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Contents of Chapter 6 Class Notes
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What is Consumer Buying Behavior? Stages of Consumer Buying Behavior? Types of Consumer Buying Behavior. Categories That Effect Consumer Buying Behavior.
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Personal Psychological Social
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What is Consumer Buying Behavior?
Definition of Buying Behavior: Buying Behavior is the decision processes and acts of people involved in buying and using products. Need to understand: • • • why consumers make the purchases that they make? what factors influence consumer purchases? the changing factors in our society.
Consumer Buying Behavior refers to the buying behavior of the ultimate consumer. A firm needs to analyze buying behavior for: •
Buyers reactions to a firms marketing strategy has a great impact on the firms success. The marketing concept stresses that a firm should create a Marketing Mix (MM) that satisfies (gives utility to) customers, therefore need to analyze the what, where, when and how consumers buy. Marketers can better predict how consumers will respond to marketing strategies.
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Stages of the Consumer Buying Process
Six Stages to the Consumer Buying Decision Process (For complex decisions). Actual purchasing is only one stage of the process. Not all decision processes lead to a purchase. All consumer decisions do not always include all 6 stages, determined by the degree of complexity...discussed next. The 6 stages are:
1. Problem Recognition(awareness of need)--difference between the desired state and
the actual condition. Deficit in assortment of products. Hunger--Food. Hunger stimulates your need to eat. Can be stimulated by the marketer through product information--did not know you
were deficient? I.E., see a commercial for a new pair of shoes, stimulates your recognition that you need a new pair of shoes.
2. Information search--
○ Internal search, memory. ○ External search if you need more information. Friends and relatives (word of mouth). Marketer dominated sources; comparison shopping; public sources etc. A successful information search leaves a buyer with possible alternatives, the evoked set. Hungry, want to go out and eat, evoked set is ○ chinese food ○ indian food ○ burger king ○ klondike kates etc
3. Evaluation of Alternatives--need to establish criteria for evaluation, features the buyer
wants or does not want. Rank/weight alternatives or resume search. May decide that you want to eat something spicy, indian gets highest rank etc. If not satisfied with your choice then return to the search phase. Can you think of another restaurant? Look in the yellow pages etc. Information from different sources may be treated differently. Marketers try to influence by "framing" alternatives.
4. Purchase decision--Choose buying alternative, includes product, package, store,
method of purchase etc.
5. Purchase--May differ from decision, time lapse between 4 & 5, product availability. 6. Post-Purchase Evaluation--outcome: Satisfaction or Dissatisfaction. Cognitive
Dissonance, have you made the right decision. This can be reduced by warranties, after sales communication etc. After eating an indian meal, may think that really you wanted a chinese meal instead.
1-800 #s gives the consumer a way of communicating with the marketer after purchase. This helps reduce cognitive dissonance when a marketer can answer any concerns of a new consumer. Return to Contents List
Types of Consumer Buying Behavior
Types of consumer buying behavior are determined by: • • Level of Involvement in purchase decision. Importance and intensity of interest in a product in a particular situation. Buyers level of involvement determines why he/she is motivated to seek information about a certain products and brands but virtually ignores others.
High involvement purchases--Honda Motorbike, high priced goods, products visible to others, and the higher the risk the higher the involvement. Types of risk: • • Personal risk Social risk
• • •
Economic risk Routine Response/Programmed Behavior--buying low involvement frequently purchased low cost items; need very little search and decision effort; purchased almost automatically. Examples include soft drinks, snack foods, milk etc. Limited Decision Making--buying product occasionally. When you need to obtain information about unfamiliar brand in a familiar product category, perhaps. Requires a moderate amount of time for information gathering. Examples include Clothes-know product class but not the brand. Extensive Decision Making/Complex high involvement, unfamiliar, expensive and/or infrequently bought products. High degree of economic/performance/psychological risk. Examples include cars, homes, computers, education. Spend alot of time seeking information and deciding. Information from the companies MM; friends and relatives, store personnel etc. Go through all six stages of the buying process. Impulse buying, no conscious planning.
