CONSUMER BEHAVIOUR

IN SERVICE MARKETING
INTRODUCTION

Topics and sub topics covered in presentation are

1. Consumer behaviour in service marketing

2. Views of consumer decision making

Economic view
Passive view

Cognitive view
Emotional view

3. Factors influencing consumer behaviour

Social factors

Personal factors

Psychological factors
Cultural factors
CONSUMER BEHAVIOUR

Meaning
Consumer behaviour is the process where by individual decides when, what, where, how
and from where to purchase the goods and sevices.

Definition
Schiffman and kanuk(1997) define consumer behaviour as the behaviour displayed by
consumers in searching for, purchasing, using, evaluating and disposing of the products,
sevices, and ideas, which are expected to satisfy their needs.
1. AN ECONOMIC VIEW

Economic view is a rational model that consumers can make a rational decision after he
know all product, understanding their benefits and disadvantages.The consumer has his
own subjective choice depend on all the information that he knows.
2. PASSIVE VIEW

In passive view, consumers made decisions according to the promotional efforts of

marketers. It is opposite of the rational model, but it is unrealistic as consumers have ability
to get the information and purchase decisions.
3. COGNITIVE VIEW

• Cognitive view is the best of four model. In this model, decision makers are not according
to their own purposes, and different choices, but they make decision based on their own
interest and the understanding of demand. Every marketers should help consumers to
develop “shortcut decision rules to race decision making process and information
overload.”
Example
Moter vehicles adverts or high capital expenditure ads.
4. EMOTIONAL VIEW

Consumers use less time to think about whether the product is necessary for them or not.
When consumers make decision in this model, they are quite impulsive and have emotions
with purchase or possessions.
Example
MR price store with price tags “go for it” consumers buy clothes not because they look
better but they feel better.
1. SOCIAL FACTORS

Social factors affect consumers behaviour significantly. Every individual has someone around
influencing their buying decisions. The important social factors are: reference groups, family, role
and status.
• reference groups- every individual knows some people in the society who become their idols
in due course of time.
Co workers, family members, relatives, neighbours, friends often form reference groups.
• social status- an individual from upper class would spend on luxurious items whereas an
individual from middle to lower would buy items required for survival.
• Family- Family members also influence buying decision. Parents influence the decision of
children. Although nowadays, children are more aware about the products and services
therefore they influence the buying decision of parents.
2. PERSONAL FACTORS

• Age factor- age and human life cycle also influence the buying behaviour of consumers.
Example young generations would be more interested in buying bright or loud colours
whereas middle or elderly aged individual would prefer decent and subtle design.
• Income level- Buying tendency of an individual directly proportion to his income. Higher the
income level, higher the level of spending and vice-versa.
• Lifestyle- It is really important for some people to wear branded clothes whereas some
individuals are really not brand conscious.
• Personality- Every individual has his/her own characteristics personality traits which reflect in
buying behaviour.
3. PSYCHOLOGICAL FACTORS

• Perception- what individual thinks about a particular product or services is his/her

perception towards the same.
• Learning- learning comes only through experience.An individual comes to know about a
product and services only after he/she uses the same.
• Beliefs and attitude- individual create a certain image of every product or services
available in the markets.
• Motivation- there are several factors which motivate individuals to purchase products
and services.
4. CULTURAL FACTORS

• Religion – religion may influences consumer behaviour to a certain extent.

For example our culture says that we need to wear traditional attire on marriages.
• Sub- culture- Each culture further comprises of various subcultures such as religion, age,
geographical locations, gender, status etc.
for example a hindu bride wear red, maroon color sarees whereas Christian bride wear a
white gown on her wedding day.
• Social class- Human societies exhibit social satisfaction, that may sometimes take the form of
a caste system where the members share similar values, interest and behaviour.
THANK YOU