-- daivata chavan-patil consumer behavior model of consumer behavior marketing and other...

124
-- Daivata Chavan-Patil Consumer Behavior

Upload: jemimah-sherman

Post on 29-Dec-2015

219 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

-- Daivata Chavan-Patil

Consumer Behavior

Page 2: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Model of Consumer Behavior

Marketing and

other stimuli Buyer’s black box Buyer’s responses

Product Economic Product choice

Price Technological Brand choice

Place Political Dealer choice

Promotion Cultural Buying Purchase timing

Buyer decision Purchase amount

Characteristics process

$

Page 3: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Factors Influencing Consumer Behavior

Cultural

Culture

Subculture

Social class

Social

Reference groups

Family

Roles and Status

Personal

Age & lifecycle stageOccupation

Economic situationLifestyle

Personality and self-concept

Psychological

MotivationPerceptionLearning

Beliefs & attitudes

BuyerBuyer

Page 4: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Cultural Factors It exert a broad and deep influence on consumer

behavior. Culture – the set of basic values, perceptions, wants,

and behaviors learned by a member of society from family and other important institutions.

Marketers are always trying to spot cultural shifts in order to discover new products that might be wanted.

Each culture contains smaller subcultures, or groups of people with shared value systems based on common life experiences and situations.

Subcultures includes nationalities, religions, racial groups, and geographic regions.

Page 5: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Social classes are society’s relatively permanent and ordered divisions whose members share similar values, interests, and behavior.

Social class is not determined by a single factor, such as income, but is measured as a combination of occupation, income, education, wealth, and other variables.

In some social systems, member of different classes are reared for certain roles and cannot change their social positions.

Marketers are interested in social class because people within a given social class tend to exhibit similar buying behavior.

Seven major American social classes: Upper uppers, Lower uppers, Upper middles, Middle class, Working class, Upper lowers, Lower lowers.

Page 6: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Social Factors Group – two or more people who interact to

accomplish individual or mutual goals. Membership groups – groups that have a direct

influence and to which a person belongs. Reference groups – serve as direct (face-to-face) or

indirect points of comparison or reference in forming a person’s attitudes or behavior.

People often are influenced by reference groups to which they do not belong. For example, an aspirational group is one to which the individual wishes to belong.

Opinion leaders – people within a reference group, who, because of special skills, knowledge, personality, or other characteristics, exert influence on others.

Page 7: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Family members can strongly influence buyer behavior.

Marketers are interested in the roles and influences of the husband, wife, and children on the purchase of different products and services.

Husband–wife involvement varies widely by product categories and by stage in the buying process.

A person belongs to many groups–family, clubs, organizations. The person’s position in each group can be defined in terms of both role and status.

A role consists of the activities people are expected to perform according to the persons around them.

Each role carries a status reflecting the general esteem given to it by society.

Page 8: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Personal Factors Tastes in food, clothes, furniture, and recreation are often

age related.

Buying is also shaped by the stage of the family life cycle – the stages through which families might pass as they mature over time.

Traditional family life-cycle stages include young singles and married couples with children.

Marketers try to identify the occupational groups that have an above-average interest in their products and services.

Computer software companies will design different products for brand managers, accountants, engineers, lawyers and doc.

Page 9: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

A person’s economic situation will effect product choice.

Marketers of income-sensitive goods watch trends in personal income, savings, and interest rates.

People coming from the same subculture, social class, and occupation may have quite different lifestyles.

Lifestyle is a person’s pattern of living as expressed in his or her psychographics.

It involves measuring consumers’ major AIO dimensions – activities (work, hobbies, shopping, sports, social events), interests (food, fashion, family, recreation), and opinions (about themselves, social issues, business, products).

Page 10: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Several research firms have developed lifestyle classifications. The most widely used is SRI Consulting’s Values and Lifestyles (VALS) typology.

VALS classifies people according to how they spend their time and money. It divides consumers into eight groups based on two major dimensions: self-orientation and resources.

Personality refers to the unique psychological characteristics that lead to relatively consistent and lasting responses to one’s own environment.

Personality is usually described in terms of traits such as self-confidence, dominance, sociability, autonomy, defensiveness, adaptability, and aggressiveness. e.g. coffee & sociability.

The basic self-concept premise is that people’s possessions contribute to and reflect their identities; that is, “we are what we have.”

Page 11: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Psychological Factors

A motive (or drive) is a need that is sufficiently pressing to direct the person to seek satisfaction.

