mktg 371 - 15: high effort decisions

types of decision processes

compensatory and non-compensatory

compensatory

cost/benefit analysis, good can make up for bad

non-compensatory

simpler decision models, bad cannot be compensated

self control

being able to focus more on long term than short term goals

how do we increase self control?

get rid of object/temptation, limit availability, distract yourself with other activity

normative behavior

how do i feel i should behave

descriptive behavior

how we do behave

we need variety

try something different

why do we like variety?

satiation, stimulation, preference uncertainity

when we chose for the future we

have more variety then we actually want(yogurt study)

reasons for too much variety

risk aversion, time compression, social influences

marketing implications of variety

offer broad product lines, single flavor options often fail

situational influences

consist of the aspects of the purchase situation that impacts the consumer’s purchase decision process

consumers decision process:

1. the purchase task

2. social surroundings

3. physical surroundings

4. temporal effects

5. antecedence states

how group context can affect decision making

self presentation, minimizing regret

self-presentation

consumers want to convey a certain image by the decisions they make in a group context

minimizing regret

consumer who are risk averse will make choices that are similar to the group

situational impacts

atmospherics and music

atmospherics

lighting, smells, sounds, not only brick and mortar

music

music impacts peoples mood, and how long they shop

takeaway

product choice can depend on which tactic consumers use to make their decision and on a number of contextual variables