Lesson 3: Customer Behavior (Chapter 5, 6)

International School
Khoa Đào tạo Quốc tế

http://kdtqt.duytan.edu.vn
Lesson 3: Customer Behavior

(chapter 5, 6)
Ms. HUỲNH, Linh Lan Huynhlinhlan@gmail.com
Ms. HSU, Paya (Yun-Chin) ychsu2016@gmail.com
Office: International School, Nguyen Van Linh Campus
4/28/2019 Page: 1
Course Outline (Lessons)

1. Marketing Introduction 6. Product
2. Marketing Strategy 7. Price
3. Customer Behavior 8. Place
4. Marketing Research 9. Promotion
5. Segmenting, Positioning,
and Forecasting Markets
Textbook:
Kerin, R. A., Hartley, S. W., & Rudelius, W. (2012).
Marketing (12th ed.). New York, NY: McGraw-Hill
Education.
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Objectives
• Describe the stages in the consumer purchase

decision process.
• Identify major factors influence consumer business
behavior
• Describe the stages in the business purchases decision
process
• Identify major factors influence business behavior
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Before we move on to Lesson 3, few questions…

• Did you buy your mobile phone (or decide which
phone)?
• If you had no say of deciding which phone you are
using, what is the most valuable possession you
bought for yourself?
• Can you recall (1) what you made this decision, the
decision of getting your mobile phone you are using
now?
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Content
3.1. Understanding consumer behavior
3.1.1 Purchasing decision process (5 stages)
Involvement & decision making
Factors which influence decision making
3.1.2 Psychological influences on consumer behavior
3.1.3 Sociocultural Influences on consumer behavior
3.2. Understanding organizations as customers
3.1. Understanding consumer behavior
• Consumer Behavior: consists of the actions a person

takes in purchasing and using products and services,
including the mental and social processes that come
before and after these actions.
• The purchase decision process is the stages a buyer
passes through in making choices about which
products and services to buy.
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Slide 5-71
3.1.1 Purchase decision process
Information Purchase
search: decision:
Seeking Buying
value value
Alternative Postpurchase
Problem
evaluation: behavior:
recognition:
Assessing Value in
Perceiving a
value consumption
need
or use
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Slide 5-7
3.1.1. Consumer purchase decision process

and experience
Consumer purchase decision process and experience
• Stage 1: Problem recognition: Perceiving a need
Internal stimulation
External stimulation
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and experience
Stage 2: Information search: Seeking value

 Internal Search
 External Search
- Personal Sources
- Public Sources
- Market-Dominated Sources
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3.1. 1.Consumer purchase decision process

and experience
Stage 3: Alternative evaluation
- Evaluative criteria are the factors which represent
both the objective attributes of a brand and the
subjective ones a consumer uses to compare different
products and brands.
- A consideration set is the group of brands that a
consumer would consider acceptable from among all
the brands in the product class of which he or she is
aware.
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What new car buyers consider most

important in deciding what new car to buy
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and experience
Stage 4: Purchasing decision
Other’s attitude and

Situational factors
consumer’s respond
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and experience
Stage 5: Post-purchase behavior: Value in
Consumption or use
After buying a product, the consumer compares it
with his/her expectations and is either satisfied or
dissatisfied.
Cognitive dissonance is the feeling of post-purchase
psychological tension or anxiety consumers may
experience when faced with two or more highly
attractive alternatives.
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Involvement and Problem solving
Slide 5-16
Influences on the consumer purchase decision
process
Slide 5-18
3.1.2. Psychological influences on

consumer behavior
• Motivation is the energizing force that stimulates
behavior to satisfy a need
Motivation
• Perceived risk • Information
• Need • Create energy processing
• purchase
Factors Behavior
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3.1.2. Psychological influences on

consumer behavior
• Perception is the process by which an individual
selects, organizes, and interprets information to create
a meaningful picture of the world.
• Selective perception
• Perceived risk
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Selective perception
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3.1.3 Sociocultural influences - Opinion

