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CHAPTER 3 CONSUMER MARKET & CONSUMER BUYER BAHAVIOUR
MODEL OF CONSUMER BEHAVIOUR Consumer market consists off all the individuals and households who buy or acquire goods and services for personal consumption. The simplest model of consumer buyer behaviour is the stimuli-response model (Refer 4.1). According to this model, marketing stimuli (the 4 Ps) and other major forces (economic, technological, political, culture) enter the consumer’s ‘black box’ and produce certain responses. Once in the black box, these inputs produce observable buyer responses, such as product choice, brand choice, purchase timing and purchase amount.
Marketing and other stimuli Marketing Product Price Place Promotion Other Economic Technological Political Cultural
Buyer’s black box
Buyer characteristic Buyer decision process
Product choice Brand choice Dealer choice Purchase timing Purchase amount
Figure 4.1 Model of buyer behaviour (stimuli response model)
NORLEZA BINTI LEHAT, PMS
based on common life experiences and situations. Refer figure 4. perceptions. wants and behaviors Culture determines what is acceptable with product behaviour. - NORLEZA BINTI LEHAT.2 Cultural Social Personal Age and life cycle stage Occupation Reference groups Economic situation Lifestyle Personality and selfconcept Physiological Motivation Perception Learning Beliefs and attitudes Buyer Culture Subculture Family Roles and status Social class Figure 4. from the family and other important institution in a society. eat. advertising. wants and behaviours learned by a member of society from family and other important institution. PMS Page 2 .2 Factor influencing consumer behaviour 1. Culture Culture Culture is the set of basic values. perceptions. reside and travel. Subculture Subculture is a group of people with shared value system Each culture contains smaller subcultures. Culture is the most basic cause of a person’s wants and A child learns basic values.PM101 PRINCIPLES OF MARKETING CHAPTER 3 CHARACTERISTICS AFFECTING CONSUMER BEHAVIOUR There are four characteristics that influence consumer behaviour. Culture determines what people wear.
- The following refers to the social class classification: Upper-upper class . Upper-middle professionals. wealth and other variables. Working class . NORLEZA BINTI LEHAT. religions. Social Groups A person’s behaviour is influenced by many small groups Group that have direct influence and to which a person belongs are called membership group. income. marketers often design products and marketing programs tailored to their needs. Middle class .inherited wealth. from current professionals and corporate elite. Social class influences many aspects of our lives. 2. Lower-lower class . It shows class college graduates. Social class Social classes refer to the relatively permanent and ordered divisions in a society whose members share similar values. Lower-upper class newer social elite.on welfare. leisure activity and automobiles.PM101 PRINCIPLES OF MARKETING CHAPTER 3 - Subcultures include nationalities. interests and behaviours. managers and distinct product and brand preferences in areas such as clothing. aristocratic names. Social class is not determined by a single factor such as income. racial groups and Many subcultures make up important market segments and geographic regions. not on welfare. home furnishings. Lower class . education.working. PMS Page 3 .average pay blue collar workers. but is measured as a combination of occupation.average pay white collar workers and blue collar workers.
because of special skills. father. 3. related. PMS Page 4 . and employees). People often influenced by reference groups to which they do not belong. A person’s position in each group can be defined in term of their A role consists of the activities people are expected to perform People have many roles and its continuing to change (husband. Family members can strongly influence buyer behaviour. Family Family is the most basic group a person belongs to. according to the persons around them. Roles and status A person belongs to many groups. Personal Age and life cycle stage People change the goods and services they buy over their Taste in food. personality or other characteristics. organization. family. exert influence on others. cloth and furniture and recreation are often age Buying is also shaped by the stage of the family lifetime. knowledge. Marketers are interested in the roles and influence of the husband. wife and children on the purchase of different products and services. Opinion leader is a person within a reference group who. status. NORLEZA BINTI LEHAT. Families go through stages in the family life cycle. married with children) creates different consumer demands. newly married. Each stage (for example bachelor stage.PM101 PRINCIPLES OF MARKETING CHAPTER 3 - Reference groups serve as direct or indirect points of comparison or reference in forming a person’s attitude or behaviour. lifetimes. People usually choose products appropriate to their roles and role and status.
and social Interests include food. Some marketers target customers who have lots of money and resources. Economic situation A person’s economic situation will affect product choice. interests and opinions. dominance and aggressiveness. healthy food for healthy life style. sociability. - and product. events. Opinions include opinion about themselves. fashion. shopping. sports. whereas blue collar workers tend to buy more rugged work clothes. E. hobbies. Lifestyle Lifestyle is a person’s pattern of living as expressed in his or her Activities include work. certain product or brand choices. Executives buy more business suit.PM101 PRINCIPLES OF MARKETING CHAPTER 3 Occupation A person’s occupation affects the goods and services bought. NORLEZA BINTI LEHAT. PMS Page 5 . personality. charging prices to match. Personality is usually described in terms of traits such as self Personality can be useful in analyzing consumer behaviour for confidence. business Lifestyle captures something more than the person’s social class or activities. It profiles a person’s whole pattern of acting and interacting in the world. social issues. family and recreation. Personality and self-concept Personality refers to the uniqueness physiological characteristics that lead to relatively consistent and lasting responses to one’s own environment.g.
