This document discusses factors that influence consumer behavior. It covers cultural factors like culture, subculture, and social class. Social factors like reference groups, family, and roles are examined. Personal factors like age, occupation, personality, and lifestyle are also discussed. Key psychological processes influencing consumer responses are outlined, including motivation, perception, learning, and memory. Apple's "Think Different" and "I'm a Mac" advertising campaigns are briefly described. The document concludes with an announcement for Quiz 2.
Analyzing Consumer Markets
What Influences Consumer Behavior?
What is Culture?
Subcultures
Fast Facts About American Culture
Social Classes
Characteristics of Social Classes
Reference Groups
Roles and Status
Personal Factors
The Family Life Cycle
Lifestyle Influences
Model of Consumer Behavior
Motivation
Maslow’s Hierarchy of Needs
Consumer Buying Process
Problem Recognition
Analyzing Consumer Markets
What Influences Consumer Behavior?
What is Culture?
Subcultures
Fast Facts About American Culture
Social Classes
Characteristics of Social Classes
Reference Groups
Roles and Status
Personal Factors
The Family Life Cycle
Lifestyle Influences
Model of Consumer Behavior
Motivation
Maslow’s Hierarchy of Needs
Consumer Buying Process
Problem Recognition
In the highly specialised study of “BUSINESS MANAGEMENT”, today, the function of “MARKETING MANAGEMENT” plays a very critical role. This is because this functional area of management :
(1) “EARNS” the revenue, &
(2) “WORKS” in the close proximity with the public or persons outside the organisation.
Controlling these two attributes to have the desired benefits are the most difficult part of the management, because none of these two are within the direct control of the marketers.
This doesn’t mean that the other functional areas are not important, but they are not “DIRECTLY” involved in the activities mentioned above.
Similarly, within the study of Marketing Management, the “Consumers” or the “Customers” play a very critical role as these are the people who finally BUY the goods & services of the Organisation, and the firm is always on the move to make them buy so as to earn revenue.
Consumer Behavior & Marketing Research Nagendra Babu
Books for Reference
Marketing Research – R.Nargundkar
Consumer Behaviour – Schiffman and Kanuk
Marketing Research – Tull, Green and Hawkins
Business Research Methods – Zikmund
Marketing Research – N.K. Malhotra
Marketing Research – Parashuraman, Grewal
Consumer Behaviour – Hoyer Mac Innis
Introduction,
Factors influencing consumer behaviour, Personality, Psychographics, Family, Society, Values of perception, Attitude and life styles,
Different models of consumer behaviour – Economic, Learning, Psychoanalytical, Sociological, Howard Shett, Nicosia, Webster and Wind, Engel, Blackwell and Minard models.
Carmen Neghina, Alina Oprea, Myriam Suidan - Case study - Marketing and Psychology
Who Influences Decisions?
Who Is in the Buying-Center?
Who Are the Powerful Buyers?
What Do Buyers Want?
Diagnosing Motivation
The Buyers’ Decision-making Process
Possible Outcomes
How Do Buyers Perceive a Company?
An introduction to consumer behavior and phychology Chapter 1 & 2 Nagendra Babu
Chapter 1 & 2 Consumer Behavior
Business orientations,
What the Businessman should know about consumers? Meaning and Definitions of
C-B, Relationship between CB and other subjects
Books for Reference
Schiffman and Kaunuk “Consumer Behavior”-Prentice-Hall of India.
Sheth Mittal “Consumer Behavior-A Managerial perspective- Thompson
NK Sahani, Meenu Gupta
“Consumer Behavior”-Kalyani Publishers.
Suja R Nair “Consumer Behavior –Text and cases-Himalaya Publishing House.
This is the ppt translation of the second part of 25 keys to sales & marketing, an audio portable MBA course, which has been developed by New York Times publishing,
with the contribution of some of the best known business academicians and practitioners of the contemporary world. This is only a reproduced graphical version of the same
with no commercial motive. It has been developed for better self learning and for assistance to the large community of several business practitioners & students, who are in
constant pursuit for quality stuff on-line.
