analyzing consumer markets
TRANSCRIPT
Marketing ManagementArab World EditionKotler, Keller, Hassan, Baalbaki, and Shamma
Chapter 6
Analyzing Consumer Markets
Chapter Questions
1. How do consumer characteristics influence buying behavior?
2. What major psychological processes influence consumer responses to the marketing program?
3. How do consumers make purchasing decisions?
4. How do marketers analyze consumer decision making?
Copyright © 2012 Pearson Education 6-3
؟ المستهلك سلوك على يؤثر مالذىChapter Question 1:
How do consumer characteristics influence
buying behavior?
الثقافية العوامل
االجتماعية العوامل
الشخصية العوامل
Copyright © 2012 Pearson Education 6-4
Chapter Question 1: How do consumer
characteristics influence buying behavior?
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Cultural Factors
What is culture?
Culture is the fundamental determinant of a person’s wants
and behaviors acquired through socialization processes with
family and other key institutions.
Chapter Question 1: How do consumer
characteristics influence buying behavior?
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Cultural Factors
الفرعية الثقافات
• الجنسيات
• الديانة
• العرقية الجماعات
• الجغرافية المنطقة
Chapter Question 1: How do consumer
characteristics influence buying behavior?
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Cultural Factors
Multicultural marketing
The Marketing Insight box considers the challenges for marketers in understanding the varied ethnic groups in the UAE
Chapter Question 1: How do consumer
characteristics influence buying behavior?
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Social Factors
Characteristics of social classes:
•Within a class, people tend to behave alike
•Social class conveys perceptions of inferior or superior position
•Class may be indicated by a cluster of variables (occupation, income, wealth)
•Individuals can move up or down the social-class ladder over time
Chapter Question 1: How do consumer
characteristics influence buying behavior?
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Social Factors
Social factors affect our buying behavior, including:
•Reference groups
•Family
•Social roles
•Statuses
Chapter Question 1: How do consumer
characteristics influence buying behavior?
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Personal Factors
A buyer’s decisions are influenced by personal characteristics:
• Age
• Life cycle stage
• Occupation
• Wealth
• Personality
• Values
• Lifestyle
• Self-concept
Presentation Title runs here l 00/00/0011
Chapter Question 1: How do consumer
characteristics influence buying behavior?
Copyright © 2012 Pearson Education 6-12
Personal Factors
Brand personality is the specific mix of human traits that we
can attribute to a particular brand.
The following traits have been identified:
.(down-to-earth, honest, wholesome, and cheerful) الصدق.1
.(daring, spirited, imaginative, and up-to-date) االثارة.2
.(reliable, intelligent, and successful) الكفاءة .3
.(upper-class and charming) التطور .4
.(outdoorsy and tough) الغلظة .5
Chapter Question 1: How do consumer
characteristics influence buying behavior?
Copyright © 2012 Pearson Education 6-13
Personal Factors
• A lifestyle is a person’s pattern of living in the world as expressed
in activities, interests, and opinions.
• Marketers search for relationships between their products and life
style groups.
• Consider whether a customer is:
o Multi-tasking
o Time-starved
o Money-constrained
The “convenience involvement segment” of the food market is receptive to time-saver products such as Indomie noodles, which allow them to
easily and quickly prepare a hot meal.
Chapter Question 1: How do consumer
characteristics influence buying behavior?
Copyright © 2012 Pearson Education 6-14
Personal Factors
• LOHAS – Lifestyles of health and sustainability
Table 6.1: LOHAS Segmentation
Key Psychological ProcessesChapter Question 2:
What major psychological processes influence
consumer responses to the marketing program?
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Fig. 6.1: Model of Consumer Behavior
Key Psychological ProcessesChapter Question 2:
What major psychological processes influence
consumer responses to the marketing program?
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• Motivation
• Perception
• Learning
• Memory
Chapter Question 2: What major psychological
processes influence consumer responses to the
marketing program?
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Motivation: Freud, Maslow, Herzberg
Freud’s
Theory
Behavior
is guided by
subconscious
motivations
Maslow’s
Hierarchy
of Needs
Behavior
is driven by
lowest,
unmet need
Herzberg’s
Two-Factor
Theory
Behavior is
guided by
motivating
and hygiene
factors
Chapter Question 2: What major psychological
processes influence consumer responses to the
marketing program?
Copyright © 2012 Pearson Education 6-18
Motivation: Maslow’s Hierarchy of Needs
• Physiological needs
• Safety needs
• Social needs
• Esteem needs
• Self-actualization needs
Fig. 6.2: Maslow’s Hierarchy of Needs
Chapter Question 2: What major psychological
processes influence consumer responses to the
marketing program?