The four type of consumer buying behavior are:
The purchase of the same product does not always elicit the same Buying Behavior. Product can shift from one category to the next. For example: Going out for dinner for one person may be extensive decision making (for someone that does not go out often at all), but limited decision making for someone else. The reason for the dinner, whether it is an anniversary celebration, or a meal with a couple of friends will also determine the extent of the decision making. Return to Contents List
Categories that Effect the Consumer Buying Decision Process
A consumer, making a purchase decision will be affected by the following three factors:
1. Personal 2. Psychological 3. Social
The marketer must be aware of these factors in order to develop an appropriate MM for its target market. Return to Contents List
Unique to a particular person. Demographic Factors. Sex, Race, Age etc. Who in the family is responsible for the decision making. Young people purchase things for different reasons than older people.
Handout...From choices to checkout...
Highlights the differences between male and female shoppers in the supermarket. Return to Contents List
Psychological factors include:
Motives-A motive is an internal energizing force that orients a person's activities toward satisfying a need or achieving a goal. Actions are effected by a set of motives, not just one. If marketers can identify motives then they can better develop a marketing mix. MASLOW hierarchy of needs!! ○ Physiological ○ Safety ○ Love and Belonging ○ Esteem ○ Self Actualization Need to determine what level of the hierarchy the consumers are at to determine what motivates their purchases.
Nutrament, a product marketed by Bristol-Myers Squibb originally was targeted at consumers that needed to receive additional energy from their drinks after exercise etc., a fitness drink. It was therefore targeted at consumers whose needs were for either love and Belonging or esteem. The product was not selling well, and was almost terminated. Upon extensive research it was determined that the product did sell well in inner-city convenience stores. It was determined that the consumers for the product were actually drug addicts who couldn't not digest a regular meal. They would purchase Nutrament as a substitute for a meal. Their motivation to purchase was completely different to the motivation that B-MS had originally thought. These consumers were at the Physiological level of the hierarchy. BM-S therefore had to redesign its MM to better meet the needs of this target market. Motives often operate at a subconscious level therefore are difficult to measure. • Perception-What do you see?? Perception is the process of selecting, organizing and interpreting information inputs to produce meaning. IE we chose what info we pay attention to, organize it and interpret it. Information inputs are the sensations received through sight, taste, hearing, smell and touch. Selective Exposure-select inputs to be exposed to our awareness. More likely if it is linked to an event, satisfies current needs, intensity of input changes (sharp price drop). Selective Distortion-Changing/twisting current received information, inconsistent with beliefs. Advertisers that use comparative advertisements (pitching one product against another), have to be very careful that consumers do not distort the facts and perceive that the advertisement was for the competitor. A current example...MCI and AT&T...do you ever get confused? Selective Retention-Remember inputs that support beliefs, forgets those that don't. Average supermarket shopper is exposed to 17,000 products in a shopping visit lasting 30 minutes-60% of purchases are unplanned. Exposed to 1,500 advertisement
When making buying decisions.open bottle of wine and pour it!! Also educate american consumers about changes in SA. Attitudes and attitude change are influenced by consumers personality and lifestyle.Oldsmobile.South Africa wine. because they assume that the greater price indicates greater quality. need to give them new information re: product. Handout. late 1950s. Handout. Can't be expected to be aware of all these inputs. Exxon Valdez-nearly 20. There is a difference between attitude and intention to buy (ability to buy). Changing market of the 1990s. and hence its products. on knowledge that is stored in the memory. Honda "You meet the nicest people on a Honda". Problems marketing wine from South Africa... Lexus. Oldsmobile vs. IE brand loyalty... Need to sell a whole new country.. Knowledge is the familiarity with the product and expertise. buyers must process information. and certainly will not retain many. Consumers screen information that conflicts with their attitudes. • Personality-- ...living. Inexperience buyers often use prices as an indicator of quality more than those who have knowledge of a product.. Learning.. Non-alcoholic Beer example: consumers chose the most expensive six-pack.free sample etc. To change this they have a new slogan "Come ride with us". • Attitudes-Knowledge and positive and negative feelings about an object or activity-maybe tangible or intangible..000 credit cards were returned or cut-up after the tragic oil spill.Drive perceptions Individual learns attitudes through experience and interaction with other people. Consumer attitudes toward a firm and its products greatly influence the success or failure of the firm's marketing strategy. • Ability and Knowledge-Need to understand individuals capacity to learn... changes in a person's behavior caused by information and experience.per day. living or non.. due to consumers attitudes toward Oldsmobile (as discovered by class exercise) need to disassociate Aurora from the Oldsmobile name. baby boomers aging. Distort information to make it consistent and selectively retain information that reinforces our attitudes.. Interpreting information is based on what is already familiar. Consumers have strong perceptions of the country.. Therefore to change consumers' behavior about your product. Learning is the process through which a relatively permanent change in behavior results from the consequences of past behavior.... South Africa. Hondas market returning to hard core.. dispel the unsavory image of a motorbike rider.
