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Chapter 6: Consumer Buying Behavior Pride/Ferrell Foundations of Marketing Fourth Edition Prepared by Milton Pressley University of New Orleans © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Objectives 1. Describe the level of involvement and types of consumer problem-solving processes. 2. Recognize the stages of the consumer buying decision process. 3. Explain how situational influences may affect the consumer buying decision process. 4. Understand the psychological influences that may affect the consumer buying decision process. 5. Be familiar with the social influences that affect the consumer buying decision process. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Buying Behavior • Buying Behavior – decision processes and actions of people involved in buying and using products – all types of buyers: businesses, organizations, and consumers • Consumer Buying Behavior – decision processes and purchasing activities of people who purchase products for personal or household use and not for business purposes © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Consumer Problem Solving © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Involvement • Level of Involvement – degree of interest in a product and the importance of the product for that person – varies w/ age, income, life stage – the importance of education to you now • Enduring Involvement – ongoing and long-term involvement with a product or product category – interest in sports, music, entertainment • Situational Involvement – temporary, or dynamic involvement resulting from a particular set of circumstances – you run over a nail and need a new tire © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Four Types of Problem Solving • Routinized response behavior – used when buying frequently purchase, low-cost items • Limited problem solving – used when purchasing products occasionally or unfamiliar brands in familiar product categories • Extended problem solving – used when purchasing unfamiliar, expensive, or infrequently purchased products • Impulse buying – resulting from a powerful urge to buy something immediately © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Consumer Problem Solving © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Consumer Problem Solving Strategies Consumer Buying Behaviors Routinized Response Limited Problem Solving Extended Problem Solving Impulse Buying © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Figure 6.1 Consumer Buying Decision Process and Possible Influences on the Process © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Problem Recognition • Occurs when a buyer becomes aware of a difference between a desired state and an actual condition Problem Recognition Problem recognition is the first stage of the consumer buying decision process. In this advertisement, the maker of Ban deodorant is attempting to stimulate problem recognition. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Information Search Search for Information Internal Search External Search © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Information Search • Internal search - buyers search their memories for information about products that might solve their problem • External search - buyers seek information from outside sources © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Evaluation of Alternatives • Consideration set - a group of brands that a buyer views as alternatives for possible purchase • Evaluative criteria - objective and subjective characteristics that are important to a buyer Framing Product Attributes The maker of Palmolive Pure + Clear frames product attributes that include no unnecessary chemicals, no heavy fragrances, non-irritating dyes, and no harmful residuals left on dishes. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Purchase and Post-Purchase Evaluation • Purchase - chooses the product or brand to be bought - chooses the seller - negotiates the terms of the transaction - makes the purchase or terminates the process • Post-Purchase Evaluation - Cognitive dissonance: a buyer’s doubts shortly after a purchase about whether the decision was the right one -Also known as ‘post purchase dissonance’ and ‘buyer’s remorse’ © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Give an Example • Give an example about a purchase for which you experienced post-purchase cognitive dissonance. Then, explain how you overcame the cognitive dissonance. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Situational Influences on the Buying Decision Process • Situational Influences-result from circumstances, time and location that affect the consumer buying decision process – Physical surroundings – Social surroundings – Time perspective – Reason for purchase – Buyer’s momentary mood and condition © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Psychological Influences on the Buying Decision Process • Psychological Influences - Perception - Motives - Learning - Attitudes - Personality and self-concept - Lifestyle © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. About Perception • Perception – the process of selecting, organizing, and interpreting information inputs to produce meaning • Information inputs – sensations received (sight, taste, hearing, smell and touch) © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Three-Step Perception Process 1 Selective Exposure Receiving some inputs while ignoring others 3 Selective Retention Remembering those inputs that support personal feelings and beliefs and forgetting those that don’t 2 Selective Distortion Changing information when inconsistent with personal feelings or beliefs © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Motives • Motive – internal energizing force that directs a person’s behavior toward satisfying needs or achieving goals • thirst/hunger • cold/hot • fear • success • Patronage Motives – influence where a person purchases products on a regular basis • affiliation • convenience • price/value • tradition © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Maslow’s Hierarchy of Needs © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Learning • Learning – changes in an individual’s thought processes and behavior caused by information and experience – unfreeze attitudes & behaviors…refreeze • Sources of Learning – behavioral consequences – information processing – experience Learning Changing thought processes and behaviors is challenging. In this advertisement the make of Slim-Fast is attempting to change thought processes and behaviors toward food choices and fitness. