slide show about consumer behavior, what is it and how to marketing experts use it in advertising and their company

2. WHAT IS CONSUMER BEHAVIOR?
• THE STUDY OF INDIVIDUALS, GROUPS, OR ORGANIZATIONS AND
ALL THE ACTIVITIES ASSOCIATED WITH THE PURCHASE, USE
AND DISPOSAL OF GOODS AND SERVICES, AND HOW THE
CONSUMER'S EMOTIONS, ATTITUDES AND PREFERENCES
AFFECT BUYING BEHAVIOR.

3. THE 5 STAGES
1- NEED RECOGNITION
2- INFORMATION SEARCH
3- EVALUATION OF ALTERNATIVES
4- PURCHASE DECISION
5- POST PURCHASE BEHAVIOR

4. STEP 1- NEED RECOGNITION
• BUYER SENSES A DIFFERENCE BETWEEN HIS ACTUAL STATE (PHYSICAL AND
MENTAL) AND A DESIRED STATE. THE NEED CAN BE TRIGGERED BY INTERNAL
OR EXTERNAL STIMULI. INTERNAL STIMULI INCLUDE BASIC OR NORMAL
• NEEDS MARKETER MUST IDENTIFY THE CIRCUMSTANCES THAT TRIGGER A
PARTICULAR NEED.

5. STEP 2- INFORMATION SEARCH
• INTERESTED CONSUMER WILL TRY TO SEEK INFORMATION.
• THE BUYER WILL READ NEWSPAPERS AND MAGAZINES, WATCH TELEVISION, VISIT SHOWROOM OR
DEALER, CONTACT SALESMAN, DISCUSS WITH FRIENDS AND RELATIVES, AND TRY ALL THE POSSIBLE
SOURCES OF INFORMATION.
• MARKETER MUST TRY TO GET HIS BRAND INTO THE PROSPECTS’ AWARENESS SET AND CHOICE SET.

6. STEP 3-EVALUATION OF ALTERNATIVES
• IN THE FORMER STAGE, THE CONSUMER HAS COLLECTED INFORMATION ABOUT CERTAIN BRANDS. NOW,
HE UNDERGOES EVALUATION OF BRANDS.
• 3 STEPS OF EVALUATION
1. BENEFITS OFFERED BY THE BRANDS
2. QUALITIES, FEATURES OR ATTRIBUTES, AND PERFORMANCE
3. PRICE CHANGED BY VARIOUS BRANDS

7. STEP 4- PURCHASE DECISION
• THIS IS THE STAGE WHEN THE CONSUMER PREFERS ONE, THE MOST PROMISING BAND,
OUT OF SEVERAL BRANDS
• THREE FACTORS FURTHER AFFECT WHETHER BUYING INTENSION RESULT INTO ACTUAL
PURCHASE. MORE CLEARLY, THE CONSUMER’ DECISION TO AVOID, MODIFY, OR POSTPONE
A PURCHASE DECISION IS INFLUENCED BY THESE FACTORS
1-ATTITUDES OF OTHERS
2-UNANTICIPATED SITUATIONAL FACTORS
3-CONSUMER’S PERCEIVED RISK

8. STEP 5- POST PURCHASE
BEHAVIOR
• CONSUMER BUYS THE PRODUCT WITH CERTAIN EXPECTATIONS.
• THERE IS ALWAYS POSSIBILITY OF VARIATION BETWEEN THE EXPECTED LEVEL OF
SATISFACTION AND THE ACTUAL SATISFACTION. HIS SUBSEQUENT BEHAVIOR IS
INFLUENCED BY DEGREE OF SATISFACTION/DISSATISFACTION.
• MARKETER MUST MONITOR THE POST-PURCHASE EXPERIENCE OF THE BUYERS THAT
INCLUDES:
1. POST-PURCHASE SATISFACTION
2. POST-PURCHASE ACTION
3. POST-PURCHASE USE AND DISPOSAL

9. CONSUMER
INVOLVEMENT
Consumer involvement is defined as a state of
mind that motivates consumers to identify with
product/service offerings, their consumption
patterns and consumption behavior.
It is the amount of physical and mental effort
that a consumer puts into a purchase decision.

10. MASLOW'S HIERARCHY
OF NEEDS
• MASLOW'S HIERARCHY OF NEEDS IS A MOTIVATIONAL
THEORY IN PSYCHOLOGYCOMPRISING A FIVE-TIER
MODEL OF HUMAN NEEDS, OFTEN DEPICTED AS
HIERARCHICAL LEVELS WITHIN A PYRAMID.
• NEEDS LOWER DOWN IN THE HIERARCHY MUST BE
SATISFIED BEFORE INDIVIDUALS CAN ATTEND TO NEEDS
HIGHER UP. FROM THE BOTTOM OF THE HIERARCHY
UPWARDS, THE NEEDS ARE PHYSIOLOGICAL, SAFETY,
LOVE AND BELONGING, ESTEEM, AND SELF-
ACTUALIZATION.

11. SOCIAL INFLUENCE
A major influence on one's purchasing habits and consumer behavior is the social class in which
one finds him or herself.
Social class is considered an external influence on consumer behavior because it is not a function
of feelings or knowledge.
Social influence marketing (also known as influencer marketing) = A relatively new form
of marketing that utilizes the social influence of certain individuals (celebrities, bloggers, thought
leaders, etc), to impact consumer behavior.

12. SUMMARY
• WHAT IS CONSUMER BEHAVIOR?
• THE STUDY OF INDIVIDUALS, GROUPS, OR ORGANIZATIONS AND ALL THE ACTIVITIES ASSOCIATED WITH THE
PURCHASE
• WHY DO WE STUDY IT?
• KNOWING WHAT THE CONSUMERS WANTS AND NEEDS ARE HELP BUSINESSES ADVERTISE AND SELL PRODUCTS
• HOW DO MARKETERS PLAY A ROLE IN THE PROCESS?
• WITHOUT ADVERTISEMENT, INFORMATION, AND SALESMEN; CONSUMERS WOULD NOT KNOW WHAT TO BUY OR
WHOM TO BUY FROM