MarketingManagement

Unit5

Unit5
Structure
5.1. Introduction 5.2. Characteristicsofconsumerbehavior

ConsumerBuyerBehavior

5.3. Typesofbuyingdecisionbehavior:HenryAssaelmodel 5.4. Consumerbuyingdecisionprocess 5.5. Buyerdecisionprocessfornewproducts 5.6. Buyingmotives 5.7. Buyerbehaviormodels 5.8. Summary Terminalquestions AnswerstoSAQsandTQs 5.1.Introduction Consumers are individuals, households or businesses who use the products. In this unit we are limitingourstudytoindividualandhouseholdsuseofproductsforpersonalconsumption.Consumer characteristicsvaryfromcountrytocountry.Thereforeithasbecomechallengingtaskformarketerto understand the need, buying behavior of consumer before developing product and marketing program. In this section we will discuss consumer buying behavior and his/her decision making process.Wewillalsolookintothedecisionprocessofbuyerfornewproduct.Consumermotivesand behaviormodelsareanalyzedtoidentifybuyingenvironment. LearningObjectives Afterstudyingthisunityouwillbeableto 1. Identifythecharacteristicsthoseaffectconsumerbehavior. 2. Explaindifferenttypesofbuyerbehavior. 3. Analyzetheconsumerdecisionmakingprocess 4. Discussconsumerdecisionprocessfornewproducts. 5. Examinethebuyingmotivesandbehavioralmodels.
SikkimManipalUniversity

69

MarketingManagement

Unit5

5.2. Characteristicsaffectingconsumerbehavior
Cultural, Social, Personal and Psychological factors influence the consumer behavior. These are externaltothecompanyandcannotbecontrolled.Marketerwouldliketounderstandtheimpactof thesefactorsonhis/herorganization I.Culturalfactors: 1. Culture is the combination of customs, beliefs and values of consumers in a particular nation. Majority Indians are vegetarians and a company which sells non vegetarian items should analyze thesevaluesoftheconsumer.Forexample,KFCwhichsellschickendishesallovertheworldadded vegetarian burgers in their menu to serve vegetarian consumers. Another multinational McDonald, whosemajorityofsalescomesformsellingbeeflets,didntincludeintheIndianmenuascowisa sacredanimal. 2. Subculturesare partof culturecomprising, geographic regions, religions, nationalitiesand racial groups.Thevaluesystemofthesegroupsdiffersfromothers.Forexample,HindusinnorthIndiaeat specialvegetarianfoodduringtheNavaratrafestival.Theyprefertospendtheirtimewiththeirfamily. During this time restaurants will have lesser traffic. To attract the customers, restaurants started offeringtheauthenticNavaratradish.Thishelpedtherestauranttoattractthefamilywhodonthave time,bachelorsandpeoplewanttospendtheirtimewithfamilywithoutallottingmuchtimeforfood preparationandsoon. 3. Social class these are permanent groups in the society whose members have common likings. According to Mckinsey consumer report, Indian consumers can be classifies into five different categories.Theyare, a. Deprived b. Aspires c. Seekers d. Striversand e. GlobalIndians.

1. Deprived are the people who earn less than Rs 90,000 annually. This group is also known as
below poverty line. They are the poorest people in the country. They wont get continuous employmentandtheyearntheirlivelyhoodfromseasonalwork.Peopleinthiscategorywilldo lessskilledorsemiskilledwork.
SikkimManipalUniversity

70

MarketingManagement

Unit5

2. AspiresbelongstothefamilieswhoearnbetweenRs90,000toRs2,00,000.Thisgroupconsist
smallshopkeepers,industrialworkers,andsmalllandholdingfarmers.Thoughtheyearnmore thandeprivedclass,buthalfoftheirmoneygoesforbasicamenitiesandfood.

3. Seekers earn between Rs 200,000 to 500,000. This class varies largely. The group contains
freshworkers,middlelevelemployees,governmentemployeesandbusinesspeople.Theclass varieswidelyontheage,attitudeandotherfactors.

