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CHAPTER 7
Consumer Buying Behavior
TEACHING RESOURCES QUICK REFERENCE GUIDE
Resource Location
Purpose and Perspective IRM, p. 121
Lecture Outline IRM, p. 122
Discussion Starters IRM, p. 130
Class Exercise IRM, p. 132
Semester Project IRM, p. 135
Answers to Developing Your Marketing Plan IRM, p. 136
Answers to Discussion and Review Questions IRM, p. 137
Comments on the Cases IRM, p. 140
Video Case 7.1 IRM, p. 140
Case 7.2 IRM, p. 141
Examination Questions: Essay Cognero
Examination Questions: Multiple-Choice Cognero
Examination Questions: True-False Cognero
PowerPoint Slides Instructor’s website
Note: Additional resources may be found on the accompanying student and instructor websites at
www.cengagebrain.com.

PURPOSE AND PERSPECTIVE


In this chapter, we first examine the major stages of the consumer buying decision process, beginning
with problem recognition, information search, and evaluation of alternatives, and proceeding through
purchase and postpurchase evaluation. We follow this with an examination of how the customer’s level of
involvement affects the type of decision making they use and discuss the types of consumer decision-
making processes. Next, we examine situational influences—surroundings, time, purchase reason, and
buyer’s mood and condition—that affect purchasing decisions. We go on to consider psychological
influences on purchasing decisions: perception, motives, learning, attitudes, personality and self-concept,
and lifestyles. Next, we discuss social influences that affect buying behavior, including roles, family,
reference groups and opinion leaders, social classes, and culture and subcultures. We conclude with a
discussion of consumer misbehavior.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
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122 Chapter 7: Consumer Buying Behavior

LECTURE OUTLINE
I. Consumer Buying Behavior
A. Buying behavior is the decision processes and acts of people involved in buying and using
products.
B. Consumer buying behavior refers to the buying behavior of ultimate consumers—those who
purchase products for personal use and not for business purposes.
C. Understanding buying behavior requires knowledge of the consumption process and
consumers’ perceptions of product utility.
II. Consumer Buying Decision Process
A. The consumer buying decision process is a five-stage purchase decision process which
includes problem recognition, information search, evaluation of alternatives, purchase, and
post-purchase evaluation (see figure 7.1).
1. The actual act of purchase is only one stage in the process and is not the first stage.
2. Not all decision processes, once initiated, lead to an ultimate purchase; the individual
may terminate the process at any stage.
3. Not all consumer buying decisions include all five stages.
B. Problem Recognition
1. This stage occurs when a buyer becomes aware of a difference between a desired state
and an actual condition.
2. Recognition speed can be slow or fast.
3. An individual may never become aware of the problem or need. Marketers may use sales
personnel, advertising, and packaging to trigger recognition of needs or problems.
C. Information Search
1. After the consumer becomes aware of the problem or need, he or she searches for
information about products that will help resolve the problem or satisfy the need.
2. There are two aspects to an information search:
a. In the internal search, buyers first search their memories for information about
products that might solve the problem.
b. In the external search, buyers seek information from outside sources.
(1) An external search occurs if buyers cannot retrieve enough information from their
memories for a decision.
(2) Buyers seek information from friends, relatives, public sources, such as
government reports or publications, or marketer-dominated sources of
information, such as salespeople, advertising, websites, package labeling, and in -
store demonstrations and displays. The Internet has become a major information
source.
3. Repetition, a technique well known to advertisers, increases consumers’ learning.
Repetition eventually may cause wear-out, meaning consumers pay less attention to the
commercial and respond to it less favorably than they did at first.
D. Evaluation of Alternatives
1. A successful information search within a product category yields a consideration set (or
an evoked set), which is a group of brands that the buyer views as possible alternatives.
a. The consumer establishes a set of evaluative criteria, which are objective and
subjective characteristics that are important to him or her.
b. The consumer uses these criteria to rate and rank brands in the consideration set.
2. Marketers can influence consumers’ evaluations by “framing” the alternatives—that is,
by the manner in which they describe the alternatives and attributes.
E. Purchase
1. Purchase selection is based on the outcome of the evaluation stage and other dimensions.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Chapter 7: Consumer Buying Behavior 123

2. Product availability, seller choice, and terms of sale may influence the final product
selection.
3. The buyer may choose to terminate the buying decision process, in which case no
purchase will be made.
F. Postpurchase Evaluation
1. After purchase, the buyer begins to evaluate the product to ascertain if the actual
performance meets expected levels.
2. Evaluation is based on many of the same criteria used when evaluating alternatives.
3. Cognitive dissonance is a buyer’s doubts that arise shortly after a purchase about
whether it was the right decision.
III. Types of Consumer Decision Making and Level of Involvement
A. To acquire and maintain products that satisfy their current and future needs, consumers
engage in different types of problem-solving processes depending on the nature of the
products involved. The amount of effort, both mental and physical, that buyers expend in
solving problems also varies considerably.
B. A major determinant of the type of problem-solving process employed depends on the
customer’s level of involvement, the degree of interest in a product, and the importance the
individual places on that product.
1. High-involvement products tend to be those that are visible to others (e.g., clothing,
furniture, or automobiles) and expensive, as well as issues of high importance, such as
health care.
2. Low-involvement products tend to be less expensive and have less associated social risk,
such as many grocery items.
3. Enduring involvement is a person’s ongoing and long-term interest in a product or
product category.
4. Situational involvement is temporary and dynamic, and results from a particular set of
circumstances, such as the need to buy a new car after being involved in an accident.
5. Consumer involvement may be attached to product categories (e.g., sports), loyalty to a
specific brand, interest in a specific advertisement (e.g., a funny commercial) or a
medium (such as a particular television show), or to certain decisions and behaviors (e.g.,
a love of shopping).
C. Involvement level and other factors affect a person’s selection of one of three types of
consumer decision making (see Table 7.1).
1. Consumers use routinized response behavior when they purchase products with little
search-and-decision effort; it is used for low-priced, frequently-purchased products.
2. Consumers use limited decision making when they purchase products occasionally or
need information about unfamiliar brands in a familiar product category; it requires a
moderate amount of time for information gathering and deliberation.
3. Consumers use extended problem solving to buy unfamiliar, expensive, or infrequently
purchased products, such as cars, homes, and college educations; buyers use many
criteria to evaluate brands and spend time searching for information and deciding on the
purchase.
D. Purchase of a particular product does not always elicit the same type of decision making; the
process may be different the first time consumers purchase a product, when they switch
brands, or when the purchase become routine.
E. Impulse buying, in contrast, is an unplanned buying behavior involving a powerful urge to
immediately buy something.
IV. Situational Influences on the Buying Decision Process
A. Situational influences are factors that result from circumstances, time, and location that
affect the consumer buying decision process.