Sigmund Freud assumed that people are largely unconscious about the real psychological forces shaping their behavior.

He saw the person as growing up and repressing many urges. These urges are never eliminated or under perfect control, they emerge inn dreams, in slips of the tongue, in neurotic and obsessive behavior, or ultimately in psychoses.

Thus, Freud suggested that a person does not fully understand his or her motivation.

Page 12: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Maslow’s hierarchy of needs

Self-actualization

needsSelf development

and realization

Esteem needsSelf-esteem, recognition, status

Social needsSense of belonging, love

Safety needsSecurity, protection

Physiological needsHunger, thirst

Self-actualization

needsSelf development

and realization

Esteem needsSelf-esteem, recognition, status

Social needsSense of belonging, love

Safety needsSecurity, protection

Physiological needsHunger, thirst

Page 13: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Marketing implications of Maslow For a brand to be considered it must satisfy

some need Hierarchical: lower needs met before upper

needs Countries, cultures, segments can differ in

focus on needs

Page 14: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Marketing

approaches

ProductsQuaker Oatmeal--”Oh, what those oats can do!”Boost nutritional drink--”Your body will thank you.”Kaiser-Permanente--”More people turn to us for good health.”Ginkoba ginseng--”The thinking person’s supplement.”Advil--”Advanced medicine for pain.”

Vitamins, herbal supplements, medicines, low-fat foods, exercise equipment, fitness clubs

PHYSIOLOGICAL NEEDS

Marketing implications of Maslow’s hierarchy(text: Table 8.1)

Page 15: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Marketing

approaches

Products

Allstate Insurance--”You’re in good hands with Allstate.”

Ford Motor Company--”Only your mother is more obsessed with your safety.”

Lysol Basin Tub & Tile Cleaner--”This is no place for germs.”

Merrill Lynch--”A tradition of trust.”

Car accessories, burglar alarm systems, retirement investments, insurance, smoke and carbon monoxide detectors

SAFETY NEEDS

Page 16: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Marketing

approaches

Products

Carnival Cruise Lines--”The most popular cruise line in the world.”

Sears Mainframe Junior Dept.--”Got to have the clothes.”

Lady Foot Locker--”One store. Every woman.”

Beauty aids, entertainment, clothing

BELONGINGNESS NEEDS

Page 17: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Marketing

approaches

Products

Jeep--”There’s only one.”Movado Museum Watch--”The making of a

legendary classic.”Bombay Sapphire Dry Gin--”Pour something

priceless.”BMW--”The ultimate driving machine.”

Clothing, cars, jewelry, liquors, hobbies, beauty spa services

ESTEEM NEEDS

Page 18: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Marketing

approaches

Products

Nike--”If you let me play, I will like myself more.”

Outward Bound Schools--”The adventure lasts a lifetime.”

Danskin--”Not just for dancing.”

Education, cultural events, sports, hobbies

SELF-ACTUALIZATION NEEDS

Page 19: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

A motivated person is ready to act. How the person acts is influenced by his or her own perception of the situation.

All of us learn by the flow of information through our five senses: sight, hearing, smell, touch, and taste.

Perception is the process by which people select, organize, and interpret information to form a meaningful picture of the world.

People can form different perceptions of the same stimulus because of three perceptual processes: selective attention, selective distortion, and selective retention.

Selective attention – the tendency for people to screen out most of the information to which they are exposed – means that marketers have to work especially hard to attract the consumer's attention.

Selective distortion – the tendency of people to interpret information in a way that will support what they already believe.

Selective retention – people tend to retain information that supports their attitudes and beliefs.

Page 20: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Learning describes changes in an individual’s behavior arising from experience.

Learning occurs through the interplay of drives, stimuli, cue, responses, and reinforcement.

A drive is strong internal stimulus that calls for action. Drive becomes a motive when it is directed toward a particular stimulus object.

Cues are minor stimuli that determine when, where, and how the person responds.

After buying if the experience is rewarding than consumer response to the selected good will be reinforced.

Page 21: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Through doing and learning, people acquire beliefs and attitudes.

A belief is a descriptive thought that a person has about something.

Beliefs may be based on real knowledge, opinion, or faith, and may or may not carry an emotional charge.

Marketers are interested in the beliefs that people formulate about specific products and services, because these beliefs make up product and brand images that affect buying behavior.

Attitude describes a person’s relatively consistent evaluations, feelings, and tendencies toward an object or idea.

Attitude are difficult to change. A person’s attitudes fit into a pattern, and to change one attitude may require difficult adjustments in many others.