4. StriversbelongtothegroupwhoearnbetweenRs500,000to1,000,000.Peopleinthiscategory
are considered very successful. The group contains business people, large farmers, senior governmentofficialsandprofessionals.Theirearningsareenoughtofilltheirapatiteofmaterials. TheyareleadingtheconsumptionledgrowthinIndia.

5. Global Indians are earning more than Rs 1,000,000. This group is comprised of senior
government officials, professionals, business people and top business executives. India is witnessingthegrowthinthisclass.Theyaretrulyglobaltheypurchaseinternationalbrandsand haveinternationalcuisine. II. Socialfactors Human beings are social animals. They live and interact with other people. Therefore there is a chanceofinfluencebyothersontheiropinions.Marketersliketoidentifysuchinfluentialpersonsor groupsof consumer. Generally suchgroupsareclassified into two major groups namely reference groupsandfamily. Reference groups are used in order to evaluate and determine the nature of a given individual or other group's characteristicsand sociological attributes. Referencegroups provide the benchmarks and contrast needed for comparison and evaluation of group and personal characteristics. Reference groups are groups that people refer to when evaluating their own qualities, circumstances, attitudes, values and behaviors." William Thompson & Joseph Hickey, Society in Focus,2005.Referencegroupsactasaframeofreferencetowhichpeoplealwaysrefertoevaluate theirachievements,theirroleperformance,aspirationsandambitions Family:Indianculturegivesutmostimportancetothefamily.Peoplediscusswiththeirfamilybefore purchasing the valuable items. Wife, children and parents influence the decisions of the family. Thereforemanycompaniesuseeitherwholefamilyorkidsintheirpromotionalprograms.
SikkimManipalUniversity

71

MarketingManagement

Unit5

Figure5.1

Figure5.2

Godrej introduced memory back up auto washing machine. They have shown the family in the advertisement who are enjoying without any problems of washing clothes. In the second advertisementDaburchyavanprashuseskidsintheiradvertisements.Thetargetcustomersareused withcelebritytoprovidenecessaryimageandconveytheattributesoftheproduct. III. Personalfactors: Individual factors like age, occupation, lifestyle and personality influence the consumer decision making. We discussed age and occupation factors and their application earlier in the marketing environmentunit.Wewilldiscusslifestyleanditsinfluenceontheconsumerinthesegmentationunit. In this section we will focuson thepersonalityand its influenceon the consumer decision making process. Personality is the image of peoples traits. Traits include Self confidence, Dominance, autonomy,defensiveness,adaptabilityandaggressiveness.Manycompaniesusedtheseconceptsin theirmarketingcommunications.Bajajpulsarusedmuscularitytohighlightitsimage(definitelymale).
st Fair and lovely and stay free tried to highlight 21 century Indian girl and their aspirations in their

communications. IVPsychologicalfactors: Motivation: AbrahamMaslowsNeedHierarchyTheory:

SikkimManipalUniversity

72

MarketingManagement

Unit5

One of the most widely mentioned theories of motivation is the hierarchy of needs put forth by psychologistAbrahamMaslow.Maslowsawhumanneedsintheformofahierarchy,ascendingfrom thelowesttothehighest,andheconcludedthatwhenonesetofneedsissatisfied,thiskindofneed ceasestobeamotivator.Asperhistheorytheseneedsare:

(i) Physiological needs: These are important needs for sustaining the human life. Food, water, warmth, shelter, sleep, medicine and education are the basic physiological needs whichfall in the primarylistofneedsatisfaction.Maslowwasofanopinionthatuntiltheseneedsweresatisfiedtoa degreetomaintainlife,noothermotivatingfactorswillwork. (ii)SecurityorSafetyneeds:Thesearetheneedstobefreeofphysicaldangerandofthefearof losingajob,property,foodorshelter.Italsoincludesprotectionagainstanyemotionalharm. (iii)Socialneeds:Humanbeingsaresocialanimals.Theystrivetobeinthesociety.Inthistypeof needspeoplewilltrytosatisfytheirneedsforaffection,acceptanceandfriendship. (iv)Esteem needs: According to Maslow, once the people satisfied with social needs. They would liketohaveesteemneeds.Thiscategoryincludespower,prestigestatusandselfconfidenceneeds. It includes both internalesteemfactors like selfrespect, autonomy andachievements and external esteemfactorssuchasstates,recognitionandattention.

