The document discusses the consumer decision-making process (CDP). It describes the 7 stages of the CDP: need recognition, search for information, evaluation of alternatives, purchase decision, consumption, post-consumption evaluation, and divestment. It then provides more details on the first 4 stages, describing what occurs at each step. Finally, it discusses factors that influence consumer behavior such as culture, subculture, social class, reference groups, family roles, age, and lifecycle stage.

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DTM6052 Topic 2 Maria Mohd Yatim 1
Purchase Decision Model
TOPIC 2
DTM6052 Topic2 Maria Mohd Yatim 1
The Consumer Decision-Making Process
(CDP) was developed to analyse factors that
influence consumer decision-making.
Consumer Decision-making Process
DTM6052 Topic2 Maria Mohd Yatim 2
Need Recognition
Search for Information
Evolution of Alternatives
Purchase Decision
Post-Consumption
Evaluation
1
2
3
4
6
Consumption5
Divestment7
Figure 2.1
Consumer Decision-Making Process DTM6052 Topic2 Maria Mohd Yatim 3
Need Recognition1
Consumers recognize and attempt to satisfy their needs or
wants (or problems).
There are two different recognition – the actual state and
desired state.
The actual state occurs when the current product
that they own fails to perform satisfactorily
The desired state occurs due to a desire to
purchase something new (with no experience of
purchasing the same product categories before).
DTM6052 Topic2 Maria Mohd Yatim 4
Search for Information2
Search refers to the acquisition of knowledge (or
information) from the environment to satisfy a consumer’s
potential needs.
Information search can be divided into two types:
Pre-purchase
search
Ongoing
search
DTM6052 Topic2 Maria Mohd Yatim 5
Information
Search
Internal Search
External Search
Evolution of Alternatives3
After consumers have gone through the second stage
of information search, they will have several
alternatives to consider during the decision-making
process, which is referred to as the evoked set.
The evoked set will later lead to an evaluation
alternatives. At the end of the evaluation of
alternatives, consumers will decide on whether to
purchase (or not to purchase) the final selected
product.
There are two options available for consumers in
evaluating product alternatives that rely on pre-
existing evaluation or constructing new evaluations.
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DTM6052 Topic 2 Maria Mohd Yatim 2
Purchase Decision4
In this fourth stage of consumer decision-making, consumers will
make decisions mainly on the following:
To buy
(or not to
buy)
When to
buy
What type
and brand
of product
to buy
Where to
buy
How to pay
DTM6052 Topic2 Maria Mohd Yatim 7
Consumption5
The term consumption refers to consumers’ usage of a
product.
There are two categories of users: – user and non-user.
Non-userUser
Use refers to those who
consume the product
Non-user refers to those who
do not consume the product.
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Post-Consumption
Evaluation
6
Consumers evaluate and compare the performance of the
products against their own expectations.
There are three possible outcomes of post consumption
evaluation:
Satisfaction
Dissatisfaction
Delight
DTM6052 Topic2 Maria Mohd Yatim 9
Personal Factors That Influence
Consumer Behaviour
CULTURAL
SOCIAL
Culture,
Sub-Culture,
Social class
Reference Group,
Family, Role and
Status
Individual
Consumer
PSYCHOLOGY
PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
DTM6052 Topic2 Maria Mohd Yatim 10
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Culture
Culture can be defined as an individual’s ways of living
in a society.
It includes the basic practice of good values, perceptions,
needs and behavior learned from institutions such as
family, workplace, schools and religious place.
The marketer must understand the society’s cultural
movement in order to identify new products or
services.
DTM6052 Topic2 Maria Mohd Yatim 11
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
A sub-culture involves a group of individuals who are
similar values. Each culture has a smaller sub-
culture.
Each culture contains smaller subcultures, groups of
people with shared value systems based on common
experiences and situations.
Sub-culture can be identified through nationality,
ethnic group and religion.
It is important for the marketer to be aware of sub-
culture group’s likes and behavior.
Sub-culture
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CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Social Class
Social class is referring to a group of society who are
similar values, interests and behaviors.
Social class can be determined by looking at various
combinations of factors such as income level, types of
occupation, education and wealth.