Page 22: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Buyer Decision Process

Need recognition

Need recognition

Informationsearch

Informationsearch

Evaluation ofalternatives

Evaluation ofalternatives

Purchasedecision

Purchasedecision

Postpurchasebehavior

Postpurchasebehavior

Page 23: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Need Recognition & Information Search

The need can be triggered by internal stimuli when one of the person’s normal needs – hunger, thirst, sex – rises to a level high enough to become a drive.

A need can also be triggered by external stimuli. e.g. word-of-mouth, advertisements.

The consumer can obtain information from any of several sources. These include personal sources, commercial sources, public sources and experiential sources.

Commercial sources normally inform the buyer, but personal sources legitimize or evaluate products for the buyer.

Page 24: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Evaluation of Alternatives & Purchase Decision

The consumer arrives at attitudes toward different brands through some evaluation procedure.

How consumer go about evaluating purchase alternatives depends on the individual consumer and the specific buying situation.

In some cases, consumers use careful calculations and logical thinking.

At other times, the same consumers do little or no evaluating; instead they buy on impulse and rely on intuition.

Two factors that affects the consumer’s purchase decision. Attitudes of others. Unexpected situational factors.

Page 25: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Postpurchase Behavior The answer to whether the buyer is satisfied or dissatisfied

with a purchase lies in the relationship between the consumer’s expectations and the product’s perceived performance.

Almost all major purchases result in cognitive dissonance, or discomfort caused by postpurchase conflict.

Company’s sales come from two basic groups – new customers and retained customers.

A satisfied customer tell 3 people about a good product experience, a dissatisfied customer gripes to 11 people.

Some 96 percent of unhappy customers never tell the company about their problem.

Page 26: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

The Buyer Decision Process For New Products

A good, service or idea that is perceived by some potential customers as new.

Adoption process – the mental process through which an individual passes from first hearing about an innovation to final adoption.

Consumers go through five stages in the process of adopting a new product: Awareness Interest Evaluation Trial Adoption

Page 27: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Individual Differences in Innovativeness

2.5% Innovators

13.5% Early adopters

34% Early

majority

34% Late majority

16% Laggards

Time of adoption of innovation

X – 2a X – a

X X + 2a

Page 28: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Influence of Product Characteristics on Rate of Adoption

Five characteristics are especially important in influencing an innovation’s rate of adoption.

For example, consider the characteristics of HDTV (High-definition television) in relation to the rate of adoption.

Relative advantage (superior to existing products)

Compatibility (fits the values and experiences of potential customers)

Complexity (difficult to understand or use)

Divisibility (tried on a limited basis but still very expensive)

Communicability (results of using can be observed or described to others)

Page 29: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Business Markets The business market is huge. Many sets of business purchases were made for only

one set of consumer purchases. The main differences between business markets and

consumer markets are following. Market structure and demand (derived demand)Far fewer but far larger buyers; more geographically concentrated

Nature of the buying unitMore decision participants; more professional purchasing effort

Types of decisions and the decision processMore complex; more formalized; more dependent.

Page 30: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Business Buyer Behavior

The Environment

Marketing Stimuli

Other Stimuli

ProductPricePlacePromotion

EconomicTechnologicalPoliticalCulturalCompetitive

Page 31: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Major Types of Buying Situation

Straight rebuy – a business buying situation in which the buyer routinely reorders something without any modifications.

Modified rebuy – a business buying situation in which the buyer wants to modify product specifications, prices, terms, or suppliers.

New task – a business buying situation in which the buyer purchases a product or service for the first time.

Page 32: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Stages of the Business Buying Process

Problemrecognition

Supplier search

Product specification

General need description

Proposal solicitation

Supplierselection

Order-routinespecification

Performancereview

Page 33: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Stages in the Adoption Process

AwarenessAwareness

InterestInterest

EvaluationEvaluation

TrialTrial

AdoptionAdoption

Page 34: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Adoption of InnovationsP

erce

nta

ge

of

Ad

op

ters

Time of AdoptionEarly Late

Inn

ova

tors

Early Adopters

Early Majority

2.5%

13.5%

34% 34%

16%

Laggards

Late Majority

Page 35: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Influences on the Rate of Adoptionof New Products

DivisibilityCan the innovation

be used on a trial basis?

CompatibilityDoes the innovation

fit the values and experience of the

target market?Complexity

Is the innovation difficult to

understand or use?

Relative AdvantageIs the innovation

superior to existing products?

Communicability Can results be easily

observed or described to others?

ProductCharacteristics

Page 36: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Albert Bandura’s Social Cognitive Theory (SCT): His Agentic Perspective

Page 37: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Intellectual Developments The point: humans can learn by observing and

modeling others, especially those that they identify with.

His most famous experimental research studies at the time were his “Bobo doll” studies which showed observational learning and the impact it can have on violent behavior in children.

Page 38: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

(Isom, 1998)

Bandura’s Theory Human beings have

specific abilities related to learning that sets them apart from other species.

Social cognitive theory states that there are three characteristics that are unique to humans: Vicarious consequences

(Model and imitate others) Self–efficacy (self reflection) Performance standards and

moral conduct (Ability to regulate one’s own behavior)

(Albert Bandura: Biographical Sketch, n.d.)

Page 39: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

(Albert Bandura, Francis Marion University, n.d.)

Bandura’s Theory (cont) Bandura believed that a person’s level of

motivation is an affective state and actions are based more on what they believe. Bandura believed that motives included: past reinforcement or more traditional

behaviorism the promise of reinforcement or incentives and also vicarious reinforcement or modeling.

These beliefs define what is learned. According to Bandura, in order to learn, one must

pay attention be able to retain or remember have the ability to reproduce the behavior.

Page 40: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Bobo doll experiment

During the 1960s and 1970s, Bandura called his theory observational learning or social learning theory.

Page 41: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

(Peebles, 2003)

The Bobo Doll Study Albert Bandura’s Bobo doll study in 1961 was a

classic study that demonstrates the social learning theory. The study showed that after viewing adults strike and kick a Bobo doll, children would imitate the behavior in another environment. This was important, as it suggests that the violence could be imitated by viewers.

Results showed 88% of the children imitated aggressive behavior following the viewing of the tape of adults acting aggressively toward the doll.

8 months later 40% of the same children reproduced the violent behavior observed in the Bobo doll experiment.

Page 42: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

(Albert Bandura: Biographical Sketch, n.d.)

The children were shown three different endings to the video. The video first showed that the adults were praised for their aggressive behavior. The second group the adult was told to sit in a corner. The third group showed the adult walk out of the room. While controversial, Bandura maintained that his experiment demonstrated that children are influenced by witnessing or modeling of aggression in others.

The Bobo Doll Study (cont.)

Page 43: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

(Isom, 1998)

Beliefs Bandura believed that psychological research

should be conducted in a laboratory to control factors that determined behavior.

Page 44: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

(Isom, 1998)

Beliefs (cont.) Albert Bandura believed that aggression

reinforced by family members was the most prominent source of behavior modeling. He reports that children use the same aggressive tactics that their parents illustrate when dealing with others. In order to control aggression, Bandura stated that the problem should be diagnosed and treated during one’s childhood. Children learn to act aggressive when they model their behavior after violent acts of adults, especially family members.

Page 45: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

(Isom, 1998)

Beliefs (cont.) There are four component processes

influenced by the observer’s behavior following exposure to models. These components include: attention; retention; motor reproduction; and motivation.

He believes that people acquire behaviors through the observation of others, then imitate what they have observed. Several studies involving television commercials and videos containing violent scenes have supported this theory of modeling.

Albert Bandura believed television was a source of behavior modeling.

Page 46: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Observational Learning

Bandura’s earlier work on observational learning set the stage for his work in social cognition.

Observational (or social) learning proposed two primary modes of learning:

• Modeling

• Imitation

Page 47: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Observational Learning

Bandura hypothesized a four-step pattern that combined a

cognitive and operant view of learning.

Attention

Retention

Motor Reproduction

Motivation

remembers what was noticed

produces an action that is a copy of what

was noticed

consequence changes the probability the behavior will be emitted again

notices something in the environment

Page 48: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Four key processes or steps to observational learning:

1. Attention 2. Symbolic representation and retention 3. Transformation to action or production 4. Motivation

Page 49: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Four core features of human agency:

1. Intentionality. 2. Forethought. 3. Self-Reactiveness. 4. Self-Reflectiveness.

Page 50: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Observational Learning

In a set of well-known experiments, called the "Bobo doll" studies, Bandura showed that children (ages 3 to 6) would change their behavior by simply watching others.

• One group of children saw the child praised for aggressive behavior

He observed three different groups of children:

Page 51: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Observational Learning

In a set of well-known experiments, called the "Bobo doll" studies, Bandura showed that children (ages 3 to 6) would change their behavior by simply watching others.

