Definition• Consumer behavior can be said to be the study of how individual’s make decision on how to spend their available resources (time , money and efforts) on various consumption related items.
Groups affecting consumer behavior• Family• Friends• Social class• Ones’ own culture and others customs• Price• Psychology• Substitute or near available alternative
Family• Traditionally, Family is defined as two or more persons related by blood , marriage or adoptions who reside together .• In simple words the individuals who constitute a family might be described as member of the most basic social group who live together and interact to satisfy their personal and mutual needs…
• Family is one of the most trusted reference group for any consumer
Eight Roles in the Family Decision-Making ProcessROLE DESCRIPTIONInfluencers Family member(s) who provide information to other members about a product or serviceGatekeepers Family member(s) who control the flow of information about a product or service into the familyDeciders Family member(s) with the power to determine unilaterally or jointly whether to shop for, purchase, use, consume, or dispose of a specific product or serviceBuyers Family member(s) who make the actual purchase of a particular product or servicePreparers Family member(s) who transform the product into a form suitable for consumption by other family membersUsers Family member(s) who use or consume a particular product or serviceMaintainers Family member(s) who service or repair the product so that it will provide continued satisfaction.Disposers Family member(s) who initiate or carry out the disposal or discontinuation of a particular product or service
The Traditional Family Life-Cycle1. Young Singles: Single people under the age of 35. Incomes are low since theyare starting a career, but they have few financial burdens and a high level of discretionary –income.2. Newly Married: Newly married couple without children. High level of discretionaryincome because the wife is usually working.3. Full Nest I: Married couples with the youngest child under 6. Greater squeeze onincome because of increased expenses for child care.4. Full Nest II: Married couples with children from 6 to 12. Better financial positionsince parents income is rising. Most children are “latchkey kids” because both parents areworking.5. Full Nest IIl: Married couples with teenage children living at home. Family’sfinancial position continues to improve. Some children work part-time. Increasing educationalcosts.6. Empty Nest I: Children have left home and are not dependent on parentalsupport. Parents are still working. Reduced expenses result in greatest level of savings andhighest discretionary income.7. Empty Nest Il: Household head has retired, so couple experiences sharp drop inincome. Couple relies on fixed income from retirement plans.8. Solitary Survivor: Widow or widower with lower income and increasing medicalneeds.
Family Life Cycle in India Young Singles Newly Married Couple Young Married Couple With Small Children/Child Married Couple With Teenage/Grown Up Children Middle Age Couple With Independent (Working Children) Post Retirement
Sequence In Non-Traditional Household Life Cycles Sequence 1: o Young Married couple with children o Young divorced parent o Single parent with older children o Older, unmarried Sequence 2: oYoung divorced couple without children o Middle-aged married couple oOlder married couple without children without children Sequence 3: o Young married couple with children o Middle-aged divorced parent o Middle-aged married parent with children and step-children Sequence 4: o Young unmarried couple without children o Middle-aged married couple o Older married couple without children without children o Widow
Tactics used by childern Pressure tactics The child makes demands uses threats or intimidation to persuaded you to comply with their request Ingratiating child seeks to get you in a good mood or think favorably of him or her be fore asking you to comply with a request Exchange tactics The child makes an explicit or implicit promise to give you some sort of service in return for a favor Inspirational appeals The child makes an emotional appeal or proposal that arouses enthusiasm by appealing to your values and ideals Consultation tactics The child seeks your involvements in making a decision
The house hold decision making process forchildren s products
InfluencesCommunications (children)targeted children (taste, image) Decision Purchasers makers (parents) Users Initiators (parents, (parents) (Children)Communications children) targeted at parents. (nutrition) Information gathers (parents)
• Different family members are often involved at different stages of decision process..• Different family members often evaluate the attributes of a product or a brand…
Thank you• Group 2• Nabajit sarma• Avinendra• Nishta• Aakash Kunwar• KLS Sekhar• Aryab Kumar pal