Return to Contents List Social Factors Consumer wants.. learning.. motives etc. There is a weak association between personality and Buying Behavior.. Nike ads. Consumers buy products that are consistent with their self concept. Handout. • Lifestyles-Recent US trends in lifestyles are a shift towards personal independence and individualism and a preference for a healthy. Gatorade etc..OJ Simpson. Now an assault by the American Academy of Dermatology.) Can be risky. Marketers try to attract opinion leaders. this may be due to unreliable measures. McDonalds. EXAMPLE healthy foods for a healthy lifestyle. reference groups. are influenced by opinion leaders. This is a survey tool that marketers can use to better understand their target market(s).Chevy Chase • Roles and Family Influences-- .they actually use (pay) spokespeople to market their products.. Extra credit assignment from the news group.. natural lifestyle. to access Value and Lifestyles (VALS) Program. Michael Jordon (Nike. • Opinion leaders-Spokespeople etc.all the internal traits and behaviors that make a person unique. Traits effect the way people behave. person's family. Lifestyles are the consistent patterns people follow in their lives. Examples include: ○ Workaholism ○ Compulsiveness ○ Self confidence ○ Friendliness ○ Adaptability ○ Ambitiousness ○ Dogmatism ○ Authoritarianism ○ Introversion ○ Extroversion ○ Aggressiveness ○ Competitiveness. uniqueness arrives from a person's heredity and personal experience. Marketers try to match the store image to the perceived image of their customers....Here Comes the Sun to Confound Health Savvy Lotion Makers..Michael Jackson.. complete the survey and Email alex@udel. social class and culture.edu the results. Sun tan not considered fashionable in US until 1920's.
Husband. and therefore tends to let them influence purchase decisions in order to alleviate some of the guilt. Membership groups (belong to) Affinity marketing is focused on the desires of consumers that belong to reference groups.. youngest child 6 or over ○ full nest III.things you should do based on the expectations of you from your position within a group. Any group that has a positive or negative influence on a persons attitude and behavior. Marketers get the groups to approve the product and communicate that approval to its members. father. People have many roles... Individuals role are continuing to change therefore marketers must continue to update information. civic and professional organizations. head in labor force ○ empty nest II.Role..also. employer/ee. head retired ○ solitary survivor. • Reference Groups-Individual identifies with the group to the extent that he takes on many of the values.. older married couples with no children living with them.most of BUAD301 ○ newly married. no children. young.. the decision maker within the family unit is changing. Family is the most basic group a person belongs to. Handout. each stage creates different consumer demands: ○ bachelor stage. youngest child under 6 ○ full nest II. attitudes or behaviors of the group members. retired ○ Modernized life cycle includes divorced and no children. Credit Cards etc.. The Family life cycle: families go through stages. sororities..me ○ full nest I.!! . Families. in labor force ○ solitary survivor. older married couples with dependant children ○ empty nest I. family has less time for children.. friends.. (Children influence about $130 billion of goods in a year) Children also have more money to spend themselves.Two Income Marriages Are Now the Norm Because 2 income families are becoming more common. no children living at home. Marketers must understand: ○ that many family decisions are made by the family unit ○ consumer behavior starts in the family unit ○ family roles and preferences are the model for children's future family (can reject/alter/etc) ○ family buying decisions are a mixture of family interactions and individual decision making ○ family acts an interpreter of social and cultural values for the individual. older married couples.
