Problem Recognition
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Transcript of Problem Recognition
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–1
Chapter 3 Problem Recognition
• Nature of problem recognition• Difference between habitual, limited and extended
decision making• Methods for measuring problem recognition• Marketing strategies based on problem recognition
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–2
Need/Problem Recognition
• What happens during need/problem recognition?• Can they be activated?• Are there non-marketing influences?• What marketing influences are used?• Does it vary from one person to the next?• Implications for marketing strategy?
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–3
Types of Consumer Decisions
• Problem recognition
• Purchase involvement
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–4
Types of Consumer Decisions (cont.)
• Purchase involvement – influenced by the interaction of individual, product and
situational characteristics
• Forms of involvement and outcomes– Habitual decision making—single brand– Limited decision making– Extended decision making
• Implications for strategy
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–5
Purchase Involvement and Types of Decision Making
Low purchaseinvolvement
High purchaseinvolvement
Habitualdecisionmaking
Limiteddecisionmaking
Extendeddecisionmaking
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3–6
Purchase Involvement and Types of Decision Making (cont.)
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3–7
Purchase Involvement and Types of Decision Making (cont.)
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–8
Marketing Strategy and Types of Consumer Decisions
The process of problem recognition
• The nature of problem recognition– Desired state– Actual state
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3–9
The Process of Problem Recognition
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3–10
The Process of Problem Recognition (cont.)
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–11
The Desire to Resolve Recognised Problems
• Depends on two factors:1. The magnitude of the discrepancy between the desired
state and the actual state
2. The relative importance of the problem
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–12
Types of Consumer Problems
• Active problem
• Inactive problem
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–13
• Routine problems– Expected, require immediate solution
• Emergency problems– Not expected, require immediate solution
• Planning problems– Expected, don’t require immediate solution
• Evolving problems– Not expected, don’t require immediate solution
Types of Consumer Problems and Action Required
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3–14
Non-Marketing Factors Affecting Problem Recognition
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–15
Factors that Influence the Desired State
• Culture/social class, e.g. cleanliness• Reference groups, e.g. after graduation• Family/household, e.g. family brands• Change in financial status, e.g. retrenchment• Previous purchase decisions• Individual development• Motives: refer to Maslow’s needs• Emotions: seek positive experiences?• The situation
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–16
Factors Influencing the Actual State
• Past decisions• Normal depletion• Product/brand performance• Individual development• Emotions• The efforts of consumer groups• The availability of products• The current situation
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–17
Brand Performance
Many products need to perform on two levels:
1. Instrumental performance
2. Expressive performance
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–18
Marketing Strategy and Problem Recognition
• Measuring problem recognition
1. activity analysis—study of meal preparation
2. product analysis—problems using it?
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–19
Marketing Strategy and Problem Recognition (cont.)
• Measuring problem recognition (cont.)
3. problem analysis—product/brand solutions?
4. human factors research—suit users
5. emotion research—how people feel about it
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–20
Responding to Consumer Problems
• Activating problem recognition
– generic problem e.g. dairy foods When the problem is latent or of low importance
– selective e.g. one brand solution
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3–21
An Active Attempt to Activate Problem Recognition
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3–22
Responding to a Recognised Problem
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–23
Responding to Consumer Problems
• Timing problem recognition
e.g. winter colds
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–24
Responding to Consumer Problems (cont.)
• Suppressing problem recognition
– avoid upsetting habitual buyers
– anticipate and counteract negatives
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Copyright 2004 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 4e by Neal, Quester, Hawkins 3–25
Next lecture…
Chapter 4Information Search