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Analyzing
Consumer Markets
Marketing Management, 13th ed
6
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-2
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 6-3
Crest Used Mobile Phones to Engage
Consumers in Its Irresistibility
Campaign
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-4
What Influences
Consumer Behavior?
Cultural Factors
Social Factors
Personal Factors
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-5
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 6-6
Subcultures
Nationalities
Religions
Racial groups
Geographic regions
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-7
David’s Bridal Targets the Latino Sub-
Culture with its Collection of
Quinceañera Dresses
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-8
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 year
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-9
Social Classes
Upper uppers
Lower uppers
Upper middles
Middle class
Working class
Upper lowers
Lower lowers
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-10
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 time
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-11
Social Factors
Reference
groups
Social
roles
Statuses
Family
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-12
Reference Groups
Membership groups
Primary groups
Secondary groups
Aspirational groups
Dissociative groups
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-13
Family Distinctions
Affecting Buying Decisions
• Family of Orientation
• Family of Procreation
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-14
Radio Shack Targets Women with
Female Store Managers
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-15
Roles and Status
What degree of status is
associated with various
occupational roles?
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-16
Personal Factors
Age
Values
Life cycle
stage
Occupation
Personality
Self-
concept
Wealth
Lifestyle
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-17
The Family Life Cycle
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-18
Brand Personality
Sincerity
Excitement
Competence
Sophistication
Ruggedness
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-19
Lifestyle Influences
Multi-tasking
Time-starved
Money-constrained
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-20
Table 6.2 LOHAS (Lifestyles of Health
and Sustainability) Market Segments
• Sustainable Economy
• Healthy Lifestyles
• Ecological Lifestyles
• Alternative Health Care
• Personal Development
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-21
Figure 6.1
Model of Consumer Behavior
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-22
Key Psychological Processes
Motivation
Memory
Learning
Perception
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-23
Motivation
Freud’s
Theory
Behavior
is guided by
subconscious
motivations
Maslow’s
Hierarchy
of Needs
Behavior
is driven by
the lowest,
unmet need
Herzberg’s
Two-Factor
Theory
Behavior is
guided by
motivating
and hygiene
factors
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-24
Maslow’s Hierarchy of Needs
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-25
Herzberg’s Two-Factor Theory
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-26
Perception
Selective Attention
Subliminal Perception
Selective Retention
Selective Distortion
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-27
Sony Viao´s logo is one that hides a hidden message that can’t be seen that
easily. If you look closely, the design of the word “Viao” shows the symbol of
analogue and digital that defines the two worlds in which the brand works.
It is a clever use of advertising and subliminal marketing because it is not
supposed to be understood or appreciated by everyone so easily.
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-28
Figure 6.3 State Farm Mental Map
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-29
Bahlsen Uses Crunchy Sounds to
Encode Brand Associations
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-30
Figure 6.4 Consumer Buying Process
Problem Recognition
Information Search
Evaluation
Purchase Decision
Postpurchase
Behavior
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-31
Problem Recognition
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-32
Sources of Information
Personal
Experiential
Public
Commercial
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-33
Figure 6.5 Successive Sets Involved in
Consumer Decision Making
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-34
Table 6.4 A Consumer’s Evaluation of
Brand Beliefs About Laptops
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-35
Figure 6.6 Stages between Evaluation
of Alternatives and Purchase
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-36
Non-Compensatory Models of Choice
• Conjunctive
• Lexicographic
• Elimination-by-aspects
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-37
Perceived Risk
Functional
Physical
Financial
Social
Psychological
Time
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-38
Figure 6.7 How Customers Use and
Dispose of Products
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-39
Other Theories of
Consumer Decision Making
Involvement
• Elaboration
Likelihood Model
• Low-involvement
marketing
strategies
• Variety-seeking
buying behavior
Decision Heuristics
• Availability
• Representativeness
• Anchoring and
adjustment
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-40
Mental Accounting
• Consumers tend to…
• Segregate gains
• Integrate losses
• Integrate smaller losses with larger gains
• Segregate small gains from large losses
Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-41
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 6-42
Marketing Discussion
 Do you have rules you employ in
spending money?
 Do you follow Thaler’s four principles
in reacting to gains and losses?

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Analyzing consumer markets chp 6

  • 2. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-2 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?
