marketing research

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you will be doing part 3 base on chapter 7 

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MKT 3230 A02 (3 CH)

CONSUMER BEHAVIOUR

Dr. Marcio Coelho
108 Drake, MW 2.30 -3.45 pm

1

  • Consumer Behaviour Project (20%)
  • 1

    This project is designed to enhance your understanding of the processes involved in and the influences o

    n

    Consumer Behaviour.

    The main objectives of the Consumer Behaviour Project are:

    • To develop an appreciation for the value of knowledge of Consumer Behaviour in developing a
    successful marketing strategy

    • To provide a coherent framework for interpreting consumer reactions to marketing stimuli

    • To develop an appreciation of the ethical dimensions of consumer marketing

    • To develop your knowledge on how to write precisely and concisely for business writing

    To achieve these objectives, you will be asked to do some specific tasks:

    • Learn and use key terms, definitions, and concepts used in the field of Consumer Behaviour

    • Show knowledge and understanding of the course material in your group project

    • Engage in and report on your own consumer behaviour with an increased awareness of the
    internal and external forces at work when you make a purchase

    • Share with the class your applications of Consumer Behaviour theory, using your group’s project

    Your group will choose a product (good, service, combination, event, person, place, etc.) which is

    currently offered for sale in the Canadian marketplace today by a specific company (it need not be

    manufactured in Canada).

    After learning about the consumers who buy this product, create the concept of a product extension. This

    new product must be something that is not currently marketed by that particular company, that you think

    would interest the same customers who are now buying the original product.

    EXAMPLE: if you chose Gatorade with their green (and other colours) drink which is marketed to young

    sporty people, particularly males, your product line extension might be a line of Gatorade sports clothing.

    I should advise you to choose a product for which you will be able to find an advertising campaign; you

    may use an ad from the Internet but be sure it can be printed out to hand in, and that it has the elements of

    an advertisement and is not just a picture (an ad can be just a picture but that’s a philosophical debate for

    another time).

    i. Point of View

    When writing the project, put yourself in the role of a marketing consultant to the producer of the product

    you have selected. Write it like a business report – clear and concise.

    1 Project developed by M Louise Ripley, M.B.A., Ph.D from York University, Toronto. Used with Permission

    2

    ii. General Format for all Five Parts

    For each Part of the Project you will hand in within the first

    15

    minutes of class on the day it is due, the

    required number of pages as stated below, typed in standard font – Times New Roman, Helvetica, or Arial

    Regular (NOT Ariel Narrow), single-spaced in not less than 11-point type, with 1″ margins all around.

    a. Using Theory

    As this is a course in an academic business program, I am looking for evidence that you’re using the

    theory you are reading about and discussing. So use the theory and use the terms. Don’t waste space

    defining terms; we all have the book. Instead, use them.

    Remember when you’re working on these assignments that you’re not going to be graded on whether you

    get a particular topic (e.g.: differential threshold) right for a particular purchaser of your particular

    product .

    Sometimes I do not have these “right” answers for all possible products students might come up with —

    but you are being graded on whether you use the terms correctly and seem to understand them, and you

    are being graded on how well you cover the material using your own product as an example.

    b. The Five Parts of the Consumer Behaviour Project

    i. Part 1 (0 marks but you can’t go forward without submitting it)

    LENGTH – 1 – 2 pages, single-spaced,

    Due – Monday, January 20 in the UM Learn

    Prepare a cover page like the cover page above.

    In short, on no more than 2 pages, do six things (number them):

    1. State the brand name and product class of a specific product currently existing in Canada (this is
    your original product), for which it would be possible to create a new product within the product

    line* (this is your product extension).

    2. The product class is the type o product, e.g. transports, food, energy and oil, construction, etc.).
    The brand name is the specific brand name of the product currently marketed. Add to this a few

    words to tell me what this thing is, if it is not immediately obvious from its name. For example, if

    you have the product class soft drinks and you tell me that your current product is Pepsi Diet

    Cola, you do not need to tell me that that’s a cola. However, if you have timekeepers as a product

    class and you tell me that you’re researching the Bagnasty’s Absquatulator, tell me what it is.

    3. State the current target market for the current product and then state the 3 most important
    characteristics of the current target market for this product. On a separate line, state the most

    important customer need that your product meets. Don’t analyze it; just state it. You should

    elaborate this analysis on the last delivery which is due to same day of your group presentation.

    Try as much as you can to be sure that this most important need relates directly to the eventual

    product extension you will choose.

    4. State where the current product is currently sold, both geographically and in terms of its type of
    distribution.

    3

    5. State in Canadian dollars the price range at which the current product is usually sold. Maybe you
    will need to make a quick research here.

    6. State the three most important environmental variable that affects your current product, out of the
    basic seven environments (demographic, geographic, economic, natural, technological,

    political/legal, socio/cultural); then in not more than 3 lines explain each one of them (three lines

    for each).

    7. State your best idea at this time for a proposed product extension to be sold to this same target
    market and describe it in not more than 3 lines. You may change your idea as you progress

    through the assignments, but having an idea at the start of what you will eventually sell to this

    target market will help you to focus on what you analyze about them now.

