Transcript CONSUMER MARKETS & BUYING BEHAVIOR

Kotler, P. & Armstrong, G., 2006, Principles of
Marketing, New Jersey: Pearson Education, Inc., Ch.5
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DEFINITIONS
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Consumer buying behavior refers to the buying
behavior of final consumers.
Final consumers are individuals and households
who buy goods and services for personal
consumption.
Consumer markets are all the individuals and
households who buy or acquire goods and services
for personal consumption.
Business markets are businesses, government
bodies, and institutions who buy or acquire goods and
services for incorporation (e.g. ingredient materials or
components), consumption (e.g. office supplies,
consulting services), use (installations or equipment),
or resale.
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BUYER BEHAVIOR
MODEL
MARKETING and OTHER STIMULI
MACRO ENVIRONMENTS
MARKETING
BUYER'S BLACKBOX
BUYER DECISION PROCESS
BUYER
INFORMATION SEARCH
CHARACTERISTICS NEED RECOGNITION
CULTURE, SOCIAL
PERSONAL
PSYCHOLOGICAL
EVALUATION of
PURCHASE
POST-PURCHASE
ALTERNATIVES
DECISION
BEHAVIOR
Product Choice
Brand Choice
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BUYER
RESPONSES
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Dealer Choice
Purchase Timing
Purchase Amount
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Factors Influencing Consumer Behavior
Cultural
Social
Culture
Reference
groups
Subculture
Family
Social
class
Roles
and
status
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Personal
Age and
life-cycle
Occupation
Economic
situation
Lifestyle
Personality
and
self-concept
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Psychological
Motivation
Perception
Learning
Beliefs and
attitudes
Buyer
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CULTURAL FACTORS
Culture is the set of basic values, perceptions, wants and
behaviors learned by a member of society from family &
other important institutions.
Subculture is group of people with shared value
systems based on common life experiences.
Social Class is society’s relatively permanent & ordered
divisions whose members share similar values, interests,
and behaviors as measured by: occupation, income,
education, wealth and other variables.
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SOCIAL FACTORS
Groups
•Membership
•Reference
Family (most important)
•Husband, wife, kids
•Influencer, buyer, user
Social Factors
Roles and Status
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SOCIAL FACTORS
Group consists of two or more people who
interest to accomplish individual or mutual
goals.
 Opinion leader is person within a
reference group who, because of special
skills, knowledge, personality, or other
characteristics, exerts influence on others.
 Role consists of the activities people are
expected to perform according to the
persons around them.
 Each role carries a status reflecting the
general esteem given to it by society.
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PERSONAL FACTORS
 Age
and Life-cycle Stage
 Occupation
 Economic situation
 Lifestyle is a person’s pattern of living as
expressed in his or her activities, interests, and
opinions.
 Personality & self-concept
 Personality is the unique psychological characteristics
that lead to relatively consistent and lasting responses to
one’s own environment.
 The basic self-concept premise is that people’s
possessions contribute to and reflect their identities –
“we are what we have.”
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VALS – Life Style Classifications
Actualizers
High Resources
Principle
Low Resources
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Oriented
Status
Oriented
High innovation
Action
Oriented
Fulfillers
Achievers
Experiencers
Believers
Strivers
Makers
Struggles
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Low innovation
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VALUE & LIFE-STYLES
(VALS)
SURVIVORS – elderly, passive people who are concerned
about change. Loyal to their favorite brands.
 INNOVATORS – successful, sophisticated, active people
with high self-esteem. Purchases often reflect cultivated
tastes for relatively upscale, niche-oriented products and
services.
 EXPERIENCERS – young, enthusiastic, impulsive people
who seek variety and excitement. Spend a comparatively
high proportion of income on fashion, entertainment, and
socializing.
 MAKERS – practical, down-to-earth, self-sufficient people
who like to work with their hands. Favor product with a
practical or functional purpose.
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VALUE & LIFE-STYLES
(VALS)
ACHIEVERS – successful goal-oriented people who focus
on career and family. Favor premium products that
demonstrate success to their peers.
 STRIVERS – trendy and fun-loving people who are
resource-constrained. Favor stylish products that emulate
the purchase of those with greater material wealth.
 THINKERS – mature, satisfied, and reflective people who
are motivated by ideals and value order, knowledge, and
responsibility. Favor durability, functionality, and value in
products.
