Consumer Behavior April 2006

Who are we? Maria Frostling-Henningsson, Ph D, Marketing dept. 2:346, Tel: , Anders Lundkvist, Ph D, Marketing dept. 2:344, Tel: , Marianne Nilson, Ph D, Associate Professor, Marketing dept. 2:349, Tel ,

Who are we? Angelica Montero-Yánez, co-ordinator, exchange students, 15:405b, Tel: , Kicki Wennersten, co-ordinator, Marketing dept. 15:315c, Tel: ,

Schedule Tue 4th of April Philips, Introduction to course and Solomon et al. Tue 4th of April Philips, Introduction to course and Solomon et al. Thu 6th of April Philips, Solomon et al. Thu 6th of April Philips, Solomon et al. Fri 7th of April Philips, Solomon et al. Fri 7th of April Philips, Solomon et al. Mon 10th of April Philips, Article: “Always Historicize!” Mon 10th of April Philips, Article: “Always Historicize!” Wed 12th of April Wallenberg, Article: “Liberatory Postmodernism…” Wed 12th of April Wallenberg, Article: “Liberatory Postmodernism…”

Seminars Seminar 1 Introduction, presentation, formation of groups, discussion of topics for papers. list. Seminar 2 Consumer context presentation needs to be finished. Take inventory of useful theories. Write up rough draft of the paper. Seminar 3 Final seminar. Discussion of the finished papers. Focus on discussion, not presentation. Everyone reads every paper. All students are active in discussion. Prepare comments on all the groups papers. Paper should be finished according to the guidelines in the syllabus. Approximately pages.

Seminar Group 1 Marianne Nilson Wednesday 5th April in 3:229. Wednesday 5th April in 3:229. Wednesday 19th April in 3:229. Wednesday 19th April in 3:229. Tuesday 2nd May in 3:229. Tuesday 2nd May in 3:229.

Seminar Group 2 Marianne Nilson Wednesday 5th April in 3:229. Wednesday 5th April in 3:229. Wednesday 19th April in 3:229. Wednesday 19th April in 3:229. Tuesday 2nd May in 3:229. Tuesday 2nd May in 3:229.

Seminar Group 3 Anders Lundkvist Monday 10th April in 3:230. Monday 10th April in 3:230. Wednesday 19th April in 3:230. Wednesday 19th April in 3:230. Tuesday 2nd May in 3:230. Tuesday 2nd May in 3:230.

Seminar Group 4 Maria Frostling-Henningsson Market Academy Wednesday 5th April in 3:231. Wednesday 5th April in 3:231. Wednesday 19th April in 3:231. Wednesday 19th April in 3:231. Monday 2nd May in 3:231. Monday 2nd May in 3:231.

Examination One individual 48 hours paper exam in order to make certain that the student has read the literature and understood the essential issues. One individual 48 hours paper exam in order to make certain that the student has read the literature and understood the essential issues. Seminars; Active participation in the case work and written analyses of cases. Active participation in opposition and discussion during the seminars is required. Seminars are compulsory. Seminars; Active participation in the case work and written analyses of cases. Active participation in opposition and discussion during the seminars is required. Seminars are compulsory.

Consumption event What is a consumption event?

A visit to Heron City A visit to Heron City

A Collage of a Virtual Shopping trip…

A Safari in Kolmården…

A cruise to Finland

Going to Junibacken

Consumption event Write up a consumption event to first seminar. Write up a consumption event to first seminar. E.g. an experience, a heritage park, a trip to a museum, a cultural consumption event etc. E.g. an experience, a heritage park, a trip to a museum, a cultural consumption event etc.

Analysis Analyze the consumption event with the theoretical framework from the articles (Firat and Venkatesh, 1995; Brown, Hirschman and Maclaran, 2001). Analyze the consumption event with the theoretical framework from the articles (Firat and Venkatesh, 1995; Brown, Hirschman and Maclaran, 2001). The analysis of the consumption event could be based on e.g. a phenomenological approach using Jameson's themes. The analysis of the consumption event could be based on e.g. a phenomenological approach using Jameson's themes. Therefore – choose a consumption event that is suitable for the theoretical framework! Therefore – choose a consumption event that is suitable for the theoretical framework!

Documentation Document the consumption event: Document the consumption event: Text Text Pictures Pictures Collages Collages Photographs Photographs Etc. Etc.

We are all consumers...

Consumer of a service

Consumers of ideas

Issues relating to consumers Children as consumers. Children as consumers. The so-called ”grey market”. The so-called ”grey market”. Needs and wants for consumers with different ethnic background. Needs and wants for consumers with different ethnic background. What are we consuming? What are we consuming? Consumer desires. Consumer desires.

Issues relating to consumers… Environmental concerns? Environmental concerns? What role do garage sales, second hand markets, flea markets, swap markets play? What role do garage sales, second hand markets, flea markets, swap markets play? How do we best understand consumers? How do we best understand consumers? When does consumption become out of control? When does consumption become out of control? The ”dark sides of consumption”? The ”dark sides of consumption”? Methods for understanding consumers? Benefits and shortcomings? Methods for understanding consumers? Benefits and shortcomings? Consume or not? Consume or not?

