The document provides an in-depth exploration of the factors influencing consumer behavior, highlighting cultural, psychological, social, and personal influences on purchasing decisions. It emphasizes the importance of understanding consumer behavior for effective marketing strategies and outlines various factors such as household structure, self-concept, and lifestyle that affect buying choices. Furthermore, the document discusses the roles of family dynamics and cultural values in shaping consumer perceptions and behaviors.

1. Bahir Dar University
Ethiopian Institute of Textile and Fashion Technology (EiTEX)
Course Manager:
Assist. Prof. Seid Mohmmed
By;
Sarem Murad
Mezgebu Tesfaye
And
Cultural and Social Influences the Purchase Decision

2. Cultural and Social Influences the Purchase
Decision

3. Cultural and Social Influences the Purchase Decision
Content of presentation;
Affects consumer behaviour
Cultural influences
Psychological influence
Group influence
Family influence
Household structure influence

4. Introduction
 Consumer behavior deals with the study of buying behavior of customers.
 Consumer behavior is way more than just a guessing game.
 It can be defined as a series of activities people engage in when searching, evaluating, selecting,
purchasing, using and disposing of products and services so as to satisfy their needs and desires.
 It examines consumers’ shopping habits, from their first contact with a company through to the
final purchase.
 It’s crucial to a successful marketing plan.

5. Cont..
 If we know behaviors of consumers, we can make easily decide to decisions our business.
 There are several factors which influence the buying decision of consumers, cultural factors
being one of the most important factors.
 A shift in cultural values, consumer preferences and purchase intentions toward fashion
products is the most critical issue faced by marketing managers today.

6. Consumer Behavior Involves More Than Buying
 Marketers are also intensely interested in consumer behavior related to using and disposing of
an offering:
 Acquiring. Buying represents one type of acquisition behavior.
 Using. After consumers acquire an offering, they use it, which is why usage is at the very core
core of consumer behavior.
 Disposition. how consumers get rid of an offering they have previously acquired, can have
important implications for marketers

7. Recognizing Factors that Influence the Purchase Decision
 Consumer behavior is subjective.
 There are two categories of personal influence regarding the purchase decision.

8. Personal factors
Personal factors, which can include age, lifestyle, economic bracket, orientation, occupation and
personality traits, influences buyer behavior.
It also depends on one’s interests and opinions plus that their
lifestyles – their daily routine, leisure activities, etc.

9. Customer Perception
 Perception is the most important psychological factor in all human behavior.
 Perception is defined as the process by which individuals select, organize and interpret stimuli
into a meaningful and coherent picture of the world.”(Radhika Duggal at Forbes).
 Customer perception refers to customers’ awareness, their impressions, and their opinions
about a business and its brand, along with its products and services.

10. Self-concepts
 The self- concept in consumer behavior reflects more
types of self-perspectives where the actual and the ideal
self-image as well as the social self-image and the ideal
social self-image belong to.
 Self-concept is defined as the way, in which we think,
our preferences, our beliefs, our attitudes, our opinions
arranged in a systematic manner.

11. Lifestyle
 Lifestyle plays a role for consumers to make
purchase decision process.
 It is people that interact with their environment.
 It is refers to the way consumers live and spend
their time and money.
 It is determined by one`s past experiences, innate
characteristics and life situations.

12. Motivation
Consumer motivation is an internal state that drives people to
identify and buy products or services that fulfill conscious and
unconscious needs or desires.
When a person is motivated enough, it influences the buying
behavior of the person.
A person has many needs such as social needs, basic
needs, security needs, esteem needs, and self-
actualization needs.
Out of all these needs, the basic needs and security
needs take a position above all other needs.

13. External influences
 Consumers are faced with many external influences, including an
individual’s culture, subculture, household structure, and groups
that he associates with.
 Marketers and business owners call these external influences.
 It also called sociocultural influences, because they evolve from the
formal and informal relationships the individual has with other
people.
goth, grunge, and punk
subculture
individual’s culture

14. Groups influence
 Group means how individuals form groups, and how one
persons purchasing influences the other individual’s actions.
 Groups represent two or more individuals who share a set of
norms, values, or beliefs.
 Examples include peer groups, school groups, business groups,
and clubs.
 Groups can be classified in a number of ways like by structure,
by regularity of contact, by size, by membership.

15. Primary Group and Secondary Group:
 If a person interacts on regular basis with other
individuals, then these individuals can be
considered a primary group.
 If a person interacts only occasionally with
others, or whose opinions are not important,
then this type of group is called secondary.

16. Consumer Relevant/Reference Groups:
 The Family: childhood an individual needs and consumption decisions are
influenced by his/her family.
 Friendship Groups: The immediate group which an individual forms after
he/she moves out from the house. Purchase decisions are most likely
influenced by friends.
 Formal social Groups: lack intimate relationship and they serve different
function for an individual. This group to fulfill goals like making new friends,
pursuing a special interest, meeting important’ people specially for career
advancement

17. Household structures
 Household structure represents how many live in a home, what the ages of the
occupants are, and what the household income is.
 It is important to consumer behavior because the structure affects the
consumption and purchasing patterns of the individuals within the home.
 Each member of the household structure also has a role in the decision-making
process.
 When understand those roles, can be more effective on whether to purchase the
product.

18. Culture and subculture
 Culture of an individual shapes her values, beliefs, attitudes, and
opinions, which in turn shape her attitude toward products and
buying decisions.
 Subculture represents a group of individuals within a culture that have
unifying characteristics.
 A subculture is often representative of a particular nationality, religion,
racial group, or geographic group.

