05 f10 consumer behavior (1)

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    CONSUMER BEHAVIOR

    BUAD 307

    MARKETING FUNDAMENTALS

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 2

    Why does Staplessell Starbuckscoffee

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 3

    CONSUMER

    PERCEPTION/

    SENSATION

    COGNITION

    AFFECT

    BELIEFS

    SOCIAL AND

    OTHER INFLUENCE

    INFO

    SEARCH

    CHOICES

    PREFERENCES

    COMMUNICATION

    MARKET

    RESEARCH

    STRATEGY

    Influn!" #n $n% #f C#n"u&' B($)*#' 

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor +

    !ear"#"$ Outco%e Ob&ect#'es

    ( U"dersta"d ho) co"su%erco$"#t#'e *th#"k#"$+ processes a"dl#%#tat#o"s, affect, bel#efs, soc#al#"flue"ces, a"d other co"te-tual

    factors #"flue"ce co"su%erdec#s#o" %ak#"$, cho#ces, a"dbeha'#or 

    (  Apprec#ate ho) these #"s#$hts ca"be used to des#$" a"d #%ple%e"teffect#'e %arket#"$ strate$#es

    (  Apprec#ate #"d#'#dual a"d se$%e"td#ffere"ces #" process a"doutco%e

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor ,

    .rue or /alse

    01 If you ha'e bad breath, you ca""ot s%ell #tyourself1

    21 If you eat a bala"ced d#et, you do "ot "eed'#ta%#" supple%e"ts1

    31 Us#"$ a ra4or )#th f#'e blades )#ll reduce thel#kel#hood of cutt#"$ yourself a"d )#ll result #"less sk#" #rr#tat#o"1

    51 6ell Co%puters te"d to be of h#$her 7ual#ty

    tha" those %ade by H8 a"d So"y191 Rust sta#"s o" clothes ca" be re%o'ed )#th

    the use of le%o" &u#ce1 Bleach actually%akes these sta#"s )orse1

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor -

    :uest#o"s /aced ByCo"su%ers

    (  Are 'e$$#e bur$ers actually healthy( What %akeup should you use to $et a"

    ;e'e"< sk#" to"e

    ( 6o I $et a"y useful be"ef#ts fro% spe"d#"$

    %ore tha" =029 o" a d#$#tal ca%era( Should I $et a ;%ake>o'er< What a% I

    look#"$ for What should I do

    ( Is %y %echa"#c ho"est

    ( Wh#ch t#e should I )ear for a &ob #"ter'#e)

    ( Should I $#'e %y )#fe roses, chocolate, orsoft)are

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 7

    Co"su%er 8roble%s a"dReco$"#t#o"

    ( C#n"u&' .'#l& 6#screpa"cy bet)ee" ideal  a"dactual state>>e1$1, co"su%er?

     @ Has #"suff#c#e"t ha#r 

     @ Is hu"$ry @ Has ru" out of #"k #" h#s or

    her #"k&et cartr#d$e

    ( P'#l&" !$n "#l)%

    *n ")'$l 1$">>e1$1, stressreduct#o" >>>>> 'acat#o", %o'#e, hotbath, %ed#cat#o"

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor

    CONSUMER DECISIONS.heory a"d Real#ty #" Co"su%er Buy#"$

    INFORMATION

    SEARCH

    PROBLEM

    RECOGNITION

    EVALUATION OF

    ALTERNATIVES

    PURCHASE

    POSTPURCHASE

    EVALUATION/

    BEHAVIORSTheory

    Complications

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 4

     Approaches to Search for8roble% Solut#o"s

    INTERNAL

    EXTERNAL

    Memory

    Thinking

    Word of mouth, media,

    store visits, trialCATALOG

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 50

    Opt#o"s Ide"t#f#ed a"d Co"s#dered

    UNIVERSAL SET

    RETRIEVED SET

    EVOKED SET

     All poss#ble opt#o"s

    Opt#o"s that read#ly

    co%e to %#"d

    Opt#o"s that )#ll beco"s#dered by theco"su%er 

    Note? Retr#e'ed a"de'oked sets )#ll 'arya%o"$ d#ffere"tco"su%ers

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 55

    REMIN6ER

    ( /or lo) #"'ol'e%e"tproducts, efforts a#%ed ataffect#"$ internal  searchte"d to be %ore effect#'ethe co"su%er #s usually"ot )#ll#"$ to e-pe"de"er$y o" e-ter"al

