Consumer Segmentation Study Sheet

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102 Terms

1
Demographics
Measurable, observable characteristics of a population.
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2
Age Segments
Seven age segments categorize consumers: Pre-customer (0-9), Allowance customers (10-15), Youth market (16-19), Postsecondary market (20-25), Family formation (25-40), Establishment (40-55), Mature market (55+).
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3
Gender Marketing
Products are often marketed differently to men and women, reflecting traditional gender roles and evolving trends.
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4
Cultural Preferences
Ethnicity influences buying habits, affecting preferences for products like grocery stores and grooming products.
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5
Income Level
Determines affordability and spending habits, with lower-income individuals focusing on necessities and higher-income on discretionary spending.
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6
Family Life Cycle
Consumer needs change based on life stage, such as young couples needing household items and empty nesters focusing on travel.
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7
Education Level
Affects career choices, income level, and overall spending capabilities.
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8
Occupation
Different careers create unique purchasing needs that influence buying behavior.
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9
Languages Spoken
Affects media preferences, product packaging, and advertising strategies.
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10

Psychographics

The study of consumer lifestyles, values, and personality traits.

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11

Personality Traits

Characteristics such as outgoing, shy, intelligent, motivated, and confident that influence brand choices.

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12

Hobbies & Activities

Shared hobbies lead to similar purchasing habits; for example, photographers buy cameras, and gamers buy computers.

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13

Values, Goals & Beliefs

Religious and cultural beliefs impact product choices, affecting spending based on personal priorities such as education or sustainability.

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14

Attitudes Toward Health & Wellness

Influences demand for fitness products, organic foods, and health supplements.

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15

Behavioural Segmentation

Examines how consumers interact with products and brands.

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16

Desired Features

Consumers seek specific features in products, and businesses tailor products based on customer expectations.

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17

Usage Rate

Classifies consumers into heavy, moderate, and light users based on their purchasing frequency.

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18

Heavy Users

Consumers who engage with a product daily and make consistent purchases, such as regular coffee drinkers.

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19

Moderate Users

Consumers who purchase products frequently but not on a daily basis.

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20

Light Users

Consumers who consume products occasionally.

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21

Brand Loyalty

Consumers stick to specific brands due to experience, reputation, or emotional connection, often targeted with rewards.

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22

Purchasing Behaviour

Describes how, where, and when consumers prefer to buy, encompassing online vs. in-store purchases.

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23

Motivation & Influences

Consumer behaviour shaped by psychological, social, and situational factors, impacting their purchase decisions.

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24

Psychological Influences

Factors that shape consumer decisions based on internal thought processes, emotions, and personal needs.

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25

Thorndike’s Law of Effect

Consumers tend to repeat purchases that result in positive outcomes and avoid those leading to negative experiences.

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26

Maslow’s Hierarchy of Needs

A theory that prioritizes human needs into five levels: physiological, safety, love/belonging, esteem, and self-actualization.

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27

Physiological Needs

Basic needs essential for survival, influencing purchases such as food, water, and shelter.

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28

Safety Needs

Needs for security and protection, impacting purchases like health insurance and alarm systems.

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29

Love/Belonging Needs

Social acceptance drives purchases influenced by trends in social media and recommendations from friends.

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30

Esteem Needs

The desire for status and recognition, leading consumers to buy luxury brands and exclusive memberships.

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31

Self-Actualization

The pursuit of personal growth, motivating purchases such as educational courses and gym memberships.

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32

Entertainment Purchases

Buying experiences like movies or concerts to achieve emotional satisfaction.

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33

Athletic Gear Purchases

Purchasing branded sportswear for enhanced performance and self-confidence.

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34

Special Event Purchases

Spending on events like the Olympics or World Cup for prestige and cultural connection.

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35

Social Influences

Factors that shape consumer choices based on external relationships and cultural norms.

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36

Culture & Upbringing

Cultural values shape preferences, influencing dietary habits, fashion, and media consumption.

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37

Family Influence

Parents can significantly affect brand loyalty and purchasing habits of their children.

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38

Peer Influence

Purchase decisions influenced by friends and coworkers to fit in or gain social acceptance.

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39

Social Status & Recognition

Consumers may buy certain products to impress others or reflect social status.

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40

Examples of Social Influence in Purchases

Concert tickets, sports team merchandise, and trendy gadgets influenced by social circles or media.

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41

Situational Influences

Temporary conditions that affect purchasing decisions.

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42

Key Situational Factors

Factors including weather, store environment, time of day, promotions, mood, and scarcity that influence buying behavior.

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43

Weather & Season

Seasonal effects on demand; e.g., winter prompts need for jackets, while summer increases sales of air conditioners.

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44

Store Environment & Location

An organized store with attractive displays can enhance impulse purchases.

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45

Time of Day

Different times create demand for specific items; morning favors breakfast foods, while night may cater to takeout or streaming.

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46

Promotions & Advertising

Sales and ads, such as Black Friday deals, create urgency for consumers to buy.

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47

Mood & Emotions

Consumers may purchase comfort products during stress or spend more when financially secure.

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48

Scarcity & Limited Availability

Perceived scarcity drives purchases; consumers often buy before products run out.

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49

Examples of Situational Influence in Purchases

Includes impulse buying, limited-time offers, and mood-based purchases.

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50

Impulse Buying

Unplanned purchases, often driven by attractive displays or promotions.

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51

Fan Behaviour

The actions of fans influenced by their engagement, loyalty, and motivations within sports and entertainment.

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52

Types of Fan Behaviours

Different actions fans engage in based on their level of attachment, such as buying merchandise or attending events.

