Marketing/Consumer Behavior

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 Marketing  

 CH.1-Introduction  CH.2-Marketing Strategy  CH.3-Marketing Plan  CH.4-Targeting & Segmentation  

 CH.5-Consumer Behavior  CH.6-Product Development  CH.7-Market Research  CH.8-Marketing Ethics

In a consumer society there are inevitably two kinds of slaves: the prisoners of addiction and the prisoners of envy

[edit] Consumer Market

Refers to a target audience where the end customers are the purchasers and users of the goods and services.

[edit] Industrial Market

Refers to a market where other businesses (B2B), not end consumers, are the purchasers of the goods and services.

[edit] Consumer Behavior

Refers to the election of decision making process when consumers use, purchase or discard goods (products and services) or ideas.

[edit] The Purchase Decision Process for Consumer Markets

[edit] Psychological variables

Variables related to process such as motivation, perception, learning, attitude, personality, and lifestyle.

[edit] Social influences

Influences such as family, social class, reference groups, and culture.

[edit] Purchase situation

Situation-dependent variables such as purchase reason, time, and surroundings.

[edit] Needs motivation

A theory that explains why consumers make decisions to satisfy their salient needs.

[edit] Needs

The basic, motivating forces that shape decision making.

[edit] Wants

Wants are the learned needs that extend beyond the basic needs.

[edit] Economic needs

The types of product features consumers desire.

• Value
• Convenience
• Efficiency
• Dependability
• Improvement in earnings

[edit] Search for information

Both internal and external searches.

[edit] Problem solving

The amount of effort exerted in information gathering and problem solving. The type of problem solving depends on several variables:

• Extensive problem solving: more effort is expended to decide how to satisfy a need. This type is used for infrequently purchased, expensive, high-risk, or new goods or services.
• Routine problem solving: Low-involvement, inexpensive, limited risk purchase requiring minimal effort. Used when the consumer has considerable experience in how to meet the need.

[edit] Purchase product

The actual purchase transaction.

[edit] Post purchase evaluation

Cognitive dissonance occurs as consumers seek out positive reinforcement to reaffirm their purchase decision and to minimize negative uncertainty that can cause dissatisfaction. This dissatisfaction is most often referred to as "buyers remorse".

[edit] Adoption process for new products

Occurs when a consumer's previous buying experiences are not relevant to the current problem he or she would like to solve.

• Awareness: consumer is aware of, but lacks details of, the brand
• Interest: consumer gathers information about the brand
• Evaluation: consumer imagines trying the brand and anticipates the benefit from its use
• Trial: consumer tries the brand
• Decision: consumer adopts the brand for future use or rejects it
• Confirmation: consumer will seek information to support his or her decision and to reduce tension (cognitive dissonance)

[edit] Consumer behavior for industrial markets

Characterized by buyers who:

• Less emotional than consumer buyer markets
• Look for specific product attributes, such as economy in cost and use, productivity, and quality
• Want to partner with businesses that are reliable, fair, consistent, speedy, and cooperative
• Are generally spending a larger amount of money. thus, the process tends to be more complex and lengthy
• Is more task oriented and rational than consumer product buyer.
• Has firm motives of Quality, price and delivery against emotional motives in the other cases.