Consumer Behavior DA-1

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    Consumer

    Behavior-1Consumer Behavior BackgroundDanny Abramovich

    Marketing Plan Specialist

    1. Management

    2. Marketing

    3. Research

    4. Segmentation5. Consumer Behavior

    6. Creativity

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    0. Course Introduction, Main Topics

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    0. Course Introduction, Main Topics

    Management, Marketing, Research

    Segmentation, Consumer Behavior

    Cre8ivity

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    0. Course Introduction, Main Topics

    Management

    Marketing

    ResearchSegmentation

    Consumer Behavior

    Creativity

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    0. Course Introduction, Schedule

    1. Management

    2. Marketing

    3. Research4. Segmentation

    5. Consumer Behavior

    6. Creativity

    part

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    part

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    part3

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    0. Course Introduction, Methodology

    Danny Abramovich

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    Management

    Marketing

    Marketing Research

    Market Segmentation

    Consumer Behavior

    C r e a t i v i t y

    0. Course Introduction, Methodology

    Danny Abramovich

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    0. Course Introduction, Why CB?

    Most marketing decisions & regulations

    are based on CB assumptions.

    Most marketing practices that aredesigned to influence CB, do influence

    the firm, the individual & the society.

    CB theory provides management with

    many proper questions to ask.

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    0. Course Introduction, its all about

    ORVIHABE

    ERUMNSCO

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    0. Course Introduction, its all about

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    0. Course Introduction, its all about

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    0. Course Introduction, its all about

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    0. Course Introduction!

    CB is taught since 1970s

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    1. Management4 Definition

    1. Management 4. Segmentation2. Marketing 5. Consumer Behavior3. Research 6. Creativity

    Management is . . .

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    1. Management4 Definition

    Planning

    Executing

    Controlling

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    Management

    1. Management4Methodology

    Danny Abramovich

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards & procedures

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards

    is a mental image of a

    possible and desirablefuture that is realistic,credible, and attractive.

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards

    A world in which buyers

    and sellers can conductcommerce anywhere,anytime, and in anyway they choose.

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards

    Mobility expanding

    into new areaslife goes mobile.

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards

    is concerned with the

    firms choice of business,markets and activities, thus

    it defines the overall scope

    and direction of the

    business (Kay, 1996).

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards

    The basis of our daily

    commitment is to ensurethe sustainable and

    profitable growth of the

    company, while always

    observing balance andfinancial transparency.

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards

    We work to help

    people and businesses

    throughout the world

    realize their full

    potential.

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards & procedures

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    1. Management4 Introduction

    Vision

    Strategy

    Tactics

    Standards & procedures

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    1. Management4 Introduction

    Planning

    Executing

    Vision Controlling Strategy

    Tactics

    Standards & procedures

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    1. Management4 Business Plan

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    1. Management4 Business Plan

    B u s i n e s s P l a n

    Financial

    Plan

    Marketing

    Plan

    Operational

    Plan

    HR

    Plan

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    1. Management!

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    Course Main Topics

    Management

    Marketing

    ResearchSegmentation

    Consumer Behavior

    Creativity

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    2. Marketing4 Definition

    1. Management 4. Segmentation

    2. Marketing 5. Consumer Behavior3. Research 6. Creativity

    Marketing is . . .

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    2. Marketing4 Definition

    Marketing is the social and managerial

    process by which individuals and

    groups obtain what they need and want

    through creating and exchanging

    products and value with others.

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    2. Marketing4 Evolution

    Production orientation

    Can we make it?

    Selling orientationCan we sell what we make?

    Marketing orientation

    Can we determine what consumers want

    that we can make and sell profitably?

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    Management

    Marketing

    2. Marketing4Methodology

    Danny Abramovich

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    2. Marketing Plan4 Definition

    Marketing Plan is . . .

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    2. Marketing Plan4 Definition

    A Marketing Plan is a written

    document containing description and

    guidelines for an organizations or a

    products marketing strategies, tactics

    and programs - for offering their

    products and services over the defined

    planning period, often one year.

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    2. Marketing Plan: No short-cuts!

    Give a man a fish

    and he eats for a

    day, teach him to

    fish and he eats

    every day.

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    2. Marketing Plan: No short-cuts!