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53

Buying Merchandise

Fans purchase products related to their favorite celebrities, teams, or brands.

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54

Attending Events

Fans participate in live events such as concerts, sports games, or meet-and-greets.

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55

Engaging on Social Media

Fans interact by following, commenting on, or sharing content related to their interests.

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56

Watching Games or Performances Regularly

Fans consistently view games, shows, or performances as part of their routine.

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57

Collecting Memorabilia

Fans accumulate items such as autographs, posters, or specialized merchandise.

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58

Participating in Fan Clubs or Online Communities

Fans join groups that share their interests and facilitate interaction with like-minded individuals.

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59

Creating Content

Fans express their passion by producing fan art, writing blogs, or making videos.

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60

Emotional Connection

Fans feel a deep personal attachment to a celebrity, team, or brand, driving their engagement.

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61

Social Identity

Fandom provides individuals with a sense of belonging and identity within a group.

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62

Fandom Culture

Fans participate in unique traditions, chants, or rituals that enhance their experience.

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63

Escapism & Entertainment

Fans turn to media as a form of escape from reality, seeking enjoyment and relaxation.

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64

Status & Prestige

Some fans value exclusivity, such as VIP memberships or limited edition merchandise.

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65

Nostalgia

Fans' attachment is often fueled by positive past experiences and memories associated with their interests.

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66

Frequency Escalator

A model by Bernie Mullen (1978) that defines levels of consumer involvement in sports or entertainment events, aiming to increase fan engagement.

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67

Levels of Fans

Categorization of fans based on their engagement levels in sports or entertainment events: 1) Non-Consumers, 2) Indirect Consumers, 3) Light Users, 4) Medium Users, 5) Heavy Users.

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Non-Consumers

Individuals who are unaware or uninterested in a sport or entertainment event.

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69

Indirect Consumers

Fans who engage with sports or entertainment through media but do not attend live events.

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70

Light Users

Fans who are occasional attendees at live events.

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71

Medium Users

Fans who regularly attend live events with moderate engagement.

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72

Heavy Users

Highly loyal fans who consistently engage with a sport or entertainment event, such as season ticket holders.

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73

Criticism of Frequency Escalator

The model focuses primarily on event attendance and neglects digital engagement, such as social media and streaming.

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74

Psychological Continuum Model (PCM)

A comprehensive model of fan development by Funk & James (2001) that describes how fans evolve through four stages based on their psychological connection.

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75

Stages of Fandom

The four stages that fans go through in the Psychological Continuum Model: Awareness, Attraction, Attachment, and Allegiance.

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76

Awareness

The initial stage of fandom where individuals are exposed to a team, artist, or event through friends, media, or advertisements.

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77

Attraction

The stage where fans begin to engage more actively, following an artist, team, or event, such as adding songs to their playlists.

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Attachment

A stage characterized by a higher emotional investment in the fandom, including purchasing merchandise and following the entity on social media.

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79

Allegiance

The final stage of fandom that involves deep commitment, such as altering personal schedules for events and participating in

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80

Sport-Indifferent Consumers

Consumers who watch only major sports events, like the Super Bowl, showing minimal engagement.

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81

Star-Struck Spectators

Fans who focus on individual superstars rather than a team's performance, such as followers of Messi instead of FC Barcelona.

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82

Social Viewers

Individuals who engage in sports primarily for social interaction, lacking a strong emotional investment.

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83

Opportunistic Viewers

Consumers who watch sports events only when it’s convenient for them, such as when invited by friends.

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84

New Sports Consumer Model

Recognizes diverse types of fans with varying levels of commitment and engagement with sports.

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85

The New Sports Consumer Model

A framework that identifies modern types of fans who engage differently with sports.

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86

Sport-Indifferent Consumers

Consumers who primarily watch big events, such as the Super Bowl, showing minimal engagement with regular sporting activities.

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87

Star-Struck Spectators

Fans who are attracted to individual superstars rather than a team's overall performance.

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88

Social Viewers

Individuals who engage in sports mainly for social interaction rather than having significant personal investment.

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89

Opportunistic Viewers

Fans who watch sports events when convenient, such as when invited by friends, rather than committing to regular viewership.

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90

Fan Engagement Spectrum

Categorization of fans based on their level of engagement and commitment to sports.

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91

Modern Fan Diversity

Recognition that fans have varied interests and levels of investment in sports, influencing marketing and engagement strategies.

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92

Nav Bhatia

Toronto Raptors superfan recognized for his unwavering support and involvement with the team.

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93

Frequency Escalator - Heavy User

Nav Bhatia is a heavy user as he is a season ticket holder, attending all Raptors games.

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94

Psychological Continuum Model - Allegiance

Bhatia exhibits allegiance, showing lifelong dedication to the Toronto Raptors.

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95

New Sports Consumer Model

Bhatia exemplifies a fully engaged fan, rather than a casual viewer, demonstrating deep commitment to the team.

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96

Fan Typology - Fanatical Fan

Bhatia is classified as a fanatical fan who attends every game and is deeply invested in the Raptors.

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97

Fan Engagement Over Time

The progression of a fan's loyalty and commitment, reflecting changes in their relationship with a team or artist.

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98

Deeper Loyalty in Fans

Some fans experience increased loyalty and engagement, often moving up the Psychological Continuum Model (PCM) or Frequency Escalator.

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99

Reasons for Decreased Engagement

Fans may move down in engagement due to life changes, disappointment, or shifting interests.

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100

Life Changes Impacting Fans

Factors such as increased responsibilities, financial constraints, or time limitations can lead to reduced fan engagement.

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