CONSUMER

BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 CONSUMER
PURCHASE DECISION PROCESS

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

CONSUMER PURCHASE
DECISION PROCESS

• Problem Recognition:
Perceiving a Need
• Information Search:
Seeking Value

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 CONSUMER PURCHASE
DECISION PROCESS

• Alternative Evaluation: Assessing Value

 Evaluative criteria
 Evoked set

• Purchase Decision: Buying Value

• Postpurchase Behavior: Value in
Consumption or Use
 Cognitive dissonance

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 CONSUMER PURCHASE
DECISION PROCESS

• Involvement and Problem-Solving

Variations

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Comparison of problem-solving variations

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 CONSUMER PURCHASE
DECISION PROCESS

• Involvement and Problem-Solving

Variations
• Routine Problem Solving
• Limited Problem Solving
• Extended problem Solving
• Involvement and Marketing Strategy
• Situational Influences
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Influences on
the consumer
purchase
decision
process

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

PSYCHOLOGICAL INFLUENCES
ON CONSUMER BEHAVIOR

• Motivation and Personality

• Motivation

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

Hierarchy
of needs
“Maslow”

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

PSYCHOLOGICAL INFLUENCES
ON CONSUMER BEHAVIOR

• Motivation and Personality

• Personality
 National character
 Self-concept

• Perception
• Selective Perception
• Subliminal perception

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

PSYCHOLOGICAL INFLUENCES
ON CONSUMER BEHAVIOR

• Perception
• Perceived Risk
• Learning
• Behavioral Learning
• Cognitive Learning
• Brand Loyalty

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

PSYCHOLOGICAL INFLUENCES
ON CONSUMER BEHAVIOR

• Values, Beliefs, and Attitudes

• Attitude Formation
 Attitude
 Beliefs
• Attitude Change
• Lifestyle

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

VALSTM
psychographic
segments

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SOCIOCULTURAL INFLUENCES
ON CONSUMER BEHAVIOR

• Personal Influence
• Opinion Leadership
• Word of Mouth

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

SOCIOCULTURAL INFLUENCES
ON CONSUMER BEHAVIOR

• Reference Groups
• Family Influence
• Consumer Socialization
• Family Life Cycle

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

Modern US family life cycle

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

SOCIOCULTURAL INFLUENCES
ON CONSUMER BEHAVIOR

• Family Influence
• Family Decision Making

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

SOCIOCULTURAL INFLUENCES
ON CONSUMER BEHAVIOR

• Social Class
• Culture and Subculture
• African-American Buying Patterns
• Hispanic Buying Patterns
• Asian Buying Patterns

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

Chevy Impala Ad
That Targets
Korean-
Americans

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 Chevy Venture
Print Ad That
Targets
the Chinese-
American Market

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Consumer Behavior

Consumer
Consumer behavior
behavior isis the
the actions
actions aa
person
person takes
takes in
in purchasing
purchasing andand using
using
products
products and
and services,
services, including
including the
the
mental
mental and
and social
social processes
processes that
that precede
precede
and
and follow
follow these
these actions.
actions.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Purchase Decision Process

The
The stages
stages aa buyer
buyer passes
passes through
through in
in
making
making choices
choices about
about which
which products
products
and
and services
services to
to buy
buy is
is the
the purchase
purchase
decision
decision process.
process.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Evaluative Criteria

A
A consumer’s
consumer’s evaluative
evaluative criteria
criteria
represent
represent both
both the
the objective
objective and
and
subjective
subjective attributes
attributes of
of aa brand
brand used
used to
to
compare
compare different
different products
products and
and brands.
brands.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Evoked Set

An
An evoked
evoked set
set is
is the
the group
group ofof brands
brands that
that aa
consumer
consumer would
would consider
consider acceptable
acceptable
from
from among
among all
all the
the brands
brands ofof the
the product
product
class
class of
of which
which he
he or
or she
she is
is aware.
aware.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Cognitive Dissonance

A
A feeling
feeling of
of postpurchase
postpurchase psychological
psychological
tension
tension or
or anxiety
anxiety is
is called
called cognitive
cognitive
dissonance.
dissonance.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Involvement

Involvement
Involvement isis the
the personal,
personal, social,
social, and
and
economic
economic significance
significance of
of aa purchase
purchase toto aa
consumer.
consumer.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Situational Influences

Situational
Situational influences
influences that
that have
have an
an impact
impact
on
on the
the purchase
purchase decision
decision process
process are:
are: (1)
(1)
the
the purchase
purchase task,
task, (2)
(2) social
social
surroundings,
surroundings, (3)
(3) physical
physical surroundings,
surroundings,
4)
4) temporal
temporal effects,
effects, and
and (5)
(5) antecedent
antecedent
states.
states.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Motivation

Motivation
Motivation is
is the
the energizing
energizing force
force that
that
causes
causes behavior
behavior that
that satisfies
satisfies aa need.
need.

