importance of consumer behavior

1. CONSUMER BEHAVIOR

2. CONSUMER BEHAVIOR
Quiz – Total Time: 20 mins
1. Briefly describe the consumer decision
making process. (5)
2. Define consumer behavior in your own
words. (2)
3. Briefly explain action paralysis and give
an example of how it can be countered.
(3)
4. Explain with the help of an example one
strategy to convert tightwads. (5)

3. CONSUMER BEHAVIOR

4. CONSUMER BEHAVIOR
To survive in
a competitive
environment,
an
organization
must provide
its customers
more value
than its
competitors

5. CONSUMER BEHAVIOR

6. CONSUMER BEHAVIOR
Value
• Customer value is the difference between all the
benefits derived from a total product and all the costs
of acquiring those benefits. For example, owning a
car can provide a number of benefits, depending on
the person and the type of car, including flexible
transportation, image, status, pleasure, comfort, and
even companionship. However, securing these
benefits requires paying not only for the car but also
for gasoline, insurance, registration, maintenance, and
parking fees, as well as risking injury from an accident,
adding to environmental pollution, and dealing with
traffic jams and other frustrations.
• It is the difference between the total benefits and
the total costs that constitutes customer value.

7. CONSUMER BEHAVIOR

8. CONSUMER BEHAVIOR
Case Study – Ziplock TableTops

9. CONSUMER BEHAVIOR
Case Study – Ziplock TableTops
• S.C. Johnson & Son's biggest launch ever -Ziploc
TableTops, a line of semi-disposable plates
launched in April with $65 million in marketing
support.
• Tabletops were originally priced at $22.99 for a set
of four-place servings, more than Wal-Mart or
Target charge for four-place servings of some
regular tableware.
• SCJ paid top dollar for space alongside paper
plates and cups priced as low as a penny apiece.
• Slotting fees in disposable tableware run twice as
high as those in the food storage section.

10. CONSUMER BEHAVIOR
Discussion
• Discuss the reasons for product failure
keeping in mind the definition of consumer
behavior and the consumer decision
making process.

11. CONSUMER BEHAVIOR
REFERENCES
• http://adage.com/article/news/s-c-johnson-
bag-ziploc-table-tops/50798/
• https://hbr.org/2012/06/reality-check-at-
the-bottom-of-the-pyramid
• msquare77@gmail.com