Slide MGT203 Slide05
Copyright © 2011 Pearson Education
Consumer Buying
Behaviour
Philip Kotler & Gary Armstrong
Definitions
Consumer Buying Behavior
• Buying
behavior of individuals and households that buy
products for personal consumption.
Consumer Market
• All
individuals/households who buy products for personal
consumption.
3
Model of Buyer Behavior
4
© Pearson Education 2011
Model of Consumer Behavior
Stimulus Response Model
• Marketing
and other stimuli enter the buyer’s
“black box” and produce certain choice /
purchase responses.
• Marketers
must figure out what is inside of the
buyer’s “black box” and how stimuli are changed
to responses.
5
© Pearson Education 2011
Factors Influencing Consumer
Behavior
6
© Pearson Education 2011
Characteristics Affecting Consumer
Behavior
Key Factors
Cultural
Social
Personal
Psychological
7
© Pearson Education 2011
Culture
Subculture
• Hispanic
• African
• Asian
consumers
Americans
Americans
• Mature
consumers
Social Class
Characteristics Affecting Consumer
Behavior
Key Factors
Cultural
Social
Personal
Psychological
8
© Pearson Education 2011
• Groups
• Membership
• Reference
• Aspirational groups
• Opinion leaders
• Buzz marketing
• Family
• Kids can influence
• Roles and Status
Characteristics Affecting Consumer
Behavior
Key Factors
Cultural
Social
Personal
Psychological
Age and life-cycle
Occupation
Economic situation
Lifestyle
Activities, interests, and
opinions
Lifestyle segmentation
Personality and selfconcept
Brand personality
9
© Pearson Education 2011
Lifestyles:
Jeep targets
people who
want to “leave
the civilized
world behind”
What other
types of images
could be used
to appeal to this
lifestyle?
10
© Pearson Education 2011
Characteristics Affecting Consumer
Behavior
Key Factors
Motivation
Needs provide motives
Motivation research
Cultural
Social
Personal
Psychological
11
© Pearson Education 2011
Maslow’s hierarchy of needs
Perception
Selective attention, selective
distortion, selective retention
Learning
Drives, stimuli, cues, responses and
reinforcement
Beliefs and attitudes
Maslow’s Hierarchy
12
© Pearson Education 2011
The Buyer Decision Process
13
© Pearson Education 2011
The Buyer Decision Process
Stages
14
•
Need recognition
Needs can be
triggered by:
•
Information search
•
•
Evaluation of
alternatives
•
Purchase decision
•
Postpurchase
behavior
© Pearson Education 2011
Internal stimuli
–
•
Normal needs become strong
enough to drive behavior
External stimuli
– Advertisements
– Friends of friends
The Buyer Decision Process
Stages
15
Consumers exhibit
heightened attention
or actively search for
information.
•
Need recognition
•
Information search
•
Evaluation of
alternatives
•
Purchase decision
Personal, Commercial,
Public, Experiential
•
Postpurchase
behavior
Word-of-mouth
© Pearson Education 2011
Sources of information:
The Buyer Decision Process
Stages
16
•
Need recognition
•
Information search
•
Evaluation of
alternatives
•
Purchase decision
•
Postpurchase
behavior
© Pearson Education 2011
• Evaluation procedure
depends on the consumer
and the buying situation.
• Most buyers evaluate
multiple attributes, each of
which is weighted
differently.
• At the end of the
evaluation stage, purchase
intentions are formed.
The Buyer Decision Process
Stages
17
•
Need recognition
•
Information search
•
Evaluation of
alternatives
•
Purchase decision
•
Postpurchase
behavior
© Pearson Education 2011
Two factors intercede
between purchase intentions
and the actual decision:
• Attitudes of others
• Unexpected situational
factors
The Buyer Decision Process
Stages
18
Satisfaction is key:
•
Need recognition
•
Information search
• Delighted consumers
engage in positive word-ofmouth.
•
Evaluation of
alternatives
• Unhappy customers tell on
average 11 other people.
•
Purchase decision
•
Postpurchase
behavior
• It costs more to attract a
new customer than it does
to retain an existing
customer
© Pearson Education 2011
Buyer Decision Process for New
Products
Stages in the Adoption Process:
19
1.
Awareness
2.
Interest
3.
Evaluation
4.
Trial
5.
Adoption
© Pearson Education 2011
Buyer Decision Process for New
Products
20
© Pearson Education 2011
Buyer Decision Process for New
Products
Product Characteristics
1.
2.
3.
4.
5.
21
Relative Advantage
Compatibility
Complexity
Divisibility
Communicability
© Pearson Education 2011
This work is protected by local and international copyright laws and is provided solely for
the use of instructors in teaching their courses and assessing student learning.
Dissemination or sale of any part of this work (including on the World Wide Web) will
destroy the integrity of the work and is not permitted. The work and materials from this
site should never be made available to students except by instructors using the
accompanying text in their classes. All recipients of this work are expected to abide by
these restrictions and to honor the intended pedagogical purposes and the needs of other
instructors who rely on these materials.