This is the ppt translation of the second part of 25 keys to sales & marketing, an audio portable MBA course, which has been developed by New York Times publishing, with the contribution of some of the best known business academicians and practitioners of the contemporary world. This is only a reproduced graphical version of the same with no commercial motive. It has been developed for better self learning and for assistance to the large community of several business practitioners & students, who are in constant pursuit for quality stuff on-line.
206MKT
Applied Advertising
Week 3 Workshop B
Consumer Behaviour
1
Learning Objectives
By the end of the session students should be able to:
Explain ways in which consumer behaviour may affect advertising decisions
Discuss how advertising can appeal to consumer involvement and motivation
Explain the link between advertising and consumer perception
What is Consumer Behaviour?
Influencing Human Behaviour
“Marketing is essentially a means of influencing human behaviour – typically consumer behaviour”
(Jobber 2012)
Understanding customers
How do they buy?
What are their choice criteria?
Customers
Who is important?
Where do they buy?
When do they buy?
Understanding consumer behaviour when buying goods.
5
Consumer Buyer Behaviour
Influences
Cultural Factors
- Culture, Sub-culture, Social Class
Social Factors
- Groups, Family, Roles
Personal Factors
- Age, life cycle stage, occupation, economic circumstances, lifestyle, personality
Psychological Factors
- Personality, mood, attitudes, beliefs
Classification of Consumer Products
Convenience
Staple (e.g. Contents of the typical supermarket trolley)
Impulse
Emergency
Shopping (e.g. durables)
Speciality (exclusive e.g. designer clothing, long-haul holidays)
Unsought (e.g. insurance)
Compare and contrast how we buy things differently according to the type item and according to the context/situation we find ourselves in
7
Decision Making Unit (DMU)
Influencer
Financier/Decider
Initiator
Buyer
User
Initiator – begins the process of considering a purchase. Information may be gathered by person to support decision.
Influencer – attempts to persuade others of the outcome, what to buy and who from! Impose their choice criteria on the end user.
Decider – power and financial authority.
Buyer – conducts the transaction, makes payment.
User – the consumer of the product/service.
8
Decision Making Unit - example
Which member(s) of the DMU is this advert trying to target?
Trying to target families, particularly children.
Pester power
Influencer, decider, buyer – parents
Initiator - child
9
Group Exercise
Identify what DMU apply to your identified competitors in your coursework
Trying to target families, particularly children.
Pester power
Influencer, decider, buyer – parents
Initiator - child
10
Decision making process
Level of involvement
Extensive Problem Solving
Limited Problem Solving
Routine Response
Impulse
See Dibb et al (2001)
FCB
Richard Vaughan of the Foote, Cone and Belding advertising agency has created a grid based on level of involvement and whether the decision making concerns mainly thinking (rational motives) or feeling (emotional motives)
ThinkingFeeling High involvementInformative strategies for products that are technical in nature and purchased based on rational thinking and motives .
For examples, cars, house, computers, etc.Affective strategies for products that provide psychological benefits
For example, cosmetics, ...
In the highly specialised study of “BUSINESS MANAGEMENT”, today, the function of “MARKETING MANAGEMENT” plays a very critical role. This is because this functional area of management :
(1) “EARNS” the revenue, &
(2) “WORKS” in the close proximity with the public or persons outside the organisation.
Controlling these two attributes to have the desired benefits are the most difficult part of the management, because none of these two are within the direct control of the marketers.
This doesn’t mean that the other functional areas are not important, but they are not “DIRECTLY” involved in the activities mentioned above.
Similarly, within the study of Marketing Management, the “Consumers” or the “Customers” play a very critical role as these are the people who finally BUY the goods & services of the Organisation, and the firm is always on the move to make them buy so as to earn revenue.
