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Consumer Behavior

Consumer
Behavior

Processes a consumer uses to


make purchase decisions, as
well as to use and dispose of
purchased goods or services;
also includes factors that
influence purchase decisions
and the product use.

Understanding the Cultural Influences on


Consumer Buying Decisions

Identify and understand the cultural


factors that affect consumer
buying decisions

Factors Influencing Buying Decisions

Cultural
Factors

Individual
Factors

Social
Factors

Psychological
Factors

CONSUMER
DECISIONMAKING
PROCESS

BUY /
DONT BUY

Culture

Culture

Set of values, norms,


attitudes, and other
meaningful symbols that
shape human behavior and
the artifacts, or products, of
that behavior as they are
transmitted from one
generation to the next.

Components of Culture
Values
Language
Myths
Customs
Rituals
Laws
Material artifacts

Value

Value

Enduring belief that a


specific mode of conduct is
personally or socially
preferable to another
mode of conduct.

Subculture

Subculture

A homogeneous group
of people who share
elements of the overall
culture as well as unique
elements of their own
group.

Social Class

Social Class

A group of people in a society


who are considered nearly
equal in status or
community esteem, who
regularly socialize among
themselves both formally and
informally, and who share
behavioral norms.

Social Class Measurements


Occupation
Income
Education

Wealth
Other Variables

The Impact of Social Class on


Marketing

Indicates which
medium to use for
communication

Helps determine the


best distribution for
products

Social Influences on
Consumer Buying Decisions

Identify and understand the


social factors that affect consumer buying
decisions

Social Influences
Reference
Groups

Opinion
Leaders

Family
Members

Reference Group
Reference Group

A group in society that


influences an individuals
purchasing behavior.

Reference Groups
Primary

Direct
Secondary

Reference
Groups
Aspirational

Indirect
Nonaspirational

Opinion Leaders
Opinion Leaders
An individual who influences
the opinion of others.

Opinion Leaders
Marketers are looking to Web logs, or blogs, to find
opinion leaders

Teenagers
Movie stars
Sports figures

Celebrities

Family
Purchase Process Roles in the Family

Initiators

Influencers
Decision Makers
Purchasers
Consumers

Individual Influences on
Consumer Buying Decisions

Identify and understand the individual


factors that affect consumer buying
decisions

Individual Influences

Gender

Age
Life Cycle

Personality
Self-Concept
Lifestyle

Psychological Influences on
Consumer Buying Decisions

Identify and understand the psychological


factors that affect consumer buying
decisions

Psychological Influences

Perception

Motivation
Learning
Beliefs & Attitudes

Perception

Perception

Process by which people select,


organize, and interpret stimuli into a
meaningful and coherent picture.

Motivation
Maslows
Hierarchy
of Needs

A method of classifying human


needs and motivations into five
categories in ascending order of
importance.

Maslows Hierarchy of Needs

Types of Learning

Experiential An experience changes behavior

Conceptual

Not learned through direct


experience

Beliefs and Attitudes

Belief

Attitude

An organized pattern of
knowledge that an individual
holds as true about his or her
world.
A learned tendency to
respond consistently toward a
given object.

Understanding Consumer
Behavior

consumers make
purchase decisions
Consumer
behavior

= HOW
consumers use and
dispose of product

Consumer
Decision-Making Process
Consumer
Decision-Making
Process

A five-step process used


by consumers when
buying goods or services.

Consumer
Decision-Making Process
Need Recognition

Cultural, Social,
Individual and
Psychological
Factors
affect
all steps

Information Search
Evaluation
of Alternatives

Purchase
Postpurchase
Behavior

Need Recognition
Need
Recognition
Result of an imbalance between
actual and desired states.

Stimulus
Stimulus
Any unit of input affecting
one or more of the five senses:
sight
smell
taste
touch
hearing

Recognition of
Unfulfilled Wants
When a current product
isnt performing properly
When the consumer is
running out of a product

When another product seems


superior to the one currently used

Information Search
Internal Information Search

Recall information in memory

External Information search


Seek information in outside
environment

Routine Response Behavior


Little involvement in selection process
Frequently purchased low cost goods
May stick with one brand
Buy first/evaluate later
Quick decision

Factors Determining the Level


of Consumer Involvement
Previous Experience
Interest
Perceived Risk of
Negative Consequences
Situation
Social Visibility

Marketing Implications
of Involvement
High-involvement
purchases require:

Extensive and informative


promotion to target market

Low-involvement
purchases require:

In-store promotion,
eye-catching package
design, and good displays.
Coupons, cents-off,
2-for-1 offers