MM CH - 6

Marketing Management
Arab World Edition

Kotler, Keller, Hassan, Baalbaki, and Shamma
Chapter 6
Analyzing
Consumer Markets
Chapter Questions
1. How do consumer characteristics influence buying

behavior?
2. What major psychological processes influence consumer
responses to the marketing program?
3. How do consumers make purchasing decisions?
Copyright © 2012 Pearson Education 6-3

Chapter Questions
• Consumer behavior
The study of how individuals, groups and organization select,
buy, use, and dispose of goods, services, ideas, or
experiences to satisfy their needs and wants.

Chapter Question 1:
How do consumer
What Influences Consumer characteristics influence
buying behavior?
Behavior?
• Cultural factors
• Social factors
• Personal factors

Chapter Question 1:
How do consumer
characteristics influence
buying behavior?
1- Cultural Factors
What is culture?
Culture is the fundamental determinant of a person’s wants

and behaviors acquired through socialization processes with
family and other key institutions.

Chapter Question 1:
How do consumer
buying behavior?
Cultural Factors
Subcultures
• Nationalities
• Religions
• Racial groups
• Geographic regions

Chapter Question 1:
How do consumer
buying behavior?
2- Social Factors
social classes:
•Within a class, people tend to behave alike
•Social class conveys perceptions of inferior or superior
position
•Class may be indicated by a cluster of variables (occupation,
income, wealth)
•Individuals can move up or down the social-class ladder over
time

Chapter Question 1:
How do consumer
buying behavior?
Social Factors
Social factors affect our buying behavior, including:
•Reference groups
•Family
•Social role and Status
• Role ; the activities someone excepted to perform
• Status ; one’s position within his own culture

Chapter Question 1:
How do consumer
buying behavior?
Social Factors
Reference groups are all the groups that have a direct (face-to-
face) or indirect influence on an individual’s attitudes or behavior.
These include:
•Membership groups : direct influence
• Primary groups : interact continuously & informally (family)
• Secondary groups : vs professional
•Aspirational groups : hope to join
•Disassociative groups : VS

Chapter Question 1:
How do consumer
buying behavior?
Social Factors
Family distinctions affecting buying decisions:
•Family of Orientation
•Family of Procreation

Chapter Question 1:
How do consumer
buying behavior?
3- Personal Factors
A buyer’s decisions are influenced by personal characteristics:

• Personality :
• Age
set of distinguishing
• Life cycle stage psychological traits
• Occupation • Values :
• Wealth The belief systems underline
consumer attitudes and
behavior
• Lifestyle
A person’s pattern of living in the
world as expressed in
activities, interests, and
opinions
Chapter Question 1:
How do consumer
buying behavior?
Personal Factors
• A lifestyle is a person’s pattern of living in the world as expressed

in activities, interests, and opinions.
• Marketers search for relationships between their products and life

style groups.
The “convenience involvement segment” of the

food market is receptive to time-saver products
such as Indomie noodles, which allow them to
easily and quickly prepare a hot meal.

Chapter Question 1:
How do consumer
buying behavior?
Personal Factors
Brand personality is the specific mix of human traits that we

can attribute to a particular brand.
The following traits have been identified :
1.Sincerity (down-to-earth, honest, wholesome, and cheerful).

Quaker
2.Excitement (daring, spirited, imaginative, and up-to-date). MTV
3.Competence (reliable, intelligent, and successful). CNN
4.Sophistication (upper-class and charming)
5.Ruggedness (outdoorsy and tough). Levi’s

Chapter Question 2:
What major psychological
Key Psychological Processes processes influence
consumer responses to the
marketing program?
Fig. 6.1: Model of Consumer Behavior

Chapter Question 2:
marketing program?
• Motivation
• Perception
• Learning
• Memory

Chapter Question 2:
processes influence
Motivation: Freud, Maslow, consumer responses to the
marketing program?
Herzberg
Maslow’s Herzberg’s
Freud’s Hierarchy Two-Factor
Theory of Needs Theory
Behavior Behavior Behavior is

is guided by is driven by guided by
subconscious lowest, motivating
motivations unmet need and hygiene
factors

Chapter Question 2:
marketing program?

