ISSN: 2276-4201

' V o l u m e 6 , N u m b e r 1, 2017
I n t e r n a t i o n a l Journal of I n n o v a t i o n s I n M a n a g e m e n t S c i e n c e a n d I n f o r m a t i o n T e c h n o l o g y

CONSUMER BEHAVIOUR MODELS AND THE ANALYSIS OF ATTENDANT MARKETING

IMPLICATIONS

Didia, 3.U.D. and Ogonu, G.C.

Department of Marketing, Faculty of Management Sciences,
Rivers State University of Science and Technology, Port Harcourt, Nigeria
Email:didia.Jud@yahoo.com

ABSTRACT
Consumer behaviour modeling and the marketing issues there from present a
complex but interesting and critical dimension in consumer behaviour studies. In
contending with this complex phenomenon, extensive literary search was
undertaken. The literary exposition reveals that consumer behaviour is
influenced and moderated by input factors (internal and external to the
individual) that enable him process and filter information for decision making
that has obvious outcomes. Based on this exposure, we conclude that consumer
behaviour modeling is a crucial aspect of consumer behaviour as it helps
marketing practitioners in coming to terms with consumer vagaries and
dynamism, gaining insight and formulating successful marketing programmes
based on this understanding that leads to successful marketing practice.
Keywords: Consumer Behaviour, Models, Marketing Implication.

INTRODUCTION
The ultimate goal of corporate engineering is to define, develop, and deliver value to customers
(Webster, 1997) at a profit. Value to customers implies customers' overall assessment of the utility
of a product based on the perceptions of what is received and what is given (Oh, 1999;
Parasuraman, 1997). The creation of a superior customer value is a function of management
business philosophy and its perception of consumers of its products which is practically reflected
on the choice of alternative business orientations such as production, sales orientation, market
orientation and societal orientation (Payne, 1988; Liu, 1996 and Fritz, 1996). The preferred
orientation, however, is the market orientation because it contributes to an improved
understanding of the market and leads to the creation of higher customer value than competitors
(Bozic, 2006). This understanding of the market and the consumers that make up the market is
very essential for the success of corporate governance. Success of a business is directly related to
the extept to which consumers perceive the offers of the enterprise as satisfactory which
invariably leads to exchange and patronage of the goods and services offered for sale. This
understanding is even more important because of consumer dynamics and oftentimes
unpredictable buying disposition. Berkman etal( 1997), in line with this view, asked the following
questions: What is it that makes buyers buy? What makes them select one product over another
that satisfies the same needs, or one brand over another almost identical brand? What makes a
long time user of one brand suddenly switch to another? And what keeps other brand users loyal,
despite overtures from competing brands? These questions we consider germaine and quite
pertinent in our collective quest to understand the consumer better. It is because the answers to
these questions are central to consumer behaviour, that researchers have developed various
consumer decision models which attempt to describe the processes consumers go through,
before, during and after making purchase (Berkman, et ai(1997).

Consumer behaviour models help us to understand the consumer in his varied contexts and
perspectives. This was the case with Procter and Gamble, who's success with Lenor (its product)
was largely attributable to its understanding of consumer behaviour. The company's analysis of
how, whether, how much, and why consumers bought, used, and disposed of products and how it

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fits In to consumers' culture, generated insights that led to the development of a successful
marketing programme (Hoyer eta/, 2007). In this wise it will be pertinent to first define and put
into context, consumer behaviour.

