Chapter 5: Consumer Decision Making
Cultural Influences on Buying Decisions
- Cultures and Values - Understanding Culture differences - Subculture - Social Class
Individual Influences on Consumer Buying Decisions
- Gender - Age - Family Life Cycle Stage - Personality, Self Concept & Lifestyle
Psychological Influences on Consumer Buying Decisions
- Perception: selective retention/distortion - Motivation: Needs (psychological, safety, social, esteem, self-actualization) - Learning: stimulus generalization/discrimination - Beliefs and Attitudes: changing beliefs about attributes, importance of beliefs, adding new beliefs
5 Components of the Consumer Decision Making Process
1) Need Recognition: stimuli triggers awareness of an unfulfilled want 2) Information Search: the consumer may engage in an external or internal information search 3) Evaluation of Alternatives: consumer evaluates additional information and establishes purchasing guidelines 4) Purchase 5) Postpurchase Behaviour - Cognitive Dissonance *Cultural, social, individual and psychological factors affect each step
Reference Groups
Direct: primary/secondary OR Indirect: aspirational/non-aspirational
Consumer Behaviour
How consumers make purchase decisions and how they use and dispose of purchased goods or services; also includes the factors that influence purchase decisions and product use
Cognitive Dissonance
Inner tension that a consumer experiences after recognizing an inconsistency between behaviour and values or opinions
Why is consumer behaviour important for marketing managers to understand?
It reduces marketing managers' uncertainty when they are defining a target market and designing a marketing mix
Opinion Leaders
People you know OR Celebrities
3 Social Influences on Consumer Buying Decisions
Reference Groups Opinion Leaders Family
Consumer Buying Decisions: Customer Involvement
Routine Response> Involvement: low Time: short Cost: low Information Search: only internal # of Alternatives: one Limited Decision Making>> Involvement: low to moderate Time: short to moderate Cost: low to moderate Information Search: mostly internal # of Alternatives: few Extensive Decision Making >>> Involvement: high Time: long Cost: high Information Search: internal/external # of Alternatives: many
Family
Socialization Process: initiators, influencers, decision makers, purchasers, consumers
