5 Steps decison making process
1. Problem Recognition
The first step of the consumer decision-making process is recognizing
the need for a service or product. Need recognition, whether prompted
internally( Biological characteristics, Psychological characteristics) or
externally(Marketing-mix, Those around, Macro environment), results in
the same response: a want. Occurs when consumer sees difference
between current state and ideal state.
Need recognition: actual state declines
Opportunity recognition: ideal state moves upward
Example:Toan needs to buy a new laptop because his old laptop is not
good enough for work. He needs to buy a new laptop for work and
entertainment, to keep himself in ideal state.
2. Information Search
When researching their options, consumers again rely on internal and
external factors, as well as past interactions with a product or brand,
both positive and negative. In the information stage, they may browse
through options at a physical location or consult online resources, and
Prepurchase or ongoing search.
 Post-purchase search: gathering information on choice made after
the purchase.
 Ongoing search: continuous information gathering to stay
"marketplace-current."
 Internal search : Retrieving knowledge from memory or genetic
tendencies.
 External search : Collecting information from peers, family, and the
marketplace.
 Online search: Consumers can search for information directly
through search engines such as google, firefox, microsoft or through
social networking platforms such as facebook, instagram, lindkin.
Example: He searched on google for a few laptop brands: dell, HP, Asus,
macbook,... At the same time, he also asked some friends for advice on
some laptop models that fit his criteria.
3. Evaluation of Alternatives
At this point in the consumer decision-making process, prospective
buyers have developed criteria for what they want in a product. Now
they weigh their prospective choices against comparable alternatives.
Alternatives may present themselves in the form of lower prices,
additional product benefits, product availability, or something as
personal as color or style options.
Example: He compares a few brands that he likes. He knows he wants to
buy a laptop with powerful configuration for his work and although he
wants to spend less money, he also wants to find a laptop with good
looks.
4. Product Choice
This is the moment the consumer has been waiting for: the actual
purchase. Once they have gathered all the facts, including feedback from
previous customers, consumers should arrive at a logical conclusion on
the product or service to purchase.
Example: He found a silver MacBook air m1 on sale 10%. After
confirming this laptop has the configuration and appearance as he
desired. He decided to go to the store and buy it.
5. Outcomes
Outcomes after using the product of consumers depend entirely on 2
factors: experience and expectations. Consumers feel satisfied with a
product or service when the experience exceeds their expectations.
Satisfaction are inversely proportional to expectations.
Satisfaction= Experience - Expectation
Example: After buying and using it for a while, Toan feels that the laptop
serves very well for work and entertainment, it gives him many great
experiences. The experience it brought was more than he expected.