analysing consumer market

1. How do consumers make purchasing
decisions

2. Problem
Recognition
Information
Search
Evaluation of
Alternatives
Purchase
Decisions
Post purchase
Behaviour

3. Problem Recognition
Needs are triggered by internal or
external stimuli

4. Problem
Recognition
Information
Search
Evaluation of
Alternatives
Purchase
Decisions
Post purchase
Behaviour

5. Information Search
Heightened attention
Person becomes more
receptive to information
about a product
Active information
search
Looking for reading
material,phoning friends,
going online and visiting
stores to learn about
the product

6. Personal
Commercial
Information
Source
Experimental
Public
}legitimizing/evaluation function
}Information function

7. Market
partitioning
Process of
identifying the
hierarchy of
attributes that
guide consumers
decision making

8. Total set
Choice set
Awareness
set
Consideration
set
Decision

9. Problem
Recognition
Information
Search
Evaluation of
Alternatives
Purchase
Decisions
Post purchase
Behaviour

10. Evaluation of alternatives
The consumer is
trying to satisfy a
need
Consumer sees each
product as a bundle of
attributes with varying
ability to deliver benefits.
Consumer is
looking for certain
benefits from the
product solution

11. Expectancy
Value Model
Posits that consumers
evaluate products and
services by combining
their brand beliefs –
the positive and
negative according to
their importance

12. LAPTOPS Memory
Capacity
Graphics
Capacity
price Perceived
value
Weights
assigned by
customer
0.4 0.4 0.2
A 8 9 6 8
B 9 6 9 7.8
C 5 8 8 6.8
Customer will favour Laptop
A because of high perceived
value
EXAMPLE

13. Problem
Recognition
Information
Search
Evaluation of
Alternatives
Purchase
Decisions
Post purchase
Behaviour

14. Purchasing Decision
Conjunctive heuristic
Sets a minimum
acceptable cut off level for
each attribute and
chooses the first
alternative that meets the
minimum standard for all
Elimination by aspects
heuristic
Compares brand on an
attribute selected randomly
Lexicographic heuristic
Choosing best brand on
the basis of its best
perceived attribute
Heuristics

15. Attitude of
others
Intervening
Factors
Unanticipated
situational
factors
Our motivation to comply with
other persons wish
Intensity of other person’s
negative attitude toward our
preferred alternative
Time risk
Psychological risk
Functional risk
Physical risk
Financial risk
Social risk

16. Problem
Recognition
Information
Search
Evaluation of
Alternatives
Purchase
Decisions
Post purchase
Behaviour

17. Post purchase behaviour
Post purchase
satisfaction
Makes a difference in
whether consumer buys
the product again and
recommends it to other
Post purchase use
and disposal
Key driver of sales
frequency. Product
consumption rate
Post purchase action

18. Srishti Chaturvedi
Indian Institute of Technology
Kanpur
B.Tech Student