consumer markets and consumer buying behavior mmda
TRANSCRIPT
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TMarkPromo | M.Aldana ‘14
Consumer Markets and Consumer Consumer Markets and Consumer Buying BehaviorBuying Behavior
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In groups of 8, discuss your process of buying.Say you want to buy a new laptop, what steps
do you take? Start individually, and then synthesize them as a group. Summarize them in 5 steps. Write in a ¼ sheet of paper with the names of the members.
Each group will then have a representative and write it down in the blackboard and explain. (next meeting)
ActivityActivity
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Consumer Buying Behavior Consumer buying behavior refers to the
buying behavior of final consumers – individuals & households who buy goods and services for personal consumption
The central question for marketers is: ““How How do consumers respond to various do consumers respond to various marketing efforts the company might marketing efforts the company might use?”use?”
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Five Premises of Consumer Five Premises of Consumer BehaviorBehavior
Consumer behavior is purposeful and goal oriented
The consumer has free choiceConsumer behavior is a processConsumer behavior can be influenced There is a need for consumer education
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A Model of Consumer BehaviorA Model of Consumer Behavior
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The company that understands how customers respond to different product features, prices, and advertising appeals has a great advantage over its competitors.
Marketing stimuli consists of the 4 Ps: Product, Price, Place and Promotion. Other stimuli include major forces and events in the environment like: economic, technological, political and cultural.
All these stimuli enter the buyer’s black box, where they are turned into a set of observable buyer responses: product choice, brand choice, dealer choice, purchase timing, and purchase amount.
Model of Consumer BehaviorModel of Consumer Behavior
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Personal Characteristics Affecting Personal Characteristics Affecting Consumer BehaviorConsumer BehaviorCultural FactorsSocial FactorsPersonal FactorsPsychological Factors
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Factors Influencing Consumer Factors Influencing Consumer BehaviorBehavior
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Cultural FactorsCultural FactorsCulture is the most basic determinant of a person’s
wants and behavior ◦ It comprises the basic values, perceptions, wants, and
behaviors that a person learns continuously in a society
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Cultural FactorsCultural FactorsSubcultures are groups of people with shared
value systems based on common life experiences and situations
•Each culture contains groups of people with shared value systems based on common life experiences and situations
•Subcultures include nationalities, religions, racial groups, and geographic regions
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Cultural FactorsCultural Factors◦ Social classes are relatively
permanent and ordered divisions in a society whose members share similar values, interests, and behaviors
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Social FactorsSocial FactorsConsumer behavior is influenced by:
◦Consumers’ groups◦Family◦Social roles◦Status
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Consumer GroupsConsumer GroupsAn individual’s attitudes and behavior are
influenced by many small groupsTypes of groups
◦Membership groups – ex. Clubs, religious groups etc.◦Reference groups – serve as direct or indirect points
of comparison or reference in the forming of a person’s attitudes and behavior
◦Aspirational groups – to which people do not belong but would like to Opinion leaders – people who have special skills, knowledge,
personality or other characteristics, exert influence on others.
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Family members have a strong influence on buyer behavior
FamilyFamily
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A person belongs to many groups: family, clubs, and organizations
An individual’s position in each group can be defined in terms of role and status
A role consists of the activities that a person is expected to perform according to the persons around him or her
Social RolesSocial Roles
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Each role carries a status reflecting the general esteem given to it by society
People often choose products that show their status in society
StatusStatus
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Online social networks are online communities where people socialize or exchange information and opinions
Marketers must be careful when tapping into online social networks
Online Social NetworksOnline Social Networks
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Personal FactorsPersonal FactorsAge and Life-Cycle Stage
◦ The types of goods and services people buy change during their lifetimes
◦ Preferences for leisure activities, travel destinations, food, and entertainment are often age related
◦ Successful marketing to various age segments may require specialized and targeted strategies
◦ This will almost certainly require segmented target publications and database marketing
◦ Buying behavior is also shaped by the family life-cycle stages
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Personal FactorsPersonal FactorsOccupation
◦ A person’s occupation affects the goods and services bought
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Personal FactorsPersonal FactorsEconomic Situation
◦ A person’s economic situation greatly affects product choice and the decision to purchase a particular product
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Personal FactorsPersonal FactorsLifestyle
◦People coming from the same subculture, social class, and occupation may have quite different lifestyles
◦A lifestyle is a person’s pattern of living as expressed in his or her activities, interests, and opinions
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Personal FactorsPersonal FactorsPersonality is a person’s distinguishing
psychological characteristics that lead to relatively consistent and lasting responses to his or her environment
Self-Concept is the complex mental pictures people have of themselves, also known as self-image
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Psychological FactorsPsychological FactorsMotivation
◦Maslow’s Theory of Motivation Sought to explain why people are driven by particular
needs at particular times
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Physiological Needs(hunger, thirst)
Safety Needs(security, protection)
Social Needs (sense of belonging, love)
Esteem Needs (self-esteem)
Self Actualization
Maslow’s Hierarchy of NeedsMaslow’s Hierarchy of Needs
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◦Herzberg’s Theory A two-two factor theory that distinguishes dissatisfiers
(factors that cause dissatisfaction) and satisfiers (factors that cause satisfaction)
Herzberg’s TheoryHerzberg’s Theory
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Herzberg’s TheoryHerzberg’s Theory
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Psychological FactorsPsychological FactorsPerception
◦Selective Attention Consumers are constantly bombarded with information and
will screen out stimuli◦Selective Distortion
Messages to do not always come across in the same way the sender indented.
◦Selective Retention People will forget much that they learn but will tend to
retain information that supports their attitudes and beliefs
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Psychological FactorsPsychological FactorsLearning describes changes in an individual’s
behavior arising from experience
A belief is a descriptive thought that a person holds about something
An attitude describes a person’s relatively consistent evaluations, feelings, and tendencies toward an object or an idea
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Buyer Decision ProcessBuyer Decision Process
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Need RecognitionNeed Recognition
For the decision process to begin, a potential buyer must first recognize a problem or need
Can be caused by internal or external stimuli
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Information SearchInformation Search Information can be obtained from:
◦ Personal Sources Family, friends, neighbors, and acquaintances
◦ Commercial Sources Advertising, salespeople, dealers, packaging, and displays
◦ Public Sources Restaurant reviews, editorials in the travel section,
consumer-rating organizations
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Evaluation of AlternativesEvaluation of Alternatives
Products are seen as bundles of product attributes
Customers rank attributes and form purchase intentions
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Purchase DecisionPurchase Decision
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Post Purchase BehaviorPost Purchase BehaviorThe smaller the gap between customer
expectations and perceived performance, the greater the customer’s satisfaction
Cognitive dissonance is buyer discomfort caused by post purchase conflict
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THE ENDTHE END