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NATIONAL ECONOMICS UNIVERSITY

MARKETING FACULTY
Marketing Department

ENGLISH FOR MARKETING

• Lecturer: Le Thi Thu Mai, PhD.


• Mobile: 0946203410
• Email: maile@neu.edu.vn
• Facebook: Mai Le
CHAPTER 4
OBJECTIVES

ü Understand English terms related to buying


behavior and buyer decision process (among
both consumer and industrial buyer)
ü Explain, analyze and apply these terms in not
only theoretical contexts but also real-life
situations related to buyer behavior in English
CONTENTS
•Consumer behavior
•Buying decision behavior and the buyer
decision process
•Buyer decision process for new products
•Business buyers
CONSUMER BEHAVIOR
DISCUSS
1. Compare and contrast consumer buyer behavior in
Vietnam before and after the COVID-19
outbreak.
2. How have marketers responded to these changes in
buying behaviors in Vietnam?
CROSSWORDS
Across
2. This will direct the person to seek satisfaction
of the need.
3. Family, groups, networks belong to these
factors which influence.
4. Individual and household buyers who buy
products or services for their own consumption.
7. (abbreviation) Personal words and
recommendations of trusted friends or relatives
8. Culture, sub culture or social class are
examples of these.
Down
1. Consumers' awareness, impression and
opinions about products
5. These peoples' recommendations and
opinions are listened to when consumers make
important decisions.
6. Examples of these are discounts, low price, or
an additional feature of an existing product.
MODEL OF CONSUMER BEHAVIOUR

Marketers want to understand how the stimuli are changed into responses inside the
consumer’s black box, which has two parts:
- How the characteristics influence the way the consumer react to the stimuli
- The buyer decision process itself affect the consumer behaviour
Characteristics Affecting Consumer Behavior

Culture is the set of basic values, perceptions, wants, and behavior learned by a member of
society from family and other important institutions
CHARACTERISTICS AFFECTING CONSUMER BEHAVIOR
Groups and Social Networks
Groups

Membership Aspirational Reference


Groups Groups Groups
• Groups with • Groups an • Groups that
direct individual form a
influence wishes to comparison
and to belong to or reference
which a in forming
person attitudes or
belongs behavior
CHARACTERISTICS AFFECTING CONSUMER BEHAVIOR
Personal factors
Lifestyle is a person’s pattern of living as expressed in his or
her activities, interests, and opinions
Characteristics Affecting Consumer Behavior
Personal factors

Personality is the unique psychological characteristics that


distinguish a person or group
Characteristics Affecting Consumer Behavior
Psychological factors

A motive (or drive) is a need that is sufficiently pressing to


direct the person to seek satisfaction.
Characteristics Affecting Consumer Behavior
Psychological factors

Perception is the process by which people select, organize, and


interpret information to form a meaningful picture of the world.
Exercise 1.1: Match the terms with their definitions.
A. four Ps: product, price, place and promotion
G consumer buyer
behavior B. person within a reference group, who because of special
skill knowledge, personality or other characteristics exerts
E consumer market social influence on others
C. a need that is sufficiently pressing to direct the person to
seek satisfaction of the need
A marketing stimuli D. process by which people select organize, interpret
C information to form a meaningful picture of the world
motive E. all the individuals and households who buy or acquire goods
and services
D perception F. personal words and recommendations of their trusted
friends, family, associates, and other consumers that may
F Word-of-mouth influence consumers’ buying behaviors
influence G. the buying behavior of final consumers-individuals and
B households that buy goods and services for personal
opinion leader
consumption
Exercise 1.2: True or False
1. The consumer market is made up of all those who make a purchase of any
goods or products in the market. FALSE
2. Understanding consumer behavior is an essential task of marketing
management because it helps brands understand why consumers buy a product
or service and can respond accordingly. TRUE
3. Cultural factors like consumer’s small groups, social networks, family, and
social roles and status can influence a consumer’s behavior. FALSE
4. Word-of-mouth influence tend to be less reliable than influence from FALSE
commercial sources, such as advertisements or salespeople.
5. Heavy users might become a brand’s opinion leaders. TRUE
6. Nowadays consumers are more value conscious. TRUE
7. Consumer perception is the process by which consumers select, organize, and
interpret information to form a meaningful picture of the world. TRUE
Exercise 1.3: GAP FILL
attract consumer buying behavior individual customers
purchase decisions and acts loyalty
driver business customers
Buyer behavior is defined as the (1)............................
decision and acts conducted by individuals who
purchase products or services for their own use or for their organization’s use.
(2)...................
consumer buying behavior which is often referred to as
It’s similar to the term “(3)............................................”
(4)...................................
individual customers rather than (5)....................
business customers
driver
Buyer behavior is the (6)................... beyond any marketing campaign. It is essential
to understand reasons for this purchase decision and the process of the purchase of
loyalty to one specific brand also
products or services. The reasons for their (7)...................
needs to be identified if companies want to thrive and improve their business model
attract
and (8)................... more customers.
BUYING DECISION BEHAVIOR AND
THE BUYER DECISION PROCESS

What can companies do to respond to


customers’ activities in each step?

