Transcript Marketing Management

Marketing Management
Consumer Behavior I
Paul Dishman, Ph.D.
Department of Business Management
Marriott School of Management
Brigham Young University
Lecture 7
Marketing Management
The Nature of Consumer Behavior
There is only one boss--the customer. And he can fire everybody in the
company from the chairman on down, simply by spending his money
somewhere else.
--Sam Walton
Listen to the whispers and you won’t have to hear the screams.
--Cherokee saying
Paul Dishman, Ph.D.
Marketing Management
“Blackbox” model of CB
Environmental Stimuli
Marketing Stimuli
Individual
Characteristics &
Decision Processes
Response
Paul Dishman, Ph.D.
Marketing Management
How do consumers make
decisions?
• Economic Man Theory
• Hedonistic Man Theory
• Pavlovian Theory
Paul Dishman, Ph.D.
Marketing Management
Purchase Behavior
Paul Dishman, Ph.D.
Marketing Management
Stages in Buying Behavior

Awareness
need recognition

Interest

Evaluation evaluation of alternatives

Trial

Adoption
information search
purchase decision
postpurchase behavior
Paul Dishman, Ph.D.
Marketing Management
Psychological Factors
• Perceptions: biases and blind spots
• Beliefs, attitudes, and learning
• Motivation
Paul Dishman, Ph.D.
Marketing Management
Motivation: Maslow
Self-Actualization
Esteem
Social
Safety
Physiological
Paul Dishman, Ph.D.
Psychographics:
Marketing Management
VALS 2
Actualizers Abundant Resources
Principle Oriented Status Oriented
Action Oriented
Fulfilleds
Achievers
Experiencers
Believers
Strivers
Makers
Strugglers
Minimal Resources
Paul Dishman, Ph.D.
Marketing Management
Time of Adoption of Innovations
Early
Majority
Laggards
34%
13.5 %
34%
16%
2.5 %
Early
Adopters
Late Majority
Paul Dishman, Ph.D.
Marketing Management
Important Attributes in Buying
• Convenience
– (most important attribute to a
consumer?)
• Price
• Dependability
– quality of product
• Investment
Paul Dishman, Ph.D.
Marketing Management
Simple Model
Marketing
Stimuli
Other
Stimuli
Buyer
Characteristics
Buying
Decision
Buyer
Response
Paul Dishman, Ph.D.
Marketing Management
Exercise
• Take out a piece of paper
• Please answer the following
questions
Paul Dishman, Ph.D.
Marketing Management
#1
• Are you the person responsible for
purchasing laundry detergent in your
household?
Yes
No
Paul Dishman, Ph.D.
Marketing Management
#2
• If YES to above, list the name of a
laundry detergent that you purchase on
a regular basis
• If NO to above, what is the name of the
first laundry detergent brand that
comes to mind?
Paul Dishman, Ph.D.
Marketing Management
#3
• If YES to #1, list the reason(s) that you
purchase this brand
• If NO to #1, list the reason(s) that you
think the brand you thought of is so
popular
Paul Dishman, Ph.D.
Marketing Management
#4
• What other brands of laundry
detergent might you consider
purchasing, and why?
Paul Dishman, Ph.D.
Marketing Management
#5
• In your opinion, what is the most
important feature for a laundry
detergent?
Paul Dishman, Ph.D.
Marketing Management
Exercise: Create Model
Paul Dishman, Ph.D.
Marketing Management
Possible CB Model
Price
Availability
Evoked Set
of Brands
Purchase
Priority
Decision
Type
Family or
Surrogate
Influence
Salient
Features/
Benefits
Why would this be
important to
?
Purchase
Decision
How could they use
this information?
Paul Dishman, Ph.D.
Marketing Management
Importance of Understanding
Buyer Behavior
• Construct model to help understand
your buyers’ decision process
• Find influences and influencers
• Determine influential methods
– leverage costs by maximum
effectiveness
• Determine reinforcement points
• Evaluate
Paul Dishman, Ph.D.