Theoretical Perspectives of Consumer Behaviour

Several marketing pundits, especially of the consumer behaviour extraction, have offered useful
and insightful definitions and explanations regarding consumer behaviour or the behaviour of the
buying consumer, as he shuffles through his mental processes, influenced by external factors, to
decide on what to buy and consume. Kotler (2003) defines consumer buying behaviour as the
buying behaviour of final consumers - individuals and households that buy goods and services for
personal consumption. In the same vein, Pride and Ferrel (1987) explained consumer buying
behaviour as the buying behaviour of ultimate consumers - those persons who purchase products
for personal or household use, not for business purpose. Schiffman et<3/(1994) say that consumer
behaviour refers to the behaviour that consumer display in searching for, purchasing, using,
evaluating and disposing of products and services that they expect will satisfy their needs. It is a
study of how individuals make decisions to spend their available resources (time, money, efforts)
on consumption related items. Our inference from these theoretical positions is that consumer
buying behaviour implies the actions and steps undertaken by a deprived final or ultimate
consumer in searching, locating, purchasing and dispensing with products and services which he
hopes will create superior value. The consumer behaviour models shown in fig. 1 and 2 illustrates
the steps and procedures undertaken by a consumer in arriving at the decision to buy and what
influences or acts upon that decision process.

-onsumer Behaviour Models

\ model is simply a means of describing a concept, its causes, and its effects. Consumer
iehaviour models provide us with a framework for analyzing consumer behaviour. By using them,
re can map out each of the causes or antecedents of a particular behaviour and each of its
isults or consequences (Berkman, 1997). Several models of consumer behaviour exist (Howard-
leth, 1969; Nicosia, 1966), but the Engel, Kollat and Blackwell (EKB) model appears to be the
ost comprehensive. See fig. 1.

Pan-African Academic Jo u r na
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I n t e r n a t i o n a l J o u r n a l o f I n n o v a t i o n s i n M a n a g e m e n t S c i e n c e a n d I n f o r m a t i o n Technology

Fig. 1: AKB's Comprehensive Model of Consumer Decision Making

Information
Processing

Decision f Problem Alternative

•
Process Recognition Evxduktiou

Dissonant

Decision
Proccas
Variables

N.orniallyc
Cmpl

External «l norm
Influence j ijj/FaiTiiyy

Source: A g
" ^!' KoJlat,aJ1, Blackwel1
(AKB). A Comprehensive Model of Consumer Decision-
Making. Adopted from Beckman et a/ (1997) Consumer Behaviour, USA. NTCPub.

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Pan-African Ac *> d o m i c Jou
 I S S N : 2226 - 4 2 0 1
Inni>v.,taI Msn>somoii, M e n c e

(1994) a e p ' a s a S
""Ple m0del
°f consumer
behaviour as conceptualized by Schiffman and Kanuk

Fig. 2: A Simple Model of Consumer Decision Making

External

Firm's Marketing Efforts

Soeioculturol Environment
1. Product
Input 1. Family
2. Promotion
2. Information source
3. Price
3. Other noncommercial sources
4. Channels of distribution 'I. Social class

Consumer
Decision Making

Need Psychological Field

Recognition 1. Motivation
2. Perception
3. Learning
Prcplfrchasc 4. Personality
Process
Search 5. Attitudes

Evaldlt
EvaliMtionof
Alternatives Experience

Postdccision
Behaviour i '

Output Purchase
1. Trial
2. Repeat

Postpurchasc
Evaluation

Source: Schiffman, L.G. and Kanuk, LL (1997). Consumer Behaviour. N.J\ USA Eagiewood Cliff,
Prentice Hall Inc.

Major Recurring Elements in the Models

A look at most consumer behaviour models will reveal basic recurring issues that ignite, moderate
and influence us as consumers in our everyday decision process. These issues are
compartmentalized in marketing literature into: those that trigger-off the search known as input
factors; those chat influence or moderate the search known as decision process factors and; those
that enable us measure the consequences or results of our decision. Schiffman and Kanuk ( 1 9 9 4 )
categorize these issues as: Input factors (firms marketing efforts which include product,
promotion, price and channels of distribution) and socio-cultural environment, which include
family, informal sources, other noncommercial sources and subculture and culture; Process factors
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(need recognition, prepurchase search, evaluation of alternatives) learning, personality and

attitudes; Output factors (purchase which includes trial, repeat purchase and post purchase
evaluation. According to Engel, Kollat and Blackwell (1973), these, issues are: Input (stimuli,
market dominated and other factors; Information processing (exposure, attention, comprehension,
yielding/acceptance and retention); Decision process (problem recognition, search, alternative
evaluation, choice and outcome (dissonance or satisfaction).