leaders
Opinion leaders are individuals who exert direct or
indirect social influence over others.
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Word of mouth
• Word of mouth is the influencing of people during
conversations.
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Word of mouth influence
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Slide 5-41
3.1.3. Sociocultural influences on

consumer behavior
Family influence: Roles of individual family members
in the purchase process:
- Information gatherer
- Influencers
- Decision maker
- Purchaser
- User
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Family life cycle
The family life cycle describes the distinct phases that

a family progresses through from formation to
retirement, each phase bringing with it identifiable
purchasing behaviors.
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Modern family life cycle
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Slide 5-45

consumer behavior
Reference group
Reference groups are people to whom an individual
looks as a basis for self-appraisal or as a source of
personal standards.
Membership
Family, friend
group
Reference Aspiration Actors,

groups group singers,
Dissociative Maintain
group distance
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consumer behavior
 Culture: refers to the set of values, ideas and
attitudes that are learned and shared among the
members of a group
 Subculture: are subgroups within the larger, or
national, culture with unique values, ideas, and
attitudes
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3.2. Understanding organizations
as customers
 Organizational buyers
.
Organizational buyers are those manufacturers,
wholesalers, retailers, and government agencies that buy
goods and services for their own use or for resale
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3.2.1 The nature and size of organization
markets
Industrial firms are organizational buyers that in
some way reprocesses a product or service they
buy before selling it again to the next buyer.
Resellers are wholesalers and retailers that buy
physical products and resell them again without
any processing.
Government units are the federal, state, and local
agencies that buy goods and services for the
constituents they serve.
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3.2.2 Characteristic of organizational buying
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as customers
 Characteristic of organizational buying
 Derived Demand
Derived demand means the demand for industrial
products and services is driven by, or derived from,
demand for consumer products and services.
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as customers
 Organizational Buying Criteria
Organizational buying criteria are the objective
attributes of the supplier’s products and services and
the capabilities of the supplier itself.
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Key organizational buying criteria
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Slide 6-17

as customers
 The Buying Center: A Cross-Functional Group
- Buying Center
- Buying Committee
- People in the Buying Center
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Buying center
A buying center is the group of people
in an organization who participate in the buying
process and share common goals, risks, and knowledge
important to a purchase decision.
 The Buying Center: A Cross-Functional Group
Roles in the Buying Center
- Users
- Influencers
- Buyers
- Deciders
4/28/2019 - Gatekeepers Page: 45
3.2.4 Charting the organization buying
process
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How the buying situation affectshttp://kdtqt.duytan.edu.vn
buying center behavior
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Slide 6-26
KEY TERMS
• Attitude: thái độ • Sales: doanh số

• Beliefs: niềm tin • Cost = expense: chi phí
• Brand loyalty: lòng trung thành • Profit: lợi nhuận
thương hiệu
• Product category: chủng loại sản
• Consideration set: tập xem xét phẩm
• Perception: nhận thức • Commission: hoa hồng cho NV
• Reference groups: nhóm tham bán hàng
khảo • Sale representative: đại diện bán
• Word of mouth: truyền miệng hàng
• Market share: thị phần • Customer centricity: lấy KH làm
• Revenue: doanh thu trung tâm
• Segment: đoạn thị trường
4/28/2019 Page: 48
Video case 5: Best Buy: Using customer

centricity to connect with customers
1. How has an understanding of consumer behaviour helped
Best Buy grow from a small specialty audio retailer to
the world’s largest consumer electronics retailer?
2. What were the advantages and disadvantages of using
“customer centricity” to create five segments of Best Buy
customers?
3. How are men and women different in their consumer
behavior when they are shopping in a Best Buy store?
4. What are two or three (a) objective evaluative criteria and
(b) subjective evaluative criteria female consumers use
when shopping for electronics at Best Buy?
5. What challenges does Best Buy face in the future?
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Review question
1. Define the consumer market and construct a simple

model of consumer buyer behavior
2. Name the four major factors that influence consumer
buyer behavior
3. List and define the major types of buying decision
behavior and the stages in the buyer decision
process.
4/28/2019 Page: 50
Building your marketing plan

