Consumer Behaviors PDF

A Model of Influences on Consumer Behavior Chapter 5 Economic What are theSocial...

A Model of Influences on Consumer Behavior Chapter 5 Economic What are theSocial Psychological factors thatCulturemay Purchase needs Economy of influence variables Motivation your influence decision of Family Ethnicity International situation Purchase purchase Perception reason Final Consumers and Their Buying Convenience upgrading Learning your current phone? Social class Reference Time Surroundings Efficiency Attitude groups Behavior Dependability Trust Lifestyle Consumer decision process Person does or does not purchase (response) 1 2 1 2 Economic Economic needs needs Economic Needs Economy of purchase Income affects needs. Economy of purchase Convenience Convenience Efficiency Efficiency Decide to buy Dependability Income distribution varies. Dependability Economic based on Economic Buyers Needs Ability to Satisfy Economic Needs Economy of Efficiency in Dependability Improvement purchase or operation or Convenience in use of earnings use use 4 3 4  Economic Income Affects Consumer Needs needs Economy of purchase Convenience Economic Efficiency Dependability needs affect many buying decisions—but they’re not the whole story. Economic needs are concerned with making the best use of a consumer’s time and money. For some consumers, that means getting a good deal on a breakfast sandwich. While the appetizing appearance of the Breakfast Wrap Chicken Sausage is important, this ad grabs the consumer’s attention by promising savings. For other consumers, it is the convenience of skipping the line and getting coffee quicker at Starbucks. By sending personalized messages to users of My Starbucks Rewards that promise no lines and greater convenience via in-app purchases, Starbucks intends to appeal to busy individuals on the go. What other products can you think of that appeal to economic needs? See the list of types of economic needs above. 6 5 6 Psychological Influences Psychological The PSSP Hierarchy of Needs Psychological within an individual variables Motivation (Exhibit 5-4) variables Motivation Perception Societal Perception Learning Learning & Global Needs Attitude Needs Attitude Trust Trust Lifestyle Lifestyle Personal Needs Wants Social Needs Drives Safety Needs Consumers seek benefits to match needs and wants! Physiological Needs 7 7 8  Interactive Exercise: Needs Need Perception Psychological variables Motivation Perception Learning Attitude Trust Lifestyle 9 10 9 10 Psychological Psychological The Learning Process variables Motivation variables Motivation Perception Perception Learning Attitudes Relate to Buying Learning Attitude Attitude Trust Trust Drive Lifestyle Lifestyle “Green” Attitude: A attitudes and Cues Point of View Key Issues beliefs Reinforcement Building Changing Consumer Negative Response Trust Attitudes Meeting Expectations 11 Is Important 12 11 12  Psychological Psychological Psychographics Focus on Activities, variables Motivation Lifestyle Dimensions variables Motivation Perception Perception Interests, and Opinions Learning Attitude Dimension Examples Learning Attitude Trust Trust Lifestyle Activities Work Vacation Surfing web Lifestyle Hobbies Entertainment Shopping Social events Club membership Sports Interests Family Community Food Activities Home Recreation Media Job Fashion Achievements Opinions Themselves Business Products Interests Social issues Economics Future Politics Education Culture Demographics Income Geographic area Occupation Age Ethnicity Family size Opinions Family life Dwelling Education cycle 13 14 13 14 5-16 Social Social influence influence Social Influences Family Social class Family Life Cycle Family Social class Reference Reference groups groups Family Life Cycle Acceptance of New Ideas by Youngsters Growing Singles Market Relocation for Teens Social Influences Empty Nesters Real Decision Maker 15 16 15 16  Family Life Cycle Social influence Middle-aged divorced Family Social class Checking Your Knowledge Reference without children groups Young divorced A travel and tour operator has announced luxury without children vacation packages to various destinations across Middle-aged married the globe. The package includes overnight stays at w/o children opulent resorts and services from posh spas. Young Young Middle- Middle-aged Which group is most likely to be the target Young single* married w/o married with aged married married w/o dependent Older married* Older unmarried* customer base for this tour operator? children* children* w/children* children* A. Teenagers B. Single parents C. Middle-aged married with children Young Middle-aged divorced (or Middle-aged divorced w/o D. Middle-aged married without dependent children divorced w/ single) w/ dependent children children children * Traditional E. Young-married with children family flow 17 17 18 Social Social influence influence Social Class Family Social class Other Social Influences Family Social class Reference Reference groups groups Reference Groups Opinion Leaders Type of Location of Occupation Education Housing Housing Social Media Income Is Not the Main Determinant! 