    That’s it: No more, No less. This part doesn’t have theory, at least not explicit stated theory. It is designed

    to get your group started quickly and to get you to understand the importance of writing concisely.

    While preparing Part 1, read the instructions for the other parts and be sure that you can do what is

    required in the rest of the assignment with what you propose in Part 1. Here is what an Assignment One

    might look like:

    1. Original Brand Name of Product: Bagnasty’s Absquatulator

    Product Class: Timers

    Description: method to account for time spent doing crossword puzzles

    2. Current Target Market: Crossword Puzzle Lovers

    over age 18 (i.e. not children)

    have very little free time

    enjoy leisure highly structured

    Need: method to help cut down on time spent doing crossword puzzles

    3. Currently Sold: across Canada, in bookstores

    4. Price Range: $4 – $

    6

    5. Three Major Environmental Factor: socio-cultural, because it involves people’s free-time activities

    Technological: this is kind of a new technology that it is not applied to this specific field yet.

    Political – Legal: As it will be a new application to this technology, maybe some regulations will

    apply on it.

    6. Product Extension: Bagnasty’s Pool-Side Absquatulator

    Waterproof version of original to enable puzzlers to track puzzle-solving time pool-side or actually in the

    pool

    ii. Part 2 (10 marks)

    LENGTH – 6 to 8 pages total, double-spaced + copy of ad.

    Due – Friday, February 3, in the UM Learn

    Chapters related to it: 1,5, and 2.

    Choose one print ad for your company’s current product and attach a copy of it to this report; make

    another copy – you will need it later. In not more than 2 pages for this first part, identify the customers for

    your current product and describe them in ways specifically relevant to the course material in Chapters 1,
    2 and 5 of Solomon and in ways that clearly relate to how the product and the attached advertisement

    appeal to those customers. Put the material relevant to each chapter on a separate page. Two pages for

    4

    each chapter, and label them. Do not overlap or overrun pages and stick to margin etc. limits. Be specific;

    think of this partly as an outline of what is most important in these chapters.

    Realize that while you are in essence being asked to follow the outline of the chapter, you don’t have

    room to list absolutely everything. Use the BLUE TOPICS in the textbook as your guide, and look at the

    bolded terms below those. For example, in Chapter 1 there are 15 Blue Topics (The first is Consumer

    Behaviour: People in the Market Place) and in Chapter 2 there are 13 (the first is Smell, but note that you

    don’t need to write down all the senses, just the one main one that is relevant to your product and/or ad).

    Write in true point form and you will have room to cover all of them. Be sure you use the terms in ways

    that show me that you understand what they mean. You may relate the term to the current product, the

    target market, or your advertisement. DO NOT YET USE THE NEW PROPOSED PRODUCT.

    Note that most terms will apply in some way to any product. You cannot for example say that “schema” is

    not applicable or that “positioning” is not relevant. There is a schema in every human thought, and no

    marketer would start any marketing project without some idea of how to position the product in the

    market. For example, while one of the five senses might not seem directly relevant for a product, it may

    be relevant simply in the fact that it is NOT part of the product (think about Clinique’s line of scent-free

    cosmetics). You should have almost no items listed as “N/A” (not applicable).

    In another two pages, choose the five most important points of the chapter and write further at length

    (point form or prose) describing specifically how that point relates to your product and its ad.

    iii. Part 3 (20 marks)

    LENGTH – 8 – 12 pages total, double-spaced.

    Due – Friday, March 16 in the UM Learn

    Chapters related to it: 6 and 9

    Do some informal research for this part – interviews or survey of a small group of current users of the

    product or a product similar to yours and use the information in the first part of this Part, which is done

    the same way as Part 2. Try to gather some simple information on demographics and psychographics that

    might be helpful to you when you introduce your product extension.

    You’re looking for some early clues to whether or not your extension would be popular with your current

    target market. In not more than 4 pages, further describe your current customers in ways specifically

    relevant to the course material in Chapters 6 and 9 of Solomon, making specific reference to what you

    found out in your limited market research and again using the Blue Topics as a guide. Put the material

    relevant to each chapter on two separate pages, two pages for each chapter and label them. Do not overlap

    or overrun pages. Do not include a separate analysis of the information you find out in your research, but

    rather make sure it shows up in your writing to illustrate the terms and theories you are explaining
    (example: “57% of our respondents said they liked the symbolism in the ad”). As with Part 2, think in

    terms of your customer, the current product, and the advertisement that reaches that customer. Ultimately

    these three things should be inextricably linked: a good ad will target the reasons that the customer buys

    the product.

    Remember the basic rules of ethical research with human participants, even informal research as this is:

    you must identify yourself and tell them what you are doing and why, you must assure them of

    confidentiality, and you must tell them that they are free at any time to stop the interview. The sample

    need not be large enough to be statistically significant – I’m more interested in how you use your results

    5

    than that those results be statistically significant, I do not need to see your questionnaires or summaries of

    data, and I don’t want to see any statistical tables.

