Marketing 333

1
Marketing 333

• Chapter 6
• Consumer Decision Making

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What is Consumer Behavior?

• Activities people engage in when selecting,
  purchasing, and using products so as to satisfy
  needs and desires.

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Decision-Making Process
Step 1 Need Recognition
Step 2 Information Search
Step 3 Evaluation of Alternatives
Step 4 Purchase Decision
Step 5 Post-purchase Evaluation
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Decision-Making Process

• Need Recognition
• Awareness that there is a discrepancy between an
  actual and a desired condition.

My car has died!
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Decision-Making Process

• Information Search.
• Internal and external search for information to
  make a decision.

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Decision-Making Process Information Search

• Internal Search
• Scan memory

• External Search
• Shopping
• Personal sources
• Public media
• Advertisements

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Decision-Making Process Information Search

• Perceived risk Consumers uncertainty about
  the consequences of future actions.
• Types of risk
• Performance risk
• Financial risk
• Physical risk
• Social risk

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Involvement

• The Importance an individual attaches to a product

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Decision-Making Process High Involvement
Products
Problem still faced
Dont Buy
Problem Recognition
Extensive information search
Extensive weighing of alternatives
Purchase decision
Post- purchase evaluation
Buy
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Decision-Making Process Low Involvement
Products
Postpurchase consumption minimal evaluation
Problem Recognition
Minimal information search
Purchase decision
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Implications of Involvement
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Decision-Making Process

• Evaluation of Alternatives.
• Determine choice criteria to evaluate product
  alternatives.

Lots of storage
Performance
Variety of colors
Safety
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Decision-Making Process

• Purchase Decision
• Choose which brand to buy or not to buy

Ill take that one.
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Decision-Making Process

• Post-purchase Evaluation
• Purchase satisfaction
• Cognitive dissonance

Why did I buy such an expensive car?
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Situations Surrounding the Decision Process

• Routinized Problem Solving
• Limited Problem Solving
• Extensive Problem Solving

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What Influences the Buying Decision?
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Culture

• Culture Values, beliefs, and customary
  behaviors learned and shared by members of a
  society.

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Subculture

• Subculture A culture within a culture
• Ethnicity
• Age
• Religions

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Social Class

• Social Class Group of people with similar
  levels of prestige, power, and wealth who also
  share a set of related beliefs, attitudes, and
  values.

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Reference Groups

• Reference group Group that influences an
  individual because that individual is a member or
  aspires to be a member of that group.

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Reference Groups

• Types of reference groups
• Membership group
• Voluntary membership group
• Aspirational group

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Family

• Family A group of two or more persons related
  by birth, marriage, or adoption and residing
  together. (traditional)
• Dont forget non-traditional families.

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Individual Influences on Consumer Buying Decisions

• Age
• Family Life-Cycle
• Personality
• Self Concept

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Personality

• Personality Fundamental disposition of an
  individual distinctive patterns of thought,
  emotion, and behavior that characterize an
  individuals response to the situations of his or
  her life.

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Self Concept

• How consumers perceive themselves
• Ideal self image
• Real self image

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Psychographics

• AIOs
• Lifestyles

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Perception

• Processing of interpreting sensations and giving
  meaning to stimuli
• Selective exposure
• Selective distortion
• Selective retention

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Maslows Hierarchy of Needs
Self-Actualization
Esteem
Social
Safety
Physiological
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Learning

• Learning Any change in behavior or cognition
  that results from experience or an interpretation
  of experience.
• Experiential Learning
• Conceptual Learning
• Stimulus generalization
• Stimulus discrimination

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Attitudes

• Attitude learned tendency to respond
  consistently toward a given object

ffective
ehavioral
ognitive