In the views of Schiffman and Kanuk (1994), the decision process is influenced by some decision
process variables as, beliefs, attitudes, Intention, motives, evaluative criteria, lifestyle, normative
compliance and informational influence, which are in turn moderated by some external influences
as cultural norm and values, reference group/family and unanticipated circumstances. Before the
harmonization of these issues for proper analysis, the different buying roles and buying behaviours
and situations are identified so that they could be put in proper perspectives. This is important as
marketers have to go beyond the various influences on buyers and develop an understanding of
how consumers actually make their buying decisions and most importantly, marketers must
identify who makes the buying decisions, the type of buying decisions, and the steps in the buying
process '(Kotler, 2003). Identifying who makes the buying decision is important to enable
marketers make targeted decisions regarding their marketing programmes.

Buying Roles
Five buying roles that people play in a buying decision are distinguished. Initiator: A person who
first suggests the idea of buying the product or service. Influencer: A person whose view or advice
influences the decision. Decider: A person who decides on any component of a buying decision:
whether to buy, what to buy, how to buy, or where to buy. Buyer: The person who makes the
actual purchase. User: A person who consumes or uses the product or service (Kotler, 2003).

Certainly, these roles are played by one or many people depending on the nature of the purchase.
Not all consumer decision situations require or receive the same degree of information search.
There are different types of buying behaviour (Kotler, 2003) or levels of consumer decision
making (Schiffman and Kanuk, 1994). According to Kotler (2003), consumer decision making
varies with the type of buying decision. These are: Complex buying behaviour, which involves a
three-step process: (a) the buyer develops beliefs about the product (b) he or she develops
attitudes about the product (c) he or she makes a thoughtful choice. Here, the marketer of high-
involvement product must understand consumers' information gathering and evaluation
behaviour; Dissonance-reducing buyer behaviour-Sometimes, the consumer is highly involved in
a purchase but sees little difference in brands. The high involvement is based on the fact that the
purchase is expensive, in frequent, and risky. In this case, the buyer will shop around to learn
what is available but will buy fairly quickly, perhaps responding primarily to a good price or to
purchase convenience. After the purchase, the customer might experience dissonance that stems
from noticing certain disquieting features or hearing favourable things about other brands. The
consumer however will be alert to information that supports his or her decision; Habitual buying
behaviour - Many products are bought under the condition of low involvement and the absence of
significant brand differences, e.g. salt. If the same brand is bought regularly, it is out of habit not
strong brand loyalty. Customers have low-involvement with low-cost, frequently purchased
products; Variety-seeking buying behaviour - T h i s is a situation characterized by low-involvement
but significant difference. Here consumers do a lot of brand switching. The market leaders in this
type of product and the minor brands have different strategies to reach out to the consumer.

These are what Schiffman e£a/(1994) called levels of consumer decision making and note that if
all purchase decisions require extensive effort, consumer decision making would be an exhausting
process that will leave little time for anything else. Equally, if all purchase were to be routinized,

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International J o u m a , o f l n n o v a . i o n s i n M a n a g e m e n t Science S S S o S

She^ W (°969) e and^Ho^ar^lg^g^note^ha^on 1 aP<-°V f 6 ' i t t l e f ' T T 0 r n ° V e l t y ' H ° W a r d a n d

r a n 9 n 9 f r 0 m V e r y h i g h to
very low, we can distingu sh t h s n sep edc i fil c l lPevv ePlls off ^ ' ,
Dfob/em so/vino limits , consumer decision making viz: extensive
correspond to our d i s c u & n b e h a v / 0 U r " J h e s e i n s o ™ way
of extensive problem s o l v i n g d e S o ^ a L 9o w h ihr cho ^r r e s o n dhs tT0 o' u rWeea r l i e r a d ° P t ' n g t h e c ° n c e p t
buying behaviour process P mentioned complex

