...is a form of short-term incentives to encourage purchase or sales of a product or service. While its main purpose is to stimulate quick response at targeted consumers, it is not effective at building long-term brand preferences. There are essentially three types of benefits of sales promotion: utilitarian, where the consumer is able to justify value of product through utility; hedonic, how one is able to derive pleasure from; and affective, which are additional utilitarian benefits. If a consumer feels that his purchased product is being utilized to its capabilities, he would derive a sense of pleasure that he paid good money for the product. In other words, utilitarian and hedonic benefits are related to one another. 1.2 Utilitarian and Hedonic benefits relating to cost, value and benefits Utilitarian benefits also relate to economic utility that a consumer would get through a purchase. This would be in the form of direct savings, quality and convenience. Very often, firms would choose monetary promotions (i.e. price discounts, two-for-one bundles) to capture consumer’s attention. Marketers would benefit by enjoying higher sales with regards to everyday products or fast consumer moving goods, while customers benefit by enjoying more savings. However, this could create negative implications towards brand image in the consumer’s mind. This is because price is seen as an extrinsic cue to infer product quality, and it leads to encouraging customers to assess the incentives...
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...Enjoy! Hedonic Consumption and Compliance with Assertive Messages ANN KRONROD AMIR GRINSTEIN LUC WATHIEU This paper examines the persuasiveness of assertive language (as in Nike’s slogan “Just do it”) as compared to nonassertive language (as in Microsoft’s slogan “Where do you want to go today?”). Previous research implies that assertive language should reduce consumer compliance. Two experiments show that assertiveness is more effective in communications involving hedonic products, as well as hedonically advertised utilitarian products. This prediction builds on sociolinguistic research addressing relationships between mood, communication expectations, and compliance to requests. A third experiment reaffirms the role of linguistic expectations by showing that an unknown product advertised using assertive language is more likely to be perceived as hedonic. C onsumers are often exposed to forceful messages and imperative slogans such as Nike’s “Just do it,” Sprite’s “Obey your thirst,” or U.S. Airways’ “Fly with US.” The frequent use of assertively phrased messages is puzzling, given the mounting research in consumer behavior (e.g., Dillard and Shen 2005; Fitzsimons and Lehman 2004; Lord 1994), communications (e.g., Kellerman and Shea 1996; Quick and Considine 2008; Quick and Stephenson 2007; Wilson and Kunkel 2000), and sociolinguistics (e.g., Levine and Boster 2001; Sanders and Fitch 2001), which suggests that these messages should lower consumer readiness to comply. To...
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...range of products and services to choose from and we tend to form attitudes towards each products while making decisions, for example when we are being questioned whether we like or dislike the specific product in a survey. At that moment, we are being asked to express our point of view on the certain product or service. As the way consumers feel about the brand reflects their attitudes towards that brand. Consumer’s attitudes towards a certain product is crucial for any marketers as it determines how well their products or services perform in the specific market. From that, marketers will know how to tailor their products to meet each individual’s unique requirement. There are two types of attitudes, positive attitude and negative attitude. When a consumer have a positive attitude towards a product, he or she will spread positive word of mouth to others, this can boost up the company’s image, however, negative attitudes towards the product may have a big impact on both reputation and sales of the company. This essay will outline how consumer attitudes are formed and affect the behavior of consumers. Next, the difference in behavior and attitudes on product choice and purchase when consumers are rational or irrational decision makers will be discussed, Lastly, the ways marketers used to change consumers ‘attitudes and behavior when they are rational or irrational will be included as well. Content Different types of consumers have different attitudes towards products or services...
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...Determinants of Mobile Advertising Effectiveness: A Field Experiment _______________ Yakov BART Andrew T. STEPHEN Miklos SARVARY 2012/38/MKT Electronic copy available at: http://ssrn.com/abstract=2029496 Determinants of Mobile Advertising Effectiveness: A Field Experiment Yakov Bart* Andrew T. Stephen** Miklos Sarvary*** March 21 2012 * Yakov Bart (Yakov.Bart@insead.edu) is an assistant professor of marketing at INSEAD, 1 Ayer Rajah Avenue, Singapore 138676. Andrew T. Stephen (AStephen@katz.pitt.edu) is an assistant professor of business administration and Katz Fellow in marketing at the Joseph M. Katz Graduate School of Business, University of Pittsburgh, 318 Mervis Hall, Pittsburgh, PA 15260. Miklos Sarvary (Miklos.Sarvary@insead.edu) is Professor of Marketing and The GlaxoSmithKline Professor of Corporate Innovation at INSEAD, Boulevard de Constance, Fontainebleau 77305, France. All authors contributed equally to this work and their names are listed in random order. This research was funded by a Google-WPP Marketing Research Award and the INSEAD Alumni Fund. The authors thank George Pappachen, Ali Rana, Kara Manatt, and Aaron Katz for their assistance and support with this research. This paper can be downloaded without charge from the Social Science Research Network electronic library at: http://ssrn.com/abstract=2029496 * Assistant Professor of Marketing at INSEAD, 1 Ayer Rajah Avenue 138676 Singapore. Email Yakov.bart@insead.edu Assistant Professor...
