Marketing 334
Consumer Behavior
Chapter 16
Alternative Evaluation and Selection
From: Consumer Behavior, 10th ed. By Hawkins, Mothersbaugh and Best
Alternative Evaluation and Selection
How Consumers Make Choices
In reality, all consumers have bounded rationality
A limited capacity for processing information.
A metagoal refers to the general nature of the outcome being
sought.
How Consumers Make Choices
Metagoals in Decision Making
• Maximize the accuracy of the decision
• Minimize the cognitive effort required for the decision
• Minimize the experience of negative emotion
• Maximize the ease of justifying the decision
How Consumers Make Choices
Three types of consumer choice processes:
1. Affective Choice
2. Attitude-Based Choice
3. Attribute-Based Choice
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How Consumers Make Choices
Affective Choice
Affective choices tend to be more holistic. Brand not
decomposed into distinct components for separate evaluation.
Evaluations generally focus on how they will make the user
feel as they are used.
Choices are often based
primarily on the immediate
emotional response to the
product or service.
How Consumers Make Choices
Attribute- versus Attitude-Based Choice Processes
Attribute-Based Choice Attitude-Based Choice
•Requires the knowledge •Involves the use of
of specific attributes at general attitudes,
the time the choice is summary impressions,
made, and it involves intuitions, or heuristics; no
attribute-by-attribute attribute-by-attribute
comparisons across comparisons are made at
brands. the time of choice.
Avis
Courtesy Avis, Inc.
Gucci Watch
Gucci Watch
Evaluative Criteria
Nature of Evaluative Criteria
Evaluative criteria are typically product features or attributes
associated with either benefits desired by customers or the costs they
must incur.
Evaluative criteria can differ in
type
number
importance
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Evaluative Criteria
Measurement of Evaluative Criteria
Involves a determination of:
The Evaluative Criteria Used
Judgments of Brand Performance on Specific Criteria
The Relative Importance of Evaluative Criteria
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Evaluative Criteria
Determination of Which Evaluative Criteria Are Used
1. Direct methods include asking consumers what criteria
they use in a particular purchase.
2. Indirect techniques assume consumers will not or
cannot state their evaluative criteria.
• Projective techniques
• Perceptual mapping
Evaluative Criteria
Perceptual Mapping of Beer Brand Perception
Evaluative Criteria
Determination of Consumers’ Judgments of Brand
Performance on Specific Evaluative Criteria
Measuring consumer judgments of brand performance on specific
attributes can include:
Rank ordering scales
Semantic Differential Scales
Likert Scales
Evaluative Criteria
Determination of the Relative Importance of Evaluative Criteria
The importance assigned to evaluative criteria can be
measured either by direct or by indirect methods.
The constant sum scale is the most common direct method.
Conjoint Analysis is the most common indirect method.
Individual Judgment and Evaluative
Criteria
Accuracy of Individual Judgments
Use of Surrogate Indicators
The Relative Importance and Influence of Evaluative Criteria
Evaluative Criteria, Individual Judgments, and Marketing Strategy
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Decision Rules for Attribute-Based
Choices
Conjunctive Rule
Disjunctive Rule
Non-compensatory
Elimination-by-Aspects Rule
Lexicographic Rule
Compensatory Rule
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Decision Rules for Attribute-Based
Choices
Conjunctive Rule
WinBook, Dell, IBM, and Toshiba are eliminated because they fail
to meet all the minimum standards.
Minimum
3
4
3
1
2
3
Decision Rules for Attribute-Based
Choices
Disjunctive Rule:
Establishes a minimum required
performance for each important attribute Price 5
(often a high level). Weight 5
All brands that meet or exceed the Processor Not critical
performance level for any key attribute are
acceptable. Battery life Not critical
After-sale support Not critical
If minimum performance was:
Display quality 5
Decision Rules for Attribute-Based
Choices
Disjunctive Rule
WinBook, Compaq, and Dell meet minimum for at least one important
criterion and thus are acceptable.
Minimum
5
5
-
-
-
5
Decision Rules for Attribute-Based
Choices
Elimination-by-Aspects Rule
First, evaluative criteria Rank Cutoff
ranked in terms of importance Price 1 3
Weight 2 4
Second, cutoff point for each
Display quality 3 4
criterion is established.
Processor 4 3
Finally (in order of attribute After-sale 5 3
importance) brands are support
eliminated if they fail to meet Battery life 6 3
or exceed the cutoff.
Decision Rules for Attribute-Based
Choices
Elimination-by-Aspects Rule
Step 1: Price eliminates IBM and Toshiba
Step 2: Weight eliminates WinBook
Step 3: Of remaining brands (HP, Compaq, Dell), only Dell meets
or exceeds display quality minimum.
Minimum
3
4
3
3
3
4
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Decision Rules for Attribute-Based
Choices
Lexicographic Decision Rule
Consumer ranks the criteria in order of importance.
Then selects brand that performs best on the most
important attribute.
If two or more brands tie, they are evaluated on the
second most important attribute. This continues through
the attributes until one brand outperforms the others.
WinBook would be chosen because it performs best on
Price, our consumer’s most important attribute.
Decision Rules for Attribute-Based
Choices
Compensatory Decision Rule
The compensatory decision rule states that the brand that rates highest
on the sum of the consumer’s judgments of the relevant evaluative criteria
will be chosen.
Decision Rules for Attribute-Based
Choices
Compensatory Decision Rule
Importance Score
Price 30
Assume the following Weight 25
importance weights: Processor 10
Battery life 05
Using this rule, Dell has After-sale support 10
the highest preference Display quality 20
and would be chosen. Total 100
The calculation for Dell is:
Decision Rules for Attribute-Based
Choices
Summary of Resulting Choices from Different Decision Rules
