MKTG 409, FOM 9ED, TB, CH. 6, CONSUMER BUYING POWER, FALL 22 .docx

Consumer Buying Behavior

Understanding why and how consumers make purchasing decisions to predict responses to marketing strategies.

Ultimate Consumers

Purchasers who buy products for personal or household use, not for business purposes.

Consumer Buying Decision Process

The stages include problem recognition, information search, evaluation of alternatives, purchase, and post-purchase evaluation.

Problem Recognition

When a consumer becomes aware of a difference between a desired state and an actual condition.

Internal Search

Stage in the consumer buying decision process where the buyer retrieves information from memory about potential solutions to a problem.

Problem Recognition

Stage in the consumer buying decision process where the consumer becomes aware of a need for a product.

Information Search

Involves internal and external searches for information about products to resolve a problem.

Internal Search

Initial search stage in the consumer buying decision process where the buyer retrieves information from memory.

Consideration Set

Group of brands viewed as possible alternatives by a buyer during the information search stage.

Purchase

Stage in the consumer buying decision process where the consumer decides from which seller to buy the product.

Consideration Set

Set of brands a buyer considers during the evaluation of alternatives stage.

Consideration Set

Brands a buyer evaluates during the consumer buying decision process.

Evoked Set

Group of brands considered as alternatives for purchase by a consumer.

Evaluative Criteria

Objective and subjective standards used to assess brands within the consideration set.

Evaluative Criteria

Attributes a buyer considers important when evaluating brands within the consideration set.

Marketer-Dominated Sources

Information sources controlled by marketers like salespeople, advertising, packaging, and displays.

Framing

Describing product alternatives and attributes in a way that influences consumer evaluations.

Framing

Influences the decision process of inexperienced buyers during the evaluation of alternatives stage.

Purchase

Stage in the consumer buying decision process where the consumer decides on the brand and seller.

Postpurchase Evaluation

Stage where doubts about the purchase decision may arise, leading to cognitive dissonance.

Cognitive Dissonance

Doubts about a purchase decision that may occur after buying a product.

Cognitive Dissonance

Doubts arising post-purchase, questioning the correctness of the purchase decision.

Influences on Consumer Buying

Categories include situational, social, and psychological influences.

Level of Involvement

Importance and intensity of interest in a product in a particular situation.

Level of Involvement

Determining factor based on interest and importance of a product for an individual.

Enduring Involvement

Intense interest affecting the purchase decision, as seen in Charles and Melody's search for a health club.

Situational Involvement

Influence on purchase decisions based on specific circumstances, as seen in Clarissa's luggage purchase.

Consumer Decision Making

Types include limited problem solving, extended problem solving, and routinized response behavior.

Routinized Response Behavior

Purchase process characterized by habitual buying behavior, like Brandon buying his favorite energy drink.

Routinized Response Behavior

Decision-making process likely used for routine purchases like toothpaste.

Extended Decision Making

Used for significant purchases like a new suit, while limited decision making is for less critical purchases like bed sheets.

Routinized Response Behavior

Buying frequently purchased, low-cost items that need little search effort.

Limited Decision Making

Occurs when a consumer purchases products occasionally or needs information about an unfamiliar brand in a familiar product category.

Extended Decision Making

The most complex decision-making behavior, which comes into play when a purchase involves unfamiliar, expensive, or infrequently bought products.

Selective Exposure

Admitting only certain inputs into consciousness.

Perception

The process of selecting, organizing, and interpreting sensations received through the sense organs.

Selective Retention

Remembering inputs that support personal feelings and beliefs and forgetting those that do not.

Perceptual Organization

The assignment of meaning to organized information inputs.

Closure

Mentally filling in missing elements in a pattern or statement during perceptual organization.

Motivation

Buyers' actions are affected by internal energizing forces geared toward satisfying needs, known as motives.

Selective retention

Consumers tend to remember information inputs that support their feelings and beliefs and forget inputs that do not.

Interpretation

Inputs that reach awareness are organized to produce meaning, and this meaning is interpreted in light of what is familiar to the individual.

