consumer-behaviour-1227857349058047-9

8/9/2019 consumer-behaviour-1227857349058047-9

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5-1

5-1

Consumer Markets

and

Consumer BuyerBehavior


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5-2

5-2

Consumer Buying Behavior

Consumer Buying Behavior

Consumer Buying BehaviorConsumer Buying Behaviorrefers to the

buying behavior of final consumers(individuals & households) who buy goodsand services for personal consumption.

Study consumer behavior to answer:

How do consumers respond to marketingHow do consumers respond to marketingefforts the company might use?efforts the company might use?


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5-3

5-3

ConsumerPurchase

Decision

Motives

Personality

Needs

Perception

Learning

Attitudes

Bus

ine

ss

Cultu

re

Economic

Fa

mily

Social

SIMPLE MODEL FOR CONSUMER BEHAVIOUR


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5-4

5-4

Model of Consumer Behavior

Model of Consumer Behavior

Marketing andOther Stimuli

Marketing andOther Stimuli

Buyers Black BoxBuyers Black Box

Buyers Response

Buyers Response

Product

Price

Place

Promotion

Economic

Technological

Political

Cultural

CharacteristicsAffectingConsumerBehavior

BuyersDecisionProcess

Product Choice

Brand Choice

Dealer Choice

PurchaseTiming

Purchase

Amount


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5-5

5-5

Characteristics Affecting

Consumer Behavior

Characteristics Affecting

Consumer Behavior

Buyer

Buyer

Psychological

Personal

Social

Culture


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5-6

5-6

Factors Affecting Consumer Behavior:

Culture


Culture

Social Class

People within a social classtend to exhibit similar buying

behavior.Occupation

Income

Education

Wealth

Social Class

People within a social classtend to exhibit similar buying

behavior.

Occupation

Income

Education

Wealth

Most basic cause of a person's wants andbehavior.

Values

Perceptions

Most basic cause of a person's wants andbehavior.

Values

Perceptions

Subculture

Groups of people with sharedvalue systems based on common

life experiences. North Indian Consumers

African American Consumers

Asian American Consumers

Mature Consumers

Subculture

Groups of people with sharedvalue systems based on commonlife experiences.

North Indian Consumers

African American Consumers

Asian American Consumers

Mature Consumers


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5-75-7


Social


Social

Groups

Membership

Reference

Groups

Membership

Reference

Family

Husband, wife, kids

Influencer, buyer, user

Family

Husband, wife, kids

Influencer, buyer, user

Roles and StatusRoles and Status

Social FactorsSocial Factors


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5-85-8Factors Affecting Consumer Behavior:

Personal


Personal

Personal InfluencesPersonal Influences

Age and Family Life CycleStage

Age and Family Life CycleStage Occupation

Occupation

Economic SituationEconomic Situation

Lifestyle IdentificationLifestyle Identification

ActivitiesActivities OpinionsOpinions

InterestsInterests

Personality & Self-ConceptPersonality & Self-Concept


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5-95-9VALS 2VALS 2

Principle Oriented Status Oriented Action Oriented

AchieversAchievers

ActualizersActualizers

StrugglersStrugglers

StriversStrivers

FulfilledsFulfilleds

BelieversBelievers

ExperiencersExperiencers

MakersMakers

Abundant ResourcesAbundant Resources

Minimal ResourcesMinimal Resources


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5-105-10


Psychological


Psychological

PsychologicalFactors

MotivationMotivation

PerceptionPerception

LearningLearning

Beliefs andAttitudes

Beliefs andAttitudes


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5-115-11Maslows Hierarchy of NeedsMaslows Hierarchy of Needs

Esteem Needs(self-esteem, status)

Social Needs(sense of belonging, love)

Safety Needs(security, protection)

Physiological Needs(hunger, thirst)

SelfActualization

(Self-development)


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5-125-12Types of Buying DecisionsTypes of Buying Decisions

ComplexBuying

Behavior

Dissonance-

Reducing Buying

Behavior

Variety-Seeking

Behavior

Habitual

BuyingBehavior

HighInvolvement

Significant

differencesbetween

brands

Fewdifferences

between

brands

LowInvolvement


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5-135-13The Buyer Decision ProcessThe Buyer Decision Process

