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Consumer Behavior– you are  what you buy… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object]
Complete model of consumer behavior Stimuli (marketer dominated, other) External search Memory Internal  search Exposure Attention Comprehension Acceptance Retention Search Need recognition Alternative evaluation Purchase Outcomes Dissatisfaction Satisfaction ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Start
[object Object],[object Object]
 
Consumer Decision-Making Process Postpurchase Behavior Purchase Evaluation  of Alternatives Information Search Need Recognition Cultural, Social,  Individual and  Psychological  Factors  affect  all steps
Need Recognition Preferred State Marketing helps consumers recognize (or create) an imbalance between present status and preferred state ,[object Object],[object Object],[object Object],[object Object],[object Object]
The information search stage An  internal search  involves the scanning of one's memory to recall previous experiences or knowledge concerning solutions to the problem-- often sufficient for frequently purchased products. An  external search  may be necessary when past experience or knowledge is insufficient, the risk of making a wrong purchase decision is high, and/or the cost of gathering information is low. Personal sources (friends and family) Public sources (rating services like Consumer Reports)  Marketer-dominated sources (advertising or sales people) The  evoked set:  a group of brands from which the buyer can choose
[object Object],[object Object],[object Object]
Determinants of External Search
Buyer Behavior ,[object Object],[object Object],[object Object],[object Object],[object Object],Other people often influence a consumers purchase decision. The marketer needs to know which people are involved in the buying decision and what role each person plays, so that marketing strategies can also be aimed at these people. (Kotler et al, 1994).   Note: teens are increasingly assuming more of these roles Think about your past purchase– who was in which role?
Wife Dominant Husband Dominant Joint 100 50 0 75 25 Women’s clothing Pots & pans Child clothing groceries vacations TV sets Family car Sport equipment Lawn mower Paint wallpaper lamps Men’s leisure clothing Men’s business clothing camera Financial planning furniture refrigerator luggage carpet NonRx Toys/games stereo hardware Extent of role specialization Relative influence of husbands & wives Information search Final decision
Consumer decision making  varies with the level of involvement in the purchasing decision ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Increase in Consumer evaluation processes
[object Object],[object Object],[object Object]
 
Factors affecting  Consumer involvement ,[object Object],[object Object],[object Object],So… ,[object Object],[object Object],[object Object],[object Object],[object Object]
Types of consumer involvement  and decision making Routine Limited Extensive Involvement Short Low to moderate High Time Low Short to moderate Long Cost Short Low to moderate High Information Search Internal only Mostly internal Internal & external Number of alternatives one few many
Compensatory Decision : Using product characteristics to guide decision ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object]
Postpurchase Behavior Can minimize through: Effective Communication Follow-up Guarantees Warranties Underpromise & overdeliver Marketing Cognitive Dissonance ? Did I make a good decision? Did I buy the right product? Did I get a good value?
Sour Grapes–  a story of  cognitive dissonance … after being unable to reach the grapes the fox said, “these grapes are probably sour, and if I had them I would not eat them.”  --Aesop
Cognitive Dissonance ,[object Object],[object Object],[object Object],Tendency to avoid information can be countered by eliciting interest,  norm of fairness, or perceive usefulness of information Post-decision “buyer’s remorse” may be increased by importance or difficulty or irreversibility of decision Counter-attitudinal action, freely chosen with little incentive or justification, leads to attitude change (e.g., new product at special low price) Applications:
[object Object],[object Object],[object Object],[object Object]
 