    search1( E-ter"al search #s %ore

    l#kely for h#$her#"'ol'e%e"t products1

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 52

    6ec#s#o" Mak#"$ Issues

    ( I"'ol'e%e"t le'el

     @ .e%porary

     @ E"dur#"$

    ( Co"su%er locus of co"trol @ I"ter"al

     @ E-ter"al

    ( 8roduct cate$ory co%ple-#ty

    ( Co"su%er k"o)led$e

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 53

    E'aluat#o" .ype

     @ C#&.n"$6#'  6ec#s#o" based o" o'erall'alue of alter"at#'es *$ood attr#bute ca"out)e#$h bad o"es+

     @ N#n!#&.n"$6#'  Absolutely %ust %eetat least o"e #%porta"t cr#ter#o" *e1$1, car%ust ha'e auto%at#c tra"s%#ss#o"+

     @ H'*%? Co%b#"at#o" of the t)o *e1$1, o"e"o">co%pe"satory %easure, the"

    co%pe"satory tradeoffs o" other attr#butes @ A$n%#n% "6'$68 Co"su%er f#"ds #"#t#al

    cr#ter#a u"real#st#c a"d proceeds to lessdes#rable solut#o"

    IM8OR.AN.

    !ESS

    IM8OR.AN.

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 5+

    Heur#st#cs!o) I"'ol'e%e"t6ec#s#o" Rules

    ( If e#ther Coke or 8eps# #s o"sale, buy that bra"dother)#se, buy Coke

    ( .he lar$er the "a'els, thebetter the ora"$e

    ( .he lar$er packa$e #s l#kely tooffer a lo)er u"#t pr#ce *"ot

    true #" real#ty+

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 5,

     Att#tudesDco%po"e"ts

    BELIEFSAFFECT

    9FEELING:

    BEHAVIORALINTENTIONS

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 5-

     Att#tude Co%po"e"ts

    ( Bel#efs @ Ca" be pos#t#'e,

    "e$at#'e, or "eutral

     @ May or %ay "ot beaccurate

     @ May co"trad#ct otherbel#efs held by the otherperso"

    (  Affect @ May be pos#t#'e or

    "e$at#'e

     @ May take o" spec#f#cd#%e"s#o" *e1$1,pleasure, d#s$ust+

    ( Beha'#oralI"te"t#o"s @  A" #"d#'#duals pla" or

    e-pectat#o"s of )hat heor she )#ll do

     @ May appear #"co"s#ste"t)#th bel#efs

     @ May "ot pred#ct )ell )hatthe #"d#'#dual )#ll do #"real#ty

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 57

    Fe"erat#"$ Bel#efs .hrou$h Ad'ert#s#"$

    ( State%e"ts %ust be @ 8erce#'ed

     @ Co%prehe"ded

     @ Re%e%bered @ Bel#e'ed *at least #" part+

    C

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 5

    8os#t#o"#"$ .hrou$h Creat#"$Bel#efs

    ( ;Its "ot del#'ery #ts 6e Gour"o<( ;Wal>Mart1 Al)ays lo) pr#ces1

     Al)ays1<

    ( ;I &ust sa'ed a bu"ch of %o"ey o"%y auto #"sura"ce1<

    ( ;U>u% Food< *Ca%pbells Soup+

    M l # #b M d l f

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 54

    Mult#attr#bute Models of Att#tude

    (  Att#tude co%puted as afu"ct#o" of %ult#ple attr#butes)e#$hted for #%porta"ce?

