CHAPTER 3. The Consumer Decision Process

Transcription

1 CHAPTER 3 The Consumer Decision Process The Consumer Decision Process How do consumers make purchase decisions? How do firms use this information to develop new products and marketing programs? 2 1

2 The Consumer Decision Process P&G used consumer information regarding various decision process stages to create and market Dryel 3 Consumer Decision Process odel Need Recognition for Information Pre-purchase Evaluation of Alternatives Purchase Consumption Post-consumption Evaluation Divestment 4 2

3 Need Recognition Need: the difference between what a person perceives to be the ideal versus the actual state of affairs Consumers recognize needs and seek to fulfill them, or sometimes seek to solve their problems Knowing consumers needs, helps firms develop products and marketing programs to reach them more effectively (itch and scratch) 5 Need Recognition Communicating a need and raising consumer awareness of need or problem Special needs of baby teeth 6 3

4 Need Recognition E O R Y Need Recognition Environmental Influences -Culture -Social Class -Personal Influence -Family -Situation Individual Differences -Consumer Resources -otivation -Knowledge -Attitudes -Personality, Values, and Lifestyle 7 Need Recognition CDP odel Exposure Attention Comprehension Internal E OR Y Environmental Influences Individual Differences Acceptance Retention 8 4

5 For Information Internal search: retrieving know-ledge from memory External search: collecting information from peers, family, and the marketplace may be passive as consumers become more receptive to information around them, or consumers can engage in active search behavior 9 For Information Need Recognition Environmental Influences Internal Individual Differences E O R Y External 10 5

6 : Sources of Information arketer Dominated Non-arketer Dominated Stimuli 11 Information Processing Exposure Stimuli: -arketer Dominated -Nonmarketer Dominated Attention Comprehension Acceptance Retention E O R Y 12 6

7 : Sources of Information arketer Dominated Non-arketer Dominated Stimuli -Family and peers -Publications -Television ads -Internet or website -In-store displays or salespersons -Shopping 13 : Information Processing Exposure Attention Comprehension Acceptance Retention 14 7

8 CDP odel Need Recognition Stimuli Exposure Attention Comprehension Internal E OR Y Pre-purchase Evaluation of Alternatives Environmental Influences Individual Differences Acceptance Retention 15 Pre-purchase Evaluation of Alternatives The process of evaluating alternatives identified from search, which leads to product or brand most likely to satisfy the consumer Can use new or preexisting evaluations stored in memory Evaluative criteria: standards and specifications used to compare different products and brands 16 8

9 Pre-purchase Evaluation of Alternatives Aunt Jemima maple syrup focuses on the evaluative criteria of thickness in this advertisement 17 CDP odel Need Recognition Stimuli Exposure Attention Comprehension Internal E OR Y Pre-purchase Evaluation of Alternatives Purchase Environmental Influences Individual Differences Acceptance Retention 18 9

10 Purchase Purchase decisions involve choosing a form of retailing, a specific retailer, and a particular product and brand Purchase intention can change during the purchase stage--it can be influenced by factors such as in-store promotions, discounts, or stock-outs 19 bebe, a retailer of upscale clothing uses advertising to influence consumers to buy from its stores and purchase its brand 20 10

11 Need Recognition CDP odel Stimuli Exposure Attention Comprehension Internal E OR Y Pre-purchase Evaluation of Alternatives Purchase Environmental Influences Individual Differences Acceptance Consumption Retention 21 Consumption The process of using the product or service purchased Consumption can either occur immediately or be delayed Consumers may use products as intended or as they choose, especially when instructions are not included or not read How consumers use a product affects satisfaction with product 22 11

12 Consumption Appealing to consumers with easyto-use positioning Consumption-oriented product design and benefit 23 CDP odel Need Recognition Stimuli Exposure Attention Comprehension Internal E OR Y Pre-purchase Evaluation of Alternatives Purchase Environmental Influences Individual Differences Acceptance Consumption Retention Post-consumption Evaluation External Dissatisfaction Satisfaction 24 12

13 Post-consumption Evaluation Satisfaction: when expectations are met or exceeded by perceived performance Dissatisfaction: when performance falls short of expectations Consumption is an important determinant of satisfaction Cognitive dissonance: questioning decision (post-purchase regret) Emotion affects evaluation 25 CDP odel Need Recognition Stimuli Exposure Attention Comprehension Internal E OR Y Pre-purchase Evaluation of Alternatives Purchase Environmental Influences Individual Differences Acceptance Consumption Retention Post-consumption Evaluation External Dissatisfaction Divestment Satisfaction 26 Blackwell, iniard, and Engel, Consumer Behavior, Ninth Edition, Copyright 2001 by Harcourt, Inc. All rights reserved. 13

14 Divestment How consumers dispose of the packaging or product after use Options include: Disposal Remarketing or reselling Recycling Consumers environmental concerns about divestment may affect product choice 27 Divestment entadent sells toothpaste in a dualchambered pump, which can be filled with refills and reused rather than thrown away each time 28 14

15 Variables Shaping the Decision Process (1 of 3) Individual Differences: Demographics, psychographics, values, and personality Consumer resources otivation Knowledge Attitudes 29 Variables Shaping the Decision Process (2 of 3) Environmental Differences: Culture: values, ideas, artifacts, and symbols that help individuals interpret, communicate, and evaluate as members of society Social Class Family Personal Influence Situation 30 15

16 Variables Shaping the Decision Process (3 of 3) Psychological Processes Influencing Consumer Behavior Information processing Learning Attitude and behavior change 31 Types of Decision Processes Consumer Decision Process Continuum Extended Problem Solving (EPS) idrange Problem Solving Limited Problem Solving (LPS) High Low Degree of Complexity 32 16

17 Consumer Decision Process Continuum: Repeat Purchases Extended Problem Solving idrange Problem Solving Limited Problem Solving Habitual Problem Solving High Low Degree of Complexity 33 Types of Decision Processes Initial Purchase Extended Problem Solving (EPS): Often occurs with expensive items or can be fueled by doubts and fears Importance in making the right decision All seven consumer decision making stages are often activated Dissatisfaction is often vocal 34 17

18 Types of Decision Processes Initial Purchase Limited Problem Solving (LPS): Consumers don t have motivation, time, or resources to engage in EPS Little search and evaluation before purchase ore common among low involvement or lower price items Often accompanied by a feeling of indifference toward choice 35 Types of Decision Processes Repeat Purchase Repeated Problem Solving Habitual Decision aking Impulse Buying Unplanned, spur-of-the-moment action triggered by in-store display or promotion (least complex form of LPS) Variety Seeking Brand shifts Can be triggered because bored with current brand or because of special offer 36 18

19 Nestle appeals to consumers variety seeking behavior by promoting a variety of desserts for each day of the week (variety without brand switch) 37 Factors Influencing Problem Solving Extent Degree of Involvement (High-Low) Personal Factors (self-image, health, beauty or physical condition) Product Factors (is there perceived risk in purchasing a particular brand or product?) Situational Factors (is the product purchased for personal use or as a gift?) Perceptions of differences among alternatives 38 19

20 Factors Influencing Problem Solving Extent Time Availability How much time is available to devote to solving the problem? How quickly does the decision need to be made? Consumers ood State How people feel at a particular moment of time ood can reduce or increase length and complexity of decision process Review Question List and briefly explain the variables that shape the decision process