Analysis of the Issues

I/-oce^U^rtoA?°Tn^nn^f10^ mod
f;!in9 centre on the
delineated framework of input factors,
W d6SCrlbe t h e c o n s u m e r decision makin model tha
predicate his behaviour. 9 t
6 npU m nent
n ^ n t l r ^ ! f- ^ P ° °f the consumer decision-making model draws on external influence
na stimuli that trigger-off a state of need for a product and search for information. Chief
mong these input factors are the marketing-mix activities of organizations that attempt to
communicate the benefits of their products and services to potential consumers, and the socio-
cultural influences, which when internalized, affect the consumers purchase decision.
Marketing inputs relate to the firm's marketing activities which are direct attempt to reach, inform,
and persuade consumers to buy and use its products. These inputs to the consumer's decision
making process take the form of specific marketing-mix strategies that consist of the product itself
(including its package, size and guarantee): mass-media advertising, direct marketing, personal
selling, and other promotional efforts; pricing policy: and the provision of distribution channels to
move the product from the manufacturer to the consumer. How successful these marketing efforts
are is governed by the consumer's perception of them. Thus marketers are more concerned with
consumer perception of their efforts than relying on the intended impact of their marketing
strategies.
SociocuituraiInputs-The second type of input, the sociocultural environment, also exerts a major
influence on the consumer. So, as cultural inputs consist of a wide range of noncommercial
influences, for example, comments by a friend, an editorial in the newspaper, usage by a family
member or an article in consumer reports. Equally, the influence of social class, culture, and
subculture, though less tangible, are important input factors that are internalized and affect how
consumers evaluate and ultimately adopt (or reject) products. Cultural influences are very
significant. The unwritten codes communicated by culture determine which consumption
behaviour that should be considered "right" or "wrong". Cultural factors or inputs do not approve
or disapprove of any specific company product or services but may persuade a consumer to avoid
a product.
Process: The process component of the model is concerned with how consumers make decisions.
In EKB model, this is facilitated by information processing variables stored in memory and
activated during the search for solution to problem recognition. Equally influential here are
decision process variables as beliefs, attitude, intention, evaluative criteria, lifestyle and normative
compliance and informational influence. The external sources of influence comprise cultural norm
and values, reference group/family and unanticipated circumstances. It is important to mention
that in the psychological field (motivation, perception, learning, personality, and attitudes) which
affects consumer decision making processes are two concepts: PERCEIVED RISK AND EVOKED
SET. Perdeived Risk is defined as the uncertainty that consumers face when they cannot foresee
the consequences of their purchase decisions (Schiffman and Kanuk, 1994). Types of perceived
risk include: Functional Risk - The risk that the product will not perform; Physical Risk - The risk
to self and others that the product may pose ("is the cellular phone really safe, or does it emit
harmful radiation"); Financial Risk - The risk that the product will not be worth its cost; Social Risk
- The risk that a poor product choice may result in social embarrassment; Psychological Risk -
The risk that a poor produt choice will bruise consumer's ego; Time Risk - The risk that the time
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spent in product search may be wasted if t h e product does not perform as expected. In general,
consumer perceived service decisions to be riskier t h a n product decisions, particularly in terms of
social risk, physical risk and psychological risk ( M u r r a y and Schlacter, 1990).

RISK REDUCTION STRATEGIES: T h e e v o k e d set refers to the specific brands a consumer

considers in making a purchase choice in a particular product category. It is also called the
consideration set It is different from INEPT SET, which consists of brands the consumer excludes
from purchase consideration, and equally f r o m INERT SET, which consists of brands the consumer
is indifferent towards because they a r e perceived as not having any particular advantages. A
consumer's evoked set is usually small irrespective of the total number of brands in a product
category (Crowley and Williams, 1 9 9 1 ) . A m o n g those brands with which the consumer is familiar,
there are acceptable brands, unacceptable brands, indifferent brands, and overlooked brands. The
evoked set consists of the small number of brands t h e consumer is familiar with, remembers, and
finds acceptable. In sum, according to Schiffman and Kanuk (1994), the decision making
component of the model comprises of t h r e e stages viz: (a) Need recognition (b) Prepurchase
search and (c) Evaluation of alternatives. T h e prepurchase search could be long or short
depending on the following factors ( a ) Product factors ( b ) Situational factors (c) Consumer factors.

