Question 4.

   A - Stages in the Consumer Decision-Making Process

          B - Relevant Internal Psychological Processes
 
Apply the above two dimensions to discuss a purchase you made and describe this in
this week's discussion.

Answer 4: -A. The consumer decision making process is the process by which consumers
become aware of and identify their needs; collect information on how to best solve these
needs; evaluate alternative available options; make a purchasing decision; and evaluate their
purchase
Broadly there are 3 phases of Consumer decision making:-
Pre-purchase Purchase Post- Purchase

So, here’s a breakdown of what happens in each step:

1. Need recognition (awareness)

The need recognition stage of the consumer decision making process starts when a
consumer realizes a need. Needs come about because of two reasons:

1. Internal stimuli, normally a physiological or emotional needs, such as hunger,

thirst, sickness, sleepiness, sadness, jealousy, etc.
2. External stimuli, like an advertisement, the smell of yummy food, on seeing a
friend brough some new gadget etc.

Example: I was looking for a new phone

I though about it because my old phone wasn’t working well anymore, or simply I wanted a
nicer phone. This is related to a physiological need beacause without a phone, today we
can’t document special moments, do calls and so many stuff , therefore, its an emotional
desire to save the special moments, pic, videos etc. in a phone apart from calling, so that I
am happy and not sad.This emotional desire is the internal stimuli in this situation. Sure, a
phone isn’t a life necessity keeping them from surviving, but it does solve a core emotional
need.What happens after someone identifies a need? The consumer begin looking for a
solution! i.e. searching for information. 

2. Search for information (research)

As soon as a consumer recognizes a need and he begins to seek information for better
decision making. This search for information done by him can be Internal or External search
(own memory & experiences, friends, family, ads, reviews, online resources)

Example: Researching Phone

Now that I (the customer) have realized a need to get a new phone, it’s time to find solutions
to my problem. In this stage, it’s imperative that the products are visible to me (consumer)
searching for an answer.

Here are some things I (consumer) searched for:

 Best phones 2021

 Which of the phones have best camera?
 What is the best affordable phone under Rs. 30000?
 Which phones are top-rated?
Information search activity makes consumer aware of brands in the market (awareness set),
information about the brands and evaluation criterion helps in shortlisting of the brands
(consideration set)-Options that are to be considered in more details. It leads to strong
contenders for purchase- (choice set)
Awareness set Consideration set Choice set

First, when I searched there were brands as shown in the picture that came up

In first look It helped me to know which all top brand phones are there under this price range.
User-generated reviews can help to build brand awareness during the research stage.
Reviews can help your store get seen in search results by increasing the likelihood of your
store showing up for long-tail keywords. They can leverage reviews in Google Rich
Snippets and Product Listing Ads so that if a customer searches in Google, you’ve added
credibility to your listing. Businesses that show reviews in their search results stand out from
the competition!
3. Evaluation of alternatives (consideration)
Now that the I (consumer) have done research. Now, it’s time to evaluate choices and see if
there are any promising alternatives. During this phase, I get aware of One Plus and have
been brought to their site to consider whether to purchase from them or their competitor
(Google Pixel). I (Consumers) make purchase decisions based on which available options
best match my needs, and to minimize the risk of investing poorly, I make sure there are no
better options for me than this.
Evaluation is influenced by two major characteristics:

1. Attribute based choice: Features, functionality, price, ease of use

2. Affect based choice: Feelings about a brand (based on previous experience or input
from past customers) and holistic perception of options
Example: Comparison shopping for a Phone
If you’re a Phone seller or brand, your goal in the consideration stage is to convince
customers your phone is the best choice. And the most effective way to do that is to keep
them on your site longer and find ways to earn their trust.
I (Consumer) first weigh the attributive characteristics of your Phone. Does it have all the
features I want? Is it easy to use? Is it in my budget? Then, the emotional consideration kick
in: Do other people think it has all the features it should? Has anyone else who bought it
expressed any difficulty with learning how to use it? Is it generally considered a good value
for the money?
In this stage, as a marketer use reviews and user-generated content examples on your site
to increase engagement and boost customer trust. The first place you need to have reviews
is on your home page, so as soon as customers land on brand site, they see content from
past buyers. You also need to display reviews on your product pages, so customers looking
for information can see trustworthy input from past buyers.

Reviews also help kick start the navigation to other product pages.

4. Purchasing decision (conversion)

This is the stage when I (customers) am ready to buy, have decided where and what I want
to buy, and am ready. Among the choices its not possible to select any one unless some
rules of elimination are applied, called decision rules These are called decision rules:-
 Compensatory rule: This rule implies that higher level of delivery on one attribute can
compensate for low performance of another attribute. One of the simplest
compensatory formulas is to add up all scores of performances on each of the
evaluative dimensions and choose the option that has the highest score.
 Non compensatory rule: This rule means that low performance or delivery on one
attribute cannot be offset by higher delivery on the other. For instance, high health
value of snacks may not compensate for its taste

Example: Abandoning checkout for a phone

I (customer) have gotten to the checkout stage of his purchase, and have second thoughts
as the color I want not available. I abandon my cart, and go back to the research stage. As a
customer maybe I’ll end up back on their site, but maybe I won’t. So goal at this stage of
marketer is to get customer to complete the purchase, so they don’t lose him forever.