19 20 19 20  Culture Culture and Ethnicity Ethnicity International Opportunities in Ethnic Markets Culture International Consumer Ethnic Groups Markets Behavior Stereotypes (left): Wells Fargo & Company; Middle: Procter & Gamble; (right): Kinlo 21 21 22 Purchase situation Cultural Issues in Marketing Purchase Situation Purchase reason Time Surroundings Stereotypes Are Purchase Time Physical Common and Reason Available Surroundings Misleading Customer Behavior Differs across International Markets 24 23 24  Consumer Decision Making How Stores Play to Your Senses to Get You to Spend Decision Stage Psychological Process Problem recognition Motivation Information search Perception Alternative evaluation Attitude formation Purchase decision Integration Postpurchase evaluation Learning 25 26 25 26 Ad: McDonald’s – Can I get Consumer Decision Making Uhhhhhhhh Decision Stage Psychological Process Need Recognition Motivation A difference between ideal state and actual state. A want is a felt need that is shaped by a person’s knowledge and personality. 27 28 7 27 28  Sources of Problem Recognition Consumer Motivation The way a consumer perceives a situation and Out of Stock Dissatisfaction New Needs becomes driven to resolve it will influence the or Wants remainder of the decision process. Related Product Market-Induced New Purchase Recognition Products 29 3011 29 30 Consumer Decision Making Internal Search Decision Stage Psychological Process Need Recognition Motivation Think about brands Quickly reduce options Information Search Perception Choice based on past experience Brand awareness and brand equity important 3114 32 31 32  External Search The Selective Perception Process Personal Selective exposure sources Selective perception Selective retention 33 34 33 34 Using Color to Focus Attention Consumer Decision Making Decision Stage Psychological Process Need Recognition Motivation Information Search Perception Alternative Evaluation Attitude Formation 35 3627 35 36  Evaluation of Alternatives All available brands Brand A Brand B Brand C Brand D Brand E Brand F Brand G Brand H Brand I Brand J Brand K Brand L Brand M Brand N Brand O Evoked Set of Brands Brand B Brand E Brand F Brand I Brand M 37 38 37 38 Two Forms of Evaluative Criteria Different Perspectives: Marketer’s View Evaluative Criteria Traction Too okay? pricy? Enough power? Objective Subjective Product is seen Price Style as a bundle of attributes or Warranty Appearance characteristics. Service Image 39 40 39 40  Different Perspectives: Consumer’s View How does it cut Will the neighbors Consumer Attitude be impressed with the taller grass? my lawn? How close can I Affective get to the shrubs? Is it going to be as fun to use later this summer? Cognitive Will it pull that Conative little trailer I saw Will I enjoy having at the store? more time for golf? Product Is Seen As A Set of Outcomes Functional Psychological 41 42 41 42 Which attitude sequence would be the most likely adopted by the ad to change consumers’ attitude towards the product? Attitude Sequence Cognitive  Affective  Conative Affective  Conative  Cognitive Conative  Cognitive  Affective 43 44 43 44  Which attitude sequence would be the most likely adopted by the ad to change Consumer Decision Making consumers’ attitude towards the product? Decision Stage Psychological Process Need Recognition Motivation Information Search Perception Alternative Evaluation Attitude Formation Purchase Decision Integration 45 46 45 46 Consumer Decision Making How Consumers Learn Decision Stage Psychological Process Need Recognition Motivation Thinking Conditioning Modeling Information Search Perception Intellectual Based on Based on evaluation conditioning emulation Alternative Evaluation Attitude Formation comparing through (copying) of attributes with association or respected Purchase Decision Integration values reinforcement examples Postpurchase Evaluation Learning 4741 48 47 48  Classical Conditioning Process Unconditioned Unconditioned stimulus response (grapes) (fresh and moist) Association develops through contiguity and repetition Conditioned Conditioned stimulus response (Lancôme moisturizer) (fresh and moist) 49 50 49 50 After-Purchase Experience Expanded Model of Consumer Behavior Marketing mixes Other stimuli After Person making Decisions Purchase Economic Psychological Social Purchase Experience needs variables influences Culture situation Consumer Decision Process Routinized response After- Need Purchase purchase awareness decision experience Problem solving Information search Identify alternatives Second Spread the Post-Purchase Set criteria Evaluate alternatives Thoughts Word Regret Postpone Decision Feedback based on experience 51 52 51 52  Limited or Extensive Problem Solving Continuum Problem Solving? High involvement Low involvement Infrequently purchased Frequently purchased Expensive Inexpensive High risk Little risk Much information Little information needed desired Routinized Limited Extensive Response Problem Problem Behavior Solving Solving Low involvement High involvement How do the stages of the consumer decision-making model differ with the three types of problem solving? 53 Rokas Tenys/Alamy Stock Photo 53 54 Limited or Why are we so attached to our things? Extensive Problem Solving? 55 56 55 56  Summary Factors influence consumer decision process. Stages of the consumer decision-making process model Primary psychological processes associated with each stages of the consumer decision- making model Three types of problem solving 57 57