 BELIEVERS – conservative, conventional, and traditional
people with concrete beliefs. Favor familiar products and
are loyal to established brands.
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INDONESIAN CONSUMER MARKET
SEGMENTS:
1.
2.
3.
4.
5.
6.
7.
8.
ESTABLISHED CONFIDENT (“ORANG ALIM”)
THE OPTIMISTIC FAMILY PERSON (IBU “PKK”)
THE CHANGE-EXPECTING LAD (‘ANAK NONGKRONG”)
CHEERFUL HUMANIST (“LEMBUT HATI”)
INTROVERT WALLFLOWER (“PASRAH”)
THE SAVVY CONQUEROR/CITY SLICKERS (“MAIN
UNTUK MENANG”)
THE NETWORKING PLEASURE SEEKER (“GAULGLAM”)
THE SPONTANEOUS FUN-LOVING (“BINTANG
PANGGUNG”)
(SUMBER: LOWE INDONESIA)
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FAMILY LIFE CYCLE
TRADITIONAL FAMILY FLOW
 BACHELORHOOD - YOUNG SINGLE
 HONEYMOONERS - YOUNG MARRIED
WITHOUT CHILDREN
 PARENTHOOD - YOUNG MARRIED WITH
CHILDREN
 POSTPARENTHOOD - MIDDLE-AGED
WITHOUT DEPENDENT CHILDREN
 DISSOLUTION - OLDER MARRIED (one
surviving spouse) & UNMARRIED
(Schiffman, L.G. & Kanuk, L.L., 2007, Consumer Behavior, New Jersey: Pearson
Education, Inc., pp.334 & 338)
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PSYCHOLOGICAL FACTORS
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Motivation. A psychological process resulting in goaldirected behavior that satisfies human needs. *
Perception. The process by which people select,
organize, and interpret information to form a
meaningful picture of the world.
Learning. Changes in an individual’s behavior arising
from experience.
Belief. A descriptive thought that a person holds about
something.
Attitude. A person’s consistently favorable or
unfavorable evaluations, feelings, and tendencies
toward an object or idea.
* Cullen, J.B. & Parboteeah, K.P., 2005, Multinational Management: A Strategic
Approach, United States: South-Western (International Student Edition), p.537.
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Maslow’s Hierarchy of needs
Selfactualization
needs
(self-development
and realization)
Esteen needs
(self-esteen, recognition, status)
Social needs
(sense of belonging, love)
Safety needs
(security, protection)
Physiological Needs
(hunger, thirst)
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Buyer Decision Process
Purchase
Decision
Evaluation
of Alternatives
Postpurchase
Behavior
Information
Search
Need
Recognition
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Buyer Decision Process
Step 1. Need Recognition
State Where the
Buyer’s Needs are
Fulfilled and the
Buyer is Satisfied.
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Buyer
Recognizes a
problem or a
Need
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Needs Arising
From:
Internal Stimuli –
Hunger
External StimuliFriends
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The Buyer Decision Process
Step 2. Information Search
Personal Sources
Commercial Sources
Public Sources
Experiential Sources
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•Family, friends, neighbors
•Most effective 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
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The Buyer Decision Process
Step 4. Evaluation of Alternatives
Consumer May Use Careful
Calculations & Logical Thinking
Consumers May Buy on Impulse and
Rely on Intuition
Consumers May Make Buying Decisions
on Their Own.
Consumers May Make Buying Decisions
Only After Consulting Others.
Marketers Must Study Buyers to Find Out How They
Evaluate Brand Alternatives
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The Buyer Decision Process
Step 5. Purchase Decision
Purchase Intention
Desire to buy the most preferred brand
Attitudes
of Others
Unexpected
Situational
Factors
Purchase Decision
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The Buyer Decision Process
Step 6. Postpurchase Behavior
Consumer’s
Expectations of Product’s Performance.
Product’s Perceived
Performance.
Cognitive Dissonance
Satisfied Customer!
Dissatisfied Customer
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Types of Buying Decision Behavior
High
Involvement
Low
Involvement
Significant
differences
between
brands
Complex
Buying
Behavior
VarietySeeking
Behavior
Few
differences
between
brands
DissonanceReducing Buying
Behavior
Habitual
Buying
Behavior
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