Consumer Behavior Overview

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Questions and Answers

What is Consumer Buying Behavior?

Marketing strategies used by companies

Buying behavior of retailers

Buying behavior of final consumers (correct)

Behavior of suppliers in the market

What is the central question for marketers regarding consumer behavior?

How do consumers respond to various marketing efforts?

Culture is the most basic cause of a person's wants and ______.

behavior

Which of the following is NOT a factor influencing consumer behavior?

Retailer Signup and view all the answers

What are subcultures?

Groups of people with shared value systems based on common life experiences. Signup and view all the answers

Which group is considered the most important social factor in consumer behavior?

Family Signup and view all the answers

Society's relatively permanent and ordered divisions whose members share similar values are known as ______.

social classes Signup and view all the answers

Motivation is a psychological factor affecting consumer behavior.

True Signup and view all the answers

What does 'VALS' stand for in consumer behavior studies?

Values and Lifestyles Signup and view all the answers

What does Consumer Buying Behavior refer to?

The buying behavior of final consumers - individuals & households who buy goods and services for personal consumption. Signup and view all the answers

Which of the following factors influence consumer behavior? (Select all that apply)

Personal Signup and view all the answers

Culture is the most basic cause of a person's wants and behavior.

True Signup and view all the answers

What are subcultures?

Groups of people with shared value systems based on common life experiences. Signup and view all the answers

Which group is NOT mentioned as a subculture?

Millennials Signup and view all the answers

Match the following terms with their definitions:

Social Class = Society’s relatively permanent & ordered divisions Family = Most important influence on consumer behavior Consumer Behavior = Behavior of individuals and households who buy goods and services Signup and view all the answers

What are the roles that family members can play in buying decisions?

Influencer, buyer, user. Signup and view all the answers

Which of the following is a psychological factor affecting consumer behavior?

Beliefs Signup and view all the answers

Children have no influence on family buying decisions.

False Signup and view all the answers

Study Notes

Consumer Behavior

Consumer Buying Behavior refers to consumers buying goods and services for personal use
It's the study of individuals and households
The core focus for marketers is to understand how consumers respond to marketing efforts
Consumer Market represents all consumers

Buyer Behavior Model

Marketing & Other Stimuli: Product, Price, Place, Promotion, Economic, Technological, Political, Cultural
Buyer's Black Box: Buyer Characteristics (cultural, social, personal, psychological) and Buyer Decision Process
Buyer Responses: Product Choice, Brand Choice, Dealer Choice, Purchase Timing, Purchase Amount

Factors Influencing Consumer Behavior

Cultural: Culture is the foundation of a person's wants and behavior
Cultural Factors: Culture, Subculture, Social Class
Social: Family, Reference Groups, Roles and status, Social Networks
Personal: Age and Life-Cycle Stage, Occupation, Economic Situation, Lifestyle, Personality and Self-Concept
Psychological: Motivation, Perception, Learning, Beliefs and Attitudes

Cultural Factors

Culture: The learned values, perceptions, wants, and behaviors of a society
Subculture: Groups within a society sharing common values and experiences, such as Hispanic consumers, African American consumers, Asian American consumers and mature consumers
Social Class: It’s a relatively permanent and ordered division in society defined by shared values, interests, behaviors. It's measured by occupation, income, education, wealth, and other variables.

Family: A major influence on consumer behavior, husband, wife, and children often influence family buying decisions
Reference Groups: Groups that a person identifies with or aspires to, directly or indirectly influencing his or her attitude and behavior

Personal Factors

Age and Life-Cycle: As people age, their needs and wants change
Occupation: Occupation can influence a person's buying patterns
Economic Situation: A person's economic situation influences their buying decisions.
Lifestyle: Lifestyle is a person's pattern of living, as expressed in their activities, interests, and opinions.
Personality and Self-Concept: Personality is a person's unique psychological characteristics. Self-concept refers to a person's view of themselves.

Psychological Factors

Motivation: The internal drives that push people to satisfy needs
Perception: The process of selecting, organizing, and interpreting information from the environment
Learning: The changes in behavior that arise from experience
Beliefs and Attitudes: Beliefs are descriptive thoughts that a person holds about something. Attitudes are a person's enduring evaluation of an object or idea.

VALS (Values and Lifestyles) Framework

It's a psychographic segmentation tool for understanding consumer behavior
It analyzes consumers’ values, attitudes, and lifestyles
It's used to create targeted marketing campaigns
It classifies consumers into eight groups based on their resources (money, education, etc.) and their motivations
Actualizers: high resources and high innovation, idealistic and achievement-oriented
Fulfilleds: high resources and high innovation, mature, satisfied, and reflective customers
Achievers: High resources and high innovation, successful, career-oriented, image consciousness
Experiencers: high resources and high innovation, young, impulsive, and spontaneous consumers
Believers: low resources, low innovation, conservative, conventional, and traditional
Strivers: low resources, low innovation, imitative, and status-conscious.
Makers: low resources, low innovation, practical, self-sufficient, and traditional
Strugglers: low resources, low innovation, focus on meeting basic needs and are often distressed.

Consumer Buying Behavior

Consumer Buying Behavior refers to the buying behavior of final consumers which are individuals and households who buy goods and services for personal consumption.
Consumers make up the consumer market
Marketers need to understand how consumers respond to marketing efforts

Model of Buyer Behavior

The buyer’s black box is the unobservable part of the model, which includes buyer characteristics and the buyer decision process.
Buyer response to marketing and other stimuli include: product choice, brand choice, dealer choice, purchase timing, and purchase amount.

Factors Influencing Consumer Behavior

Cultural Factors
- Most basic cause of a person’s wants and behaviors
- Culture: The set of values, perceptions, wants, and behaviors learned by a member of society
- Subculture: Groups of people with shared value systems based on common life experiences (includes Hispanics, African Americans, Asian Americans and Mature consumers)
- Social Class: Relatively permanent divisions within society that share similar values, interests, and behaviors. Measured by occupation, income, education, wealth, and other variables.
Social Factors
- Groups:
  - Membership Groups: Groups that a person belongs to
  - Reference Groups: Serve as points of comparison or reference in forming a person’s attitudes and behaviors
- Family - Most important group; Husband, wife, kids
- Roles and Status - Influencers, buyers, users
  - Children influence family buying decisions.
Personal Factors
- Age and Life-Cycle Stage
- Occupation
- Economic Situation: Spendable income, savings, and assets.
- Lifestyle: Person’s pattern or living as expressed in their activities, interests, and opinions.
- Personality & Self-Concept: Unique psychological characteristics that distinguish a person or group
Psychological Factors
- Motivation: A need that is sufficiently pressing to direct the person to seek satisfaction.
- Perception: The process by which people select, organize, and interpret information to form a meaningful picture of the world.
- Learning: Changes in an individual’s behavior arising from experience.
- Beliefs: Descriptive thoughts that a person holds about something.
- Attitudes: A person’s consistently favorable or unfavorable evaluations, feelings, and tendencies toward an object or idea.

SRI Values and Lifestyles (VALS)

Measures psychological, sociological, and anthropological factors.
Identifies eight consumer segments.
High Resources: Actualizers, Fulfilleds, Achievers, Experiencers
Low Resources: Believers, Strivers, Makers, Strugglers

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Description

This quiz explores the fundamentals of consumer buying behavior, focusing on how individuals and households engage with goods and services. It covers the Buyer Behavior Model and factors influencing consumer decisions, including cultural, social, personal, and psychological factors. Understanding these dynamics is crucial for effective marketing strategies.