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Copyright © 2012 McGraw-Hill Companies, Inc.

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Consumer Behavior
Perspectives on
Consumer Behavior

The process and activities people engage


in when searching for, selecting, purchasing,
using, evaluating, and disposing of
products and services
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Consumer Decision Making

Decision Stage Psychological Process


Problem recognition Motivation

Information search Perception

Alternative evaluation Attitude formation

Purchase decision Integration

Post-purchase evaluation Learning

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The consumer decision-making process and the relevant internal psychological
processes that relate to each:
• Problem recognition… consumer perceives a problem, need, or want and
becomes motivated to solve or satisfy it
• Information search… looking for information needed to make a decision
• Alternative evaluation… considering other brands or alternatives
• Purchase decision… actual purchase of the product or service
• Post-purchase evaluation… compares level of performance with expectations;
it results in consumer becoming satisfied or dissatisfied
Also included in this slide are the internal psychological processes that occur at
each stage of the decision process:
• Motivation… factors that compel a consumer to take a particular action
• Perception… the process by which consumers receive, select, organize, and
interpret information to create a meaningful picture
• Attitude formation… overall feeling toward, or evaluation of, an object
• Integration… the way product knowledge, meanings, and beliefs are
combined to evaluate two or more alternatives
• Learning… process by which individuals acquire the purchase and
consumption knowledge they apply to future related behavior

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Sources of Problem Recognition

New Needs
Out of Stock Dissatisfaction or Wants

Related Products, Market-Induced New


Purchases Recognition Products
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Ad Highlighting Consumer Dissatisfaction

ad by NicoDerm, in which they


offer to help those who want
to quit smoking

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Marketer-Induced Problem Recognition

how marketer’s actions can


encourage consumers to be
unhappy with their current
state or situation.
Ads for personal hygiene
products, such as mouthwash
and deodorant, are designed to
create insecurities that
consumers can supposedly
resolve through the use of the
marketer’s products.
Marketers also take advantage
of consumers’ tendency toward
novelty-seeking behavior,
which leads them to try new
products and different brands. 4-7
Maslow’s Hierarchy of Needs

Marketers devote considerable


attention to examining
motives, which are factors
Self- that compel a consumer to
actualization
needs take a particular action
(self-development
and realization)

Esteem needs
(self-esteem,
recognition, status)

Social needs
(sense of belonging, love)

Safety needs
(security, protection)

Physiological needs
(hunger, thirst)

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To What Needs is CHPA Appealing?

an ad by the Consumer
Healthcare Products
Association that is designed to
appeal to security needs.

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Freudian Psychoanalytic Approach

Strong Symbolic
inhibitions meanings

Subconscious
Mind

Complex and Surrogate


unclear motives behaviors
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The underlying motives for human behavior are complex and
unclear to both the casual observer and to persons themselves.
Motivation research attempts to root out deep motives by
probing the subconscious mind.
1.A man’s purchase of a high priced fur for his wife proves his
potency
2.Consumers prefer large vars because they believe such cars
protect them from the jungle of everyday driving.
3.Women like to bake cakes because they feel like they are
giving birth to a baby.
4.Women wear perfume to attract a man and glorify their
existence.

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Probing the Minds of Consumers

In-depth Association
interviews tests

Projective Focus
techniques groups

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Sexy Ads Get Noticed

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Information Search

so u r ces
nal
Perso

Market so
urces

Pub
lic
sou
r ces
Per
son
al
exp
eri
en
ce

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Information Search

Information needed to make a purchase decision.


• Personal sources – friends, relatives, co-workers
• Market sources – information from advertisers,
salespeople, in-store displays and the Internet
• Public sources – articles in magazines or
newspapers
• Personal experience – handling, examining, or
using the product

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Information Search

• Determining how much and which sources of


external information to use depends on:
• The importance of the purchase decision
• The effort needed to acquire information
• Past experience
• The degree of perceived risk associated with the
purchase
• The time available

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Perceptions

• Marketers want to know


• How consumers sense external information
• How they select and use sources of information
• How information is interpreted and given
meaning

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The Perception Process
The process by which an individual receives, selects, organizes,
and interprets information to create a meaningful picture of the
world.
Receive

Select

Organize

Interpret
Perception is an individual process; it depends on internal
factors, such as a person’s beliefs, experiences, needs, moods,
and expectations. The process is also influenced by the
characteristics of a stimulus, such as its size, color, and
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intensity, and the context in which it is seen or heard.
Gaining Attention With Color

creative tactic used to get


the attention of the
consumer.

Tropicana uses color to WE CAN SUM IT UP IN TWO WORDS:


focus attention on orange EXCEPTIONAL, EXTRAORDINARY, FANTASTIC, FRESH TASTE.

juice.
ADMITTEDLY, WE’RE BAD AT SUMMATION.