. Big impact on international marketing. ○ Upper Americans-upper-upper class. . reference groups and social classes are all social influences on consumer behavior. do not engage in much prepurchase information gathering. the types.Tea is a part of the British culture. US criteria. Culture also determines what is acceptable with product advertising. individualism and freedom. All operate within a larger culture. average pay blue collar workers ○ Lower Americans-lower class. eat. education. race. average pay white collar workers and blue collar friends ○ Working class.. Different society. IE upper middle class Americans prefer luxury cars Mercedes. teenage and Asian American. hot with milk.5%. The degree to which a reference group will affect a purchase decision depends on an individuals susceptibility to reference group influence and the strength of his/her involvement with the group. IE West Coast. reside and travel. US is not a classless society. Lower class people tend to stay close to home when shopping. college graduates. occupation. education. Social class influences many aspects of our lives. 1. ethnic groups and possessions. Handout. 7%. and attitudes that are accepted by a homogenous group of people and transmitted to the next generation. aristocratic names. working.. different cultural values. from current professionals and corporate elite ○ Upper-middle class. . IE change in meals. • Social Class-an open group of individuals who have similar social rank.2%.. 12. Cultural values in the US are good health. Culture can be divided into subcultures: ○ geographic regions ○ human characteristics such as age and ethnic background. Family.Will British warm up to iced tea? No. newer social elite. ideas. Culture determines what people wear. Stores project definite class images.but that is my opinion!!...3%. 9%.Aspiration groups (want to belong to) Disassociate groups (do not want to belong to) Honda. managers and professionals ○ Middle Americans-middle class. inherited wealth. quantity of products that a person buys or uses. In american culture time scarcity is a growing problem. 32%. tries to disassociate from the "biker" group. wealth. • Culture and Sub-culture-Culture refers to the set of values. different levels of needs. 38%. quality. on welfare Social class determines to some extent. not on welfare ○ Lower-lower class. ○ Lower-upper class. income.
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Every group or society has a culture. Psychological Factor. Social Factor 03. Culture is the most basic cause of a person’s wants and behaviour. and cultural influences on buying behaviour may vary greatly from country to country. 01.• December 2003 (1) You are here: Home > Principles Of Marketing > Factors influencing consumer behaviour Friday 9 May 2008 Factors influencing consumer behaviour Consumer purchases are influenced strongly by or there are four factors. A group of people with shared value systems based on common life experiences and situations. Sub culture includes nationalities. Each culture contains smaller sub cultures a group of people with shared value system based on common life experiences and situations. religions. Personal Factor 04. ○ Sub Culture : ○ Social Class: 02. interests and behaviour. Social Factors :- . social classes are society’s relatively permanent and ordered divisions whose members share similar values. 01. racial group and geographic regions. Cultural Factor :• Cultural factor divided into three sub factors (i) Culture (ii) Sub Culture (iii) Social Class ○ Culture: The set of basic values perceptions. Many sub culture make up important market segments and marketers often design products. and behaviours learned by a member of society from family and other important institutions. wants. Almost every society has some form of social structure. Cultural Factor 02.
etc. and recreation are often age related. such as the (i) Groups (ii) Family (iii) Roles and status ○ Groups : Two or more people who interact to accomplish individual or mutual goals. clothes. Thus. in his company. A person’s behavious is influenced by many small groups. which are more formal and have less regular interaction. he plays the role of manager. whereas whitecollar workers buy more business suits. Family members can strongly influence buyer behaviour. Some are primary groups includes family. The person’s position in each group can be defined in terms of both role and status. organizations. friends. Groups that have a direct influence and to which a person belongs are called membership groups. and influence of the husband. A person’s economic situation will affect product choice Life Style is a person’s Pattern of living. A person belongs to many groups. and doctors. M & “X” plays the role of father. Marketers are interested in the roles. ○ Age and Life cycle Stage: People changes the goods and services they buy over their lifetimes. A Role consists of the activities people are expected to perform according to the persons around them. engineers. professional association and trade unions. A Co. Blue collar workers tend to buy more rugged work clothes. ○ Occupation : ○ ○ Economic situation : Life Style :- . neighbours and coworkers. can even specialize in making products needed by a given occupational group. in his family he plays the role of husband. Personal Factors :• • It includes i) Age and life cycle stage (ii) Occupation (iii) Economic situation (iv) Life Style (v) Personality and self concept. accountants. wife and children on the purchase of different products and services.• A consumer’s behaviour also is influenced by social factors. clubs. furniture. These includes organizations like religious groups. computer software companies will design different products for brand managers. A person’s occupation affects the goods and services bought. lawyers. family. Buying is also shaped by the stage of the family life cycle. Tastes in food. Some are secondary groups. ○ Family: ○ Roles and Status : 03. For example. The family is the most important consumer buying organization society and it has been researched extensively. understanding these forces involves measuring consumer’s major AIO dimensions.