Copyright © 2011 Pearson Education
Consumer Buying
Behaviour
Philip Kotler & Gary Armstrong
Definitions
Consumer Buying Behavior
• Buying
behavior of individuals and households that buy
products for personal consumption.
Consumer Market
• All
individuals/households who buy products for personal
consumption.
3
Model of Buyer Behavior
4
© Pearson Education 2011
Model of Consumer Behavior
Stimulus Response Model
• Marketing
and other stimuli enter the buyer’s
“black box” and produce certain choice /
purchase responses.
• Marketers
must figure out what is inside of the
buyer’s “black box” and how stimuli are changed
to responses.
5
© Pearson Education 2011
Factors Influencing Consumer
Behavior
6
© Pearson Education 2011
Characteristics Affecting Consumer
Behavior
Key Factors
Cultural
Social
Personal
Psychological
7
© Pearson Education 2011
Culture
Subculture
• Hispanic
• African
• Asian
consumers
Americans
Americans
• Mature
consumers
Social Class
Characteristics Affecting Consumer
Behavior
Key Factors
Cultural
Social
Personal
Psychological
8
© Pearson Education 2011
• Groups
• Membership
• Reference
• Aspirational groups
• Opinion leaders
• Buzz marketing
• Family
• Kids can influence
• Roles and Status
Characteristics Affecting Consumer
Behavior
Key Factors
Cultural
Social
Personal
Psychological
Age and life-cycle
Occupation
Economic situation
Lifestyle
Activities, interests, and
opinions
Lifestyle segmentation
Personality and selfconcept
Brand personality
9
© Pearson Education 2011
Lifestyles:
Jeep targets
people who
want to “leave
the civilized
world behind”
What other
types of images
could be used
to appeal to this
lifestyle?
10
© Pearson Education 2011
Characteristics Affecting Consumer
Behavior
Key Factors
Motivation
Needs provide motives
Motivation research
Cultural
Social
Personal
Psychological
11
© Pearson Education 2011
Maslow’s hierarchy of needs
Perception
Selective attention, selective
distortion, selective retention
Learning
Drives, stimuli, cues, responses and
reinforcement
Beliefs and attitudes
Maslow’s Hierarchy
12
© Pearson Education 2011
The Buyer Decision Process
13
© Pearson Education 2011
The Buyer Decision Process
Stages
14
•
Need recognition
Needs can be
triggered by:
•
Information search
•
•
Evaluation of
alternatives
•
Purchase decision
•
Postpurchase
behavior
© Pearson Education 2011
Internal stimuli
–
•
Normal needs become strong
enough to drive behavior
External stimuli
– Advertisements
– Friends of friends
The Buyer Decision Process
Stages
15
Consumers exhibit
heightened attention
or actively search for
information.
•
Need recognition
•
Information search
•
Evaluation of
alternatives
•
Purchase decision
Personal, Commercial,
Public, Experiential
•
Postpurchase
behavior
Word-of-mouth
© Pearson Education 2011
Sources of information:
The Buyer Decision Process
Stages
16
•
Need recognition
•
Information search
•
Evaluation of
alternatives
•
Purchase decision
•
Postpurchase
behavior
© Pearson Education 2011
• Evaluation procedure
depends on the consumer
and the buying situation.
• Most buyers evaluate
multiple attributes, each of
which is weighted
differently.
• At the end of the
evaluation stage, purchase
intentions are formed.
The Buyer Decision Process
Stages
17
•
Need recognition
•
Information search
•
Evaluation of
alternatives
•
Purchase decision
•
Postpurchase
behavior
© Pearson Education 2011
Two factors intercede
between purchase intentions
and the actual decision:
• Attitudes of others
• Unexpected situational
factors
The Buyer Decision Process
Stages
18
Satisfaction is key:
•
Need recognition
•
Information search
• Delighted consumers
engage in positive word-ofmouth.
•
Evaluation of
alternatives
• Unhappy customers tell on
average 11 other people.
•
Purchase decision
•
Postpurchase
behavior
• It costs more to attract a
new customer than it does
to retain an existing
customer
© Pearson Education 2011
Buyer Decision Process for New
Products
Stages in the Adoption Process:
19
1.
Awareness
2.
Interest
3.
Evaluation
4.
Trial
5.
Adoption
© Pearson Education 2011
Buyer Decision Process for New
Products
20
© Pearson Education 2011
Buyer Decision Process for New
Products
Product Characteristics
1.
2.
3.
4.
5.
21
Relative Advantage
Compatibility
Complexity
Divisibility
Communicability
© Pearson Education 2011
This work is protected by local and international copyright laws and is provided solely for
the use of instructors in teaching their courses and assessing student learning.
Dissemination or sale of any part of this work (including on the World Wide Web) will
destroy the integrity of the work and is not permitted. The work and materials from this
site should never be made available to students except by instructors using the
accompanying text in their classes. All recipients of this work are expected to abide by
these restrictions and to honor the intended pedagogical purposes and the needs of other
instructors who rely on these materials.
Copyright © 2011 Pearson Education