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...shopping (e-shopping) tends to be dominated by male shoppers. At the same time, social networking is growing fast and is especially popular amongst young females. The purpose of this paper is to draw on prior research about why people shop in order to explore the concept of social e-shopping, based on combining e-shopping with social networking. We propose that shoppers, particularly young females, will prefer social e-shopping to traditional e-shopping. We carried out a qualitative study for our propositions with a comparison experiment, semistructured questionnaire and focus group, to compare a traditional e-shopping website with a social e-shopping one. The findings reveal that young women prefer social e-shopping sites. Both utilitarian and hedonic young adult female shoppers found social e-shopping enjoyable and useful. However, although many participants found the social e-shopping site more difficult to use, this was outweighed by their enjoyment of the site and its usefulness. The study demonstrates the potential value of the concept of social e-shopping for future research. The findings have practical implications in that social e-shopping can be a valuable strategy for e-retailers wanting to...
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...The current issue and full text archive of this journal is available at www.emeraldinsight.com/1355-5855.htm Hedonic shopping motivations, supermarket attributes, and shopper loyalty in transitional markets Evidence from Vietnam Trang T.M. Nguyen Hedonic shopping motivations 227 Received February 2006 Revised July 2006 Accepted August 2006 Vietnam National University, Ho Chi Minh City, Vietnam Tho D. Nguyen and Nigel J. Barrett School of Marketing, University of Technology, Sydney, Australia Abstract Purpose – This study aims to explore the impact of hedonic shopping motivations (HSM) and supermarket attributes (SMA) on shopper loyalty (SLO). Design/methodology/approach – A sample of 608 supermarket shoppers in Ho Chi Minh City, Vietnam was surveyed to test the model. Structural equation modeling was used to analyze the data. Findings – It was found that SMA and HSM had positive effects on SLO. It was also found that the impact of hedonic motivations on SLO was different between the younger and older, as well as lower and higher income groups of customers. However, no such difference was found between female and male shoppers. Research limitations/implications – A major limitation of this study was the use of a sample drawn from one transitional market. Cross-national samples will be a direction for further research. Also, the study focuses on attitudinal loyalty. Behavioral loyalty should be taken into account in future research. Practical...
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...inspiration for its product design from an idea generation called “deep dive” where the analyst completely submerges themselves in the consumer environment. 2. Successful products contain a mix of utilitarian and hedonic values. Consumers want their purchase to do exactly what it needs to do, as it raises the consumers’ social status, guarantees high quality or both. 3. The consumer expects to feel something after they buy a product. The product can give the consumer extra attention from others, or the product can perform its function flawlessly. 4. Utilitarian value is expected, but hedonic value is the game changer. The consumer expects their purchase to do the job. The consumer wants the product gives the them a feeling after its purchase. 5. Edison’s” genius is 1 % inspiration and 99% perspiration,” observation is partially correct. I feel ambition as a component because anyone can have inspiration and work hard. Ambition adds the constant want to move higher while perspiring. Case 1-2 1. It seems luxury products were invented in Western Europe and introduced to the United States. Western Europe also invented the first car. The United States, as well as Japan, have made most of the technology innovations and introduced them around the world. 2. Canon (Japan), Vizio (US), Ralph Lauren (US), Skullcandy (US), Sony (Japan). Most of my products are made from American companies. Some companies, like Vizio, actually get most of their product parts from foreign...