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124 Chapter 7: Consumer Buying Behavior

B. They can influence a consumer’s actions in any stage of the buying process, and may
shorten, lengthen, or terminate the buying process.
C. Situational factors can be divided into five categories:
1. Physical surroundings include location, store atmosphere, aromas, sounds, lighting,
weather, and other factors in the physical environment in which the decision process
occurs.
2. Social surroundings include characteristics and interactions of others who are present
during a purchase decision or who may be present when the product is used or consumed
(e.g. friends, relatives, or salespeople), as well as conditions during the shopping
environment (e.g. an overcrowded store may cause the buyer to terminate the buying
decision process).
3. The time dimension influences the buying decision process in several ways, such as the
amount of time required to become knowledgeable about a product, to search for it, and
to buy and use it.
a. Time plays a role as the buyer considers the possible frequency of product use, the
length of time required to use the product, and the length of the overall product life.
b. Other time dimensions influence purchases, including time of day, day of the week or
month, seasons, and holidays.
c. The amount of time pressure a consumer is under affects how much time is devoted
to purchase decisions. A customer under severe time constraints is likely either to
make a quick purchase decision or to delay a decision.
4. The reason for the purchase raises the questions of what the product purchase should
accomplish and for whom. For example, people who are buying a gift may buy a different
product from one they would buy for themselves.
5. The buyer’s momentary moods or conditions (e.g., fatigue, illness, having cash) may
have a bearing on the consumer buying decision process. Any of these moods or
conditions can affect a person’s ability and desire to search for information, receive
information, or seek and evaluate alternatives. They can also significantly influence a
consumer’s post-purchase evaluation.
V. Psychological Influences on the Buying Decision Process
A. Psychological influences are those which operate in part to determine people’s general
behavior and thus influence their behavior as consumers. Psychological factors are internal,
but are affected by outside social forces.
B. Perception
1. Perception is the process of selecting, organizing, and interpreting information inputs to
produce meaning.
2. Information inputs are sensations received through sight, taste, hearing, smell, and
touch.
3. Perception is highly complex, leading markets to increasingly take a multi -sensory
approach.
4. Perception is a three-step process:
a. Although we receive numerous pieces of information at once, only a few reach our
awareness through a process called selective exposure. Individuals select which
inputs reach awareness based on their current set of needs.
(1) Selective distortion is changing or twisting currently received information; it
occurs when a person receives information inconsistent with personal feelings or
beliefs.
(2) In selective retention, a person remembers information inputs that support
personal feelings and beliefs and forgets inputs that do not.
b. During perceptual organization, information inputs that reach awareness must be
organized by the brain to produce meaning.
© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
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Chapter 7: Consumer Buying Behavior 125

(1) An individual mentally organizes and integrate new information with what is
already stored in memory.
(2) Closure is an organizational method in which a person mentally fills in
information gaps to make a pattern or statement. Some marketers use incomplete
information in advertisements to take advantage of this process.
c. Interpretation is the assignment of meaning to what has been organized. A person
bases interpretation on what he or she expects or what is familiar.
5. Marketers cannot control buyers’ perceptions, but they try to influence them through
information. This approach is problematic.
a. A consumer’s perceptual process may operate so that a seller’s information never
reaches awareness.
b. A buyer may receive a seller’s information but perceives it differently than intended.
c. A buyer may perceive information inputs to be inconsistent with prior beliefs and
therefore are likely to forget the information quickly (selective retention).
C. Motives
1. A motive is an internal energizing force which directs a person’s behavior toward
satisfying needs or achieving goals.
a. A buyer’s actions are affected by a set of motives, and some are stronger than others.
b. Motives affect the direction and intensity of behavior.
2. Maslow’s hierarchy of needs organizes human needs into five levels (see Figure 7.2).
Humans try to satisfy these needs starting with the most basic. Once needs at one level
are met, humans move on to fulfilling needs at the next level:
a. At the most basic level “physiological needs,” requirements for survival such as food,
water, sex, clothing, and shelter.
b. At the next level are “safety needs,” which include security and freedom from
physical and emotional pain and suffering.
c. Next are “social needs,” the human requirements for love and affection and a sense of
belonging.
d. At the level of “esteem needs,” people require respect and recognition from others as
well as self-esteem, a sense of one’s own worth.
e. At the top of the hierarchy are “self-actualization needs,” which refer to people’s
need to grow and develop and to become all they are capable of becoming.
3. Patronage motives are motives such as price, service, or friendly salespeople, which
influence where a person purchases products on a regular basis.
D. Learning
1. Learning refers to changes in an individual’s thought processes and behaviors caused by
information and experience.
2. The learning process is strongly influenced by the consequences of an individual’s
behavior; behaviors with satisfying results tend to be repeated.
3. Inexperienced buyers may use different, more simplistic, types of information than
experienced shoppers familiar with the product and purchase situation.
4. Marketers help customers learn about their products by helping them gain experience
with them, perhaps through free samples, in-store demonstrations, and test drives.
5. Consumers learn about products indirectly through information from salespeople, friends,
relatives, and advertisements.
E. Attitudes
1. An attitude is an individual’s enduring evaluation of, feelings about, and behavioral
tendencies toward a tangible or intangible object or idea.
2. Attitudes remain generally stable in the short term, but they can change over time.
3. An attitude consists of three major components:
a. cognitive (knowledge and information about an object or idea)
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126 Chapter 7: Consumer Buying Behavior

