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Consumer
Decision Making
and Beyond
CHAPTER
FIFTEEN
Levels of Consumer Decision Making
• Extensive Problem Solving
– A lot of information needed
– Must establish a set of criteria for evaluation
• Limited Problem Solving
– Criteria for evaluation established
– Fine tuning with additional information
• Routinized Response Behavior
– Usually review what they already know
2Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Models of Consumers: Four Views of Consumer
Decision Making
• An Economic View
• A Passive View
• A Cognitive View
• An Emotional View
3Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Consumer
Decision Making
Figure 15.3
4Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Process - Need Recognition
• Usually occurs when consumer has a
“problem”
• Need recognition styles
– Actual state
– Desired state
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall 5Chapter Fifteen Slide
Prepurchase Search
• Begins with internal search and then moves to
external search
• The impact of the Internet
• There are many factors that increase search
– Product factor
– Situational factors
– Social acceptability
– Consumer factors
6Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Evaluation of Alternatives
• Evoked set
• Criteria used for evaluating brands
• Consumer decision rules
• Decisions by functionally illiterate population
• Going online for decision-making assistance
• Lifestyles as a consumer decision strategy
• Incomplete information
• Applying decision rules
• Series of decisions
• Decision rules and marketing strategy
7Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
The Evoked Set
Figure 15-5
8Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Issues in Alternative Evaluation
• Evoked Set
• Criteria used for evaluating brands
• Consumer decision rules and their application
• Decisions by functionally illiterate population
• Going online for decision-making assistance
• Lifestyles as a consumer decision strategy
• Incomplete information
• Applying Decision Rules
• Series of decisions
• Decision rules and marketing strategy
9Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Consumer Decision Rules
• Compensatory
– evaluates each brand in terms of each relevant
attribute and then selects the brand with the
highest weighted score.
• Noncompensatory
– positive evaluation of a brand attribute does not
compensate for a negative evaluation of the same
brand on some other attribute
10Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Issues in Alternative Evaluation
• Evoked Set
• Criteria used for evaluating brands
• Consumer decision rules and their application
• Decisions by functionally illiterate population
• Going online for decision-making assistance
• Lifestyles as a consumer decision strategy
• Incomplete information
• Applying Decision Rules
• Series of decisions
• Decision rules and marketing strategy
11Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Issues in Alternative Evaluation
• Evoked Set
• Criteria used for evaluating brands
• Consumer decision rules and their application
• Decisions by functionally illiterate population
• Going online for decision-making assistance
• Lifestyles as a consumer decision strategy
• Incomplete information
• Applying Decision Rules
• Series of decisions
• Decision rules and marketing strategy
12Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Coping with Missing Information
• Delay decision until missing information is
obtained
• Ignore missing information and use available
information
• Change the decision strategy to one that
better accommodates for the missing
information
• Infer the missing information
13Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Issues in Alternative Evaluation
• Evoked set
• Criteria used for evaluating brands
• Consumer decision rules and their application
• Decisions by functionally illiterate population
• Going online for decision making assistance
• Lifestyles as a consumer decision strategy
• Incomplete information
• Applying Decision Rules
• Series of decisions
• Decision rules and marketing strategy
14Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Output of Consumer Decision Making
• Purchase behavior
– Trial purchases
– Repeat purchases
– Long-term commitment
• Postpurchase
evaluation
15Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Postpurchase Evaluation
• Actual Performance Matches Expectations
– Neutral Feeling
• Actual Performance Exceeds Expectations
– Positive Disconfirmation of Expectations
• Performance Is Below Expectations
– Negative Disconfirmation of Expectations
• Post-Purchase Cognitive Dissonance
16Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Gifting Behavior
Gifting is an act of
symbolic
communication, with
explicit and implicit
meanings ranging from
congratulations and
love, to regret,
obligation, and
dominance.
17Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
CIRCUMSTANCES
Personal accomplishment
Feeling down
Holiday
Feeling stressed
Have some extra money
Need
Had not bought for self in a while
Attainment of a desired goal
Others
MOTIVATIONS
To reward oneself
To be nice to oneself
To cheer up oneself
To fulfill a need
To celebrate
To relieve stress
To maintain a good feeling
To provide an incentive toward a goal
Others
Reported Circumstances and Motivations
for Self-Gift Behavior
Table 15.13
18Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Consuming and Possessing
• Consumers find pleasure in possessing,
collecting, or consuming
• Products have special meanings and
memories
1919Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
A Model of Consumption
Figure 15.11
20Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
Relationship
Marketing
Marketing aimed at
creating strong,
lasting relationships
with a core group of
customers by making
them feel good about
the company and by
giving them some
kind of personal
connection with the
business.
21Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide

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Chapter ppt 15 - copy

  • 2. Levels of Consumer Decision Making • Extensive Problem Solving – A lot of information needed – Must establish a set of criteria for evaluation • Limited Problem Solving – Criteria for evaluation established – Fine tuning with additional information • Routinized Response Behavior – Usually review what they already know 2Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 3. Models of Consumers: Four Views of Consumer Decision Making • An Economic View • A Passive View • A Cognitive View • An Emotional View 3Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 4. Consumer Decision Making Figure 15.3 4Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 5. Process - Need Recognition • Usually occurs when consumer has a “problem” • Need recognition styles – Actual state – Desired state Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall 5Chapter Fifteen Slide
  • 6. Prepurchase Search • Begins with internal search and then moves to external search • The impact of the Internet • There are many factors that increase search – Product factor – Situational factors – Social acceptability – Consumer factors 6Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 7. Evaluation of Alternatives • Evoked set • Criteria used for evaluating brands • Consumer decision rules • Decisions by functionally illiterate population • Going online for decision-making assistance • Lifestyles as a consumer decision strategy • Incomplete information • Applying decision rules • Series of decisions • Decision rules and marketing strategy 7Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 8. The Evoked Set Figure 15-5 8Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 9. Issues in Alternative Evaluation • Evoked Set • Criteria used for evaluating brands • Consumer decision rules and their application • Decisions by functionally illiterate population • Going online for decision-making assistance • Lifestyles as a consumer decision strategy • Incomplete information • Applying Decision Rules • Series of decisions • Decision rules and marketing strategy 9Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 10. Consumer Decision Rules • Compensatory – evaluates each brand in terms of each relevant attribute and then selects the brand with the highest weighted score. • Noncompensatory – positive evaluation of a brand attribute does not compensate for a negative evaluation of the same brand on some other attribute 10Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 11. Issues in Alternative Evaluation • Evoked Set • Criteria used for evaluating brands • Consumer decision rules and their application • Decisions by functionally illiterate population • Going online for decision-making assistance • Lifestyles as a consumer decision strategy • Incomplete information • Applying Decision Rules • Series of decisions • Decision rules and marketing strategy 11Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 12. Issues in Alternative Evaluation • Evoked Set • Criteria used for evaluating brands • Consumer decision rules and their application • Decisions by functionally illiterate population • Going online for decision-making assistance • Lifestyles as a consumer decision strategy • Incomplete information • Applying Decision Rules • Series of decisions • Decision rules and marketing strategy 12Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 13. Coping with Missing Information • Delay decision until missing information is obtained • Ignore missing information and use available information • Change the decision strategy to one that better accommodates for the missing information • Infer the missing information 13Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 14. Issues in Alternative Evaluation • Evoked set • Criteria used for evaluating brands • Consumer decision rules and their application • Decisions by functionally illiterate population • Going online for decision making assistance • Lifestyles as a consumer decision strategy • Incomplete information • Applying Decision Rules • Series of decisions • Decision rules and marketing strategy 14Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 15. Output of Consumer Decision Making • Purchase behavior – Trial purchases – Repeat purchases – Long-term commitment • Postpurchase evaluation 15Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 16. Postpurchase Evaluation • Actual Performance Matches Expectations – Neutral Feeling • Actual Performance Exceeds Expectations – Positive Disconfirmation of Expectations • Performance Is Below Expectations – Negative Disconfirmation of Expectations • Post-Purchase Cognitive Dissonance 16Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 17. Gifting Behavior Gifting is an act of symbolic communication, with explicit and implicit meanings ranging from congratulations and love, to regret, obligation, and dominance. 17Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 18. CIRCUMSTANCES Personal accomplishment Feeling down Holiday Feeling stressed Have some extra money Need Had not bought for self in a while Attainment of a desired goal Others MOTIVATIONS To reward oneself To be nice to oneself To cheer up oneself To fulfill a need To celebrate To relieve stress To maintain a good feeling To provide an incentive toward a goal Others Reported Circumstances and Motivations for Self-Gift Behavior Table 15.13 18Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 19. Consuming and Possessing • Consumers find pleasure in possessing, collecting, or consuming • Products have special meanings and memories 1919Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 20. A Model of Consumption Figure 15.11 20Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide
  • 21. Relationship Marketing Marketing aimed at creating strong, lasting relationships with a core group of customers by making them feel good about the company and by giving them some kind of personal connection with the business. 21Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Fifteen Slide