in what ways do consumers stray away from a deliberative , rational thinking
TRANSCRIPT
IN WHAT WAYS DO CONSUMERS STRAY AWAY FROM A DELIBERATIVE , RATIONAL THINKING?
LOW INVOLVEMENT CONSUMER DECISION MAKING
Can be classified into two routes
1
Peripheral RouteResults from consumers association to peripheral cues (celebrity endorsements , credible sources)
Low Involvement
Central RouteBased on consumer’s digilent,rational consideration
of the most important product information
High Involvement
VARIETY SEEKING BUYING BEHAVIOUR
Consumers do brand switching for the sake of variety !
2
Consumers base their prediction on the following
Heuristics Involved
REPRESENTATIVE
On how similar the outcome is to the example.
AVAILABILITY
On quickess and ease with which a simulated example of an outcome comes to mind.
ANCHORING AND ADJUSTMENT
Consumer arrives on initial judgement and then , adjusts himself to the product based on additional information.
FRAMINGThe manner in which choices are presented to and seen by the
customer
3
MENTAL ACCOUTINGThe process whereby people code,categorize, evaluate economic
outcomes
4
MENTAL ACCOUNTING
It occurs when we assign different values to equal monetary amounts due to psychological reasons.
PROSPECTIVE THEORY
Alternate decisions can be taken accoring to the circumstances
5
“Customers frame their decision
alternatives in terms of gains and losses according to a value
function.
VALUE FUNCTION CHARACTERISTICS
⊡ Segregate gains
⊡ Integrate losses
⊡ Segregate small gains from large losses
SUMMARYLet’s put it simple !
“● Customers are constructive decision makers and are subjected to many contextual influences.
● They often exhibit low involvement in their decision using many heuristics as results.
THANK YOU!I hope you learnt something useful :)
CREDITS
Special thanks to all the people who made and released these awesome resources for free:
⊡ Presentation template by SlidesCarnival⊡ Photographs by Unsplash⊡ Google Images
PRESENTATION DESIGN
Created By ,
PRANEETH PONNEKANTI , IIITD&M KANCHEEPURAM
During an internship under ,
Prof. SAMEER MATHUR , IIM LUCKNOW
www.IIMInternship.com