There just aren’t enough adjectives to describe the


straight-from-the-orange taste of Tropicana Pure Premium.®

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What is a sensation?

Taste Hearing
Immediate,
direct response
of the senses
Smell Touch

Sight

The visual elements of an ad or package design must attract


consumers’ favorable attention. Marketers sometimes increase
the level of sensory input so their messages get noticed. A
common way to do this is with the use of scent strips. 4-21
Appealing to the Senses

Perfume on Scented Product


sidewalks cards Samples

Bloomingdale’s New York store sprayed Donna Karan’s new


perfume, DKNY, onto the sidewalks in front of the store.
Draft Foods promoted DiGiorno Garlic Bread Pizza with
scent strip cards in stores.
Avon uses scent strips for perfumes and bubble bath
products in their catalogs. 4-22
The Selective Perception Process
The selective perception process, which can occur at the
exposure, attention, comprehension, or retention state of
perception.
Selective Exposure

Selective Attention

Selective Comprehension

Selective Retention
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• Selective exposure… consumers choose whether or not
to make themselves available to information. For
instance, when changing television channels.
• Selective attention… the consumer chooses to focus on
certain stimuli while excluding others.
• Selective comprehension… interpreting information on
the basis of attitudes, beliefs, motives, and experiences.
• Selective retention… consumers do not remember all
the information they see, hear, or read, even after paying
attention to and comprehending it.
• Mnemonics: symbols, rhymes, associations, and images
etc. assist in the learning and memory process.

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Selective Attention to Advertising

This ad reminds consumers of


how advertising responds to
their needs.

Use this slide to explain why


people focus attention on
some things and ignore
others.

How much more attentive you


give to ads for personal
computers, tires, or stereos
when they’re in the market.

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Subliminal Perception

The ability to perceive a stimulus that is below the level of


conscious awareness or, Conscious Threshold of Perception

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Evaluation of Alternatives
All Available Brands
Brand A Brand B Brand C Brand D Brand E

Brand F Brand G Brand H Brand I Brand J

Brand K Brand L Brand M Brand N Brand O


An “evoked set” is merely a subset of all the brands. The goal
of most advertising and promotional strategies is to increase
the likelihood that a brand will be included in the consumer’s
evoked set and considered during alternative evaluation.
Evoked Set of Brands
Brand B Brand E

Brand F Brand I

Brand M 4-27
Two Forms of Evaluation Criteria

Evaluative Criteria

Objective Subjective

Price Style
Warranty Appearance
Service
Image

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Different Perspectives: Marketer’s View

Traction
Too
Enough okay?
expensive
power? ?

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Different Perspectives: Consumer’s View
Will it cut Will the neighbors
the taller grass? be impressed?

How close
Will it be as
can I get to
fun to use
shrubs?
later this
summer?

Will it pull
that trailer I Will I have
saw at the more time
store? for golf?

Functional Psychological
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Consumers Have Many Attitudes
How consumer attitudes can be directed toward a variety of
objects and individuals. Its important for marketers.

Individuals Products

Ads Brands
Attitudes
Toward
Media Companies

Retailers Organizations
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Multi-Attribute Attitude Model

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The multiattribute attitude model provides an insights into
how marketers can influence consumer attitudes, including:
• Increasing or changing the strength or belief rating of
a brand on a particular attribute. For instance, AT&T
has the fewest dropped calls.
• Changing consumers’ perceptions of the importance or
value of an attribute. For instance, demonstrating the
safety of a Mercedes Benz.
• Adding a new attribute to the attitude formation
process. For instance, Ragu’s organically grown tomato
sauce.
• Changing perceptions of beliefs ratings for a
competing brand. For instance, Hyundai’s ads show
that their cars are reliable.

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Measuring Components of Model

• Beliefs
• How likely is it that Nike running shoes provide
good cushioning?
Very likely _ _ _ _ _ _ _ _ _ Very unlikely
• Importance
• Good cushioning in a running shoe is:
Very important _ _ _ _ _ _ Not at all important
• Attitude Toward the Object
• How do you feel about purchasing Nike running
shoes?
Very good _ _ _ _ _ _ _ _ _ Very bad
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Ways to Change Attitudes
Marketers can influence consumer attitudes

Change beliefs about an important attribute


(Call drop which service provider?)

Change perceptions of the


value of an attribute
(demonstrating the safety of a Mercedes Benz)

Add a new attribute to the


attitude formation mix
(Ragu’s organically grown tomato sauce)

Change perceptions or beliefs about


a competing brand
(Hyundai’s ads show that their cars are reliable)
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Adding Attributes Changes Attitudes

In this ad, Michelin


stresses higher gas
mileage, as well as
safety, in order to give
consumers an
additional attribute on
which to evaluate the
brand.