  • 3. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-3 Crest Used Mobile Phones to Engage Consumers in Its Irresistibility Campaign
  • 4. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-4 What Influences Consumer Behavior? Cultural Factors Social Factors Personal Factors
  • 5. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-5 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.
  • 6. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-6 Subcultures Nationalities Religions Racial groups Geographic regions
  • 7. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-7 David’s Bridal Targets the Latino Sub- Culture with its Collection of Quinceañera Dresses
  • 8. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-8 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 year
  • 9. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-9 Social Classes Upper uppers Lower uppers Upper middles Middle class Working class Upper lowers Lower lowers
  • 10. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-10 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 time
  • 11. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-11 Social Factors Reference groups Social roles Statuses Family
  • 12. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-12 Reference Groups Membership groups Primary groups Secondary groups Aspirational groups Dissociative groups
  • 13. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-13 Family Distinctions Affecting Buying Decisions • Family of Orientation • Family of Procreation
  • 14. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-14 Radio Shack Targets Women with Female Store Managers
  • 15. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-15 Roles and Status What degree of status is associated with various occupational roles?
  • 16. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-16 Personal Factors Age Values Life cycle stage Occupation Personality Self- concept Wealth Lifestyle
  • 17. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-17 The Family Life Cycle
  • 18. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-18 Brand Personality Sincerity Excitement Competence Sophistication Ruggedness
  • 19. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-19 Lifestyle Influences Multi-tasking Time-starved Money-constrained
  • 20. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-20 Table 6.2 LOHAS (Lifestyles of Health and Sustainability) Market Segments • Sustainable Economy • Healthy Lifestyles • Ecological Lifestyles • Alternative Health Care • Personal Development
  • 21. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-21 Figure 6.1 Model of Consumer Behavior
  • 22. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-22 Key Psychological Processes Motivation Memory Learning Perception
  • 23. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-23 Motivation Freud’s Theory Behavior is guided by subconscious motivations Maslow’s Hierarchy of Needs Behavior is driven by the lowest, unmet need Herzberg’s Two-Factor Theory Behavior is guided by motivating and hygiene factors
  • 24. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-24 Maslow’s Hierarchy of Needs
  • 25. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-25 Herzberg’s Two-Factor Theory
  • 26. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-26 Perception Selective Attention Subliminal Perception Selective Retention Selective Distortion
  • 27. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-27 Sony Viao´s logo is one that hides a hidden message that can’t be seen that easily. If you look closely, the design of the word “Viao” shows the symbol of analogue and digital that defines the two worlds in which the brand works. It is a clever use of advertising and subliminal marketing because it is not supposed to be understood or appreciated by everyone so easily.
  • 28. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-28 Figure 6.3 State Farm Mental Map
  • 29. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-29 Bahlsen Uses Crunchy Sounds to Encode Brand Associations
  • 30. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-30 Figure 6.4 Consumer Buying Process Problem Recognition Information Search Evaluation Purchase Decision Postpurchase Behavior
  • 31. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-31 Problem Recognition
  • 32. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-32 Sources of Information Personal Experiential Public Commercial
  • 33. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-33 Figure 6.5 Successive Sets Involved in Consumer Decision Making
  • 34. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-34 Table 6.4 A Consumer’s Evaluation of Brand Beliefs About Laptops
  • 35. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-35 Figure 6.6 Stages between Evaluation of Alternatives and Purchase
  • 36. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-36 Non-Compensatory Models of Choice • Conjunctive • Lexicographic • Elimination-by-aspects
  • 37. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-37 Perceived Risk Functional Physical Financial Social Psychological Time
  • 38. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-38 Figure 6.7 How Customers Use and Dispose of Products
  • 39. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-39 Other Theories of Consumer Decision Making Involvement • Elaboration Likelihood Model • Low-involvement marketing strategies • Variety-seeking buying behavior Decision Heuristics • Availability • Representativeness • Anchoring and adjustment
  • 40. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-40 Mental Accounting • Consumers tend to… • Segregate gains • Integrate losses • Integrate smaller losses with larger gains • Segregate small gains from large losses
  • 41. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-41 Marketing Debate  Is target marketing ever bad? Take a position: 1. Targeting minorities is exploitive. or 2. Targeting minorities is a sound business practice.
  • 42. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6-42 Marketing Discussion  Do you have rules you employ in spending money?  Do you follow Thaler’s four principles in reacting to gains and losses?