Marketers are keen on social class to recognize some
similar consumer’s characteristics within a given social
class.
DTM6052 Topic2 Maria Mohd Yatim 13
Culture Subculture Social Class
• Culture is the
most basic cause
of a person's
wants and
behaviour
• Subcultures
include
nationalities,
religions, racial
groups
• Social classes are
society's relatively
permanent and
ordered divisions
• Each culture
contains smaller
subculture
• Many subculture
make up important
markets
• Social class is
determined by a
combination of
many variables,
such as
occupation,
income
Comparison Roles of Culture, Subculture and Social Class
DTM6052 Topic2 Maria Mohd Yatim 14
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Reference Group
There are two broad types of reference groups:
Reference Group
Primary Secondary
Immediate
Family
Close
Friends
Colleagues
Neighborhood
Associations
DTM6052 Topic2 Maria Mohd Yatim 15
Roles of reference groups:
1) The initiator: the person who suggests buying a product or
service.
2) The Influencer: the person whose point of view or advice
will influence the buying decision. It may be a person
outside the group (singer, athlete, actor, etc.) but on which
group members rely on.
3) The Decision-maker: the person who will choose which
product to buy. In general, it’s the consumer but in some
cases it may be another person. For example, the “leader”
of a soccer supporters’ group (membership group) that will
define, for the whole group, which supporter’s scarf buy
and bear during the next game.
4) The buyer: the person who will buy the product. Generally,
this will be the final consumer.
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Family
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
The family is among the strongest interpersonal
influences on customer behavior.
Traditional families pass through predictable stages
over time; experts term this the family life-cycle
concept.
Purchasing behavior varies with life-cycle stages.
DTM6052 Topic2 Maria Mohd Yatim 17
Family
Stages of
Family Life
Cycles
Definition
Socio-economic
Status
Lifestyles Purchase Made
Bachelorhood Young single adult
who lives away
from parents
Lesser financial
liability,
unrestricted
income is generally
higher
Recreation Rent, home
furnishing,
automobiles, etc
Honeymooners Childless married
couples
Better financial
ability
Vacation
Parenthood Married or
unmarried couples
with children
staying in the
household
Financially stable Recreation Rent, home
furnishing,
automobiles, etc
Post-
parenthood
Married or
unmarried couples
with children
staying on their
own
Very financially
stable with minimal
liabilities/higher
disposable income
Vacation and
travel
Second home,
fine-dining
restaurants and
place to visit
Dissolution Death of a spouse
or partner
Single income Thrifty Economical
purchases
Table 2.1 Stage in Family Life Cycle
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DTM6052 Topic 2 Maria Mohd Yatim 4
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Role and Status
An individual’s position in each group can be defined in
terms of role and status. A role consists of the activities
that a person expected to perform according to the persons
around him or her.
Each role carries a status reflecting the general esteem
given to it by society. People often choose products that
show their status in society.
Our roles are also influenced by our surroundings.
DTM6052 Topic2 Maria Mohd Yatim 19
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Age & Life-cycle stage
The human life cycle can have a significant impact
on consumer behavior.
The life cycle is an orderly series of stages in which
consumer attitude and behavioral tendencies evolve
and occur because of developing maturity,
experience, income, and status.
Marketers often define their target market in
terms of the consumer’s present lifecycle stage.
DTM6052 Topic2 Maria Mohd Yatim 20
 Young singles the most action motivated, older married the
least motivated by action.
 Young married with children were highly motivated to escape
older marries were not.
 Young single travelers had the most ego motivation where
middle-aged single were least motivated by ego.
 Young singles placed much greater emphasis on outdoor
experiences, older married did not regard outdoor activities
as important.
 Older unmarried, young married and young singles thought
cultural attractions were important.
 For the older married and unmarried segments, weather was
very important in vacation destination selection.
 Attractions such as theme parks were important for divorced
travelers with children and young married travelers with
children.
DTM6052 Topic2 Maria Mohd Yatim 21
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Occupation
The profession or the occupation a person is in again has
an impact on the products they consume.
The status of a person is projected through various
symbols like the dress, accessories and possessions.
The type of job held by an individual can impact his buying
behavior.
A blue-collar worker normally wears casual and rugged
clothes while a white-collar worker prefers conservative
clothes.