     Ab att#tude to)ard bra"d b

    W#? )e#$ht of attr#bute I

    J#b? bel#ef about bra"d bs

    perfor%a"ce o" attr#bute I( Model assu%es rat#o"al#ty

    ∑ ==  n

    iibi X W  A

    1 b

    Calculat#o"s )#ll not  be re7u#red o" thee-a%1 Kou should k"o) co"ceptually )hatth#s #"'ol'es conceptually #1e1, )e#$h#"$#%porta"ce a"d #"te"s#ty of feel#"$1

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 20

    Mult#attr#bute Models

    ( Ca'eats @ 6#ffere"t se$%e"ts e-#st that )#ll )e#$ht

    factors d#ffere"tlythus, o'eralla'era$es ca" be %#slead#"$1 Separatea"alyses should be do"e for d#ffere"tse$%e"ts of #"terest1 *Se$%e"ts ca" be

    #de"t#f#ed by certa#" stat#st#caltech"#7ues+1

     @ I"d#'#dual d#ffere"ces e-#st #" scale#"te"s#tyfor so%e, #t #s %uch ;eas#er< tobe e-tre%ely $ood or e-tre%ely bad1

     @ 8r#or research %ay be "eeded to #de"t#fy

    #ssues *d#%e"s#o"s+ to be )e#$hted1 @ So%e factors %ay be #"ta"$#bleWhat

    are the substa"t#'e d#ffere"ces bet)ee"W#"do)s a"d Apple co%puters

     @ No">co%pe"satory factors;%ust>ha'es

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 25

     Affect

    ( Based o" @ past e%ot#o"al

    assoc#at#o"s of product

     @ e%ot#o"al effect of bel#efs

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 22

     Att#tude Character#st#cs

    (  A'a#lab#l#tyLaccess#b#l#ty

    ( Co"structed 's1"atural

    ( Stre"$th

    M t f Att#t d

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 23

    Measure%e"t of Att#tudeCo%po"e"ts

    ( Bel#efs @ Se%a"t#c 6#ffere"t#al Scales

     @ Food >>>>>>>>>>>>>>>>>>>Bad

     @ /ast >>>>>>>>>>>>>>>>>>>>Slo)

     @ Rel#able>>>>>>>>>>>>>>>>>U"rel#able( /eel#"$s

     @ !#kert Scales *Stro"$ly a$ree Stro"$ly 6#sa$ree+ @ ;.h#s product %akes %e happy1<

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 2+

    Measure%e"t

    ( Beha'#oral I"te"t#o" @ Rat#"$ of l#kel#hood of

    purchase

     @ May "eed pro&ect#o" #fsoc#al des#rab#l#ty affects)#ll#"$"ess to ad%#t toproduct use

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 2,

     Att#tude Cha"$e Strate$#es, 8art I

    ( Cha"$e Affect @ Class#cal co"d#t#o"#"$

    ( ;8a#r#"$< the bra"d or product)#th des#red st#%uluse1$1, acar )#th a beaut#ful )o%a"

     @  Att#tude to)ard the ad(  A l#kable ad for a bra"d #" a

    %u"da"e product cate$orye1$1,

     @ E"er$#4er Bu""y

     @ S"u$$les *fabr#csofte"er+

     @ Mere e-posure

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 2-

     Att#tude Cha"$e Strate$#es II

    ( Cha"$e beha'#or *e1$1,sa%pl#"$+ @ Att#tudes are #"ferred fro%

    beha'#or *e1$1, I buy the product

     I %ust l#ke #t or It %ust be$ood+

    ( Cha"$e Bel#ef Co%po"e"t @ Cha"$e e-#st#"$ bel#efs

    ( 6#ff#cult

    (  Ad'ert#sers %ot#'es are suspect

     @ Cha"$e #%porta"ce of attr#butes

     @ Add bel#efs

     @ Cha"$e #deal *fash#o"+

    Add# B l# f *. N t+

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 27

     Add#"$ Bel#efs *.rue or Not+?E-a%ples

    ( Brush#"$ a"d floss#"$ do"ot reach all areas of the%outh

    ( 8eople u"der stress"eed %ore '#ta%#"s

    ( Bak#"$ soda )#ll reduceodor of refr#$erators

    ( /ra$%e"ted hard dr#'es%ay cause co%putererrors

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 2

    REMIN6ER

    ( Cha"$#"$ curre"tly heldbel#efs te"ds to be d#ff#cultpeople k"o) the%arketer has a" ulter#or%ot#'e

