CONCUMER BUYING

BEHAVOOUR

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CONSUMER MARKET
Consists of all the individuals and households
who buy or acquire goods and services for
personal consumption

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Consumer Buying Behavior
Consumer buying behavior refers to the buying
behavior of the individuals and households who buy
goods and services for personal consumption.
Consumer market refers to the combination of all
theses individuals and households.
These diverse consumers make their choices among
various products based on several factors.

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Learning Objectives
Understand the major factors influencing consumer
behavior
Know and recognize the types of buying decision
behavior
Understand the stages in the buying decision process

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Model of Consumer Behavior
How do consumers respond to various marketing
efforts that the company might use? The company
that understands how consumers will respond to
product features, prices, advertising has a great
advantage over its competitors.

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CON.
According to the “model of buyer behavior”,
marketing (4Ps) and other
(environmental - economic, technological, political
and cultural) stimulus starts the response model. All
these enter into the buyer’s head (black box) and then
turn into responses as product choice, brand choice,
dealer choice, purchase timing, and purchase amount.

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CON.
The buyer behavior is affected by; (1) the buyer’s
characteristic - cultural, social, personal,
psychological;
 (2) the buyer’s decision process.
IN OTHER WORDS:-
Personal
Psychological
Social
Cultural
Situational Influences
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 Model of Buyer Behavior
Marketing &
Other Stimuli Buyer’s Black Box Buyer’s Response
Product Economic Buyer
Price Technological characteristic
Place Political Buying
Promotion Cultural decision
process

Product choice
Brand choice
Dealer choice
Purchase timing
Purchase amount

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The Buyer Decision Process
Problem Recognition /Need Recognition

Information Search

 Evaluation Search

 Purchase Decision

Post Purchase Decision

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Need Recognition
 The buying process starts when the buyer recognizes
that he has a problem or need.
The need can be felt because of internal stimuli
(hunger, thirst...) or external stimuli (the buyer may
feel hungry when he passes by a bakery, the buyer
may need to have a vacation when he watches a
commercial about Caribbeans on TV).
At this stage, the marketer must identify the factors
that most trigger interest in the product and develop
marketing programs that involve these factors.
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Types of Needs:-
1.Psychological Need:-Fundamental Need of consumers.
Impossilble to live without these needs.
2.Safety & Healthy Needs :-it means need for safety. It
motivates the purchase of seat belts, helmets, alarms ,other
security services.
Health Needs: -Pharma company do this works by
advertisement to complete human health needs.
3.Need for love & companionship:-Internet ,social clubs,
Dating clubs ,hotels
4.Need for pleasure
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con
5.Social Needs :- BPL /Nokia/Samsung Mobile advertise that
it will help to touch with ur family across the country
6.Need to Process :-Omega watches advertise that if u use
this set then u would be the leader.
Thus “Needs”
Need over wants. Delivers to a real “need” to have something.

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Information Search
When the consumer feels his need, he satisfies his
need with a product near at hand. But, if there is not
such a product, he starts to search for information.
The consumer can obtain information from several
sources;
 personal sources: family, friends, neighbors,
acquaintances (more important for the consumer to
evaluate)

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Con.
 commercial sources: advertising, salespeople, dealers,
packaging, displays (more important for the consumer to
get information)
 public sources: mass media, consumer rating organizations
 experiential sources: handling, examining, using the
product
Here, the marketer is responsible to identify the
consumer’s sources of information and their importance,
then design its marketing efforts in the way that would
increase the awareness and knowledge of the potential
consumers.
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Evaluation of Alternatives
After gathering information, the consumer evaluates
each alternative and makes a brand choice.
Consumers pay attention to certain issues when
evaluating the alternatives;
 product attributes: consumers see products as a bundle
of product attributes (e.g. quality, size, price...)
Consumers pay the most attention on the attributes
that satisfies their need the most.

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Con.
 degrees of importance: consumers give different degrees of
importance to different attributes according to their needs
and wants.
 brand beliefs: consumers develop a set of brand beliefs
about where each brand stands on each attribute. The set
of beliefs that are held about a particular brand is known as
the brand image.
 total product satisfaction: consumers combine the
attributes that give them the highest perceived satisfaction
and create their ideal product.
 evaluation procedure: consumers approach different brands
through some type of
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Con.
evaluation procedure which depends on the individual
and specific buying situation. In some cases,
consumers use logical thinking, and at other times,
emotional. Sometimes, they may decide on their own,
or ask their friends, or salespeople for advice.
Here, the marketer should study the buyers to
understand how they evaluate each alternative - e.g.
which attribute receives the highest attention.