It would also reflect to the industry lifecycle. hobbies. As explained in this article:http://www. ○ Personality and Self concept : 04. and tendencies towards an object or idea Perception :○ • • Learning:○ ○ ○ Beliefs and attitudes :- • Social bookmark this post • View blog reactions TRANSLATE THIS POST: Arabic Português | Français | Español | Deutsch | Italiano | Chinese | Korean | Japanese | L A B E L S : Principles Of Marketing 3 COMMENTS: belle. and interpret information to form a meaningful picture of the world.uk/industry_lifecycle.htm. a Person’s consistently favourable or unfavourable evaluations. activities (Work. Business. shopping. customer behavior would depend on the stage of the lifecycle too and so strategies should be aligned to them too. Products) Each person’s distinct personality influence his or her buying behaviour. feelings. fashion.coursework4you. i) Motivation (ii) Perception (iii) Learning (iv) Beliefs and attitudes Motivation :○ • Motive (drive) a need that is sufficiently pressing to direct the person to seek satisfaction of the need The process by which people select. Your blog is informative. Belief is a descriptive thought that a person holds about something Attitude... Personality refers to the unique psychological characteristics that lead to relatively consistent and lasting responses to one’s own environment. Psychological Factors :• • • It includes these Factors.me09 said. Changes in an individuals behaviour arising from experience. These factors certainly influence the customer behavior. Top of Form . i. support etc) interest (Food.e. family recreation) and opinions (about themselves. Organize.co.
. I think if we get examples this is more effective..really precise and informative.blogs Bottom of Form 27 June 2009 9:34 AM Running Thoughts said..thanks.blogs Bottom of Form 9 December 2009 9:53 AM POST A COMMENT .blogg Dr.....the way you have formated. Dear these notes are copied from kottler & keller's mkt. Top of Form http://w w w ..Vishaal Bhat Factors influencin http://pgdba.. book i think.and thanks to you.blogg Dr... This is good to revise but neither in book nor u have given the suitable example for each factor...http://w w w .Vishaal Bhat Factors influencin http://pgdba..Vishaal Bhat Factors influencin http://pgdba..blogs Bottom of Form 15 May 2008 1:23 AM Jyoti said...and I had no clue about the subject. Today is my exam. Top of Form http://w w w .blogg Dr.
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M O D D E D B Y I M E S S E N G R . How they make these choices.3 Column Minima Template . and How companies use this knowledge to provide value to consumers • I. CONSUMER PURCHASE D PROCESS ○ Behind the visible act of making a purchase lies that must be investigated. including the mental and social processes that precede and follow these actions. The behavioral sciences help answer questions such as : Why people choose one product or brand over another. . C O M how to print notes • Consumer behavior • The actions a person takes in purchasing and using products and services.
problem recognition. of 3. information search. Information Search: Seeking Va The information search stage clarifies the options open to may involve two steps of information search Internal search External ○ Scanning one’s previous experie or brands. Five Stages 2. alternative evaluation. Problem Recognition: Perceiving a ○ Perceiving a difference between a person's ideal big enough to trigger a decision. Consumer Behavior purchase decision. ○ Can be as simple as noticing an empty milk carto activated by marketing efforts.○ The purchase decision process is the stages a bu in making choices about which products and ser 1. post-purchase behavior A. and 4. 5. ○ Often sufficient purchased prod ○ When past expe . B.
Public sources. Personal source and family. product-rating o Consumer Repo 3. The primary sources of are: 1.search is insufficient ○ The risk of maki decision is high ○ The cost of gath low. c and salespeople . 2. Marketer-domina as advertising.
Alternative Evaluation: Assessing (1) Suggesting criteria to use for the purchase.C. (2) Yielding brand names that might meet the criteria. ○ These criteria establish a consumer's evoked set . (3) Developing consumer value perception. The information search clarifies the problem for the cons ○ A consumer's evaluative criteria represent both the objective attributes of a brand (such as lo portable CD player) the subjective factors (such as prestige).
○ Satisfaction or dissatisfaction affects consumer value perceptions consumer communications repeat-purchase behavior. ○ Many firms work to produce positive postpurcha among consumers and contribute to relationship . Postpurchase Behavior: Value in Consum ○ After buying a product. the group of brands that a consumer would c from among all the brands in the product cla is aware D. the consumer compares and is either satisfied or dissatisfied. Purchase Decision: Buying Val From whom to buy Three possibilities When to buy ○ which depen consideratio Terms o Past exp the selle Return p ○ which can b store at time pre a sale pleasan shoppin Do not buy E.
sellers and buyers. or could reflect on one’s social image. ○ Consumers may skip or minimize one or more st decision process depending on the level of involvement the personal. F. Involvement and Problem-Solving Va 1. social. can have serious personal consequences. ○ Cognitive Dissonance. 3. The feelings of postpurch tension or anxiety a consumer often experiences ○ Firms often use ads or follow-up calls from sales postpurchase stage to try to convince buyers tha decision. 2. and economic significan ○ Three characteristics of high-involvement purcha is expensive. .
