CB - MODEL The model is important because it highlights the importance of inputs to the consumer buying process and suggests

ways in which the consumer orders these inputs before making a final decision. Schiffman and Kanuk (1997) mentioned that many early theories concerning consumer behavior were based on economic theory, on the notion that individuals act rationally to maximize their benefits (satisfactions) in the purchase of goods and services. A consumer is generally thought of as a person who identifies a need or desire, makes a purchase, and then disposes of the product during the three stages in the consumption process in Figure2.2 (Solomon, 1996)
HOWARD-SHETH MODEL Inputs Stimuli display
Significative a. Quality b. Price c. Distinctive d. Service e. Availability Symbolic a. Quality b. Price c. Distinctive d. Service e. Availability Social a. Family b. Reference groups c. Social class Attention Intention Purchase

Perceptual Constructs

Learning Constructs

Outputs

Confidence Overt search Intention

Attitude Stimulus ambiguity Motives Brand Comprehension Choice Criteria

Attitude

Brand Comprehe n- sion

Attention

Perceptual bias

Figure 2-3 A Simplified Description of the Theory of Buyer Behavior Source: Howard, and Sheth,Pp32 (1969)

This model suggests three levels of decision making: 1. The first level describes the extensive problem solving. At this level the consumer does not have any basic information or knowledge about the brand and he does not have any preferences for any product. In this situation, the consumer will seek information about all the different brands in the market before purchasing.

2. The second level is limited problem solving. This situation exists for consumers who have little knowledge about the market, or partial knowledge about what they want to purchase. In order to arrive at a brand preference some comparative brand information is sought. 3. The third level is a habitual response behavior. In this level the consumer knows very well about the different brands and he can differentiate between the different characteristics of each product, and he already decides to purchase a particular product. According to the Howard-Sheth model there are four major sets of variables; namely:

Input Output model

A Model of Consumer Decision Making

1. 2.

Input & Output Model

The process of consumer decision making can be viewed as three distinct but interlocking stages: the input stage, the process stage, and the output stage. The input stage influences the consumers recognition of a product need and consists of two major sources of information: a) The firms marketing efforts (the product itself, its price, promotion, and where it is sold). b) The external sociological influences on the consumer (family, friends, neighbors, other informal and noncommercial sources, social class, cultural and subcultural memberships).

3.

4.

The process stage focuses on how consumers make decisions. a) The psychological factors inherent in each individual (motivation, perception, learning, personality, attitude) affect how the external inputs influence the consumers recognition of a need, prepurchase search for information, and evaluation of alternatives. b) The experience gained through evaluation of alternatives, in turn, affects the consumers existing psychological attributes. The output stage of the consumer decision-making model consists of two closelyrelated post decision activities: a) Purchase behavior, which can be a trial purchase or a repeat purchase. b) The postpurchase evaluation of the product feeds directly into the consumers experience in the process stage of the model.