    In another two pages, choose the five most important points of these chapters and write further at length

    (point form or prose) describing specifically how that point relates to your product and its ad.

    Although you are writing about your current product and its consumers, you are already beginning here to

    think about your new product: what you’re doing here is playing amateur psychologist, and trying to wrap

    your mind around the learning processes and motivation that drives these people to buy this product, for

    the express purpose of selling them something similar — the very worst of what Marketing is often

    accused of doing! Your main focus here is on the current product, but use this opportunity to ask them

    briefly about their reaction to your proposed new product – Would they be interested? How much would

    they expect to pay? Where would they expect to find the product?

    As for this part you should need to prepare some questions, we should follow this dates to prepare the

    survey:

    Until February 5 – Send me the questions you’ve prepared for the survey.

    Until February 12 – I will give you feedback on the survey.

    From February 17 to March 16 – Do the survey with as much as people you can. Use the winter break to

    collect data and analyse it.

    From March 2 to 16 – Prepare the report for the Delivery 3.

    iv. Part 4 (10 marks)

    LENGTH – 6 pages total, double-spaced.

    Due – April 1, 6, or 8.

    This final part of the project will be your group presentation. Using what you learned overall, in not more

    than 15 minutes, explain to the class about your original product, the advertisement you’ve choose, and

    the new product line extension that your group is suggesting the company launches in the market.

    Present to the class the most important points that are related with the course content (you should retrieve

    the information and feedback gave by the professor on Deliveries 2 and 3.

    Describe how you expect your current customers to go through the process involved in moving from

    being loyal users of the original product to (you hope) being loyal users of your product line extension

    including attempts you make to change their attitude toward a new product. Be specific; think of this

    partly as a summary of what was most important to you in the book, in terms of your project.

    The presentation will be evaluated for:

    • Clarity of presentation: the actual product and the product extension proposed by your group
    should be clear and easy to understand;

    • Level of relatedness of the presentation with the most important points in the course content;

    • The quality of the proposal to attract actual loyal customers to the new product proposed using
    Costumer Behaviour concepts (process involved in moving from being loyal users of the original

    product to (you hope) being loyal users of your product line extension);

    • Persuasiveness of the presentation to senior management.

    • Creativity, organization and presentation of relevant information, dress, manner, and speaking
    style of the presenters.

    6

    Each group’s member should take part on the presentation. If a student doesn’t present with his/her group,

    it won’t receive the grade for this part of the Project.

    The group doesn’t need to deliver a written report on this part of the project.

    During all the semester, each group should be prepared to make a short presentation before each delivery.

    I should give each group the opportunity to share about its project, or could choose one or two groups

    instead to do so.

    The evaluation criteria of the presentation is found below

    MKT 3230 A02 (3 CH)
    CONSUMER BEHAVIOUR

    Dr. Marcio Coelho
    108 Drake, MW 2.30 -3.45 pm

    7

  • Summary of Final Project Analysis Evaluation Criteria
  • Category High Proficiency Some Proficiency No/Limited Proficiency
    Alloc
    atio

    n

    Clarity: Level in
    what the new
    idea is easy to
    understand

    Clearly presents information about the actual
    product and suggested product line extension,
    that doesn’t need further explanation

    Successfully presents good amount of information
    about the actual product and make suggestions to
    the product line extension that needed some
    explanation else

    The product presented and the product line
    extension suggested are hard to understand
    without clarification

    10

    Analysis:
    Level of
    relatedness of the
    presentation with
    the most
    important points
    in the course
    content;

    The group shows high interpretational skill on the
    concepts studied during the term, correctly
    relating them with the product line extension
    suggested.

    The group show some proficiency in analyzing the
    concepts. Most of the time these concepts were
    correctly related with the course content.

    The group failed in correctly analysing and relating
    Consumer Behaviour’s concepts and applying them
    to the product extension proposed.

    30

    Proposal to
    attract
    customers: to the
    new proposed
    product

    The Consumer Behaviour project shows a feasible
    and consistent proposal on how to turn loyal
    customers to the actual product into customers
    to the new product line extension proposed using
    concepts studied in this term

    The project shows interesting ways to try to turn
    loyal customers to the actual product into
    customers to the new product line extension
    proposed using concepts studied in this term, but
    lacks support to the strategy

    The Consumer Behaviour project is wear in terms
    of how to turn loyal customers to the actual
    product into customers to the new product line
    extension proposed using concepts studied in this
    term

    25

    Persuasiveness of
    the presentation
    to senior
    management.

    The group present clear information and
    concepts that would likely convince the firm’s
    senior management to adopt the product line
    extension proposed.

    The group present good information and concepts
    on Consumer Behaviour, but lacks evidence and
    reasons to convince the firm’s senior management
    to adopt the product line extension proposed.

    The presentation fails in persuade the Senior
    Management to adopt the product line extension
    because missed some important concepts or
    clarification

    20

    Creativity,
    organization;
    Dress, manner,
    and speaking
    style of the
    presenters

    The group presented the final report in a creative
    manner, well dressed, with loud, clear and proper
    speaking style, and could be done to senior
    management in a real firm

    The group made a good presentation, but could
    have improved the creativeness, the dressing, the
    voice style and the persuasiveness.