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    2. Marketing Plan: 4X4 Structure

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    2. Marketing & Marketing Plan!

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    Course Main Topics

    Management

    Marketing

    ResearchSegmentation

    Consumer Behavior

    Creativity

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    3. Research4 Definition

    1. Management 4. Segmentation2. Marketing 5. Consumer Behavior

    3. Research 6. Creativity

    Consumer Research (CR) is . . .

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    Management

    Marketing

    Marketing Research

    3. Consumer Research4Methodology

    Danny Abramovich

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    3. Consumer Research4 Content

    Definition

    Research Approaches

    Secondary Data

    Primary Research Methods Projective Techniques

    Types of Survey Questions

    Sampling Techniques

    Upgrading Consumer Information

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    3. Consumer Research

    Definition

    The systematic gathering,recording and analyzing of

    data that yields information

    about the motives and needsof consumers, in order to be

    able to influence marketing

    planning, execution & control.

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    3. Consumer Research

    Definition

    Research Approaches

    4Positivism, Interpretivism

    A CB research approachthat focuses on consumerdecision making (objectivity).

    Positivism

    Interpretivism

    A CB research approachthat focuses on the act ofconsuming rather than onthe act of buying (subjectivity).

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    Positivist ApproachPositivist Approach

    ObjectiveObjective

    PredictionPrediction

    IndependentIndependent

    Real CauseReal Cause

    SeparationSeparation

    Interpretivist ApproachInterpretivist Approach

    SociallyConstructed

    SociallyConstructed

    UnderstandingUnderstanding

    ContextualContextual

    Simultaneous

    Shaping

    SimultaneousShaping

    InteractionInteraction

    3. Consumer Research

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    3. Consumer Research

    Definition

    Research Approaches

    4Comparison

    Complexity:no single rightor wrong

    Rationality:objective-single reality

    Nature

    (General)

    qualitative &quantitative

    quantitativeMethodology

    understandpredictGoal (CB)

    often notgeneralized

    to largerpopulations

    can begeneralized

    to largerpopulations

    Findings

    Interpreti-

    vism

    Positi-

    vism

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Non-proprietary

    data

    Proprietary

    data

    Company

    records

    ExternalInternal

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    3. Consumer Research

    Definition Research approaches

    Secondary data4Advantages/ disadvant.

    - quality of data

    - limited to desk

    research.

    + availability

    + inexpensive

    + may shed light

    on the matter.

    DisadvantagesAdvantages

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods

    Personal

    Focus Group

    Controlled

    Experiments

    Interviews

    Direct/ Indirect

    e.g. ethnograph

    vs. garbology

    Mail @ *

    Phone: e.g. CATI

    or omnibus

    ObservationsSurveys

    CATI = Computer Assisted Telephone Interview

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods4Desk vs. Field Research

    - Interviews 1:1

    - Observations- Focus Groups

    - Experiments

    - Surveys

    FieldDesk

    @ * (

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods4Quantitative vs. Qual.

    - Interviews

    - Focus Groups- Experiments

    Q ?

    - Surveys

    - Observations

    y?

    QualitativeQuantitative

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods

    Projective techniques

    Research proceduresdesigned to identifyconsumers subconscious

    perceptions & motivations:- Word association- Sentence completion or

    - Third person description

    - Psychodrawing

    Bubble

    drawing

    preparing for a holiday:

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods

    Projective techniques4Example

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods Projective techniques

    Types of survey Questions

    Veto-criteria Q?

    Closed format Q?

    Open format Q?

    Demographic Q?

    Keep It Short

    & Simple

    KISS

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods Projective techniques Types of survey questions

    Sampling techniques

    Non-probability Sample

    Systematic Sample

    Population (universe)

    Probability SampleSimple Random Quota

    Census

    Cluster

    Judgment

    Convenience

    mp

    S

    l

    g

    n

    i

    a

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods Projective techniques Types of survey questions

    Sampling techniques (ex.1)

    Non-probability Sample

    Systematic Sample

    Population (universe)

    Probability SampleSimple Random

    Example:

    call every

    n

    th

    personin the phone book.

    mp

    S

    l

    g

    i

    a

    n

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods Projective techniques Types of survey questions

    Sampling techniques (ex.2)

    Non-probability Sample

    Systematic Sample

    Population (universe)

