MKTG 303: Advertising and Promotion Buyer Behaviors October 13, 2009 Zeynep Gürhan-Canlı The Consumer Decision Process Problem Recognition Information Search Alternative Evaluation Purchase Decision Postpurchase Evaluation Variations in Consumer Decision Making Types of Decision Processes: • Extended Problem Solving • Limited Problem Solving • Routine Response Behavior Maslow’s Hierarchy of Needs Self-actualization needs (self-development, realization) Esteem needs (self-esteem, recognition, status) Social needs (sense of belonging, love) Safety needs (security, protection) Physiological needs (hunger, thirst) Sources of Problem Recognition Out of stock Dissatisfaction New needs or wants Related product purchase Market-induced recognition New products Information Search Internal Search– information stored in memory External Search – actively seeking information from various sources • Personal sources Friends, relatives, co-workers • Market-controlled sources Ads, salespeople, in-store displays • Public sources Print articles, news reports • Personal experience Handling, examining, testing, using External Search • Ability to search • Motivation Level of involvement Need for cognition Shopping enthusiasm • Perceived cost • Perceived benefit Perception The process by which an individual receives, selects, organizes and interprets information Stages in the perception process: Sensation Attending to information Interpreting information Responding to information The Selective Perception Process Selective Exposure Selective Attention Selective Comprehension Selective Retention Consumer Attitude • Affective • Cognitive • Conative Attitude Sequence • Cognitive Affective Conative • Affective Conative Cognitive • Conative Cognitive Affective Consumer Values • Attitudes shaped by personal values. • Values are strongly held beliefs. • Personal values Comfortable life Equality Excitement Freedom Fun, exciting life Happiness Inner peace Accomplishment Security Self-respect Cognitive Mapping • Simulations of knowledge structures. • Linkages and levels • Marketing messages and linkages Strengthen current linkage Modify current linkage Create a new linkage Evaluation of Alternatives • Evoked set method Evoked set Inept set (not considered due to a negative experience, feeling, or information) Inert set (aware but not considered due to lack of knowledge) • Multiattribute method Brand’s performance on a variety of attributes The importance of each attribute • Affect referral No need for effort Multiattribute model has previously been used Emotional bond Trends Consumer Buying Environment • • • • • • • • Age complexity Gender complexity Individualism Active, busy lifestyles Time pressure Cocooning Pleasure binges Emphasis on health Business-to-Business Buyer Behavior • Users • Buyers • Influencers • Deciders Gatekeepers Individual Factors Business-to-Business Buying Center • • • • • • • Personality features Roles and perceived roles Motivational levels Levels of power Attitude towards risk Levels of cognitive involvement Personal objectives Business-to-Business Buying Process • Identification of needs • Establishment of specifications • Identification of vendors • Vendor evaluation • Vendor selection • Negotiation of terms • Postpurchase evaluation
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