SikkimManipalUniversity

73

MarketingManagement

Unit5

(v) Needforselfactualization: Maslowregardsthisasthehighestneedinhishierarchy.Itisthe drivetobecomewhatoneiscapableofbecomingitincludesgrowth,achievingonespotentialand selffulfillment.Itistomaximizeonespotentialandtoaccomplishsomething Marketer is interested infinding what state ofneed hierarchy the consumer is in and what typeof producttobedevelopedtosuithisorherneeds.Ifpersonneedssecurityforhiscarthanthemileage thenautocompaniesshouldhighlightthatbenefitintheirmarketingcommunications. Perception: Itistheprocessofacquiring,interpreting,selectingandorganizingsensoryinformation. Explanation of the definition: stimulus is generated by hearing, smelling, seeing, touching, and tasting. People develop stimulus about product or services through any of the above themes and createsanimageinthemind. The marketing implication of the definition Marketer researches his consumer profile and communicatestheproductorservicemessageseitherthroughradio,demo,ortelevision.Byseeing, hearing or experiencing the product or service consumer will develop an image in the mind. The messagegivenbycompanymaypassthroughthreedifferentselectionprocedures. a. Selective attention: The habit of the people to analyze the information completely and interpreting it. They develop the perception about the product or service only after complete analysis.Thisisverydifficultgrouptohandleastheyrequestformoreinformation. b. Selectivedistortion:thephenomenainwhichconsumerwillhavepredispositionsandinterpret the organizations information as they like it. This type of perception is both effective and non effective for the company. If consumer understands the wrong message in a right way it is advantageous but if he understand right message in wrong way then company will be under trouble. c. Selective retention: consumer will not remember all the points informed by the company. He/she may remember the good points of company and forget the negative points of the company.

SikkimManipalUniversity

74

MarketingManagement

Unit5

5.3.

TypesOfBuyingDecisionBehavior:HenryAssaelModel.
Figure5.3 HighInvolvement Lowinvolvement seeking

Significant difference Complex buying Variety betweenbrands Few behavior

buyingbehavior Habitual buying

differences Dissonance behavior

betweenbrands

reducing buying behavior.

Complexbuyingbehavior:customerswhoarerepresentingthisbehaviorarehighlyinvolvedinthe purchaseoftheproductorservice.Theprocessbecamecomplexasdifferencebetweenbrandsare very high. For example, customer who wants to purchase refrigerator would like to know the meaningsofdefrosting,doorlock,digitaltemperaturecontroletc...Thepriceoftheproductusually highletmeshowyouthecomparisonofthreebrandsandsignificantdifferencebetweenthem. Table5.1 LG GR T Akai D186 Electrolux 282 GV/GE TT DX Kelvinator 386

Defrost system DoorLock Adjustable Shelves

SikkimManipalUniversity

75

MarketingManagement

Unit5

Moisture and Humidity Control Deodorizing Ability Water Dispenser Defrost system

From the above example it is clear that marketer should first develop the belief about the brand, providetheinformationanddifferentiatethecompanybrandfromothers.Intheaboveexampleyou canseebothAkaiandLGdonthavewaterdispenserwhileElectroluxhave.BothLGandElectrolux have moisture and humidity control while Akai lacks it. Customer would like to know what these featuresareandhowtheyaddvaluetotheproduct. Dissonancereducingbuyingbehavior: Thebehaviorexhibitedbythecustomerwhenproductpurchaserequireshighinvolvementbutonly few differences exist. For example, customers who want to purchase CTV will not find many differencesbetweenthebrandsbutthepriceoftheproductanditstechnicalitymakescustomerto involve more. One of the major disadvantages of this type of behavior is customer will show post purchasedissonancewhichisverydifficulttocontrol. Varietyseekingbuyingbehavior. Whentherearesignificantdifferencebetweenthebrandsexistingbutcustomerwillnotinvolvemore whilepurchasing,marketeridentifythisbehaviorasvarietyseekingbuyingbehavior.Letusdiscuss thepurchasingbehaviorofcustomerforbiscuits.Therearemanyvarietiesofbiscuitsavailable.One
SikkimManipalUniversity