. Extended Problem Solving ○ Each stage of the consum decision process is used ○ Considerable time and eff external information s identifying evaluating alternative ○ Used in high-involvement Involvement and Marketing Strategy ○ Low and high consumer in important implications for which differs for products leaders from their challen G. ○ Often used when the buye effort to spend.Three general problem-solving variations exist in the decision process: Routine Problem Solving ○ Virtually a habit ○ involves little effort seekin information and evaluatin ○ Typically used for low-pric purchased products. Limited Problem Solving ○ Involves the use of moder seeking efforts. Situational Influences The purchase taskThe reason for engaging i Five situational Social Including others present w influences surroundings decision is made.
PSYCHOLOGICAL INFLUE CONSUMER BEHAVIO Concepts such as motivation and personality. music. and lifestyle are useful for interpreti and directing marketing efforts.Physical Such as decor. people learned needs. the hierarchy is: Physiological needs Safety needs . and surroundings stores. Temporal effects Antecedent states • Such as time of day or the available. Motivation ○ is the energizing force that causes behavior that ○ Needs are hierarchical ○ Once basic physiological needs are met. From lowest to highest. Motivation and Personality 1. A. perception beliefs and attitudes. Which include the consum amount of cash on hand II.
B. organizing . Perception ○ The process by which an individual uses informa meaningful picture of the world by selecting. or a distinct characteristics common among people of a coun ○ Personality characteristics are often revealed in a concept. ○ Cross-cultural analysis also suggests that reside countries have a national character. which is the way people see themselves believe others see them.Social needs Self-actualization needs 2. Personality ○ A person's consistent behavior or responses to r ○ Research suggests that key traits affect brand an preferences.
Selective Perception ○ Filtering exposure. comprehension. ○ Consumers do not remember they see. read. ○ This is a hotly debated issue appeal than scientific suppor ○ Research suggests that such limited effects on behavior 2. Perceived Risk . Selective perception Selective exposure ○ Consumers can pay attention are consistent with their own ○ Consumers can ignore mess inconsistent. interpreting ○ Perception is important because people selective they want and it affects how people see risks in a 1. or hear. Selective comprehension Selective retention ○ Involves interpreting (distorti that it is consistent with a per beliefs. Subliminal perception ○ Consumers see or hear mess aware of them. and retention ○ in the human brain’s attempt interpret information.
Learning ○ Those behaviors that result from Repeated experience Thinking.○ Anxieties felt Consumes cannot anticipate the outcomes o Believe that there may be negative conseque ○ Marketers try to reduce a consumer's perceived r purchases by strategies such as providing Free trial of a product Securing endorsements from influential peop Providing warranties and guarantees. Marketers use two concepts from behavioral lea Stimulus generalization ○ Occurs when a response elic . Behavioral Learning ○ The process of developing automatic responses ○ through repeated exposure to it. C. 1. Four variables central to how consum learn from repeated experience are drive A need that moves an individual to a cue A stimulus or symbol perceived by c response The action taken by a consumer to s reinforcement The reward.
which Values Beliefs ○ personally or socially preferable modes of existence that are enduring. and Attitudes 1.(cue) is generalized to anoth ○ Using the same brand name products is an application of Stimulus discrimination ○ Refers to a person's ability to differences in stimuli. Brand loyalty ○ Is a favorable attitude and consistent purchase o time. . 2. ○ Brand loyalty differs across countries D. 3. Cognitive learning ○ Involves making connections between two or mo ○ or simply observing the outcomes of others’ beh ○ and adjusting one's accordingly. Values. ○ The advertising for Bud Ligh of this concept. Attitude Formation Attitude ○ A learned predisposition to respond to a objects in a consistently favorable or un ○ Shaped by our values and beliefs. Beliefs. ○ consumer's subjective perception of ho brand performs on different attributes.
