Consumer Behavior & Marketing Strategy – Core Vocabulary

Eighty-five key vocabulary terms with concise definitions covering core theories, models, and tools in consumer behavior and marketing strategy.

Consumer System

A framework showing how affect, cognition, behavior, and environment continuously interact to shape consumer decisions.

Affect

The emotional responses—such as joy, anger, or guilt—that a consumer experiences when exposed to stimuli.

Cognition

The mental processes of interpreting, remembering, and judging information about products or brands.

Behavior

The observable actions consumers take, including searching, purchasing, using, or recommending products.

Environment

All external factors—social or physical—that influence how people think, feel, and act in the marketplace.

Marketing Stimuli

Deliberate cues (ads, price, packaging, etc.) placed by marketers to influence affect, cognition, and behavior.

Information Exposure

The moment a consumer comes across brand-related data, either intentionally or accidentally.

Attention

The cognitive filter that selects which pieces of incoming information a person will notice and process.

Focal Attention

Conscious, deliberate focus on information judged as new, relevant, or important by the consumer.

Pre-conscious Attention

Automatic, effortless noticing of familiar or low-importance cues without active thought.

Comprehension

The process of interpreting stimuli and connecting them to existing knowledge to create meaning.

Schema

A mental framework that organizes knowledge and expectations about objects, events, or ideas.

Semantic Schema

General world knowledge in memory, such as facts and cultural meanings about a product category.

Episodic Schema

Personal memories linked to a brand or product that trigger emotion and nostalgia.

Script

An internal sequence of expected actions for a familiar situation (e.g., how to shop in a supermarket).

Knowledge Network

Interconnected schemas and scripts that activate together when a consumer encounters a related cue.

Theory of Reasoned Action

Model stating that attitudes and subjective norms shape intentions, which in turn predict voluntary behavior.

Attitude toward Behavior

A person’s overall evaluation—cognitive and emotional—of performing a specific consumption act.

Subjective Norm

Perceived social pressure regarding whether important others think one should perform a behavior.

Behavioral Intention

The consumer’s self-reported likelihood or plan to carry out a particular action.

Non-Compensatory Rule

Decision heuristic in which poor performance on any key criterion leads to immediate elimination of an option.

Conjunctive Rule

Non-compensatory strategy requiring all considered options to meet minimum cut-offs on every criterion.

Disjunctive Rule

Non-compensatory strategy where meeting a high standard on just one chosen criterion is sufficient for selection.

Lexicographic Rule

Non-compensatory strategy of ranking criteria by importance and choosing the option best on the top criterion.

Elimination-by-Aspects Rule

Sequentially removing choices that fail successively applied attribute thresholds until one remains.

Compensatory Rule

Decision process where high scores on some attributes can offset low scores on others via overall evaluation.

Problem Representation

How consumers mentally define their need, relevant goals, and choice boundaries before deciding.

Goal Hierarchy

Four-level mental structure linking attributes to functional benefits, psychosocial benefits, and personal values.

Attribute Level

The concrete features or characteristics of a product considered during evaluation.

Functional Benefit

Practical outcome of a product feature, such as saving time or keeping the user warm.

Psychosocial Benefit

Emotional or social payoff (e.g., feeling confident or gaining peer approval) gained from using a product.

Value Level

Deep personal beliefs or desired end-states that a consumer ultimately seeks to satisfy through purchase.

Evoked Set

Brands that readily come to mind when a consumer thinks about a product category.

Consideration Set

The subset of brands a consumer genuinely compares when preparing to choose.

Choice Criteria

The specific attributes (price, design, quality, etc.) a consumer uses to judge competing options.

Zero Moment of Truth (ZMOT)

The online research phase in which consumers gather information before their first physical or visual encounter with a product.

First Moment of Truth (FMOT)

The brief instant (3–7 seconds) when a shopper first sees a product and decides to place it in the cart—or not.

Actual Moment of Truth

The waiting gap between purchase and receipt/use, often crucial in e-commerce satisfaction.

Second Moment of Truth (SMOT)

The experience of using the product and evaluating whether it meets expectations.

Third Moment of Truth (TMOT)

The stage where consumers share feedback or reviews, influencing others through word of mouth.

Maslow's Hierarchy of Needs

Five-level motivational model ranging from physiological survival needs up to self-actualization.

Physiological Needs

Basic biological requirements—food, water, shelter—that must be met first for survival.

Safety Needs

Desire for security, stability, and protection from physical or financial harm.

