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16-1
16-2
Levels of Consumer Decision
Making
Extensive Problem
Solving
Limited Problem
Solving
Routine Response
Behavior
16-3
Extensive
Problem
Solving
A search by the consumer to
establish the necessary
product criteria to evaluate
knowledgeably the most
suitable product to fulfill a
need.
16-4
Limited
Problem
Solving
A limited search by a
consumer for a product that
will satisfy his or her basic
criteria from among a
selected group of brands.
16-5
Models of Consumers: Four Views
of Consumer Decision Making
• An Economic View
• A Passive View
• A Cognitive View
• An Emotional View
16-6
The Economic view
Rational Customers Have To
…
• Be aware of all available
product alternatives
• Be capable of correctly
ranking each alternative in
terms of its benefits and
disadvantages
16-7
Why is the Classical Economic
Model Considered Unrealistic?
• People are limited by
their existing skills,
habits, and reflexes
• People are limited by
their existing values and
goals
16-8
Models of Consumers: Four
Views of Consumer Decision
Making
• A Passive View
• A Cognitive View
• An Emotional View - Mood
16-9
A Model of Consumer Decision
Making
INPUT
PROCESS
OUTPUT
16-10
Figure 16.2 A Simple Model of Consumer Decision Making
Firm’s Marketing Efforts
1. Product
2. Promotion
3. Price
4. Channels of distribution
Sociocultural Environment
1. Family
2. Informal sources
3. Other noncommercial sources
4. Social class
5. Subculture and culture
Need Recognition
Prepurchase Search
Evaluation of Alternatives
Psychological Field
1. Motivation
2. Perception
3. Learning
4. Personality
5. Attitudes
Experience
Purchase
1. Trial
2. Repeat purchase
Postpurchase Evaluation
Output
Process
Input
External Influences
Consumer Decision Making
Postdecision Behavior
16-11
Three Stages of Consumer
Decision Making
• Need Recognition
• Prepurchase Search
• Evaluation of Alternatives
16-12
Need
Recognition
The realization by the
consumer that there is a
difference between “what is”
and “what should be.”
16-13
Prepurchase
Search
A stage in the consumer
decision-making process in
which the consumer
perceives a need and actively
seeks out information
concerning products that will
help satisfy that need.
16-14
A stage in the consumer
decision-making process in
which the consumer
appraises the benefits to be
derived from each of the
product alternatives being
considered.
16-15
Issues in Alternative Evaluation
• Evoked Set
• Criteria Used for Evaluating Brands
• Consumer Decision Rules
• Lifestyles as a Consumer Decision Strategy
• Incomplete Information and
Noncomparable Alternatives
• Series of Decisions
• Decision Rules and Marketing Strategy
• Consumption Vision
16-16
Figure 16.3 The Evoked Set as a Subset
of All Brands in a Product Class
All
Brands
Known
Brands
Unknown
Brands
Overlooked
Brands
Indifferent
Brands
Unacceptable
Brands
Acceptable
Brands
Not Purchased
Brands
Purchased
Brands
Evoked Set Inept Set Inert Set
(1)
(2) (3) (4)
(5)
16-17
Issues in Alternative Evaluation
• Evoked Set
• Criteria Used for Evaluating Brands
• Consumer Decision Rules
• Lifestyles as a Consumer Decision Strategy
• Incomplete Information and
Noncomparable Alternatives
• Series of Decisions
• Decision Rules and Marketing Strategy
• Consumption Vision
16-18
Consumer Decision Rules
• Compensatory
• Noncompensatory
– Conjunctive Decision Rule
– Disjunctive Decision Rule
– Lexicographic Rule
16-19
Compensatory
Decision Rules
A type of decision
rule in which a
consumer evaluates
each brand in
terms of each
relevant attribute
and then selects the
brand with the
highest weighted
score.
16-20
Non-
compensatory
Decision
Rules
A type of consumer
decision rule by which
positive evaluation of
a brand attribute
does not compensate
for a negative
evaluation of the
same brand on some
other attribute.
16-21
Conjunctive
Decision
Rule
A noncompensatory
decision rule in which
consumers establish a
minimally acceptable
cutoff point for each
attribute evaluated.
Brands that fall below
the cutoff point on any
one attribute are
eliminated from further
consideration.
16-22
Disjunctive
Rule
A noncompensatory
decision rule in which
consumers establish a
minimally acceptable
cutoff point for each
relevant product
attribute.
16-23
Lexicographic
Rule
A noncompensatory
decision rule -
consumers first rank
product attributes in
terms of importance,
then compare brands
in terms of the
attribute considered
most important.
16-24
Affect
Referral
Decision
Rule
A simplified decision
rule by which consumers
make a product choice
on the basis of their
previously established
overall ratings of the
brands considered, rather
than on specific
attributes.
16-25
Figure 16.5 A Simple Model of Consumption
Choice or Purchase Decision
Consumption Set
Added to one’s assortment or portfolio
Consuming Style
How the individual fulfills his or her
consumption requirements
Using, Possessing, Collecting, Disposing
Consuming and Possessing Things and Experiences
Altered consumer satisfaction, change in lifestyle and/or
quality of life, learning and knowledge, expressing and
entertaining oneself
Feelings, Moods, Attitudes, Behavior
Input
Process of
Consuming
and
Possessing
Output
16-26

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consumer decision model process methods.pptx

  • 2. 16-2 Levels of Consumer Decision Making Extensive Problem Solving Limited Problem Solving Routine Response Behavior
  • 3. 16-3 Extensive Problem Solving A search by the consumer to establish the necessary product criteria to evaluate knowledgeably the most suitable product to fulfill a need.