• A second group saw the child told to go sit down in a corner and was not allowed to play with the toys.

He observed three different groups of children:

Page 52: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Observational Learning

In a set of well-known experiments, called the "Bobo doll" studies, Bandura showed that children (ages 3 to 6) would change their behavior by simply watching others.

• A third group group saw a film with the child simply walking out of the room.

He observed three different groups of children:

Page 53: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Observational Learning

Page 54: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Observational Learning

Bandura and his colleagues also demonstrated that viewing aggression by cartoon characters produces more aggressive behavior than viewing live or filmed aggressive behavior by adults.

Additionally, they demonstrated that having children view prosocial behavior can reduce displays of aggressive behavior.

Page 55: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Observational Learning

Page 56: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Bandura landmarks One of many landmark works of Bandura’s is

his 1986 book entitled Social Foundations of Thought and Action: A Social Cognitive Theory.

In this book Bandura formally broadened social learning theory into a fuller theory of human behavior (not just learning).

He also presented his triadic reciprocality model.

Page 57: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Triadic Reciprocality Model

Page 58: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Triadic Reciprocality Model (cont.)

Here is a depiction of his triadic reciprocality model of social and person causes.

Page 59: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Triadic Reciprocality Model (cont.)

three bi-directional arrows

depicts a dynamic reality Within this system, self

efficacy helps determine what people decide to do (based on their capability beliefs) and self-regulation helps them to set, monitor, and control their goals and motivation.

What is implicit is Bandura’s agentic perspective of human behavior.

Page 60: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Social Cognition

Bandura believes that human beings have specific abilities and that only reciprocal determinism can explain their operation and interaction:

• Model and imitate

• Regulate own behavior

• Self-reflect

Page 61: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Motivation Bandura integrates many different theories of

motivation into his SCT, but what is most prominent in his theory is the agentic perspective which involves personal goal setting, self-reflection, self-regulation, and self-development. His idea of collective agency also is important (where social groups and cultures also set goals, monitor, and attempt to develop).

Page 62: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Fortuity Fortuity or chance plays an important role in

Bandura’s model of human behavior Bandura points out, however, that agency

even plays a role in fortuity. He is fond of the quote by Pasteur: “Chance

favors only the prepared mind.”

Page 63: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Key Concept in SCT: Self-Efficacy Self-efficacy, as a refined construct, came

relatively late in Bandura’s thinking. Bandura’s noticed a characteristic of

successful people in all phases of life. It was various self-efficacy beliefs that let to their successes.

“Self-efficacy is a person’s belief in their ability to produce desired results by their own actions.”

Successful people usually have high self-efficacy.

Page 64: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Self-Efficacy

Self-reflection is a second human quality and is expressed in the concept of self-efficacy.

“Self-efficacy is the belief in one’s capabilities to organize and execute the sources of action required to manage prospective situations.” (Bandura, 1986)

Page 65: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Self-Efficacy

Self-efficacy impacts:

• The choices we make

• The effort we put forth

• How long we persist when we confront obstacles (especially in the face of failure)

• How we feel about ourselves, others, the task, etc.

Page 66: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Self-Efficacy Versus Other Constructs “Self-efficacy as a judgment of personal

capability is not self-esteem, which is a judgment of self-worth, nor is it locus of control, which is a belief about whether outcomes flow from behavior or from extraneous forces” (2005)

Page 67: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Personal efficacy beliefs Teaching efficacy, Learning efficacy, Writing

efficacy Parenting efficacy I can quit smoking. (You can start naming

them) I can learn Spanish I can get over my phobias

Page 68: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Collective efficacy beliefs Sports team members’ collective or team

efficacy Our COE can produce good teachers Our organization can make a profit in a

competitive and changing environment

Page 69: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Ways that self-efficacy beliefs are developed:

1. Enactive mastery. 2. Social modeling or vicarious experience. 3. Social persuasion.  4. Physical and emotional states.

Page 70: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

“There is much talk about the validity of theories, but surprisingly little attention is developed to their social utility…Theories are predictive and operative tools. In the final analysis, the evaluation of a scientific enterprise in the social sciences will rest heavily on its social utility.” (2005)

Page 71: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Attitude Formation and Change

Page 72: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

What is an attitude? A learned predisposition to respond to an

object or a class of objects in a consistently favorable or unfavorable way.

Attitudes are relatively enduring.

Attitudes are situation-related.

Page 73: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

What Are Attitudes?

