decision

5 types of cost that can influence perceived risk

• Social cost

• Financial cost

• Time cost

• Effort cost

• Physical cost

Unplanned purchases

purchases made that the consumer didn’t plan for before entering the store

Impulse purchases

an unintended purchase made rapidly, without much reflection, preceded by exposure to a stimulus and a sudden and powerful buying urge

Reminder purchases

when a purchase is made based on something reminding the consumer to make the purchase

How are unplanned, impulse, and reminder similar

they are often influenced by external stimuli: spontaneity, influence of environment, psychological factors, or financial/time constraints

How are unplanned, impulse, and reminder different

• Impulse - driven by emotion & excitement

• Unplanned - didn’t plan to buy an item but realizes a need

• Reminder - sees a product and remembers they need it

Omni-channel strategy

refers to firms strategically designing the platforms for their multi-channel strategy to reach omni-channel shoppers