CONSUMER BEHAVIOUR

UNIT -1
 CONSUMER BEHAVIOUR

INTRODUCTION:
Marketing concept starts with the consumer needs and ends in
consumer behavior in meeting these needs. Every action of a
person is based on needs. The real problem is to learn what a
customer takes into consideration when he chooses a particular
brand. Such a study is concerned with consumer behavior.
Consumer behavior may be defined as the decision process and
physical activity individuals engage in when evaluating ,acquiring,
using or disposing of goods and services.
 MEANING OF CONSUMER BEHAVIOUR

Consumer behavior focuses on how individuals make

decisions to spend their available resources (Time, Money,
Effort) on consumption related items. That includes what
they buy, why they buy, where they buy, how often they
buy it, how often they use it, how they evaluate it after the
purchase, the impact of such evaluations on future
purchases and how they dispose of it.
 DEFINITION:

Consumer behavior is the process and activities people engage in

when searching for selecting, purchasing, using, evaluating and
disposing of products and services so as to satisfy their needs and
desires.

BELCH AND BELCH

 CONTI…..

CONSUMER: consumer refers to those individuals who

purchase the product for the purpose of own consumption.
Eg: punith buys a new bike for him.
CUSTOMER: customer refers to one who buys a product
but that person or individual might not be the user of
product.
Eg: punitha buys shawls for her mother
 DIFFERENCE B/W CUSTOMER AND CONSUMER
CUSTOMER
They are buyers
Resell by customer is done
Price of product or service paid by customer
Purpose of purchase goods
Customer are individual or organization
A business entity who can purchase it for the
purpose of resale
CONSUMER
Consumers are final consuming goods
Can not be resell by consumer
May not be paid by consumer
Purpose of consumption
Consumer are persons , individuals, group of people,
family
Purchase of goods not necessary
 INDIAN CONSUMER

India is a plurastic society , speak one or more of 15 official

languages, follow several religious, personal beliefs , and live
together under varying states of human development.
in olden days the marketers give preference for satisfying the
basic needs of consumer rather than purchasing power. Around
three fourth of India's population lives in rural areas and give
preference for customs and tradition.
The high rate of industrialization, growth of service sector and
better employment opportunities have increased consumers
disposable income, developed new lifestyles and awareness and a
drastic change can be seen in their buying behavior.
NATURE AND CHARACTERISTICS
CB

 Young Demographic
 Aspirational consumers
 Value Consciousness
 Networked consumers
 Socially Conscious
 Brand switchers
 Thinking beyond categories
 Religious diversity
 Diversity in dress and food habits
 Working women
 Rising purchasing power
 CONSUMER MOVEMENT IN INDIA

The consumer is the center of all business activities. Consumer is the

important of the market, business activates are carried out to satisfy the
wants of consumers. A commercial organization totally depends on the
customer not only for its survival but also for its growth.

But in reality the position of the consumer is different

he highly suffer by well organized and well informed sellers by charging
higher price
Supplying poor quality goods
Low weight
Misleading adds etc
So customer are still unknown and have no idea about their basic rights of
safety, right to choose, right to be heard so there was no legal system
available to consumer , to protect them from exploitation in the market
place.
Consumer problems can be resolved by a consumer movement in India or
“consumerism”
The main objective of this movement is to educate and unite consumer and
to fight for the protection of their rights
It is collective approach to solve the malpractice and injustice done by any
organization
This movement started in the year 1920 to protect the interest of the
consumer
 RIGHTS OF CONSUMER

Right to safety
Right to be informed
Right to choose
Right to be heard
Right to seek redressal
Right to consumer education
Right to healthy envt
Right to basic needs
RESPONSIBILITIES OF CONSUMER

Responsibility of self-help
Proof of transaction
Proper claim
Proper use of product/services
 CONSUMER PERCEPTION

Human beings are constantly attacked by numerous sensory simulations including

noise, sight, smell, taste etc..The critical question in the study of perception is why
the same universe is viewed differently by different persons? The answer is
perception. Different people perceive the universe differently.

“Perception may be defined as a process by which individuals organize and interpret

their sensory impressions in order to give meaning to their environment”.

S P ROBBINS
 FACTORS OF CONSUMER PERCEPTION

INTERNAL FACTORS EXTERNAL FACTORS

 Needs and Motives  Size

 Self-concept  Strength
 Beliefs  Frequency
 Past-Experience  Status
 Current  varience
psychological state
 Expectations
 CONSUMER LEARNING

Consumer may be described as “the process of acquiring the

ability to respond adequately to a situation which may or
may not have been previously encountered, the favourable
modification of response tendencies consequent upon
various experience.

“Learning is a relatively permanent change in behaviour that

occurs as a result of prior experience”.

E R HILGARD
ELEMENTS OF CONSUMER LEARNING

Motivation
Performance

Response

Reinforcement
 CONSUMER ATTITUDE FORMATION

For the marketer, the important issue that

an understanding of how attitudes are
formed ensures that better tactics are
employed to create or affect consumers
attitude toward new offering or novel
ideas.
 CHANGES IN ATTITUDE

Consumers change their environment depending on

how they see the world around them. Then people
may see a product in the same shop but react
differently to it, because their perceptions differ
according to their own needs, values, expectations,
resources, culture and social biases or norms habits
and peer group influences.
 STRATEGIES FOR ATTITUDE
CHANGE

Changing the Basic motivational function

Associating the product with a special
group, event or cause
Resolving two conflicting attitudes
Changing beliefs about competitors
brands
THANK YOU..