DTM6052 Topic2 Maria Mohd Yatim 22
Economic Situation
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
A person’s economic situation greatly affects product
choice and the decision to purchase a particular product.
The choice of products and brands purchased as well as
the place to shop are influenced by the economic status of
a person.
A wealthy person would prefer to buy more luxurious and
quality goods compared to a less wealthy person.
DTM6052 Topic2 Maria Mohd Yatim 23
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Lifestyle
Lifestyle is a way of living that can be explained by three distinct
dimensions:
Activities can be hobbies,
sports, social events etc
Interests can be on food,
fashion, recreation
Opinion about themselves, social issues, business and
product. A person with a different lifestyle may
possess different preferences for activities, interests
and opinions
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DTM6052 Topic 2 Maria Mohd Yatim 5
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Personality
Personality is the sum total of an individual’s
enduring internal psychological traits that make him
or her unique.
It’s reflect the inner characteristics that are being
displayed by an individual.
Self-confidence, dominance, autonomy, sociability,
defensiveness, adaptability, and emotional stability
are selected personality traits.
DTM6052 Topic2 Maria Mohd Yatim 25
Characteristics of Personality
No two or more
individuals are
similar
Combination of
unique inner
characteristics,
each different from
the other
Personality is not
volatile or
temperamental
It should be
consistent and
enduring over a
period of time.
Personalities can
also change over
time
Personality Reflect
Differences
Amongst
Individuals
Personality should
be Stable and
Lasting
Personalities can
Change
DTM6052 Topic2 Maria Mohd Yatim 26
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Self-concept
Self-concept relates to a person’s self-identify. It
reflects the image a person portrays to others.
For example, a person who owns a Harley
Davidson motorcycle might wish to portray
himself as someone who enjoys freedom.
DTM6052 Topic2 Maria Mohd Yatim 27
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Motivation
In theory, motivation relates closely to needs. If a person
has a strong need to gain material recognition, he is
motivated to seek satisfaction by owning material things.
Human motivation can be explained using the
popular Maslow Hierarchy of Needs.
DTM6052 Topic2 Maria Mohd Yatim 28
Maslow Hierarchyof Needs
Hobbies, travel, education
Cars, furniture, credit cards, stores,
country club
Clothing, grooming products, clubs
Insurance, alarm systems,
retirement, investment
Medicines, staple item, generics
Basic
Needs
Physiological
Needs
Self-fulfillment
Needs
DTM6052 Topic2 Maria Mohd Yatim 29
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Perception
Perception allows us to choose, organize and
analyse information that we receive every day.
A person might have different perceptions even
though he is exposed to the same information.
DTM6052 Topic2 Maria Mohd Yatim 30
The key word in the definition of perception is
individual.

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Perception may be explained as a three-stage process which is used
to give meaning to the stimuli received through the five senses.
Sight
(Eyes)
Sound
(Ears)
Smell
(Nose)
Taste
(Mouth)
Touch
(Skin)
Exposure Attention Interpretation
The Three Stages of Perception and Sources of Sensory InputsDTM6052 Topic2 Maria Mohd Yatim 31
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Learning
Learning describes changes in an individual’s
behavior arising from experience. Most human
behavior is learned.
When consumers experience a product, they
learn about it. Learning through experience can
reinforce a person’s behavior.
DTM6052 Topic2 Maria Mohd Yatim 32
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Beliefs
Through acting and learning, people acquire beliefs
and attitudes, which, in turn, influence their buying
behavior.
A belief is a descriptive thought that a person holds
about something. When a consumer believes a brand
of product is good, he will be loyal to that brand.
DTM6052 Topic2 Maria Mohd Yatim 33
CULTURAL SOCIAL
Culture,
Sub-Culture,
Social class
Reference
Group, Family,
Role and Status
Individual
Consumer
PSYCHOLOGY PERSONALITY
Motivation,
Perception,
Education
Age,
Occupation,
Lifestyle
Attitudes
Reflects feelings and expressions that could be observed
based on what has been purchased and consumed.
