Transcript Consumers Rule - Lampung University

Consumer Behavior:
How and Why People Buy
Chapter Objectives
• Define consumer behavior
• explain why consumers buy what they buy
• Explain the prepurchase, purchase, and
postpurchase activities
 that consumers engage in when making decisions
• internal factors that influence consumers’
decision-making processes
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Chapter Objectives
• How situational factors influence consumer
behavior
 at the time and place of purchase
• How consumers’ relationships with other
people
 influence their decision-making processes
• How Internet offers consumers opportunities
 to participate in consumer-to-consumer marketing
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Decisions, Decisions
• Consumer behavior:
• The process we use to select,
purchase, use, and dispose of goods,
services, ideas, or experiences to satisfy
needs/desires
• Influences:
 Internal, situational, and social
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Decision-Making Process
Problem Recognition
Brandon is fed up with
driving old clunker
Information Search
Brandon talks to
friends, visits car
Evaluation of Alternatives showrooms, etc.
Brandon looks at 3
models with good/bad
Product Choice
features
Brandon chooses one
car based on
feature/image
Postpurchase Evaluation
Figure 5.1 (Abridged)
Brandon drives car
and is happy with
choice
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Steps in Consumer Decision Process
• Extended problem-solving vs. habitual
decision-making
• Involvement: relative importance of
perceived consequences of the purchase
• Perceived risk: choice of product has
potentially negative consequences
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Step 1: Problem Recognition
• Occurs when consumer sees
a significant difference
between current state and
ideal state
• Marketers can develop ads
that stimulate problem
recognition
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Step 2: Information Search
• Consumers need adequate information
to make a reasonable decision
• Search memory and the environment for
information
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Step 2: Information Search
• Internet: search engines, portals, or
“shopping robots”
• Behavioral targeting:
Marketers deliver ads for products
consumers look for, by watching what they
do
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Internet Options for
Information Search
• Shopping portals
YAHOO!
• Search engines
EXCITE.COM
• “Shop-bots”
MYSIMON.COM
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Step 3: Evaluation of Alternatives
• Consumers are interested in a small
number of products, then narrow
choices and compare pros/cons
• Evaluative criteria:
product characteristics consumers use
to compare competing alternatives
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Step 3: Evaluation of Alternatives
• Marketers point out their brand’s
superiority on most important evaluative
criteria.
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Step 4: Product Choice
• Deciding on one product
and acting on choice
• Heuristic: a mental rule of
thumb used for a speedy
decision, such as:
Price equals quality
Brand loyalty
Country of origin
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Step 5: Postpurchase Evaluation
• Consumer satisfaction/dissatisfaction
 after purchase of product
• Expectations of product quality
 are met/exceeded or not
• MARKETERS: Ads/communications must
create
 accurate expectations of product
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Part 2: INFLUENCES
• Internal
• Social
• situational
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Figure 5.4: Influences on Consumer
Decision Making
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Internal Influences
on Consumer Behavior
• Factors that cause us each to interpret
information about the outside world differently:
Perception
Motivation
Learning
Attitudes
Personality
Age group
The family life cycle
Lifestyle
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Perception
• Process by which we
select,
organize,
interpret information
• from outside world
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Perception
• Necessary for perception to occur
Exposure:
• capable of registering a stimulus
Attention:
• mental processing activity
Interpretation:
• assigning meaning to a stimulus
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Motivation
• Internal state that drives us to
satisfy needs
• by activating
goal-oriented behavior
SOLOFLEX.COM
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Figure 5.5:
Maslow’s Hierarchy of Needs
and Related Products
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Learning
• A change in behavior
• caused by
• information or experience
American Express
Video
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Learning
• Behavioral learning
Classical conditioning
Operant conditioning
Stimulus generalization
• Cognitive learning
American Express
Video
Observational learning
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Attitudes
• Lasting evaluations of
a person, object, or issue
• 3 attitude components
Affect (feeling):
emotional response
Cognition (knowing):
beliefs or knowledge
Behavior (doing):
intention to do something
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Personality
• The set of unique psychological
characteristics
• that consistently influences
• the way a person responds
• to situations in the environment
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Personality
• Personality traits:
Innovativeness,
materialism,
self-confidence,
sociability,
need for cognition
• Self-concept
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Age Group and Family Life Cycle
• Goods/services appeal to
specific age group
• Family Life Cycle:
The stages through which family
members pass as they grow
older
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Lifestyle
• Lifestyle:
A pattern of living
determines how we choose to spend
• time, money, and energy
• Psychographics:
grouping consumers re:
• psychological and behavioral similarities
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Situational Influences
on Consumer Decisions
• Physical environment dimensions
 such as décor, smells, and lighting
• Arousal and pleasure
 determine consumers’ reaction to store
environment
• Time
 as a situational factor
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Social Influences
on Consumer Decisions
• We are members of many groups that
influence our buying decisions:
Culture/subcultures
Social class
Group memberships
Opinion leaders
Sex roles
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Culture
• The values, beliefs, customs, and tastes
produced or practiced (& taught)
by a group of people
• Rituals
such as weddings and funerals
• Cultural values:
 deeply held beliefs
 about right and wrong ways to live
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Subcultures
• A group within a society
whose members share
a distinctive set of beliefs,
characteristics, or common experiences
• Subcultures important to marketers
racial and ethnic groups.
