Understanding Consumer Behavior Factors and Buying Decisions

1. Chapter 6 Analyzing Consumer Markets and Buyer Behavior PowerPoint by Karen E. James Louisiana State University - Shreveport To accompany A Framework for Marketing Management, 2nd Edition

2. Objectives • Determine how cultural, social, personal, and psychological factors influence consumer buying behavior. • Describe how the consumer makes a purchasing decision. To accompany A Framework for Marketing Management, 2nd Edition

3. Consumer Behavior • The field of Consumer Behavior: “studies how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and desires.” To accompany A Framework for Marketing Management, 2nd Edition

4. How and Why Consumers Buy • Buying behavior is influenced by: • Cultural factors • Social factors • Personal factors • Psychological factors To accompany A Framework for Marketing Management, 2nd Edition

5. Influence Factors Cultural Social Personal Psychological Exert broadest and deepest influence Culture Subculture Social classes How and Why Consumers Buy To accompany A Framework for Marketing Management, 2nd Edition

6. Upper Uppers Lower Uppers Upper Middles Middle Class Working Class Upper Lowers How and Why Consumers Buy Major U.S. Social Classes • Lower Lowers To accompany A Framework for Marketing Management, 2nd Edition

7. Influence Factors Cultural Social Personal Psychological Reference groups Membership Primary vs. secondary Aspirational vs. dissociative Family Social roles and statuses How and Why Consumers Buy To accompany A Framework for Marketing Management, 2nd Edition

8. Influence Factors Cultural Social Personal Psychological Age Stage in life cycle Occupation Economic circumstances Lifestyle Personality Self-concept How and Why Consumers Buy To accompany A Framework for Marketing Management, 2nd Edition

9. Actualizers Fulfilleds Achievers Experiencers Believers Strivers Makers Strugglers How and Why Consumers Buy VALS 2 classifies U.S. adults into eight psychographic groups To accompany A Framework for Marketing Management, 2nd Edition

10. Influence Factors Cultural Social Personal Psychological Motivation Perception Learning Beliefs Attitudes How and Why Consumers Buy To accompany A Framework for Marketing Management, 2nd Edition

11. Consumer Buying Decision Process • In addition to understanding how these factors influence consumers, marketers must identify and understand: • Who makes the buying decision • The types of buying decisions • The stages in the buying process To accompany A Framework for Marketing Management, 2nd Edition

12. Understand Buying roles Buying behavior Buying decision process Initiator Influencer Decider Buyer User Consumer Buying Decision Process To accompany A Framework for Marketing Management, 2nd Edition

13. Understand Buying roles Buying behavior Buying decision process Complex buying behavior Dissonance-reducing buying behavior Habitual buying behavior Variety-seeking buying behavior Consumer Buying Decision Process To accompany A Framework for Marketing Management, 2nd Edition

14. Understand Buying roles Buying behavior Buying decision process Problem recognition Information search Evaluation of alternatives Purchase decision Postpurchase behavior Consumer Buying Decision Process To accompany A Framework for Marketing Management, 2nd Edition

15. Consumer Buying Decision Process • Postpurchase Behavior: • Consumers’ expectations are compared to performance • Postpurchase satisfaction influences future behavior • Purchasing behavior • Word-of-mouth communications To accompany A Framework for Marketing Management, 2nd Edition

16. Consumer Buying Decision Process • Marketers should attempt to influence and monitor postpurchase behavior • Postpurchase communications reduce dissonance, returns, and order cancellations • Talk with customers to discover new uses for existing products • Investigate methods of product disposal To accompany A Framework for Marketing Management, 2nd Edition