19. WHAT IS CULTURE?
 Culture is a standard of excellence within its own society.
 Cultural behaviors, such as household size or the role of women in
managing households, also influence who buys certain products or in
what size.
 A person’s culture has a huge influence on their thought processes and
behaviors.
 people perceive the world around them, their place in it, and how they
make decisions, it tends to play a role in determining how and why we
consume goods and services.

20. CULTURE
The three major parts of culture;
 Norms: These are rules within a culture that designate forms of acceptable and unacceptable
behavior.
 Beliefs: These are mental and verbal statements that reflect a consumer’s particular
knowledge and assessment of something and that affect an individual’s behavior.
 Values: Values are based on the beliefs of a consumer. What a consumer believes is what he
sees as valuable.

21. What are Cultural Factors
 Cultural factors comprise of set of values and ideologies of a particular community or group of
individuals.
 Cultural Factors include the basic values, needs, wants, preferences, perceptions, and
behaviors that are observed and learned by a consumer from their near family members and
other important people around them.

22. Subcultures
 Each culture contains subcultures, or groups of people
who share values.
 Subcultures can include nationalities, religious sects,
racial groups, or groups of people sharing the same
geographical location.
 Hobbies or activities can even create subcultures.

23. Ethnicity or nationality
 Ethnicity, or nationality, defines a group bound by similar values, customs, dress, religion, and language.
 This information to make create marketing messages that are specific to the culture we targeting.
Hispanic consumers
African American consumers
Asian American consumers

24. Religion
 Religion is important to people, because it provides them with a
set of beliefs.
 To create messages that identify with the beliefs and values of
specific religious groups.
 An understanding of these religious subcultures and others
should guide in creating marketing messages.

25. Buying Influence of gender
 Men and women approach shopping with different motives, perspectives, rationales, and
considerations.
Men tend to take finding the appropriate product for their needs.
They generally concentrate on their current requirements
Women purchasing approach is to find a perfect solution to their
problem.
A decision is usually determined by a detailed list of criteria, which
can often change.

26. Family Buying Influence
 A family is two or more people living together who are related by blood or
marriage.
 It is a part of a household which consists of individuals living singly or together
with others in a residential unit.
 Consumer behavior is influenced not only by consumer personalities and
motivations, but also by the relationships within families.
 The husband, wife and children influence each other and are influenced by
others.

27. Family Buying Influence
 Family is a social group.
 All purchases are influenced by family members.
 Family is a closely-knit unit, and the bonds in a family are more powerful than in
other groups.
 There are three main influences which are father, mother and other family
members.
 Every member has his own motives, beliefs and predisposition to the decision
process.
 Every member is influenced and influences other family members.

28. Family Life Cycle and Buying Roles
 It is important for a marketeer to know the family structure and its
consumption characteristics.
 A household is a basic consumption unit for most consumable goods.

29. Important buying roles are:
1. The instigator (initiator): Person who first suggests the idea of a
product/service and initiates the purchase process.
2. The influencer: Person having direct/Indirect influences, on final
purchase decision.
3. The decider: Person who makes the final decision.
4. The purchaser (buyer): Person who actually purchases the product, pays
for it, takes it home.
5. The consumer: User of goods/service.

30. Communication
directed at children
Influencers
children
Communication
directed at parents
Information gatherers
parents
Purchaser
Decision-makers
parents and children
Consumer
children
The consumer: User of goods/service.

31. Family Decision Stages
1. Problem recognition
2. Search for information
3. Evaluation of alternatives
4. Final decision
 Husband-wife influence studies, classify consumer decisions as:
 Wife-dominant decisions, e.g., food, purchase of groceries.
 Husband-dominant decisions, e.g., automobiles, life insurance.

32. Family life cycle stage
 1. The bachelor stage—young and single.
 2. The newly married couples—young, no children.
 3. Full nest 1—young, married, with child.
 4. Full nest 2—older, married, with children.
 5. Full nest 3–older, married, with dependent children.
 6. Empty nest—older, married, with no children living with them.
 7. Solitary survivor—older, single, retired people.

33. Personal Influence
 Each individual receives the information and processes and evaluates the product
in his own way.
 His own personality ultimately influences his decision. He has his own personal
reasons for likes, dislikes, price, convenience or status.

34. The personal influences can be linked to the following:
 Age: The consumer buying behavior is greatly influenced by his age, i.e. the life cycle
stage in which he falls.
 Income: The income of the person influences his buying patterns. The income decides the
purchasing power of an individual
 Occupation: The occupation of the individual also influences his buying behavior. The
people tend to buy those products and services that advocate their profession and role in
the society.
 Lifestyle: The consumer buying behavior is influenced by his lifestyle.

35. Reference
 Consumer Behavior fifth Edition.
 Consumer Behavior FOR DUMmIES.
 GATR Journal of Management and Marketing Review.
 Socio-Cultural Influences on Fashion Consumption Behavior of University Students
 https://hmhub.in/perception-influences-on-buying-
behavior/#:~:text=As%20a%20consumer%2C%20perception%20becomes,of%20th
e%20consumer%27s%20lifestyle%20choices.
 https://www.discuss.io/what-is-customer-perception/
 https://hmhub.in/personality-and-self-concept-influences-on-buying-behavior/
 The Influence of Lifestyle on the Process of Purchase Decision (A Study on
Android Users Community)
 https://www.retaildive.com/ex/mobilecommercedaily/analytics-key-to-
uncovering-and-acting-on-customer-motivations

36. Reference
https://businessjargons.com/personal-factors-influencing-consumer-
behavior.html.
https://www.managementstudyguide.com/personal-factors-affecting-
consumer-behaviour.htm
https://open.lib.umn.edu/principlesmarketing/chapter/3-1-factors-that-
influence-consumers-buying-behavior/
http://professionalshiksha.blogspot.com/2018/09/group-dynamics-
consumer-reference-groups.html