76

MarketingManagement

Unit5

canpurchasesaltbiscuits,creambiscuits,Mariebiscuits,andmilkbiscuitsofBritannia,Parle,ITC sunfeastandothers.ThecustomerwhopurchasedBritanniatigerearliermaypurchaseSunfeast creambiscuitnexttime.ThisdoesntmeanthatqualityofBritanniatigerisinferiortootherbrandsbut customer would like to try the varieties available in the market. In this situations marketer should undertakefollowingsteps a. Themarketleadershouldencouragecustomerstobuyrepeatedly. b. Maketheproductavailableandvisibletothecustomerintheshoppingplaces. c. The firm who are not market leader should come out with sales promotion techniques to encouragecustomertopurchasetheproduct.

Habitualbuyingbehavior: The low involvement between the brands and few differences between the brands leads to the habitualbuyingbehavior.ForexamplespicepowdermarketedbyMDH,EverestorMTRhavevery few difference between them and customer do not search the information to purchase particular product.Marketerswhosecustomerrepresentsthiscategoryshouldfollowbelowlistedstrategies a. Usepriceandsalespromotionstostimulateproducttrial. b. Usemorevisualaspectsthanthewordingsintheadvertisements c. Televisionisthebettermediaforthistypeofproducts. d. Useclassicalconditioningtheorytocreateadvertisements. SelfAssessmentQuestions1: 1. Religionisoneofthefactorthatinfluenceconsumerbehavior a. Culture b. Social c. Personal d. Psychological 2. Seekersincomevariesbetween a. 90,000to200,000 b. 200,000to500,000
SikkimManipalUniversity

77

MarketingManagement

Unit5

c. 500,000to1,000,000 d. Noneofthese 3. Thehabitofthepeopletoanalyzetheinformationcompletelyandinterpretingitintheperception iscalledas 4. Dissonancereducingbehavioris a. Significantdifferencebetweenbrandsandhighinvolvement b. Significantdifferencebetweenbrandsandlowinvolvement c. Fewdifferencebetweenthebrandsandhighinvolvement d. Fewdifferencebetweenthebrandsandlowinvolvement 5. Theprocessofacquiring,interpreting,selectingandorganizingsensoryinformationiscalledas

5.4 Consumerbuyingdecisionprocess.
Afterdiscussingthefactorsthoseinfluencethebuyingbehavior,now,wewilldiscusstheconsumer decision making process. Consumer passes through five different stages while purchasing the product.

SikkimManipalUniversity

78

MarketingManagement

Unit5

Figure5.4

1. Need recognition: customer posses two type of stimuli at this juncture. One is driven by the internal stimuli and another is external stimuli. The examples of internal stimuli are customers desire,attitudeorperceptionandexternalstimuliareadvertisingetc...Frombothstimulicustomer understand the needfor the product. Here marketer should understand what customers needs havethatdrewcustomerstowardstheproductandshouldhighlightthoseinthecommunication strategy. 2. Informationsearch: Inthisstagecustomerwantstofindouttheinformationabouttheproduct, place,priceandpointofpurchase.Customercollectstheinformationfromdifferentsourceslike a. Personalsources:Family,friendsandneighbors b. Commercialsources:Advertising,salespeople,dealers,packaginganddisplays. c. Publicsources:massmediaandconsumerratingagencies.
SikkimManipalUniversity

79

MarketingManagement

Unit5

d. Experientialsources:Demonstration,examiningtheproduct. Inthisstagemarketershouldgivedetailedinformationabouttheproduct.Thecommunicationshould highlight the attributesand advantages ofthe product in this stage so that he created the positive imageabouttheproduct. 3. Evaluation of alternatives : After collecting the information, consumers arrive at some

