5-1
PRINCIPLES OF MARKETING
Eighth Edition
Philip Kotler and Gary Armstrong
Chapter
5
Consumer Markets
and
Consumer Buyer Behavior
 Copyright 1999 Prentice Hall
Consumer Buying Behavior
• Consumer Buying Behavior refers
to the buying behavior of final
consumers (individuals &
households) who buy goods and
services for personal
consumption.
• Study consumer behavior to
answer:
“How do consumers respond to
marketing efforts the company
might use?”
 Copyright 1999 Prentice Hall
5-2
Model of Consumer Behavior
Product
Price
Marketing and
Other Stimuli
5-3
Economic
Technological
Place
Political
Promotion
Cultural
Buyer’s
Decision
Process
Product Choice
Brand Choice
Buyer’s Black Box
Buyer’s Response
Characteristics
Affecting
Consumer
Behavior
Purchase
Timing
Purchase
Amount
Dealer Choice
 Copyright 1999 Prentice Hall
Characteristics Affecting
Consumer Behavior
Culture
Social
Personal
Psychological
Buyer
 Copyright 1999 Prentice Hall
5-4
Factors Affecting Consumer Behavior:
Culture
• Most basic cause of a person's wants and
behavior.
• Values
• Perceptions
Subculture
Social Class
• Groups of people with shared
value systems based on
common life experiences.
• People within a social class
tend to exhibit similar buying
behavior.
• Hispanic Consumers
• Occupation
• African American Consumers
• Income
• Asian American Consumers
• Education
• Mature Consumers
• Wealth
 Copyright 1999 Prentice Hall
5-5
Factors Affecting Consumer Behavior:
Social
5-6
Groups
•Membership
•Reference
Family
•Husband, wife, kids
•Influencer, buyer, user
Roles and Status
 Copyright 1999 Prentice Hall
Social Factors
Factors Affecting Consumer Behavior:
Personal
5-7
Personal Influences
Age and Family Life Cycle
Stage
Occupation
Economic Situation
Personality & Self-Concept
Lifestyle Identification
Activities
Opinions
Interests
 Copyright 1999 Prentice Hall
VALS 2
5-8
Actualizers
Principle Oriented Status Oriented
Abundant Resources
Action Oriented
Fulfilleds
Achievers
Experiencers
Believers
Strivers
Makers
Strugglers
Minimal Resources
 Copyright 1999 Prentice Hall
Factors Affecting Consumer Behavior:
Psychological
Motivation
Beliefs and
Attitudes
Psychological
Factors
Learning
 Copyright 1999 Prentice Hall
Perception
5-9
Maslow’s Hierarchy of Needs
Self
Actualization
(Self-development)
Esteem Needs
(self-esteem, status)
Social Needs
(sense of belonging, love)
Safety Needs
(security, protection)
Physiological Needs
(hunger, thirst)
 Copyright 1999 Prentice Hall
5-10
Types of Buying Decisions
5-11
High
Involvement
Low
Involvement
Significant
differences
between
brands
Complex
Buying
Behavior
VarietySeeking
Behavior
Few
differences
between
brands
DissonanceReducing Buying
Behavior
Habitual
Buying
Behavior
 Copyright 1999 Prentice Hall
The Buyer Decision Process
Need Recognition
Information Search
Evaluation of Alternatives
Purchase Decision
Postpurchase Behavior
 Copyright 1999 Prentice Hall
5-12
The Buyer Decision Process
5-13
Step 1. Need Recognition
Need Recognition
Difference between an actual state and a desired state
Internal Stimuli
External Stimuli
• Hunger
• TV advertising
• Thirst
• Magazine ad
• A person’s normal
needs
• Radio slogan
•Stimuli in the
environment
 Copyright 1999 Prentice Hall
The Buyer Decision Process
5-14
Step 2. Information Search
Personal Sources
•Family, friends, neighbors
•Most influential source of
information
Commercial Sources
•Advertising, salespeople
•Receives most information
from these sources
Public Sources
Experiential Sources
 Copyright 1999 Prentice Hall
•Mass Media
•Consumer-rating groups
•Handling the product
•Examining the product
•Using the product
The Buyer Decision Process
5-15
Step 3. Evaluation of Alternatives
Product Attributes
Evaluation of Quality, Price, & Features
Degree of Importance
Which attributes matter most to me?
Brand Beliefs
What do I believe about each available brand?
Total Product Satisfaction
Based on what I’m looking for, how satisfied
would I be with each product?
Evaluation Procedures
Choosing a product (and brand) based on one
or more attributes.
 Copyright 1999 Prentice Hall
The Buyer Decision Process
Step 4. Purchase Decision
Purchase Intention
Desire to buy the most preferred brand
Attitudes
of others
Unexpected
situational
factors
Purchase Decision
 Copyright 1999 Prentice Hall
5-16
The Buyer Decision Process
Step 5. Postpurchase Behavior
Consumer’s Expectations of
Product’s Performance
Product’s Perceived
Performance
Dissatisfied
Customer
Satisfied
Customer!
Cognitive Dissonance
 Copyright 1999 Prentice Hall
5-17
Stages in the Adoption Process
Awareness
Interest
Evaluation
Trial
Adoption
 Copyright 1999 Prentice Hall
5-18
Early Majority
Innovators
Percentage of Adopters
Adoption of Innovations
Early
Adopters
34%
Late Majority
Laggards
34%
16%
13.5%
2.5%
5-19
Time of Adoption
Late
Early
 Copyright 1999 Prentice Hall
Influences on the Rate of Adoption
of New Products
Communicability
Relative Advantage
Can results be easily
observed or described
to others?
Is the innovation
superior to existing
products?
Divisibility
Product
Characteristics
Can the innovation
be used on a
trial basis?
Complexity
Is the innovation
difficult to
understand or use?
 Copyright 1999 Prentice Hall
5-20
Compatibility
Does the innovation
fit the values and
experience of the
target market?