b. affective (feelings and emotions toward an object or idea)


c. behavioral (actions regarding an object or idea)
4. Consumers’ attitudes toward a firm and its products strongly influence the success or
failure of the organization’s marketing strategy.
5. Marketers should measure consumer attitudes toward prices, package designs, brand
names, advertisements, salespeople, repair services, store locations, features of existing
or proposed products, and social responsibility activities.
6. Seeking to understand attitudes has resulted in two major academic models:
a. The Fishbein Model (the attitude toward the object) can be used to understand a
consumer’s attitude, including beliefs about product attributes, strength of beliefs,
and evaluation of beliefs. These elements combine to form the overall attitude toward
the object.
b. The Theory of Reasoned Action (behavior intentions model) focuses on intentions to
act or purchase. It considers consumer perceptions of what other people believe is the
best choice among a set of alternatives and focuses on attitudes toward buying
behavior.
7. Several methods help marketers gauge and influence consumer attitude:
a. Asking direct questions of consumers. The Internet and social networking sites have
become valuable tools to ask consumers questions and receive feedback.
b. Measuring consumer attitudes on an attitude scale by gauging the intensity of
individuals’ reactions to adjectives, phrases, or sentences about an object.
c. Attempting to change negative attitudes toward an aspect of a marketing mix to make
them more favorable; however, this is generally a long, expensive, and difficult task.
d. Launching an informational campaign to change the cognitive component or a
persuasive (emotional) campaign to influence the affective component.
F. Personality and Self-Concept
1. Personality is a set of internal traits and distinct behavioral tendencies which result in
consistent patterns of behavior.
a. Personality arises from unique hereditary characteristics and personal experiences.
b. Studies of the link between buying behavior and personality have been inconclusive;
although many marketers are convinced there is a link.
c. The VALS program is a consumer framework based on individual personality
characteristics (see Lifestyles below).
d. Advertisements may be aimed at certain personality types, usually focusing on
positively valued personality characteristics.
2. Self-concept, or self-image, is a perception or view of oneself.
a. Buyers purchase products that reflect and enhance self-concept.
b. A person’s self-concept may influence whether he or she buys a product in a specific
product category and may have an impact on brand selection.
G. Lifestyles
1. A lifestyle is an individual’s pattern of living expressed through activities, interests, and
opinions.
2. Lifestyle patterns include the way people spend time, extent of interaction with others,
and general outlook on life and living.
3. People partially determine their own lifestyle, but lifestyles are influenced by other
factors such as personality and demographics.
4. Lifestyles strongly impact the consumer buying decision process, including product
needs.
5. One of the most popular frameworks for understanding consumer lifestyles and their
influences on purchasing behavior is a product called PRIZM. It divides consumers in the

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Chapter 7: Consumer Buying Behavior 127

United States into 66 distinct groups based on numerous variables such as education,
income, technology use, employment, and social groups.
VI. Social Influences on the Buying Decision Process
A. Social influences are the forces other people exert on one’s buying behavior (see Figure 7.1).
B. Roles
1. Every person occupies a position within groups, organizations, and institutions.
2. A role is a set of actions and activities an individual in a particular position is supposed
to perform based on the expectations of both the individual and surrounding persons.
3. Each individual has many roles and each role affects both general behavior and buying
behavior.
C. Family Influences
1. An individual’s family roles directly influence their buying behavior.
2. Consumer socialization is the process through which a person acquires the knowledge
and skills to function as a consumer.
3. The extent to which different family members take part in family decision making varies
between families and product categories. Traditional family decision making processes
are divided into four categories: autonomic, husband dominant, wife dominant, and
syncratic (see Table 7.2).
4. The family life cycle stage affects individual and joint needs of family members.
5. Within a household, an individual may perform one or more buying-decision roles.
a. The gatekeeper is the household member who collects and controls information—
price and quality comparisons, locations of sellers, and assessment of which brand
best suits the family’s needs.
b. The influencer is a family member who expresses his or her opinions and tries to
influence buying decisions.
c. The decider is a member who makes the buying choice.
d. The buyer is a member who actually makes the purchase.
e. The user is any household member who consumes or uses the product.
D. Reference Groups
1. A reference group is any group—large or small—that positively or negatively affects a
person’s values, attitudes, or behaviors.
2. There are three major types of reference groups: membership, aspirational, and
dissociative.
a. A membership reference group is one to which an individual actually belongs; the
individual identifies with group members strongly enough to take on the values,
attitudes, and behaviors of people in that group.
b. An aspirational reference group is a group to which a person aspires to belong; the
individual desires to be like those group members.
c. A dissociative or negative reference group is a group that a person does not wish to
be associated with; the individual does not want to take on the values, attitudes, and
behavior of group members.
3. A reference group is an individual’s point of comparison and a source of information.
4. How much a reference group influences a purchasing decision depends on the
individual’s susceptibility to reference group influence and strength of involvement with
the group.
5. Reference group influence may affect the product decision, the brand decision, or both.
6. A marketer sometimes uses reference group influence in advertisements to promote
product purchases and high product satisfaction within a specific group.
E. Opinion Leaders
1. An opinion leader is a reference group member with knowledge or expertise who
provides information about a specific sphere that interests reference group participants.
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128 Chapter 7: Consumer Buying Behavior