Schiffman and Kanuk, 2010
•Attitude is a learn
predisposition to behave in a
consistently favorable or
unfavorable way with
respect to a given object
Solomon, 2008
•A general evaluation of a
product or service formed
over time
DTM6052 Topic2 Maria Mohd Yatim 34
Purchasing Roles
Purchasing
Roles
Nominator
Influencer
Decision
Maker
Buyer
Consumer
DTM6052 Topic2 Maria Mohd Yatim 35
Nominator
Influencer
Decision
MakerBuyer
Consumer
Purchasing
Roles
1) Nominator
The nominator is the person who comes up with
the idea to buy a product or a service.
2) Influencer
Influencer meanwhile refers to individuals who
have influence on the decision to be made. The
influence may have been in the form of
channelling or blocking information from reaching
the members in the buying centre.
DTM6052 Topic2 Maria Mohd Yatim 36

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DTM6052 Topic 2 Maria Mohd Yatim 7
Nominator
Influencer
Decision
MakerBuyer
Consumer
Purchasing
Roles
3) Decision Maker
Decision maker refers to individuals who make
the decision in the factors of ‘what’, ‘when’
and ‘how much’ that will be purchased and the
related questions.
4) Buyer
Buyer refers to the person who will conduct
the purchase of the real products.
5) Consumer
Consumer refers to the person who actually
uses the product.
DTM6052 Topic2 Maria Mohd Yatim 37
Service
Characteristics
of Tourism
Intangibility
Inseparability
Inconsistency/
Variability
Perishability
Temporary of
Ownership
Tourism Product and Services
DTM6052 Topic2 Maria Mohd Yatim 38
Service
Characteristics
of Tourism
Intangibility
Inseparability
Inconsistency
/ Variability
Perishability
Temporary of
Ownership
Services cannot be seen, tasted, felt, heard or smelled
before purchase. The service cannot be evaluated until
a person uses the service.
To reduce uncertainty, buyers will look for evidence of
the service quality. They will draw inferences about the
quality from the place, people, equipment,
communication material, symbols, and price that they
see.
The service provider’s task is to ‘manage the evidence’,
to ‘tangibilise’ the intangible.
DTM6052 Topic2 Maria Mohd Yatim 39
Service
Characteristics
of Tourism
Intangibility
Inseparability
Inconsistency
/ Variability
Perishability
Temporary of
Ownership
Services cannot be separated from their providers.
The buyer and providers has to be present when the
service is created.
Provider-client interaction is a special feature of
service marketing. Provider and client will influence
the service output that is being delivered.
DTM6052 Topic2 Maria Mohd Yatim 40
Service
Characteristics
of Tourism
Intangibility
Inseparability
Inconsistency
/ Variability
Perishability
Temporary of
Ownership
Services are highly variable.
The quality of services depends on who provides
them and when, where and how.
DTM6052 Topic2 Maria Mohd Yatim 41
Service
Characteristics
of Tourism
Intangibility
Inseparability
Inconsistency
/ Variability
Perishability
Temporary of
Ownership
Services cannot be stored for later sale or use.
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DTM6052 Topic 2 Maria Mohd Yatim 8
Service
Characteristics
of Tourism
Intangibility
Inseparability
Inconsistency
/ Variability
Perishability
Temporary of
Ownership
Customer did not have ownership on the
services.
Although customer pay an amount of money
for the services, but it only for a certain period
of time.
DTM6052 Topic2 Maria Mohd Yatim 43
Convenience versus Shopping Goods
Convenience Products Shopping Products
Mainly low unit value/price
Mainly perceived necessities
Mainly high unit value/price
Mainly non-essential
Low problem-solving
Low information search
Low customer commitment
High purchase frequency
High brand loyalty
High-speed decision process
High rapidity of consumption
Extensive distribution expected
High problem-solving
High information search
High customer commitment
Low purchase frequency
Low brand loyalty
Low-speed decision process
Low rapidity of consumption
Limited distribution expected
Convenience Products Shopping Products
Urban bus transport Holidays
Commuter train transport Hotel accommodation
Bank services Air transport
Post office services Private education
Take away foods Motor cars
Washing powder Freezers
Cigarettes Carpets
Branded chocolate bar FurnitureDTM6052 Topic2 Maria Mohd Yatim 44
DTM6052 Topic2 Maria Mohd Yatim 45