340 Lamb-JW 5 Consumer Beh

7/31/2019 340 Lamb-JW 5 Consumer Beh

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Key Concepts


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Consumer Behavior

ConsumerBehavior

Processesa consumer uses to

make purchase decisions, as

well as to use and dispose ofpurchased goods or services;

also includes factors that

influence purchase decisions

and the product use.


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Part One: Understanding the Cultural

Influences on

Consumer Buying Decisions

Identify and understand the culturalfactors that affect consumer

buying decisions


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Factors Influencing Buying Decisions

SocialFactors

Individual

Factors

Psycho-

logicalFactors

CulturalFactors CONSUMERDECISION-MAKING

PROCESS

BUY /DONT BUY


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Culture

Culture

Set of values, norms,

attitudes, and other

meaningful symbols that

shape human behavior and

the artifacts, or products, of

that behavior as they are

transmitted from one

generation to the next.


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Components of Culture

Myths

Language

Values

Customs

Rituals

Laws

Material artifacts


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Culture is. . .

Learned

Functional

Pervasive

Dynamic


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Value

Value Enduring beliefthat a

specific mode of conduct is

personally or socially

preferable to another

mode of conduct.


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Core American Values

Success

Materialism

Freedom

Progress

Youth

Capitalism


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Subculture

SubcultureA homogeneous group

of people who shareelements of the overall

culture as well as unique

elements of their own

group.


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Social Class

SocialClass

A group of people in a society

who are considered nearly

equal in status orcommunity esteem, who

regularly socialize among

themselvesboth formally and

informally, and who sharebehavioral norms.


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Social Class Measurements

Wealth

Other Variables

Income

Education

Occupation


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Social Class and Education


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The Impact of Social Class

on Marketing

Indicates which

medium to use for

communication

Helps determine the

best distribution for

products


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Cultural Factors


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Social Influences on


Identify and understand thesocial factorsthat affect consumer buying

decisions


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Social Influences

ReferenceGroups

OpinionLeaders

FamilyMembers


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Reference Group

A group in society that

influences an individuals

purchasing behavior.

Reference Group


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Reference Groups

ReferenceGroups

Direct

Indirect

Primary

Secondary

Aspirational

Nonaspirational


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Influences of Reference Groups

They serve as information sources andinfluence perceptions.

They affect an individuals aspiration levels.

Their norms either constrain

or stimulate consumer behavior.


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Opinion Leaders

An individual who influences

the opinion of others.

Opinion Leaders


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Opinion Leaders

Teenagers

Movie stars

Sports figures

Celebrities

Marketers are looking to Web logs, or blogs, to findopinion leaders


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Family

Initiators

Influencers

Decision Makers

Purchasers

Consumers

Purchase Process Roles in the Family


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Relationships among Purchasers and

Consumers in the Family


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Social FactorsRe-cap

OpinionLeaders

People You Know

Socialization Process

Family

Celebrities

Initiators Decision Makers Consumers

Influencers Purchasers

ReferenceGroups

Information sourcesAffect aspiration

levels

Constrain orstimulate

consumer behavior


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Individual Influences on


Identify and understand the individualfactorsthat affect consumer buyingdecisions


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Individual Influences

GenderAge

Life Cycle

PersonalitySelf-Concept

Lifestyle


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Psychological Influences on


Identify and understand the psychologicalfactorsthat affect consumer buyingdecisions


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Psychological Influences

Perception

Motivation

Learning

Beliefs & Attitudes


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Perception

Process by which people select,

organize, and interpret stimuliinto ameaningful and coherent picture.

Perception


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Perception

SelectiveExposure SelectiveDistortion

SelectiveRetention


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Perception

SelectiveExposure

SelectiveDistortion

SelectiveRetention

Consumer notices certainstimuliand ignores others

Consumer changesor distortsinformationthat conflicts

with feelings or beliefs

Consumer remembers only

that information thatsupportspersonal beliefs


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Marketing Implications

of Perception

Important attributes Price

Brand names

Quality and reliability

Threshold level of perception

Product or repositioning changes

Foreign consumer perception


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Motivation

A method of classifying human

needs and motivationsinto five

categories in ascending order of

importance.