Chapter Question 2:
processes influence
Motivation: consumer responses to the
marketing program?
Maslow’s Hierarchy of Needs
• Physiological needs
• Safety needs
• Social needs
• Esteem needs
• Self-actualization needs
Fig. 6.2: Maslow’s Hierarchy of Needs

Chapter Question 2:
processes influence
Perception consumer responses to the
marketing program?
Perception : the process by which an individual selects,

organizes, interprets information to create a meaningful
picture of the world.
People can emerge with different perceptions of the same

object because of three perceptual processes:
• Selective attention: screening out with noticing others
• Selective retention: recall good points for product you like
VS
• Selective distortion : fits consumer perception

Chapter Question 2:
processes influence
Perception consumer responses to the
marketing program?
https://
www.youtube.com/watch?v=H4oZlw
vvcMM

Chapter Question 2:
processes influence
Learning consumer responses to the
marketing program?
• When we act, we learn

• Learning causes changes in behavior, arising from experience
• Learning theory can be used by marketers to understand
consumer behavior

Chapter Question 2:
processes influence
Memory consumer responses to the
marketing program?
• Short-term memory (STM)—a temporary and limited repository of

information
• Long-term memory (LTM)—a more permanent, essentially unlimited
repository
• Memory encoding—how and where information gets into memory
• Memory retrieval—how and from where information gets out of memory
• Example of Chipsy:
Fig. 6.3:
Hypothetical
Mental Map
for Chipsy

Chapter Question 3:
The Buying-Decision Process: How do consumers make
purchasing decisions?
The Five-Stage Model
Fig. 6.4: Five-Stage Model of

the Consumer Buying Process

Chapter Question 3:
How do consumers make
Problem Recognition
The buying process starts when the buyer recognizes a

problem or need

Chapter Question 3:
Information Search
Information
sources:
1.Personal: Family
2.Commercial : Ad
3.Public : Mass M
4.Experiential Use
Fig. 6.5: Successive Sets Involved in

Consumer Decision Making
Search dynamics:

Chapter Question 3:
Evaluation of Alternatives
We can often segment the market for a product according to

attributes important to different consumer groups.
Tetra Pak changed consumers’ attitudes towards

dairy products with it’s Tasbeera snacks.

Chapter Question 3:
Expectancy-Value Model
Consumers evaluate products and services by combining their

brand beliefs, positive and negative, according to their weighted
importance.
Table 6.2: A Consumer’s Brand Beliefs

about Laptop Computers

Chapter Question 3:
Purchase Decision
Non-compensatory models of choice:
•Conjunctive set of minimum B
•Lexicographic most important attribute C
•Elimination-by-aspects
Intervening factors
Two general factors can intervene between the
purchase intention and the purchase decision:
•Attitudes of others
•Unanticipated situational factors
Fig. 6.6: Steps Between

Evaluation of
Alternatives and a
Purchase Decision

Chapter Question 3:
Purchase Decision
Perceived risk:
•Functional performance
•Physical threat
•Financial price
•Social embarrassment
•Psychological mental
•Time opportunity cost

Chapter Question 3:
Other Theories of Consumer purchasing decisions?
Decision Making
Level of Consumer Involvement

• Elaboration Likelihood Model
• Low-involvement marketing strategies
• Variety-seeking buying behavior
Decision Heuristics and Biases

• Availability
• Representativeness
• Anchoring and adjustment

Chapter Question 3:
Mental Accounting
Consumers tend to…
• Segregate gains
• Integrate losses
• Integrate smaller losses with larger gains
• Segregate small gains from large losses

Chapter Question 4:
How do marketers analyze
consumer decision making?
Profiling the Customer Buying-Decision

Process
How can marketers learn about the stages in the buying process
for their product?
•Introspective method – how would they act themselves?
•Retrospective method – ask buyers to recall the events leading to their
purchase
•Prospective method – ask consumers who plan to buy a product about
the steps in their buying process
•Prescriptive method – the ideal way to buy
Trying to understand the customer’s behavior in connection with

a product has been called mapping the customer’s consumption
system.