In a consumer behavior context, they are learned predispositions to behave in a consistently favorable or unfavorable way with respect to a given object (e.g., people, places, products, services or events)

Attitudes are not observable; thus attitude research is important for marketers

Page 74: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Attitudes are Learned

We are not born with attitudes Attitudes relative to purchase behavior are

formed as a result of 1. direct experience with the product2. word-of-mouth3. exposure to mass media advertising, the

internet, and direct marketing Attitudes are not synonymous with behavior Attitudes may result from behavior

Page 75: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Attitudes Have Consistency Attitudes are not permanent and can and do

change Once attitudes develop, they are not always

easy to change Often the goal of marketing is to change

attitudes about a product or company Circumstances sometimes preclude

consistency between attitudes and behavior

Page 76: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Attitudes Occur Within a Situation How attitudes affect behavior depends on the

situation in which the behavior occurs Thus a specific situation may cause

consumers to behave in ways that are inconsistent with their attitudes

From a marketer’s perspective, it is important to consider the situation in which the behavior takes place, or one might misinterpret the relationship between attitude and behavior

Page 77: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

How do we form attitudes? Three different paths to attitude formation:

Attitudes are created by first creating beliefs. Consumer beliefs are the knowledge that a consumer

has about objects, their attributes, and the benefits provided by the objects.

Consumer beliefs are created by processing information--cognitive learning.

Page 78: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Forming Attitudes, continued Attitudes are created directly.

Behavioral learning Mere exposure

Attitudes are created by first creating behaviors. Consumers respond to strong situational or

environmental forces, and after engaging in the behavior, form attitudes about the experience.

Page 79: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Sources of Attitudes Three Major Influences on Attitude

Formation1. Personal experience2. Influence of family and friends3. Exposure to direct marketing and mass-

media

Page 80: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

1. Personal Experience The primary basis on which attitudes towards

goods and services are formed Free products, cents-off promotions, etc. Marketer’s goal is to get consumers to try a

product and, hopefully, develop a positive attitude towards it

Page 81: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

2. Influence of Family & Friends Family and friends are a major influence on

our values, beliefs and attitudes We carry over into adulthood many of the

attitudes we developed as children Our peer and social groups also influence our

attitudes

Page 82: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

3. Direct Marketing & Mass Media Direct marketers are able to use new

technologies to target smaller and smaller market segments

As a result, many solicitations are highly personalized and have the capacity to create favorable attitudes towards their products

Television, radio, newspapers and magazines provide marketers with unlimited opportunities to create positive attitudes towards their products

Page 83: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

The Functions of Attitudes Attitudes can be classified into four

functions:1. Utilitarian Function2. Ego-defensive Function3. Value-expressive Function4. Knowledge Function

Page 84: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

1. Utilitarian Function We have a favorable attitude towards a

product because it has been useful in the past Marketers may stress the utilitarian feature or

may suggest uses of the product that may not be obvious

Page 85: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

2. Ego-defensive Function Products that we purchase to protect our self-

images, to replace our sense of insecurity with personal confidence

Page 86: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

3. Value-expressive Function We often express our personal values through

the brands we purchase and own Marketers often attempt to identify their

brands with these values

Page 87: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

4. Knowledge Function Consumers generally have a strong need to

know and understand the people and things they come in contact with

Many product and brand positioning strategies are based on an attempt to satisfy this “need to know”

Page 88: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Relation Between Attitude and Behavior It is fair to say that attitudes at least

sometimes guide behavior Thus it is important for marketers to

understand the role of attitudes in purchase situations

Page 89: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Structural Models of Attitudes

In order to understand the link between attitude and behavior, psychologists have developed models to help understand attitude

The focus has been on specifying the composition of an attitude to better explain or predict behavior.

They have identified the following attitude models: The traditional/tricomponent model The multi-attribute model The theory of reasoned action (TORA)

Page 90: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Tricomponent Model According to this model, attitude consists of three

components: Cognitive component

The knowledge and perceptions that are acquired by a combination of direct experience with the attitude object and related information from various sources.

Affective component The emotions or feelings associate with a particular

product or brand. Conative component

The likelihood or tendency that an individual will undertake a specific action or behave in a particular way with regard to the attitude object.

Page 91: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

1. Cognitive Component The knowledge and perceptions we have

about the object Based on personal experience with the object

and information from various sources (e.g., opinions of others, ads, articles, etc.)