conclusion about the product. In this stage he will compare different brands on set parameters which he or she thinks required in the product. The evaluation process varies from person to person.IngeneralIndianconsumerevaluateonthefollowingparameters a. Price b. Features c. Availability d. Quality e. Durability Atthisstagemarketershouldprovidecomparativeadvertisementstoevaluatethedifferentbrands. Theadvertisementshouldbedifferentfordifferentsegmentsandhighlighttheattributeaccordingto thesegment. 4. Purchasedecision Inthisstageconsumerbuythemostpreferredbrand.InIndiaaffordabilityplaysanimportantrole atthisstage.Organizationsbringmanyvarietiesoftheproductstocatertotheneedsofcustomers. 5. Postpurchasebehavior After purchasing the product the consumer will experience some level of satisfaction and dissatisfaction.Theconsumerwillalsoengageinpostpurchaseactionsandproductusesofinterest tothemarketer.Themarketersjobdoesnotendwhentheproductisboughtbutcontinuesintothe post purchase period. Customer would like tosee the performance of the productashe perceived before purchase. If the performance of the product is not as he expected then he develops dissatisfactions.Marketershouldkeepaneyeonhowconsumerusesanddisposestheproduct.In somedurablegoodsIndianconsumerwantresalevaluealso.Manyautomobilebrandsthatnotable togetresalevaluelosttheirmarketpositions.

SikkimManipalUniversity

80

MarketingManagement

Unit5

5.5.

Buyerdecisionprocessfornewproducts.

Thebuyersdecisionforexistingproductsandnewproductsvaries.Youalreadyseenintheexisting product buying decision process consumers have the option to search for the information and evaluate them. In the new product such options dont exist. Therefore we should understand how consumer comes to know about the product. Kotler defined this process as adoption process. AccordingtoPhilipKotlerAdoptionisThementalprocessthroughwhichanindividualpassesfrom firsthearingaboutaninnovationtofinaladoption Adoptionprocess Figure5.5

1. 2. 3. 4. 5.

Awareness:theconsumerbecameawareoftheproductbutlacksinformationaboutit. Interest: As knowprevious information available consumer shows interest to get the information abouttheproduct. Evaluation: Afterreceivingtheinformationconsumeranalyzesthebenefitsofnewproductsover anyexistingproductsorsubstitutesanddecideswhethertobuyornot. Trial: The consumertries thenew product onasmall scaleto improve hisor her estimate of its value. Adoption:Inthisstageconsumerdecidestomakefullandregularuseoftheproduct. Adoptionrate:

SikkimManipalUniversity

81

MarketingManagement

Unit5

Figure5.6

Theadoptionofnewproductvariesfromindividualtoindividual. 1. 2.5%oftheconsumersadoptanynewproductthatenterstothemarket.Theseconsumersare statusconsciouspeople.Marketershouldhighlighthowthenewproductwillbringtheesteemto theconsumer. 2. 13.5% of the customers fall into the early adopter categories. In this categories customer observedtheadvantageofthenewproductandthemomentthepriceoftheproductfallsintothe affordablecategorytheybuytheproduct. 3. Thenextgroupisthebiggestoneintheadoptionprocess.Thesegroupcustomersareattracted towards the benefits of the product. They make sure that there are no technical or general problemsassociatedwiththeproduct.Thisgroupcontains34%ofthetotalcustomers. 4. This group consist 34%of customers. The group looksfor thequalityproduct at theaffordable prices 5. The final group is called as laggards. These are traditional and price conscious people. They oftentakelotoftimetoadoptionoftheproduct.

SikkimManipalUniversity

82

MarketingManagement

Unit5

SelfAssessmentQuestions2: 1. Salespeoplearesourcesofinformation a. Publicsources b. Personalsources c. Commercialsources d. Experientialsources. 2. Thethirdstageintheadoptionprocessis a. Awareness b. Interest c. Evaluation d. Trial. 3. Thegroupofcustomerswhoadoptthenewproductattheendarecalledas 4. %ofconsumersbelongstoearlyadoptercategory 5. Customersatisfactionordissatisfactionisdeterminedinstageofconsumerdecisionprocess a. Informationsearch b. Evaluationofalternative c. Purchase d. Postpurchase.

5.6.

BuyingMotives

Thethoughts,feelings,emotionsandinstinctsthatinducescustomertobuyaproductarecalledas buyingmotives AccordingtoProfD.J.Duncanbuyingmotivesarethoseinfluencesorconsiderationswhichprovide theimpulsetobuy,induceactionanddeterminechoiceinthepurchaseofgoodsandservices.