  • 4. 16-4 Limited Problem Solving A limited search by a consumer for a product that will satisfy his or her basic criteria from among a selected group of brands.
  • 5. 16-5 Models of Consumers: Four Views of Consumer Decision Making • An Economic View • A Passive View • A Cognitive View • An Emotional View
  • 6. 16-6 The Economic view Rational Customers Have To … • Be aware of all available product alternatives • Be capable of correctly ranking each alternative in terms of its benefits and disadvantages
  • 7. 16-7 Why is the Classical Economic Model Considered Unrealistic? • People are limited by their existing skills, habits, and reflexes • People are limited by their existing values and goals
  • 8. 16-8 Models of Consumers: Four Views of Consumer Decision Making • A Passive View • A Cognitive View • An Emotional View - Mood
  • 9. 16-9 A Model of Consumer Decision Making INPUT PROCESS OUTPUT
  • 10. 16-10 Figure 16.2 A Simple Model of Consumer Decision Making Firm’s Marketing Efforts 1. Product 2. Promotion 3. Price 4. Channels of distribution Sociocultural Environment 1. Family 2. Informal sources 3. Other noncommercial sources 4. Social class 5. Subculture and culture Need Recognition Prepurchase Search Evaluation of Alternatives Psychological Field 1. Motivation 2. Perception 3. Learning 4. Personality 5. Attitudes Experience Purchase 1. Trial 2. Repeat purchase Postpurchase Evaluation Output Process Input External Influences Consumer Decision Making Postdecision Behavior
  • 11. 16-11 Three Stages of Consumer Decision Making • Need Recognition • Prepurchase Search • Evaluation of Alternatives
  • 12. 16-12 Need Recognition The realization by the consumer that there is a difference between “what is” and “what should be.”
  • 13. 16-13 Prepurchase Search A stage in the consumer decision-making process in which the consumer perceives a need and actively seeks out information concerning products that will help satisfy that need.
  • 14. 16-14 A stage in the consumer decision-making process in which the consumer appraises the benefits to be derived from each of the product alternatives being considered.
  • 15. 16-15 Issues in Alternative Evaluation • Evoked Set • Criteria Used for Evaluating Brands • Consumer Decision Rules • Lifestyles as a Consumer Decision Strategy • Incomplete Information and Noncomparable Alternatives • Series of Decisions • Decision Rules and Marketing Strategy • Consumption Vision
  • 16. 16-16 Figure 16.3 The Evoked Set as a Subset of All Brands in a Product Class All Brands Known Brands Unknown Brands Overlooked Brands Indifferent Brands Unacceptable Brands Acceptable Brands Not Purchased Brands Purchased Brands Evoked Set Inept Set Inert Set (1) (2) (3) (4) (5)
  • 17. 16-17 Issues in Alternative Evaluation • Evoked Set • Criteria Used for Evaluating Brands • Consumer Decision Rules • Lifestyles as a Consumer Decision Strategy • Incomplete Information and Noncomparable Alternatives • Series of Decisions • Decision Rules and Marketing Strategy • Consumption Vision
  • 18. 16-18 Consumer Decision Rules • Compensatory • Noncompensatory – Conjunctive Decision Rule – Disjunctive Decision Rule – Lexicographic Rule
  • 19. 16-19 Compensatory Decision Rules A type of decision rule in which a consumer evaluates each brand in terms of each relevant attribute and then selects the brand with the highest weighted score.
  • 20. 16-20 Non- compensatory Decision Rules A type of consumer decision rule by which positive evaluation of a brand attribute does not compensate for a negative evaluation of the same brand on some other attribute.
  • 21. 16-21 Conjunctive Decision Rule A noncompensatory decision rule in which consumers establish a minimally acceptable cutoff point for each attribute evaluated. Brands that fall below the cutoff point on any one attribute are eliminated from further consideration.
  • 22. 16-22 Disjunctive Rule A noncompensatory decision rule in which consumers establish a minimally acceptable cutoff point for each relevant product attribute.
  • 23. 16-23 Lexicographic Rule A noncompensatory decision rule - consumers first rank product attributes in terms of importance, then compare brands in terms of the attribute considered most important.
  • 24. 16-24 Affect Referral Decision Rule A simplified decision rule by which consumers make a product choice on the basis of their previously established overall ratings of the brands considered, rather than on specific attributes.
  • 25. 16-25 Figure 16.5 A Simple Model of Consumption Choice or Purchase Decision Consumption Set Added to one’s assortment or portfolio Consuming Style How the individual fulfills his or her consumption requirements Using, Possessing, Collecting, Disposing Consuming and Possessing Things and Experiences Altered consumer satisfaction, change in lifestyle and/or quality of life, learning and knowledge, expressing and entertaining oneself Feelings, Moods, Attitudes, Behavior Input Process of Consuming and Possessing Output
  • 26. 16-26