CONSUMER MARKETS AND CONSUMER BUYER BEHAVIOR Buying behavior of final consumers

MODEL OF BUYER BEHAVIOR

Consumer buying behavior: •  Buying behavior of final consumers •  Purchase goods and services for personal consumption

Consumer market: •  All individuals and households •  Buy or acquire goods and services for consumption

INFLUENCE OF SOCIAL SCIENCE ON BUYER BEHAVIOR STUDIES

• Economics: Human is a rational buyer who wants to take maximum utility out of fixed/minimum price. • Psychology: Acc. To psychology any human activity is directed towards meeting certain needs. ( maslow`s Need Hierarchy) • Sociology & anthropology: Effect of reference group, society, role in society, etc.

BUYING  BEHAVIOR  MODEL The  Economic  Model:    A  man  divide  his  fixed  income  in  a  certain  raConal  way.  

 

Learning  model:    Behavior  can  be  manipulated  by  the  drives,  sCmuli  etc.  

 

PsychoanalyCcal  model:    Consumer  has  the  set  of  deep  rooted  moCves  that  drives  him  to  purchase  or  not  to  purchase  

BUYING  BEHAVIOR  MODEL • Nicosia Model: This Model establish the link between consumer and the firm.

v  Advertising message of the firm influence the predisposition of the consumer

v  The consumer develops the attitude for the product v  Search for the information v  If all these activities have positive impact, purchase the

product.

NICOSIA MODEL:

Advertise from firm

I Consumer

Search &

Evaluate

Act of Purchase

Use the item &

Feed back

1 2 3 4

All  the  ac)vi)es  are  divide  into  four  basic  fields:    it  has  two  subfields:  Firm  &  consumer    Adver)sing  message  by  the  firm,  Depending  upon  the  situa)on  consumer  develops  the  a?tude.  

CHARACTERISTICS  AFFECTING  CONSUMER  BEHAVIOR Psychological  Factors  PercepCon  is  the  process  by  which  people  select,  organize,  and  interpret  informaCon  to  form  a  meaningful  picture  of  the  world  from  three  perceptual  processes  

•  Selec)ve  aBen)on  •  Selec)ve  distor)on  •  Selec)ve  reten)on  

 

ARtudes  describe  a  person’s  relaCvely  consistent  evaluaCons,  feelings,  and  tendencies  toward  an  object  or  idea  

   

BUYING  MOTIVES

Product Motive (emotional & rational)

Patronage  moCves  

BUYING  HABITS Buying  habits  vary  according  to  the  type  of  goods  

 

FOUR TYPES OF BUYING DECISION BEHAVIOR

Based on: •  Degree of involvement •  Degree of perceived differences between brands •  Influences promotional strategies

Complex Highly involved, significant brand differences Example – computer

Dissonance-reducing Highly involved, little brand differences Example – carpeting

Habitual Low involvement, little brand differences Example – salt

Variety-seeking Low involvement, significant perceived brand differences Example – cookies

FOUR TYPES OF BUYING DECISION BEHAVIOR