SikkimManipalUniversity

83

MarketingManagement

Unit5

Classificationofbuyingmotives: Figure5.7

BuyingMotives

Productbuyingmotives

Patronagemotives

Emotionalproduct buyingmotive

Emotionalproduct buyingmotive

Rationalproduct buyingmotive

Rationalpatronage buyingmotive

1Product buying motives are those influences and reasons which prompt a buyer to choose a particular product in preference to others. It may be design, shape, dimension, size, color, packageetc Productbuyingmotivesarefurtherclassifiedas a. b. Emotionalproductbuyingmotiveand Rationalproductbuyingmotive thinking over the matter logically and carefully. Buyer takes the decisions on the emotions. Followingfactorsprovidesthelistthatinfluencetheemotionalproductbuyingmotives

2Emotional product buying motives in which buyer decides to purchase a product without

1. Customerattachesthepridewiththeproduct. 2. Customertrytoimitateformothers 3. Purchasedthegoodsforaffectiononanyfamilymember. 4. Productsthatprovidecomfortareusuallypurchasedontheemotions. 5. Sexualappealproductsarebroughtonemotionalproductmotives

SikkimManipalUniversity

84

MarketingManagement

Unit5

6. Theproductthoseusedasrecreation,hungerorhabitproductsareusuallyboughtemotionally. 7. Productsthoseprovidedistinctivenessorindividuality.
3 Rational product buying motives: when buyer examines pros and cons of purchasing a product andtakesdecisionsthenthebehavioriscalledasrationalproductbuyingmotives.Buyerswillbe lookingforanyofthefollowingfactorsbeforetakingrationaldecisions

1. Thesafetyorsecurityfeaturesprovidedbytheproduct. 2. Thevalueformoneyprovidedbytheproduct. 3. Suitabilityandutilityoftheproduct. 4. Durabilityoftheproduct. 5. Convenienceoftheproduct.

4Patronage buying motives are those considerations or reasons that make a buyer patronage a particularshopinpreferencetoothershopswhilebuyingaproduct. Patronagebuyingmotivesareclassifiedintotwocategories.Theyare a. Emotionalpatronagebuyingmotives. b. Rationalpatronagebuyingmotives. e. Emotionalpatronagebuyingmotivesarepatronizingtheparticularshopwithoutlogicalthinkingor reasoning.Emotionalpatronizebuyingmotivesincludethefollowingdecisions

1. Appearanceoftheshop 2. Visualmerchandisingintheshop. 3. Referencegroupsinfluenceaboutoneparticularshop. 4. Shoppinginabigmallisaprestigeissue. 5. Imitatingtheotherreferencegroupsmembers.

5 Rational patronage buying motive will arises after buyer analyzing the shop carefully and providing the information to reference group members. Rational patronage buying motives includethefollowing

1. Convenienceoftheshoptothebuyers. 2. Valueformoneyprovidedbytheshops. 3. Financialschemesandfacilitiesprovidedbytheshop.

SikkimManipalUniversity

85

MarketingManagement

Unit5

4. Availabilityofwiderangeofgoods. 5. Reputationoftheshopinthearea. 6. Salesforceefficiencytoconvincethecustomer. 7. Servicesprovidedbythesalesexecutives.

