Consumer Behavior

1. Consumer Behavior What is consumer behavior? Why do we study consumer behavior?

2. Consumer Behavior • The decision process and physical activity that individuals or groups of individuals or organizations engage in when: • evaluating • acquiring • using, or • disposing of goods and services they expect will satisfy their needs.

3. Consumer Behavior Researchers: • Try to answer the following questions: • Who buys what? • What is bought? What is the decision process? • Why is something bought? • When is something bought? • Where is something bought? • How often is something bought or consumed?

4. Development of Consumer Behavior Research • Related to marketing orientations • Production orientation • Product orientation • Selling orientation • Market orientation, marketing concept

5. Development of Consumer Behavior Research, continued • Related to economic and social factors • Accelerated rate of new product development • Consumer movement • Public policy concerns • Environmental concerns • Growth of international markets

6. Ethics in Marketing • Related to the study of consumer behavior is the issue of ethics, both from the consumer’s standpoint and the marketer’s standpoint • Marketers are often blamed for being unethical • Consumers also engage in unethical behaviors

7. Ethical Philosophies • Teleology • Utilitariansim; cost/benefit analysis • Moral worth of a behavior is determined by its consequences • Deontology • Moral worth is determined by the results of a particular action • Categorical imperative--willing to have actions become universal laws applying equally to everyone

8. Societal Marketing Concept • Social responsibility • Marketers should meet needs of target markets in ways that improve society as a whole while fulfilling the objectives of the organization. • All companies prosper when society prospers.