Social (Love/Belonging) Needs

Need for affection, friendship, and connection within groups or communities.

Esteem Needs

Desire for respect, status, achievement, and self-confidence.

Self-Actualization

Drive to realize personal potential, creativity, and authentic self-expression.

Bain Elements of Value

A 30-element pyramid categorizing functional, emotional, life-changing, and social impact benefits sought by consumers.

Functional Value (Bain)

Element category delivering practical benefits such as saving time, reducing cost, or simplifying tasks.

Emotional Value (Bain)

Benefits that create feelings like nostalgia, reduced anxiety, or fun for the consumer.

Life-Changing Value

Benefits that foster personal transformation, motivation, or affiliation with others.

Social Impact Value

Benefits enabling a consumer to help others or contribute to a greater cause.

Value Proposition

A clear statement explaining what problem a product solves, what benefits it offers, and why it is better than alternatives.

Means-End Chain

Model linking product attributes to benefits and then to the user’s personal values to explain purchase motivation.

Instrumental Values

Preferred modes of conduct (e.g., being efficient or independent) expressed through consumption choices.

Terminal Values

Desired end states of existence such as happiness, freedom, or inner peace that guide long-term behavior.

Generational Marketing

Tailoring strategies to shared traits and experiences of cohorts like Boomers, Gen X, Millennials, or Gen Z.

Baby Boomers

Consumers born 1946–1964, typically valuing stability, quality service, and traditional media.

Generation X

Cohort born 1965–1980, noted for independence, skepticism, and a desire for work-life balance.

Millennials (Gen Y)

People born 1981–1996, tech-savvy and experience-driven, who favor purpose-led, mobile-first brands.

Generation Z

Digital natives born 1997–2012 valuing authenticity, diversity, and interactive, short-form content.

Generation Alpha

Children born from 2013 onward, raised fully in AI- and screen-rich environments and influencing family purchases.

Market Segmentation

Dividing a broad market into smaller groups that respond similarly to marketing mixes.

Demographic Segmentation

Grouping consumers by measurable statistics such as age, gender, income, or education.

Geographic Segmentation

Dividing the market based on location factors like country, climate, or urban versus rural setting.

Behavioral Segmentation

Grouping customers by usage rate, loyalty, purchase occasions, or benefits sought.

Psychographic Segmentation

Segmenting based on lifestyle, personality traits, interests, or values.

Psychometric Segmentation

Advanced grouping by underlying mindsets or worldviews, such as the ‘Explorer’ or ‘Reformer’ types.

Archetype

A universal character pattern (e.g., Hero, Sage) used to shape brand personality and connect emotionally with consumers.

Hero Archetype

Brand persona focused on mastery and achievement, inspiring consumers to overcome challenges (e.g., Nike).

Explorer Archetype

Persona centered on freedom and discovery, appealing to adventure seekers (e.g., Jeep).

Magician Archetype

Brand type promising transformation and unexpected possibilities (e.g., Disney).

Innocent Archetype

Persona emphasizing simplicity, purity, and safety (e.g., Dove).

Ruler Archetype

Brand identity that projects control, leadership, and prestige (e.g., Rolex).

Customer Persona

A detailed, fictional profile representing a key segment’s demographics, motives, and pain points.

Empathy Map

Visual tool outlining what a consumer thinks, feels, sees, hears, says, and does to deepen understanding.

Pain Point

A specific problem or frustration a consumer faces before, during, or after purchase.

Pleasure Point

A moment of satisfaction or delight that enhances the overall customer experience and loyalty.

Customer Journey

The complete set of phases a consumer goes through with a brand: research, look, buy, wait, use, share, post-use.

Design Thinking

Human-centered problem-solving process emphasizing empathy, idea generation, prototyping, and testing.

Paradox of Choice

Barry Schwartz’s concept that too many options can decrease decision quality and consumer happiness.

Option Paralysis

State of indecision caused by an overwhelming number of choices, leading to no purchase.

Opportunity Cost (Choice)

The value of forgone alternatives that makes consumers question whether the chosen option was best.

Escalation of Expectations

Phenomenon where abundant choices raise standards, increasing the likelihood of post-purchase disappointment.

Horizontal Segmentation

Malcolm Gladwell’s idea of offering diverse product varieties to match distinct preference clusters rather than one ‘best’ option.

Social Class

A consumer’s socioeconomic position (income, education, occupation) that influences tastes, access, and brand expectations.