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Social Class
• The overall rank or social standing
• of groups of people within a society,
• Re: factors
family background,
education,
occupation,
income.
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Social Class
• Status symbols
such as luxury products
• provide a way for people to
flaunt their membership
in higher social classes.
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Group Memberships
• Reference group:
• a set of people a consumer wants
to please or imitate
• this impacts an individual’s
evaluations,
aspirations, or
behavior
TUPPERWARE.COM
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Group Memberships
• Conformity:
• changing behavior
• due to group pressure.
TUPPERWARE.COM
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Opinion Leaders
•
•
•
•
People who influence
others’ attitudes or behaviors
because others perceive them
as possessing expertise about the product
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Opinion Leaders
• Have high interest in product category
• Update knowledge by
 reading, talking with salespeople, etc.
• Impart positive & negative product
information
• among first to buy new products
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Gender Roles
• Society’s expectations
 regarding appropriate
 attitudes, behaviors, and appearance
 for men and women
• Consumers often associate “sex-typed”
products with one gender or the other.
 Blue = boys, … Pink = girls
 Baby Boy diapers, baby girl diapers
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Consumer-to-Consumer
E-Commerce
• Online communications and purchases
 that occur among individuals
 without directly involving
 the manufacturer or retailer
eBay
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Consumer-to-Consumer
E-Commerce
• Popular online C2C formats
Gaming
Chat rooms, rings, and lists
Boards
Blogs
eBay
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stop
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Discussion
• The Internet provides a unique opportunity
for consumers to communicate and make
purchases from each other.
 What do you think the future of C2C e-commerce is?
 How do you think it will affect traditional marketing
firms?
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Real People, Real Choices
• Wild Planet (Daniel
Grossman)
• Daniel chose option 3:
reposition the line toward
either boys or girls
 The firm renamed the line Girls
Livin’ in Style (GLS), which has
had moderate success.
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Marketing Plan Exercise
• Marketers must understand consumers and
how they select products. Pick a good or
service you like and have purchased in the
past. As part of developing a marketing plan
for this product:
 List what you need to know about consumers of your
product and how they make product decisions.
 How might you gather that information?
 How could you use that information in developing
successful marketing strategies?
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Marketing in Action Case:
You Make the Call
1. What decision must Facebook.com make?
2. What factors are important in understanding
this decision situation?
3. What are the alternatives?
4. What decision(s) do you recommend?
5. What are some ways to implement your
recommendation?
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Keeping It Real: Fast Forward to Next
Class Decision Time at PPG Industries
• Meet Vicki Holt, Senior VP, Glass & Fiber
Glass for PPG Industries, Inc.
• PPG’s Insulating Glazing Unit, or IGU,
has an aggressive competitor marketing a
complete IGU unit.
• The decision: How to react to the
competition.
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Real People, Real Choices
• Meet Daniel Grossman at Wild Planet
• Creating brands/products that parents
endorse and kids find cool
• Future direction of Room Gear product line
 Option 1: acknowledge that Wild Planet missed the
mark and drop the line
 Option 2: retain line concept and develop products
similar to those already selling
 Option 3: reposition the line toward either boys or girls
WILD PLANET
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Group Activity
• Marketing activities can create problem
recognition, by showing consumers
benefits of a new product or pointing out
problems with products they already own
• For the following, suggest a creative way
to stimulate problem recognition through
marketing :
 Videogames
 A hamburger
An airline
Furniture
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Discussion
• Do you agree that having too many
choices is a bigger problem than not
having enough choices?
• Is it possible to have too much of a good
thing?
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Discussion
• How important is it to
be able to voice your
satisfaction with a
product? How about
dissatisfaction?
• What are the effects of
such voicing?
PLANETFEEDBACK.COM
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Discussion
• Most researchers believe
subliminal techniques are
not much use in
marketing.
• Assuming some forms of
subliminal persuasion
may influence
consumers, do you think
their use is ethical? Why
or why not?
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Discussion
• Some fans were upset when the Rolling Stones
sold Microsoft rights to “Start Me Up” for $4
million, to promote its Windows 95 launch. Other
rock legends refuse to play the commercial
game. What’s your take on this issue?
 How do you react when one of your favorite songs turns
up in a commercial?
 Is this use of nostalgia an effective way to market a
product? Why or why not?
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Discussion/Group Activity
• Brands and stores are thought to have
their own particular “personalities”
 Pick a brand or store of interest and come up with a
description of its “personality”
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Group Activity/Discussion
• Break into groups. Each group should
select a familiar store and brainstorm 1015 elements of the store’s physical
environment
 Read your list aloud to the class (and write it on the
board) without naming the store
 After all lists are on the board, everyone writes down
the name of each brand/store
 Tally correct answers and discuss
implications/insights of results
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Individual Activity
• Think about a friend, associate, family
member, or celebrity who is an opinion
leader
 List and briefly explain the characteristics that relate
to this person’s opinion leadership.
 For what products is this person an opinion leader?
 What are some ways a business might use this
person to help sell its products?
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Group Activity
• Assume you’re an advertising account
executive, and your current client is an
auto maker. You know automobile
purchases are often influenced by a
variety of social or “other people” factors.
 List these social influences, explain why each is
important, and outline how you might use them in
developing an advertising campaign.
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