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Chapter 3

Consumer Markets and Consumer

Buyer Behavior

Chapter 3 - slide 1
Consumer Markets and Consumer
Buyer Behavior
Topic Outline
• Model of Consumer Behavior
• Characteristics Affecting Consumer
Behavior
• Types of Buying Decision Behavior
• The Buyer Decision Process
• The Buyer Decision Process for New
Products

Chapter 3- slide 2
 Model of Consumer Behavior

Consumer buyer behavior : the buying behavior of

final consumers, individuals and households,
who buy goods and services for personal
consumption

Consumer market : all of the personal consumption

of final consumers

Chapter 3- slide 3
Model of Consumer Behavior

Chapter 3- slide 4
 Characteristics Affecting
Consumer Behavior
Factors Influencing Consumer Behavior

Chapter 3- slide 5
 Characteristics Affecting
Consumer Behavior

Culture is the learned values, perceptions,

wants, and behavior from family and other
important institutions

Chapter 3- slide 6
 Characteristics Affecting
Consumer Behavior
Subculture are groups of people within a culture
with shared value systems based on common life
experiences
and situations
• Hispanic American
• African American
• Asian American
• Mature consumers

Chapter 3- slide 7
 Characteristics Affecting
Consumer Behavior
Social classes are society’s relatively
permanent and ordered divisions whose
members share similar values, interests,
and behaviors
• Measured by a combination of occupation,
income, education, wealth, and other
variables

Chapter 3- slide 8
Major American Social Classes

Chapter 3- slide 9
 Characteristics Affecting
Consumer Behavior
Groups and Social Networks

Membership Aspirational Reference

Groups Groups Groups
• Groups with • Groups an • Groups that
direct individual form a
influence wishes to comparison
and to belong to or reference
which a in forming
person attitudes or
belongs behavior

Chapter 3- slide 10
 Characteristics Affecting
Consumer Behavior
Groups and Social Networks
• Word-of-mouth influence
and buzz marketing
– Opinion leaders are people
within a reference group
who exert social influence
on others
– Also called influentials or
leading adopters
– Marketers identify them to
use as brand ambassadors
Chapter 3- slide 11
Characteristics Affecting
Consumer Behavior
Groups and Social Networks
• Online Social Networks are
online communities where
people socialize or exchange
information and opinions
• Include blogs, social
networking sites (facebook),
virtual worlds (second life)

Chapter 3- slide 12
Characteristics Affecting
Consumer Behavior
Social Factors
• Family is the most
important consumer-
buying organization in
society
• Social roles and status
are the groups, family,
clubs, and organizations
that a person belongs to
that can define role and
social status

Chapter 3- slide 13
Characteristics Affecting
Consumer Behavior
Personal Factors
• Age and life-cycle stage
• RBC Royal Band stages
– Youth: younger than 18
– Getting started: 18–35
– Builders: 35–50
– Accumulators: 50–60
– Preservers: over 60

Chapter 3- slide 14
 Characteristics Affecting
Consumer Behavior
Personal Factors

Occupation affects the goods and services

bought by consumers
Economic situation includes trends in:

Personal Interest
Savings
income rates

Chapter 3- slide 15
 Characteristics Affecting
Consumer Behavior
Personal Factors
Lifestyle is a person’s
pattern of living as
expressed in his or her
psychographics
• Measures a consumer’s
AIOs (activities, interests,
opinions) to capture
information about a
person’s pattern of acting
and interacting in the
environment
Chapter 3- slide 16
 Characteristics Affecting
Consumer Behavior
Personal Factors

• Personality and self-concept

– Personality refers to the unique psychological
characteristics that lead to consistent and
lasting responses to the consumer’s
environment

Chapter 3- slide 17
 Characteristics Affecting
Consumer Behavior

Personal
Dominance Autonomy
Factors

Defensiveness Adaptability Aggressiveness

Chapter 3- slide 18
 Characteristics Affecting
Consumer Behavior
Psychological Factors

Motivation

Perception

Learning

Beliefs and attitudes

Chapter 3- slide 19
 Characteristics Affecting
Consumer Behavior
Psychological Factors
Motivation