2. An opinion leader is likely to be most influential when consumers have high product
involvement but low product knowledge, when they share the opinion leader’s values and
attitudes, and when the product details are numerous or complicated (see Table 7.3).
F. Social Classes
1. A social class is an open aggregate of people with similar social rank.
2. Criteria used to group people into classes vary from one society to another.
3. In the United States, we group according to many factors, including occupation,
education, income, wealth, race, ethnic group, and possessions; analyses of social class in
the United States divide people into three to seven class categories (see Table 7.4).
4. Individuals within social classes develop some common patterns of behavior, attitudes,
values, language patterns, and possessions.
5. Because social class influences so many aspects of a person’s life, it also affects buying
decisions; spending, saving, and credit practices; type, quality, and quantity of products;
and shopping patterns and stores patronized.
G. Culture and Subcultures
1. Culture is the accumulation of values, knowledge, beliefs, customs, objects, and
concepts that a society uses to cope with its environment and passes on to future
generations.
2. Culture includes:
a. Tangible items such as food, clothing, furniture, buildings, and tools
b. Intangible concepts such as education, welfare, and laws
c. The values and a broad range of behaviors accepted by a specific society
3. Because cultural influences affect the ways people buy and use products, culture affects
the development, promotion, distribution, and pricing of products.
4. International marketers must take into account global cultural differences.
a. People in other regions of the world have different attitudes, values, and needs.
b. International marketers must adapt to different methods of doing business and must
develop different types of marketing mixes.
5. A Subculture is a group of individuals whose characteristics, values, and behavioral
patterns are similar within the group and different from those of people in the
surrounding culture.
a. Subcultural boundaries are usually based on geographic designations and
demographic factors.
b. Marketers recognize that the growth in the number of U.S. subcultures has resulted in
considerable variation in consumer buying behavior.
(1) African American Subculture
(a) Represents 13.7 percent of the U.S. population.
(b) Spends more money on depreciable products like phone services, children’s
clothing, and shoes.
(c) Many companies have renewed their advertising focus on African Americans.
(2) Hispanic Subculture
(a) Is the largest ethnic group, with 16.7 percent of the U.S. population, and is
growing rapidly.
(b) This subculture is composed of many diverse cultures from across Latin
America.
(c) Many companies have Spanish-language advertising and promotions
featuring Hispanic and Latino celebrities.
(3) Asian American Subculture
(a) Represents 5.7 percent of the U.S. population and is comprised of 15 different
ethnic groups.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
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Chapter 7: Consumer Buying Behavior 129

(b) Individual language, religion, and value system of each group influences
purchasing decisions, although some traits are common among all the ethnic
groups.
(c) Some cross-culture traits include an emphasis on hard work, strong family
ties, and high value placed on education.
VII. Consumer Misbehavior
A. Consumer misbehavior is behavior that violates generally accepted norms of a particular
society.
B. Definitions of misbehavior can vary between cultures.
C. Shoplifting, consumer fraud, abusive consumers, and pirating/illegally copying products are
all examples of consumer misbehavior.
D. Understanding the psychological and social reasons for misconduct can help in preventing
and responding to problems (see Table 7.5).

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
130 Chapter 7: Consumer Buying Behavior

DISCUSSION STARTERS
Discussion Starter 1: Consumer Buying Behavior and Social Classes
To do this exercise which links consumer behavior tastes with various social strata, click on the hyperlink
below to access a PBS game on consumer and class tastes.
http://www.pbs.org/peoplelikeus/games/chintz.html
Students can work individually or in teams. As explained on the website, the game has students make a
series of choices to decorate a living room. Upon completion of the game, it tells students what their
choices mean about their social class inclinations based on prior research of consumer behavior. Students
generally have fun with this exercise because they have leeway to decorate the room however they want.
If students play this in groups they may find that the group decision making process leads them to make
different choices than they otherwise would have.

Discussion Starter 2: Level Of Consumer Involvement


Recommended as a group activity
In this chapter we have examined how the level of involvement in a purchase often determines the type of
behavior exhibited by consumers. In this exercise you are asked to examine how consumer behavior
changes as the level of consumer involvement changes.
You will be given a series of scenarios. After each one, write how your group would respond to the
purchase situation.
At work you are informed there is a “Secret Buddy” gift buying program for the holiday party. Each
person’s name is entered into a hat and each person will draw one name. You choose the name of a
person who works in another department that you do not know.
What type of gift do you purchase? How much do you spend? How much time do you take choosing this
gift?
In the mail you receive an invitation to a favorite cousin’s surprise birthday party. You will not be able to
attend, so you decide to send a gift.
What type of gift would you send? How much do you spend? How much time do you take choosing this
gift?
You are recently engaged and have received an invitation to your future spouse’s mother’s birthday
party. This will be the first family party you attended.
What type of gift do you bring? How much do you spend? How much time did you take choosing this
gift?

