Information Search and Alternative Evaluation and Selection Cecia Rahmadani Mira Farina K D Nungki Asri Saraswati Ryan Hegar S

INFORMATION SEARCH Nature of Information Search - Internal Search Long-term memory search to determine if a satisfactory solution is known. - External Searches If resolution is not achieved through the internal search, then the search process is focused on relevant external information.

Type of Information Sought 1. Appropriate evaluation criteria 2. The existence of various alternative 3. Performance of each alternative on each criterion evaluative

Evaluative criteria One potential goal of both internal and external search is determining the appropriate evaluation criteria. Appropriate alternative 1.Which begs the consideration set or the set contains the brand or product to be evaluated. 2.Incompetent set consists of brands found really worthy of further consideration. 3.Contains a lazy consumer brand aware but basically indifferent to. Characteristics of alternative 1.To choose among brands in the evoked set, consumers compare them to the relevant evaluative criteria. 2.This process requires the consumer to gather information about each brand in each of the relevant evaluative criteria.

Sources of Information Five main sources of information available to consumers: Memory of the past searches, personal experiences, and low-involvement learning. Private sources, such as friends, family, and others. Independent sources, such as magazines, consumer groups, and government agencies. Marketing Resources, such as sales force, website, and advertising. Experiential sources, such as inspection or product trial

Finding Information on the Internet Internet affects searches. Gives increased speed and efficiency for a wide range of information. The search is more efficient and better decisions can produce. However, information overload can also occur.

Number of External Information Search Classification search

Costs vs. benefits of external search

Market characteristics Market characteristics include the number of alternatives, price range, store distribution, and information availability. Product Characteristics Product differentiation is associated with greater external search and positive product tend to engender search greater search than negative products. Characteristics of Consumers A variety of consumer characteristics affect perceptions of search costs and benefits. Consumer Perception of Risk Associated with unsatisfactory product performance increases information search. Characteristics Situation

Marketing Strategies Base on Information Search Patterns Strategies (in evoked set) Maintenance strategy –Defend against disruptive tactics –Constant activity + interest Capture strategy –Constant supply + quality –Continue limited search Preference strategy –Search locations must be anticipated, e.g. chemists –POP + sales assistance –Know where they search

Strategies (not in evoked set) Disrupt strategy –Attention-seeking ads –Free samples or bonus encouraging trial Intercept strategy –Must attract attention –POP display –Product improvements, etc. Acceptance strategy –Advertise but don’t ‘sell’ the brand –Encourage consumer to seek information

ALTERNATIVE EVALUATION AND SELECTION

How Consumers Make Choices Three types of consumer choice processes: 1.Affective Choice 2.Attitude-Based Choice 3.Attribute-Based Choice Evaluation Criteria -Nature of Evaluative Criteria -Measurement of Evaluative Criteria -Determination of Which Evaluative Criteria Are Used -Determination of Consumers’ Judgments of Brand Performance on Specific Evaluative Criteria -Perceptual Mapping of Beer Brand Perception -Determination of Consumers’ Judgments of Brand Performance on Specific Evaluative Criteria -Determination of the Relative Importance of Evaluative Criteria

Individual Judgment and Evaluative Criteria -Accuracy of Individual Judgments -Use of Surrogate Indicators Decision Rules for Attribute-Based Choices -Conjunctive Decision Rule -Disjunctive Decision Rule -Elimination-by-Aspects Rule -Lexicographic Decision Rule -Compensatory Decision Rule