Credits
• Slide 1 Christian Short Photography,

photographersdirect.com
• Slide 13 Art Directors and TRIP Photo Library: Helene
Rogers
• Slide 14 LOHAS Market Segments, www.lohas.com.
Reproduced with permission
• Slide 18 Motivation and Personality, 3rd edition, Prentice
Hall (Maslow, A.H., and Frager, R.D., Fadiman, J. (eds),
1987)
• Slide 26 Logo courtesy TetraPak. Reproduced with
permission

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Marketing Management

Arab World Edition

1. How do consumer characteristics influence buying

Copyright © 2012 Pearson Education 6-3

Copyright © 2012 Pearson Education 6-4

Copyright © 2012 Pearson Education 6-5

Culture is the fundamental determinant of a person’s wants

Copyright © 2012 Pearson Education 6-6

Copyright © 2012 Pearson Education 6-7

Copyright © 2012 Pearson Education 6-8

Social factors affect our buying behavior, including:

•Social role and Status

• Role ; the activities someone excepted to perform

• Status ; one’s position within his own culture

Copyright © 2012 Pearson Education 6-9

•Membership groups : direct influence

• Primary groups : interact continuously & informally (family)

• Secondary groups : vs professional

•Aspirational groups : hope to join

Copyright © 2012 Pearson Education 6-10

Family distinctions affecting buying decisions:

Copyright © 2012 Pearson Education 6-11

A buyer’s decisions are influenced by personal characteristics:

• A lifestyle is a person’s pattern of living in the world as expressed

• Marketers search for relationships between their products and life

The “convenience involvement segment” of the

Copyright © 2012 Pearson Education 6-13

Brand personality is the specific mix of human traits that we

The following traits have been identified :

1.Sincerity (down-to-earth, honest, wholesome, and cheerful).

2.Excitement (daring, spirited, imaginative, and up-to-date). MTV

3.Competence (reliable, intelligent, and successful). CNN

4.Sophistication (upper-class and charming)

5.Ruggedness (outdoorsy and tough). Levi’s

Fig. 6.1: Model of Consumer Behavior

Copyright © 2012 Pearson Education 6-15

Copyright © 2012 Pearson Education 6-16

Behavior Behavior Behavior is

Copyright © 2012 Pearson Education 6-17

Copyright © 2012 Pearson Education 6-18

Fig. 6.2: Maslow’s Hierarchy of Needs

Copyright © 2012 Pearson Education 6-19

Perception : the process by which an individual selects,

People can emerge with different perceptions of the same

Copyright © 2012 Pearson Education 6-20

Copyright © 2012 Pearson Education 6-21

• When we act, we learn

Copyright © 2012 Pearson Education 6-22

• Short-term memory (STM)—a temporary and limited repository of

Copyright © 2012 Pearson Education 6-23

Fig. 6.4: Five-Stage Model of

Copyright © 2012 Pearson Education 6-24

The buying process starts when the buyer recognizes a

Copyright © 2012 Pearson Education 6-25

Fig. 6.5: Successive Sets Involved in

Copyright © 2012 Pearson Education 6-26

We can often segment the market for a product according to

Tetra Pak changed consumers’ attitudes towards

Copyright © 2012 Pearson Education 6-27

Consumers evaluate products and services by combining their

Table 6.2: A Consumer’s Brand Beliefs

Copyright © 2012 Pearson Education 6-28

Fig. 6.6: Steps Between