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Consumer Behavior

 Influences on consumer
behavior
 Psychological
 Decision making
 Attitudes and attitude
change
 Sociocultural
 Reference groups
 Family decision making
 Culture and subculture

18/03/08 PGP FB-1 FW 07-09


Consumer Problems and
Recognition
 Consumer problem: Discrepancy
between ideal and actual state--e.g.,
consumer:
 has insufficient hair
 is hungry
 has run out of ink in his or her inkjet cartridge
 Problems can be solved in several
ways--e.g., stress reduction <----- vacation,
movie, hot bath, medication

18/03/08 PGP FB-1 FW 07-09


CONSUMER DECISIONS:
Theory and Reality in Consumer Buying

Problem
Recognition
Information
Search

Evaluation of
Alternatives
Purchase
Postpurchase
Evaluation/ Theory

Behaviors Complications

18/03/08 PGP FB-1 FW 07-09


Approaches to Search for
Problem Solutions

INTERNAL
Memory
Thinking

EXTERNAL
Word of mouth, media, CATALOG
store visits, trial
18/03/08 PGP FB-1 FW 07-09
Cost vs. Benefits of Search
 Market
Characteristics
 Product
Characteristics
 Consumer
Characteristics
 Situation
Characteristics

18/03/08 PGP FB-1 FW 07-09


Decision Issues
 Types of decisions  Type of evaluation:
 Routinized response  Compensatory: Decision
(e.g., gas, sodas) based on overall value of
alternatives (good
 Limited problem solving
attribute can outweigh
(e.g., car service, fast
bad ones)
food)
 Non-compensatory:
 Extended problem Absolutely must meet at
solving (e.g., new car, least one important
computer, medical criterion (e.g., car must
procedures) have automatic
transmission)

18/03/08 PGP FB-1 FW 07-09


Variety Seeking and
Impulse Buying
● Variety seeking
» need varies among
consumers by optimal
stimulation level (OSL)
» Use innovativeness
● Impulse purchases
» Motivation
“Don’t give me that
same old cola, that
» Consequences
same old cola--
I want a rock’n’roller!”

18/03/08 PGP FB-1 FW 07-09


Psychological Influences
 Motivation  Perceived risk
 Personality  Learning
 Change in behavior
 Perception  May or may not be
 Attention and conscious
competition for
attention
 Values, beliefs, and
attitudes
 Selective perception
 Subliminal influence?
 Lifestyle—e.g.,
VALS2

18/03/08 PGP FB-1 FW 07-09


Attitude Change Strategies
 Change Affect
 Classical conditioning
 Attitude toward the ad
 Mere exposure
 Change behavior (e.g.,
sampling)
 Change Belief Component
 Change existing beliefs
 Change importance of attributes
 Add beliefs
 Change ideal

18/03/08 PGP FB-1 FW 07-09


One-sided vs. two sided
appeals
 One-sided: only
saying what favors
your side
 Two-sided: stating
your case but also
admitting points
favoring the other
side
 Why is this
effective?

18/03/08 PGP FB-1 FW 07-09


Sociocultural Influences
 Personal Influence  Culture
 Opinion leadership  Subculture
 Word of mouth and
rumors
 Reference groups
 Associative: “We’re
the Pepsi
generation…”
 Dissociative: “It’s
not your father’s
car.”
 Aspirational

18/03/08 PGP FB-1 FW 07-09


Potential Family Life Cycle
Stages

YOUNG YOUNG EMPTY NEST


SINGLE COUPLE I/II

FULL NEST
I/II/III
SINGLE OLDER
PARENT SINGLE
BLENDED
18/03/08 PGP FB-1 FW 07-09
Economic/Marketing Implications of
Household Cycles
 Income tends to  Product demand
increase with time due to
 But children/  singles with low
obligations add cost expenses
 new couples
 Divorce
 divorced families
 increases costs
 children
 may change income
distribution marriage
 empty nesters -->
more income

18/03/08 PGP FB-1 FW 07-09


Household Decision Making

 Roles/influence
 Information
gatherers/holders
 Influencers
 Decision makers
 Purchasers
 Users

18/03/08 PGP FB-1 FW 07-09


More Sociocultural Influences
 Social class  Subculture
 In the U.S.  Ethnic
 Positioning  Generational
strategies:
 “Upward Pull”
 Regional
 “At Level”  Religious groups
 In other cultures
 Culture: “Share
meanings”

18/03/08 PGP FB-1 FW 07-09


Organizational Buyers
 Types  Characteristics
 Industrial  Greater involvement
 Reseller  Bureaucracy
 Government and  Long term
non-profit relationships
organizations

18/03/08 PGP FB-1 FW 07-09


The Means-End Chain

Aim promotion/
positioning at higher Self-esteem
levels of chain!

Values Feeling of power

Consequences
Performance
Attributes
Fast acceleration

Large engine
18/03/08 PGP FB-1 FW 07-09

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