Buyer Behavior - Group & Situational Effect
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Transcript of Buyer Behavior - Group & Situational Effect
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Group & Situational Effect___Decision Making part 2___
Andrew - Nawel - Perry
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What are the external factors that influence our purchase ?
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What is the point of this presentation ?Are consumers rational ? Or are they influenced ?Marketers’ Roles :
⇒ Fulfill consumers Wants and Needs
⇒ Understand their Choices
⇒ Sell our product easily
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Situational Effect on
Consumer Behavior
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A consumption situation includes :- a Buyer
- a Seller
- a Product or Service
As well as other factors...
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A consumer will make different purchase depending on
⇒ The mood of the consumer
⇒ If the is consumer alone or not
⇒ If he is in a hurry or not
⇒ How he will use the product
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DAY RECONSTRUCTION METHODPeople’s mood increased gradually throughout the day and is punctuated by occasional anxiety, anger and frustration.
Activities such as watching tv or socializing make people happy
Activities such as commuting or housekeeping make them feel unhappy, annoyed and stressed
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The self-image A person’s self image is the idea, conception or mental image one has of oneselfIt will tend to influence what the he or she will buy. ⇒ Some consumers imitate the people they admire and may buy the same brands⇒ Others will buy different product depending on how they want people to see them.
(Eg: Guy on a date Vs with friends)
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Usage of the productConsumers make different purchase choices depending on how they plan to use it
(Eg : Shoes)
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The importance of
Time
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Time, one of our most important resource ● Time is an important factor in decision making ● It is an economical variable
⇒ We try to maximize satisfaction by dividing time between activities
⇒ Different Time Styles
⇒ Same perception of time poverty
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It is the subjective experience of the passage of time
● Five time perspectives metaphors :
⇒ Time is a pressure cooker (shopping is stressful)
⇒ Time is a map (research before buy)
⇒ Time is a mirror (loyal consumer)
⇒ Time is a river (spontaneous shoppers)
⇒ Time is a feast (variety seekers)
Psychological time
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Waiting Time Queuing theory is the mathematical study of waiting in line.
The experience when we wait has a big effect on our evaluations of what we get at the end of the wait.
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The Shopping Experience
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Physical environment Many environmental factors influence decision-makingMarketers have control over some of these, such as atmospherics
⇒ Wall colors
⇒ Smells
⇒ Sounds
⇒ Store layout
⇒ The number of consumers
( packed or empty store ?)
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Shopping orientation We segment people in term of their shopping orientation (ie, view of shopping)
Why people shop ?
- Social experience- Sharing of common interest - Instant Status - The thrill of the Hunt
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E-Commerce: Clicks Versus Bricks
Showroomingvisiting a store to examine a product before buying it
E-Commerce will replace traditional retailing
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Benefits● Shop 24 Hours● Less traveling● Lower Prices● More choices of product● Receive relevant information● Fast delivery● Virtual auctions
E-CommerceLimitations
● Lack of Security● Fraud● Can’t touch items● Expensive to order & then return● Exact colors may not reproduce
on computer monitors
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Retailing as Theater Landscaping themes
Association with Images of nature, earth, and animals
Marketscape ThemesAssociation with man-man made places
Cyberspace ThemesImages of information & communication technology
Mindscape ThemesAbstract ideas & concepts, fantasy, and spiritual overtones
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Store ImageStore have “Personalities”● Location● Merchandise suitability● Knowledge & congeniality of sale staff
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Atmospherics“Conscious designing of space and various dimensions to evoke certain effects in buyers”
-- M.R. Solomon p. 363--
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In-store Decision MakingMental budgetsTypically composed of both an itemized portion
Mobile shopping appsImaginative new ways for retailers to guide shoppers
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Unplanned buyingrecognize a new need while in a store
Spontaneous ShoppingImpulse buyingexperience an urge that you can’t resist
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Interaction Styles● Nonassertive person (non-social)● Assertive person (stand-out)● Aggressive person (rude)
Salesperson role● Knows Customers traits● And preferences better than an
inexperienced salesperson
Dyadic encountertwo parties (buyer and seller) reach an
agreement about roles of each participant
The salesperson: A lead Role in the Play
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The Social Power ___ of ___
Group
Social PowerThe capacity to alter others’ action
6 types● Reference● Information● Legitimate● Expert● Reward ● Coercive
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Reference PowerYou admire a person or a group,then you try to copy their behaviors
Information PowerThey know things others love to knowThey have Information Power!
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Legitimate PowerPositional or Authoritical Power
Expert PowerYou follow his recommendations because he’s the expert!
Police Soldier Professors
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Reward PowerProvide positive reinforcement
Coercive PowerInfluence by social or physical intimidation
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Informational“You use the brand because it has good reviews from your friends”
Utilitarian “You use the brand to satisfy your family’s expectations of you”
Value-Expensive“You think using the brand will enhance your image in those girls’ eyes”
Reference GroupWho can significantly influence people’s evaluations, aspirations; or behaviors
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Name letter effectAll things equal, we like people who share our names or even initials better than those who don’t
Platypus
My name is Perry, so I will like...
Pizza Hut
Peter Pennsylvania
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Normative InfluenceReference groups that help set & enforce fundamental standards of conduct
Comparative InfluenceReference groups that influence decisions about specific brands & activities
Parents may influence you in attitudes towards marriage or future career
Your sorority sisters may influence your decisions on newest clothes brands
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“Brandfest”Brand-sponsored events intended to promote strong
brand loyalty among customers
Who’s wanna join Apple’s community?
“Collective Value Creation” Brand community members work together to develop better ways to use & customize products
Brand CommunityGroup of consumers who share a set of social relationships based on usage or interest in products
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Consumer TribeGroup of people who share a lifestyle and can identify with each other because of a shared allegiance to an activity or a product.
Consumer Tribe: specific product - Brand community: specific brand
Tribal Marketing StrategyLink a product’s identity to an activity-based “tribe”
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Membership Reference GroupPeople you actually know
PropinquityCloser physical distance - closer relationship
Mere ExposureThe more you see them - the more you like them
Group cohesivenessAs group’s value to you increase - the more they can influence your decision
Aspirational Reference GroupYou don’t know them but you admire them anyway!
Application Brand ambassador
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DeindividualizationWhen individual identities become submerged within a group
Home shopping partyWhen a brand representative make a sales presentation to a group gathering at a member’s house - direct selling
Group ShoppingWe get away with more when we do it in a group
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Cultural PressuresDifferent cultures have different level of conformity
Fear of deviance“They fear of being boycotted if they do something different”
CommitmentThe more you commit - the more you conform
Group unanimity, size & expertiseLarger & more powerful group has more conformity
Susceptibility to interpersonal influencePeople’s need to have others think highly of them
ConformityPeople change in beliefs / actions to react to group pressure
NORM - informal rule, govern what is right or wrong
WHAT INFLUENCE YOUR CONFORMITY?
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Thank you
~~~ for ~~~listening