    Probability SampleSimple Random

    the total

    group that

    the marketerwants to study.

    mp

    S

    l

    g

    i

    a

    n

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods Projective techniques Types of survey questions

    Sampling techniques (ex.3) mp

    S

    l

    g

    i

    a

    Quota

    Census

    Cluster

    Judgment

    Convenience

    When different segments

    are represented in

    the total sample.n

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods Projective techniques Types of survey questions

    Sampling techniques (ex.4) mp

    S

    l

    g

    i

    a

    Quota

    Census

    Cluster

    Judgment

    Convenience

    When it is difficult to

    ask too many ns,

    everybody in selected

    areas (clusters) is

    being asked.

    n

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    3. Consumer Research

    Definition Research approaches

    Secondary data

    Primary research methods Projective techniques Types of survey questions Sampling techniques (ex.)

    Upgrading Consumer Info. Customer

    Relationship Mgt.

    CRM

    MarketingInformation Sys.

    MIS

    Consumer

    Research (data)

    CR

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    3. Consumer Research4MIS

    Sales by customer

    Sales by salesperson

    Sales by productOperational

    databases

    Databases

    of validtransactions

    for each

    TPS

    Transaction

    processing

    systems

    (TPS)

    Businesstransactions

    Marketing

    MIS

    Databases of

    external data

    Databases of

    internal data

    Marketing Decision

    Support System

    (DSS)

    Marketing

    Expert System

    (ES)

    Marketing

    applications

    databases

    Pricing report

    Total service calls

    Customer satisfaction

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    3. Consumer Research4CRM & e-CRM

    Is managingconsumer

    research

    information

    complex?

    Modern Corporate Information Technology

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    Knowledge/ContentKnowledge/Content

    ManagementManagement

    LogisticsLogistics

    FinanceFinance

    IndustryIndustry--SpecificSpecificSolutionsSolutions

    LegacyLegacySystemsSystems

    VoiceVoice

    (IVR, ACD)(IVR, ACD)

    EE--MailMail

    DirectDirectInteractionInteraction

    SalesSalesAutomationAutomation

    MarketingMarketingAutomationAutomation

    Mobile SalesMobile Sales

    (Prod. CFG)(Prod. CFG)

    FieldField

    ServiceService

    Portal/Portal/ExtranetExtranet

    EDIEDI

    EE--MailMail

    SuppliersSuppliers InternalInternal CustomersCustomers

    FinancialFinancial

    Data MartData Mart

    HRHR

    Data MartData Mart

    ProductProductData MartData Mart

    ClosedClosed--Loop ProcessingLoop Processing

    (EAI Toolkits, ETLM tools,(EAI Toolkits, ETLM tools,

    Embedded Mobile Agents)Embedded Mobile Agents)

    CustomerCustomer

    Data MartData Mart

    OrderOrder

    Data MartData Mart

    System toSystem toSystemSystem

    Supplie

    rInteraction

    Custome

    rInteraction

    Operational

    SCMSCM

    ERPERP

    CRMCRM

    ConferencingConferencing

    WebWebStorefrontStorefront

    CollaborativeCollaborativePlanningPlanning

    ConferencingConferencing

    ManufacturingManufacturingExecutionExecution

    WarehouseWarehouse

    ManagementManagement

    TransportationTransportationManagementManagement

    TransportationTransportationPlanningPlanning

    DistributionDistributionPlanningPlanning

    SupplySupplyPlanningPlanning

    ManufacturingManufacturingPlanningPlanning

    EE--BusinessBusinessAnalytical

    OrderOrderManagementManagement

    ServiceServiceAutomationAutomation

    Web/Web/

    IntranetIntranet

    HumanHumanResourcesResources

    ManuManu--facturingfacturing

    DemandDemandPlanningPlanning

    IntelligenceIntelligence

    ProductProduct

    LifecycleLifecycle

    AnalyzeAnalyze

    DesignDesign

    BuildBuild

    DeliverDeliver

    DataDataWarehouseWarehouse

    Modern Corporate Information TechnologyInfrastructure and e-CRM

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    3. Consumer Research!

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    Course Main Topics

    Management

    Marketing

    ResearchSegmentation

    Consumer Behavior

    Creativity

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    Part Two out of Six