The Theory of Case

You might also like

Download as ppt, pdf, or txt
Download as ppt, pdf, or txt
You are on page 1of 13

The Theory of Case

High Involvement
Low Involvement ---------------------------------------------
Utilitarian Ego-Expressive
Choice Version A Version B Version C
Usage Version D Version E Version F
The Theory of Choice

1. Varieties of problem solving

 Extensive versus limited problem solving versus routinized response

2. Basic decision-making sequence models


 Utilitarian Choice Awareness :  Interest Desire  Action (KNOW  FEEL  DO)
 Hedonic Choice : FEEL  DO  (KNOW)
 Low Involvement Choice : KNOW  DO  (FEEL)

3. Variations within decision stages (parenthetical examples refer to low


involvement, utilitarian, and hedonic contexts, respectively)

 Decision process triggers (stock depletion, environmental interrupt, felt need)


 Types of search processes (passive versus active versus biased confirmatory)
 Processes for evaluating competing alternatives (casual/ limited versus extensive)
 Processes for refining decision and consideration sets (limited versus extensive)
 Decision rules and choice heuristics (buy the familiar, the best, or that I like most)
The Theory of Choice (contd.)

4. Role of price in the decision

 Utilitarian Choice : Price as trade-off variable


 Hedonic choice : price as secondary (at best )concern
 Low involvement choice : price as deciding factor

5. Decision-making units and roles

 Buyers, Influencers decision makers, users

6. Factors influencing the purchase decision

 Personal (e.g., personality disposition, hierarchy of needs, lifestyle, values)


 Socio-cultural (e.g., social class, gender, age, ethnicity, family, peers)
 Situational (e.g., competing alternatives, marketer actions, product risk factors )
The Theory of Use

1. Relationship description
 (length of association, frequency of use, relationship history and initiation source, changes
over time, descriptive interpersonal relationship analogue, strength of relationship)

2. Category and brand meanings derived from use. (Provision of


relationship benefits)

3. Satisfaction models

 Utilitarian : classic expectation confirmation paradigm


 Hedonic choice : relationship quality model; desires congruency model
 Low involvement choice : absence of negatives inertia model

4. Varieties of brand loyalty

 Utilitarian : reward for performance


 Hedonic choice : affective commitment
 Low involvement choice: habit
Contd.

5. Triggers of the re-evaluation process/central threats to the


relationship

 Utilitarian : provision of new information


 Hedonic choice : competing brand replicating experience; change in brand/ self image
 Low involvement choice : interrupts in the environment; saliency of alternatives

6. Relationship consequences

 Utilitarian : repeat intention, recommendation to others


 Hedonic choice : forgiveness, tolerance, missionary zeal, ignorance of alternatives
 Low involvement choice: predisposition to buy
Differences in Extensive, Limited and Routinized
Problem Solving Models
DECISION STAGE

When Product When Need Information Evaluation Purchase Post-


Class is Brand is Arousal Search Behavior Decision purchase
evaluation

Extensive New New New Need Careful


Problem EXTENSIVE
solving
Limited Problem Familiar New New Brand LIMITED Casual
solving

Routinized Familiar Familiar Product NONE By


Response Depleted Exception

Awareness  INTERESTDESIREACTION
KNOWFEEL DO
Variation in choice

Decision state?

Utilitarian Triggers?
Problem solving?
search

Low Involvement Hedonic


Variations in Consumer Choice Phenomena

Know -> Feel -> Do


Trigger = gap (actual - desired)
Active Search
Rational Use of Information; Rational Evaluation of
Alternatives
Process: Extensive Problem Solving -> routine
Utilitarian/ Instrumental response
Choice heuristic: "Buy the Best“
Ultimate Choice: Trade off among competing
alternatives
Price as trade-off variable

Low Involvement Hedonic/Ego-Expressive


Know Do  (Feel)
Trigger = Stock depletion
Passive Search Feel  Do  (Know)
Limited / no evaluation of alternatives Trigger = Impulse, need
Rational use of information Confirmatory Search
Expectancy-confirming Rationalizing evaluation of alternatives
Process: Choice heuristics: “Buy the Process: Choice heuristic: "Buy What I Like“
familiar” ; Buy the Cheapest“ Ultimate Choice: Satisfying model
Ultimate Choice: Satisfying model Price as secondary concern
Price as deciding factor
Variation in Usage

Utilitarian
Satisfaction?
Loyalty?
Relationship?
Effects?

Low Involvement Hedonic


Variations in Consumer Usage Phenomena

Loyalty= reward for performance


Utilitarian/ Instrumental
Satisfaction=(Performance minus
Expectations) compared to alternatives
Relationship=Brand Partner Quality
Relationship repeat, word - of-mouth,
price premium

Low Involvement Hedonic/Self-Expressive

Loyalty= Inertia, Habit Loyalty= Affective Commitment


Satisfaction= Absence of Satisfaction= Brand-Self Image
Negatives Congruency
Relationship= Behavioral Relationship= Love, Commitment,
Interdependence Self-Concept Connection
Relationship Predisposition to Relationship Trial Extensions; Word-
Rebuy of-Mouth Missionary, Forgiveness,
Tolerance, Price Premium
Marketing Considerations Across Core Motivational Conditions

Keys to Continuity : Product Performance


Utilitarian/ Instrumental
Provision of Information
Central Threat to Continuity : Better Performing
Alternative

Low Involvement Hedonic/Self-Expressive

Keys to Continuity : Saliency of brand Key to continuity : Clear, Relevant


Insured Product Articulation of brand
Availability Image
Central threat to continuity : Interrupts in Central threat to continuity : Change in
purchase cycle self or brand
image
Summary of Differences in Purchase and Use Across Core Motivational
Contexts
End in itself
Means to an End
Hedonic/Ego Expressive
Low Involvement High Involvement
Choice Decision :
Decision Sequence Know-Do-(Feel) Know-Feel-Do Feel-Do-(Know)

Process Trigger Stock Depletion Gap (Actual vs. desired state) Impulse

Active
Search/Information Gathering Passive Bias to confirm preferences
Rational
Evaluation of Alternatives Limited/None Rationalizing
“Buy the Best”
Primary Decision Rule(s) “Buy the Familiar” “Buy What I Like”/
Go for Something Different”

Usage Experience : Absence of Performance minus Brand self-image


Satisfaction Model negatives Inertia expectations as congruency
model compared to available
alternatives
Affective commitment
Brand Loyalty Habit Reward for performance

Pivotal Relationship Facet Brand partner quality, Love and commitment


Behavioral
interdependence trust
Repeat intention
Consumer missionaries
Resistance to competition
Repeat intention Trial of brand extensions
Consequences of
Consumer-Brand Relationship Predisposition to buy Positive word-of- Willingness to pay more
mouth, Price premium Tolerance, forgiveness,
accommodation

You might also like