Question

1. Explain how attraction effect impacts consumer behavior by providing an example and provide marketing insights.
2. Explain how compromise effect impacts consumer behavior by providing an example and provide marketing insights.

Answer 1

1. Attraction towards a brand's personality is a key role or say aspect of consumer behaviour in purchasing it as it reflects the symbol of his/ her self. Market grabs this insight in adding value to their products and establish long-term relationships. They tend to influence consumers through traits which include people behind the brand or also by users of the brand.

2. Compromise effect occurs in major proportions while purchasing smaller quantities of a product resulting in low balance tendency where purchasing larger quantities will have high balance tendency. In order to avoid this, One-Stop shopping has evolved and marketers planned this as to avoid competitors. Brands also trying to trigger lateral thinking among the consumers to weaken compromise effect.