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Advertising and Consumer behaviour Advertising: According to Wheeler, “Advertising is Any form of pAid non-personal presentation of ideas, goods or services for the purpose of inducing people to buy.” Elements of advertising Trial Continuity Brand switch Switching back consumer behaviour Consumer behaviour is the study of how individual customers, groups or organizations select, buy, use, and dispose ideas, goods, and services to satisfy their needs and wants. It refers to the actions of the consumers in the marketplace and the underlying motives for those actions. Elements of consumer behaviour : Who Buys When do consumers buy How consumers buy From where do consumers buy Why do consumers buy Factors Affecting Consumer behaviour Economic factors 1. Personal income 2. Family income 3. Expected income 4. Discretionary income 5. Liquid assets with consumer 6. Disposable income 7. Consumer credit Sociocultural factors 1. Family 2. Social class and caste 3. Reference groups 4. Culture 5. religion Psychological factors 1. 2. 3. 4. 5. Individual needs Image Attitude Learning Personality and life style Personal factors 1. 2. 3. 4. Age Education Occupation sex Impact of advertising on consumer behaviour: Advertising persuades the audience of usefulness of the product and makes them feel the need to have the product . effective advertisement creates demand and makes the person go to shop and buy the product. It promotes new uses of the product and helps in understanding the methods of using it. Attracts customers with special offers like festival discounts, stock clearance sales etc. Comparative advertising creates brand preference. It reminds the consumer about the product and thereby induces them to repurchase order It provides information about availability of products , method of using product etc. It overcomes the dissonance of customers. Importance of study of consumer behaviour in advertising Helps in selecting message content Helps in selecting message source person Helps in selecting media and media mix Helps in deciding media scheduling Helps in understanding buying motives Effective advertising campaign Buying process: NEED AROUSAL SEARCH FOR INFORMATION POST PURCHASE BEHAVIOUR BUYING PROCESS EVALUATION OF VARIOUS ALTERNATIVES PURCHASE DECISION