    The presentation lacks in creativity, group
    dressing, voice style and persuasiveness

    15

    8

      Consumer Behaviour Project (20%)
      i. Point of View
      ii. General Format for all Five Parts
      a. Using Theory
      b. The Five Parts of the Consumer Behaviour Project
      i. Part 1 (0 marks but you can’t go forward without submitting it)
      ii. Part 2 (10 marks)
      iii. Part 3 (20 marks)
      iv. Part 4 (10 marks)

      Summary of Final Project Analysis Evaluation Criteria

    Copyright © 2017 Pearson Canada Inc. 7 – 1

    Attitudes

    Chapter 7

    Copyright © 2017 Pearson Canada Inc. 7 – 2

    Chapter Objectives

    • Understand that it is important for consumer researchers to understand the
    nature and power of attitudes.

    • Understand that attitudes are more complex than they first appear.
    • Understand that attitudes are made up of three components: affect,

    behaviour, and cognition.
    • Understand that we form attitudes in several ways.
    • Understand that a need to maintain consistency among all of our attitudinal

    components often motivates us to alter one or more of them.
    • Understand that we use attitude models to identify specific components and

    combine them to predict a consumer’s overall attitude toward a product or
    brand.

    • Understand that social norms can impact the degree to which consumer
    attitudes will influence their behaviours.

    Copyright © 2017 Pearson Canada Inc. 7 – 3

    The Power of Attitudes
    Attitude

    Lasting, general evaluation of people, objects,
    advertisements, or issues
    • Attitude object (AO)
    • Help to determine a number of preferences and

    actions

    Copyright © 2017 Pearson Canada Inc. 7 – 4

    Functional Theory of Attitudes
    • Katz: Attitudes exist because they serve some

    function

    • Determined by a person’s motives

    • Attitude functions:
    • Utilitarian
    • Value-expressive
    • Ego-defensive
    • Knowledge

    • Marketers emphasize the function a product serves

    for consumers (what benefits it provides)

    Copyright © 2017 Pearson Canada Inc. 7 – 5

    Functional Theory of Attitudes
    • Marketers emphasize the function a product serves

    for consumers (what benefits it provides)

    Copyright © 2017 Pearson Canada Inc. 7 – 6

    Functional Theory of Attitudes
    • Katz: attitudes exist because they serve some

    function

    UTILITARIAN
    FUNCTION:

    Relates to rewards and
    punishments

    VALUE-EXPRESSIVE
    FUNCTION:

    Expresses consumer’s values
    or self-concept

    EGO-DEFENSIVE
    FUNCTION:

    Protect ourselves from
    external threats or internal

    feelings

    KNOWLEDGE
    FUNCTION:

    Need for order, structure, or
    meaning

    Copyright © 2017 Pearson Canada Inc. 7 – 7

    Functional Theory of Attitudes cont’d
    • Marketers emphasize the benefits a product serves

    for consumers
    • Example: Study of football fans identified three

    clusters:

    Cluster Sports Marketer’s Strategy

    Die-hard team fans Provide greater sports knowledge
    Relate attendance to personal values

    Those who enjoy
    cheering for winning team

    Publicize aspects of visiting teams,
    such as sports stars

    Those who look for
    camaraderie

    Provide improved peripheral benefits
    (e.g., improved parking)

    Copyright © 2017 Pearson Canada Inc. 7 – 8

    The ABC Model of Attitudes

    Attitude has three components:
    • Affect: The way a consumer feels about an attitude

    object.

    • Behaviour: Person’s intentions to do something with

    regard to an attitude object.
    • Cognition: Beliefs a consumer has about an attitude

    object.

    Copyright © 2017 Pearson Canada Inc. 7 – 9

    Hierarchies of Effects
    • Impact/importance of attitude components depends

    on consumer’s motivation toward attitude object

    Copyright © 2017 Pearson Canada Inc. 7 – 10

    Hierarchy of Effects
    • High-Involvement Hierarchy

    • Consumer “bonds” with the product over time
    and is not easily persuaded to experiment with
    other brands.

    • Seeks out a lot of information, carefully weigh
    alternatives, and come to a thoughtful decision.

    • Low-Involvement Hierarchy
    • Consumer does not have strong brand preference
    • Consumers swayed by simple stimulus-response

    connections

    Copyright © 2017 Pearson Canada Inc.

    ZAJONC’S MODEL OF HEDONIC CONSUMPTION

    According to the experiential hierarchy of effects, we act
    on the basis of our emotional reactions.

    • hedonic motivations
    • emotional contagion
    • cognitive-affective model
    • independence hypothesis does not eliminate the role

    of cognition in experience

    7 – 11

    Copyright © 2017 Pearson Canada Inc. 7 – 12

    Product Attitudes Don’t Tell the Whole Story
    Attitude Toward the Advertisement

    • We form attitudes toward objects other than the
    product; acn influence product selections.

