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Consumer Behavior

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David Forlani. University of Colorado at Denver and Health Sciences Center ... Why Are Marketers Concerned with Understanding the Buying Behaviors of Consumers ... – PowerPoint PPT presentation

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Title: Consumer Behavior


1
Consumer Behavior
  • David Forlani
  • University of Colorado at Denver and Health
    Sciences Center

2
Overview
  • Decision Making
  • A Very Basic Model
  • Decision Influences
  • Cultural
  • Social
  • Individual

3
Why Are Marketers Concerned with Understanding
the Buying Behaviors of Consumers and
Organizations?
  • This information provides the foundation for all
    marketing decisions relative to a particular
    market.
  • It is the basis for forming ongoing relationships.

4
Last Purchase Decision
  • What was the last thing you bought?
  • What was the last thing you bought that cost over
    500?

5
Levels of Problem Solving
  • Routine Evaluative criteria and brand preference
    are known, effort is devoted to finding the item
    to purchase.
  • Limited Evaluative criteria are known, but brand
    preference is not formed.
  • Extensive Evaluative criteria are not known and
    brand preference is not formed.

6
The Role of Involvement
  • Involvement reflects the importance of making the
    best/right choice or decision.
  • It spans all levels of problem solving.

7
How Do We Decide?
Problem identification
Information search
Evaluation of alternatives
Feedback
Purchase
Postpurchase evaluation
8
Behavioral Influences
9
Cultural Factors
  • Culture Captured by Values, Beliefs Customs,
    regulates societal behavior.
  • Subculture Add/delete VBCs, but accept the
    majority of societys VBCs.
  • Social Class An ascribed indicator of status.
  • Assessed as Wealth, Power and Prestige.
  • Marketing Analogs Income, Occupation, Education.

10
Social Class
11
Social Factors
  • Reference Groups Serve as a point of comparison
    relative to Values, Attitudes and Behaviors that
    help establish our identity.

12
Social Factors
  • Family The most influential group in most
    peoples lives relative to consumption behavior.
  • Roles Statuses The hats we wear. This creates
    expectations that we may comply with.

13
Personal FactorsReflections of Who We Are
  • Age Lifecycle Stage Indicates consumption
    needs.
  • Occupation Indicates ambitions /accomplishments
    and provides insights into consumption wants.
  • Economic Circumstances and Lifestyle Indicates
    ability to consume and levels of consumption.

14
Psychological Factors
  • Personality The Self, that which makes us who we
    are distinguishes us from others.
  • Early work by Freud (Id, Ego and Superego) stood
    in modified form until traits of Allport in the
    1960s.
  • Trait approaches dominate (Catells 16,
    Eysnecks 2, Normans 5.

15
Psychological Factors
  • Motivation That which impels us to act. Tension
    ? Drive ? Response, model.
  • Unfilled needs create tension, when the tension
    is sufficiently high it triggers a response that
    is directed at satisfying the need. The need
    remains in stasis until the tension again builds,
    e.g., you get hungry and eat every 5 or 6 hours.

16
Motivation Maslows Need Hierarchy
17
Psychological Factors
  • Perception Our point of contact with the
    environment.
  • Relates to the process of attention. Which sense
    do we attend to?
  • Organizes sensory stimuli. What is figure and
    what is ground?
  • Involves interpretation of sensory stimuli. What
    was that sound?

18
Psychological Factors
  • Learning How we gather and store information
    about our environment.
  • Basis for how we act. Additional learning
    increases effectiveness.

19
How We Learn
  • Classical Conditioning Pavlov Stimulus?Response
    method based on conditioned and unconditioned
    elements.
  • Behavioral Conditioning Skinner
    Stimulus?Response?Reinforcement view based on
    types of reinforcement and their schedules.
  • Information Processing Models Environmental info
    is received through the senses and processed.
    Learning occurs during conscious interaction with
    the environment and is stored in long-term
    memory. Computer analogy.

20
How We Learn
21
How We Learn
  • Categorization Theory Associative method based
    on cognitions and affect. File cabinet analogy
    where affect is on the tag.
  • Information is stored in topical Knowledge
    Structuresfinance, accounting, marketing.
  • Category level learning includes both cognitions,
    Marketing is a set of processes designed to
    facilitate ongoing exchanges and affect,
    thats cool.

22
Psychological Factors
  • Attitudes Learned predispositions to respond in
    a consistently favorable or unfavorable way
    toward a given object
  • Simplify decision making
  • Good indicators of behavior

23
Attitudes Single Component
  • The simplest conceptualization is that Attitude
    Affect, where affect reflects an individuals
    feelings about an object.

24
Attitudes Tri- Component
  • The Tri-component attitude model
  • Belief Component Attitudes are based on Beliefs
    that reflect Knowledge
  • Affect Component Attitudes are built on Feelings
    which reflect Judgments
  • Connative Component Attitudes predict intended
    actions

25
Attitudes Multi-attribute
  • The Attitude Toward Object Model (Fishbein
    Azjen)

26
Attitude Illustration
  • Involves 2 Data Collections qualitative to
    identify salient attributes quantitative to
    obtain rankings and ratings.
  • Uses the Fishbein Attitude ? Object model.
  • Assesses consumers attitudes toward 2 brands of
    mouthwash.

27
Mouthwash Attitudes
28
Mouthwash Attitudes
29
Mouthwash Attitudes
30
Attitude Illustration
  • What motivates each consumer group to use
    mouthwash?
  • How can Marketing Managers use this info?
  • How can attitudes be built/changed?
  • Offer a new motivation for using
  • Associate with a respected group or event
  • Relate to conflicting attitudes
  • Alter components of the multi-attribute model
  • Change beliefs about a competitors brand

31
Attitude Illustration
  • Why dont people always act in accord with their
    attitudes?
  • Personal considerations, Impression management.
  • Unexpected circumstances.
  • Social considerations.

32
Theory of Reasoned Action
  • Developed to account for social influences.

  .
where W's are relative weights summing to
1.  i's are anticipated behavioral outcomes.  b's
are beliefs that I can obtain that outcome.  e's
are the importance of that outcome to me.   j's
are the people who will judge my behavior.  s's
are the judgment standards they will apply.  m's
are my motivation to comply with their wishes
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