There are basic rules that guide the consumer in making his decision. These are called, Consumer
Decision Risk often referred to as heuristics, decision strategies, and information processing
strategies. Consumer decision rules are classified into two, Compensatory and Noncompensatory
decision rules. A unique feature of the compensatory rule is that it allows a positive evaluation of a
brand on one attribute to balance out a negative evaluation on some other attribute while in
noncompensatory rules, this feature does not exist. T h e r e are three noncompensatory rules:
Conjunctive rule, the Discorijunctive rule a n d Lexicographic rule.

OUTPUT: The 'ast component in most decision models is the output section. This section concerns
Purchase Behaviour and Post Purchase Evaluation. Purchase Behaviour: Consumers make two
types of purchase - trial purchase and r e p e a t purchase. A trial purchase is an exploratory phase of
purchase behaviour in which consumers a t t e m p t to evaluate a product through direct use while
repeat purchase is closely related to t h e concept of brand-loyalty, which most firms try to
encourage because it contributes to greater stability in the market place. Unlike trial in which the
consumer uses the product on a small scale, a r e p e a t purchase usually signifies that the product
meets with the consumer's approval a n d t h a t he or she is willing to use it again and in larger
quantities. Trial or repeat purchase depends on t h e type of product. For instance, trial is not
feasible with some durable goods (clothes, dryers, freezers, microwave ovens), in which case
consumer moves directly from evaluation to a l o n g - t e r m commitment (through purchase), without
the opportunity for actual trial. Post Purchase Evaluation: As consumers use a product, particularly
during a trial purchase, to evaluate its p e r f o r m a n c e in light of their own expectations, there are
three possible outcomes of these evaluations: Actual performance matches expectations, leading
to a neutral feeling; Performance is below expectations, causing negative disconfirmation and
dissatisfaction performance is above expectations causing positive disconfirmation and satisfaction
(Cadotte et al, 1987). For each of these t h r e e o u t c o m e s , consumers' expectation and satisfaction
are closely linked - that is, consumers t e n d to j u d g e their experience against their expectations
when performing a postpurchase evaluation. An i m p o r t a n t component of postpurchase evaluation
is the reduction of uncertainty or doubt t h a t t h e consumer might have had about the selection. As
part of their postpurchase analysis, consumers try to reassure themselves that their choice was a
wise one, that is, they attempt to reduce postpurchase cognitive dissonance. This is done by
adopting one of the following strategies: t h e y m a y rationalize the decision as being wise; they
may seek advertisements that support their choice a n d avoid those of competitive brands; they
may attempt to persuade friends or neighbours to buy t h e same brand (and thus confirm their
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own choice); they may turn to other satisfied owners for reassurance. The degree of postpurchase
analysis that consumers undertake depends on the importance of the product decision and the
experience acquired in using the product. If the product lives up to expectation, they will probably
buy it again. If the performance is disappointing or does not meet expectations, however, they will
search for more suitable alternatives. Thus, the consumers' postpurchase evaluation "feeds back"
as experience to the consumer's psychological field and serves to influence future related
decisions (Schiffman and Kanuk, 1994).

CONCLUSION
Consumer behaviour models have been an interesting and important aspect of consumer
behaviour. Organizational endeavours are aimed at providing satisfactory goods and services to a
targeted audience. It will be a fatal experience if there is no corresponding response from
consumers to justify the commitment of enormous production resources. It is not enough that
consumers engage in trial purchase. They must transcend this to engage in repeat purchase.
Ensuring that we understand the rational and influences that culminate in the repeat purchase
decision have been a daunting task. The essence of models is to enable us overcome this hurdle.
Models simply describe the idea of consumer behaviour, its antecedents or causes and its
consequences. In this way marketers will be able to tailor marketing programmes along
established behaviour patterns of decision making. In view of this, we conclude that consumer
behaviour modeling and issues thereof are important marketing tool for effective marketing
resource husbandry.

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