This knowledge and perceptions commonly take the form of beliefs

Page 92: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

2. Affective Component A consumer’s emotions or feelings about a

particular product or brand Generally a reaction to the cognitive aspect of

the attitude Our emotional state may amplify positive or

negative experiences, which then have an effect on our attitude

Page 93: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

3. Behavioral/Conative Component Is concerned with the likelihood or tendency

that a consumer will undertake a specific action or behave in a particular way regarding the attitude object

Frequently treated as a consumer’s intention to buy

Page 94: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Implications for Marketing Strategy When marketers use the traditional model to

create or change attitudes, they use the various components as follows:

1. At the cognitive level with information2. At the affective level with emotionally toned

messages3. At the behavioral level with incentives (samples,

coupons, rebates)

Page 95: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

The Multi-Attribute Model of Attitudes There are many variations on this model They include:

1. The attitude toward the object model

2. The attitude toward the behavior model

3. The theory of reasoned action model

Page 96: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

1. Attitude toward the object model Model is especially suitable for measuring

attitudes toward a product or service category or specific brands

Holds that a consumer’s attitude towards a product or brands of a product is a function of the presence (or absence), and an evaluation of, certain product-specific beliefs or attributes

Page 97: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Consumers generally have favorable attitudes toward brands they believe have an adequate level of attributes they evaluate as positive

Consumers have negative attitudes toward brands they feel do not have an adequate level of desired attributes or have too many negative or undesired attributes

Page 98: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

2. Attitude toward behavior model A person’s attitude toward behaving or acting

with respect to an object, rather than toward the object itself

Not uncommon for consumers to have a positive attitude toward an object but a negative attitude toward purchasing it

Page 99: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

3. The Theory of Reasoned Action (TORA) According to this model, behavior is

determined by a person’s intention to behave To understand intention, we also need to

measure the subjective norms that influence an individual’s intention to act

A subjective norm can be measured directly by assessing a consumer’s feelings as to what relevant others (family, friends, co-workers) would think of the action contemplated

Page 100: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Attitude-toward-the-Ad Model Very specific to understanding the impact of

advertising on consumer attitudes about a particular product or brand.

Exposure to advertising affects attitude-toward-the ad and attitude-toward-the brand.

Page 101: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Attitude-toward-the-Ad Model Very specific to understanding the impact of

advertising on consumer attitudes about a particular product or brand.

Exposure to advertising directly affects beliefs about the ad and brand, and feelings about the ad.

Exposure to advertising indirectly affects attitude toward the brand and attitude toward the ad.

Page 102: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Exposure to ad

Attitude towardthe brand

Attitude towardthe ad

Feelings fromthe ad (affect)

Beliefs aboutthe brand

Judgments aboutthe ad (cognition)

Page 103: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Attitude Change Attitude change is an issue for every marketer New entrants into the market need to change

the attitude of consumers that support purchases from market leaders

Market leaders need to strengthen the positive attitudes of their customers to retain their market share

Page 104: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Attitude change strategies Competitors can try to change the attitudes

of the market leaders’ customers in several ways:

1. Comparative advertising2. Emphasizing brand attributes3. Adding new attributes4. Providing knowledge of alternatives5. Changing the relative value of attributes

Page 105: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

1. Comparative Advertising Identifying a major competitor and explaining

why your product is superior in one or more ways

Page 106: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

2. Emphasizing Brand Attributes Identifies and highlights features of the

product that consumers may not be familiar with or that may be new or innovative

Page 107: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

3. Adding attributes Can involve

Stressing an attribute that has been ignored; or Adding an attribute that represents an

improvement or technological innovation

Page 108: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

4. Providing knowledge of alternatives or consequences Providing consumers with evidence, facts or

figures enable them to make informed choices between competing brands

Page 109: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

5. Changing the relative value of attributes Often a market for a particular type of product

is divided so that different market segments are offered different brands, each with different features or benefits

When this occurs, marketers have an opportunity to persuade consumers to “cross over” to their brand

Page 110: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

How Can Marketers Change Attitudes? Alter components of multiattribute model

Increase belief ratings for the brand Increase the importance of a key attribute Decrease the importance of a weak attribute Add an entirely new attribute Decrease belief ratings for competitive brands

Page 111: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Changing attitudes…. Change beliefs and attitudes through

persuasion

Elaboration likelihood model of persuasion (ELM)

Page 112: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Motivationto

Elaborate

PeripheralRoute to

Persuasion

CentralRoute to

Persuasion

Abilityto

Elaborate

Amountof

Elaboration

MessageArgumentsDeterminepersuasion

PeripheralCues

Determinepersuasion

High Low

Page 113: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Communication(source,message,

channel)

