CHAPTER CONSUMER BEHAVIOR © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-2 CONSUMER PURCHASE DECISION PROCESS • Consumer Behavior • Purchase Decision Process • Problem Recognition: Perceiving a Need © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-6 FIGURE 5-1 Purchase decision process © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-7 CONSUMER PURCHASE DECISION PROCESS • Information Search: Seeking Value Internal Search External Search • Personal Sources • Public Sources • Market-Dominated Sources © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-8 FIGURE 5-2 Consumer Report’s evaluation of portable MP3-capable CD players © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-9 CONSUMER PURCHASE DECISION PROCESS • Alternative Evaluation: Assessing Value Evaluative Criteria Consideration Set • Purchase Decision: Buying Value © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-10 FIGURE 5-A What new car buyers consider most important in deciding what new car to buy © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-11 CONSUMER PURCHASE DECISION PROCESS • Purchase Decision: Buying Value • Postpurchase Behavior: Value in Consumption or Use Cognitive Dissonance © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-12 Consumer Purchase Decision Why is post purchase behavior important? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-13 MARKETING NEWSNET The Value of a Satisfied Customer © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-14 CONSUMER PURCHASE DECISION PROCESS • Involvement and Problem-Solving Variations Routine Problem Solving Limited Problem Solving Extended Problem Solving Involvement and Marketing Strategy • Situational Influences © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-15 FIGURE 5-3 Comparison of problem-solving variations © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-16 FIGURE 5-4 Influences on the consumer purchase decision process © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-18 PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR • Motivation and Personality Motivation Personality • Physiological Needs • Self-Concept • Safety Needs • Social Needs • Personal Needs • Self-Actualization Needs © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-22 FIGURE 5-5 Hierarchy of needs © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-23 PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR • Perception Selective Perception • Selective Perception • Selective Exposure • Selective Comprehension • Selective Retention Subliminal Perception © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-24 ETHICS AND SOCIAL RESPONSIBILITY ALERT The Ethics of Subliminal Messages © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-25 PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR • Perception Perceived Risk • Obtain Seals of Approval • Secure Endorsements from Influential People • Provide Free Trials • Give Extensive Usage Instructions • Provide Warranties and Guarantees © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-26 Fresh Step Crystals Cat Litter Why use the Good Housekeeping Seal? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-27 Mary Kay’s Velocity Fragrance Why offer a free sample through a website? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-28 PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR • Learning Behavioral Learning • Drive • Negative Reinforcement • Response • Stimulus Generalization • Reinforcement • Stimulus Discrimination Cognitive Learning Brand Loyalty © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-29 FIGURE 5-B Brand loyalty tendency by product category © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-30 PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR • Values, Beliefs, and Attitudes Attitude Formation • Attitude • Beliefs Attitude Change • Change Beliefs About a Brand’s Attributes • Change Perceived Importance of Attributes • Add New Attributes to the Product © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-31 Colgate Total Toothpaste and Bayer Extra Strength Aspirin How did these ads change attitudes? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-32 PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR • Lifestyle Psychographics VALS™ • Thinkers • Experiencers • Believers • Makers • Achievers • Innovators • Strivers • Survivors © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-33 VALS™ Consumer Segments How do consumers make purchase decisions? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-35 SOCIOCULTURAL INFLUENCES ON CONSUMER BEHAVIOR • Personal Influence Opinion Leadership • Opinion Leaders • Word of Mouth © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-39 Pierce Brosnan and Anna Kournikova Why use celebrity spokespersons? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-40 FIGURE 5-C Word of mouth influence © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-41 SOCIOCULTURAL INFLUENCES ON CONSUMER BEHAVIOR • Reference Groups Membership Group Aspiration Group Dissociative Group © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-43 SOCIOCULTURAL INFLUENCES ON CONSUMER BEHAVIOR • Family Influence Consumer Socialization Family Life Cycle Family Decision Making • Information Gatherer • Purchaser • Influencer • User • Decision Maker © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-44 FIGURE 5-6 Modern family life cycle © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-45 Haggar Clothing What role do women play in this purchase? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-46 SOCIOCULTURAL INFLUENCES ON CONSUMER BEHAVIOR • Social Class • Culture and Subculture African American Buying Patterns Hispanic Buying Patterns Asian American Buying Patterns • Assimulated • Nonassimulated © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-47 Bonne Bell Cosmetics Why target the African American women market? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-48 Target Why use Spanish language ads in the U.S.? © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-49 Consumer Behavior Consumer behavior consists of the actions a person takes in purchasing and using products and services, including the mental and social processes that come before and after these actions. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-71 Purchase Decision Process The purchase decision process is the stages a buyer passes through in making choices about which products and services to buy. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-72 Evaluative Criteria Evaluative criteria are the factors which represent both the objective attributes of a brand and the subjective ones a consumer uses to compare different products and brands. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-73 Consideration Set A consideration set is the group of brands that a consumer would consider acceptable from among all the brands in the product class of which he or she is aware. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-74 Cognitive Dissonance Cognitive dissonance is the feeling of postpurchase psychological tension or anxiety consumers may experience when faced with two or more highly attractive alternatives. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-75 Involvement Involvement consists of the personal, social, and economic significance of the purchase to the consumer. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-76 Situational Influences Situational influences consist of the five aspects of the purchase situation that impacts the consumer’s purchase decision process: (1) the purchase task, (2) social surroundings, (3) physical surroundings, (4) temporal effects, and (5) antecedent states. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-77 Motivation Motivation is the energizing force that stimulates behavior to satisfy a need. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-78 Personality Personality refers to a person’s consistent behaviors or responses to recurring situations. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-79 Self-Concept Self-concept is the way people see themselves and the way they believe others see them. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-80 Perception Perception is the process by which an individual selects, organizes, and interprets information to create a meaningful picture of the world. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-81 Subliminal Perception Subliminal perception is seeing or hearing messages without being aware of them. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-82 Perceived Risk Perceived risk represents the anxieties felt because the consumer cannot anticipate the outcomes of a purchase but believes that there may be negative consequences. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-83 Learning Learning refers to those behaviors that result from (1) repeated experience and (2) reasoning. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-84 Brand Loyalty Brand loyalty is a favorable attitude toward and consistent purchase of a single brand over time. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-85 Attitude An attitude is a “learned predisposition to respond to an object or class of objects in a consistently favorable or unfavorable way.” © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-86 Beliefs Beliefs are a consumer’s subjective perception of how a product or brand performs on different attributes based on personal experience, advertising, and discussions with other people. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-87 Lifestyle Lifestyle is a mode of living that is identified by how people spend their time and resources, what they consider important in their environment, and what they think of themselves and the world around them. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-88 Opinion Leaders Opinion leaders are individuals who exert direct or indirect social influence over others. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-89 Word of Mouth Word of mouth is the influencing of people during conversations. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-90 Reference Groups Reference groups are people to whom an individual looks as a basis for self-appraisal or as a source of personal standards. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-91 Consumer Socialization Consumer socialization is the process by which people acquire the skills, knowledge, and attitudes necessary to function as consumers. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-92 Family Life Cycle The family life cycle describes the distinct phases that a family progresses through from formation to retirement, each phase bringing with it identifiable purchasing behaviors. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-93 Social Class Social class is the relatively permanent, homogeneous divisions in a society into which people sharing similar values, interests, and behavior can be grouped. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-94 Subcultures Subcultures are subgroups within the larger, or national, culture with unique values, ideas, and attitudes. © 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 5-95