slide 7.1 consumer markets chapter 7 markets. slide 7.2 consumer buying behaviour defined as the...
TRANSCRIPT
Slide 7.2
Consumer buying behaviour
• Defined as the buying behaviour of the final consumers, individuals and households who buy goods and services for personal consumption.
Slide 7.3
Consumer market
• Consumer market is defined as all the individuals and households who buy or acquire goods and services for personal consumption.
• The world consumer market consists of approx 6.3 billion people– the billion people in North America, Western Europe
and Japan make up 70% of the world’s spending power.
Slide 7.4
Influencers of consumer behaviour
• Cultural factors
• Social factors
• Personal and psychological characteristics
Slide 7.5
Cultural factors
• Culture– Basic cause of person’s wants and behaviour
– Human behaviour is predominantly learned behaviour from family and other important institutions
• Subculture– Group sharing similar value systems based upon life experiences
and situations
• Social class– Relatively permanent and ordered divisions in a society whose
members share similar values interests and behaviours.
– Class systems differ in size and constituents
– Lower social classes are more culture-bound
– Young people of all classes are less so
Slide 7.6
Social factors
• Membership groups– Primary groups
» family, friends, neighbours– Secondary groups
» religious groups and professional associations– Reference groups
» direct or indirect influence on the person’s behaviour or attitudes
– Aspirational groups » reference group to which we want to belong
Slide 7.7
Consumer buying roles
• Initiator– Person who first suggests or thinks of the idea of buying a
particular product.• Influencer
– A person whose views or advice will influence the product or service.
• Decider– Buying decision maker of the product
• Buyer– Ultimate purchaser
• User– Ultimate user
Slide 7.8
Personal factors
– Age and life cycle phase– Psychological life cycles
• Changing interests
– Occupation– Economic circumstances
• Savings and buying power
– Lifestyle• Pattern of living expressed in activities• Psychographics is the technique of measuring lifestyles
– Personality and self-concept
Slide 7.9RISC Research Agency of Paris
developed the 6 ‘Eurotypes’
The ‘traditionalist’ 18%Influenced by culture and socio-economic history, specific to their country
The ‘homebody’ 14%Strong attachment to roots and childhood environment
The ‘rationalist’ 23%Ability to cope with complex environments, entrepreneurialPersonal fulfilment based on self-expression rather than financial reward
The ‘pleasurist’ 17%Emphasises sensual and emotional experiences
The ‘striver’ 15%Holds beliefs, attitudes and values that underlie change
The ‘trend setter’ 13%Favours non-hierarchical structure and spontaneity
Slide 7.11
Buying decision behaviour
• Dissonance-reducing buying behaviour– Situations characterised by high involvement with an
expensive, infrequent or risky purchase but few perceived differences among the brands.
• Habitual buying behaviour– Characterised by low consumer involvement and few
significant perceived brand differences
• Variety seeking buying behaviour– Low consumer involvement but significant perceived
brand differences
Slide 7.12
Figure 7.5 Four types of buying behaviourSource: Adapted from Henry Assael, Consumer Behaviour and Marketing Action, 6th edition, p. 67 (Boston, MA: Kent Publishing Company, 1987) © Wadsworth Inc. 1987. Reprinted by permission of Kent Publishing Company, a division of Wadsworth Inc.
Slide 7.13
Buyer decision process
• Need recognition
• Information search
• Evaluation of alternatives
• Purchase decision
• Post-purchase behaviour
Slide 7.14
Figure 7.7 Steps between evaluation of alternatives and a purchase decision
Typical consumer evaluation process
Slide 7.15
Stages in the adoption process for new products
– Awareness– Interest– Evaluation– Trial– Adoption
Slide 7.16
Individual differences in innovativeness
Figure 7.8 Adopter categorisation on the basis of relative time of adoption of innovationsSource: Reprinted with permission of The Free Press, a Division of Simon & Schuster, Inc., by Everett M. Rogers. Copyright © 1995 by Everett M. Rogers from Diffusion of Innovations, fourth edition. Copyright © 1962, 1971, 1983 by The Free Press
Slide 7.17
Influence of product characteristics on rate of adoption
• Relative advantage– Innovation superior to existing products
• Compatibility– Fit of values and experiences of potential consumers
• Complexity– Ease or difficulty in using the technology or innovation
• Divisibility– Innovation trialled on a limited basis
• Communicability– Results of the innovation can be observed or described to
others.