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Learning Objectives
Understand
the major factors influencing consumer behavior Know and recognize the types of buying decision behavior Understand the stages in the buying decision process
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The field of Consumer Behavior: studies how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and desires.
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Consumer Behavior . . .
. . . is defined as the study of the buying units and the exchange processes involved in acquiring, consuming, and disposing of goods, services, experiences, and ideas.
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decisions are affected by the behavior. Foundation of Marketing Management - Product policies, price policies, distribution policies, promotion policies MARKETING STARTS WITH NEEDS OF THE CUSTOMER & ENDS WITH NEED SATISFACTION.
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What is a Market?
The
set of actual and potential buyers of a product. people share a need or want that can be satisfied through exchange relationships.
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These
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Consumer Market
Consists of all the individuals and households who buy or acquire goods and services for personal consumption.
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Personal Factors
Age Life-Cycle
Stage
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Personal Factors
Age Life-Cycle
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Psychographic analysis is . . .
. . . the attempt to measure the life-styles of consumers.
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Lifestyle
refers to the way people live, how they spend their time and money, what activities they pursue, and what their attitudes and opinions are about the world they live in.
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Psychological Factors
Wants
Based on a want or desire to have something. Not a necessity.
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Psychological Factors
Motivation: Freud
Id Ego Super Ego
Maslow
Hierarchy of Needs
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Psychological Factors
Motivation Perception
The process by which an individual selects, organizes, and interprets inputs to create a meaningful picture of the world.
Selective Exposure Selective Distortion Selective Retention
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Selective
Exposure-selects inputs to be exposed to our awareness. (sharp price drop). Selective Distortion Changing/twisting current received comparative ads Selective Retentionremember inputs that support beliefs, forgets those that dont.
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Psychological Factors
Motivation Perception Learning
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Psychological Factors
Motivation Perception Learning Beliefs
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Psychological Factors
Motivation Perception Learning Beliefs Attitudes
Enduring favorable or unfavorable cognitive evaluations emotional feelings and action tendencies
Individuals
learns attitudes through experience and interaction with other people. Consumer attitudes toward a firm and its products greatly influence the success or failure of the firms marketing strategy.
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Functional Factors
Needs
Need over wants. Delivers to a real need to have something.
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Social Class
Relatively homogenous, enduring divisions in a society, hierarchically ordered with members sharing similar values, interests, and behaviors.
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The accumulation of values, knowledge, beliefs, customs, objects, and concepts that a society uses to cope with its environment
Subcultures
Groups of individuals who have similar value and behavior patterns within the group but differ from those in other groups.
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senior wants to impress his junior at the Welcome party . His primary motive is ?
Psychological
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girl wants to remember her grandmother on her birthday. Her primary motive is?
Psychological
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homemaker needs a new washing machine and has had good experiences with Sears.
Her primary motive is ?
Functional
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teacher wants to buy a practical car to be used for family transportation. Her/His primary motive is ?
Functional
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career woman always buys Allen Solly clothes. Her primary motive is?
Psychological
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overweight 40 year old man wants to loose weight so that he can reduce his blood pressure. His primary motive is?
Functional
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Functional
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Psychological Motive
Ninety-day warranty.
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Psychological Motive
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Purchase Decision
Post-Purchase Evaluation
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Cultural, Social, Cultural, Social, Individual and Individual and Psychological Psychological Factors Factors affect affect all steps all steps
of involvement is an individuals intensity of interest in a product and the importance he or she places on a product. Consumers go through a problem-solving process. The 4 types of Problem-Solving are: Routine Response Limited Decision Extension Decision Impulse Buying
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Routine Response
1.Routine
Response buying that requires very little search and decision effort; it is used for products that are low priced and bought frequently. Examples include soft drinks, snack foods, milk, etc.
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Limited Decision
Buyers use when they purchase products occasionally or need information about unfamiliar brands in a familiar product category; it requires a moderate amount of time for information gathering and deliberation. Examples include Clothesknow product class but not the brand.
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Extensive Decision
Extensive Decision employed when unfamiliar, expensive, or infrequently bought products (such as homes, automobiles and furniture) are purchased; buyers used many criteria to evaluate brands and spend more time searching for information and deciding on the purchase.
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Impulse Buying
Impulse Buying unplanned buying behavior involving powerful urge to buying something immediately. A lot of impulse decisions are made at the checkout area and can be on items such as candy, sodas, batteries, film, etc.
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Limited
Low to moderate Short to moderate Low to moderate Mostly internal few
Extensive
High Long High Internal & external many
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Need Recognition
Marketing helps consumers recognize (or create) an imbalance between present status and preferred state When a current product isnt performing properly When the consumer is running out of an product When another product seems State Preferred superior to the one currently used
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Information Search
Two ways of gathering information: 1. Internally 2. Externally
Types of info sources: Commercial Public Personal Experiential
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Personal sources (friends and family) Public sources (rating services like Consumer Reports) Marketer-dominated sources (advertising or sales people)
The evoked
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set: a group of
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What
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Postpurchase Behavior
Cognitive Dissonance
Can minimize through:
Did I make a good decision? Did I buy the right product? Did I get a good value?
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after being unable to reach the grapes the fox said, these grapes are probably sour, and if I had them I would not eat them. --Aesop
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Cognitive Dissonance
psychological discomfort caused by inconsistencies among a persons beliefs, attitudes, and actions varies in intensity based on importance of issue and degree of inconsistency induces a drive state to avoid or reduce dissonance by changing beliefs, attitudes, or behaviors and thereby restore consistency
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