Describe the process of your buying decision


of a product.
Match consumers’ activities to the steps in the consumer buying process
i. Recognition of Need ii. Information Search
iii. Evaluation of Alternatives. iv. Purchase Decision. v. Post-Purchase Evaluation
Reading
Many factors can intervene; however, between the moment a consumer decides to buy and
the moment of actual purchase. A shopper who has decided to buy a sofa at a high-end
furniture store may become overwhelmed by hundreds of different fabrics and trims
available and walk out. Another consumer may enter a camera shop intending to buy a
particular make and model of digital camera, only to select a different one based on a
salesperson’s recommendations. A third consumer may enter a car dealer with the intent to
buy a new Ford Escape but discovers that her credit score is not sufficient to qualify.
Additionally, a consumer may have decided to buy a bottle of white wine but has not yet
decided which brand to buy.
These situations show why companies need to anticipate barriers to purchase and attempt
to minimize them.
1. What should the furniture store do?
2. What should the camera manufacturer do?
3. What should the car dealer do?
4. What should the wine company do?
TYPES OF BUYING DECISION BEHAVIOUR
HIGH INVOLVEMENT LOW INVOLVEMENT
Consumers need extensive Consumers do not need to
thought and consider a lot of think too much before
variables before making a purchasing the product and
purchase decision may simply select a familiar
brand out of habit.

COMPLEX BUYING BEHAVIOR DISSSONANCE-REDUCING BUYING


consumers are highly involved in the BEHAVIOR
purchase of products which are involved in the purchase of products which
expensive, risky or purchased are expensive, infrequently bought but see
infrequently.
little difference among brands.
Exercise 2.1: Match the terms with their definitions.
A. consumers buy a low-cost product very frequently, for
C complex buying example grocery, out of a habit rather than brand loyalty
behavior B. consumers process information to choose among
habitual buying several brands
A
behavior C. consumers have to learn a lot about the product
F dissonance-reducing category, for example a new car
buying behavior D. consumers may be satisfied or dissatisfied after
G variety-seeking purchasing the product
buying behavior E. consumers have a problem in life and want to find a
solution
E need recognition F. consumers want to buy a new refrigerator and may
shop around to learn what is available but they buy
B alternative
relatively quickly, maybe because of a good price or
evaluation
purchase convenience
post-purchase
D G. consumers may switch different brands to experience
decision
something different
Exercise 2.2: Label the pictures with correct type of buying behavior
Group work
Each group chooses a company operating in Vietnam. Analyze all factors that
influence consumer behaviors and their buying behavior process when they
buy a product/service of your company.
Present your findings to the whole class.
THE BUYER DECISION PROCESS FOR NEW PRODUCTS

DISCUSS:
1.Who tends to consume products at early stages?
2.Who tends to adapt to new products much later?
THE BUYER DECISION PROCESS FOR NEW PRODUCTS

Adoption process is the mental process an individual goes


through from first learning about an innovation to final regular use.

Awareness Interest Evaluation Trial Adoption


Innovators are venturesome—they try new ideas at some risk.

Early adopters are guided by respect—they are opinion leaders in their


communities and adopt new ideas early but carefully.

Early mainstream adopters are deliberate—although they rarely are leaders,


they adopt new ideas before the average per- son.

Late mainstream adopters are skeptical—they adopt an innovation only after a


majority of people have tried it.

Lagging adopters are tradition bound—they are suspicious of changes and


adopt the innovation only when it has become something of a tradition itself.
Match each type of
consumers with their
characteristics.
Exercise 1.2: True or False

1. In the stage of Awareness, consumer is interested in the product and


searched for additional information. FALSE
2. In the stage of Awareness, consumers gain information and knowledge about
the product but have no judgement. TRUE
3. Late mainstream consumers are slow to adopt, the most resistant to change
and do so only when forced to adopt because everyone else has. FALSE
4. In the stage of Trial, consumer is first exposed to the product innovation.
FALSE
5. In the stage of Evaluation, the consumer exams, compares and verifies the
advantages and disadvantages of the product, outlines the unique selling
proposition before making a purchase. TRUE
BUSINESS BUYER DECISION PROCESS
Ex 4.1. Reorder the steps in the Industrial buyer decision process.
3 A. If executing a new design, the buyer researches product data
5 B. The buyer creates a shortlist of the best suppliers

1 C. The buyer defines a need for a product or service


4 D. The buyer evaluates potential suppliers

6 E. The buyer makes a purchase from the winning supplier

2 F. The buyer performs research to learn about possible solutions.


REVIEW
• The Buyer Decision Process
• Model of Consumer Behavior
• Characteristics Affecting Consumer Behavior:
• Social
• Groups and social networks
• Personal
• Cultural
• Buying decision behavior
• The Buyer Decision Process for New Products
• Business buyer decision process

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