1. CHAPTER 6
ANALYZING CONSUMER MARKETS
Hidelza B. Castillo
February 5, 2014

2. Outline
What is consumer behavior?
 What influences consumer buying behavior?
 The buying decision process : Five-Stage
Model

3. What is consumer behavior?
Consumer behavior is the study of how
individuals, groups, and organizations select,
buy, use, and dispose of goods, services, ideas,
or experiences to satisfy their needs and wants.

4. What influences consumer buying
behavior?
A consumer’s buying behavior is influenced by:
1. Cultural factors - culture, subculture and social
class
2. Social factors - reference groups, family and
social roles and statuses
3. Personal factors - age, stage in the life cycle,
occupation, economic situation, lifestyle,
personality and self-concept

5. What influences consumer behavior?
1. Cultural factors
 Buyer’s culture - learned values, perceptions, wants
and behavior from family and other important
institutions.
 Buyer’s subculture – groups of people within a
culture with shared value systems based on common
life experiences and situations.
 Filipinos
 Chinese
 Indians

6. What influences consumer behavior?
1. Cultural factors
 Buyer’s social class – society’s relatively permanent
and ordered divisions whose members share similar
values, interests and behaviors.
 Upper class
 Middle class
 Lower class

7. What influences consumer behavior?
2. Social factors
 Reference groups – groups that form a comparison
or reference in forming attitudes or behavior.
 Family – most important consumer-buying
organization in society.
 Social roles and status – groups, family, club and
organizations to which a person belongs that can
define role and social status.

8. What influences consumer behavior?
3. Personal factors
 Age and life-cycle stage
Youth - younger than 18 years
 Getting started - 18 to 35 years
 Builders - 35 to 50 years
 Accumulators - 50 to 60 years
 Preservers - over 60 years
Occupation affects the goods and services bought by
consumers.

9. What influences consumer behavior?
3. Personal factors
 Economic situation includes trends in:
 Personal income
 Savings
 Interest rates
 Lifestyle - person’s pattern of living as expressed in
activities, interests and opinions.

10. What influences consumer behavior?
3. Personal factors
 Personality - refers to unique psychological
characteristics that lead to consistent and lasting
responses to consumer’s environment.
 Self-concept - refers to people’s possessions that
contribute to and reflect their identities.

11. Buying decision process: Five-Stage
Model
Problem recognition
Cultural, social,
and
personal
factors
affect
all steps
Information search
Evaluation
of alternatives
Purchase decision
Postpurchase
behavior

12. Buying decision process: Five-Stage
Model
Problem recognition
Cultural, social,
and
personal
factors
affect
all steps
A buying process starts when
a buyer recognizes a problem or
need triggered internal or external
stimulus.

13. Buying decision process: Five-Stage
Model
Problem recognition
Cultural, social,
and
personal
factors
affect
all steps
Information search
Information can be obtained from
personal, commercial or public
sources .

14. Buying decision process: Five-Stage
Model
Problem recognition
Cultural, social,
and
personal
factors
affect
all steps
Information search
Evaluation
of alternatives
Consumer processes competitive
brand information and make final
value judgment.

15. Buying decision process: Five-Stage
Model
Problem recognition
Cultural, social,
and
personal
factors
affect
all steps
Information search
Evaluation
of alternatives
Purchase decision
The consumer executes a purchase intention.

16. Buying decision process: Five-Stage
Model
Problem recognition
Cultural, social,
and
personal
factors
affect
all steps
The buyer makes
postpurchase evaluation.
Information search
Evaluation
of alternatives
Purchase decision
Postpurchase
behavior

17. CHAPTER 6
ANALYZING CONSUMER MARKETS