Consumer Behavior

INTRODUCTION
CHAPTER I
 What is Consumer Behavior?

Consumer behavior reflects:

The totality about the by decision-
of an offering over time
of decisions consumption making units
• Whether • Acquisition • Products • Information- • Hours
• What • Usage • Services gatherer • Days
• Why • Disposition • Experiences • Influencer • Weeks
• How & Activities • Decider • Months
• When • Ideas • Purchaser • Years
• Where • User
• How
much
• How often
• How long

Marketing strategy & tactics

Exhibit 1.2: Hoyer & MacInnis (2007). Consumer Behavior.
 Why Study Consumer Behavior?

⚫ Marketers 🡪 Impacts marketing strategies & tactics

⚪ For effective & efficient market segmentation & targeting
⚪ For meaningful product positioning
⚪ To design well-grounded marketing mix decisions
⚪ To design targeted & effective action plans
⚫ Public policy makers🡪 Impacts people, society & culture
⚪ To design codes of ethics & censor laws
⚪ To guard consumers against misleading marketing activities
⚪ To understand consumption from a socio-cultural perspective

⚫ Everyone 🡪 Impacts you the consumers

⚪ To help you understand your own consumption habits
⚪ To make well-judged brand decisions
Question:

Do marketers really
have the power to
control people’s
minds?
 So how are decisions made?

Customer Decision
Making
• Firm’s marketing (PROCESS) • Purchase
efforts
• Psychological field
• Post-Purchase
• Sociocultural Evaluation
environment • Need recognition,
search, evaluation
External Post Decision
Influences Behavior
(INPUT) (OUTPUT)

Hoyer & MacInnis (2007). Consumer Behavior.

⚫Go and observe how you and the people around you
interact with different products.
⚫Share an article about how marketers have
successfully manipulated people into buying
⚪ things they don’t really need
⚪ Seemingly useless / ridiculous items
⚪ Worthless products for a big price tag
⚫Include a short summary of the article’s main points
with the link you share