    • We often form product attitudes from ads
    • Aad: Attitude toward advertiser +

    evaluations

    of ad

    execution + ad evoked mood + ad arousal effects
    on consumer + viewing context

    • Think about it: When you read a pleasant ad
    are you interested in the product or the
    atmosphere?

    Copyright © 2017 Pearson Canada Inc. 7 – 13

    Ads Can Create Powerful Feelings
    Commercials evoke

    emotion
    • Upbeat feelings:

    amused, delighted,
    playful

    • Warm feelings:
    affectionate,
    contemplative, hopeful

    • Negative feelings:
    critical, defiant,
    offended

    Copyright © 2017 Pearson Canada Inc. 7 – 14

    Forming Attitudes
    • Classical conditioning: Repeated often
    • Instrumental conditioning: Reinforcement, modeling

    Copyright © 2017 Pearson Canada Inc. 7 – 15

    Attitude Commitment
    Degree of commitment is related to level of

    involvement with attitude object

    COMPLIANCE
    Lowest level: consumer forms attitude because it

    gains rewards or avoids punishments

    IDENTIFICATION
    Mid-level: attitudes formed in order to conform to

    another person or group

    INTERNALIZATION
    Highest level: deep-seeded attitudes become part

    of consumer’s value system

    Copyright © 2017 Pearson Canada Inc. 7 – 16

    Consistency Principle

    Principle of cognitive consistency:
    • We value/seek harmony among thoughts, feelings,

    and behaviours
    • We will change components to make them

    consistent

    • Think about it: Do you ever make choices that
    your know are unhealthy, but do it anyway?
    Why?

    Copyright © 2017 Pearson Canada Inc. 7 – 17

    Cognitive Dissonance and
    Harmony Among Attitudes

    Theory of cognitive dissonance
    When a consumer is confronted with inconsistencies
    among attitudes or behaviours, action is required to resolve
    the “dissonance”

    • Example: Two belief statements
    about smoking:
    • “I know smoking causes cancer”
    • “I smoke cigarettes”
    • Consumer will resolve the

    dissonance by either satisfying
    urge to smoke or stopping the behaviour

    Copyright © 2017 Pearson Canada Inc.

    Post purchase dissonance
    • Postpurchase dissonance

    can occur in situations
    where the consumer
    has a choice between
    more than one
    favourable alternative
    • dissonance resolution to

    commit to the chosen
    object even more
    after purchase

    • Marketers can reaffirm
    that the consumer made
    the right choice

    7 – 18

    Copyright © 2017 Pearson Canada Inc. 7 – 19

    Self-Perception Theory
    Self-perception theory
    We use observations of our own behaviour to determine
    our attitudes
    • We must have a positive attitude toward a product if
    we freely purchase it, right?

    • Low-involvement hierarchy (after the fact)
    • Foot-in-the-door technique (start with small

    request)
    • Low-ball technique (ask for small favour)
    • Door-in-the-face technique (ask for big favour)

    Copyright © 2017 Pearson Canada Inc. 7 – 20

    Social Judgement Theory
    Social judgment theory
    We assimilate new information about attitude objects in
    light of what we already know/feel

    • Initial attitude = frame of reference
    • Latitudes of acceptance and rejection

    • Assimilation and contrast effects
    • Brand preference

    Copyright © 2017 Pearson Canada Inc. 7 – 21

    Balance Theory
    Balance theory
    Considers relations among elements a consumer might
    perceive as belonging together
    • Involves triad attitude structures:

    • Person
    • Perception of

    attitude object
    • Perception of

    other person/object
    • Perception can

    be positive or
    negative

    • Balanced/harmonious triad elements
    • Unit relation and sentiment relation

    Copyright © 2017 Pearson Canada Inc. 7 – 22

    Restoring Balance in a Triad

    Copyright © 2017 Pearson Canada Inc. 7 – 23

    Basking in reflected glory
    • Consumers often like to publicize their connections

    with successful people or organizations to enhance
    their own standing.

    • Marketing Applications
    • Marketers use celebrity endorsers of products to

    create positive associations –
    • Budweiser release of a limited edition “Fan Brew”

    beer for Winnipeg Jets fans.
    • Can backfire if public opinion of celebrity shifts

    e.g., Tiger Woods.

    Copyright © 2017 Pearson Canada Inc. 7 – 24

    Copyright © 2017 Pearson Canada Inc. 7 – 25

    Attitude Models

    • Attitude assessment can be complex
    • Product/service may have many attributes
    • Attitudes are affected by other factors (approval of

    others)
    • Attitude models help identify influencers of

    evaluations

    Copyright © 2017 Pearson Canada Inc. 7 – 26

    Multi-Attribute Attitude Models
    • Multi-attribute models: Consumer’s attitudes toward

    an attitude object depends on beliefs she has about
    several or many attributes of the object

    • Three elements
    • Attributes of AO (e.g., college)

    • Example: scholarly reputation
    • Beliefs about AO

    • Example: University or College is strong
    academically

    • Importance weights
    • Example: stresses research over athletics

    Copyright © 2017 Pearson Canada Inc. 7 – 27

    Fishbein Model

    Measures three components of attitudes:
    • Salient beliefs about AO
    • Object-attribute linkages
    • Evaluation of each important attribute