Discussion Starter 3: How Many Times Can a Company Violate a Customer’s Trust?
ASK: Can automakers regain the public’s trust after their speed out of control or have faulty ignition
switches that prevent airbags from inflating?
Toyota is trying to revive its quality reputation after widespread problems related to stuck accelerator
pedals. Because the company was slow to issue recalls, it had to pay hefty fines. Although a report by the
National Highway Transportation Safety Administration attributed driver error as the cause of many
Toyota collisions, the company still made quality mistakes that resulted in recalls. Will buyers trust
Toyota again?

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license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Chapter 7: Consumer Buying Behavior 131

General Motors issued over 40 recalls in 2014 due to faulty ignition switches which could shut off the
engine during driving and thereby prevent the airbags from inflating. These recalls involved nearly 28
million cars worldwide and over 24.6 million in the United States. The fault had been known to GM for at
least a decade prior to the recall being declared. A statement by the GM CEO fell on deaf ears, especially
when two more recalls occurred since. It will take a much more coordinated—and expensive—campaign
to regain the American consumer's trust. GM must address consumers directly. This will be a long-term
process which will involve total honesty about the current situation of the recalls, a commitment to fix the
problems and finally, the results of GM's efforts and how it is a better company. GM should consider a
more integrated approach, utilizing mobile and digital channels as well.

Discussion Starter 4: Digital Privacy Concerns—Your Choice?


ASK: Should consumers have to take the initiative to opt out of online tracking, or should they be
excluded unless they opt in?
Since the dawn of the Internet age, marketers have studied online behavior to better understand what
consumers do and why. The goal is to deliver relevant online marketing messages when and where a
consumer is likely to be interested.
Privacy advocates worry that consumers don’t know how much data marketers actually collect online.
Few people dig deeply into privacy policies or learn about the tracking techniques being used to follow
their activities online. That’s why critics say consumers should be tracked only if they consent by opting
in. Legal and regulatory action may result in a “Do Not Track” list similar to the “Do Not Call” list that
currently prevents consumers from receiving unwanted telemarketing calls.
Marketers point out that tracking adds convenience, allowing them to personalize pages and offers
according to consumers’ preferences. Still the online advertising industry has set up a program to more
prominently disclose tracking and make it easier to opt out. In addition, most Internet browsers can be
configured to detect tracking and let consumers opt out. Finally, by offering special privileges or other
incentives, marketers have found many consumers very willing to provide personal data and allow
tracking.

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132 Chapter 7: Consumer Buying Behavior

CLASS EXERCISES
Class Exercise 1: Social Influences on Consumption
The objective of this class exercise is to help students understand how social influences affect their
consumption behaviors.
Prompt for Students:
Imagine that you are going out tonight. Which of the following social influences will determine what you
wear, where you go, what you do, and what you will buy or consume?
1. Your role as a student, family member, employee, church member, or fraternity or sorority
member.
2. Identification with a positive reference group. Disassociation from a negative reference group.
3. Membership within a particular social class. Aspirations to be in a different social class.
4. Cultural values that accept or reject certain types of behavior. Gender roles: expectations of how
men and women should act.
5. Membership in a subculture based on geography, age, or ethnic background.
6. Knowing how these factors affect your consumption behavior, how can marketers adjust their
marketing mixes to meet your needs?
Answers:
1. As fraternity or sorority members, students may be influenced to stay out late for social reasons,
which may conflict with their roles as students, employees, and church members. The demands of
a person’s many roles may be inconsistent and confusing. Some married students may describe
joint decision-making situations and the influence of children. Other likely responses will relate
to clothing, restaurant choice, and food or beverage consumption.
2. You may also want to ask, “When ordering at a restaurant, do you find that people often order
the same thing?” After one person (opinion leader) has decided to order something, others may
order the same thing (“I’ll take what he/she ordered”). Reference groups clearly affect the choice
of clothing and patronage at retail outlets. Some students may indicate that there are places they
will not go because of the presence of negative reference groups.
3. The cars that students drive may reflect either their present social status or their desired social
status. Social class may also affect what beer, wine, or other beverages students drink. You may
also want to ask, “How does social class affect where you shop?”
4. Ask students the following: “Have any of you been in other cultures where you saw people doing
things that would never be accepted in the United States?” If you have international students in
class, ask them what they find peculiar about American culture. Discussion may be geared toward
views of time and women.
5. Students may be able to identify certain types of food (catfish in the South), clothing (surf wear in
the West), vehicles (pickups in the Midwest and Southwest), or accessories (Gucci handbags in
the East) that are associated with subcultures.
6. Some possible examples include the following:
• Promotion: Show upper-class individuals in luxury car ads.
• Product: Design products (cars) that meet joint needs of family.
• Price: Offer price discounts to students with limited income.
• Distribution: Allocate more pickups to Midwest and Southwest.
© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
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Chapter 7: Consumer Buying Behavior 133

Class Exercise 2: The Stages of the Consumer Buying Decision Process


For this exercise, each of the stages of the consumer buying decision process should be thoroughly
discussed and made available to the students before they answer these questions.
Prompt for Students:
In which stage of the consumer buying decision process is each of the following people?
1. A recent college graduate reads Consumer Reports to compare automobile ratings.
2. On the first day of class, a student finds out that a programmable calculator is needed for the
course, but she doesn’t own one.
3. After purchasing an evening gown, a woman decides that it is not quite appropriate for her special
occasion.
4. A car buyer gets a loan to purchase a new car.
5. A teenager compares numerous MP3 players and narrows the choice down to two players.
6. While on the way to work, a person’s automobile stalls and will not start again.
7. At an open-house party, a guest realizes that the host already owns the gift he plans to give.
8. A person receives a sample package of laundry detergent in the mail and uses it to wash a load of
clothes.
Answers:
There are many possible answers for each question. For example, in Question 1, the recent college
graduate reading Consumer Reports to compare automobile ratings could be in any of four stages:
• Problem Recognition: The consumer suddenly sees his or her present car as inferior compared to
the ratings of other cars in the magazine.
• Information Search: The consumer has decided to buy a new car and is seeking all possible
information to make an intelligent choice.
• Evaluation of Alternatives: The consumer has narrowed choices to a few car brands and is
comparing them by using the ratings in the magazine.
• Postpurchase Evaluation: The consumer has just purchased a new car and is comparing its ratings
to those of some other cars.