Course literature Brown, S, Hirschman, E and Maclaran P (2001) Always historicize! Researching marketing history in a post-historical epoch,” Marketing Theory, vol. 1(1), pp Firat, F and Venkatesh, A (1995) “Liberatory Postmodernism and the Reenchantment of Consumption,” Journal of Consumer Research, vol. 22, December, pp Solomon, M, Bamossy G and Askegaard, S (2002) Consumer Behavior, A European Perspective, 2 nd ed., Essex: Pearson Education Ltd.

Who are they – and why so many men? Askegaard, Sören; Professor Consumption Studies, University of Southern Denmark, Odense. Askegaard, Sören; Professor Consumption Studies, University of Southern Denmark, Odense. Bamossy, Gary; Professor in Business Marketing, University of Utah. Bamossy, Gary; Professor in Business Marketing, University of Utah. Brown, Stephen; Professor in Marketing at the University of Ulster. Retailing. Postmodernism. Brown, Stephen; Professor in Marketing at the University of Ulster. Retailing. Postmodernism. Firat, Fuat; Professor in Marketing, Arizona State University. Firat, Fuat; Professor in Marketing, Arizona State University. Hirschman, Elizabeth; Professor in Marketing in the faculty of Management in Rutgers University, New Jersey. Past president for ACR. Interested in interpretive research methods. Hirschman, Elizabeth; Professor in Marketing in the faculty of Management in Rutgers University, New Jersey. Past president for ACR. Interested in interpretive research methods.

Who are they – and why so many men? Maclaran, Pauline; Reader in Marketing at de Montfort University, UK. Industrial background. Interested in gender issues and feminism. Maclaran, Pauline; Reader in Marketing at de Montfort University, UK. Industrial background. Interested in gender issues and feminism. Solomon, Michael; Human Sciences Professor in Consumer Behavior, Auburn University, Alabama. Solomon, Michael; Human Sciences Professor in Consumer Behavior, Auburn University, Alabama. Venkatesh, Alladi; Professor of Management, University of California, Irvine. Impact of new media and IT on consumers/ households. Venkatesh, Alladi; Professor of Management, University of California, Irvine. Impact of new media and IT on consumers/ households.

Consumer Behavior Consumer Behavior, A European Perspective has a significant European consumer context. Consumer Behavior, A European Perspective has a significant European consumer context. 17 Chapters 17 Chapters Part A Consumers in the Marketplace. Chapter 1. Part A Consumers in the Marketplace. Chapter 1. Part B Consumers as Individuals. Chapters 2-7. Part B Consumers as Individuals. Chapters 2-7. Part C Consumers as Decision-Makers. Chapters Part C Consumers as Decision-Makers. Chapters Part D Portrait of European Consumers. Chapters Part D Portrait of European Consumers. Chapters Part E Culture and European Lifestyles. Chapters Part E Culture and European Lifestyles. Chapters

Disposition The structure of the textbook goes from micro to macro. The structure of the textbook goes from micro to macro. The content of the book goes beyond the act of buying only, by examining activities relating to having and being as well. The content of the book goes beyond the act of buying only, by examining activities relating to having and being as well. The research field is young and dynamic. The research field is young and dynamic. Consumer researchers represent every social science discipline. Consumer researchers represent every social science discipline. Opening (vignette) story; setting the scene for each chapter. Opening (vignette) story; setting the scene for each chapter. Key-terms are highlighted in the text. Key-terms are highlighted in the text. Colored boxes highlights ”multicultural dimensions”, ”marketing opportunities” and ”marketing pitfalls”. Colored boxes highlights ”multicultural dimensions”, ”marketing opportunities” and ”marketing pitfalls”.

Definition Individual assignment: Individual assignment: What is the definition of Consumer Behavior?

Definition of Consumer Behavior ”It is the study of the processes involved when individuals or groups select, purchase, use or dispose of products, services, ideas or experiences to satisfy needs and desires”. (Solomon et al, 2001, p. 5)

Definition of Consumer Behavior Jacoby (1978) ”The mental and physical acts of individuals, households, or other decision-making units concerned with ultimate consumption involving the acquisition, own production, use and, in some cases, the dispossession of products and services.”

Consumer Perspective In order to really understand consumers a consumer perspective is required. In order to really understand consumers a consumer perspective is required. To have a consumer perspective means that one has to fully understand consumers feelings, thoughts, behavior, and the cultural context that consumers are living their lives within. To have a consumer perspective means that one has to fully understand consumers feelings, thoughts, behavior, and the cultural context that consumers are living their lives within.

Consumer Perspective… A consumer perspective requires knowledge about perspectives, theories and methods related to consumers and consumption. A consumer perspective requires knowledge about perspectives, theories and methods related to consumers and consumption. A multitude of perspectives, theories and methods gives enhanced understanding in depth and detail. A multitude of perspectives, theories and methods gives enhanced understanding in depth and detail.

