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Scope of Consumer Behavior

The scope of consumer behavior includes not only the actual buyer and his act of buying but also the various roles played by different individuals and the influence they exert on the final purchase decisions. To define the scope of CB it is important to Click the framework in three main sections, divide to edit Master subtitle style The decision process vThe consumer determinants vThe external environment.


Framework of Consumer Behavior


Elements of Consumer Behavior v CB involves both individual (psychological)

processes & group (Social) processes.
v CB is reflected from awareness right through

from post purchase evaluation indicating satisfaction or non satisfaction from purchases.
v Consumer behavior includes communication,

purchasing & consumption behavior.

v CB is basically social in nature so social behavior

plays a great role in shaping buyer behavior.

v CB includes both consumer & business buyer


v CB is dynamic because the thinking, feelings &

actions of individual consumers are constantly 7/13/12 changing.

Buyers and Users The person who buys a particular product may not necessarily be the user, or the only user of this product. Likewise, it is also true that the person who purchases Selected Consumer Behavior Roles the product may not be the decision-maker.
Initiat or Gateke eper Influe ncer Deci der Bu ye r Use r(s)

R ol e

The initiator is the individual who ascertains need or want is not being satisfied and that some purchase to authorises a correct the situation. the familys information Influences

Descript ion

gatekeeper the processing. The most expertise in evaluating theobtaining and has information. is someone who intentionally or The influencer by word or action, influences the purchase otherwise, purchase and/or decision, actual the use of product or service. The cider is the person or persons who actually which decides or service will be product de chosen. any individual who actually makes Buyer is purchase the final transaction. User is a person most directly involved in consumptio the use or n of the purchased product


Consumer Behavior Applications in Marketing

v v v v v v v

Analyzing market opportunity Selecting target market Marketing- mix decisions Product Price Promotion Distribution


Disciplines Involved in the Study of Consumer Behavior was a relatively new field Consumer behavior
of study during the second half of the 1960s without a history or research of its own. It is in fact a subset of human behavior and it is often difficult to draw a distinct line between consumer-related behavior and other aspects of human behavior. The discipline of consumer behavior has borrowed heavily from concepts

developed in other disciplines of study such

Development of Consumer Behavior Field variety of reasons, the study For a

of consumer behavior has developed as an important and separate branch in marketing discipline. Scholars of marketing had observed that consumers did not always behave as suggested by economic theory.

These findings led to the development of

market segmentation concept, which required dividing the total heterogeneous but potential market into relatively smaller homogenous groups or segments for which they could 7/13/12

CONSUMER RESEARCH Consumer research is a methodology used to

study consumer behavior. Consumer research is an integral part of marketing research & makes use of set of methods to explore & predict consumer behavior to identify their needs & preferences act.

The information collected helps developing products & services and other marketing mix activities to influence consumer behavior. Today consumer research has emerged as an extension & of marketing research which is used on exploring consumer behavior. by knowing the consumer decision making process, marketing strategies and promotional messages could be designed to influence the consumer in the direct 7/13/12

Importance of Consumer Research

Helps in the Prediction of Consumer Behavior Focuses on the Consumption pattern of Consumers. Provides useful informations in taking various

Marketing Decisions.
Determining Demographics of existing & potential


Identifying customer needs * product expectations


Identifying Factors influencing purchase decisions. The current consumer trend in the market. Knowledge about the loyal, potential,& future

consumers. 7/13/12

Consumer Research Process CR

objectives Secondary data collection Sufficient ye insight s no Design primary research Explora tory researc h Quantitative research Collect primary data Analyze data Prepare repsrt Prepare report

Qualitative research Conduct Research Analyze data Prepare 7/13/12 report

Types of Research Designs Quantitative Research :Qualitative Vs.

Quantitative research deals mostly with numerical information & includes the methods for data collection, the data collection instruments and the sample designs.

Qualitative research deals with less tangible data such as customer opinions. this techniques are related to psychoanalytical and clinical aspects of psychology.

Internal Vs. External Research:-

The information available within an organization is called internal data. like sales reports, distribution & production records, customer database ect.

External data is information collected by outside bodies like Census survey, MR bodies like NCAER,IMRB etc.external data may be secondary & primary

Primary Vs. Secondary Research:Any data originally generated for some purpose other than the present research objective is secondary information. it is usually 7/13/12
collected by third party.

Methods of Research Designs Qualitative

Research Design
Depth Interviews Focus/ discussion groups Consumer Suggestions Projective techniques

Quantitative Research Design


Experimentation Surveys (mail, interview, Questionnaire


Word Association Test Thematic Apperception Test Sentence Completion Test The third Person Technique Role Plays Cartoon Test 7/13/12