marketing principles unit 4 customer and business behavior

UNIT Consumer and business business-toto business market buyer behaviour: understanding what drives customers and how marketers use the knowledge effectively CuuDuongThanCong.com https://fb.com/tailieudientucntt Obj ti Objectives The relationship between marketing and buyer behaviour Model of consumer buyer decision-making Consumer buying decision roles Buying decision choice sets Ways y consumers evaluate alternatives Post purchase behaviour Business us ess Buying uy g Behaviour e a ou CuuDuongThanCong.com https://fb.com/tailieudientucntt C i B h i Consumer B Buying Behaviour Consumer Buying Behaviour refers to the buying behaviour of final consumers individuals & households - who buy goods and services for personal consumption These final consumers make up the consumer market The central question for marketers is: – “How consumers respond to various marketing k ti efforts ff t the th company might i ht use?” ?” CuuDuongThanCong.com https://fb.com/tailieudientucntt M d l off B Model Buyer B Behaviour h i CuuDuongThanCong.com https://fb.com/tailieudientucntt Factors Influencing g Consumer Behaviour Psychological •Motivation Moti ation •Perception •Learning (memory) •Beliefs & attitudes •Personality P lit & self-concept Personal •Age & lifecycle stage •Occupation Occupation •Education •Economic situation Marketing programs •Marketing objectives Marketing strategy •Marketing •Marketing mix Consumer Buyers’ responses •Product service & category g y selection BUYER DECISION •Brand selection PROCESS •Reseller selection Experiences •Purchase timing & Lifestyle repurchase p intervals •Purchase amount Environmental influences •Economic E i •Technological •Political CuuDuongThanCong.com Social •Household type •Reference Reference groups •Roles & status Cultural •Culture •Subculture •Social Class https://fb.com/tailieudientucntt Factors acto s Influencing ue c g Consumer Behaviour CuuDuongThanCong.com https://fb.com/tailieudientucntt Factors acto s Affecting ect g Co Consumer su e Behaviour: Culture Culture is the Most Basic Cause of a Person's Wants and Behavior Subculture • Groups of people with shared value systems based on common life experiences • Hispanic Consumers • African American Consumers • Asian American Consumers • Mature Consumers CuuDuongThanCong.com https://fb.com/tailieudientucntt Factors acto s Affecting ect g Co Consumer su e Behaviour: Culture Social Class • Society’s relatively permanent & ordered divisions whose members share similar values values, interests, interests and behaviours • Measured by a Combination of: Occupation Income Occupation, Income, Education Education, Wealth and Other Variables CuuDuongThanCong.com https://fb.com/tailieudientucntt Factors acto s Affecting ect g Co Consumer su e Behaviour: Social Groups Membership, p, Reference,, or Aspirational Family Most Important Consumer Buying Organization Roles and Status CuuDuongThanCong.com https://fb.com/tailieudientucntt Factors acto s Affecting ect g Co Consumer su e Behaviour: Personal Personal Influences Age and Life Cycle Stage Occupation p Economic Situation Personality & Self Concept Self-Concept Lifestyle Identification Activities Interests O i i Opinions 10 CuuDuongThanCong.com https://fb.com/tailieudientucntt Factors Affecting Consumer Behavior: Psychological Motivation Beliefs and Attitudes Psychological Factors Affecting Buyers Choices Perception Learning CuuDuongThanCong.com 11 https://fb.com/tailieudientucntt M l ’ Hi Maslow’s Hierarchy h off N Needs d 12 CuuDuongThanCong.com https://fb.com/tailieudientucntt B Buyer D Decision i i P Process 13 CuuDuongThanCong.com https://fb.com/tailieudientucntt Buyer uye Decision ec s o Process ocess Step Need Recognition Internal Stimuli – Hunger Buyer Recognises a Problem or a Need Arising From: External Stimuli- Friends 14 CuuDuongThanCong.com https://fb.com/tailieudientucntt The e Buyer uye Decision ec s o Process ocess Step Information Search Personal Sources Commercial Sources Public Sources Experiential Sources •Family, friends, neighbors •Most effective source of i f