consumer behaviour
TRANSCRIPT
Munif Ahmad
Consumer Behavior
By Munif Ahmad
Munif Ahmad
Consumer Buying BehaviorConsumer Buying Behavior refers to the buying behavior of
final consumers (individuals & households) who buy goods and services for personal consumption.
Study consumer behavior to answer: ““How do consumers respond to How do consumers respond to
marketing efforts the company marketing efforts the company might usemight use?”?”
Munif Ahmad
ConsumerPurchaseDecision
Motives
Personality
Needs
Perception
Learning
AttitudesB
usi
nes
sCultu
re
Economic
Fam
ilySocial
SIMPLE MODEL FOR CONSUMER BEHAVIOUR
Munif Ahmad
Model of Consumer BehaviorMarketing andOther Stimuli
Marketing andOther Stimuli
Buyer’s ResponseBuyer’s Response
Product
Price
Place
Promotion
Economic
Technological
Political
Cultural
Characteristics Affecting Consumer Behavior
Buyer’s Decision Process
Product Choice
Brand Choice
Dealer Choice
Purchase Timing
Purchase Amount
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Characteristics Affecting Consumer Behavior
BuyerBuyer
Psychological
Personal
Social
Culture
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Factors Affecting Consumer Behavior:Culture
Social Class
• People within a social class tend to exhibit similar buying behavior.
• Occupation
• Income
• Education
• Wealth
Social Class
• People within a social class tend to exhibit similar buying behavior.
• Occupation
• Income
• Education
• Wealth
Most basic cause of a person's wants and behavior.
ValuesPerceptions
Most basic cause of a person's wants and behavior.
ValuesPerceptions
Subculture
• Groups of people with shared value systems based on common life experiences.
• North Indian Consumers
• African American Consumers
• Asian American Consumers
• Mature Consumers
Subculture
• Groups of people with shared value systems based on common life experiences.
• North Indian Consumers
• African American Consumers
• Asian American Consumers
• Mature Consumers
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Factors Affecting Consumer Behavior:Social
Groups
• Membership
• Reference
Groups
• Membership
• Reference
Family• Husband, wife, kids• Influencer, buyer, user
Family• Husband, wife, kids• Influencer, buyer, user
Roles and StatusRoles and Status
Social FactorsSocial Factors
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Factors Affecting Consumer Behavior:Personal Personal InfluencesPersonal Influences
Age and Family Life CycleStage
Age and Family Life CycleStage OccupationOccupation
Economic SituationEconomic Situation
Lifestyle IdentificationLifestyle Identification
ActivitiesActivities OpinionsOpinions
InterestsInterests
Personality & Self-ConceptPersonality & Self-Concept
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VALS 2
Principle Oriented Status Oriented Action Oriented
AchieversAchievers
ActualizersActualizers
StrugglersStrugglers
StriversStrivers
FulfilledsFulfilleds
BelieversBelievers
ExperiencersExperiencers
MakersMakers
Abundant ResourcesAbundant Resources
Minimal ResourcesMinimal Resources
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Factors Affecting Consumer Behavior:PsychologicalFactors Affecting Consumer Behavior:Psychological
Psychological Factors
MotivationMotivation
PerceptionPerception
LearningLearning
Beliefs and Attitudes
Beliefs and Attitudes
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Maslow’s Hierarchy of Needs
Esteem Needs(self-esteem, status)
Social Needs(sense of belonging, love)
Safety Needs(security, protection)
Physiological Needs(hunger, thirst)
Self Actualization
(Self-development)
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Types of Buying Decisions
ComplexBuying
Behavior
Dissonance-Reducing Buying
Behavior
Variety-SeekingBehavior
HabitualBuying
Behavior
HighInvolvement
Significantdifferences
betweenbrands
Fewdifferences
betweenbrands
LowInvolvement
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The Buyer Decision Process
Need RecognitionNeed Recognition
Information SearchInformation Search
Evaluation of AlternativesEvaluation of Alternatives
Purchase DecisionPurchase Decision
Post-purchase BehaviorPost-purchase Behavior
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SITUATIONS
ProblemRecognition
InformationSearch
Alternative Evaluationand Selection
Outlet Selectionand Purchases
Post-purchaseProcesses
SITUATIONS
EXTERNAL INFLUENCESCulture
SubcultureDemographicsSocial Status
Reference GroupsFamily
Marketing Activities
INTERNAL INFLUENCESPerceptionLearningMemoryMotives
PersonalityEmotionsAttitudes
SELF-CONCEPTand
LIFESTYLE
Desires
Experiences and Acquisitions
Experiences and Acquisitions
Needs
DECISION MAKING PROCESSES
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The Buyer Decision ProcessStep 1. Need RecognitionThe Buyer Decision ProcessStep 1. Need Recognition
External Stimuli
• TV advertising
• Magazine ad
• Radio slogan
•Stimuli in the environment
External Stimuli
• TV advertising
• Magazine ad
• Radio slogan
•Stimuli in the environment
Internal Stimuli
• Hunger
• Thirst
• A person’s normal needs
Internal Stimuli
• Hunger
• Thirst
• A person’s normal needs
Need RecognitionDifference between an actual state and a desired state
Need RecognitionDifference between an actual state and a desired state
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The Buyer Decision ProcessStep 2. Information Search
•Family, friends, neighbors•Most influential source of information
•Advertising, salespeople•Receives most information
from these sources
•Mass Media•Consumer-rating groups
•Handling the product•Examining the product•Using the product
Personal Sources Personal Sources
Commercial SourcesCommercial Sources
Public SourcesPublic Sources
Experiential SourcesExperiential Sources
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The Buyer Decision ProcessStep 3. Evaluation of AlternativesThe Buyer Decision ProcessStep 3. Evaluation of Alternatives
Product AttributesEvaluation of Quality, Price, & Features
Product AttributesEvaluation of Quality, Price, & Features
Degree of ImportanceWhich attributes matter most to me?