5. Post-purchase evaluation (re-purchase)

In this stage of the consumer purchase decision process, consumers reflect on their recent
purchase. They think about how they feel about it, if it was a good investment, and most
importantly, if they will return to the brand for future purchases and recommend the brand to
friends and family.
In this stage, marketer need to have a post-purchase strategy to increase the likelihood that
customers will engage with your brand again in the future
Example: Getting feedback and encouraging repeat purchases
In the phone example, the I (customer) have already bought from brand and am evaluating
my purchase. This is usually when I will leave a review about their experience. This is also
when they are at my most engaged with your brand, and can be susceptible to strategies that
encourage long term engagement. 
At this stage, marketer want to ensure that customers buy again, and want to encourage
them to leave UGC that helps other buyers in the future. Asking customers for reviews about
their experience in a post-purchase email not only gives marketer an insight into their
performance, but it also gives marketer valuable user-generated content to leverage to
attract future customers.
B. Relevant internal psychological factors for my buying of One plus phone are :-

Motivation
Motivation is the energizing force that causes behaviour that satisfies a need. In order for any
consumer purchasing decision to happen, the need must be aroused to a high enough level
that it serves as a motive. My old phone was very old and outdated in terms of latest
features. Then I saw this One plus phone in my friend’s hand and happen to see an ad of
One Plus which forced a sense of urgency and motivation.

Perception
Perception is the process by which we select, organize, and interpret information to form an
opinion. It can be how consumers perceive the importance of attributes of product, price, its
advertisements and messages or see risks in a purchase. According to the things I learnt
about one plus and as their ad says “Never Settle” formed a good perception of it in my mind.

Learning
Consumers intentionally and unintentionally learns about products, companies, brands and
stores The learned information helps him in making effective buying decisions. Brands
succeed when consumers learn good things about them and learn to buy them when need
arises. I come to know about One plus phone via my friend who was using it and showed me
amazing feature related education, photography, its solid built in quality, processor and many
other technical feature which he showed were best in that price range

Attitude
Attitude is an internal feeling. Consumer buy brands about which they hold positive attitude
and refrain from buying ones about which they have negative attitudes. As I heard positive
reviews of One plus by friends, online and social media so had a good internal feeling about
it.
Question 1.Give some examples of logos that elicit positive associations and those
that elicit negative associations for you. Discuss the reasons and influence on your
purchase intentions.

Answer: Examples of logos that elicit positive association for me are :-

1. Dabur – Dabur India Limited is a leading Indian consumer goods company with
interests in  health care, Personal care and foods which have been providing nature
based solutions for a healthy and holistic life. Its logo consists of a tree, a symbol of
nature, is indelibly regarded as a provider of shelter, food and protection. In the tree
trunk mirrors the form for three people with their arms raised conveying exultation in
achievement. The broad trunk represents stability and its multiple branches represent
growth.
In India, the tree is a symbol of life.
Influence on my purchase intention : A tree full of leaves represents growth, vitality,
rejuvenation and renewal along with the exhilarated people in the trunk gives me
overall a really good feeling for buying Dabur products.

2. Tata Motors :- The logo of Tata symbolizes fluidity and adaptability. The logo also
said to depict a fountain of knowledge, or a tree of trust under which people can
take shelter. The blue color in the Tata logo stands for excellence, reliability and
strength of the company’s products.
Influence on my purchase intention : Brand tata has been the part of every
household of India in the form of consumer products and name itself is a symbol of
ethics, trust, reliability. Apart from that they have always been contributing to the
nation in one or the other way, donation of 1500 cr. in covid relief is the latest
example of it. The logo reminds the same and we happen to buy our new four
wheeler TATA TIGOR and felt really good afterwards.

Negative association
Amazon :- Logo that elicit negative association for me was a recently changed logo of
Amazon in the early 2021. The new logo design, which had begun to appear on several
regional app stores, featured Amazon’s signature curved arrow — made to look like a smile
— against a brown background, presumably inspired by the cardboard boxes used to deliver
Amazon products with a small blue strip of packaging tape at the top of the new logo that
sparked as the jagged edges of the blue tape closely resembled Hitler’s characteristic
toothbrush moustache. This change was not welcomed by the netizens and after strong
criticism by people on social media they had to come up with a modified logo as shown
below to save their brand image
Influence on my purchase intention :- The logo was criticized and unwelcomed by a lot of
people and impacted the brand image of Amazon. Finally, they made changes and the blue
strip was made to look like a folded over piece of tape.

Before After