2. ○ Changing the perceived importa ○ Adding new attributes to the pro E. Attitude Change Approaches to try to change consumer attitudes ○ Changing beliefs about the exte has certain attributes. Lifestyle Lifestyle is a mode of living that is identi activities How a person spends time and resource interests What a person considers important in th opinions what a person thinks of self and the worl ○ Psychographics The analysis of consumer lifestyle helps to segment and target consumers for n products. ○ The three patterns are oriented toward . Values and Lifestyles (VALS) Progra ○ Developed by SRI International ○ Identified eight interconnected categories of adu ○ based on a person’s self-orientation and resourc Self-orientation ○ Three patterns of attitudes and activities that help people reinforce their social self-image.
SOCIOCULTURAL INFLUE CONSUMER BEHAVIO ○ Sociocultural influences evolve from a formal an relationships with other people. principles. action. A. ○ Influences Include Personal influence Reference groups The family Social class Culture Subculture. status. III. Personal Influence Aspects of personal Opinion leaders influence important to ○ individ or indir over ot .
marketing Word of mouth ○ People other d conver ○ Power has be Interne B. Reference Groups Reference groups are people to whom an individual looks appraisal or as a source of personal standards. Family Influence ○ Family influences on consumer behavior result fr consumer socialization passage through the family life cycle decision making within the family. Reference important influence on the purchase of luxury products b : Membership group Three groups have clear marketing implications ○ one to whi actually be Aspiration group Dissociative group ○ one with w wishes to ○ one from w wants to m because o values or b C. Consumer Consumer socialization is the process by .
. homogeneous division which people sharing similar values. interests. Fiv fam pur D. an grouped. and attitude function as consumers Family Life Cycle ○ The distinct phases that a family progresses through from formation to retirement ○ Each phase bringing with it identifiable purchasing behaviors. knowledge. Social Class ○ The relatively permanent.Socialization acquire the skills.
Culture and Subculture Culture refers to the set of values. African-Americans Asians . and e Middle classes represent a target market for centers and automobile parts stores. Lower classes are targeted for products such scandal magazines. or nationa unique values. 1. ○ three largest racial/ethnic subcultures in the U. ○ Social class is a basis for identifying and reachin prospects for products and services. ideas and attitudes tha homogeneous group of people and transmitted to the nex ○ Subcultures . African-American Buying Pattern ○ African-Americans have the largest spending pow subcultures .groups within the larger. ○ Each of these groups exhibits sophisticated soci behaviors that affect their buying patterns. E. Upper classes are targeted by companies for financial investments. and attitudes.○ Determinants of social class include occupation. expensive cars. source of income (not level of income) education. ideas.S Hispanics.
3. they are motivated by pro choice. Asians represent a diverse subculture. Hispanic Buying Patterns ○ ○ ○ ○ Hispanics represent the largest subculture About 50% are immigrants The majority are under the age of 25. Koreans. . Asian Buying Patterns ○ ○ ○ ○ The Asian is the fastest growing subculture. ○ Respond to products and advertising that appeal American pride and heritage as well as address t and needs. ○ Sensitivity to the unique needs of Hispanics by fi dividends. About 70% of Asians are immigrants Most are under the age of 30. 2. Marketing to Hispanics has proven to be a challe The diversity of this subculture The language barrier.○ While price conscious. people from So Pacific Islanders. including Filipinos. Asian-Indians. ○ Two groups of Asian-Americans have been ident Assimilated Asians are conversant in English highly educated exhibit buying patterns very much like "t consumers.
search Consumer behaviour is the study of when. to the end of the cycle. Each method for vote counting is assumed as a social function but if Arrow’s possibility theorem is used for a social function. and where people do or do not buy product. Marketing provides services in order to satisfy customers. sociology. friends. payer and buyer. neutrality. Customer behaviour study is based on consumer buying behaviour. both individually and in groups. unanimity. Contents [hide] • • • • 1 Black box model 2 Information search 3 Information evaluation 4 Purchase decision . customer relationship management.. why. 2009). the consumer (Kioumarsi et al. Consumer behaviour From Wikipedia. the productive system is considered from its beginning at the production level. the free encyclopedia Jump to: navigation. Some specifications of the social functions are decisiveness. with the customer playing the three distinct roles of user. Nonassimilated Asians recent immigrants who cling to their nati customs. Social functions can be categorized into social choice and welfare functions. social welfare function is achieved. No social choice function meets these requirements in an ordinal scale simultaneously. homogeneity and weak and strong Pareto optimality. personalisation. The most important characteristic of a social function is identification of the interactive effect of alternatives and creating a logical relation with the ranks. A greater importance is also placed on consumer retention. and society in general. It blends elements from psychology. social anthropology and economics. anonymity. It attempts to understand the buyer decision making process. customisation and one-to-one marketing. monotonicity. how. It also tries to assess influences on the consumer from groups such as family. It studies characteristics of individual consumers such as demographics and behavioural variables in an attempt to understand people's wants. With that in mind. reference groups. Relationship marketing is an influential asset for customer behaviour analysis as it has a keen interest in the re-discovery of the true meaning of marketing through the re-affirmation of the importance of the customer or buyer.
