buying behviour

8/4/2019 Buying Behviour

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Dr Omkumar KrishnanIMT Ghaziabad

Consumer Buying Behaviour

Marketing Management - 1


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Consumer market : all of the individuals and households whobuy or acquire goods and services for personal consumption.

ProductPricePlace

Promotion

EconomicTechnological

PoliticalCultural

BuyersResponses

Product choiceBrand choiceDealer choice

Purchase timingPurchase amount

Marketing andother stimuli

Understanding the Consumer Market

BuyerDecision

Process

Source: Hawkins, CB


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Consumer Buying Roles

Initiator Influencer

Decider Buyer

User Disposer


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Theoretical Foundation Sigmund Freud UnconsciousId, Ego, Super Ego

Abraham Maslow Hierarchy of Needs

Basic-Security-Social-Esteem- Self Actualisation McGuire Psychological MotivesCognitive / Affective & Preservation / Growth

Carl Jung Collective ConsciousnessArchetypes


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Decision Making Complex Decision Making

Brand Loyalty Need Arousal

Past ExperienceCharacteristicsMotivesEnvironmental InfluencesMarketing Stimuli


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Types of Buying Behaviour

High Involvement Vs Low Involvement Extensive Problem Solving

Belief Attitudes Planned Decision

Variety Seeking Behaviour Habitual Decision making (Routine) Impulse Buying


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Information and purchase decisions

Two sources: Commercial information environment.

Includes manufacturers, retailers, advertisersand sales people.

Social information environment. Family, friends and acquaintances.


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Psychological influences

Buying motives:

Buyer recognises motives for purchase. Buyer aware of reason for purchase but does

not admit to themself.

Buyer does not know the real factor formotivation.


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Social influences

Families and Households (Lifecycle) Core values, attitudes and beliefs. Family as a buying unit (Information Sharing)

Culture. Changing gender roles. Social class. Reference groups.


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Two Factor Theory Frederick Herzberg

Dissatisfiers (factors that cause dissatisfaction)Satisfiers (factors that cause satisfaction).The absence of dissatisfiers is not enough; satisfiers must be

present to motivate a purchase. Herzbergs theory has two implications:

Sellers should do their best to avoid dissatisfiers.

Sellers should identify the major satisfiers ormotivators of purchase in the market and supplythem. These satisfiers will make the major differenceas to which brand the customer buys.


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Perception Perception

physical stimuli + stimulis relation to the surrounding field and on conditionswithin the individual.

In marketing, perceptions are more important than the reality

Selective AttentionSelective DistortionSelective RetentionSubliminal Perception

The topic of subliminal perception, the argument that marketers embed covert, subliminal messages in ads or packages and consumers are not consciously aware of these messages, but yet they affect their behavior

No evidence supports this notion that marketers can systematically control consumers at theunconscious level.


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Learning

Learning involves changes in an individuals behavior arising from experience. A drive is a strong internal stimulus impelling action

Cues are minor stimuli that determine when, where,and how a person responds

Discrimination means that the person has learned to

recognize differences in sets of similar stimuli and canadjust responses accordingly


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Memory Memory All information and experiences individuals

encounter as they go through life can end up in theirlong-term memory.

short-term memory (STM) a temporary repository of information. Long-term memory (LTM) a more permanent repository. Marketers can be seen as making sure that consumers have the

right types of product and service experiences such that the right

brand knowledge structures are created and maintained in memory. Memory Processes: Encoding Memory Processes: Retrieval


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Stages in ConsumerBuying Decision Process


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CONSUMERS GO THROUGH A FIVE-

STAGE BUYING -DECISION PROCESS

Need recognition Identification of alternatives Evaluation of alternatives Decision Post-purchase behaviour


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STAGE 1 NEED RECOGNITION , WHEN ANUNSATISFIED NEED (MOTIVE) CREATES

TENSION OR DISCOMFORT IN THECONSUMER

A biogenic need (hunger)

Arousal by external stimulus(advertising)

Dissatisfaction with current product(tension)


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STAGE 2 IDENTIFICATION OFALTERNATIVES, INCLUDING BOTH

PRODUCTS AND BRANDS

INFLUENCED BY:

The costs of collectingmore information.

The ability to recall past experiences.

The consumers confidence in recalledinformation.

The time and level of perceived risk.


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STAGE 3 - E VALUATION OFALTERNATIVES, INCLUDING

ESTABLISHING CRITERIA WITH WHICHTO MAKE THE EVALUATION

Evaluation involves: The criteria used:

Price, convenience, prestige and taste. The various sources used to make the decision:

Past experience , attitude towards brand, opinions by

others. SetsTotal AwarenessConsiderationChoice-- Product


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STAGE 4 PURCHASE DECISION, WHICH IS

ACTUALLY A SERIES OF DECISIONSINCLUDING

Patronage buying motives (friendly staff,convenience). Decisions regarding brand, price, store. Product features and benefits . Where and when to make the purchase. Method of payment.


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STAGE 5P OST-PURCHASE BEHAVIOR,OR COGNITITVE DISSONANCE

Consumers strive for internal harmony andconsistency among their cognitions (knowledge,attitudes, beliefs, values) any inconsistency in

these cognitions will result in anxiety cognitivedissonance. Consumers will experience post-purchase,

cognitive dissonance when alternatives have bothadvantages and limitations.

buying behviour

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