Copyright © 2012 Pearson Education 6-19
Perception
People can emerge with different perceptions of the same
object because of three perceptual processes:
• Selective attention
• Selective retention
• Selective distortion
Chapter Question 2: What major psychological
processes influence consumer responses to the
marketing program?
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Learning
• When we act, we learn
• Learning causes changes in behavior, arising from experience
• Learning theory can be used by marketers to understand consumer behavior
Chapter Question 2: What major psychological
processes influence consumer responses to the
marketing program?
Copyright © 2012 Pearson Education 6-21
Memory
• Short-term memory (STM)—a temporary and limited repository of information
• Long-term memory (LTM)—a more permanent, essentially unlimited repository
• Memory encoding—how and where information gets into memory
• Memory retrieval—how and from where information gets out of memory
• Example of Chipsy:
Fig. 6.3: Hypothetical Mental Map for Chipsy
The Buying-Decision Process:The Five-Stage Model
Chapter Question 3: How do consumers make
purchasing decisions?
Copyright © 2012 Pearson Education 6-22
Some key consumer behavior questions identified by George and Michael Belch are:
• ‘who, what, when, where, how, and why’ of buying products
•Perception of customers
•Attitudes of customers
•Social factors
•Forming decision processes
•Influence of demographic
The Buying-Decision Process:The Five-Stage Model
Chapter Question 3: How do consumers make
purchasing decisions?
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Fig. 6.4: Five-Stage Model of the Consumer Buying
Process
Chapter Question 3: How do consumers make
purchasing decisions?
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Problem Recognition
The buying process starts when the buyer recognizes a problem or need
Chapter Question 3: How do consumers make
purchasing decisions?
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Information Search
Information
sources:
1.Personal
2.Commercial
3.Public
4.Experiential
Search dynamics:Fig. 6.5: Successive Sets Involved in
Consumer Decision Making
Chapter Question 3: How do consumers make
purchasing decisions?
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Evaluation of Alternatives
We can often segment the market for a product according to
attributes important to different consumer groups.
Tetra Pak changed consumers’ attitudes towards dairy products with it’s Tasbeera snacks.
Chapter Question 3: How do consumers make
purchasing decisions?
Copyright © 2012 Pearson Education 6-27
Expectancy-Value Model
Consumers evaluate products and services by combining their
brand beliefs, positive and negative, according to their weighted
importance.
Table 6.2: A Consumer’s Brand Beliefs about Laptop Computers
Chapter Question 3: How do consumers make
purchasing decisions?
Copyright © 2012 Pearson Education 6-28
Purchase Decision
Non-compensatory models of choice:
•Conjunctive
•Lexicographic
•Elimination-by-aspects
Intervening factors
Two general factors can intervene between the purchase intention and the purchase decision:
•Attitudes of others
•Unanticipated situational factors
Fig. 6.6: Steps Between Evaluation of
Alternatives and a Purchase Decision
Chapter Question 3: How do consumers make
purchasing decisions?
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Purchase Decision
Perceived risk:
•Functional
•Physical
•Financial
•Social
•Psychological
•Time
Other Theories of ConsumerDecision Making
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Chapter Question 3: How do consumers make
purchasing decisions?
Level of Consumer Involvement
• Elaboration Likelihood Model
• Low-involvement marketing strategies
• Variety-seeking buying behavior
Decision Heuristics and Biases
• Availability
• Representativeness
• Anchoring and adjustment
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Chapter Question 3: How do consumers make
purchasing decisions?
Mental Accounting
Consumers tend to…
• Segregate gains
• Integrate losses
• Integrate smaller losses with larger gains
• Segregate small gains from large losses
Chapter Question 4: How do marketers analyze consumer decision making?
Copyright © 2012 Pearson Education 6-32
How can marketers learn about the stages in the buying process for their product?
•Introspective method – how would they act themselves?
•Retrospective method – ask buyers to recall the events leading to their purchase
•Prospective method – ask consumers who plan to buy a product about the steps in their buying process
•Prescriptive method – the ideal way to buy
Trying to understand the customer’s behavior in connection with a product has been called mapping the customer’s consumption system.
Profiling the Customer Buying-Decision Process
Credits
• Slide 1 Christian Short Photography, photographersdirect.com
• Slide 13 Art Directors and TRIP Photo Library: Helene Rogers
• Slide 14 LOHAS Market Segments, www.lohas.com. Reproduced with permission
• Slide 18 Motivation and Personality, 3rd edition, Prentice Hall (Maslow, A.H., and Frager, R.D., Fadiman, J. (eds), 1987)
• Slide 26 Logo courtesy TetraPak. Reproduced with permission