Have you ever been curious about how advertising impacts consumers' buying

decisions? If so, you might be interested in the field of consumer psychology. This field
explores how our thoughts, feelings and beliefs influence our purchasing habits and our
relationship, with products and services. Consumer psychology seeks to understand the
underlying cognitive processes that guide our decision-making and how marketing and
other external factors influence those choices. By studying consumer psychology,
marketing professionals can gain insights on how to effectively sell their products and
services

The Science of Consumer Behavior

According to the Society for Consumer Psychology, Division 23 of the American
Psychological Association, consumer psychology "employs theoretical psychological
approaches to understanding consumers."

This field is often considered a sub-specialty of industrial-organizational

psychology and is also known as the psychology of consumer behavior or the
psychology of marketing.

Consumer psychologists study a variety of topics including:

 How consumers choose businesses, products, and services
 The thought processes and emotions behind consumer decisions
 How environmental variables such as friends, family, media, and culture
influence buying decisions
 What motivates people to choose one product over another
 How personal factors and individual differences affect people's buying choices
 What marketers can do to effectively reach out to their target customers

Theories and Models of Consumer Behavior

In 1974, Walters defined consumer behavior as the process by which individuals
determine whether, what, when, where, how, and from whom to purchase goods and
services.
Mowen (1993) offers a different definition, stating that consumer behavior is the
study of the buying units and exchange processes involved in acquiring, consuming,
and disposing of goods, services, experiences, and ideas. This definition focuses on not
only the individual but also groups that purchase products or services. Schiffman and
Kanuk (1997) define consumer behavior as the behavior that consumers exhibit when
searching for, purchasing, using, evaluating, and disposing of products, services, and
ideas. They distinguish between two types of consumers: personal consumers, who buy
products and services for personal or household use, and organizational consumers,
who operate in organization, including profitable and non-profitable organizations, and
institutions.
Behaviorism
Let's go over some of the major perspectives in consumer psychology that help
us understand consumer behavior. The first perspective used in consumer psychology
is behaviorism. This branch of psychology argues that people's actions are driven by
external stimuli. In other words, we become convinced to do things because of some
outside influence. The psychologist John Watson was a pioneer in the field of
behaviorism. According to perspective everything is considered by a behavior. So, all
of your thoughts, actions, and feelings are behaviors, and they’re caused by external
stimuli. This means that if you have a particular affinity to a brand of shampoo and
commercial feature an actor who reminds you of a person you love, you might be more
likely to buy this kind of shampoo.

Cognitive approach
The cognitive approach, on the other hand, suggests that our behaviors are
caused mostly by our own mental processing. Cognitivists do appreciate that external
stimuli, such as packaging or brand loyalty, can have an influence, but they don't view it
as the most important thing. So, you might watch that same shampoo commercial, and
you might be influenced by the actors, but from the cognitive perspective, it's the
interaction between the external stimuli and your own rational thinking and mental
processing that leads to buying something.

The economic model proposed by Marshall suggests that individuals will

allocate their income towards purchasing goods that provide them with the most
satisfaction, taking into account their preferences and the prices of the goods available.

The social-psychological model proposed by Veblen focuses on how human

behavior and needs are shaped by the norms and standards of their culture,
subcultures, and social groups

The Pavlovian learning model is based on the idea that learning occurs through
associations, and that much of human behavior is conditioned in this way. The model
includes four central concepts: drive, cue, response, and reinforcement.

According to the Freudian psychoanalytical model, the id is the source of

strong urges and drives in humans, while the ego mediates between the id and the
superego, which channels these instincts into socially acceptable outlets to avoid guilt
and shame.

Maslow's hierarchy of needs provides insight into the motivation of human

beings based on a hierarchy of needs, with consumers seeking to satisfy lower-level
needs before moving on to higher level needs. Each level of need is more important
than the one before, and the process continues as the consumer aspires to fulfill higher-
level needs.
I Shop, therefore, I am: I have, therefore I am
According to the Engel, Kollat, Blackwell model (EBM model), the consumer
decision- making process is influenced and shaped by a number of factors and
determinants, categorized in three broad categories, namely individual
preferences, environmental influences and psychological processes.

Individual differences
- consumer resources
- knowledge
- attitudes
- motives
- personality
- values
- lifestyle
Environmental influences
- culture
- social class
- personal influences
- family
- situation
Psychological processes
- need recognition
- search for alternatives
- information processing
- culture
- pre-purchase alternative evaluation
- purchase consumption and post-consumption alternative evaluation
- divestment

Self-Concept and Self-Image/Product-Image Congruity

Previous research has highlighted the importance of self-concept and consumer
Preference in influencing consumer purchasing behavior. According to Onkivist and
Shaw (1987), consumers' self-image has a direct impact on their buying decisions. Sirgy
(1982) Introduced the concept of self-image congruity, which refers to the process of
consumers Purchasing products or brands that align with their symbolic self-image. This
theory suggests that products and brands convey symbolic meanings and images, and
consumers use them to communicate their self-image to themselves and others. Sung,
Choi and Tinkman (2012) noted greater similarity between the characteristics of a brand
and the characteristics that consumers associate with their self-concept, the stronger
their preference for that brand.
Shaping the Way We See Ourselves: The role of consumer culture on our sense
of self and identity
The Consumer Culture
Consumer culture refers to the material culture that is enabled by the market,
giving rise to a distinct connection between the consumer and the goods or services
they partake in.