Degree of ImportanceWhich attributes matter most to me?
Brand BeliefsWhat do I believe about each available brand?
Brand BeliefsWhat do I believe about each available brand?
Total Product SatisfactionBased on what I’m looking for, how satisfied
would I be with each product?
Total Product SatisfactionBased on what I’m looking for, how satisfied
would I be with each product?
Evaluation ProceduresChoosing a product (and brand) based on one
or more attributes.
Evaluation ProceduresChoosing a product (and brand) based on one
or more attributes.
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The Buyer Decision ProcessStep 4. Purchase Decision
Purchase IntentionDesire to buy the most preferred brand
Purchase IntentionDesire to buy the most preferred brand
Purchase DecisionPurchase Decision
Attitudes of others
Unexpected situational factors
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The Buyer Decision ProcessStep 5. Postpurchase BehaviorThe Buyer Decision ProcessStep 5. Postpurchase Behavior
Consumer’s Expectations of
Product’s Performance
Consumer’s Expectations of
Product’s Performance
Dissatisfied Customer
Dissatisfied Customer
Satisfied Customer!Satisfied Customer!
Product’s Perceived
Performance
Product’s Perceived
Performance
Cognitive Dissonance
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Stages in the Adoption Process
AwarenessAwareness
InterestInterest
EvaluationEvaluation
TrialTrial
AdoptionAdoption
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Adoption of InnovationsP
erce
nta
ge
of
Ad
op
ters
Time of AdoptionEarly Late
Inn
ova
tors
Early Adopters
Early Majority
2.5%
13.5%
34% 34%
16%
Laggards
Late Majority
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Influences on the Rate of Adoptionof New Products
DivisibilityCan the innovation
be used on a trial basis?
CompatibilityDoes the innovation
fit the values and experience of the
target market?ComplexityIs the innovation
difficult tounderstand or
use?
Relative AdvantageIs the innovation
superior to existing products?
Communicability Can results be easily
observed or described to others?
ProductCharacteristics
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Consumer Buying Behavior refers to the buying behavior of final consumers (individuals Behavior Consumer is a broad label that refers to any individuals or households that use goods and services generated within the economy. A consumer is a person who uses any product or service. 2. Consumer Buying & Study consumer behavior to answer: “How do consumers respond to marketing efforts the company might use?” (households) who buy goods and services for personal consumption.
Consumer Buying Behavior refers to the buying behavior of final consumers (individuals Behavior Consumer is a broad label that refers to any individuals or households that use goods and services generated within the economy. A consumer is a person who uses any product or service. 2. Consumer Buying & Study consumer behavior to answer: “How do consumers respond to marketing efforts the company might use?” (households) who buy goods and services for personal consumption.
