Consumer Knowledge CHAPTER 9 Roger D. Blackwell, Paul W. Miniard, and James F. Engel, Consumer Behavior, Ninth Edition Copyright© 2001 by Harcourt, Inc.

Type of Consumer Knowledge

Type of Consumer Knowledge Knowledge of Product’s Existence

Type of Consumer Knowledge Knowledge of Product’s Existence Gaining awareness among consumers Assessing awareness: Top-of-the-mind: how many brands can be recalled from memory Recognition: identifying known brands from a list Recall-based measures are more conservative than recognition-based

Type of Consumer Knowledge Knowledge of Product’s Attributes and Associations

Type of Consumer Knowledge Knowledge of Product’s Attributes and Associations Products within awareness set are likely to have associations between them and information from memory Product image: defined by entire array of associations May involve physical properties and feelings that come from consumption May also include symbols

Type of Consumer Knowledge Knowledge of Product’s Attributes and Associations Image analysis: involves examining what consumers know about a product’s attributes and associations Identify attributes and associations that determine a product’s image Assess strengths of associations Examine what an association represents in the consumer’s psyche

Type of Consumer Knowledge Purchase Knowledge

Type of Consumer Knowledge Purchase Knowledge Encompasses the various pieces of information consumers possess about buying products Includes information about the product’s price, where it can be purchased, and whether it can be purchased less expensively later

Type of Consumer Knowledge Purchase Knowledge: How much does it cost? Knowledge about typical range of prices for a product helps consumer evaluate fairness of the price of a particular brand The less consumers know about price, the less concerned are companies about price differences from competitors Image analysis includes what consumers know about absolute price and relative price

Type of Consumer Knowledge Purchase Knowledge: When to buy? Knowledge about when a product is typically goes on sale may delay purchase May determine when new innovations are purchased--many consumers do not purchase new innovations when introduced because they believe the price will drop over time

Type of Consumer Knowledge Purchase Knowledge: Where to buy? Knowledge about where to buy a product guides purchase decision Internet firms advertise in a variety of media to build consumers’ knowledge of alternative places to buy Where product is located in the store--when consumer are unfamiliar with store layout, they rely more on in-store information

Type of Consumer Knowledge Consumption and Usage Knowledge

Type of Consumer Knowledge Consumption and Usage Knowledge Encompasses the information in memory about how a product can be consumed and what is required to use it Consumers are unlikely to buy a product when they lack information about use

Type of Consumer Knowledge Consumption and Usage Knowledge Encompasses the information in memory about how a product can be consumed and what is required to use it Consumers are unlikely to buy a product when they lack information about use Sometimes consumer have incomplete information about different ways a product can be consumed New uses for existing products may lower product’s attractiveness

Type of Consumer Knowledge Persuasion Knowledge

Type of Consumer Knowledge Persuasion Knowledge Information about what consumers know about the goals and tactics of those trying to persuade them Persuasion knowledge influences how consumers respond to persuasion attempts Knowledge about a particular tactic may eliminate its effectiveness

Sources of Consumer Knowledge

Sources of Consumer Knowledge People--from family to salesperson Nonpersonal sources: media, the Internet, publications Experience from buying and consuming a product Direct experience increases confi-dence in knowledge and makes it more likely to be used in decision

Understanding Consumer Knowledge

Understanding Consumer Knowledge Lack of Knowledge

Understanding Consumer Knowledge Lack of Knowledge Knowledge gaps: an absence of information in memory Firms need to identify knowledge gaps which may prevent consumers from making purchases Knowledge gaps may exist for new and current products Public policy may focus on gaps which undermine consumer welfare

Tums educates consumers about the need for calcium and the high calcium content of this product.

Understanding Consumer Knowledge Undesirable Knowledge

Understanding Consumer Knowledge Undesirable Knowledge Consumers may possess knowledge that is undesirable from the firm’s perspective Misperception: things that people believe to be true when they are not

Understanding Consumer Knowledge Undesirable Knowledge Consumers may possess knowledge that is undesirable from the firm’s perspective Misperception: things that people believe to be true when they are not Firms must combat misperceptions which make a brand unattractive Often leads to modification of image

Understanding Consumer Knowledge Gauging Positioning Success

Understanding Consumer Knowledge Gauging Positioning Success Has the brand achieved its desired positioning in the marketplace? Examine product’s image among target consumers How well has the product created the desired mindset among consumers?

Understanding Consumer Knowledge Discovering New Uses

Understanding Consumer Knowledge Discovering New Uses Consumers often use knowledge about a product to “invent” new uses

Mr. Clean introduced a new form of antibacterial wipes based on how consumers used the liquid version of the cleaning product.

Understanding Consumer Knowledge Discovering New Uses Consumers often use knowledge about a product to “invent” new uses Understanding how consumers use products, marketers may discover new uses that can be promoted as a means of broadening product appeal

Understanding Consumer Knowledge Gauging Severity of Competitive Threats

Understanding Consumer Knowledge Gauging Severity of Competitive Threats How much do consumers know about competitive products? Understanding how consumers compare competitive brands can guide marketing activities with respect to those competitive brands

Understanding Consumer Knowledge Enhancing the Effectiveness of Customer Recruitment Activities

Understanding Consumer Knowledge Enhancing the Effectiveness of Customer Recruitment Activities Identifying what needs to be changed in brand position and attributes How might these changes best be accomplished? Advertising, personal sales, or public relations? Should sales messages focus on technical information or easy to understand product attributes?

Consumer Behavior Roger D. Blackwell Paul W. Miniard James F. Engel Requests for permission to make copies of any part of the work should be mailed to the following address: Permissions Department, Harcourt, Inc. 6277 Sea Harbor Drive Orlando, Florida 32887-6777 Copyright© 2001 by Harcourt, Inc. All rights reserved.