University of Malta - Centre for Communication Technology

Semester120102011

What is Consumer Behaviour?

Communications Overview
2010 2011 2010-2011
The behavior that people display in searching for, purchasing, using, evaluating, and disposing of products, services, experiences & ideas that they expect will satisfy their needs.

MARKETING COMMUNICATIONS & CONSUMER BEHAVIOUR

Dr Noellie Brockdorff

Includesmaterialfrom: Schiffman &Kanuk (2006)/Solokmon,Bamossy,Askegaard &Hogg(2006)/ Kotler,Keller,Brady,Goodman&Hansen(2009)

Why Study Consumer Behaviour?

The study of consumers helps companies improve their marketing and marketing communications strategies by understanding issues such as:

Why Study Consumer Behaviour?

how consumers think, feel, reason, and select between different alternatives (e.g., brands, products); how the consumer is influenced by his or her environment (e.g., culture, family, the media); the behavior of consumers while shopping or making other marketing decisions; how limitations in consumer knowledge or information processing abilities influence decisions, marketing outcome f and reactions to marketing communications; how consumer motivation and decision strategies differ between products that differ in their level of importance or interest that they entail for the consumer; and how marketers can adapt and improve their marketing campaigns and marketing strategies to more effectively reach the consumer.

Knowledge of how consumers behave is one of the cornerstones of marketing. Also important to anyone who needs to get ideas across to people, e.g., Social Marketing, Public Policy, those who work in the media, politicians, NGOs, etc. politicians NGOs etc We are all consumers.

Noellie Brockdorff 2010

University of Malta - Centre for Communication Technology

Semester120102011

Model of Consumer Behaviour

Internal Influences: Perception

Perception is the process by which an individual receives, selects, organizes, and interprets g p information to create a meaningful picture of the world
Sights Sounds Smells Taste Texture EYES EARS NOSE MOUTH SKIN

Exposure Attention Comprehension Memory

McGraw-Hill 2004

Figure reproduced from Hawkins, Best, & Coney (2004).

Retention

Internal Influences: Motivation

Maslows Hierarchy of Needs
Need for Self-Actualization (Self-fulfillment) Ego or Esteem Needs (Prestige, status, self esteem) Social Needs (affection, friendship, belonging) Safety and Security Needs (Protection, security, order, stability) Physiological Needs (Food, water, air, shelter)

Ad designed to appeal to Social Needs

Social need - the desire to have satisfying relationships with others & feel a sense of love, affection, belonging, and acceptance Motivates people to make friends, to become members of groups, and to associate with others.

Noellie Brockdorff 2010

University of Malta - Centre for Communication Technology

Semester120102011

Internal Influences: Attitudes

Attitudes are learned predispositions to respond toward an object - an individuals overall feelings toward or individual s toward, evaluation of, an object. Consumers may hold attitudes toward:
Individuals Brands Companies Organizations g Product categories Retailers Advertisements Media

Ways to influence or change Attitudes

Increase or change the strength or belief rating of a brand on an important attribute. Change consumers perceptions of the importance or value of an attribute. Add a new attribute to the attitude formation process. Change perceptions of belief ratings for a competing brand.

Internal Influences: Learning

Consumer Learning Processes
Observational Learning
Based on observing others and copying their behaviour.

Pavlovian model of Classical Conditioning

Unconditioned Stimulus

Meat Paste
Unconditioned Response

Salivation Conditioned Stimulus Bell

Behaviorist Learning
Based on conditioning through association or reinforcement.

AFTER REPEATED PAIRINGS

Cognitive Learning
Intellectual evaluation comparing attributes with values.

Conditioned Stimulus Bell

Conditioned Response

Salivation
Courtesy Prentice Hall

Noellie Brockdorff 2010

University of Malta - Centre for Communication Technology

Semester120102011

Classical Conditioning applied to influencing product attitudes

Unconditioned Stimulus

A model of Instrumental (or Operant) Conditioning

Try Brand B dA Unrewarded
Legs t ti ht L too tight

Pleasant Situation
Unconditioned Response

Pleasant Feeling Conditioned Stimulus Product Stimulus Situation

(Need goodlooking jeans)

Try Brand B Try Brand C Try Brand D

Unrewarded
Too Tight

Unrewarded
Too Baggy ggy

AFTER REPEATED PAIRINGS

Conditioned Stimulus Product

Conditioned Response

Pleasant Feeling

Reward
Perfect fit

Repeat Behavior
From Schiffman & Kanuk (2004)

Cognitive Learning Process

Model of Consumer Behaviour

Goal Purposive behavior Insight Goal achievement

McGraw-Hill 2004

Noellie Brockdorff 2010

University of Malta - Centre for Communication Technology

Semester120102011

Sources of Problem Recognition

Problem recognition is caused by difference between the consumer s ideal state and the actual consumers state. Out of stock Dissatisfaction New needs or wants Related product purchase Market-induced recognition New products

Information Search
Personal sources Friends, relatives, co-workers Market-controlled sources Ads, salespeople, displays Public sources Print ti l P i t articles, news reports t Personal experience Handling, examining, testing, using

Evaluation of Alternatives
All available brands
Brand A Brand F Brand K Brand B Brand G Brand L Brand C Brand H Brand M Brand D Brand I Brand N Brand E Brand J Brand O

Evaluation Criteria
Dimensions or attributes of a product or service used to compare alternatives
Objective criteria - price, warrantee, etc. Subjective criteria - style, appearance, image

Marketers view:
Product is a bundle of attributes

Evoked Set of Brands

Brand B Brand F Brand M Brand I Brand E

Consumers view: C i
Product is a set of consequences Functional consequences are concrete, tangible outcomes Psychological consequences are abstract and subjective

Noellie Brockdorff 2010

University of Malta - Centre for Communication Technology

Semester120102011

Types of Consumer Decisions

Routine response behaviour Low-cost products Frequent purchasing Low consumer involvement Familiar product class & brand Little thought, search, or time givens to purchase Limited problem-solving problem solving Extensive problem-solving problem solving More expensive products Infrequent purchasing High consumer involvement Unfamiliar product class & brand Extensive thought, search, or time givens to purchase

Model of Consumer Behaviour

McGraw-Hill 2004

External Influences on Consumers

Culture

Final Comment
The study of how people - consumers, y p p , audiences, etc react to, and are influenced by, messages, and an understanding of the factors that affect these processes, allows us to design better communications. Recommended Reading: Schiffman L. G., Kanuk L.L. & Wisenbilt, J. 2010. Consumer Behavior 10th ed. Global Edition ISBN 978-0-13-700670-0.

Subculture

Social class Reference groups Situations

Noellie Brockdorff 2010