Learning Objectives chapter 4 1. Explain why marketing managers should understand consumer behavior. 2. Analyze the components of the consumer decision-making process. 3. Explain the consumer’s postpurchase evaluation process.
Learning Objectives (continued) chapter 4 4. Identify the types of consumer buying decisions and discuss the significance of consumer involvement. 5. Identify and understand the cultural factors that affect consumer buying decisions.
Learning Objectives (continued) chapter 4 6. Identify and understand the social factors that affect consumer buying decisions. 7. Identify and understand the individual factors that affect consumer buying decisions. 8. Identify and understand the psychological factors that affect consumer buying decisions.
Consumer Behavior Processes a consumer uses to make purchase decisions, as well as to use and dispose of purchased goods or services; also includes factors that influence purchase decisions and the product use. 1
Need Recognition 2 Internal Stimuli and External Stimuli Present Status Preferred State Marketing helps consumers recognize an imbalance between present status and preferred state
Want Recognition of an unfulfilled need and a product (or attribute or feature) that will satisfy it. 2
Information Searches Process of recalling past information stored in the memory. Internal Process of seeking information in the outside environment. External 2
External Information Searches 2 Need More Information More Risk Less knowledge Less product experience High level of interest Less Risk More knowledge More product experience Low level of interest Need Less Information
Evoked Set Group of brands, resulting from an information search, from which a buyer can choose. 2
Evaluation of Alternatives 2 Evoked Set Purchase! Evaluation of Products Analyze product attributes Use cutoff criteria Rank attributes by importance
Cognitive Dissonance Inner tension that a consumer experiences after recognizing an inconsistency between behavior and values or opinions. 3
Postpurchase Behavior 3 Can minimize through: Effective Communication Follow-up Guarantees Warranties Marketing Cognitive Dissonance ? Did I make a good decision? Did I buy the right product? Did I get a good value?
Learning Objective Identify the types of consumer buying decisions and discuss the significance of consumer involvement. 4
Types of Consumer Buying Decisions More Involvement Less Involvement Routine Response Behavior Limited Decision Making Extensive Decision Making 4
Level of Involvement 4 Situation Social Visibility Interest Perceived Risk of Negative Consequences Previous Experience Factors Determining Level of Involvement
Factors Influencing Buying Decisions 4 Social Factors Individual Factors Psycho- logical Factors Cultural Factors CONSUMER DECISION- MAKING PROCESS BUY / DON’T BUY
Learning Objective Identify and understand the cultural factors that affect consumer buying decisions. 5
Culture Set of values norms, attitudes, and other meaningful symbols that shape human behavior and the artifacts, or products, of that behavior as they are transmitted from one generation to the next. 5
Cultural Influences on Buying Decisions 5 Values Language Myths Customs Rituals Laws Components of American Culture Material Artifacts
Subculture A homogeneous group of people who share elements of the overall culture as well as unique elements of their own group. 5
Social Class A group of people in a society who are considered nearly equal in status or community esteem, who regularly socialize among themselves both formally and informally, and who share behavioral norms. 5
Learning Objective 6 Identify and understand the social factors that affect consumer buying decisions.
Social Influences Reference Groups Opinion Leaders Family Members Social Influences on Buying Decisions 6
Perception 8 Selective Exposure Selective Distortion Consumer notices certain stimuli and ignores others Consumer changes or distorts information that conflicts with feelings or beliefs Selective Retention Consumer remembers only that information that supports personal beliefs