Consumer Behavior

Influences on consumer behavior

Psychological

Decision making Attitudes and attitude change Reference groups Family decision making Culture and subculture

Sociocultural

MKTG 370

CONSUMER BEHAVIOR

Lars Perner, Instructor

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

MKTG 370

CONSUMER BEHAVIOR

Lars Perner, Instructor

CONSUMER DECISIONS:
Theory and Reality in Consumer Buying
Problem Recognition

Information Search

Evaluation of Alternatives Purchase Postpurchase Evaluation/ Behaviors

MKTG 370

Theory Complications

CONSUMER BEHAVIOR

Lars Perner, Instructor

Approaches to Search for Problem Solutions

INTERNAL
Memory Thinking

EXTERNAL
Word of mouth, media, store visits, trial
MKTG 370

CATALOG

CONSUMER BEHAVIOR

Lars Perner, Instructor

Cost vs. Benefits of Search

Market Characteristics Product Characteristics Consumer Characteristics Situation Characteristics

CONSUMER BEHAVIOR
Lars Perner, Instructor

MKTG 370

Decision Issues

Types of decisions

Type of evaluation:

Routinized response (e.g., gas, sodas) Limited problem solving (e.g., car service, fast food) Extended problem solving (e.g., new car, computer, medical procedures)

Compensatory: Decision based on overall value of alternatives (good attribute can outweigh bad ones) Non-compensatory: Absolutely must meet at least one important criterion (e.g., car must have automatic transmission)
Lars Perner, Instructor

MKTG 370

CONSUMER BEHAVIOR

Variety Seeking and Impulse Buying

Variety seeking
need varies among consumers by optimal stimulation level (OSL) Use innovativeness

Dont give me that same old cola, that same old cola-I want a rocknroller!
MKTG 370

Impulse purchases
Motivation Consequences

CONSUMER BEHAVIOR

Lars Perner, Instructor

Psychological Influences

Motivation Personality Perception

Perceived risk Learning

Attention and competition for attention Selective perception Subliminal influence?

Change in behavior May or may not be conscious

Values, beliefs, and attitudes Lifestylee.g., VALS2

Lars Perner, Instructor

MKTG 370

CONSUMER BEHAVIOR

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
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MKTG 370

CONSUMER BEHAVIOR

Lars Perner, Instructor

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?

CONSUMER BEHAVIOR
Lars Perner, Instructor

MKTG 370

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Sociocultural Influences

Personal Influence

Opinion leadership Word of mouth and rumors Reference groups

Culture Subculture

Associative: Were the Pepsi generation Dissociative: Its not your fathers car. Aspirational
CONSUMER BEHAVIOR
Lars Perner, Instructor

MKTG 370

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Potential Family Life Cycle Stages

YOUNG SINGLE YOUNG COUPLE EMPTY NEST I/II

FULL NEST I/II/III

SINGLE PARENT
BLENDED
MKTG 370

OLDER SINGLE

CONSUMER BEHAVIOR

Lars Perner, Instructor

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Economic/Marketing Implications of Household Cycles

Income tends to increase with time But children/ obligations add cost Divorce

Product demand due to

increases costs may change income distribution marriage

singles with low expenses new couples divorced families children empty nesters --> more income
Lars Perner, Instructor

MKTG 370

CONSUMER BEHAVIOR

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Household Decision Making

Roles/influence

Information gatherers/holders Influencers Decision makers Purchasers Users

MKTG 370

CONSUMER BEHAVIOR

Lars Perner, Instructor

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More Sociocultural Influences

Social class

Subculture

In the U.S.

Positioning strategies:

Upward Pull At Level

Ethnic Generational Regional Religious groups

In other cultures

Culture: Share meanings

CONSUMER BEHAVIOR
Lars Perner, Instructor

MKTG 370

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Organizational Buyers

Types

Characteristics

Industrial Reseller Government and non-profit organizations

Greater involvement Bureaucracy Long term relationships

MKTG 370

CONSUMER BEHAVIOR

Lars Perner, Instructor

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The Means-End Chain

Aim promotion/ positioning at higher levels of chain!

Self-esteem

Values Consequences Attributes

Feeling of power
Performance

Fast acceleration
Large engine

MKTG 370

CONSUMER BEHAVIOR

Lars Perner, Instructor

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