By: Davind D. Burks

1
Ch. 4 Understanding Target Audience Behavior

• By Davind D. Burks

2
The Bottom Line of Marketing Strategies

• To INFLUENCE Behavior
• Changing ideas and thoughts is attempted
  primarily, but ultimately the behavior is the
  desired target of change.
• A mother can be convinced that abusing her child
  is wrong and possibly fatal, but will she be able
  to change her behavior when the baby will not
  stop crying?

3
Behavioral Drivers (BCOS)

• B enefits
• C osts
• O thers
• S elf-Efficacy
• Benefits and costs are the main focus of
  marketing Consumers must give up something
  (cost) to get something (benefit).
• Because costs in non-profit marketing can be
  uncomfortable (giving blood, quit smoking)
  marketers have to make benefits as appealing as
  possible. This is not easy!
• Others (family, peers) can influence marketing in
  a positive or negative way through social
  pressure.
• Ex giving blood because your mother is going to
  give as well

4
Behavioral Drivers (BCOS)

• B enefits
• C osts
• O thers
• S elf-Efficacy
• Self-Efficacy can play a part in behavior even
  when all other factors (benefits, costs, others)
  are in sync. One has to believe that he/she can
  change their behavior
• An overweight person knows that exercise will
  benefit them for a cost of only 20 min. three
  times a week. Even with family support, the
  individual must believe in their ability to
  commit to change!

5
Role of Exchange

• The greatest challenge marketers face is figuring
  out how to make the benefits greatly outweigh the
  costs!
• A simple formula
• Benefits of customer cost to marketer
• Cost of customer benefit to marketer
• The exchange role is very essential

6
Types of Exchanges

• Two Party or Multiple Party Exchanges
• Multiple Exchanges occurs in 1 of 4 ways
• Allied with the customer i.e. family members
• Allied with the marketer i.e. advertising agency
• Independent (but needed to assist operation)
  i.e. credit card company
• Independent (but attempting to influence
  operation) i.e. a church representative
  advocating abstinence

7
Transaction/Operation Outcomes

• Continuing Transactions those involved must
  execute their behavior continually per exchange
  arrangement
• (i.e. avoiding teen pregnancy)
• Fixed Duration Transactions those involved
  execute their behavior once
• (i.e. giving blood)
• Most common on non-profit marketing
• Reinforcement is the key to fixed duration success

8
Levels of Understanding Consumer Behavior

• Understanding consumer behavior is vital for
  the success of the organization.
• Management decisions where understanding consumer
  behavior is key
• Segmentation categorizing consumers into groups
  according to similarities
• Marketing Mix pricing costs and benefits, how
  to promote pricing conclusion, how to distribute
  the end results in a convenient and attainable
  manner for consumers
• Strategic Allocation how much money and
  resources to use for desired project
• Timing when to employ the final marketing
  strategy

9
Levels of Understanding Consumer
Behavior Continued

• 4 levels to make management decisions easier
• Descriptive understanding profile
  characteristic (age, sex, occupation) or
  complexly categorize (social class, family life
  cycle)
• Understanding of associations how some
  behaviors/characteristics are linked with others
  at a given time
• Understanding of causation goes beyond linking
  behaviors to understanding what causes them (is
  it a factor that can be controlled by the
  manager?)
• Ability to explain causation now, goes beyond
  what causes behaviors to why it occurs!
• Complexity grows with each level. This is not
  easy!! Only experience, time, and careful
  research leads to successful management decisions.

10
Individual Behaviors

• Consumers must make the decision to engage in
  behaviors influenced by marketers.
• There are 2 factors that play a part in consumer
  action.

11
Involvement and Complexity

• See Table 4-1 on p. 96
• Low-involvement simple exchanges such as signing
  a petition that do not involve complex decision
  making
• High-involvement contingent upon 1 or more of
  the subsequent
• Behavior mirrors self-image
• Monetary/personal costs of undesirable behavior
  is favored
• Personal/social danger of making a bad move is
  feared
• The pressures from