 
[object Object],[object Object],[object Object]
Decision Processing
 
Elaboration Likelihood Method (ELM) of persuasion Persuasive Communication Nature of Active Cognitive Processing: (initial attitude, argument quality, etc.) Favorable Thoughts  Predominate Unfavorable Thoughts Predominate Neither or Neutral Predominate Cognitive Structure Change: Are new cognitions adopted and stored in memory? Are different responses made salient than previously? ,[object Object],[object Object],[object Object],Motivated to Process? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Ability to Process? ,[object Object],[object Object],[object Object],[object Object],Enduring positive attitude change (persuasion) Enduring negative attitude change (boomerang) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Retain or Regain Initial Attitude
                              back to Attitudes                  back to 7670 Homepage      Write in the number that best fits your view:                                  1                        2                      3                   4                          completely            mostly             mostly          completely                          false                      false                true              true  _____1.   I would prefer complex to simple problems.  _____2.   I like to have the responsibility of handling a situation that requires a lot of thinking.  _____3.   Thinking is not my idea of fun. * _____4.   I would rather do something that requires little thought than something that is sure to                  challenge my thinking abilities. * _____5.   I try to anticipate and avoid situations where there is likely chance I will have to think                  in depth about something. * _____6.   I find satisfaction in deliberating hard and for long hours.  _____7.   I only think as hard as I have to. * _____8.   I prefer to think about small, daily projects to long-term ones. * _____9.   I like tasks that require little thought once I’ve learned them. * _____10. The idea of relying on thought to make my way to the top appeals to me.  _____11. I really enjoy a task that involves coming up with new solutions to problems.  _____12. Learning new ways to think doesn’t excite me very much. * _____13. I prefer my life to be filled with puzzles that I must solve.  _____14. The notion of thinking abstractly is appealing to me.  _____15. I would prefer a task that is intellectual, difficult, and important to one that is somewhat                  important but does not require much thought.  _____16. I feel relief rather than satisfaction after completing a task that required a lot of mental                  effort. * _____17. It’s enough for me that something gets the job done; I don’t care how or why it works. * _____18. I usually end up deliberating about issues even when they do not affect me personally. Need for Cognition Scale Items 3, 4, 5, 7, 8, 9, 12, 16, and 17 are reverse scored
[object Object],[object Object],[object Object],[object Object],[object Object],Example: Attack ads during political campaigns
Next week: Survey & questionnaire design ,[object Object],[object Object],[object Object],[object Object],[object Object]

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Consumerbehavior

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  • 6. Consumer Decision-Making Process Postpurchase Behavior Purchase Evaluation of Alternatives Information Search Need Recognition Cultural, Social, Individual and Psychological Factors affect all steps
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  • 8. The information search stage An internal search involves the scanning of one's memory to recall previous experiences or knowledge concerning solutions to the problem-- often sufficient for frequently purchased products. An external search may be necessary when past experience or knowledge is insufficient, the risk of making a wrong purchase decision is high, and/or the cost of gathering information is low. Personal sources (friends and family) Public sources (rating services like Consumer Reports) Marketer-dominated sources (advertising or sales people) The evoked set: a group of brands from which the buyer can choose
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  • 12. Wife Dominant Husband Dominant Joint 100 50 0 75 25 Women’s clothing Pots & pans Child clothing groceries vacations TV sets Family car Sport equipment Lawn mower Paint wallpaper lamps Men’s leisure clothing Men’s business clothing camera Financial planning furniture refrigerator luggage carpet NonRx Toys/games stereo hardware Extent of role specialization Relative influence of husbands & wives Information search Final decision
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  • 17. Types of consumer involvement and decision making Routine Limited Extensive Involvement Short Low to moderate High Time Low Short to moderate Long Cost Short Low to moderate High Information Search Internal only Mostly internal Internal & external Number of alternatives one few many
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  • 20. Postpurchase Behavior Can minimize through: Effective Communication Follow-up Guarantees Warranties Underpromise & overdeliver Marketing Cognitive Dissonance ? Did I make a good decision? Did I buy the right product? Did I get a good value?
  • 21. Sour Grapes– a story of cognitive dissonance … after being unable to reach the grapes the fox said, “these grapes are probably sour, and if I had them I would not eat them.” --Aesop
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  • 30.                              back to Attitudes                 back to 7670 Homepage   Write in the number that best fits your view:                                1                        2                      3                   4                         completely            mostly             mostly          completely                         false                      false                true              true _____1.   I would prefer complex to simple problems. _____2.   I like to have the responsibility of handling a situation that requires a lot of thinking. _____3.   Thinking is not my idea of fun. * _____4.   I would rather do something that requires little thought than something that is sure to                 challenge my thinking abilities. * _____5.   I try to anticipate and avoid situations where there is likely chance I will have to think                 in depth about something. * _____6.   I find satisfaction in deliberating hard and for long hours. _____7.   I only think as hard as I have to. * _____8.   I prefer to think about small, daily projects to long-term ones. * _____9.   I like tasks that require little thought once I’ve learned them. * _____10. The idea of relying on thought to make my way to the top appeals to me. _____11. I really enjoy a task that involves coming up with new solutions to problems. _____12. Learning new ways to think doesn’t excite me very much. * _____13. I prefer my life to be filled with puzzles that I must solve. _____14. The notion of thinking abstractly is appealing to me. _____15. I would prefer a task that is intellectual, difficult, and important to one that is somewhat                 important but does not require much thought. _____16. I feel relief rather than satisfaction after completing a task that required a lot of mental                 effort. * _____17. It’s enough for me that something gets the job done; I don’t care how or why it works. * _____18. I usually end up deliberating about issues even when they do not affect me personally. Need for Cognition Scale Items 3, 4, 5, 7, 8, 9, 12, 16, and 17 are reverse scored
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