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Purchase Decision
The consumer ranks all the brands and intends to
purchase one. However, sometimes the consumer
does not buy the one he intended. Two factors can
come between the purchase intention and decision;
 attitudes of others; e.g. family may claim that the
alternative is better.
 unexpected situational factors; unexpected events may
change the purchase intention e.g. the consumer may
loose his job so that he have to purchase a cheaper
brand, a friend my report his dissatisfaction about the
product, a competitor may drop its prices...
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Postpurchase Behavior
After purchasing the product, the consumer will be
satisfied or dissatisfied and will engage in
postpurchase behavior of interest.

Whether the buyer is satisfied or dissatisfied is

determined by the relationship between the
consumer’s expectations and the product’s
performance.

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Con.
The marketer’s job does not end when the product is
bought. The marketer must do research in order to
understand whether the consumer is satisfied about
the product or not. Responding to consumer
complaints help to reduce the number of dissatisfied
consumers. E.g. Toyota contacts the new car owners
and congratulates them. In addition, places
advertising with the favorable words of the new car
owners. “I love what you do for me Toyota”

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The Buyer Decision Process for
New Products
The adoption process is the mental process that an
individual passes through from first learning about a
new product to final adoption (making the decision to
become a regular user).
Consumers go through six stages in the process of
adopting a new product;
 awareness: the consumer becomes aware of the new
product but does not have information.

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con
 interest: the consumer seeks information about the new
product.
 evaluation: the consumer considers whether trying the
new product is a good idea.
 trial: the consumer tries the new product to understand
its value.
 adoption: the consumer decides to make regular use of
the new product.
 Conformation : the consumer make conformation about
the new product.

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Individual Differences in
Innovativeness
People differ in their readiness to try new products. After
a slow start, an increasing number of people adopt the
new product. The number of adopters reaches a peak and
then drops off as very little adopters remain.
There are five adopter categorization on the basis of time
of adoption of innovations;
Innovators: are the first 2.5 percent of the buyers, they
are adventurous, take risk, relatively younger, better
educated, have higher income, are more receptive to

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 unfamiliar things, rely more on their own values and
judgement, are less brand loyal and more likely to
tae advantage of special promotions e.g. discounts.
Early adopters: are the next 13.5 percent, are opinion
leaders in their communities and adopt new ideas
early but carefully.
Early majority: are rarely leaders but adopt new
ideas before the average person.
Late majority: adopt an innovation only after a
majority of people have tried it.
Laggards: are suspicious of changes and adopt the
innovation only when it has become tradition.

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Influence of Product
Characteristics on Rate of
Adoption
The characteristics of the new product affect its rate of
adoption. Some products catch on almost overnight e.g.
Frisbees; but some take a long time to be accepted e.g. personal
computers. Five characteristics are important in influencing an
innovation’s rate of adoption;
relative advantage: the degree to which the innovation
is seen as superior relative to existing products.

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compatibility: the degree to which the innovation fits
the values and lifestyles of potential consumers.
complexity: the degree to which the innovation is
difficult to understand or use.
divisibility: the degree to which the innovation may
be tried on a limited basis. (price may influence the
divisibility)
communicability: the degree to which the results of
using the innovation can be observed or described.

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Examples of Buying Motives:
Psychological or Functional?
A senior wants to impress his date at the
prom .
His primary motive is …?

Psychological

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Examples of Buying Motives:
Psychological or Functional?
A girl wants to remember her grandmother on
her birthday.
Her primary motive is…?

Psychological

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Examples of Buying Motives:
Psychological or Functional
A homemaker needs a new washing machine
and has had good experiences with Sears.
Her primary motive is …?

Functional

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Examples of Buying Motives:
Psychological or Functional?
A teacher wants to buy a practical car to be
used for family transportation.
Her/His primary motive is …?

Functional

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Examples of Buying Motives:
Psychological or Functional?
A career woman always buys Liz
Claiborne clothes.
Her primary motive is…?

Psychological

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Examples of Buying Motives:
Psychological or Functional?
An overweight 40 year old man wants to
loose weight so that he can reduce his
blood pressure.
His primary motive is…?

Functional
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Examples of Buying Motives:
Psychological or Functional?
A homeowner needs to mow their lawn.
Their primary motive is…?

Functional
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Thank You !!

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