CHAPTER 4

Consumer Markets &

Consumer Buyer Behavior

Consumer Buying Behavior

- the buying behavior of final
consumers-individuals
and
households who buy goods and
services for personal consumption.

Consumer Market
- all individuals and households who
buy or acquire goods and services for
personal consumption.

Factors Influencing
Consumer Behavior
1.
2.
3.
4.

Cultural Factors
Social Factors
Personal Factors
Psychological Factors

Factors Influencing
Consumer Behavior

Cultural Factors
a. Culture the set of basic values,

perceptions, wants and behaviors

learned by a member of society
from family and other important
institutions.
b. Sub-culture a group of people
shared value systems based on
common
life
experiences
&
situations.

Cultural Factors
c. Social

Classes relatively
permanent
and
ordered
divisions in a society whose
members share similar values,
interests, and behaviors.

Social Factors
a. Small groups groups that have a

direct influence and to which a

persons
belongs
are
called
membership groups.
Some are primary groups - with
whom there is regular but
informal interaction, secondary
groups which are more formal
& have less regular interaction.

Social Factors
b. Family

The family is the most important

consumer buying organization in
society. Marketers are interested
in the roles and influence of the
husband, wife and children on
the
purchase
of
different
products and services.

Social Factors
c. Roles and Status
A person belongs to many groups family,
clubs, organizations.

Role consists of the activities people

are expected to perform according to
the persons around them.
Each role carries a status reflecting
the general esteem given to it by
society.

Social Factors
d. Opinion Leader person within

reference group who, because

of special skills, knowledge,
personality,
or
other
characteristics, exerts influence
on others.

Personal Factors
Age and Life-Cycle Stage
People change the goods and services
they buy over their lifetimes. Buying is
also shaped by the stage of the family life
cycle the stages through which families
might pass as they mature over time.
b. Occupation
A persons occupation affects the goods &
services bought. Thus, company can even
specialize in making products by a given
occupational groups.
a.

Personal Factors
Economic Situation
A persons economic situation will
affect product choice. If economic
indicators point to a recession,
marketers can take steps to
redesign, reposition, & re-price
their products closely.
d. Lifestyle a persons pattern of
living as expressed in his or her
activities, interests, and opinion.
c.

Personal Factors
e. Personality and Self-Concept

Personality

a
persons
distinguishing
psychological
characteristics
that
lead
to
relatively consistent and lasting
responses to his or her own
environment.

Psychological Factors
a.

Motivation
Motive(drive) a need that is
sufficiently pressing to direct the
person to seek satisfaction of the need.
Maslows Motivation Theory
it sought to explain why people are
driven by particular needs at particular
times. And human needs are arranged
in a hierarchy, from the most pressing
to the least pressing.

Maslows Hierarchy of Needs

Psychological Factors
b. Perception the process by which people

select, organize, and interpret information

to form a meaningful picture of the world.
c. Learning changes in an individuals
behavior arising from experience.
d. Belief a descriptive thought that a
person holds about something.
e. Attitude
a persons
consistently
favorable or unfavorable evaluation,
feelings, & tendencies toward an object or
idea.

Types of Buying Decision Behavior

1. Complex

Buying Behavior a
buying behavior characterized by
high consumer involvement in a
purchase and significant perceived
differences among brands.
2. Dissonance - Reducing Buying
Behavior a buying behavior
characterized by high involvement
but few perceived differences
among brands.

Types of Buying Decision Behavior

3. Habitual Buying Behavior a buying

behavior
characterized
by
low
consumer involvement and few
significant
perceived
brand
difference.
4. Variety-seeking Buying Behavior a
buying behavior characterized by
low consumer involvement but
significant
perceived
brand
differences.

Buyer Decision Process

Buyer Decision Process

1. Need Recognition the first stage

of the buyer decision process in

which the consumer recognizes a
problem or need.
2. Information search the stage in
which the consumer is aroused to
search for more information or go
into active information search.

Buyer Decision Process

3. Evaluation of Alternatives the

stage of the buyer decision

process in which the consumer
uses information to evaluate
alternative brands in the choice
set.
Brand Image the set of beliefs
consumers
hold
about
a
particular brand.

Buyer Decision Process

4. Purchase Decision the stage of

buyer decision process in which

the consumer actually buys the
product.
5. Post Purchase Behavior the stage
of the buyer decision process in
which consumers take further
action after purchase based on
their satisfaction or dissatisfaction.

Stages in the Adoption Process

1. Awareness consumer becomes

aware of the product, but lacks

information about it.
2. Interest

consumer
seeks
information
about
the
new
product.
3. Evaluation consumer considers
whether trying the new product
makes sense.

Stages in the Adoption Process

4. Trial consumer tries the new

product on a small scale to

improve his or her estimate of
its value.
5. Adoption consumer decides
to make full and regular use of
the new product.