Chapter 7
Problem Recognition & Search

Learning Objectives
1.
To understand consumer problem recognition and the decision making process.
2.
To know how & why consumers conduct internal search.
3.
To know how & why consumers conduct external search.
4.
To access challenges marketers face in influencing consumers ’ searches.

Problem Recognition and
Information Search

Problem Recognition
Ideal State:
Where we want to be
Actual State:
Where we are now

Stimulating Problem
Recognition
Create a new ideal state
Create dissatisfaction with actual state
Position as solution to problem

Internal Search
Searching for Information from
Memory
Degree of internal search
Kind of information recalled:
– Brands
– Attributes
– Evaluations
– Experiences

Brand Recall
Consideration or evoked set
Vary in terms of:
– Size
– Stability
– Variety
– Preference dispersion

Brand Recall
Prototypicality
Familiarity
Goals/Usage Situation
Preference
Retrieval Cues

Attribute Recall
Accessibility/Availability
Diagnosticity
Salience
Vividness
Goals

Is Internal
Search Accurate?
Confirmation bias —Draw attention to negatives of competition
Inhibition
– Consumers don ’ t always consider key aspects
– Consumers recall other, more accessible attributes
Mood

External Search:
Searching for Information from Environment

Sources of External
Information
Retailer
Media
Interpersonal
Independent
Experiential
Internet

Internet Sources
Keyword search
Shopping agents
Information overload
Simulations
Online community

Social Media
©adage.com

Measures of Online
Consumer Activity~1

Measures of
Online Consumer Activity~2

Effort to Process
Information
Influenced by
– Motivation
– Ability
– Opportunity
– What motivates you to process information in advertising?

Motivation to Process
Information
Involvement and perceived risk
Perceived costs and benefits
Consideration set
Relative brand uncertainty
Attitudes toward search
Discrepancy of information

Ability to Process
Information
Consumer knowledge
Cognitive abilities
Demographics

Opportunity to
Process Information
Amount of information available
Information format
Time availability
Number of items being chosen

Accuracy?
Search by:
– Brand
– Attribute
Information Acquired in Search
– Brand name
– Price
– Other
• Reliability
• Durability
• Relevant

Questions?