The Howard-Sheth Model

Those activities directly involved

in obtaining , consuming and
disposing of products and
services, including the decision
processes that precede and follow
these actions
• Logical Positivism
– Understanding and predicting consumer
behavior
– Cause and effect relationships that govern
persuasion and/or education

• Post Modern – to understand consumption

behavior without any attempt to influence it
 External Influences Decision Processes
Culture
Subculture
Demographics Problem Recognition
Social status
Reference groups
Family Information Search
Marketing Activities Self-Concept
& Alt Eval & Selection
Learning
Internal Influences Outlet select & Purchase
Perception
Learning
Memory
Post-purchase
Motives Processes
Personality
Emotions
Attitudes
 The Economic Theory
 The Learning Model
 Maslow’s Hierarchy of Needs
 Veblanian Social Psychological Model
 Psycho Analytic Theory
 Gestalt Theory
 Theory of Cognitive Dissonance
 The Nicosia Model
• Types
– Industrial
– Reseller • Characteristics
– Government and – Bureaucracy
non-profit – Greater
organizations involvement
• Purchase types – Long term
– Straight rebuy relationships
– Limited decision – Price is important
making but may not be the
most important
– Extended
factor
decision making
• John A. Howard and Jagdish N. Sheth
• Published in the year 1969
• Wished to explain the buying behavior of individuals over
a period of time
• An attempt to explain the brand choice behavior of the
buyer
• Assumptions of the theory
• That buying behavior is rational in the sense that it is
within the buyer’s ‘bounded rationality’
• Attempted to build a positive theory, not a normative
one
• If brand choice behavior is assumed to be systematic,
then it can be observed in certain standard ways.
• If behavior is systematic, then it is caused by some
even, a stimulus either in the buyer or the buyer’s
environment
• Elements of the Buyers Brand Choice decision are:
• A set of motives
• Several alternatives courses of action
• Decision Mediators which are the set of rules that
match motives and alternatives

• Decision Mediators develop the buyers process of

learning about the buying situation.
• 3 levels of decision making
• Extensive decision making
• Limited problem solving
• Habitual response behavior
• Inputs
• Perceptual and Learning Constructs
• Outputs
• Exogenous(External) variables
• According to the Howard-Sheth model there are four
major sets of variables
• Inputs
• Perceptual and Learning Constructs
• Outputs
• Exogenous(External) variables
3 distinct types of stimuli in the consumer’s
environment
1. Significative – product/brand characteristics emanating
from the product – quality, price
2. Symbolic – product/brand characteristics emanating
from sources such as marketing and advertising
3. Social environment – not controllable by the firm –
family, reference groups
Inputs lead to the following:
1. Attention – buyer’s total response to information
2. Brand comprehension – buyer knowledge in the
specific product class
3. Brand attitude – the satisfying potential of the brand
4. Buyer intention – preferred brand will be bought the
next time buying is necessitated
 Central part of the Model

 Deals with the Psychological Variables that deals

consumers’ decision

 Comprises of 2 parts:
 Learning Constructs
 Perceptual Constructs
 Overt Search – stems from significative inputs.Deals with
how consumers receive and understand information

 Stimulus ambiguity- When the consumer does not

understand the information he receives from the input
stimulus
 Attention
 Perceptual Bias-Distortion of info
to suit one’s established needs.
 Brand Comprehension-info about brands
 Confidence- derived from brand knowledge
 Satisfaction- from previous experience
 Attitude-choice, brand info
 Choice criteria- to evaluate alternatives
 Motives- Consumer’s Goals
 Intention- Needs of the consumer and preferences
• Represent hierarchical responses from attention to
purchase
• Purchase is the sequential result of attention, brand
comprehension, brand attitude and buyer intention
 External variables which affect the buying decisions of
consumers.
 This Model does not recognize these but explains a little
on them
• Importance of purchase
• Social class
• Cultural background
• Time pressure
• Financial Status
• Personality variables