1. Identify the customers who are most likely to buy your
product – the primary target market – in terms of (a) their
demographics and (b) any kind of characteristics your believe
are important
2. Describe (a) the main points of difference of your product for
this group and (b) what problem they help solve for the
customer, in terms of the fist stage in the customer purchase
decision process.
3. Identify the one or two key influences for each of the four
influences: (a) marketing mix, (b) psychological, (c)
sociocultural and (d) situational
4/28/2019 Page: 51
Quiz 1
Which of the following is an example of a situational influence

that can have an impact on the purchase decision process?
A) culture and subculture
B) values, beliefs and attitudes
C) perception
D)O pinion leadership
E) physical surroundings
4/28/2019 Page: 52
Quiz 2
Several people often participate in the organizational buying

process. Called __________, these people share common
goals, risks, and knowledge important to a purchase decision.
A) a committee
B) a feasibility study group
C) corporate obstructionists
D) a buying center
E) a cohort
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Quiz 3
A ________ is a need that is sufficiently pressing to direct a

person to seek satisfaction.
A) stimulus
B) perception
C) culture
D) motivation
E) tradition
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Quiz 4
The buyer decision process consists of five stages. Which of the

following is NOT one of these stages?
A) need recognition
B) information search
C) variety-seeking buying behavior
D) purchase decision
E) postpurchase behavior
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Quiz 5
A shoe company uses ads featuring the members of a country

music band with the hope that the band's fans will see them
wearing the company's shoes and want to wear the same shoes.
The shoe company is hoping that fans of the band view the
band as a __.
A) membership group
B) reference group
C) status symbol
D) subculture
E) lifestyle
4/28/2019 Page: 56
Filling the blank
_________ are people to whom an individual looks as a basis of

self-appraisal or as a source of personal standards. Reference
group influence will depend on the product and brand
purchase decision made by consumers and its visibility to
others. Three groups have clear marketing implications:
___________
4/28/2019 Page: 57

Lesson 3: Customer Behavior (Chapter 5, 6)

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Lesson 3: Customer Behavior (Chapter 5, 6)

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International School

Khoa Đào tạo Quốc tế

Lesson 3: Customer Behavior

Office: International School, Nguyen Van Linh Campus

Course Outline (Lessons)

• Describe the stages in the consumer purchase

Before we move on to Lesson 3, few questions…

3.1. Understanding consumer behavior

• Consumer Behavior: consists of the actions a person

3.1.1 Purchase decision process

3.1.1. Consumer purchase decision process

3.1.1. Consumer purchase decision process

Stage 2: Information search: Seeking value

3.1. 1.Consumer purchase decision process

What new car buyers consider most

3.1.1. Consumer purchase decision process

Other’s attitude and

3.1.1. Consumer purchase decision process

3.1.2. Psychological influences on

3.1.2. Psychological influences on

3.1.3 Sociocultural influences - Opinion

Word of mouth influence

3.1.3. Sociocultural influences on

Family life cycle

The family life cycle describes the distinct phases that

Modern family life cycle

3.1.3. Sociocultural influences on

Reference Aspiration Actors,

3.1.3. Sociocultural influences on

3.2. Understanding organizations

3.2. Understanding organizations

3.2. Understanding organizations

• Attitude: thái độ • Sales: doanh số

Video case 5: Best Buy: Using customer

1. Define the consumer market and construct a simple

Building your marketing plan

Which of the following is an example of a situational influence

Several people often participate in the organizational buying

A ________ is a need that is sufficiently pressing to direct a

The buyer decision process consists of five stages. Which of the

A shoe company uses ads featuring the members of a country

Filling the blank

_________ are people to whom an individual looks as a basis of

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