Dittmar, H. (2007)'s research consists of various strands that are connected

through the fact that they document empirically the impact of consumer culture-as the
sociocultural and ideological manifestation of capitalism if you will-on the identity and
well-being of children, adolescents, and adults. Yet, the fact that material goods play an
important psychological role for us is neither good nor bad by itself. There is a close
psychological association between identity-the subjective concept (or representation)
that a person holds of him or herself... and material goods. They communicate and
symbolize personal and social identity to self and others.

- treasured material possessions often play a positive role for identity maintenance
and continuity.
- Favorite material possessions can help individuals to sustain a sense of who they
are, particularly during periods of change or crisis.
- As symbolic markers of personal history, they provide a life record of with whom
and where people have been over time, aiding their sense of connectedness,
inner stability, and self-continuity.
- Similarly, a concern with one's appearance, body shape, and fitness can be
conducive to both self-esteem and physical health, as long as people invest
sensibly in products, services, and activities that can, in fact, contribute to their
well-being.

Yet, notwithstanding such positive features, there are specific ways in which
consumer culture has a detrimental impact on many individuals.

How Social Media Influences Us to Buy

Social media has a significant impact on the way we live our lives. And,
according to an article in The Washington Post, our friends' posts are also compelling
us to buy more and more. There are a number of factors (both internally and externally)
that compel us to consume the society we live in. Social media is certainly one of the
leading causes and it's worthwhile to point out why.

- personal spending is more visible

- more (and better targeted advertising
- convenience of shopping from your device
- chasing "likes"
- The fiction we share online
- The negative emotions stirred up by social media
- influencers and their Influence
The Good and the Bad

Now the rise of consumerism is impacting the developing world as the developed
countries mature. You'll find new advertisements for goods or services around the
globe. Debt levels rise as people buy items they want. Innovative products continue to
call for a purchase.

These are the consumerism pros and cons to evaluate today

the Pros of consumerism

1. consumerism stimulates economic growth
2. it also boosts creativity and innovation
3. cost reductions are encouraged because of consumerism
4. it weeds out the poor performers naturally.
5. consumerism encourages freelancing, entrepreneurialism, and self-employment
6. it creates safer goods for consumers
7. consumers are given more choices in this society

The cons of consumerism

1. the economy takes precedence over the environment
2. it changes the moral fabric of society
3. consumerism encourages debt
4. it leads to health problems
5. consumerism does not provide fulfillment
6. it can be used as a political tool
7. consumerism conflicts with various spiritual beliefs
8. the poor are always left behind by consumerism

These consumerism advantages and disadvantages are not meant to pass any
judgment on any society personal belief, or individual perspective, but rather and
objective view of the facts. When the primary focus of a society is on material
accumulation, it leads to the creation of job opportunities, but it also results in increased
debt levels. While economic growth and development are positive outcomes, they are
often accompanied by negative cycles of indebtedness. This is why some households
are opting out of consumerism whenever possible believing that their lives are better
without it.

Increasing consumerism may also result in "a shift away from values of
community, spirituality, and integrity, and toward competition, materialism and
disconnection", said UniSIM's Dr Wei, quoting US psychologist Madeline Levine, who
has close to 30 years of experience.
 And according to a study in the peer-reviewed monthly journal Psychological
Science in 2012, Dr Wei said that consumerism may also lead to depression. Prof
Calvert added that people are incurring punitive levels of debt and working longer hours
to pay for their high. consumption lifestyle, which results in they spending less time with
family, friends, and community organizations.

Some believe consumerism as a culture is threatening the very fabric of our

global society. SMU's Dr Seshan said that "perhaps the most serious cost is human
well-being", adding that much research on the psychology of well-being shows that the
most reliable predictor of long-term happiness is building and maintaining many positive
long-term human relationships. "Consumerism often comes in the way of those
relationships.

The Self in the Economics Perspective

Consumerism and economics have a significant impact on how individuals perceive

themselves and their place in society. The self-concept is a critical aspect of consumer
behavior, as individuals tend to purchase products and services that align with their self-
image. Consumerism has both pros and cons, such as stimulating economic growth and
encouraging innovation, while also leading to increased indebtedness and materialism.
Understanding the relationship between consumerism and the self is essential in
making informed choices about purchasing behaviors and personal values. By being
mindful of the role consumerism plays in shaping our sense of self, individuals can work
towards creating a more balanced and fulfilling life that aligns with their core beliefs and
values.

1. The Science of Consumer Behavior

2. Theories and Models of Consumer Behavior
3. I Shop, therefore, I am: I have, therefore I am
4. Self-Concept and Self-Image /Product-Image Congruity
5. Shaping the Way We See Ourselves: The role of consumer culture on our sense of self and
identity
6. How Social Media Influences Us to Buy
7. The Good and the Bad