Consumer Behavior Transcript
Munif Ahmad
Model of Consumer Product Price Behavior Stimuli Marketing and Other Economic Technological Place Political Promotion Cultural Buyer’s Characteristics Decision Affecting Buyer’s Black Box Consumer Process Behavior Product Choice Purchase Timing Brand Choice Buyer’s Response Purchase Dealer Choice Amount
Model of Consumer Product Price Behavior Stimuli Marketing and Other Economic Technological Place Political Promotion Cultural Buyer’s Characteristics Decision Affecting Buyer’s Black Box Consumer Process Behavior Product Choice Purchase Timing Brand Choice Buyer’s Response Purchase Dealer Choice Amount
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Munif Ahmad
Perceptions Subculture Social ClassGroups of people with sharedPeople within a social class value systems based on tend to exhibit similar buying common life experiences. behavior.North Indian ConsumersOccupationAfrican American Consumers • Income • Asian American Consumers • Education • Mature Consumers • Wealth Values Most basic cause of a person's wants and behavior. 4. Factors Affecting Consumer Behavior: Culture
Perceptions Subculture Social ClassGroups of people with sharedPeople within a social class value systems based on tend to exhibit similar buying common life experiences. behavior.North Indian ConsumersOccupationAfrican American Consumers • Income • Asian American Consumers • Education • Mature Consumers • Wealth Values Most basic cause of a person's wants and behavior. 4. Factors Affecting Consumer Behavior: Culture
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Munif Ahmad
5. Factors Affecting Consumer Behavior: Groups Social Membership • Reference • Family Husband, wife, kids Social Factors • • Influencer, buyer, user Roles and Status
5. Factors Affecting Consumer Behavior: Groups Social Membership • Reference • Family Husband, wife, kids Social Factors • • Influencer, buyer, user Roles and Status
6. Factors Affecting Consumer Behavior: Personal Personal Influences Age and Family Life Cycle Occupation Stage Economic Situation Personality & Self-Concept Lifestyle Identification Activities Opinions Interests
6. Factors Affecting Consumer Behavior: Personal Personal Influences Age and Family Life Cycle Occupation Stage Economic Situation Personality & Self-Concept Lifestyle Identification Activities Opinions Interests
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Munif Ahmad
7. Factors Affecting Consumer Behavior: Psychological Motivation Beliefs and Psychological Factors Perception Attitudes Learning
8. Maslow’s Hierarchy of NeedsSelf Actualization (Self-development ) Esteem Needs ( self-esteem, status) Social Needs (sense of belonging, love) Safety Needs (security, protection) Physiological Needs (hunger, thirst)
7. Factors Affecting Consumer Behavior: Psychological Motivation Beliefs and Psychological Factors Perception Attitudes Learning
8. Maslow’s Hierarchy of NeedsSelf Actualization (Self-development ) Esteem Needs ( self-esteem, status) Social Needs (sense of belonging, love) Safety Needs (security, protection) Physiological Needs (hunger, thirst)
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Munif Ahmad
9.Types of Buying Decisions High Low Involvement Involvement Significant differences Complex Variety- between Buying Seeking brands Behavior Behavior Few differences Dissonance- Habitual between Reducing Buying Buying brands Behavior Behavior
10. The Buyer Decision Process Need Recognition Information Search Evaluation of Alternatives Purchase Decision Postpurchase Behavior
9.Types of Buying Decisions High Low Involvement Involvement Significant differences Complex Variety- between Buying Seeking brands Behavior Behavior Few differences Dissonance- Habitual between Reducing Buying Buying brands Behavior Behavior
10. The Buyer Decision Process Need Recognition Information Search Evaluation of Alternatives Purchase Decision Postpurchase Behavior
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11. DECISION MAKING PROCESSES EXTERNAL INFLUENCES Experiences and Acquisitions SITUATIONS Culture Problem Subculture Recognition Demographics Social Status Information Reference Groups Search Family Marketing Activities SELF-CONCEPT Alternative Evaluation Desires and and Selection LIFESTYLE Needs INTERNAL INFLUENCES Outlet Selection Perception and Purchases Learning Memory Post-purchase Motives Processes Personality SITUATIONS Emotions Experiences and Acquisitions Attitudes
11. DECISION MAKING PROCESSES EXTERNAL INFLUENCES Experiences and Acquisitions SITUATIONS Culture Problem Subculture Recognition Demographics Social Status Information Reference Groups Search Family Marketing Activities SELF-CONCEPT Alternative Evaluation Desires and and Selection LIFESTYLE Needs INTERNAL INFLUENCES Outlet Selection Perception and Purchases Learning Memory Post-purchase Motives Processes Personality SITUATIONS Emotions Experiences and Acquisitions Attitudes
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Munif Ahmad
Evaluation procedures Total product satisfaction Brand beliefs Degree of importance 6. External Stimuli Product attributes 5. Internal Stimuli It is affected by 2 (step:3) factors: Evaluation of alternatives Experiential Sources state Public Sources actual state and a desired Commercial Sources Difference between an Personal Sources (step:1) Need recognition Information search (step:2) 12.
Evaluation procedures Total product satisfaction Brand beliefs Degree of importance 6. External Stimuli Product attributes 5. Internal Stimuli It is affected by 2 (step:3) factors: Evaluation of alternatives Experiential Sources state Public Sources actual state and a desired Commercial Sources Difference between an Personal Sources (step:1) Need recognition Information search (step:2) 12.
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Munif Ahmad
Product’s Perceived Performance Desire to buy the most Expectations of preferred brand Product’s Performance Consumer’s Purchase Intention Post purchase behavior (step:4) (step:5) Purchase decision 13.
Product’s Perceived Performance Desire to buy the most Expectations of preferred brand Product’s Performance Consumer’s Purchase Intention Post purchase behavior (step:4) (step:5) Purchase decision 13.
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