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  • 1. 6 Analyzing Consumer MarketsMarketing Management, 13th ed
  • 2. Chapter Questions • How do consumer characteristics influence buying behavior? • What major psychological processes influence consumer responses to the marketing program? • How do consumers make purchasing decisions? • How do marketers analyze consumer decision making?Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 3. Crest Used Mobile Phones to Engage Consumers in Its Irresistibility CampaignCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 4. What Influences Consumer Behavior? Cultural Factors Cultural Factors Social Factors Social Factors Personal Factors Personal FactorsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 5. What is Culture? Culture is the fundamental determinant of a person’s wants and behaviors acquired through socialization processes with family and other key institutions.Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 6. Subcultures Nationalities Nationalities Religions Religions Racial groups Racial groups Geographic regions Geographic regionsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 7. David’s Bridal Targets the Latino Sub- Culture with its Collection of Quinceañera DressesCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 8. Fast Facts About American Culture • The average American: • chews 300 sticks of gum a year • goes to the movies 9 times a year • takes 4 trips per year • attends a sporting event 7 times each yearCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 9. Social Classes Upper uppers Lower uppers Upper middles Middle class Working class Upper lowers Lower lowersCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 10. Characteristics of Social Classes • Within a class, people tend to behave alike • Social class conveys perceptions of inferior or superior position • Class may be indicated by a cluster of variables (occupation, income, wealth) • Class designation is mobile over timeCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 11. Social Factors Reference Family groups Social Statuses rolesCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 12. Reference Groups Membership groups Membership groups Primary groups Primary groups Secondary groups Secondary groups Aspirational groups Aspirational groups Dissociative groups Dissociative groupsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 13. Family Distinctions Affecting Buying Decisions • Family of Orientation • Family of ProcreationCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 14. Radio Shack Targets Women with Female Store ManagersCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 15. Roles and Status What degree of status is associated with various occupational roles?Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 16. Personal Factors Age Self- Life cycle concept stage Lifestyle Occupation Values Wealth PersonalityCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 17. The Family Life CycleCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 18. Brand Personality Sincerity Sincerity Excitement Excitement Competence Competence Sophistication Sophistication Ruggedness RuggednessCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 19. Lifestyle Influences Multi-tasking Time-starved Money-constrainedCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 20. Table 6.2 LOHAS (Lifestyles of Health and Sustainability) Market Segments • Sustainable Economy • Healthy Lifestyles • Ecological Lifestyles • Alternative Health Care • Personal DevelopmentCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 21. Figure 6.1 Model of Consumer BehaviorCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 22. Key Psychological Processes Motivation Perception Learning MemoryCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 23. Motivation Maslow’s Herzberg’s Freud’s Hierarchy Two-Factor Theory of Needs Theory Behavior Behavior Behavior is is guided by is driven by guided by subconscious the lowest, motivating motivations unmet need and hygiene factorsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 24. Maslow’s Hierarchy of NeedsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 25. Herzberg’s Two-Factor TheoryCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 26. Perception Selective Attention Selective Retention Selective Distortion Subliminal PerceptionCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 27. Figure 6.3 State Farm Mental MapCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 28. Bahlsen Uses Crunchy Sounds to Encode Brand AssociationsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 29. Figure 6.4 Consumer Buying Process Problem Recognition Information Search Evaluation Purchase Decision Postpurchase BehaviorCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 30. Problem RecognitionCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 31. Sources of Information Personal Commercial Public ExperientialCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 32. Figure 6.5 Successive Sets Involved in Consumer Decision MakingCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 33. Table 6.4 A Consumer’s Evaluation of Brand Beliefs About LaptopsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 34. Figure 6.6 Stages between Evaluation of Alternatives and PurchaseCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 35. Non-Compensatory Models of Choice • Conjunctive • Lexicographic • Elimination-by-aspectsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 36. Perceived Risk Functional Functional Physical Physical Financial Financial Social Social Psychological Psychological Time TimeCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 37. Figure 6.7 How Customers Use and Dispose of ProductsCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 38. Other Theories of Consumer Decision Making Involvement Decision Heuristics • Elaboration • Availability Likelihood Model • Representativeness • Low-involvement • Anchoring and marketing adjustment strategies • Variety-seeking buying behaviorCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 39. Mental Accounting • Consumers tend to… • Segregate gains • Integrate losses • Integrate smaller losses with larger gains • Segregate small gains from large lossesCopyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 40. Marketing Debate  Is target marketing ever bad? Take a position: 1. Targeting minorities is exploitive. or 2. Targeting minorities is a sound business practice.Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall
  • 41. Marketing Discussion  Do you have rules you employ in spending money?  Do you follow Thaler’s four principles in reacting to gains and losses?Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall