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Analyzing Consumer Markets Possible Questions 1. How do consumer characteristics influence buying behavior? 2. What major psychological processes influence consumer responses to the marketing program? 3. How do consumers make purchasing decisions? 4. In what ways do consumers stray from a deliberative, rational decision process? Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall Slide 2 of 31 Consumer Behavior The study of how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs or wants. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall Slide 3 of 31 Consumer Behavior Personal Factors Cultural Factors Social Factors Cultural Factors Social Class Culture Subculture Social Factors Reference Groups Family Role and Status Personal Factors Personality Age Life Cycle Stage Personal Factors Occupation Values Lifestyle Economic situation Psychological Factors Motivation Freud Maslow Herzberg Maslow’s Hierarchy of Needs Perception Selective Attention Selective Retention Subliminal Perception Selective Distortion Learning Driver Cues Discrimination Emotions Memory Memory Processes Mental Maps Encoding Retreival Association Association Association Association Association Brand Associations Brand The Buying Decision Process Buying Decision Process Problem Recognition “I’m Hungry” Stimulus • Internal • External Information Search Commercial Personal Public Experiential Successive Sets Involved in Consumer Decision Making Evaluation of Alternatives Beliefs Attitudes Steps between Evaluation of Alternatives and Purchase Decision Postpurchase Behavior Postpurchase Satisfaction Delighted Satisfied Dissatisfied Loyal Stay or Go Defect Postpurchase Actions How Customers Use or Dispose of Products Behavioral Decision Theory Decision Framing Decision Heuristics