Download Introduction to Marketing

Consumer Behavior & Psychology
Definition
 Consumer buyer behavior refers to the buying behavior of
final consumers- individuals and households that buy goods
for consumption- Kotler
 All these final consumers make up the consumer market
Model of Consumer Behaviour
 How do consumers respond to various marketing efforts the
company might use?
Characteristics Affecting Consumer
behaviour
Social Factors
 Groups
 Family
 Roles & Status
Personal Factors
 Age & life-cycle stage
 Occupation
 Economic situation
 Lifestyle
 Personality & self concept
Psychological Factors
 Motivation
 Perception
 Learning
 Beliefs & Attitudes
Types of Buying Decision Behaviour
Complex Buying Behaviour
Type of Product
•
Expensive
•
Risky
•
Purchased infrequently
•
Highly self-expressive
Brand
eg: Electronics
 Must understand the information gathering and evaluation behaviour of buyers
 Need to help buyers learn about the product –class, attributes and relative importance
 Describe benefits – Print media

Motivate stores sales people and buyers acquaintance to influence the final brand choice
Dissonance-reducing Buying Behaviour
Type of product
•
Expensive
•
Risky
•
Purchased infrequently
•
Highly self-expressive
Brand
 Provide a good price
 Offer convenience
eg; Carpets, Furniture
 Mitigate dissonance - provide after sales communication with evidence and support to
help consumers feel good about there product
Habitual Buying Behaviour
Type of product
•
In expensive
•
Frequently Purchased
•
Familiar/ loyal
Brand
 Provide a good price
eg; personnel care products
 Offer Promotions
 Create top of mind – use colors symbols (TV led advertising)
Variety Seeking Buying Behaviour
Type of product
•
In expensive
•
Frequently Purchased
•
Familiar
•
Large choice/variety
Brand
 Market Leader – create habitual behaviour
eg; confectionary
 Dominating shelf space
 Stocking up
 Reminder advertisements
 Challengers
 Offers lower price/special deals
 Coupons, samples
 Advertising that presence reason for trying something new
The Buyer Decision Process
The Buyer Decision Process for New
Products
Consumer go through five stages in the process of
adopting a new product:
 Awareness
 Interest
 Evaluation
 Trial
 Adoption
Zero Moment of Truth
Individual Differences in
Innovativeness
Marketing efforts in innovation
Influence of Product Characteristics on
Rate of Adoption
 Relative advantage
 Compatibility
 Complexity
 Divisibility
 Communicability