Consumer Behavior & Marketing Research Nagendra Babu
Books for Reference
Marketing Research – R.Nargundkar
Consumer Behaviour – Schiffman and Kanuk
Marketing Research – Tull, Green and Hawkins
Business Research Methods – Zikmund
Marketing Research – N.K. Malhotra
Marketing Research – Parashuraman, Grewal
Consumer Behaviour – Hoyer Mac Innis
Introduction,
Factors influencing consumer behaviour, Personality, Psychographics, Family, Society, Values of perception, Attitude and life styles,
Different models of consumer behaviour – Economic, Learning, Psychoanalytical, Sociological, Howard Shett, Nicosia, Webster and Wind, Engel, Blackwell and Minard models.
Carmen Neghina, Alina Oprea, Myriam Suidan - Case study - Marketing and Psychology
Who Influences Decisions?
Who Is in the Buying-Center?
Who Are the Powerful Buyers?
What Do Buyers Want?
Diagnosing Motivation
The Buyers’ Decision-making Process
Possible Outcomes
How Do Buyers Perceive a Company?
An introduction to consumer behavior and phychology Chapter 1 & 2 Nagendra Babu
Chapter 1 & 2 Consumer Behavior
Business orientations,
What the Businessman should know about consumers? Meaning and Definitions of
C-B, Relationship between CB and other subjects
Books for Reference
Schiffman and Kaunuk “Consumer Behavior”-Prentice-Hall of India.
Sheth Mittal “Consumer Behavior-A Managerial perspective- Thompson
NK Sahani, Meenu Gupta
“Consumer Behavior”-Kalyani Publishers.
Suja R Nair “Consumer Behavior –Text and cases-Himalaya Publishing House.
This is the ppt translation of the second part of 25 keys to sales & marketing, an audio portable MBA course, which has been developed by New York Times publishing,
with the contribution of some of the best known business academicians and practitioners of the contemporary world. This is only a reproduced graphical version of the same
with no commercial motive. It has been developed for better self learning and for assistance to the large community of several business practitioners & students, who are in
constant pursuit for quality stuff on-line.
This is the ppt translation of the second part of 25 keys to sales & marketing, an audio portable MBA course, which has been developed by New York Times publishing, with the contribution of some of the best known business academicians and practitioners of the contemporary world. This is only a reproduced graphical version of the same with no commercial motive. It has been developed for better self learning and for assistance to the large community of several business practitioners & students, who are in constant pursuit for quality stuff on-line.
206MKT
Applied Advertising
Week 3 Workshop B
Consumer Behaviour
1
Learning Objectives
By the end of the session students should be able to:
Explain ways in which consumer behaviour may affect advertising decisions
Discuss how advertising can appeal to consumer involvement and motivation
Explain the link between advertising and consumer perception
What is Consumer Behaviour?
Influencing Human Behaviour
“Marketing is essentially a means of influencing human behaviour – typically consumer behaviour”
(Jobber 2012)
Understanding customers
How do they buy?
What are their choice criteria?
Customers
Who is important?
Where do they buy?
When do they buy?
Understanding consumer behaviour when buying goods.
5
Consumer Buyer Behaviour
Influences
Cultural Factors
- Culture, Sub-culture, Social Class
Social Factors
- Groups, Family, Roles
Personal Factors
- Age, life cycle stage, occupation, economic circumstances, lifestyle, personality
Psychological Factors
- Personality, mood, attitudes, beliefs
Classification of Consumer Products
Convenience
Staple (e.g. Contents of the typical supermarket trolley)
Impulse
Emergency
Shopping (e.g. durables)
Speciality (exclusive e.g. designer clothing, long-haul holidays)
Unsought (e.g. insurance)
Compare and contrast how we buy things differently according to the type item and according to the context/situation we find ourselves in
7
Decision Making Unit (DMU)
Influencer
Financier/Decider
Initiator
Buyer
User
Initiator – begins the process of considering a purchase. Information may be gathered by person to support decision.
Influencer – attempts to persuade others of the outcome, what to buy and who from! Impose their choice criteria on the end user.
Decider – power and financial authority.
Buyer – conducts the transaction, makes payment.
User – the consumer of the product/service.