    Copyright © 2017 Pearson Canada Inc. 7 – 28

    Copyright © 2017 Pearson Canada Inc. 7 – 29

    Strategic Applications
    of Multi-Attribute Model

    • Capitalize on relative advantage: Convince
    consumers that product attributes are important in
    brand choice

    • Strengthen perceived product/attribute linkages: If
    consumers don’t associate certain attributes with
    the brand, make the relationship stronger

    • Add a new attribute: Focus on unique positive
    attribute that consumer has not considered

    • Influence competitors’ ratings: Decrease the
    attributes of competitors

    Copyright © 2017 Pearson Canada Inc. 7 – 30

    The Extended Fishbein Model

    Theory of reasoned action: Considers other elements
    of predicting behaviour

    • Intentions versus behaviour: measure behavioural
    intentions, not just intentions

    Copyright © 2017 Pearson Canada Inc. 7 – 31

    The Extended Fishbein Model
    Theory of reasoned action: Considers other elements
    of predicting behaviour

    • Social pressure: Acknowledge the power of other
    people in purchasing decision

    • Subjective norm: What we believe other people think
    we should do

    • Attitude toward buying: Measure attitude toward the
    act of buying, not just the product

    Copyright © 2017 Pearson Canada Inc. 7 – 32

    Obstacles to Predicting Behaviour
    in the Theory of Reasoned Action

    Fishbein model’s weaknesses include:
    • Doesn’t deal with outcomes of behaviour, including

    those beyond consumer’s control
    • Doesn’t consider unintentional behaviour, such as

    impulsive acts or novelty seeking
    • Doesn’t consider that attitudes may not lead to

    consumption
    • Doesn’t consider the time frame between attitude

    measurement and behaviour
    • Doesn’t differentiate between consumer’s direct,

    personal experience, and indirect experience

    Copyright © 2017 Pearson Canada Inc. 7 – 33

    Normative Influences
    Two types:

    • Descriptive norms – norms that convey what others are
    doing

    • Injunctive norms – norms that convey what others think
    you should do

    • Descriptive norms can be very powerful
    • Cialdini and colleagues reuse of hotel towels

    research
    • Especially combined with feedback – Opower

     

     
     
     

    Group Project Part 1 / Delivery 1

     

    By: Zachary Toupin, Chaewon Lee, Takudzwa Mushosho, Paramvir Bajwa and Synclaire Ocici

     

    MKT 3230 Consumer Behaviour

    Instructor: Marcio Coelho

     

    January 21, 2020

     
     
     

    Group Project Part 1 Example

    1:     Original Brand Name of Product: KitKat

             Product Class: chocolate bar / candy

             Description: chocolate bar (wafer covered with milk chocolate)

    2:     Current Target Market: people of all ages and chocolate lovers

             Are of all ages

             People who like chocolate

             Busy people who need a break

             Need: having a snack, quick convenient way to eat

    3:     Currently Sold: Across Canada, in grocery stores, corner stores, convenience stores, etc

    4:     Price Range: $1 – $4

    5:     Three Major Environmental Factors are:

             Demographics (ages / busyness)

             Natural: ethical sourcing of ingredients (cocoa)

             Political: ethical sourcing of ingredients again

    6:     Product Extension: Caffeinated KitKat (KitKat with caffeine added)

             Same as original KitKat bar, but with added caffeine, helps those taking breaks to “recharge their batteries” or get a boost of energy, instead of coffee or energy drink

     
     
     
     

    Group Project Part 2 / Delivery 2

     
    By: Zachary Toupin, Chaewon Lee, Takudzwa Mushosho, Paramvir Bajwa and Synclaire Ocici
     

    MKT 3230 Consumer Behaviour A01

    Instructor: Marcio Coelho
     

    February 2, 2020

     

    This is our group’s chosen advertisement for Kit Kat. This ad for Kit Kat appeals to the large target market Kit Kat has chosen to advertise towards. Since Kit Kat is a food item, it tries to appeal to the public and consumers in general, although more consumers will be attracted if Kit Kat offers them something of value. Kit Kat has cemented itself as a snack you have when you need to take a break, or if you are feeling anxious or overwhelmed. Thus, Kit Kat also targets busy people who need a break, giving them that extra reason to purchase a Kit Kat over its competitors. The ad shows how anxiety will diminish when a person consumes a Kit Kat, giving those busy consumers a reason to try Kit Kat.

    Chapter 1 

    As a group we decided that our target audience is anyone in general that likes chocolate. But to be more specific, our target audience could be people in the workforce, or people in general, that need a break – hence Kit Kat’s famous quote “Have a break, have a Kit Kat.” This is reflected in our chosen ad, as breaks are featured in the advertisement.

    Since our product is a chocolate bar, we are not limited in the age groups we are targeting. The ages of our audience vary from toddlers all the way up to seniors. Our younger audience will be more attracted to our product for the sole reason that it is a chocolate bar, but our older audience may be more inclined to eat a Kit Kat as opposed to other brands because they associate having a break to having a Kit Kat. 