PMS Page 6 . human needs are arranged in a hierarchy (figure 4. Psychological Motivation A motive is an internal energizing force that orients a person's activities toward satisfying a need or achieving a goal. from the most pressing at the bottom to the least pressing a top.PM101 PRINCIPLES OF MARKETING CHAPTER 3 4. Self actualization Esteem Social (affiliation) Security (safety) Physiological NORLEZA BINTI LEHAT. According to Abraham Maslow.3). - A person has many needs at any given time.
• Selective retention occurs when customers are likely to remember good points made about the brand they favour and forget good points made about competing brands. NORLEZA BINTI LEHAT.3 Maslow’s Need Hierarchy Perception How the person act is influenced by his or her own perception Perception is the process by which people select. organize and People can form different perceptions of the same stimulus of the situation.PM101 PRINCIPLES OF MARKETING CHAPTER 3 Figure 4. feeling and tendencies toward an object or idea. they learn. - Beliefs and attitudes People’s belief and attitude influence their buying behavior. A belief is a descriptive thought that a person has about Beliefs may be based on real knowledge. selective distortion and selective retention. • • Selective attention refers the tendency for people to screen out most of the information to which they are exposed. selective attention. PMS Page 7 . experience. Learning is a change in an individual’s behaviour arising from Most human behaviour is learned. because of three perceptual processes. opinion or faith and may Attitude refers to a person’s consistency favorable or unfavorable something. interpret information to form a meaning picture of the world. Selective distortion describes the tendency of people to interpret information in a way that will support what they already believe. evaluations. Learning When people act. or may not carry an emotional charge.
- 2. frequently purchased product and little differences.g.g. - E. risky. Complex Buyer Behaviour Consumer buying behaviour in situations characterized by high consumer involvement in a purchase and significant perceived differences among brands. Habitual Buying Behaviour Consumer buying behaviour in situations characterized by low consumer involvement and few significant perceived brand differences. customer might experience postpurchased dissonance (after-sale discomfort) when they notice certain disadvantages of the purchased product or hear favourable things about product not purchased. carpet. Product is expensive. purchased infrequently and highly selfexpressive. - 4. risky. Personal computer.PM101 PRINCIPLES OF MARKETING CHAPTER 3 TYPES OF BUYER BEHAVIOUR 1. The customer has much to learn about the product category. - After the purchase.g. soap. Low cost. - NORLEZA BINTI LEHAT. Consumers do not search for information about the product. Variety Seeking Behaviour Consumer buying behaviour in situations characterized by low consumer involvement but significant perceived brand differences. cookies. salt. 3. e. consumers often do a lot of brand switching. purchased infrequently but little differences among brands. E. PMS Page 8 . Product is expensive. Dissonance-Reducing Behaviour Consumer buying behaviour in situations characterized by high involvement but few perceived differences among brands. E. In such cases.g.
Consumers can obtain information from any of several sources for example personal sources (family and friends) and commercial sources (advertising and dealer). If it meets expectation. Almost all major purchases result in cognitive dissonance. Information Search The stage of the buyer decision process in which the customer search for more information. Purchase Decision The stage where the buyer decides which brand to purchase. 3. base on their satisfaction or dissatisfaction. The buyer’s satisfaction or dissatisfaction with the purchase lies in the relationship between the consumer’s expectation and the product’s perceived performance. the consumers dissatisfaction. the consumer is satisfied. NORLEZA BINTI LEHAT. 2. if it exceeds expectations. Post Purchase Behaviour The stage of the buyer decision process in which consumers take further action after purchase. in which the customer recognizes a problem or need. Need Recognition The first stage of the buyer decision process. PMS Page 9 . Evaluation of Alternatives The stage of the buyer decision process in which the consumer uses information to evaluate alternative brands in the choice set. the consumer is delighted. If the product falls short of expectations. 5. consumer ranks brands and forms purchase intentions. the customer may go into active information search. In this stage. the discomfort caused by postpurchase conflict.PM101 PRINCIPLES OF MARKETING CHAPTER 3 THE BUYER DECISION PROCESS 1. 4.
cognitive dissonance refers to the doubt that a correct decision has been made. PMS Page 10 . Warranties and follow up calls can reduce cognitive dissonance.PM101 PRINCIPLES OF MARKETING CHAPTER 3 - In other word. NORLEZA BINTI LEHAT.