Class Exercise 3: Level of Involvement and Situational Influences


You have decided to buy a Coach bag for somebody special. Coach is a luxury leather goods company
that specializes in handbags, wallets, briefcases, and luggage. You want this present to be special but
cannot purchase anything more than $600. The person you are buying for has very specific tastes in
accessories.
1. What level of involvement would be appropriate for this shopping experience?
2. What influences will be important in determining which handbag you will buy? There can be
more than one answer.
3. What motive would a consumer have to purchase a Coach bag in particular, using Maslow’s
hierarchy?
Answers:

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134 Chapter 7: Consumer Buying Behavior

1. Extended—a consumer decision-making process employed when purchasing unfamiliar,


expensive, or infrequently bought products
2. Psychological—perceptions and attitudes toward this brand are very important to whether it
succeeds, as well as personality and self-concept. Social influences could also be important as the
Coach brand is seen to be higher status.
3. Most likely the motive would be for social or esteem purposes since a Coach bag is thought to
convey higher status and portrays a certain image about the person.

Class Exercise 4: Psychological Influences


Apple is famous for its cult-like following. Apple products are admired for their sleek design and
longevity (they tend to last longer than PCs). Look at the different situations below. Determine whether
the psychological influence involves learning, self-concept, or attitude.
1. Although Martha grew up with PCs, she used Apple computers in the college computer lab and
gained an appreciation for the brand’s high quality. She now wants a Mac of her own.
2. Fred has strong feels about Apple products, viewing the brand as high-quality. Even negative
criticism from his friends about Apple’s newest product does not dissuade him.
3. Jenny cares more about what the Apple product says about her than in how it functions.
Answers:
1. Learning—changes in an individual’s thought processes and behavior caused by information and
experience.
2. Attitude—an individual’s enduring evaluation of feelings about and behavioral tendencies toward
an object or idea.
3. Self-concept—a perception or view of oneself.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Chapter 7: Consumer Buying Behavior 135

Semester Project
Increasingly, organizations seek to attract and hold onto top talent by offering a variety of unique benefits
designed to appeal to employees. These benefits go beyond the traditional health care, retirement, and
vacation plans to include such benefits as concierge services, provisions to bring your dog to work, vegan
or vegetarian entrees in the cafeteria, etc.
For many employees, these benefits are crucial to their lifestyle and therefore crucial to their work
environment. In this exercise, you are to consider the types of benefits you want an organization to
provide. Conduct some research on which types of organizations provide these types of benefits.
Step 1: Research some of the alternative benefits being offered by organizations.
Step 2: Explore what types of industries and organizations provide these benefits.
Step 3: Determine if these industries or organizations offer positions in your chosen career field.
Step 4: Identify a list of the types of benefits you would like to have at your workplace.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
136 Chapter 7: Consumer Buying Behavior

ANSWERS TO DEVELOPING YOUR MARKETING PLAN


The information obtained from these questions should assist students in developing various aspects of
your marketing plan found in the Interactive Marketing Plan exercise at www.cengagebrain.com.

1. See Table 7.1. What type of decision making are your customers likely to use when purchasing
your product?
It is essential for marketers to be able to identify and anticipate consumer decision making
responses, as this may affect how a product is marketed. The type of response engendered will
depend on the type of product offered. If a student’s product is low in cost, customers may have a
routinized response. However, if the product is high in cost and very specialized, their response may
be extended.
2. Determine the evaluative criteria that your target market(s) would use when choosing between
alternative brands.
There are many different criteria that customers may consider when looking to purchase a product.
The criteria will vary depending on the type of product. Some possible criteria are price, features,
customer service, color, styling, or packaging.
3. Using Table 7.2, what types of family decision making, if any, would your target market(s)
use?
The different types are: husband dominant, wife dominant, autonomic, and syncratic. These are
general types, and individuals may vary considerably from one household to the next.
4. Identify the reference groups or subcultures that may influence your target market’s product
selection.
There are many different possible answers to this question and responses will vary widely
depending on students’ products.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Chapter 7: Consumer Buying Behavior 137

