Consumer Buying Behavior and Decision Making.docx
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Consumer Buying Behavior and Decision Making.docx
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Chapter4:
ConsumerBuyingBehaviorandDecisionMaking
Understandingconsumerbehavior
Understandingconsumerbehaviorhelpsmarketersmakebettermarketingdecisions,and
identifyemergingtrendsintheconsumermarketplace.Awarenessofthesetrendsisessential
forquicklyrecognizingandrespondingtoproblemsandopportunitieswithsoundmarketing
strategies.
Marketersusetheirunderstandingofcurrentconsumerconsumptionpatternsandemerging
trendstoidentifytargetmarketsegmentsandidentifyopportunitiesforgainingcompetitive
advantage.
Consumerdecision-makingprocess
Theconsumerdecision-makingprocesshasthefollowingfourmainphases:
a.Recognitionofneedorproblem:
Theawarenessofawantordeprivationcreatedbyan
internaldesire,theabsenceorfailureofaproduct,orsomeexternalinfluencesuchas
advertising.
b.Searchforinformation:
Theseeking(internaland/orexternal)ofinformationrelatedto
resolvingneedorproblem.
c.Evaluationofalternatives:
Theappraisalofproductsorservicesidentifiedascapableof
(atleasttosomedegree)resolvingtheneedorsolvingtheproblem.
d.Purchase:
Theactofacquiringtheproductorserviceselectedintheevaluationof
alternativesphase.
Consumersengaginginroutinizedresponsebehaviortypicallymovefromrecognitionof
needorproblemtopurchasewithverylittleneedforinformationsearchorevaluationof
alternatives.Incontrast,consumersengaginginlimitedproblemsolvingspendmoretimein
thesearchforinformationandevaluationofalternativesphases.Typically,thecriteriafor
evaluatingbrandsinacategoryareknownunderlimitedproblemsolving.
Low-involvementconsumerbehavior
Low-involvementconsumerbehaviorreferstoconsumptionbehaviorcharacterizedby
relativelylittlepersonalinterest,relevance,importance,orinformationprocessingrelatedto
thepurchase.
Consumerattitudes
Consumerattitudesareimportantbecausetheyareprimarycausesofbehavior.Consumer
beliefsaboutproductattributesformthebasisforconsumers'attitudestowardthose
products.Therefore,consumerbeliefsaboutaproduct'sattributesformthebasisfor
purchasebehaviortowardthatproduct.
Interpersonalinfluence
Informationalinfluence:
Atypeofinterpersonalinfluencebasedontheconsumer'sdesireto
makeinformedchoicesandreduceuncertainty.Informationalinfluencesaffectpurchase
behaviorbyreducingperceivedriskandprovidingalogicalframeworkwithwhichtomake
purchasedecision.
Utilitarianinfluence:
Atypeofinterpersonalinfluencebasedontheconsumer'sdesireto
complywiththeexpectations,realorimagined,ofothers.Utilitarianinfluenceaffects
purchasebehaviorbygeneratingperceptionsofhowaproductwillaffectaconsumer'ssocial
acceptanceandpeerapproval.
Value-expressiveinfluence:
Atypeofinterpersonalinfluencebasedontheconsumer'sdesire
toenhancehis/herself-conceptthroughidentificationwithothers.Value-expressive
influenceaffectspurchasebehaviorbygeneratingperceptionsofhowaproductwillsupport
consumer'srealordesiredimage.
Socialclassandthefamilylifecycle
Bothsocialclassandstagesofthefamilylifecycleinfluencethetypesofpurchases
consumersmakeandtheactivitiestheypursue.Understandinghowsocialclassandfamily
lifecycleaffectconsumerbehaviorhelpsmarketersidentifytargetmarketsanddevelop
successfulstrategiesformarketingtheirproducts.
Culturalaffectonconsumerbehavior
Cultureaffectsconsumerbehaviorbyhelpingconsumerstoformthevalues,ideas,attitudes,
andsymbolsthattheyadopttocommunicate,interpret,andinteractasamembersofsociety.
Theconceptofculturehastwoprimaryimplicationsformarketing:
itdeterminesthemost
basicvaluesthatinfluenceconsumerbehaviorpatterns,anditcanbeusedtodistinguish
subculturesthatrepresentsubstantialmarketsegmentsandopportunities.
Ethicalresponsibilitiesofconsumers
Consumershavetheobligationtobehonestwithretailersandproductmanufacturers.Some
customersseektocashinmanufacturer’scouponswithoutbuyingtheproduct.Consumers
oftenreturnmerchandisethattheyhaveusedorabusedandwantafullrefund.Itisagainst
thelawtocopyprintorelectronicmediaforresale.Blackmarketandgraymarket
operationsdivertlegitimateprofitsfrommanufacturers.Ingeneral,consumersshouldbe
heldtothesamelevelofethicalresponsibilitythattheyexpectfromprovidersofgoodsand
services.
Cognitivedissonanceandfeelingsofsatisfactionanddissatisfaction
Cognitivedissonanceandconsumerdissatisfactionarebothpost-purchaseoutcomes.
Consumerdissatisfactioncanoccurwithanypurchase,whilecognitivedissonanceismost
likelytooccurwhenthepurchaseisimportant,perceivedriskishigh,thepurchaseisvisible,
andthedecisioninvolvesalong-termcommitment.Consumerdissatisfactionresultswhena
product'sperformancefailstomeettheexpectationsoftheconsumer.Incontrast,cognitive
dissonanceisnotareflectionontheproductperse;ratheritrepresentsanuneasinesscaused
byanimbalanceofinformationbecauseeachalternativehasattractivefeatures.
Internetandshoppingbehavior
WhenanInternetshopperfindsaWebsitethatoffersthemandattractiveselection,service,
andpricepackageitcanbe“bookmarked”foreasyreturn.TheInternetaddsanewmeaning
totheterm“recreationalshopping.”Inadditiontoofferingabroadrangeofgoodsand
services,aWebsitecanprovideinformation,entertainment,andadventure.That’salot
morethanyouwillfindattheMallanditisavailablerightinyourroomona24/7basis.
Customersreturntothebestsitesbecauseoftheircontinuinguseandassistanceandinterest.
Oneproblemisthatcustomersmaybeloyaltoawebsite,butnotnecessarilyloyaltothe
sponsor’sproducts.Justbecauseyouhaveausefulwebsitedoesn’tguaranteethat
customerswillfindtheproductofferingattractive.Itprobablyworkstheotherwaymore
often.Goodproducts-poorwebsite.
ThedownsideofmarketingontheWebisthatprice-sensitiveshopperscanquicklysearch
andcomparepricesofmanypossiblemerchantsofferingconsumershoppinggoodsand
consumerdurables.Insomecasesitisalsopossibletofactorinshipping,tax,andother
servicecosts.Ifcustomersbecomeloyaltowhomeverisofferingthelowestpricetoday
thereislittleroomforsuperiorcustomerservice.Customerloyaltydoesn’tcountformuch
whenyouaresellingthesamethingasanother“store”andareaskingahigherprice.
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