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...Case 2-3 Virtually Free! 1. Consumers, whether adults or children, have to learn how to play online games like Tiny Zoo and Castleville. In this part of the book, learning is described as being intentional or unintentional. Explain your opinion on whether these games are learned more by intentional or unintentional learning mechanisms. Intentional learning is the process by which consumers set out to specifically learn information devoted to a certain subject. Unintentional learning is learning that occurs when behavior is modified through a consumer-stimulus interaction without any effortful allocation of cognitive processing capacity toward that stimulus. In this situation I feel the games are learned by intentional learning. In this situation the consumer is actively taking an interest in how they wish to accomplish a particular task and participate in the activity. 2. Brand loyalty is an important marketing concept. Define the concept of schema. How important is the brand schema in consumer decisions to play these games? Do you think consumers think of the company (Zynga), the game (Cityville), or the host (Facebook) when playing the games? A schema can be defined as the mental concept that informs a person about what to expect from a variety of experiences and situations. A schema can be developed based on information that is provided by life experiences and are then stored in the memory. The brand schema in consumer decisions to play these games is...
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...http://www.activitymode.com/product/mkt-305-wk-8-quiz-7-chapter-11-12/ Contact us at: SUPPORT@ACTIVITYMODE.COM MKT 305 WK 8 QUIZ 7 CHAPTER 11 & 12 MKT 305 WK 8 Quiz 7 Chapter 11,12 TRUE/FALSE 1. Situational influences are things that influence consumers that are independent of enduring consumer, brand, or product characteristics. 2. Situational influences change the desirability of consuming things but don’t change the value of these things. 3. Situational influences can be classified into one of two categories: utilitarian and hedonic. 4. The term situational factors is sometimes used to refer to situational characteristics related to time. 5. Time pressure is represented by an urgency to act based on some real or self-imposed deadline. 6. Consumers experiencing time pressure are less likely to rely on simple choice heuristics than are those in less tense situations. 7. Seasonality refers to regularly occurring conditions that vary with the time of year. 8. The challenge for those who sell seasonal products is to position the product more as an everyday option. 9. Periodical cycle refers to the rhythm of the human body that varies with the time of day. 10. Timing ad buys so that advertisements run primarily at times when customers will be most receptive to the message is called advertiming. MKT 305 WK 8 QUIZ 7 CHAPTER 11 & 12 To purchase this visit here: http://www.activitymode.com/product/mkt-305-wk-8-quiz-7-chapter-11-12/ ...
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...structural model is presented that shows the outcomes of this variance in a retail context involving women’s apparel stores. Low typicality is associated with increased excitement and discomfort, and these emotions affect patronage intentions and perceived shopping value. This finding is counterbalanced by a direct, positive link between typicality and patronage intentions. D 2001 Elsevier Science Inc. All rights reserved. Keywords: Schema; Consumer affect; Shopping value Recently, research has demonstrated the key role played by emotional experiences in explaining store choice and consumer– environment interactions and reactions (Bitner, 1992; Baker and Cameron, 1996). Design elements including a store’s employees, prices, lighting, scents, product assortment, background music, and crowdedness influence the affect experienced in a service environment (Eroglu and Machleit, 1990; Hui and Bateson, 1991; Hui et al., 1997; Baker et al., 1994; Darden ´ and Babin, 1994; Dube and Morgan, 1996; Spangenberg et al., 1996; Yoo et al., 1998). Likewise, it is clear that mood or affective tone can influence shopping intentions, spending, quality perceptions, satisfaction, and...
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...QUIZ 3 CHAPTER 5 & 6 To purchase this visit here: http://www.activitymode.com/product/mkt-305-wk-4-quiz-3-chapter-5-6/ Contact us at: SUPPORT@ACTIVITYMODE.COM MKT 305 WK 4 QUIZ 3 CHAPTER 5 & 6 MKT 305 WK 4 Quiz 3 Chapter 5,6 TRUE/FALSE 1. Motivations are the inner reasons or driving forces behind human actions as consumers are driven to address real needs. 2. Human motivations are oriented toward two key groups of behavior: steady-state and self-improvement. 3. Homeostasis refers to the fact that the body naturally reacts in a way so as to maintain a constant, normal bloodstream. 4. Self-improvement motivations drive behaviors aimed at changing one’s current state to a level that is more ideal. 5. Maslow’s hierarchy of needs describes consumers as addressing an infinite set of prioritized needs. 6. In Maslow’s hierarchy of needs, safety and security needs are basic needs for survival such as food and drink. 7. Esteem needs are needs for personal fulfillment. 8. Utilitarian motivation is a desire to acquire products that can be used to accomplish things. 9. Secondary motivation involves a desire to experience something personally gratifying. 10. Drinking soft drinks because one really likes the taste is driven by hedonic motivations. MKT 305 WK 4 QUIZ 3 CHAPTER 5 & 6 To purchase this visit here: http://www.activitymode.com/product/mkt-305-wk-4-quiz-3-chapter-5-6/ Contact us at: SUPPORT@ACTIVITYMODE.COM ...