8
Decision Making Unit - example
Which member(s) of the DMU is this advert trying to target?
Trying to target families, particularly children.
Pester power
Influencer, decider, buyer – parents
Initiator - child
9
Group Exercise
Identify what DMU apply to your identified competitors in your coursework
Trying to target families, particularly children.
Pester power
Influencer, decider, buyer – parents
Initiator - child
10
Decision making process
Level of involvement
Extensive Problem Solving
Limited Problem Solving
Routine Response
Impulse
See Dibb et al (2001)
FCB
Richard Vaughan of the Foote, Cone and Belding advertising agency has created a grid based on level of involvement and whether the decision making concerns mainly thinking (rational motives) or feeling (emotional motives)
ThinkingFeeling High involvementInformative strategies for products that are technical in nature and purchased based on rational thinking and motives .
For examples, cars, house, computers, etc.Affective strategies for products that provide psychological benefits
For example, cosmetics, ...
Hey Friends , I have compiled some important questions and answers in PDF related to CONSUMER BEHAVIOUR AND MARKETING RESEARCH . Hope it will be useful for everyone !
PM Ch 3 Analyzing Consumer & Business Market.pptxetebarkhmichale
Introduction
In life, there are universal laws that govern everything we do. These laws are so perfect that if you were to align yourself with them, you could have so much prosperity that it would be coming out of your ears. This is because God created the universe in the image and likeness of him. It is failure to follow the universal laws that causes one to fail. The laws that were created consisted of the following: ·
Law of Gratitude: The Law of Gratitude states that you must show gratitude for what you have. By having gratitude, you speed your growth and success faster than you normally would. This is because if you appreciate the things you have, even if they are small things, you are open to receiving more.
Law of Attraction: The Law of Attraction states that if you focus your attention on something long enough you will get it. It all starts in the mind. You think of something and when you think of it, you manifest that in your life. This could be a mental picture of a check or actual cash, but you think about it with an image.
Law of Karma: the Law of Karma states that if you go out and do something bad, it will come back to you with something bad. If you do well for others, good things happen to you. The principle here is to know you can create good or bad through your actions. There will always be an effect no matter what.
Law of Love: the Law of Love states that love is more than emotion or feeling; it is energy. It has substance and can be felt. Love is also considered acceptance of oneself or others. This means that no matter what you do in life if you do not approach or leave the situation out of love, it won't work.
Law of Allowing: The Law of Allowing states that for us to get what we want, we must be receptive to it. We can't merely say to the Universe that we want something if we don't allow ourselves to receive it. This will defeat our purpose for wanting it in the first place.
Law of Vibration: the Law of Vibration states that if you wish on something and use your thoughts to visualize it, you are halfway there to get it. To complete the cycle you must use the Law of Vibration to feel part of what you want. Do this and you'll have anything you want in life.
For everything to function properly there has to be structure. Without structure, our world, or universe, would be in utter chaos. Successful people understand universal laws and apply them daily. They may not acknowledge that to you, but they do follow the laws. There is a higher power and this higher power controls the universe and what we get out of it. People who know this, but wish to direct their own lives, follow the reasons. Successful people don't sit around and say "I'll try," they say yes and act on it.
Chapter - 1
The Law of Attraction
The law of attraction is the most powerful force in the universe. If you work against it, it can only bring you pain and misery. Successful people know this but have kept it hidden from the lower class for centuries because
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Implicitly or explicitly all competing businesses employ a strategy to select a mix
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The Influence of Marketing Strategy and Market Competition on Business Perfor...
