Group2 Reporting Bshm2a

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CONSUMER

BEHAVIOUR
LEARNING OBJECTIVES:

• Recognise the importance of understanding consumer


behaviour.
• Recognise the various stages of the consumer decision process
describe the level of involvement and types of consumers
problem-solving processes.
• Explore how situational influences may affect consumer
behaviour.
• Explore how psychological influences may affect consumer
behaviour.
• Explore how social influences may affect consumer behaviour.
GROUP
2

JOMAR CANTIGA

JENA MAE CELESTE MICHELLE BASANEZ MARC GERALD BUO JENNELYN M. CASING
CONSUMER BEHAVIOUR

Refers to the decision processes, purchasing and consuming acts of end-user


consumers and those consumers who purchase products for personal or
household consumption.

The Importance of understanding of Consumer Behaviour

A company’s ability to establish and maintain satisfying customer relationship


requires an understanding of consumer behaviour .

PRINCIPLES OF MARKETING. CHAPTER 4. PP 121


CONSUMER BUYING DECISIONS PROCESS

Problem Information Evaluation of Postpurchase


Purchase
Recognination search alternatives evaluation

PRINCIPLES OF MARKETING. CHAPTER 4. PP 123


Problem Recognition – occurs when a buyer becomes aware of a difference between a
desired state and an actual condition.

Information Search- a buyer searches for product information that will help resolve the
problem or satisfy the need.

Evaluation of alternatives – a known group of brands that a buyer views as possible


alternatives is referred to as an “evoked set”.

Purchase – the consumer choose the product to be bought. Selection is best on the
outcome of the evaluation stage and on other dimension.

Post purchase evaluation – after the purchase, the buyer begins evaluating the product to
ascertain if the actual performance meets expected levels.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 123-126


Level of involvement and consumer problem-solving processes
• A major determinant of the type of problem-solving processes employed depends on
the customer’s “level of involvement”, the degree of interest in a product and the
importance the individual places on this product.
Types of consumer problem
Routinised Response Limited problem solving Extended problem solving

Product cost Low cost consideration Low to moderate cost High cost consideration
consideration consideration

Search effort Minimal search effort Minimal to moderate search effort extensive search effort

Time spent Short time spent solving the Short to medium time spent Lengthy time spent solving
problem solving problem solving the problem the problem

Brand preferences More than one brand is Several brands are considered Varies; usually many brands
acceptable, although one brand considered
maybe preferred

PRINCIPLES OF MARKETING. CHAPTER 4. PP 126-127


Routinised Response Behaviour
A type of consumer problem-solving process used when buying frequently purchased,
low-cost items that require very little search and decision effort.

Limited problem solving


A type of consumer problem-solving process buyers use when purchasing products
occasionally or when they need information about an unfamiliar brand in a familiar product
category.

Extended problem solving


A type of consumer problem-solving process employed when purchasing unfamiliar,
expensive or infrequently bought products.

Impulse buying
An unplanned buying behaviour resulting from a powerful urge to buy something
immediately.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 127-128


Time dimension
such as the amount of time required to become knowledgeable about
the product, to search for it to buy it, also influences the buying decision
process in a several ways.

Purchase Reason
rises the questions what exactly the product purchase and should
accomplished and for whom.

Buyer’s momentary moods


this moods or conditions immediately precede the current situation
and are not chronic.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 129


Situational Influences on the Buyer of the Decision Process

Situational influences
Include physical and social surroundings, time and reason considerations as
well as the buyer’s mood. These influences affect the consumer buying decision
process.

Situational factors can be classified into 2 categories:

Physical surroundings
include store, location, atmosphere, aromas, sounds, lighting, and other factors
in the physical environment such as weather in which the decision process occurs.

Social surroundings
include characteristics and interactions of others such as friends, relatives,
sales people and other customers who are present when a purchase decision is being
made.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 128-129


Psychological Influences on the Buying Decision Process

Is a partly determine people general behaviour and therefore influences their


behaviour as a consumers.

These are the 10 primary psychological influences on consumer behaviour:

Perception
is a process of selecting, organizing, and interpreting information inputs to produce
meaning.

Information inputs
sensation receive through the sense of organs.

Selective exposure
the process of selecting inputs to be exposed to our awareness while ignoring
Others.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 130-131


Selective Distortions
an individuals changing or twisting of information when it is inconsistent with personal
feelings or beliefs.

Selective Retention
remembering information inputs that support personal feelings and beliefs and
forgetting inputs that do not.

Motives
an internal energizing force that directs a person behaviour towards satisfying needs
or achieving goals.

Learning
changes in an individual thought processes and behaviour caused by information
and experience.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 132


Attitudes
an individual enduring evaluation of feelings about and behavioural tendencies
towards an object or idea.

Self-concept
(sometimes called self-image) is a person’s view or perception of him or herself.

Lifestyle
an individual pattern of living expressed though activities, interest and opinions.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 133-135


Social influences on the buying decision process

this social influence is an external social forces on an individuals buying behaviour.

These are the categories under the social influences:

Roles
asset of actions and activities associated with an individuals position.

Family
family have very direct impact on the consumer buying decision process.

Reference Group
is any group that are positively or negatively affects a person’s values, attitudes or
Behaviour.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 137-139


Opinion Leader
a member of reference group who provides a specific information that interest
reference group participants.

Digital networks
consumer reliance on the internet for assistance during the decision making process
can be seen in the proliferation of blogs, social network websites, online forums, mailing lists,
and wikis as well as text messaging and podcast.

Culture and subcultures

Culture - is the personality of the society


Subculture - groups of individual who’s characteristics, values, and behavioural
patterns
are similar to each other and different from those of the surrounding culture.

PRINCIPLES OF MARKETING. CHAPTER 4. PP 139-141


References

Marketing Principles. William M. Pride et.al., Cengage Learning.2015

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