    (  Adding new beliefs thatare "ot #"co"s#ste"t )#th

    )hat #s already bel#e'ed%ay be %ore effect#'e

    O #d d t #d d

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 24

    O"e>s#ded 's1 t)o s#dedappeals

    ( O"e>s#ded? o"ly say#"$)hat fa'ors your s#de

    ( .)o>s#ded? stat#"$ yourcase but also ad%#tt#"$po#"ts fa'or#"$ the others#de

     @ Why #s th#s effect#'e

    8ote"t#al /a%#ly !#fe Cycle

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 30

    8ote"t#al /a%#ly !#fe CycleSta$es

     YOUNG

    SINGLE

    BLENDED

    SINGLEPARENT

    FULL NEST

    I/II/III

    EMPTY NEST

    I/II

    OLDER

    SINGLE

     YOUNG

    COUPLE

    E # LM k t# I l# t# f

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 35

    Eco"o%#cLMarket#"$ I%pl#cat#o"s ofHousehold Cycles

    ( I"co%e te"ds to#"crease )#th t#%e

    ( But ch#ldre"Lobl#$at#o"s add cost

    ( 6#'orce @ #"creases costs

     @ %ay cha"$e#"co%ed#str#but#o"%arr#a$e

    ( 8roduct de%a"ddue to

     @ s#"$les )#th lo)e-pe"ses

     @ "e) couples @ d#'orced

    fa%#l#es

     @ ch#ldre"

     @ e%pty "esters>> %ore #"co%e

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 32

    Household 6ec#s#o" Mak#"$

    ( RolesL#"flue"ce @ I"for%at#o" $atherersLholders

     @ I"flue"cers

     @ 6ec#s#o" %akers

     @ 8urchasers @ Users

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 33

    .he Mea"s>E"d Cha#"

    Large engine

    Fast acceleration

    Performance

    Feeling of power

    Self-esteemAim promotion

    positioning at !ig!er

    le"els of c!ain#

    Attri$%tes

    Conse&%ences

    'al%es

    Subl#%#"al 8ercept#o"? A

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 3+

    Subl#%#"al 8ercept#o"? A6#abol#cal Market#"$ .ool

    ( Subl#%#"al %essa$es #" adsare #lle$al #" U1S1

    ( So%e research support for%odest effects

     @ 8robably l#%#ted to o"esyllable )ords

     @ Co%ple- %essa$es ca"probably "ot be

    processed subl#%#"ally

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 3,

    Messa$e /ra%#"$

    ( Ma"y tradeoffsca" be stated #"t)o,%athe%at#cally

    e7u#'ale"t )ayse1$1, @  ;PQ lea"< 's1

    ;2PQ fat<

     @ =51PP perperso" per "#$htbased o" doubleoccupa"cy

    S C B h # I .h t W#ll

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    BUAD 307 CONSUMER BEHAVIOR Lars Perner, Instructor 3-

    So%e Co"su%er Beha'#or Issues .hat W#llCo%e Up Else)here #" the Course

    ( 6e%o$raph#cs*se$%e"tat#o"+

    ( !#festyle *se$%e"tat#o"+

    ( CultureLsubculture*se$%e"tat#o", #"ter"at#o"al%arket#"$+

    ( 6#ffus#o" of #""o'at#o"*product+

    (  Atte"t#o" *pro%ot#o"+

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    CONSUMER BEHAVIOR 37

    Or$a"#4at#o"al Buyers

    ( .ypes @ I"dustr#al

     @ Reseller 

     @ Fo'er"%e"t a"d"o">prof#tor$a"#4at#o"s

    ( 8urchase types @ Stra#$ht rebuy

     @ !#%#ted dec#s#o"

    %ak#"$

     @ E-te"ded dec#s#o"%ak#"$

    ( Character#st#cs @ Freater #"'ol'e%e"t

     @ Bureaucracy

     @ !o"$ ter%relat#o"sh#ps

     @ 8r#ce #s #%porta"t but%ay "ot be the %ost#%porta"t factor