information ti •Advertising, salespeople •Receives the most information from these sources •Mass Media •Consumer-rating groups •Handling the product •Examining the product •Using the product 15 CuuDuongThanCong.com https://fb.com/tailieudientucntt The Buyer Decision Process Step Evaluation of Alternatives Consumer May Use Careful Calculations & Logical Thinking Consumers May Buy on Impulse and Rely on Intuition Consumers May Make Buying Decisions on Their Own Consumers May Make Buying Decisions Only After Consulting Others Marketers Must Study Buyers to Find Out How They Evaluate Brand Alternatives 16 CuuDuongThanCong.com https://fb.com/tailieudientucntt Types of Buying Decisions High Hi h Involvement Low L Involvement Significant g differences between brands Complex Buying Behaviour VarietyV i t Seeking Behaviour Few differences between brands DissonanceReducing Buying Behaviour Habitual ab tua Buying Behaviour 17 CuuDuongThanCong.com https://fb.com/tailieudientucntt B i D Buying Decisions i i Total Set - All potential products & services that might satisfy wants and needs Awareness Set - Alternatives that the consumer is aware of Evoked (Choice) Set - Alternatives considered byy consumers Inept Set Inert Set 18 CuuDuongThanCong.com https://fb.com/tailieudientucntt The Buyer Decision Process Step Purchase Decision Purchase Intention Desire to buy the most preferred brand Attitudes of Others Unexpected Situational Factors Purchase Decision 19 CuuDuongThanCong.com https://fb.com/tailieudientucntt The Buyer Decision Process Step Postpurchase Behaviour Consumer’s Expectations of Product’s Product s Performance Product’s Perceived Performance Cog gnitive Diissonance e Satisfied Customer! Dissatisfied Customer 20 CuuDuongThanCong.com https://fb.com/tailieudientucntt Using the decision making process model, trace a recent purchase each of you have made Be sure to examine each of the five stages of the buyer decision process and detail your experiences in each stage stage What could the seller have done to make your buying experience better? Did you experience any cognitive dissonance? Explain 21 CuuDuongThanCong.com https://fb.com/tailieudientucntt Stages in the t e Adoption dopt o Process Awareness: Consumer becomes aware of the new product, but lacks information about it Interest: Consumer seeks information about new product Evaluation: Consumer considers whether trying the new product makes sense Trial: Consumer tries new product on a small scale to improve his or her estimate of its value Adoption: Consumer decides to make full and regular use of the new product product 22 CuuDuongThanCong.com https://fb.com/tailieudientucntt Ad t C Adopter Categories t i 23 CuuDuongThanCong.com https://fb.com/tailieudientucntt Influence of Product Characteristics on Rate of Adoption Communicability Relative Advantage Can results be easily observed or described to others? Is the innovation superior to existing products? Compatibility Divisibility Can the innovation be used on a limited basis? Complexity Does the innovation fit the values and experience of the target market? Is the innovation difficult to understand or use? CuuDuongThanCong.com 24 https://fb.com/tailieudientucntt R i i th Reviewing the C Concepts t Understand the consumer market and the major j factors that influence consumer buyer behaviour Identifyy and discuss the stages g in the buyer y decision process Describe the adoption and diffusion process for new products 25 CuuDuongThanCong.com https://fb.com/tailieudientucntt ... situation Marketing programs ? ?Marketing objectives Marketing strategy ? ?Marketing ? ?Marketing mix Consumer Buyers’ responses •Product service & category g y selection BUYER DECISION •Brand selection... values and experience of the target market? Is the innovation difficult to understand or use? CuuDuongThanCong.com 24 https://fb.com/tailieudientucntt R i i th Reviewing the C Concepts t Understand... the consumer market and the major j factors that influence consumer buyer behaviour Identifyy and discuss the stages g in the buyer y decision process Describe the adoption and diffusion process