Chapter 5. Final Consumers and Their Buying Behavior

Transcription

1 Chapter 5 Final Consumers and Their Buying Behavior Copyright 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

2 At the end of this presentation, you should be able to: 1. describe how economic needs influence the buyer decision process. 2. understand how psychological variables affect an individual s buying behavior. 3. understand how social influences affect an individual s buying behavior. 5-2

3 At the end of this presentation, you should be able to: 4. explain how characteristics of the purchase situation influence consumer behavior. 5. explain the process by which consumers make buying decisions. 6. understand important new terms. 5-3

4 Consumer Behavior for Marketing Strategy Planning (Exhibit 5-1) Final Consumers Organizational Consumers Chapter 5 Final Consumers and Their Buying Behavior Chapter 6 Business and Organizational Customers and Their Buying Behavior Marketing mixes Economic needs Psychological variables Person making Decisions Social Influences Other stimuli Culture Purchase situation Consumer Decision Process 5-4 Person does or does not purchase

5 A Model of Influences on Consumer Behavior (Exhibit 5-2) Marketing mixes Person making decision All other stimuli Economic needs Economy of purchase Convenience Efficiency Dependability Psychological variables Motivation Perception Learning Attitude Trust Lifestyle Social influence Family Social class Reference groups Culture Ethnicity International Purchase situation Purchase reason Time Surroundings Consumer decision process Person does or does not purchase (response) 5-5

6 Economic Needs Affect Most Buying Decisions Economic Buyers Decide to buy based on Economic Needs Economy of purchase or use Efficiency in operation or use Dependability in use Improvement of earnings Convenience 5-6

7 Income Affects Needs 5-7

8 Economic Needs Affect Many Buying Decisions But They re Not the Whole Story 5-8

9 Psychological Influences within an Individual Needs Wants Drives Consumers seek benefits to match needs and wants! 5-9

10 The PSSP Hierarchy of Needs (Exhibit 5-4) Personal Needs Social Needs Safety Needs Physiological Needs 5-10

11 A New Role for Yogurt 5-11 Copyright 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

12 Interactive Exercise: Needs McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

13 Checking Your Knowledge An individual s insistence on buying Johnson s baby bathing soap for his/her toddler can be termed as a: A. social need B. want C. safety need D. drive E. psychological need 5-13

14 5-14 Need Perception

15 The Learning Process (Exhibit 5-5) Drive Cues Response Reinforcement 5-15

16 Attitudes Relate to Buying Attitude: A Point of View Belief: An Opinion Green attitudes and beliefs Building Consumer Trust Meeting Expectations Is Important Key Issues Changing Negative Attitudes Ethical Issues May Arise 5-16

17 Psychographics Focus on Activities, Interests, and Opinions Activities Interests Opinions 5-17

18 Lifestyle Dimensions (Exhibit 5-6) Dimension Examples Activities Work Hobbies Social events Vacation Entertainment Club membership Surfing web Shopping Sports Interests Family Home Job Community Recreation Fashion Food Media Achievements Opinions Themselves Social issues Politics Business Economics Education Products Future Culture Demographics Income Age Family life cycle Geographic area Ethnicity Dwelling Occupation Family size Education 5-18

19 Social Influences Affect Consumer Behavior Family Life Cycle Acceptance of New Ideas by Youngsters Growing Singles Market Social Influences Relocation for Teens Empty Nesters Real Decision Maker 5-19

20 Family Life Cycle Influences Needs (Exhibit 5-7) Young divorced without children Middle-aged divorced without children Middle-aged married w/o children Young single* Young married w/o children* Young married with children* Middleaged married w/children * Middle-aged married w/o dependent children* Older married * Older unmarried * 5-20 Young divorced (or single) w/ children Middle-aged divorced w/ children Middle-aged divorced w/o dependent children Usual flow Recycled flow * Traditional family flow

21 5-21 Family Life Cycle 5-21 Copyright 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

22 5-22 Interactive Exercise: Family Life Cycle

23 Social Influences Affect Consumer Behavior Family Life Cycle Acceptance of New Ideas by Youngsters Growing Singles Market Social Influences Relocation for Teens Empty Nesters Real Decision Maker 5-23

24 Checking Your Knowledge 5-24 A travel and tour operator has announced luxury vacation packages to various destinations across the globe. The package includes overnight stays at opulent resorts and services from posh spas. Which of the following is most likely to be the target customer base for the said tour operator? A. Teenagers B. Single parents C. Middle-aged married with children D. Middle-aged married without dependent children E. Young-married with children

25 Simple Approaches for Measuring Social Class in the U.S. Occupation Education Type of Housing Location of Housing Income Is Not the Main Determinant! 5-25

26 Other Social Influences Reference Groups Opinion Leaders 5-26

27 Culture, Ethnicity, and Consumer Behavior Culture International Markets Consumer Behavior Ethnic Groups Stereotypes 5-27

28 Consumer behavior in International Markets 5-28

29 Individuals Are Affected by the Purchase Situation Purchase Reason Time Available Physical Surroundings 5-29

30 Expanded Model of Consumer Behavior (Exhibit 5-8) Marketing mixes Other stimuli Person making Decisions Economic needs Psychological variables Social influences Culture Purchase situation Consumer Decision Process Need awareness Routinized response Problem solving Information search Identify alternatives Set criteria Evaluate alternatives Purchase decision Afterpurchase experience Postpone Decision Feedback based on experience 5-30

31 Problem Solving Continuum (Exhibit 5-10) Low involvement Frequently purchased Inexpensive Little risk Little information needed Routinized Response Behavior Limited Problem Solving High involvement Infrequently purchased Expensive High risk Much information desired Extensive Problem Solving Low involvement High involvement 5-31

32 Limited or Extensive Problem Solving? 5-32

33 Problem Solving 5-33 Copyright 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

34 After-Purchase Experience After Purchase Experience Second Thoughts Spread the Word Post-Purchase Regret 5-34

35 Adoption Process Steps Awareness Interest Evaluation Trial Decision Dissonance may set in after the decision! Confirmation 5-35

36 You should now be able to: 1. describe how economic needs influence the buyer decision process. 2. understand how psychological variables affect an individual s buying behavior. 3. understand how social influences affect an individual s buying behavior. 5-36

37 You should now be able to: 4. explain how characteristics of the purchase situation influence consumer behavior. 5. explain the process by which consumers make buying decisions. 6. understand important new terms. 5-37

38 Key Terms 1. economic buyers 2. economic needs 3. discretionary income 4. needs 5. wants 6. drive 7. physiological needs 8. safety needs 9. social needs 10. personal needs 11. perception 12. selective exposure 13. selective perception 14. selective retention 15. learning 16. cues 17. response 18. reinforcement 19. attitude 20. belief 5-38

39 Key Terms 21. expectation 22. trust 23. psychographics 24. lifestyle analysis 25. empty nesters 26. social class 27. reference group 28. opinion leader 29. culture 30. extensive problem solving 31. limited problem solving 32. routinized response behavior 33. low-involvement purchases 34. dissonance 35. adoption process 5-39