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Attitudes • Attitude - an individual enduring evaluation of, feelings about, and behavioral tendencies toward an object or idea • Attitude scale - means of measuring consumer attitudes by gauging the intensity of individual’s reactions to adjectives, phrases, or sentence about an object Attempting to Change Attitudes The SeeAmerica.org attempts to change peoples’ attitudes regarding conservation and to encourage them to support its organization © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Personality, Self-Concept & Lifestyles • Personality – set of internal traits and distinct behavioral tendencies that result in consistent patterns of behavior in certain situations • Self-Concept – view of one’s self – can be positive or negative • Lifestyles – individual’s pattern of living expressed through activities interests and opinions © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Discussion Question • Visit the L.L Bean Web & Ralph Lauren Web Sites by clicking on the @ symbols below. After reviewing the Sites, describe what you believe the self concept of the typical L.L. Bean customer to be contrasted with that of the typical Ralph Lauren customer. L.L. Bean Ralph Lauren © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. VALS Types A VALS program uses a short questionnaire to help classify consumers into groups: © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Seven Social Influences on the Buying Decision Process Roles Culture and Subcultures Family Influences Social Influences Social Classes Reference Groups Digital Networks Opinion Leaders © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Types of Family Decision Making © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Social Influences • Roles – actions and activities that a person in a particular position is supposed to perform based on expectations of the individual and surrounding persons – family role, work role, role in an organization • Family Influences – consumer socialization – the process through which a person acquires the knowledge and skills to function as a consumer © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Social Influences • Reference Group - any group that positively or negatively affects a person’s values, attitudes or behavior • Types of Reference Groups • Membership: an individual actually belongs • Aspirational: an individual aspires to belong • Disassociative: an individual does not want to belong • Opinion Leaders - a reference group member who provides information about a specific sphere that interests reference group participants © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Examples of Opinion Leaders and Topics © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Social Influences on the Buying Decision Process • Digital Networks – Blogs (Daily Candy) – Wikis (Wookieepedia) – Social Networks Social Networks In this advertisement, facebook.com promotes the idea of its social network. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Social Class Behavioral Traits & Purchasing Characteristics • Social Classes © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Social Class Behavioral Traits & Purchasing Characteristics © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Social Class Behavioral Traits & Purchasing Characteristics © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Social Influences • Social Classes – an open group of individuals with similar social rank – interact most often with those of the same class • Culture – accumulation of values, knowledge, beliefs, customs, objects, and concepts of a society • Subculture – groups of individuals whose characteristic values and behavior patterns are similar and different from those of the surrounding culture © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Subcultures – African American Subculture – Hispanic Subculture – Asian American Subculture Subculture Subcultures can be based on geographic areas and demographic characteristics such as age, religion, race, and ethnicity. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Discussion Question • The Asian American subculture includes people from more than 15 ethnic groups. The individual religious, language, and value system of each group influences the purchase behavior within each subculture. However, some traits of this subculture carry across ethnic divisions. Click on the Television below, watch the commercial, and discuss which of those “cross-over” traits are exhibited in the commercial. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. After Reviewing This Chapter You Should: 1. 2. 3. 4. 5. Be able to describe the level of involvement and types of consumer problem-solving processes. Recognize the stages of the consumer buying decision process. Be able to explain how situational influences may affect the consumer buying decision process. Understand the psychological influences that may affect the consumer buying decision process. Be familiar with the social influences that affect the consumer buying decision process. © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Key Concepts • • • • • • • • • • • • • • • • • • • • Buying behavior Consumer buying behavior Level of involvement Routinized response behavior Limited problem solving Extended problem solving Impulse buying Consumer buying decision process Internal search External search Consideration set Evaluative criteria Cognitive dissonance Situational influences Psychological influences Perception Information inputs Selective exposure Selective distortion Selective retention • • • • • • • • • • • • • • • • • • • • Motive Maslow’s hierarchy of needs Patronage motives Learning Attitude Attitude scale Personality Self-concept Lifestyle Social influences Role Consumer socialization Reference group Opinion leader Blogs Wikis Social networks Social class Culture Subculture © 2011 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.