Session 9 MG 220 BBA - 6 Sep 10
1. Part 3: Connecting with Customers > What influences Consumer Behavior > Key Psychological Processes > Apple Ads > Quiz 2 (Part 2: Session 4 - 7) Class Presentation | Session 9 | 6 Sep 2010
2. What Influences Consumer Behavior Understanding the Theory and Realities of Consumer Behavior A key part of Marketing Consumer’s buying behavior is influenced by: Cultural Factors Social Factors Personal Factors MG 220 Marketing Management 2
3. What Influences Consumer BehaviorCultural Factors Culture, Subculture & Social Class: 3 important variables Culture is fundamental determinant of a person’s wants and behavior Set of values, perceptions, preferences, and behaviors through his or her family or other institutions MG 220 Marketing Management 3
4. What Influences Consumer BehaviorCultural Factors Each Culture has smaller Subcultures giving more specific identification and socialization Significantly affluent Subcultures => considering marketing accordingly i.e. multicultural marketing Multilingual services by Telenor, Mobilink MG 220 Marketing Management 4
5. What Influences Consumer BehaviorCultural Factors Social Stratification – strata(s) in society Social Classes – relatively homogenous and enduring divisions in each society, which are hierarchically organized and whose members share similar values, interests and behavior Characteristics: Tend to behave similarly Defines position in society Defined by many variables together (no one variable to define it) Individuals move up or down in classes MG 220 Marketing Management 5
6. What Influences Consumer BehaviorSocial Factors Reference Groups consist of all groups that have a direct (face-to-face) or indirect influence on his/her attitudes or behavior Primary Groups – more interactivity, informal (Family, friends) Secondary Groups – Less interactivity, formal (religious, political) Important Groups to which people do not belong Aspirational Group – A person hopes to join Dissociative Group – Whose value a person rejects Opinion leader - A person in informal, prodcut-related communications who offers advice or information about specific product or product category Family Planning Campaign and “MasjidkeMaulvisb” MG 220 Marketing Management 6
7. What Influences Consumer BehaviorSocial Factors Family – Most important Consumer buying organization in the society. Most influential primary reference group Marketers are interested in roles and relative influence of family members in purchasing behavior Can directly impact a sales Family eating out: Father (Chinese – Tai Wah) Mother (Healthy – Subway) Grandparents (Continental – Village) and the winner is: BACHAY: Hum ne Pizza Hut janahai!!! MG 220 Marketing Management 7
8. What Influences Consumer BehaviorSocial Factors There can be different roles for a person in different settings Role: Activities a person is expected to perform Status: carried by every role Understanding of Roles and Status is important for understanding buying behaviors MG 220 Marketing Management 8
9. What Influences Consumer BehaviorPersonal Factors Different personal factors: Age and stage in life cycle Occupation and economic circumstances Personality and self-concept Lifestyle and Values MG 220 Marketing Management 9
10. What Influences Consumer BehaviorPersonal Factors Age and Stage in Life Cycle Preferences and consumer behaviors change with age Important considerations include: Family Life Cycle – As it grows in years and numbers Psychological Life Cycle – As a person grows Critical Life Events – Births, marriage, relocation MG 220 Marketing Management 10
11. What Influences Consumer BehaviorPersonal Factors Occupation and Economic Circumstances Occupation also impacts buying behaviors Engineers, IT will be more inclined towards latest gadgets Economic Considerations Spendable income Savings and Assets Debts and Borrowing Power Attitude towards spending and saving MG 220 Marketing Management 11
12. What Influences Consumer BehaviorPersonal Factors Personality and Self-Concept Personality – Set of distinguishing human psychological traits that lead to relatively consistent and enduring responses to environmental stimuli Very useful in analyzing consumer brand choices Brand Personality – Specific mix of human traits that may be attributed to a particular brand Strong relation in choosing brand’s consistent with either: Actual self-concept Ideal self-concept MG 220 Marketing Management 12
13. What Influences Consumer BehaviorPersonal Factors Lifestyle and Values Lifestyle – Person’s pattern of living in the world as expressed in activities, interests and opinions Lifestyles partly shaped by: Time-constrained Money-constrained Core Values: They are the belief systems that underlie consumer attitudes and behaviors and strongly influence consumer behavior MG 220 Marketing Management 13
