Phillip Consumer Decision Making
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Transcript of Phillip Consumer Decision Making
Philipp HackerIM 2nd Year
Consumer Decision Making
Source: Kotler, P. & Armstrong, G., Principles of Marketing, 13e., 2010, New Jersey, Pearson
Buyer decision processes models
Economic models largely quantitative based on assumptions of rationality
Psychological models concentrate on psychological and cognitive
processes qualitative rather than quantitative build on sociological factors (cultural and family
influences)
Consumer behavior models practical models used by marketers blend of both, economic and psychological models.
Types of Buying Decisions
Consumer Decision-Making Process
5-step process
Example: Phone
Consumer behavior model
Need Recognition
= imbalance between actual and desired states
External Stimulus Internal Stimulus
External Stimulus Internal Stimulus
NEED vs. WANT
Needs = status of deprivationMaslow’s pyramid
Wants = needs influenced by culture or individual personalityPhilipp needs food but wants to eat a Schnitzel (not
GoyDeep)
When human wants are encouraged by buying power, wants become demands.
Extra note: Sometimes are needs also divided into Functional and Psychological. Functional: focusing on the performance of a product or service (Example: 400฿ Phone)Psychological: focusing to the personal satisfaction (Example: Iphone)
Mama, Papa yak
gin kanom
WAAAAW
What humans need: Maslow’s pyramid
Image copied from: oaks.nvg.org
Information Search
There are two ways available to search for information:
Internal information search
External information search
Evaluation of Alternatives Determinant attributes = product/service features that are important to
buyer and other choices are perceived to differ Attribute sets = sets of alternative choices Universal sets = all possible choices for the product category Retrieval sets = brands/stores can be readily brought forth from
memory Evoked sets = alternative brands/stores consumers states
he/she would consider when making purchase decision
Consumer decision rules = set of criteria consumers use to quickly & efficiently select from among alternatives
Compensatory = good characteristics compensate for bad characteristics when consumer evaluating alternatives (based on overall features of concerns)
Noncompensatory = consumers choose product/service on basis of subset of its characteristics, regardless of values of other attributes (based on specific feature of concern)
Decision heuristics = consumers choose based on their self preferences e.g. price, brand, or product presentation
Purchase Decision The consumer buys a product/service that he
believes provide them with the best value
Post purchase Evaluation
The negative outcomes can result in no repeated purchase or recommend product to others and more serious can be negative word of mouth and rumors.
Positive outcomes can provide a repurchase and a recommendation of our product to other consumers.
SummaryConsumer Decision-Making
Process
Factors Influencing the Consumer Decision Process
Psychological Factors Motive (drive): a need or want that strong
enough to cause the person seek satisfaction
Attitude: a person’s consistently favorable or unfavorable evaluations, feelings, and tendencies toward an object or idea
Perception: the process by which we select, organize, and interpret info. to form a meaningful picture of the world.
Learning: changes in an individual’s behavior arising from experience
Social Factors
Family: family-members needs/wants
Reference Groups: one or more persons whom individual uses as a basis for comparison
Opinion leader = person within ref. group who exerts social influence
Culture: the shared meanings, beliefs and values of group of people influence consumer behavior
Subculture = a group of people with shared value systems based on common life experiences and situations
Social Class: relatively permanent and ordered divisions in a society whose members share similar values, interests, and behaviors.
Situational Factors
Purchase situation: the purpose of purchase (for what, whom)
Shopping situation: store atmosphere, salespeople, crowding, in-store demonstration, promotions, packaging
Temporal state: state of mind at any particular time or mood swing
Personal Factors
Occupation
Economic situation
Lifestyle
Personality & self conceptAge & life-cycle stage
Video:
This video goes a little bit further and focuses more on the influence of a marketer. But it shows greatly why a consumer decide to buy a product