Professional Documents
Culture Documents
BUAD 307
MARKETING FUNDAMENTALS
CONSUMER BEHAVIOR
MARKET
RESEARCH
INFO
SEARCH
STRATEGY
CHOICES
COGNITION
AFFECT
PREFERENCES
BELIEFS
CONSUMER
COMMUNICATION
SOCIAL AND
OTHER INFLUENCE
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CONSUMER BEHAVIOR
CONSUMER BEHAVIOR
True or False?
1. If you have bad breath, you cannot smell it
yourself.
2. If you eat a balanced diet, you do not need
vitamin supplements.
3. Using a razor with five blades will reduce the
likelihood of cutting yourself and will result in
less skin irritation.
4. Dell Computers tend to be of higher quality
than those made by HP and Sony.
5. Rust stains on clothes can be removed with
the use of lemon juice. Bleach actually
makes these stains worse.
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CONSUMER BEHAVIOR
Questions Faced By
Consumers
Are veggie burgers actually healthy?
What makeup should you use to get an
even skin tone?
Do I get any useful benefits from spending
more than $125 on a digital camera?
Should I get a make-over? What am I
looking for? What should I do?
Is my mechanic honest?
Which tie should I wear for a job interview?
Should I give my wife roses, chocolate, or
software?
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CONSUMER DECISIONS:
Theory and Reality in Consumer Buying
PROBLEM
RECOGNITION
INFORMATION
SEARCH
EVALUATION OF
ALTERNATIVES
PURCHASE
POSTPURCHASE
EVALUATION/
BEHAVIORS
Theory
Complications
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CONSUMER BEHAVIOR
INTERNAL
Memory
Thinking
EXTERNAL
Word of mouth, media,
store visits, trial
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CATALOG
EVOKED SET
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REMINDER
For low involvement
products, efforts aimed at
affecting internal search
tend to be more
effectivethe consumer
is usually not willing to
expend energy on
external search.
External search is more
likely for higher
involvement products.
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Evaluation Type
IMPORTANT
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LESS
IMPORTANT
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HeuristicsLow Involvement
Decision Rules
If either Coke or Pepsi is on
sale, buy that brand;
otherwise, buy Coke
The larger the navels, the
better the orange
The larger package is likely to
offer a lower unit price (not
true in reality)
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Attitudescomponents
AFFECT
(FEELING)
BELIEFS
BEHAVIORAL
INTENTIONS
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Attitude Components
Beliefs
Can be positive,
negative, or neutral
May or may not be
accurate
May contradict other
beliefs held by the other
person
Affect
May be positive or
negative
May take on specific
dimension (e.g.,
pleasure, disgust)
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Behavioral
Intentions
An individuals plan or
expectations of what he
or she will do
May appear inconsistent
with beliefs
May not predict well what
the individual will do in
reality
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Multiattribute Models of
Attitude
Attitude computed as a
function of multiple attributes
weighted for importance:
Ab i 1WiXib
n
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Multiattribute Models
Caveats
Applications
Determining
Overall performance
Areas of strength and weakness
Comparison to competitors
Overall
Areas of strength and weakness
REMINDER:
PERCEPTIONS ARE NOT
NECESSARILY ACCURATE. We
are looking to work with what
consumers believe.
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Affect
Based on
past emotional
associations of product
emotional effect of beliefs
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Attitude Characteristics
Availability/
accessibility
Constructed
vs. natural
Strength
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Measurement of Attitude
Components
Beliefs
Semantic Differential Scales
Good -------------------Bad
Fast --------------------Slow
Reliable-----------------Unreliable
Feelings
Likert Scales (Strongly agree Strongly Disagree)
This product makes me happy.
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Measurement
Behavioral Intention
Rating of likelihood of
purchase
May need projection if
social desirability affects
willingness to admit to
product use
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Energizer Bunny
Snuggles (fabric
softener)
Mere exposure
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REMINDER
Changing currently held
beliefs tends to be
difficultpeople know the
marketer has an ulterior
motive
Adding new beliefs that
are not inconsistent with
what is already believed
may be more effective
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YOUNG
SINGLE
YOUNG
COUPLE
EMPTY NEST
I/II
FULL NEST
I/II/III
SINGLE
PARENT
OLDER
SINGLE
BLENDED
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Economic/Marketing Implications of
Household Cycles
Income tends to
increase with time
But children/
obligations add cost
Divorce
increases costs
may change
income
distribution
marriage
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Product demand
due to
singles with low
expenses
new couples
divorced
families
children
empty nesters
--> more income
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Information gatherers/holders
Influencers
Decision makers
Purchasers
Users
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Self-esteem
Values
Feeling of power
Consequences
Attributes
Performance
Fast acceleration
Large engine
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Subliminal Perception: A
Diabolical Marketing Tool?
Subliminal messages in ads
are illegal in U.S.
Some research support for
modest effects
Probably limited to one
syllable words
Complex messages can
probably not be
processed subliminally
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Message Framing
Many tradeoffs
can be stated in
two,
mathematically
equivalent
wayse.g.,
80% lean vs.
20% fat
$49.00 per
person per night
based on double
occupancy
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Demographics
(segmentation)
Lifestyle (segmentation)
Culture/subculture
(segmentation, international
marketing)
Diffusion of innovation
(product)
Attention (promotion)
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Organizational Buyers
Types
Characteristics
Industrial
Reseller
Government and
non-profit
organizations
Greater involvement
Bureaucracy
Long term
relationships
Price is important but
may not be the most
important factor
Purchase types
Straight rebuy
Limited decision
making
Extended decision
making
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