Maslow's hierarchy of needs

Refers to the five levels of needs that humans seek to satisfy, from most to least basic to survival.

Attitude

One's evaluation, feelings, and behavioral tendencies toward an object or idea.

Patronage motives

Psychological influences that determine where a person purchases products on a regular basis.

Learning

The changes in thought processes and behavior caused by new information.

Attitude scale

A means of measuring consumer attitudes by gauging the intensity of individuals’ reactions to adjectives, phrases, or sentences about an object.

Social influences

The forces that other people exert on one's buying behavior.

Reference group

A group whose values, attitudes, or behaviors are adopted by an individual.

Reference Group Influence

Product for which purchasing and brand decisions are strongly influenced by reference groups.

Digital Influences

Online review sites and social networks reduce risk in trying an unknown product by providing information from others.

Word-of-Mouth Referrals

Digital influences have largely replaced word-of-mouth referrals from neighbors, coworkers, and friends.

Opinion Leader Effectiveness

An opinion leader is likely to be most effective when the follower has values and attitudes similar to the opinion leader.

Social Class

A social class is an open aggregate of people with similar social ranking.

Subculture

An open aggregate of people with similar social ranking is referred to as a subculture.

Social Class Grouping

Factors like occupation, education, income, and possessions are used to group people into social classes.

Subculture Division

A culture can be divided into subcultures based on geographic regions or human characteristics like age or ethnic background.

Subcultural Influence

Subculture influences consumer buying decisions, such as Jewish people consuming a majority of bagels in New York City.

Consumer Misbehavior

Shoplifting is an example of consumer misbehavior.

Consumer Fraud

Purposeful actions to take advantage of or harm others during a transaction are best described as consumer fraud.

Limited Decision Making

Kate's decision-making process for selecting an auto repair shop is an example of limited decision making.

Subcultures

Different groups within a society that share common values, customs, and behaviors, such as Hispanic families targeted by Toyota.

Evaluation of alternatives

The phase in the consumer buying process where individuals compare different options based on criteria like gas mileage, as seen with Alicia and Carlos.

High; low

Varying levels of involvement in buying behavior, like high involvement in purchasing cars and low involvement in shopping for groceries.

Situational influences

External factors affecting the consumer buying decision process, such as fatigue impacting decision-making.

Selective distortion

A psychological influence where consumers twist or change information to fit their personal beliefs, as seen in Tierra's perception of Apple.

Consumer misbehavior

Behavior credit card companies aim to prevent, like fraudulent purchases or stolen cards, through monitoring.

Problem recognition; information search

Stages in the traditional consumer buying decision process, where recognizing the need for a new car leads to seeking information.

Extended problem-solving behavior

Behavior exhibited by high involvement purchases like choosing a college or buying a first home.

Social needs

According to Maslow's hierarchy, the need for love and affection falls under this category of human needs.

Tangible items; intangible items

Components of culture that marketers must understand, including physical items like clothing and intangible aspects like social customs.

Consumer misbehavior

Lisa sharing her family's Netflix subscription with friends, costing the electronics and entertainment industries over $50 billion annually.

Enduring; situational involvement

Caleb's deep interest in football compared to Shang's temporary excitement during the Super Bowl.

Limited decision making

Kaitlyn's likely decision-making process when considering purchasing an ice tea maker from Teavana.

Information search

The stage in the consumer buying decision process that comes after problem recognition.

External information search; evaluation of alternatives

Sonya seeking advice from a friend when buying a car and weighing the benefits of different vehicles.

Postpurchase evaluation

Cognitive dissonance is most likely to occur during this part of the decision-making process.

Selective retention

Alberto's confidence in Chipotle's safety measures despite past incidents of E. coli outbreaks.

Social surroundings

Nicole being influenced by the presence of loud children at a restaurant despite other positive aspects.

Patronage motives

Samson's frequent visits to REI due to its product selection, staff friendliness, and environmental activism.

Dissociative reference group; aspirational reference group

Anna's negative view of jocks and admiration for those embracing the Gothic lifestyle.