Method A change in perspective requires a change in methods. A change in perspective requires a change in methods. The chosen method has to correspond to the problem issue. The chosen method has to correspond to the problem issue. New theories are demanded in order to understand something as complicated as consumers. New theories are demanded in order to understand something as complicated as consumers.

From needs to desires The view of the consumer has moved from a view focused on need orientation (satisfying needs) to highlight consumer desires.

Difference Pair assignment: What is the difference between needs, wants and desires?

Needs, Wants and desires Need is a broad, fundamental, biological and psychological requirement that propel behavior, including need for food, water and shelter (Arnould, Price and Zinkhan, 2002, p. 379). Need is a broad, fundamental, biological and psychological requirement that propel behavior, including need for food, water and shelter (Arnould, Price and Zinkhan, 2002, p. 379). Want is the particular form of consumption chosen to satisfy an underlying need. Want is the particular form of consumption chosen to satisfy an underlying need. Desire is to wish or long for consumer goods which contribute to the formation of consumer’s self-image. Something we give into. Desire is to wish or long for consumer goods which contribute to the formation of consumer’s self-image. Something we give into.

Consumer desires Something fanciful, overwhelming, something we give in to. Something fanciful, overwhelming, something we give in to. Passionate feeling far away from need satisfaction and wants. Passionate feeling far away from need satisfaction and wants. Rooted in a tension between seduction and morality. Rooted in a tension between seduction and morality. Everything can be the object of desire. Everything can be the object of desire. Often intense, deep, unplanned, illogical and irrational. Often intense, deep, unplanned, illogical and irrational. Consumer desires is the anti thesis to reasoned calculating. Consumer desires is the anti thesis to reasoned calculating. (Belk, Ger and Askegaard, 2003)

Market segmentation Defines segments whose members are similar to one another and different from members of other segments. Defines segments whose members are similar to one another and different from members of other segments. Only possible if: Only possible if: Important differences among segments can be identified. Important differences among segments can be identified. The segment is large enough to be profitable. The segment is large enough to be profitable. Consumers in the segments can be reached. Consumers in the segments can be reached. The consumers in the segment will respond in a desired way. The consumers in the segment will respond in a desired way.

Market segmentation Demographic segmentation Demographic segmentation Psychographic segmentation Psychographic segmentation Geographic segmentation Geographic segmentation Behavioral segmentation Behavioral segmentation

Demographic segmentation Statistics that measure observable aspects of a population. Statistics that measure observable aspects of a population. Descriptive characteristics of a population: Descriptive characteristics of a population: Age Age Gender Gender Family size Family size Social class, occupation, income Social class, occupation, income Ethnic group Ethnic group Religion Religion Stage in life Stage in life Purchaser vs. users Purchaser vs. users

Psychographic segmentation Characteristics that are not so easy to measure, e.g. differences in consumers’ personalities and tastes. Characteristics that are not so easy to measure, e.g. differences in consumers’ personalities and tastes. Aspects of a person’s lifestyle or interests: Aspects of a person’s lifestyle or interests: Self-concept Self-concept Personalities Personalities Lifestyles Lifestyles Social class Social class Subculture Subculture (The gay community, single females, the so- called ”grey market”, disabled people etc.)

Geographic segmentation How to segment the market based on geographics. How to segment the market based on geographics. Region, country Region, country County size County size City City Density Density Climate Climate Country differences Country differences (Scandinavian market segment, Euro- consumers, Mediterranean climate, Hispanic consumers etc.)

Behavioral segmentation Segmentation that occurs depending of the extent of usage, the occasion or attitude toward the product. Brand loyalty Brand loyalty Usage situation Usage situation Buyer readiness stage Buyer readiness stage Benefits desired Benefits desired (Heavy users, one-time users, weekday users etc.)

From demographics to psychographics... Are Grace Slick and Tricia Nixon Cox the same person? (O’Toole (1973) in Söderlund, 1998)

Literature Brown, S, Hirschman, E and Mclaran P (2001) Always historicize! Researching marketing history in a post- historical epoch,” Marketing Theory, vol. 1(1), pp Firat, F and Venkatesh, A (1995) “Liberatory Postmodernism and the Reenchantment of Consumption,” Journal of Consumer Research, vol. 22, December, pp Solomon, M, Bamossy G and Askegaard, S (2002) Consumer Behavior, A European Perspective, 2nd ed., Essex: Pearson Education Ltd.

Reference literature Arnould, E, Price, L and Zinkhan, G (2002) Consumers, International Ed. New York: McGraw Hill. Belk, R Ger, G and Askegaard, S (2003) ”The Fire of Desire: A Multisited Inquiry into Consumer Passion,” Journal of Consumer Research, vol. 30, December, pp Holbrook, M and Hirschman, E (1982) The Experiential Aspects of Consumption: Consumer Fantasies, Feelings and Fun, Journal of Consumer Research, vol. 9, September, pp O’Toole, J (1973) ”Are Grace Slick and Tricia Nixon Cox the Same Person?” Journal of Advertising, vol. 2, no. 2, pp Söderlund, M (1998) Segmentering, Malmö: Liber Ekonomi.