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The Decision Process

Pre- Post
Decision
evaluation evaluation

Integration Purchase Satisfaction


processes intention

Dis-
Heuristics Brand loyalty satisfaction

Affect referral
decision rule Cognitive
dissonance
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Consumer Learning

Learning is the process by which consumers acquire


consumption-related knowledge and experience that
they apply to future behavior.

The two basic approaches to learning are:

The behavioral approach… emphasizes the role of


external, environmental stimuli in causing behavior,
and minimizes the significance of internal
psychological processes.

The cognitive learning theory… assumes that humans


are logical beings who make the choices that make
the most sense to them. 4-40
How Consumers Learn
Learning occurs in one of three ways:

Thinking Conditioning Modeling

Based on Based on Based on


intellectual conditioning emulation
evaluation and through (copying) of
problem association or behavior of
solving reinforcement/ others
punishment

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Classical Conditioning Process (Association)

Unconditioned stimulus Unconditioned response


(lollipop) (sweetness)

Conditioned stimulus Conditioned stimulus


(Mariah’s Lollipop Bling) (sweetness)

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Lollipop Bling Uses Classical Conditioning

Mariah Carey’s new perfume


ad, which associates the
perfume with the look and
sweetness of lollipops.

Can you all identify the


target market for this ad.?

target market is pre-teen


girls, or mothers and
grandmothers of teens who
would like them to be sweet
and cute.

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Instrumental (Operant) Conditioning Process

Behavior (consumer Positive or negative


uses product or service) consequences occur
from use of product,
leading to reward or
punishment

Increase or decrease in
probability of repeat
behavior (purchase)

the consumer is an active participant… his or her


response is instrumental in getting a positive
reinforcement (reward) or avoiding negative
reinforcement (punishment). 4-44
Two concepts relevant to marketers are schedules of
reinforcement and shaping.
• Schedules of reinforcement can be continuous
or intermittent. Learning occurs rapidly with
continuous reinforcement, but the behavior is
likely to cease when the reinforcement stops.
Learning occurs more slowly with intermittent
reinforcement, but the behavior lasts longer.
• Shaping is the reinforcement of successive acts
that lead to a desired behavior pattern.

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Kyocera Focuses on Negative Outcomes

How to avoid negative


consequences; a Kyocera ad.

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Shaping

Shaping is the reinforcement of successive


acts that lead to a desired behavior pattern

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The Shaping Process

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In a promotional context, shaping procedures are
often used as part of the introductory program for
new products.
• Free samples are distributed, along with a large-
discount coupon
• The coupon prompts a purchase (little cost to
consumer)
• The purchase includes a coupon for a smaller
discount on the next purchase
• The small discount prompts a purchase for
moderate cost
• A purchase occurs without coupon assistance

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Cognitive Learning Theory

Goal

Cognitive learning
theory focuses on
Purposive behavior
the more complex
mental processes that
underlie consumer behavior,
and it has dominated the Insight
field of consumer
behavior in recent years.
Because consumer behavior
typically involves choices and Goal achievement
decision making, the cognitive
perspective has particular
appeal to marketers.
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External Influences on Consumer Behavior

Culture

Subculture

Social Class

Reference Group

Situational
determinants

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• Culture… the learned meanings, values, norms, and customs shared by a
society. It is the broadest and most abstract influence on buyer behavior.
• Subcultures… the smaller groups within cultures whose beliefs, values,
norms, and patterns of behavior set them apart from the larger cultural
mainstream. Subcultures can be based on age, geography, religion, and
ethnicity.
• Social class… homogenous divisions in a society into which people sharing
similar lifestyles, values, norms, interests, and behaviors can be grouped.
• Reference groups… a group whose presumed perspectives or values are
being used by an individual as the basis for his or her judgments, opinions,
and actions. It is one of the primary factors influencing our purchase
decisions.
• Situational determinants… the specific situation in which consumers
make a purchase decision or plan to use a product or service. Situational
determinates include the usage situation, the purchase situation, and the
communications situation.

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Subculture Ads

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Reference Groups

• A group whose perspectives or values are being used


as the basis for one’s…
• Judgments
• Opinions
• Actions
• Types of reference groups
Associative… the groups of people with whom you
normally associate. For example, your classmates,
family, and co-workers.
Aspirational… a group to which we would like to belong.
Disassociative… a group to which we do not wish to
belong.

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Situational Determinants
Situational determinants
in the purchasing
process
Purchase
Situation
Usage
Communications
Situation
Situation

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Alternative Approaches
alternative approaches to understand consumer behavior

New New
Methodologies Insights

Individual
Social influences
interviews

Participant Complimentary Cultural


observation Approaches influences

Environmental
Ethnographies
influences

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