Consumer Behavior

Fall 2018, BBA, Sessions: 1-2

Jindal Global Business School
Prof. Diptiman Banerji
 Classroom ground rules
What you can expect from me
1. I will arrive at the class on time.
2. I will come to class prepared.
3. My cell phone will not distract.
4. I will not look at my cell phone while
teaching, no matter how attractive that
new email or message is to me.
5. I like meaningful interactions and
discussion in class.
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What I expect you to follow
Anyone coming later than 5 minutes (I
follow IST) is neither welcome, nor
allowed inside.
Please read the relevant book chapters
and cases before coming to class.
Please maintain decorum in class.
No looking at the screen while in class. If
its critical stuff, please go outside the
classroom and come back when you’re
through.
Put your hand up if you want to speak /
answer.
2
 Course logistics
• The text book I will follow is:
– Schiffman, L. G., Wisenblit, J., & Kumar, S. R.
(2015). Consumer behavior (11th ed.). New Delhi,
India: Pearson
• I will also refer to scholarly publications once
in a while.
• Groups for cases and group projects

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 Evaluation components
• Three components in internals
– Cases
– Quizzes (Best 2 of 3)
– Group project submission
• Final exam
• Please go though the course outline. Lack of
knowledge is not a good enough excuse to
miss anything.

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 Consumer behavior?
• The study of the processes involved when
individuals or groups select, purchase, use, or
dispose of products, services, ideas, or
experiences to satisfy needs and desires.
• Successful products satisfy needs and improve
our lives in ways large and small.

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 Let’s analyze

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 Let’s analyze

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 Let’s analyze

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 Target audience?

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 Consumer behavior
• A heady mix of Psychology, Sociology,
Anthropology, and perhaps some Marketing..
• We analyse behaviour
– Objective is to make predictions
• Or, try to understand ‘rationale’ behind a type
of behavior

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 The present-day philosophy

Production Product Selling Marketing

Concept Concept Concept Concept

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 The “marketing concept” point-of-
view
• The essence of marketing – CCD?
• Marketer’s role?
– Understand consumers (Consumer research)
• Market Segmentation, Targeting and Positioning
• The Marketing Mix (4 Ps)
– Product or service
– Price
– Promotion
– Place

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 An important goal

Successful Relationships

High level of
Customer
Customer value customer
retention
satisfaction

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 Let’s analyze
• How is this offering adding value to the
customer?

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 Let’s analyze
• How do you think this advertisement is
related with customer satisfaction?

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 Customer retention
• Customer value → satisfied customers →
customers retention
• Loyal customers are key
– They buy more products
– They are less price sensitive
– Servicing them is cheaper
– They spread positive word of mouth

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 Technology and Customer
Relationships
• For Discussion:
– Provide two examples where brands used
technology to engage consumers/enhance
customer relationships.

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 The Consumer Decision making
process
• I will be following Philip Kotler’s framework,
instead of the one in p. 20 of your textbook.

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 The Consumer Decision making
process
• I will be following Philip Kotler’s framework,
instead of the one in p. 20 of your textbook.

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 Caveats
• The decision making process is rarely linear….
• Understanding the consumer is critical
• Manifested aspects hide deeper insights
• As marketers, weed to understand what
‘drives’ the customer…

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 Let’s analyze
• What all does purchase of an insurance policy,
by someone who’s just started working,
“signal”?

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 All the best!

Contact: diptiman@jgu.edu.in

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