Consumer markets and consumer buying behavior mmda
1. TMarkPromo | M.Aldana ‘14
Consumer Markets and ConsumerConsumer Markets and Consumer
Buying BehaviorBuying Behavior
2. 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
3. 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 doHow do
consumers respond to various marketing efforts theconsumers respond to various marketing efforts the
company might use?”company might use?”
4. Five Premises of Consumer BehaviorFive Premises of Consumer Behavior
Consumer behavior is purposeful and goal
oriented
The consumer has free choice
Consumer behavior is a process
Consumer behavior can be influenced
There is a need for consumer education
5. A Model of Consumer BehaviorA Model of Consumer Behavior
6. 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
9. Cultural FactorsCultural Factors
Culture 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
10. Cultural FactorsCultural Factors
Subcultures 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
11. Cultural FactorsCultural Factors
◦ Social classes are relatively permanent
and ordered divisions in a society
whose members share similar values,
interests, and behaviors
13. Consumer GroupsConsumer Groups
An individual’s attitudes and behavior are influenced
by many small groups
Types 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.
15. 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
16. 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
17. 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
18. Personal FactorsPersonal Factors
Age 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
21. Personal FactorsPersonal Factors
Lifestyle
◦ 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
22. Personal FactorsPersonal Factors
Personality 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
24. 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
25. ◦ 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
27. Psychological FactorsPsychological Factors
Perception
◦ 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
28. Psychological FactorsPsychological Factors
Learning 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
30. 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
31. 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
32. Evaluation of AlternativesEvaluation of Alternatives
Products are seen as bundles of product attributes
Customers rank attributes and form purchase
intentions
34. Post Purchase BehaviorPost Purchase Behavior
The 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