Consumer Behaviors

Context / Overview
• Consumer Behavior
• Customer vs. Consumers
• The Ultimate Consumer
• Why Study Consumer Behaviors?
• Applications of Decision Making:
• Micro Perspective:
• Societal Perspective:
• Characteristics of Consumer behavior
• Consumer Buying Role
 Consumer Behaviour
• Consumer Behavior:
Consumer behavior refers to the actions and the
decision process of the people who purchase
goods and service for personal consumption
and satisfy particular needs and wants.

• Cognition: the process by which information

and knowledge acquired
• Affect: favorable and unfavorable .
• Behavior: purchase the product or negative or
positive.
• An individual make decision to spend their
available resource like:
Time
Money
Effort
On consumption related items:
Consumer make decision about:
What they buy
Why they buy
How they buy
When they buy
And form where they buy
 Customer vs. Consumers
• Customers vs. Consumers:

Customer: customer means who purchases the product from

the marketer or from the retailer or from the wholesaler. Here
we don’t bother about who uses the product.

Consumer: is the person who buys the product form the

market and that consumer is the ultimate user of that
product.
 The Ultimate Consumer

• The Ultimate Consumer:

The person who buys and uses a product after
it has passed though all the stages of
production
 WHY STUDY CONSUMER BEHAVIOUR?

Significance /Importatn in Daily Lives:

• Determining the production policy.

• Pricing policy.
• Market differences.
• Meeting the competition.
• Determining the sales promotion activities.
• Ethics in Marketing.
• Seeing or hearing advertisements about them.
Applications of Decision Making:
Consumers are often studied because certain
decisions are significant affected by their
behavior or expected actions. For this reason,
Consumer behavior is said to be “Applied
Discipline”.
 Micro Perspective:

Advertising Managers, product managers,

product designers and many others in profit-
oriented businesses are interested in
understanding consumers in order to be more
effective at their tasks and earn more profit
for their Organizations.
 Societal Perspective:

Consumers collectively influence economic

and social conditions
within an entire society.
Consumer purchases are highly influence by two factors.

Internal External

Psychological Cultural

Personal Social
 Motivation Motivation

Motive or (drive) A need

Perception that is sufficiently
pressing to direct the
person to seek
Psychological satisfaction of the need.
Learning
Factors

Beliefs

Attitudes
 Motivation Perception

The process by which

Perception people select, organize
and interpret
information to from a
Psychological meaningful picture of
Learning
Factors world.

Beliefs

Attitudes
 Motivation Learning

Changes in an
Perception individual’s behavior
arising from experience.
Psychological
Learning
Factors

Beliefs

Attitudes
 Motivation Beliefs

A descriptive thought or
Perception conviction that a person
holds about something.
Psychological
Learning
Factors

Beliefs

Attitudes
 Motivation Attitude

A person’s relatively
Perception consistent evaluation,
feelings and tendencies
towards an object or an
Psychological idea.
Learning
Factors

Beliefs

Attitudes
 Consumer Buying Role
Initiator

User Influencer

Buying
Decision

Buyer Decider

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Initiator
The person who first suggests or thinks of the
idea of buying a particular product or service.

INFLUENCER
A person whose views or advice carry some
weight in making the final buying decision.

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Decider
The person who ultimately makes a buying
decision or any part of it- whether to buy, what
to buy, how to buy or where to buy .

Buyer
The person who makes an actual purchase.
User
The person who consumes or uses a
product or service.
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 Buyer Decision Process
Purchase
Intention
Evaluation Purchase
of Alternatives Decision
Information
Search
Need
Recognition
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