Post on 12-Jan-2016
GOAL[Problem/Need]
A B C
1 2 1 2 1 2
1
CONSUMER BEHAVIOR; MKTG. 301
[Dr. Carter]
Basic “Cognitive Map” Decision Tree Consumer Decision Process Steps [Ch.8]
1. PROBLEM RECOGNITION
a. Mental Budget [Attention, Time, Money]
b. Roles, Location, Costs
c. Internal/External Stimuli
d. Table 8.1 Problem “Situation” Quadrant
2. INFORMATION SEARCH
a. Search for “Criteria” & “Weights”
b. Search for Alternatives “Solutions”
c. “Sources, Strategies, Amount”
d. “Awareness, Evoked, Consideration Sets”
3. PRE-PURCHASE ALTERNATIVE EVALUATION
a. Non-Compensatory Choice Models
b. Compensatory Choice Models
c. Combined & Heuristic Choice Models
d. Process Alternatives, Criteria, and Weights
Using Choice Models)
4. PURCHASE – Implementation/Deviation
5. POST-PURCHASE
-- Confirmation, Evaluation, Satisfaction/Dissatisfaction
Customer Decision-Making Process
PurchasesPurchasesPost-purchase experience
Post-purchase experience
Alternative evaluation
Alternative evaluation
Information search
Information search
Problem recognition
Problem recognition
Customer Decision-Making Process as aMarketing Management Strategy Map
PurchasesPurchases
Post-purchase experience
Post-purchase experience
Alternative evaluation
Alternative evaluation
Information search
Information search
Problem/Need recognition
Problem/Need recognition
MARKETING MANAGEMENT APPROACHES
Product Price Place Promotions
New Tech./Service Standard/Format
[DVDs, PDAs, etc.]
FreeOr
Purchase Terms
IntensiveFranchiseLocation
Awareness &RecognitionOrientation
Product PackagingOr
Service Materials
Cost &Content
Pricing Terms
Outlet Signage&
Web Distrib.
Recall Orientation With Detailed Info.[e.g., infomercial]
New or UniqueFeatures
Comparison& CompetitorPricing Terms
Exclusive Locale& Selective
In-Store Stocking
ComparativeAppeals
Scanner Labels&
Convenient Handling
CreditAvailability
Web/Phone Purchase Options& Self Checkout
Point of PurchaseDisplays &
Coupons/Promotions
Instructions& Help Services
Money Back Returns &
Discounted FuturePurchases
In-StoreUsage Training
& Services
Ongoing Communication
[Web, 800#, etc.]
PurchasesPurchases
Post-purchase experience
Post-purchase experience
Alternative evaluation
Alternative evaluation
Information search
Information search
Problem/Need recognition
Problem/Need recognition
Customer Decision-Making Process as aCognitive Digital Business Model Map
*Social Nets (MySpace & Facebook)
*Podcasts (iPod; Podcast.net, etc.)
*Google *Yahoo *Bing
*E-Tailers Priceline.com; Amazon.com
*Online – Paypal
*In-Store -- Mapquest
*eBay
*Onlinesurveys.com
THE CUSTOMER DECISION PROCESS AS “GUMBALL MACHINE”
[Carter’s View]
Problem/Need Recognition
Information Search
Evaluation of Alternatives
Purchase
The MEANING of “COGNITION”
• Descartes Cogito (1637) – “I think therefore I am.”
• Brain – nervous system organ (“signals”)
• Mind – the brain’s thought property (“sense”)
• Cognition – the inner world thought process that creates outer world experiences (“choice”)
• Consciousness – awareness of cognition and responsibility for choices (“ethics”)
“CONSUMER COGNITION”
• Economic Man – Material resource choices (property, scarcity, allocate, exchange, gain)
• Consumer/Purchase Decision Process – Stages of rational/emotional consideration that result in economic market choices for need/want.
• Consumer Decision Support Systems (CDSS) – information technology devices, networks, and applications that aid market choice processes
• Digital Man – Information resource choices (content, abundance, combine, interact, grow)
• Digital Cognition – electronic presence capable of autonomous choice (“intelligent agents”)
The MODES of “COGNITION”
• David Hume (1700s) – Philosophy & Science
~ “Human Understanding” is a mixture of logical purpose and emotional passion
(a) Logic – “Intellectualism”
(b) Emotion – “Sentimentalism”
The MODES of “COGNITION”
• Herbert Simon (1940s - Present)
– Cognitive Psychology, Economics, and
Organizational Management
(a) Decision Tree
~ Rational Mind “rationalizes” (semi-logic)
(b) Choice Options
~ Emotional Mind “satisfices” (quasi-feeling)
The MODES of “COGNITION”
• Nicholas Negoponte (“Being Digital”, 1995) – Computer Science & Cognitive Psychology
~ “Digital Being” is created from bytes
~ “Human Being” is created from atoms
(a) Cognition is a Thinking Being
(b) Computer is a Thinking Machine
(c) Conscious Network is a Thinking Presence
-- intelligent content, artificial life, virtual world