ANSWERS TO DISCUSSION AND REVIEW QUESTIONS


1. What are the major stages in the consumer buying decision process? Are all of these stages
used in all consumer purchase decisions? Why or why not?
The major stages in the consumer buying-decision process are problem recognition, information
search, evaluation of alternatives, purchase, and post-purchase evaluation.
Not all consumer decisions include all five stages. The individual may terminate the process at any
stage, and not all decisions lead to a purchase. Sometimes individuals engaged in routine behavior
eliminate some stages, while those engaged in extended problem solving usually transition through
all five stages.
2. How does a consumer’s level of involvement affect his or her choice of decision-solving
process?
In a particular situation, a consumer’s level of involvement determines the importance and interest
intensity in a product. A buyer’s level of involvement determines why he or she is motivated to seek
information about certain products and brands but virtually ignores others. The extensiveness of the
buying-decision process varies greatly with the consumer’s level of involvement. Routinized
response behavior is likely to be used for low-involvement products. Limited- or extended-decision
making is required for high-involvement products.
3. Name the types of consumer decision-making processes. List some products you have bought
using each type. Have you ever bought a product on impulse? If so, describe the
circumstances.
The types of consumer decision-making processes include routinized response behavior, limited
decision making, and extended decision making.
Routinized response behavior occurs when people buy frequently purchased, low-cost items which
require little search-and-decision effort. Examples of routinely purchased products include milk,
bread, packaged food products, and laundry services.
Limited decision making occurs when consumers occasionally buy products and when they need to
obtain information about an unfamiliar brand in a familiar product category. This type of decision
making requires a moderate amount of time for information gathering and deliberation. Purchase
decisions might include a new pest control company, a mechanic to install a muffler, or a new
“healthy” cereal.
Extended decision making is used when a purchase involves unfamiliar, expensive, or infrequently
purchased products, such as cars, homes, or stereo systems.
Most students probably will indicate they have purchased a product on impulse. Typical impulse
products include candy, a compact disc, or a pair of jeans.
2. What are the categories of situational factors that influence consumer buying behavior?
Explain how each of these factors influences buyers’ decisions.
Situational factors can be classified into categories: physical surroundings, social surroundings, time
perspective, purchase reason, and the buyer’s momentary mood and condition. Physical
surroundings, such as location, store atmosphere, aromas, sounds, and lighting, can influence
purchase behavior by creating settings more or less conducive to buying. Social surroundings
influence buying behavior when a customer feels pressured to behave in a particular way, depending
on who is in proximity of the buyer. The amount of time required to become knowledgeable about a
product, to search for it, and to buy it, influence the buying decision process. The time of day, week,
or year, such as seasons or holidays, also affect the buying-decision process. The purchase reason

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
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138 Chapter 7: Consumer Buying Behavior

raises the questions about what the product purchase should accomplish and for whom. The buyer’s
momentary moods can affect a person’s ability and desire to search for information, to receive
information, and to seek and evaluate alternatives.
3. What is selective exposure? Why do people engage in it?
Selective exposure is the process of receiving information, then internally screening information
with only partial awareness of the total experience. People select some inputs and ignore many
others because they cannot be conscious of all inputs at one time. An input is more likely to reach
awareness if it relates to an antecedent event or to an unmet need. People are more likely to notice a
TV advertisement for McDonald’s when hungry and wondering about where to eat lunch.
4. How do marketers attempt to shape consumers’ learning?
Marketers attempt to influence consumers’ learning by exposing them to product experiences
through free samples. Indirect experiences of products through product information from
salespeople and advertisements are other avenues by which marketers attempt to influence
purchases through the learning process.
5. Why are marketers concerned about consumer attitudes?
Consumer attitudes toward an organization and its products strongly influence the success or failure
of the marketing program. Negative attitudes among consumers may result in loss of sales, whereas
strong, positive attitudes may increase sales. Because attitudes play such an important role in
determining consumer behavior, marketers seek to measure consumer attitudes toward prices,
packaging, branding, advertising, salespeople, services, images, and new-product features. If a
significant number of consumers hold negative attitudes toward a firm or its products, the marketing
program should be changed to positively impact consumer attitudes.
6. In what ways do lifestyles affect the consumer buying decision process?
A lifestyle is an individual’s pattern of living expressed through activities, interests, and opinions.
Lifestyles have a strong impact on many aspects of the consumer-buying process from problem
recognition to post-purchase evaluation. Lifestyles influence product needs, brand preferences, types
of media used, and how and where people shop.
7. How do roles affect buying behavior? Provide examples.
A role consists of a set of actions and activities expected of a person holding a certain position
within a group, organization, or institution. All individuals assume several roles depending on the
number of positions they occupy. Roles may affect whether, what, where, when, or why a person
buys. The roles of other persons also influence purchasing behavior. Marketers want to know who
does the actual buying as well as who influences the purchase decisions. Consider the types of
clothes you buy and wear to work, school, church, or the gym. You and the people at each of these
destinations know the types of appropriate clothing for each place.
8. What are family influences, and how do they affect buying behavior?
Family influences have a very direct impact on the consumer buying decision process. Parents teach
children how to cope with a variety of problems, including purchasing decisions. Children often
gain consumer socialization, the process through which a person acquires the knowledge and skills
needed to function as a consumer, from their parents. Through observation of family buying
practices and choice of brand names, children are influenced to use some of these techniques or
products when they establish their own families. The extent to which family members participate in
the buying process also affects who will be allowed input later in a person’s life when consumer
buying decisions are made.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Chapter 7: Consumer Buying Behavior 139

9. What are reference groups? How do they influence buying behavior? Name some of your own
reference groups.
A reference group is a group of people with which an individual strongly identifies with, taking on
many of the values, attitudes, or behaviors of group members. The reference group can be large or
small. Individuals usually identify with several reference groups. The effect of reference groups on
purchasing behavior is dependent upon the type of product, an individual’s susceptibility to group
influence, and the extent of an individual’s group involvement.
102. How does an opinion leader influence the buying decision process of reference group
members?
An opinion leader is viewed as being well informed about a sphere of interest and is willing and
able to share information with followers. An opinion leader is trusted by followers because they
share similar values and attitudes.
113. In what ways does social class affect a person’s purchase decisions?
Individuals within social classes often exhibit common consumer behavior patterns; they share
similar attitudes, values, and possessions. Social class influences a person’s attitudes, perceptions,
motives, personality, and learning processes, all of which affect purchasing decisions. Marketers
need to understand how consumer behavior is impacted by social class.
14. What is culture? How does it affect a person’s buying behavior?
Culture is everything in our surroundings made by human beings, including tangible and intangible
items. Culture influences what we wear and eat, where we live, and how we live. It affects the ways
we buy and use products and influences the satisfaction we receive from products. Culture affects
the entire marketing mix because it determines the ways products are purchased and used.
15. Describe the subcultures to which you belong. Identify buying behavior unique to one of your
subcultures.
This question lets students probe the unique subcultures to which they belong. Students should be
encouraged to relate the particular features of their subcultures to their purchasing behavior.
16. What is consumer misbehavior? Describe the various forms of consumer misbehavior.
Consumer misbehavior is behavior that violates generally accepted norms of a particular society.
Shoplifting, consumer fraud, abusive consumers, and pirating/illegally copying products are all
examples of consumer misbehavior, and students should describe each in detail.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
140 Chapter 7: Consumer Buying Behavior