A motive is a need that is sufficiently pressing

to direct the person to seek satisfaction

Motivation research refers to qualitative

research designed to probe consumers’
hidden, subconscious motivations

Chapter 3- slide 20
 Characteristics Affecting
Consumer Behavior

Maslow’s
Hierarchy of Needs

Chapter 3- slide 21
 Characteristics Affecting
Consumer Behavior
Psychological Factors
Perception is the process
by which people select,
organize, and interpret
information to form a
meaningful picture of
the world from three
perceptual processes
– Selective attention
– Selective distortion
– Selective retention

Chapter 3- slide 22
 Characteristics Affecting
Consumer Behavior
Psychological Factors
Selective attention is the tendency for people to
screen out most of the information to which they
are exposed
Selective distortion is the tendency for people to
interpret information in a way that will support
what they already believe
Selective retention is the tendency to remember
good points made about a brand they favor and
forget good points about competing brands

Chapter 3- slide 23
 Characteristics Affecting
Consumer Behavior
Psychological Factors

• Learning is the change in an individual’s

behavior arising from experience and
occurs through interplay of:

Drives Stimuli Cues

Responses Reinforcement

Chapter 3- slide 24
 Characteristics Affecting
Consumer Behavior
Psychological Factors
Beliefs and Attitudes

Belief is a descriptive thought that a person

has about something based on:
• Knowledge
• Opinion
• Faith

Chapter 3- slide 25
 Characteristics Affecting
Consumer Behavior
Psychological Factors

Attitudes
describe a person’s relatively consistent
evaluations, feelings, and tendencies
toward an object or idea

Chapter 3- slide 26
 Types of Buying Decision
Behavior

Complex buying behavior

Dissonance-reducing buying behavior

Habitual buying behavior

Variety-seeking buying behavior

Chapter 3- slide 27
Types of Buying Decision
Behavior
Four Types of Buying Behavior

Chapter 3- slide 28
The Buyer Decision Process

Buyer Decision Making Process

Chapter 3- slide 29
 The Buyer Decision Process
Need Recognition

• Occurs when the buyer recognizes a

problem or need triggered by:
– Internal stimuli
– External stimuli

Chapter 3- slide 30
 The Buyer Decision Process
Information Search
Sources of Information
• Personal sources—family and friends
• Commercial sources—advertising, Internet
• Public sources—mass media, consumer organizations
• Experiential sources—handling, examining, using the
product

Chapter 3- slide 31
 The Buyer Decision Process
Evaluation of Alternatives

• How the consumer processes information

to arrive at brand choices

Chapter 3- slide 32
 The Buyer Decision Process
Purchase Decision

• The act by the consumer to buy the most

preferred brand
• The purchase decision can be affected by:
– Attitudes of others
– Unexpected situational factors

Chapter 3- slide 33
 The Buyer Decision Process
Post-Purchase Decision

• The satisfaction or dissatisfaction that the

consumer feels about the purchase
• Relationship between:
– Consumer’s expectations
– Product’s perceived performance
• The larger the gap between expectation and
performance, the greater the consumer’s
dissatisfaction
• Cognitive dissonance is the discomfort caused
by a post-purchase conflict
Chapter 3- slide 34
 The Buyer Decision Process
Post-Purchase Decision

Customer satisfaction is a key to building

profitable relationships with consumers—
to keeping and growing consumers and
reaping their customer lifetime value

Chapter 3- slide 35
 The Buyer Decision Process for
New Products

Adoption process is the mental process an

individual goes through from first learning
about an innovation to final regular use.
• Stages in the process include:

Awareness Interest Evaluation Trial Adoption

Chapter 3- slide 36
 The Buyer Decision Process for
New Products
Influence of Product Characteristics
on Rate of Adoption

Relative
Compatibility Complexity
advantage

Divisibility Communicability

Chapter 3- slide 37
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permission of the publisher. Printed in the United States of America.

Copyright © 2012 Pearson Education, Inc.

Publishing as Prentice Hall

Chapter 3- slide 38