Need RecognitionNeed Recognition

Information SearchInformation Search

Evaluation of AlternativesEvaluation of Alternatives

Purchase DecisionPurchase Decision

Postpurchase BehaviorPostpurchase Behavior


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5-145-14

SITUATIONS

Problem

Recognition

Information

Search

Alternative Evaluation

and Selection

Outlet Selection

and Purchases

Post-purchaseProcesses

SITUATIONS

EXTERNAL INFLUENCES

Culture

Subculture

Demographics

Social Status

Reference Groups

Family

Marketing Activities

INTERNAL INFLUENCES

Perception

Learning

MemoryMotives

Personality

Emotions

Attitudes

SELF-CONCEPT

and

LIFESTYLE

Desires

Experiences and Acquisitions

Experiences and Acquisitions

Needs

DECISION MAKING PROCESSES


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5-155-15The Buyer Decision ProcessStep 1. Need Recognition

The Buyer Decision ProcessStep 1. Need Recognition

External Stimuli

TV advertising

Magazine ad

Radio slogan

Stimuli in the

environment

External Stimuli

TV advertising

Magazine ad

Radio slogan

Stimuli in the

environment

Internal Stimuli

Hunger

Thirst

A persons normalneeds

Internal Stimuli

Hunger

Thirst

A persons normalneeds

Need RecognitionDifference between an actualstate and a desiredstate

Need RecognitionDifference between an actualstate and a desiredstate


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5-165-16The Buyer Decision ProcessStep 2. Information Search

The Buyer Decision ProcessStep 2. Information Search

Family, friends, neighborsMost influential source of information

Advertising, salespeopleReceives most information

from these sources

Mass MediaConsumer-rating groups

Handling the productExamining the productUsing the product

Personal SourcesPersonal Sources

Commercial SourcesCommercial Sources

Public SourcesPublic Sources

Experiential SourcesExperiential Sources


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5-175-17

The Buyer Decision ProcessStep 3. Evaluation of Alternatives

The Buyer Decision ProcessStep 3. Evaluation of Alternatives

Product AttributesEvaluation of Quality, Price, & Features

Product AttributesEvaluation of Quality, Price, & Features

Degree of Importance

Which attributes matter most to me?

Degree of ImportanceWhich attributes matter most to me?

Brand BeliefsWhat do I believe about each available brand?

Brand BeliefsWhat do I believe about each available brand?

Total Product SatisfactionBased on what Im looking for, how satisfied

would I be with each product?

Total Product SatisfactionBased on what Im looking for, how satisfied

would I be with each product?

Evaluation ProceduresChoosing a product (and brand) based on one

or more attributes.

Evaluation ProceduresChoosing a product (and brand) based on one

or more attributes.

Th B D i i P


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5-185-18The Buyer Decision ProcessStep 4. Purchase Decision

The Buyer Decision ProcessStep 4. Purchase Decision

Purchase IntentionDesire to buy the most preferred brand

Purchase IntentionDesire to buy the most preferred brand

Purchase DecisionPurchase Decision

Attitudes

of others

Unexpected

situational

factors


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5-195-19The Buyer Decision ProcessStep 5. Postpurchase Behavior

The Buyer Decision ProcessStep 5. Postpurchase Behavior

Consumers Expectations of

Products Performance

Consumers Expectations of

Products Performance

Dissatisfied

Customer

Dissatisfied

CustomerSatisfied

Customer!

Satisfied

Customer!

Products Perceived

Performance

Products Perceived

Performance

Cognitive Dissonance

5 20

St i th Ad ti P


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5-205-20Stages in the Adoption ProcessStages in the Adoption Process

AwarenessAwareness

InterestInterest

EvaluationEvaluation

TrialTrial

AdoptionAdoption

5 21

Ad ti f I ti


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5-215-21Adoption of InnovationsAdoption of Innovations

Percentage

of

Adopt e

rs

Time of AdoptionEarly Late

Innova

tors

EarlyAdopters

Early Majority

2.5%

13.5%

34% 34%

16%

Laggards

Late Majority

5 22

I fl th R t f Ad ti


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5-225-22Influences on the Rate of Adoption

of New Products

Influences on the Rate of Adoption

of New Products

DivisibilityCan the innovation

be used on a

trial basis?

CompatibilityDoes the

innovation

fit the values andexperience of thetarget market?Complexity

Is the innovationdifficult to

understand oruse?

Relative AdvantageIs the innovation

superior to existingproducts?

CommunicabilityCan results be easily

observed or describedto others?

ProductCharacteristics

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