2. What is Consumer Behaviour?
• CB refers to the behaviour that consumer display in searching for
purchasing, using, evaluating and disposing of products and
service that they expect will satisfy their needs.
• The study of consumer behaviour is the study of how individuals
made decisions to spend their available resources on consumption
related items
• Consumer behaviour consists of the actions a person takes in
purchasing and using products and services, including the mental
and social processes that come before and after these actions.
3. Alternative Definitions
• The decision process and physical activities individuals engage in when
evaluating, acquiring, using, or disposing of goods and services.
Loudon & Bitta (1993)
• The dynamic interaction of affect and cognition, behavior, and
environmental events by which human beings conduct the exchange
aspect of their lives.
Peter (1996)
• CB is the study of individuals, groups or organizations and processes
they use to select, secure, use and dispose of products, services,
experiences or ideas to satisfy needs and impacts that these processes
have on the consumer and the society
Hawkings (2005)
4. Consumer Behavior as a Process
CONSUMER’S
PERSPECTIVE
MARKETER’S
PERSPECTIVE
PREPURCHASE ISSUES How does a consumer
decide about needing a
product?
How are consumer attitudes
formed/changed?
PURCHASE ISSUES Is product acquisition a
stressful or pleasant
experience?
How do situational factors
affect purchase decision?
POSTPURCHASE
ISSUES
Does product provide
pleasure or perform
function? How is product
disposed of?
What determines customer
satisfaction and repurchase?
5. Consumer roles: Buyers, payers and users
The marketplace activities of individuals entail three functions:
1. the consumer (user) - who consumes or uses the product
2. the buyer - who undertakes activities to procure or obtain the
product
3. the payer - who provides the money (or other value) to obtain
the product.
6. WHY Study Buyer Behavior ?
HOW do marketers know
Which people to target
Where to reach them
What messages to communicate
What media to use
What distribution method is best
Differences between groups
How to keep customers ?????
7. Major type of consumers
• Personal consumers
– Purchase products his or her own use
– End user
• Organizational Consumer
– Business organization
– Nonprofit Business organization
– Gvt Agencies
– Institutional buyers
9. Why Marketers Study Consumer
Behavior
To better understand:
• changing product life cycles
• changing environmental views and concerns
• changing consumer protection and public policy
• the growing role of services marketing
• the growing role of not-for-profit and social marketing
• the growing role of global marketing
• changing technology
• the impact of constant change
10. Development of the Marketing Philosophies
and Recognition of CB as a Discipline
Production
concept
Product
concept
Selling
concept
Marketing
concept
Societal
marketing
concept
