Chapter 1 Consumers Rule

1. Chapter 1Consumers Rule CONSUMER BEHAVIOR, 9eMichael R. Solomon Dr. Rika Houston CSU-Los Angeles MKT 342: Consumer Behavior

2. What is Consumer Behavior? • The study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires

3. The Meaning of Consumption • Consumers often buy products not for what they do, but for what they mean • Consumers can develop relationships with brands: Self-Concept Attachment Nostalgic Attachment Interdependence Love

4. Figure 1.1 Stages in the Consumption Process

5. Actors in Consumer Behavior • Individuals • Groups • Organizations

6. Consumers’ Impact on Marketing Understanding consumer behavior is critical for developing effective marketing strategy • To satisfy consumers’ needs • To help define the market • To identify threats/opportunities to a brand

7. How do marketers understand consumer behavior? • Market segmentation • Lifestyle analysis

8. Marketers Influence Consumer Preferences • Music • Movies • Sports • Books • Celebrities • Entertainment

9. Consumers Also Influence Marketers • Virtual brand communities provide consumer-generated content • Blogs • Pictures • Video Blogs • Ads

10. Global Consumer Culture • Unites people around the world with a common devotion: • Brand name products • Movie stars • Celebrities • Leisure activities

11. Public Policy & Consumer Advocacy Concern for the welfare of consumers Department of Agriculture Federal Trade Commission Food and Drug Administration Securities and Exchange Commission Environmental Protection Agency

12. Consumer Activism • Culture jamming • a strategy to disrupt efforts by the corporate world to dominate our cultural landscape.

13. The “Dark Side” of Consumption Consumer terrorism Addictive consumption Compulsive consumption Consumed consumers Illegal activities

14. Figure 1.2 Disciplines in Consumer Research MICRO CONSUMER BEHAVIOR (INDIVIDUAL FOCUS) Experimental Psych Clinical Psychology Developmental Psych Human Ecology Microeconomics Social Psychology Sociology Macroeconomics Semiotics/Literary Criticism Demography History Cultural Anthropology Consumer behavior involves many different disciplines MACRO CONSUMER BEHAVIOR (SOCIAL FOCUS)

15. Table 1.3 Positivist versus Interpretivist Approaches

16. Figure 1.3 Wheel of Consumer Behavior

17. MKT 342: Consumer BehaviorKey Concepts: Chapter 1 • What is consumer behavior? • Meaning of consumption • Stages of consumer behavior process • Actors in consumer behavior • Consumer impact on marketing • Consumer segmentation • Consumer lifestyle analysis • How marketers influence consumers • How consumers influence marketers • Global consumer culture • Public policy and consumer advocacy • Consumer activism • The dark side of consumption • Disciplines in consumer research • Positivist vs. interpretivist approaches to consumer research • Wheel of consumer behavior