meaning, buying decision process,determinants of consumer behaviour, problems in understanding consumer behaviour

1. CONSUMER BEHAVIOUR
Determinants…

2. CONSUMER BUYING OR DECISION MAKING
PROCESS.....
• NEED
RECOGNITI
ON
1
•INFORMATION
SEARCH
2 •EVALUATION
AND INTENTION
3
•PURCHASE
DECISION
4 •POST
PURCHASE
REACTION
5
The need may have
been triggered by
internal stimuli (such
as hunger or thirst) or
external stimuli (such
as advertising or word
of mouth).
customer
may rely on
print,
visual,
online
media or
word of
mouth for
obtaining
information
.
if the customer’s
attitude is positive and
involvement is high, then
they will evaluate a
number of companies or
brands; but if it is low,
only one company or
brand will be evaluated.
purchase
decision
may be
disrupted
by
factors:
negative
feedback
from
other
customers
customers will compare
products with their
previous expectations and
will be either satisfied or
dissatisfied. Therefore,
these stages are critical in
retaining customers. This
can greatly affect the
decision process for
similar purchases from
the same company in the
future

4. DETERMINANTS OF CONSUMER
BEHAVIOUR
ECONOMIC
DETERMINANTS
SOCIOLOGICAL
DETERMINANTS
PSYCHOLOGICAL
DETERMINANTS

5. ECONOMIC DETERMINANTS
 Personal income
 Family income
 Disposable income
 Discretionary income
 Consumer income
expectations
 Consumer’s liquid assets
 Consumer credit
 Standard of living
 Government policy

6. SOCIOLOGICAL DETERMINANTS
 Family
 Reference groups
 Opinion leaders
 Culture
 Social class

7. PSYCHOLOGICAL DETERMINANTS
 Motivation
 Perception
 Image
 Learning
 Attitude
 Personality
 Lifestyle

8. PERSONAL DETERMINANTS
AGE
EDUCATION
OCCUPATION
INCOME
ROLES AND STATUS

9. PROBLEMS IN UNDERSTANDING
BUYING BEHAVIOUR
 A consumer may have multiple buying motives and is
unable to express his main motive
 A consumer nay be so ignorant that he cannot
understand his inner urge that prompts him to buy or
not to buy
 A consumer’s personality, his behavioral attitudes,
beliefs and values undergo change with the changes in
socio-psycho-economic structure
 The techniques used in the study of consumer behavior
are of empirical nature and not precise like
mathematics or science

10. PROBLEMS IN UNDERSTANDING
BUYING BEHAVIOUR
 (i) Consumers ignorance: Sometimes the consumers themselves do not
understand their inner urges which prompt them to react in a particular way
to purchase a product.
 (ii) Consumer's hesitation or misstatement: Sometimes, even they
understand their buying motives, they hesitate to explain the same to the
interviewers or give misstatement. It leads to miscalculation.
 (iii) Difficulty in identifying the buying motives: Sometimes there are more
than one motives which prompts a consumer to purchase a particular
product. He is not in a position to identify the primary motive which
influences his purchases.
 (iv)Existence of contradictory motives: Sometimes there is a conflict in
motives. In such cases it becomes very difficult to tell which particular
motive influences the consumer's buying.
 (v)Dynamic nature of buying motives: Buying motives are constantly
changing with the changes in income, habits, fashions, taste, time and
circumstances. The organization should be always on the look out for
changing new motives.
 (vi)Consumer's personality: The personality of the consumer is also not
always the same. It undergoes a constant change. Decision making on the
basis of such information once for all might not be justified.
 (vii)Imperfect techniques: Research techniques have not yet been evolved to
provide perfect data to base our conclusions and therefore, their reliability is
doubtful.