    Chocolate is a very diverse product that brings people from around the world together. The customers we are targeting specifically are people that are on the run and have a fast-paced lifestyle. This is a particularly good target market for our product, because these consumers with fast-paced lifestyles are becoming a growing trend in the fast-paced world we live in today. Kit Kat targets men and women of all ages that love chocolate. But what draws consumers to this particular brand is again the slogan “Have a break, have a Kit Kat.” Therefore, by targeting consumers that are very busy or always on the move, we can create a need that did not exist before. Every time someone needs a break, they will automatically think about having their favourite waffle bars covered in chocolate, leading to a need to purchase one if they do not have a Kit Kat already. 

    Kit Kat’s slogan also connects well with Kit Kat’s target market, being consumers of all ages and genders, especially those people who love to eat chocolate. The break mentioned in the slogan is intended to indicate a break during work or study, thereby also targeting teenagers and students as well as workers. Along with our perception, we concluded that these targeted consumers would not prefer necessarily to have variety in chocolates and purchase premium brands. There is no higher tendency for them to try chocolates with more sophisticated or luxurious brands, such as Godiva or Royce. This is the reason why we could put the segmented consumer for social class and income as general workers and students, with little to no level of income.

    An issue could be brought up in regards to Kit Kat’s business ethics, with the issue of ethical sourcing of ingredients for the product. However, Kit Kat has already made significant progress on this front, as in 2016, Kit Kat became the first global chocolate brand to use 100% responsibly sourced cocoa in its chocolate confections.

    Chapter 2:

    Our chosen product is a chocolate bar and it is one for people who are lovers of chocolate and who are consumed in their busy lives that they would need a bit of a distraction, just like a chocolate bar to snack on. The Kit Kat bar is really convenient compared to other chocolate bars, because it can easily be carried around and perfectly fits into pockets. Additionally, Kit Kats can be easily broken apart into several evenly shaped wafers, making sharing the product between multiple consumers easier as well. The Kit Kat bar’s design also fits well into the palms of your hands and feels appropriate to break apart, appealing to the sense of touch of all consumers of all ages. 

    As marketers know today, our eyes play a large role in what we take into our stomachs. Kit Kat is no exception to this fundamental concept when it selects its packaging. It is known through research that people tend to actually eat more, hence consume more, when the products are wrapped in small packages. It is no wonder that Kit Kat has many of its chocolate bars wrapped in very little packaging, which has been made as easy to remove as possible. Consumers are hence attracted to buy more chocolate bars in the long run, sometimes without even noticing. This is leveraged even further by Kit Kat, because it has already made sharing the product between multiple consumers easier by the very design of the product.

    Furthermore, the colour used in the ad is suitable to grab the attention of the target group. We know today the fact that colour can greatly boost a brand’s image and make it stand out from its competitors. Research today also shows that 93 percent of people are captured by the visuals of an ad. The target group, as mentioned earlier, are rather busy people and so using bold colours such as red helps to easily grab the attention of the consumer. In addition, with the different kinds of chocolate being advertised, using red is essentially relevant to make the Kit Kat bar stand out and be easily remembered in the minds of consumers.

    It is also noted that the older one gets, the duller colours appear and so older consumers would typically prefer brighter tones. Our chosen ad can also appeal to these types of older people with busy schedules because such ads would more easily noticed by this demographic of consumer. Also, the ad purposefully reflects the message of the brand’s positioning. Kit Kat seeks to have its consumers view it as a snack that people can easily have during their breaks. This falls under the positioning dimension of occasion. It is no wonder that this ad skilfully plays around a graph showing one’s anxiety levels against their breaks, demonstrating that the shorter one’s break is, the higher their anxiety levels and hence the more of a Kit Kat bar they should consume.

    Chapter 5

    Kit Kat’s advertisement helps ease the self-concept and self-esteem of those who purchase our product. Our chosen ad depicts how your anxiety levels go down after taking a break with a Kit Kat. This helps to ease any negative feelings about eating something that is considered unhealthy, because the consumer is actually getting something positive out of the product, and not just a good tasting snack. Thus, negative feelings that could arise in the consumer’s self-concept from eating something considered “junk food,” is diminished if not eliminated, safeguarding the consumer’s self-esteem. The advertisement for Kit Kat can also create a self-fulfilling prophecy of sorts. Since our chosen ad shows how your anxiety level will go down after consuming a Kit Kat, consumers will believe it has that effect and will also potentially feel their anxiety levels being reduced by the product. This would be another positive for Kit Kat, as it gives the product another edge over its competitors, despite the fact it may or may not actually reduce anxiety. 

    Symbolic interactionism can also be leveraged by Kit Kat. Because Kit Kat markets itself as a snack for busy people to help them take a break, it can be said that consumers may gravitate towards Kit Kat because of the message it gives out to other consumers. If a consumer would like to be seen as a busy person leading a busy lifestyle, they may be more inclined to purchase a Kit Kat over another brand of chocolate bar. This would also fit in with self-image congruence models. Since busy people will be consuming Kit Kat bars, it can be seen how a busy consumer would choose a Kit Kat bar over other chocolate bars, because Kit Kat has attributes that match those of busy people needing breaks.