15. Key Psychological ProcessesMotivation Needs & Motives Needs Can be biogenic (hunger, thirst etc) Can be Psychogenic (need for self-recognition, self-esteem) Motive Need with a sufficient intensity pressing a person to “act” Theories of Human Motivation: Freud Maslow Herzberg MG 220 Marketing Management 15
16. Key Psychological ProcessesMotivation Theories of Human Motivation: Freud Psych. Forces are largely unconscious A person cannot fully understand his/her own motivations Marketers try to understand what all “motives” a product can satisfy Volvo only for safety or a status symbol (too)? MG 220 Marketing Management 16
17. Key Psychological ProcessesMotivation Theories of Human Motivation (contd…): Maslow Human needs are arrangedin heirarchy Most to Least pressing Marketers try to understandhow their product fitin a person’s life and goals MG 220 Marketing Management 17
18. Key Psychological ProcessesMotivation Theories of Human Motivation: Herzberg Satisfiers and Dissatisfiers Absence of Dissatisfiers + Presence of Satisfiers is required for motivation to buy The new Nokia set does NOT have reception issues + it HAS a good camera too....motivating enough to be bought. MG 220 Marketing Management 18
19. Key Psychological ProcessesPerception How a “motivated” person actually acts depends on: Perception - the process by which an individual selects, organizes and interprets information inputs to create a meaningful picture of the world In Marketing, Perception is more important than the reality. Perception actually affects consumers’ behaviors Three key perceptual processes Selective Attention (people “selectively attend” to messages) Selective Distortion (“distort” information about a brand as “I” think it is) Selective Retention (remember good points about products we like rather good points of all products) Subliminal Perception (controlling the subconscious of consumer by subliminal messages – not proven) MG 220 Marketing Management 19
20. Key Psychological ProcessesLearning Learning – Changes in an individual’s behavior arising from experience Most human behavior is “learned” Learning is produced from interplay of: Drive – strong internal stimulus impelling action Cues – Minor stimuli determining when, where and how a person respond Responses – result of Drive and cues Reinforcement – based on experience, response may be reinforced Tendency to “generalize” Nestle MilkPak is good, all dairy products are good by Nestle Discrimination – a person has learned to recognize differences in sets of similar stimuli and can adjust responses accordingly MG 220 Marketing Management 20
21. Key Psychological ProcessesMemory STM – temporary repository of information LTM – more permanent repository of information Associative Network Memory model vis-à-vis consumer brand knowledge => consumer brand knowledge might consist as a brand node in consumer’s mind with a variety of association Brand associations consists of all brand-related thoughts, feelings, perceptions, images, experiences, beliefs etc…. Marketers need to ensure right experiences are created for their brand so it stays “rightly” in memory MG 220 Marketing Management 21
22. Key Psychological ProcessesMemory Two important Memory processes: Encoding Retrieval 1. Memory Processes: Encoding How and where information gets into memory More attention placed on information => stronger the resulting association in memory will be Existing brand associations also impact encoding process for newly formed association MG 220 Marketing Management 22
23. Key Psychological ProcessesMemory 2. Memory Processes: Retrieval How information comes out of memory Key factors affecting the process: Presence of other product information Delay from exposure to info at encoding Information may be available but may require “retrieval cues or reminders” to be retrieved MG 220 Marketing Management 23
24. APPLE! Apple’s advertising Related to today’s session…… Campaign # 1: “Think Different” Campaign # 2: “I am a Mac and I am a PC” MG 220 Marketing Management 24
25. APPLE Apple’s advertising Result of Campaign # 1: Our brand is the most - or at least one of the most - valuable things we have going for us now and the company's future in general. It "only took 15 . . . 30 . . . maybe 60 seconds" to reestablish Apple's counter-culture image that it had lost during the 90s. - Steve Jobs (after launch of campaign and seeing its results) MG 220 Marketing Management 25
26. QUIZ # 2 Related to Part 2 Max Time: 20 Mins MG 220 Marketing Management 26
27. Part 3: Connecting with Customers > The Buying Decision Process: The Five-stage Model > What is Organizational Buying? > Participants in the Business Buying Process > Stages in the Buying Process > Institutional and Government Markets Class Presentation | Session 10 | 8 Sep 2010