5.7. Buyerbehaviormodels.

The influence of social sciences on buyer behavior has prompted marketing experts to propound certainmodelsforexplainingbuyerbehavior.Broadly,theyincludetheeconomicmodel,thelearning model,thepsychoanalyticalmodelandthesociologicalmodel. 1) The Economic Model: According to the economic model of buyer behavior, the buyer is a rationalmanandhisbuyingdecisionsaretotallygovernedbytheconceptofutility.Ifhehasa certainamountofpurchasingpower,asetofneedstobemetandasetofproductstochoose from, he will allocate the amount over the set of products in a very rational manner with the intentionofmaximizingtheutilityorbenefits. 2) The Learning Model: According to the learning model which takes its cue from the Pavlovian stimulus response theory, buyer behavior can be influenced by manipulating the drives, stimuli and responses of the buyer. The model rests on mans ability at learning, forgetting and discriminating.Thestimulusresponselearningtheorystatesthattheredevelopsabondbetween behaviorproducingstimulusandabehaviorresponse(S.R.Bond)onaccountoftheconditioning ofbehaviorandformationofhabits.ThistheorymaybetracedtoPavlovandhisexperimentson salivatingdogs.Pavlovsexperimentsbroughtoutassociationsbyconditioning. In his well known research with dogs, a bell was rung every time food was served to a dog. Eventually, thedog started salivatingeach timeuponhearingthe bell though nofood was served. The dogs behavior is conditioned it is related to behaviorproducing stimulus (bell ringing) and behaviorresponse(salivation).TheS.R.bondsoestablishedcausesasetpatternofbehaviorlearnt bytheobjectdog.Intermsofconsumerbehavior,anadvertisementwouldbeastimuluswhereas purchasewouldbearesponse. Learning Process: According to the stimulusresponse theory, learning is dependent on drive, cue (stimulus),responseandreinforcement.
SikkimManipalUniversity

86

MarketingManagement

Unit5

Drive:Drivemaybedefinedasanystrongstimulusthatimpelsaction.Itarousesanindividualand keeps him prepared to respond. The drives may be classified as primary drives and secondary drives. Primary drives are based upon innate physiological needs such as thirst, hunger, pain avoidance, and sex. The secondary drives are based upon learning. They are not innate and are derivedfromtheprimarydrives.Theseincludethedesireformoney,fear,pride,rivalry,etc. Cue:Cueorstimulusmaybedefinedasanyobjectintheenvironmentperceivedbytheindividual. Theaimofthemarketingmanistofindoutorcreatethecueofsufficientimportancethatitbecomes thedrivestimulusorelicitsotherresponsesappropriatetohisobjective.Here,theobjectiveistofind outthoseconditionsunderwhichastimuluswillenhancethechancesofelicitingaparticularkindof response. Response:Responseisananswertoagivendriveorcue.Whenamanfeelsthirsty,heattemptsto get water at any cost. Here attempt to get water is a response to the primary drive of thirst. Response also includes attitudes, familiarity, perception and other complex phenomena. Responsesmaybegeneralizedordiscriminatory.Generalizedresponsereferstoauniformresponse to similar though not identical stimuli. Discriminatory response refers to the selective response to similar stimuli. Undifferentiated products such as cigarettes and detergents normally elicit generalized consumer responses but by huge advertising outlays companies try to induce consumerstoperceivedifferencesinbrandsandtomakediscriminatoryresponses. Reinforcement:Reinforcementorrewardmeansreductionindriveandstimulus.Ithasbeendefined as environmental events exhibiting the property of increasing the probability of occurrence of responses theyaccompany. Thus, when consumption ofaproductor abrandofproduct leadsto satisfaction of the initiating need (drive/stimulus) there is reinforcement. If at some later date the sameneedsarearoused,theindividualwilltendtorepeattheprocessofselectingandgettingthe sameproduct orbrandofproduct. Each succeeding timethatproduct orbrandbrings satisfaction, furtherreinforcementtakesplace,thus,furtherincreasingthepossibilitythatinfuturealso,thesame productorbrandwillbebought.Thistypeofbehavioralchange,increasingpossibilitythatanactwill berepeated,iscalledlearningreinforcementincreasestherapidityandvigoroflearning. 3) The Psychoanalytical Model: The psychoanalytical model draws from Freudian Psychology. According to this model, the individual consumer hasa complex setofdeepseated motives which drivehimtowardscertainbuyingdecisions.Thebuyerhasaprivateworldwithallhishiddenfears,
SikkimManipalUniversity

87

MarketingManagement

Unit5

suppresseddesiresandtotallysubjectivelongings.Hisbuyingactioncanbeinfluencedbyappealing to these desires and longings. The psychoanalytical theory is attributed to the work of eminent psychologistSigmundFreud.Freudintroducedpersonalityasamotivatingforceinhumanbehavior. According to this theory, the mental framework of a human being is composed of three elements, namely, 1. Theidortheinstinctive,pleasureseekingelement.Itisthereservoiroftheinstinctiveimpulses that a man is born with and whose processes are entirely subconscious. It includes the aggressive,destructiveandsexualimpulsesofman. 2. The superegoor the internalfilter thatpresents to the individualthe behavioralexpectationsof society. It develops out of the id, dominates the ego and represents the inhibitions of instinct whichischaracteristicofman.Itrepresentsthemoralandethicalelements,theconscience. 3. Theegoorthecontroldevicethatmaintainsabalancebetweentheidandthesuperego.Itisthe mostsuperficialportionoftheid.Itismodifiedbytheinfluenceoftheoutsideworld.Itsprocesses areentirelyconsciousbecauseitisconcernedwiththeperceptionoftheoutsideworld. Thebasicthemeofthetheoryisthebeliefthatapersonisunabletosatisfyallhisneedswithinthe bounds of society. Consequently, such unsatisfied needs create tension within an individual which have to be repressed. Such repressed tension is always said to exist in the subconscious and continuestoinfluenceconsumerbehavior. 4. TheSociologicalModel:Accordingtothesociologicalmodel,theindividualbuyerisinfluenced by society or intimate groups as well as social classes. His buying decisions are not totally governedbyutilityhehasadesiretoemulate,followandfitinwithhisimmediateenvironment. 5. The Nicosia Model: In recent years, some efforts have been made by marketing scholars to buildbuyerbehaviormodelstotallyfromthemarketingmansstandpoint.TheNicosiamodeland theHowardandShethmodelaretwoimportantmodelsinthiscategory.Bothofthembelongto the category called the systems model, where the human being is analyzed as a system with stimuliastheinputtothesystemandbehaviorastheoutputofthesystem.FrancescoNicosia, anexpertinconsumermotivationandbehaviorputforwardhismodelofbuyerbehaviorin1966. Themodeltriestoestablishthelinkagesbetweenafirmanditsconsumerhowtheactivitiesof thefirminfluencetheconsumerandresultinhisdecisiontobuy.Themessagesfromthefirmfirst influencethepredispositionoftheconsumertowardstheproduct.Dependingonthesituation,
SikkimManipalUniversity

88

MarketingManagement

Unit5

hedevelopsacertainattitudetowardstheproduct.Itmayleadtoasearchfortheproductoran evaluationoftheproduct.Ifthesestepshaveapositiveimpactonhim,itmayresultinadecision to buy. This is the sum and substance of the activity explanations in the Nicosia Model. The NicosiaModelgroupstheseactivitiesintofourbasicfields. Field one has two subfields the firmsattributesandtheconsumersattributes.Anadvertisingmessagefromthefirmreachesthe consumersattributes.Dependingonthewaythemessageisreceivedbytheconsumer,acertain attributemaydevelop,andthisbecomestheinputforFieldTwo.FieldTwoistheareaofsearch and evaluation of the advertised product and other alternatives. If this process results in a motivation to buy, it becomes the input for Field Three. Field Three consists of the act of purchase.AndFieldFourconsistsoftheuseofthepurchaseditem.

TerminalQuestions 1. Explainthecharacteristicsthataffectconsumerbehavior. 2. DiscussthetypesofconsumerbuyerbehaviorwiththehelpofHenryAssaelmodel. 3. Explaintheconsumerdecisionmakingprocess. 4. Discussthebuyerdecisionstrategiesfornewproducts. 5. Writeanoteonbuyingmotives AnswerstoSelfAssessmentQuestions SelfAssessmentQuestions1 1. Culture 2. 200,000to500,000 3. Selectiveattention 4. Fewdifferencebetweenthebrandsandhighinvolvement 5. Perception SelfAssessmentQuestions2 1. Commercialsources 2. Evaluation 3. Laggards 4. 13.5%
SikkimManipalUniversity

89

MarketingManagement

Unit5

5. Postpurchase AnswertoTerminalQuestions 1. Refer5.2 2. Refer5.3 3. Refer5.4 4. Refer5.5 5. Refer5.6

SikkimManipalUniversity

90