    Those who are often self conscious will often pay more attention to information about the product. People may feel self conscious about the quantity of food they eat or having unhealthy snacks like chocolate. Consumers may even believe that the costs of eating Kit Kats outweighs the benefits. Our chosen ad helps to eliminate this feeling of being self conscious. It is communicating to the consumers in the most simple way possible how Kit Kats can help you cope with anxiety. This is particularly important because of the day to day difficulties people face that may produce anxiety, which Kit Kat would help moderate. As a result of this marketing tool this may aid consumers in becoming less self conscious about the product itself. It will also help in eliminating doubts about the benefits the product may have. This ad will help show that there are more benefits than costs. It will in turn change how the public view the product and create a more positive mindset.

    In addition, consumers are constantly evaluating their body image and the impacts of products they consume to their body image. If these products fail to contribute to their body image in a positive manner, they may be reluctant to consume the product. Our advertisement helps to combat this issue because it does not make mention of body size or ideal beauty. It addresses this issue by displaying the images of the different sizes of Kit Kats one can consume in the form of a graph. This ad is making an attempt to ensure consumers that the product is able to accommodate their needs in relation to how much they would like to consume in order to contribute to their ideal body image. Kit Kat is adaptable for all. Our ad also helps address this issue by not making body image the center of attention. No models are used and there is no idealistic view of beauty or body perfection created. People are being given the chance to define beauty and perfection on their own terms.

    Questionnaire Questions

    1) Do you consider yourself a busy person?

    2) Do you like / consume chocolate?

    -if yes, what do you know about kit kat? –Do you like kit kat?

    3)Do you like / consume coffee?

    -If yes, how much coffee do you drink a day?

    4) Do you eat something during your breaks?

    5) How old are you? (Demographic question)

    6) Are you employed? (Demographic question)

    7) Do you feel a need for a boost of energy during your day? (Which a break provides)

    · If yes, how? 

    8) Are you willing to replace coffee with a caffeinated chocolate bar?

    9) How much do you spend on coffee/energy products daily? Weekly?

    10) How many breaks do you take/permitted while at work? (usually allowed 2 + lunch break)

    11) Thinking about companies that provide chocolate, what companies come to mind?

    12) When choosing a chocolate brand, what do you mostly consider? (price, quantity, quality) 

    13) If the chocolate bar was low in calories (i.e low sugar/fat) would you consider switching from coffee to a chocolate bar? If not, why not?

    14) How much are you willing to pay for a caffeinated chocolate bar? 

    15) If you need to choose either a coffee or a caffeinated chocolate bar, what would you choose and why? 

     
     
     

    Group Project Part 3 / Delivery 3

     
    By: Zachary Toupin, Chaewon Lee, Takudzwa Mushosho, Paramvir Bajwa and Synclaire Ocici
     
    MKT 3230 Consumer Behaviour A01
    Instructor: Marcio Coelho
     

    March 12, 2020

    Chapter 6

    Chapter 7

    Chapter 8

    Chapter 9

     

    Survey Summary

    To summarize our survey results, we found various insights into our target market. For our survey, we used a wide range of respondents so we could come up with some good data and responses to our survey. We interviewed various people whose ages ranged from 18 to 60, giving us a good sample of different people to respond to our survey. Of the people we interviewed, the majority of them said they were busy with work, with the second most common answer being busy with school and studying. This is characteristic of our target market as they are people who consider themselves busy. We also saw that the majority of our respondents also stated they liked and consumed both coffee and chocolate, although chocolate was consumed a lot less on average as compared to coffee. This again bodes well for our product, as many respondents are already familiar with similar products to our product extension and would thus be inclined to try, or to at least notice, the introduction of our new product extension. Additionally, our respondents indicated that they considered themselves at least fairly busy, as the majority answered with a 4 or higher to our question. This also proves a good data point we can leverage for our product extension, as we could aim our product to people who consider themselves busy. Another point to note is that environmental issues are important for our target market. Most respondents answered that environmental issues are a 4 or higher in importance for them. This would also prove a good point to exploit in our extension by highlighting our product’s sensible decisions regarding environmental issues, such as using ethically sourced ingredients like cocoa and palm oil. Most respondents also said they felt the need for a boost of energy in their daily lives. This need would prove easy for our product to exploit, as it would give these consumers that boost of energy they are looking for. Although this might be a bit hard to do, given most consumers we surveyed indicated they use coffee to fulfill this need usually. Most respondents said they would also rather coffee over a caffeinated chocolate bar. This is definitely detrimental for our product extension, as we initially thought our product could serve as a substitute for coffee. But as our survey results showed us, this might not be the most successful position for our product to occupy. Thus, we suggest that our product not be an outright substitute for coffee in our initial launching of the product, but rather an accompanying product that could occasionally substitute for coffee. This would help the product get introduced to the market without excluding those who like and/or still prefer coffee.

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