Low-involvementprocessing

High-involvementprocessing

Attention andcomprehension

Cognitiveresponses

Beliefchange

Belief andattitudechange

Behaviorchange

Behaviorchange

Attitudechange

Central route

Peripheral route

Page 114: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Family

How does the family affect consumer behavior?(consumer socialization)

Family Life Cycle Who is the Decision Maker

(Husband dominant, wife dominant, and joint decision making)

Page 115: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Differences between families and other groups

Family Formation by marriage or birth More permanent relationship More interpersonal relations-oriented More intrinsic value seeking Group-oriented (co-operative)

Other groups Formation by job or task More contractual relationship More goal-oriented More rational-oriented ties Self-oriented (competitive)

Page 116: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Family functions

Socialization (imparting to children the basic values and modes of behaviour consistent with the culture)

Consumer socialization (the process by which children acquire the skills, knowledge and attitudes necessary to function as consumers) Intergenerational brand transfer – specific brand

preferences for products like peanut butter, coffee and ketchup are frequently “passed on” from one generation to another

Economic well-being (e.g. life insurance) Emotional support (e.g. Mother’s day cards) Suitable family lifestyles (e.g. the allocation of

time)

Page 117: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Family life cycle

YoungYoungsinglesingle

Newly Newly MarriedMarried

Full Full NestNest

EmptEmpty Nesty Nest

SolitaSolitary ry SurvivSurvivoror

Page 118: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Traditional Family Life Cycle

Stage I: Bachelorhood – Young single adult living apart from parents

Stage II: Honeymooners – Young married couple Stage III: Parenthood – Married couple with at

least one child living at home Stage IV: Postparenthood – An older married

couple with no children living at home Stage V: Dissolution – One surviving spouse

Page 119: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Non-traditional Family Life Cycle

Family households Childless couples Couples who marry later in life Single parents Extended family

Non-family households Unmarried couples Divorced persons Single persons Widowed persons

Page 120: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Roles in the family decision-making process(Instrumental, expressive and decision roles)

Influencers Gatekeepers Deciders Buyers Preparers Users Maintainers Disposers

Page 121: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Roles That Household Members Play

The Roles of Spouses Husband-Dominant Decision Wife-Dominant Decision Autonomic Decision Syncratic Decision

Page 122: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Examining family purchasing decisions

Four perspectives Role structure

Instrumental and expressive roles Power structure

Patriarchal, matriarchal and equalitarian family Child-centered family

Stage in the decision-making process In some purchases, the wives are involved more in the

initiation, information-seeking and purchasing stages Family-specific characteristics

Culture Social class Stage in life cycle

Page 123: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

Marketing Implications Development of ads and personal selling messages

Wives are often the purchasers of their husband’s clothing Ads for products in which are children are significantly involved in the

purchase decision Depending on the target market, portraying women as decorative or equal

partner or “successful and dominant” is appropriate Development of products

Working women place a premium on youthful appearance and on the “maintenance of self”

Distinction between men’s and women’s work in the home has blurred, forcing many appliances to take on a unisex image

Smaller cars are the big sellers, with emphasis on styling and hedonic options (Porsche estimated that in a recent year, 50% of their cars were bought by singles)

Pricing implications Price for some products may become less important than convenience,

availability, service and time savings Channel implications

Longer store hours and weekend shopping Establish and promote children’s sections ( as well as supervised play areas)

Dual roles, role-switching (cross-sex marketing) and role-blending

Page 124: -- Daivata Chavan-Patil Consumer Behavior Model of Consumer Behavior Marketing and other stimuliBuyer’s black box Buyer’s responses Product Economic

More examples Age-friendly shopping environment with easier-to-read labels,

well-lighted parking lots, comfortable seating throughout the store, …

41% of the primary decision makers for interior design are women. Glidden introduced Dulux paints with more colourful and stylish packaging to attract this market

BMW directly targeted professional women by running ads in Martha Stewart’s Living, along with a mail-in card for a test drive and free video

Cause marketing, which focuses on critical women’s issues (such as breast cancer and AIDS) is a particularly effective way to reach women

Hallmark has developed greeting cards that deal with a variety of step-relationships (e.g. “Happy birthday step-father”

In England, Shell Oil sponsored women’s workshops to teach women how to perform routine maintenance on their cars

Because of dual-career families, the need for child care services has been rapidly on the increase