 Information search Once the consumer has recognised a problem. which determines the buyers response. The buyers black box contains the buyer characteristics and the decision process. but the relation between the stimuli and the response of the consumer. Belch and Belch (2007) explain that consumers undertake both an internal (memory) and an external search. in reality many decisions are not made in awareness of a determined problem by the consumer. whereas the environmental stimulus are given by social factors. The black box model considers the buyers response as a result of a conscious. based on the economical. decision process and consumer responses. in which it is assumed that the buyer has recognized the problem. rational decision process. consumer characteristics. It can be distinguished between interpersonal stimuli (between people) or intrapersonal stimuli (within people).• • • • • 5 Postpurchase evaluation 6 Internal influences 7 External influences 8 See also 9 References  Black box model ENVIRONMENTAL FACTORS Marketing Stimuli BUYER'S BLACK BOX Decision Process BUYER'S RESPONSE Buyer Environmental Characteristic Stimuli s Product Price Place Promotion Economic Technological Political Cultural Demographic Natural Attitudes Motivation Perceptions Personality Lifestyle Knowledge Problem recognition Product choice Information Brand choice search Dealer choice Alternative Purchase evaluation timing Purchase decision Purchase Post-purchase amount behaviour The black box model shows the interaction of stimuli. The marketing stimuli are planned and processed by the companies. where the focus is not set on the processes inside a consumer. The black box model is related to the black box theory of behaviourism. However. political and cultural circumstances of a society. they search for information on products and services that can solve that problem. Sources of information include: • • • Personal sources Commercial sources Public sources .
The marketing organization must facilitate the consumer to act on their purchase intention. This arises from a concept that is known as “cognitive dissonance”.• Personal experience The relevant internal psychological process that is associated with information search is perception. the customer should be encouraged that he or she has made the right decision. beliefs. The customer. Perception is defined as 'the process by which an individual receives. selects. The organisation can use variety of techniques to achieve this. The marketing organization needs to understand what benefits consumers are seeking and therefore which attributes are most important in terms of making a decision. or a sales promotion such as the opportunity to receive a premium or enter a competition may provide an incentive to buy now.it is not effected by advertisement.  Internal influences Consumer behaviour is influenced by: demographics. having bought a product. the consumer is ready to make a purchase decision. the organisation can influence the purchase decisions much more easily. The relevant internal psychological process that is associated with purchase decision is integration.  Postpurchase evaluation It is common for customers to experience concerns after making a purchase decision.  Information evaluation At this time the consumer compares the brands and products that are in their evoked set.Selective comprehension consumer interpret messages in line with their beliefs. but is likely to switch brands next time. motives and experiences . attitudes. and select which sources of information are more effective for the brand. consumer behaviour concern with consumer need consumer actions in the direction of satisfying needs leads to his behaviour of every individuals depend on thinking . How can the marketing organization increase the likelihood that their brand is part of the consumer's evoked (consideration) set? Consumers evaluate alternatives in terms of the functional and psychological benefits that they offer. may feel that an alternative would have been preferable. The provision of credit or payment terms may encourage purchase. In these circumstances that customer will not repurchase immediately. attitudes. it is the job of the marketing team to persuade the potential customer that the product will satisfy his or her needs. psychographics (lifestyle).Selective retention consumers remember messages that are more meaningful or important to them The implications of this process help develop an effective promotional strategy.Selective attention consumers select which promotional messages they will pay attention to . and interprets information to create a meaningful picture of the world' The selective perception process Stage Description . personality. organises.Once the integration is achieved. Sometimes purchase intention does not result in an actual purchase. . Then after having made a purchase.Selective exposure consumers select which promotional messages they will expose themselves to. knowledge. motivation. To manage the post-purchase stage. and feelings.  Purchase decision Once the alternatives have been evaluated.
 External influences Consumer behaviour is influenced by: culture. sex and al . royalty. reference groups. locality. family. ethnicity. social class. sub-culture. lifestyle.
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