Maslows

Hierarchy

of Needs


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Maslows Hierarchy of Needs


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Types of Learning

Experiential

Conceptual

An experience changesbehavior

Not learned through directexperience


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Beliefs and Attitudes

LO7

Belief

Attitude

An organized pattern of

knowledgethat an individual

holds as true about his or herworld.

A learned tendency to

respond consistentlytoward a

given object.


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Changing Attitudes

Change beliefsabout the brands attributes

Change the relative importanceof these beliefs

Add newbeliefs


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Psychological FactorsRe-cap

Learning Experiential Conceptual

Selective ExposurePerception

Selective Retention Selective Exposure

NeedsMotivation

Psychological EsteemSafety Social Esteem

Beliefs &Attitudes

ChangingBeliefs about

Attributes

ChangingImportance of

Beliefs

AddingNew Beliefs


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Part Two: Understanding

Consumer Behavior

Consumerbehavior

consumers make

purchase decisions

consumers use anddispose of product

= HOW


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The Consumer

Decision-Making Process

The componentsof the consumer decision-makingprocess


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Consumer


A five-step process usedby consumers when

buying goods or services.

ConsumerDecision-Making

Process


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Consumer


PostpurchaseBehavior

Purchase

Evaluationof Alternatives

Information Search

Need Recognition

Cultural, Social,Individual andPsychological

Factors

affectall steps


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Need Recognition

Result of an imbalance betweenactual and desired states.

NeedRecognition


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Need Recognition

Marketing helps consumers recognizean imbalance between

present status and preferred state.

PresentStatus

Preferred State


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Stimulus

Any unit of input affecting

one or more of the five senses:

sight

smell

taste

touchhearing

Stimulus


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Recognition of

Unfulfilled Wants

When a current product

isnt performing properly

When the consumer isrunning out of a product

When another product seemssuperior to the one currently used


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Information Search

Internal Information Search

Recall information in memory

External Information search

Seek information in outside

environment Nonmarketing controlled Marketing controlled


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External Information

Searches Need MoreInformation

More RiskLess knowledge

Less product experienceHigh level of interestLack of confidence

Less RiskMore knowledge

More product experienceLow level of interest

Confidence in decision

Need LessInformation


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Evaluation of Alternatives

and PurchaseEvoked Set

Purchase!

Analyze productattributes

Rank attributes byimportance

Use cutoff criteria


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Cognitive Dissonance

CognitiveDissonance

Inner tension that a

consumer experiences after

recognizing an

inconsistency between

behavior and values or

opinions.


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Postpurchase BehaviorConsumers can reduce dissonance by:

Seeking information that reinforces positiveideas about the purchase

Avoiding information that contradicts thepurchase decision

Revoking the original decision by returningthe product

Marketing can minimize through:Effective CommunicationFollow-up

GuaranteesWarranties


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and Consumer Involvement

Identify the types of consumer buyingdecisions and discuss the significance

a of consumer involvement


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and Consumer Involvement

MoreInvolvement

LessInvolvement

RoutineResponseBehavior

LimitedDecisionMaking

ExtensiveDecisionMaking


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Five Factors

Influencing Decisions1. Level of consumer involvement

2. Length of time to make decision

3. Cost of good or service

4. Degree of information search

5. Number of alternatives considered


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Continuum of Consumer

Buying Decisions


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Routine Response Behavior

Little involvement in selection process

Frequently purchased low cost goods

May stick with one brand

Buy first/evaluate later

Quick decision


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Limited Decision Making

Low levels of

involvement Low to moderate cost

goods

Evaluation of a few

alternative brands

Short to moderate time


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Extensive Decision Making

High levels of involvement

High cost goods

Evaluation of many brands

Long time to decide

May experience cognitive

dissonance


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Factors Determining the Level

of Consumer Involvement

Situation

Social Visibility

Interest

Perceived Risk ofNegative Consequences

Previous Experience


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Marketing Implications

of InvolvementHigh-involvementpurchases require:

Extensive and informativepromotion to target market

Low-involvement

purchases require:

In-store promotion,eye-catching packagedesign, and good displays.

Coupons, cents-off,2-for-1 offers

340 Lamb-JW 5 Consumer Beh

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