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Session 1a
Introduction to Consumer Behaviour &
Importance to Marketing Management
Angela Dalrymple
Module Information
Consumer Behaviour
Interdependence Love
(part of daily routine) (create emotions)
1- 5
Personal Consumer
1- 12
Discussion Question 1
In recent years, there has been a large debate about
the influence that internet shopping has on our
consumer lives
List the changes that you personally have made in
your buying and consumption patterns due to e-
commerce
Compare these changes with changes experienced by
other people from various social groups, e.g.
somebody from your parents’ generation, an IT
“geek”, or somebody with a lower educational
background
Consumer Behaviour Model &
Marketing Management
Consumer Behaviour Perspectives
CONSUMER’S MARKETER’S
PERSPECTIVE PERSPECTIVE
Selling Concept
Marketing
Concept
The Production Concept
Assumes that consumers are
interested primarily in product
availability at low prices
Marketing objectives:
Cheap, efficient production
Intensive distribution
Market expansion
The Product Concept
Assumes that consumers will buy
the product that offers them the
highest quality, the best
performance, and the most features
Marketing objectives:
Quality improvement
Addition of features
Tendency toward Marketing Myopia
The Selling Concept
Copyright 2007 by
Prentice Hall
The Marketing Concept
Implementing the
Marketing Concept
Geographic Use-Related
Demographic Usage-
Psychological Situation
Psychographi Benefit
c Sought
Sociocultural Hybrid
Segmenting Consumers: Demographics
CB analyses important
demographics, such as:
Age
Gender
Family structure
Social class and income
Race and ethnicity
1- 27
Segmenting Consumers: Lifestyles
Psychographics
The way we feel
about ourselves
The things we
value
The things we like
and we do in our
working and spare
time
1- 28
Geographic Segmentation
Age
Sex
Marital Status
Income, Education, and Occupation
Web sites for Singles
Looking for a Match
Motivations
Personality
Perceptions
Learning
Attitudes
Psychographic Segmentation
Rate of Usage
Heavy vs. Light
Awareness Status
Aware vs. Unaware
Brand Loyalty
Brand Loyal vs. Brand Switchers
Segmenting Customers by Usage
Current
Share
High Low
Psychographic-Demographic
Profiles
Geodemographic Segmentation
SRI Consulting’s VALS
VALS Framework
Copyright 2007 by
Prentice Hall
Criteria for Effective Targeting of Market
Segments
Identification
Sufficiency
Stability
Accessibility
Implementing Segmentation Strategies
Concentrated Marketing
One segment
Differentiated
Several segments with individual
marketing mixes
Discussion Question 2
What products that you regularly
purchase do you think are highly
segmented to meet your profile or
criteria?
What are these segments?
Why is segmentation useful to the
marketer for these products?
The Marketing Concept
Implementing the
Marketing Concept
Consumer The selection of one or
Research more of the segments to
Segmentation pursue
Targeting
Positioning
The Marketing Concept
Implementing the
Marketing Concept
Developing a distinct image
Consumer for the product in the mind of
Research the consumer
Segmentation Successful positioning
Targeting includes:
Communicating the benefits of
Positioning the product
Communicating a unique selling
proposition
Consumers as Individuals
Product
Price
Place
Promotion
Consumers as Decision Makers
Individuals or Family
Marketing Management:
buying and consumption
Analysis - Strategy
decision making
Action- Control
process
How can culture and sub culture influence the buying &
consumption process?
How can marketers use cultural and sub cultural issues
and traits to create and/or influence preferences?
Consumer behaviour and market analysis