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 Personality

Personality
Personality refers
refers to
to aa person’s
person’s consistent
consistent
behaviors
behaviors oror responses
responses toto recurring
recurring
situations.
situations.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 National Character

A
A national
national character
character is is aa distinct
distinct set
set of
of
personality
personality characteristics
characteristics common
common
among
among people
people of
of aa country
country or or society.
society.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Self-Concept

A
A person’s
person’s self-concept
self-concept is
is the
the way
way people
people
see
see themselves
themselves and
and the
the way
way they
they believe
believe
other
other people
people see
see them.
them.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Perception

Perception
Perception isis the
the process
process byby which
which an
an
individual
individual selects,
selects, organizes,
organizes, and
and
interprets
interprets information
information to to create
create aa
meaningful
meaningful picture
picture of
of the
the world.
world.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Subliminal Perception

Subliminal
Subliminal perception
perception means
means that
that you
you see
see
or
or hear
hear messages
messages without
without being
being aware
aware of
of
them.
them.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Attitude

An
An attitude
attitude is
is “a
“a learned
learned predisposition
predisposition to
to
respond
respond to
to an
an object
object or
or class
class of
of objects
objects in
in
aa consistently
consistently favorable
favorable or
or unfavorable
unfavorable
way.”
way.”

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Beliefs

Beliefs
Beliefs are
are aa consumers
consumers subjective
subjective
perception
perception of of how
how well
well aa product
product or
or
brand
brand performs
performs onon different
different attributes.
attributes.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Lifestyle

Lifestyle
Lifestyle is
is aa mode
mode ofof living
living that
that is
is
identified
identified byby how
how people
people spend
spend their
their time
time
and
and resources,
resources, whatwhat they
they consider
consider
important
important in in their
their environment,
environment, andand what
what
they
they think
think of of themselves
themselves and
and the
the world
world
around
around them.
them.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Perceived Risk

Perceived
Perceived risk
risk represents
represents the
the anxieties
anxieties felt
felt
because
because the
the consumer
consumer cannot
cannot anticipate
anticipate
the
the outcomes
outcomes ofof aa purchase
purchase but
but believes
believes
that
that there
there may
may be
be negative
negative consequences.
consequences.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Learning

Learning
Learning refers
refers to
to those
those behaviors
behaviors that
that
result
result from
from (1)
(1) repeated
repeated experience
experience and
and
(2)
(2) thinking.
thinking.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Brand Loyalty

Brand
Brand loyalty
loyalty is
is aa favorable
favorable attitude
attitude
toward
toward and
and consistent
consistent purchase
purchase ofof aa
single
single brand
brand over
over time.
time.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Opinion Leaders

Individuals
Individuals who
who exert
exert direct
direct or
or indirect
indirect
social
social influence
influence over
over others
others are
are called
called
opinion
opinion leaders.
leaders.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Word of Mouth

People
People influencing
influencing each
each other
other during
during their
their face-
face-
to-face
to-face conversations
conversations is is called
called word
word of of mouth:
mouth:
Satisfied
Satisfied customers
customers tell
tell one
one person
person to
to every
every
three
three that
that aa dissatisfied
dissatisfied customer
customer tells
tells

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Reference Groups

Reference
Reference groups
groups areare people
people to
to whom
whom an
an
individual
individual looks
looks asas aa basis
basis for
for self-
self-
appraisal
appraisal or
or as
as aa source
source ofof personal
personal
standards.
standards.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Consumer Socialization

The
The process
process by
by which
which people
people acquire
acquire the
the
skills,
skills, knowledge,
knowledge, and
and attitudes
attitudes necessary
necessary
to
to function
function as
as consumers
consumers isis consumer
consumer
socialization.
socialization.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Family Life Cycle

The
The family
family life
life cycle
cycle concept
concept describes
describes the
the
distinct
distinct phases
phases that
that aa family
family progresses
progresses
through
through from
from formation
formation toto retirement.
retirement.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Social Class

Social
Social class
class is
is defined
defined as
as the
the relatively
relatively
permanent,
permanent, homogeneous
homogeneous divisions
divisions in
in aa
society
society into
into which
which people
people sharing
sharing similar
similar
values,
values, interests,
interests, and
and behavior
behavior can
can be
be
grouped.
grouped.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

 Subcultures

Subgroups
Subgroups within
within the
the larger,
larger, or
or national,
national,
culture
culture with
with unique
unique values,
values, ideas
ideas and
and
attitudes
attitudes are
are referred
referred to
to as
as subcultures.
subcultures.

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin