Consumer Behavior
Those who buy goods and services to resell or for use in producing and marketing other goods and services.
What are Business Consumers?
What is Motivation?
Frame of mind developed from a person's values, beliefs, and feelings.
What is Attitude?
Considered the root of all human behavior.
What is a Need?
Type of Decision Making that typically involves the most time and research.
What is Extensive Decision Making?
Types of consumers that buy products or services for personal use.
What are Final Consumers?
Three types of buying motives.
What are
Emotional Motives
Rational Motives
Patronage Motives
An individual's belief about his or her identity, image, and capabilities.
What is Self-Concept?
Type of decision making you're typically making when buying a gallon of milk.
What is Routine?
A group of similar consumers within a larger market.
What is Market Segment?
Culturally defined way the consumer can fill a need.
What is a Want?
Reasons to purchase based on facts and logic.
What are Rational Motives?
The history, beliefs, customs, and traditions of a group.
What is Culture?
Three types of Consumer Decision Making.
What are Routine, Limited, and Extensive?
Element of the marketing mix usually receives the most attention from producers and manufacturers.
What is Product?
First level of Maslow's hierarchy of needs.
What is Physiological?
The process by which consumers collect and analyze information to make choices among alternatives.
What is Consumer Decision-Making Process?
Four factors that make up personal identity.
What are Personality, Gender, Ethnicity, and Age?
Plan that identifies how a company expects to achieve its goals.
What is Strategy?
The amount of satisfaction a consumer receives from the consumption of a particular product or service.
What is Economic Utility?
The breakeven point is the total fixed cost divided by the difference between the selling price and the variable cost per unit. If a business has a fixed cost of $1,600 for an item, variable cost of $2.00, and selling price of $6, find the breakeven point.
What is 400?
Breakeven point = Total fixed cost ÷ (Selling price – Variable Cost)
Breakeven point = $1,600 ÷ ($6.00 − $2.00)
Breakeven point = $1,600 ÷ $4.00
Breakeven point = 400
The first AND last thing a consumer does in the 5-step Consumer Decision-Making Process.
What are Problem Recognition AND Post Purchase Evaluation?
Set of characteristics uniting a group based on ancestry, country or origin, language, and traditions.
What is Ethnicity?
A computer store sells to both business and final consumers. Last month the average sale to business consumers was $850, and the average sale to final consumers was $620. There were 225 business customers averaging 3 purchases during the month, and 1,100 final customers that averaged 2.5 purchases per month. Calculate overall total monthly sales.
What is $2,278,750?
Final consumer sales: 1,100 × 2.5 = 2,750 purchases; $620 × 2,750 = $1,705,000
Business consumer sales: 225 × 3 = 675 purchases; $850 × 675 purchases = $573,750
Total monthly sales: $1,705,000 + $573,750 = $2,278,750
A computer store sells to both business and final consumers. Last month the average sale to business consumers was $925, and the average sale to final consumers was $650. There were 250 business customers averaging 3 purchases during the month, and 1,000 final customers that averaged 2.5 purchases per month. Calculate the percentage of total monthly sales to final consumer sales.
What is 70%?
Final consumer sales: 1,000 × 2.5 = 2,500 purchases; $650 × 2,500 = $1,625,000
Business consumer sales: 250 × 3 = 750 purchases; $925 × 750 purchases = $693,750
Total monthly sales: $1,625,000 + $693,750 = $2,318,750
Percentage of total monthly sales to final consumers: $1,625,000 ÷ $2,318,750 = 0.70, 70%