COMMENTS ON THE CASES


VIDEO CASE 7.1: STARBUCKS REFINES THE CUSTOMER
EXPERIENCE
Summary
Starbucks is popular in the United States thanks to its focus on the customer experience. While the
company continues to improve its American stores through innovations such as mobile pay, Starbucks is
also expanding globally, especially in Asian markets. It is also diversifying; Starbucks recently purchased
premium-juice company Evolution Fresh and is adding the company’s nutritious blended drinks to the
traditional Starbucks menu. Starbucks plans to open more Evolution Fresh stores as the demand for
healthy foods increases. The company is also competing with energy drink companies after releasing its
all-natural Starbucks Refreshers. Starbucks is also promoting its focus on social responsibility.
Questions for Discussion
1. In terms of situational influences and level of involvement, what are the benefits of mobile pay?
Starbucks is working to keep customers involved by creating routinized response behavior. Mobile
pay reduces search-and-decision effort, and the ease of payment and accumulation of Starbucks
rewards makes it easy for their customers to prefer Starbucks as a brand. Starbucks is also taking
advantage of customers’ momentary conditions to make sure they have an easy and fast way to pay.
2. With Evolution Fresh, which psychological influences on consumer buying decisions does
Starbucks seem to be addressing?
Motives, attitudes, personalities, and lifestyles are all important to Starbucks. With Evolution Fresh,
Starbucks is primarily addressing consumers’ attitudes, especially perceptions and interpretations of
the company. By providing products such as smoothies, juices, salads, and wraps, Starbucks is
creating the impression that it cares about consumers’ health and is working to fit into their healthy
lifestyles.
3. Why would Starbucks want customers to know that it believes in social responsibility?
Once again, Starbucks wants to improve consumers’ perceptions and interpretations of the company
and its actions. If consumers believe the company values ethical and socially responsible behavior,
they will be more involved with the brand and more willing to purchase the company’s products.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Chapter 7: Consumer Buying Behavior 141

CASE 7.2: DISNEY MARKETS TO THE YOUNG AND THE YOUNG


AT HEART
Summary
This case evaluates the Walt Disney Company’s ability to successfully market to customers of all
ages by focusing on consumer buying behavior. For example, Disney recognizes that for children to
be able use their Club Penguin website, parents must also approve of the site’s security and financial
safety. In order to market Club Penguin towards parents, Disney has created safeguards so that no
inappropriate language can be used in chat rooms and no surprise fees will be added to the monthly
bill. Disney has also created a new princess, Sofia the First, who is an ordinary preteen girl turned
princess. This new princess was created to appeal to preschoolers and kindergarteners. By
understanding the needs of their consumers, Disney is able to constantly satisfy people of all ages.
Questions for Discussion
1. Which psychological influences on the buying decision process does Disney address with its
marketing efforts?
According to the case, motives are one psychological influence Disney addresses through
marketing. For example, with Club Penguin, Disney’s marketing addresses children’s social
needs (playing together in team games), safety needs (staying safe online), and self -actualization
needs (educational benefits)—all concerns that a parent may have about children playing games
online. Lifestyles, another psychological influence, are addressed by such offerings as the
MagicBand being tested at Disney theme parks. Lifestyle patterns include the ways people
choose to spend their time. With the MagicBand, families can spend more time on rides and less
time on lines or waiting to pay for food. Personality and self-concept are psychological
influences Disney addresses through marketing elements like encouraging girls to identify with
Disney princesses and feel empowered as well as special. Students should be able to identify
other psychological influences involved in Disney’s marketing efforts, as well.
2. Which social influences on the buying decision process do Disney marketing activities take
into account?
One social influence that Disney takes into account is the family. Its Club Penguin marketing
addresses the needs and concerns of parents as well as of children, because children may ask to
play online but parents ultimately make the decision about paying for membership. Another
social influence is subculture—specifically, that of preteen boys who often share an interest in
graphic novels. A third social influence is reference groups. Young girls may aspire to act or
dress older, and they may see princesses or heroines in Disney movies as an aspirational
reference group. Students may suggest other ways that Disney addresses social influences on
buying.
3. Which situational influences on the buying decision process are particularly important to
Disney’s marketing efforts?
Physical surroundings, social surroundings, and time perspective are three key situational
influences for Disney. Addressing physical surroundings, Disney makes its theme parks as
attractive and clean as possible, and it also offers the FastPass to help customers reserve a place
on popular rides without having to return to check the length of the line. FastPass reservations
also address customers’ concerns about the situational influence of overcrowding. The company
is testing the MagicBand as one way to reduce the time needed to complete a purchase in a
souvenir store or restaurant, giving customers more time to enjoy the theme park. The
MagicBand also addresses social surroundings by allowing employees to personalize the park

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
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142 Chapter 7: Consumer Buying Behavior

experience and greet customers by name. Students are likely to have more ideas about Disney’s
use of marketing to address situational influences on buying.

© 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
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