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...on the successful development experience of British department stores industry, the feasibility of creating own-brand to help Wanda department stores to reduce the influences of online stores will be analyzed. This research finds three influences of online stores to Wanda department stores which is the objective one. First is the elicitation of homogenous issues of Wanda department stores. Second one is the low consumer switching cost to shop online. Third come to the high utilitarian value of online stores. From the findings of objective two, it is possible for Wanda department stores to create their own-brands, and own-brand product can reduce those three online influences identified in objective one. Wanda department stores can differentiate themselves and get ride of homogenous issues with the existence of competitive own-brand products. Besides, if Wanda department stores establish own-brands, Wanda department stores can provide greater financial switching cost since they control the price and products, and greater relational switching cost because they can control front-line sellers and take measures to reduce the turnover rate of those sellers which would in turn create better relationship with consumers. In addition, after creating own-brands, Wanda department stores can...
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...| Hedonic consumers | Utilitarian Consumers | Product/service innovation—your purple cow | Gum that has the ability to react something in your brain to recall a favorite memory. | Gum that has ADHD medicine in it. | Target Market and persona | Adults aged 35+ | High school and college students. | Goal | Our goal is to have this new brand out and selling to adults with a 10% increase in sales within a year of being put on the shelves. | Our goal is to sell 20% more gum in the first 6 months of releasing, while seeing students test scores go up as well. | Theory-based strategy 1 (name theory, define and use) | Hedonic Motivation: drive to experience something emotionally gratifying. This new gum will help adults retrieve some of their favorite memories so this will bring in customers that are looking to remember some things very vividly. Because many people will love this emotional aspect of the gum it will drive up sales. | Utilitarian Motivation: drive to acquire products that can be used to accomplish something. This gum will release some ADHD medicine so that students will be able to concentrate better while studying. Gum already increases concentration while studying so not too much of the medicine will be needed but there will be enough for students to see a difference. | Theory-based strategy 1 (name theory, define and use) | Social Networking: We would get some iElites to tweet or talk on Facebook...
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... Since marketers successfully promote the slogan “It is women’s nature to be beauty”, it seems also well-explained a phenomenon why in current market female consumer exists huge growth potential to marketers to pay attention to it. In this research project, we are trying to explore the nail preference culture of female consumers and understand their potential behavior motivations. In order to get practical information from this group of consumers, we interviewed some consumers in Nail D’Amour nail salon store as well as its nail specialist. In addition, we used value – Utilitarian Value/Hedonic Value, Motivation – Maslow’s Hierarchy of Needs, and Decision Making Process Model these three theories to explain behavior and motivations of these consumers. According to the interviewing results, we found that this group of consumers love doing nail is mainly due to its Hedonic value which satisfies consumers’ emotional demands to make them happier, prettier, and more confident. Besides, pretty, unique nails also satisfy their esteem demands by getting respect and compliment from other people for their born-with-nature pretty hands or feet. Last but not least, during the decision making process, the characteristics of 100% customization, long persistence, fashion and elegant image of nail art also make this activity...
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...the acquisition of a product; then having the product do something for them (creating value) be it hedonic or utilitarian. Internal Influences: Learning, Perception, Memory, Attitude, Categorisation (cool, uncool) Personality of Consumer: Motivation, Personal Values, Lifestyle, Emotional Expressiveness (Assignment) Consumption Process: Needs, Wants, Exchange, Costs/Benefits, Reactions Value: Utilitarian/Hedonic Relationship Quality External Influences Situational Influencers Affect: feelings Consumer research: defining, establishing and testing individual differences in order to divide market External Influences: interpersonal, social environment (workmates/housemates/family) Situational Influences: time of day Learning Outcome 2: Define consumer value and compare and contrast two key types of value Value: What you get – What you give up eg. 7/11 convenience of opening 24/7 allows the company to introduce a higher premium Utilitarian: utility aspect (product, functionally, does something for you) Hedonic: facebook updates on your phone Learning Outcome 3: Apply the concepts of marketing strategy and marketing tactics to describe the way firms go about creating value for consumers basic benefits, plus augmented benefits, plus 'feel' (hedonic) benefits value co-creation: customers play a part, interaction with each other C2C Learning Outcome 4: Explain the way market characteristics like market segmentation and product differentiation affect...
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