Chapter 5: Consumer Markets and Buyer Behavior PDF

Chapter 5 Consumer Markets and Buyer Behavior 1 Consumer Markets and Buyer Behavior Consumer buyer behavior is the buying behavior of final consumers—individuals and households that buy goods and services for personal consumption. Consumer markets are made up of all th...

Chapter 5 Consumer Markets and Buyer Behavior 1 Consumer Markets and Buyer Behavior Consumer buyer behavior is the buying behavior of final consumers—individuals and households that buy goods and services for personal consumption. Consumer markets are made up of all the individuals and households that buy or acquire goods and services for personal consumption. 2 Consumer Markets and Buyer Behavior Why we buy what we buy - YouTube Smarter Supermarket Shopping with Paco Underhill 3 - YouTube Characteristics Affecting Consumer Behavior 4 Characteristics Affecting Consumer Behavior Cultural Factors Culture is the set of basic values, perceptions, wants, and behaviors learned by a member of society from family and other important institutions. 5 Characteristics Affecting Consumer Behavior Cultural Factors Subcultures are groups of people within a culture with shared value systems based on common life experiences and situations. 6 Characteristics Affecting Consumer Behavior Cultural Factors Social classes are society’s relatively permanent and ordered divisions whose members share similar values, interests, and behaviors. Measured as a combination of occupation, income, education, wealth, and other variables 7 India’s SEC Further readin g 8 Characteristics Affecting Consumer Behavior* Social Factors Groups and Social Networks Membership Aspirational Reference Groups Groups Groups Groups Groups an Groups with direct individual that form influence wishes to a and to belong to compariso which a n or person reference belongs in forming attitudes or behavior 9  Characteristics Affecting Consumer Behavior* Groups and Social Networks Online social networks Buzz marketing Social media sites Virtual worlds Word of mouth Opinion leaders (217) Earthkeepers ® Edition Returns | Timberland - YouTube 10 Characteristics Affecting Consumer Behavior* Social Factors Family is the most important consumer-buying organization in society. Role and status can be defined by a person’s position in a group. (217) #AbHogaMOMTest | Theme Film | Babyhug - YouTube 11 Characteristics Affecting Consumer Behavior Personal Factors Age and life-cycle stage Occupation affects the goods and services bought by consumers. Economic situations include trends in: Spendin Personal Interest Savings g income rates (217) Cat phones | Made Mighty - YouTube 12  Characteristics Affecting Consumer Behavior Personal Factors Lifestyle is a person’s pattern of living as expressed in his or her psychographics. What categories of products seem to be targeted to consumer’s lifestyles? 13  Characteristics Affecting Consumer Behavior Personal Factors Personality refers to the unique psychological characteristics that distinguish a person or group. 14  (215) Bajaj Dominar 400 ¦ Dominate the night – YouTube (215) Bajaj Dominar - Go Hyperriding TVC | Bajaj Dominar – YouTube (215) #DominarPolarOdyssey – Don’t Hold Back | Bajaj Dominar – YouTube (215) The Dominar Manifesto – Don’t Hold Back | Bajaj Dominar – YouTube 15 Developing Marketing Information Psychological Factors Motivation Perception Learning Beliefs and attitudes 21  Characteristics Affecting Consumer Behavior Psychological Factors A motive (or drive) is a need that is sufficiently pressing to direct the person to seek satisfaction of the need. Motivation research refers to qualitative research designed to probe consumers’ hidden, subconscious motivations. 22 Characteristics Affecting Consumer Behavior Psychological Factors Perception is the process by which people select, organize, and interpret information to form a meaningful picture of the world. Perceptual Processes Selectiv Selectiv Selectiv e e e attentio distortio retentio n n n 24 Characteristics Affecting Consumer Behavior Psychological Factors Selective attention is the tendency for people to screen out most of the information to which they are exposed. Selective distortion is the tendency for people to interpret information in a way that will support what they already believe. Selective retention is the tendency to remember good points made about a brand 25 Characteristics Affecting Consumer Behavior Psychological Factors Learning is the change in an individual’s behavior arising from experience and occurs through the interplay of: Drive Stimul Cues s i Responses Reinforcemen t 26 Characteristics Affecting Consumer Behavior Psychological Factors A belief is a descriptive thought that a person has about something based on: knowledge opinion faith An attitude describes a person’s relatively consistent evaluations, feelings, and tendencies toward an object or idea. Science of Shopping: Cameras and Software that Tra ck our Shopping Behavior - Science Nation - YouTube 27 Types of Buying Decision Behavior Complex buying behavior Dissonance-reducing buying behavior Habitual buying behavior Variety-seeking buying behavior 28 Types of Buying Decision Behavior 29 Figure 5.5 The Buyer Decision Process 30 The Buyer Decision Process Need Recognition Need recognition is the first stage of the buyer decision process, in which the consumer recognizes a problem or need triggered by: Internal stimuli External stimuli 31 The Buyer Decision Process Information Search Information search is the stage of the buyer decision process in which the consumer is motivated to search for more information. Sources of information: Personal sources Commercial sources Public sources Experiential sources 32 The Buyer Decision Process Evaluation of Alternatives Alternative evaluation is the stage of the buyer decision process in which the consumer uses information to evaluate alternative brands in the choice set. 33 The Buyer Decision Process Purchase Decision Purchase decision is the buyer’s decision about which brand to purchase. The purchase intention may not be the purchase decision due to: Attitudes of others Unexpected situational factors 34 The Buyer Decision Process Postpurchase Behavior Postpurchase behavior is the stage of the buyer decision process in which consumers take further action after purchase, based on their satisfaction or dissatisfaction. 35 The Buyer Decision Process Postpurchase Behavior Cognitive dissonance is buyer discomfort caused by postpurchase conflict. 36