MKTG 409 Chapter 6

Fall 2023. Dr. William Pride

Buying Behavior

The decision process and actions of people involved in buying and using products

Consumer Buying Behaviors

Buying behavior of those who consume products, not for business purposes

Reasons to Understand Buying Behavior

1. Customers’ Opinions have an impact on a firm’s success

2. creating a marketing mix to meet customer needs

3. To understand the future effect of marketing strategies

Consumer Buying Decision Process

1. Identifying a problem

2. Gathering Information

3. Evaluation of Alternatives

4. Purchase

   1. Post Purchase Evaluation

Influences Of Buying Process

1. Situational

2. Physiological

3. Social

Situational Influences

• Physical Surroundings

• Social Surroundings

• Time

• Purchase Reason

• Buyers mood and condition

Psychological Influences

• Perception

• Motivation

• Learning

• Attitudes

• Personality and Self-concept

• Lifestyles

Social Influences

• Roles

• Family

• Reference Groups

• Digital

• Opinion Leaders

• Social Classes

• Cultural and Subcultural

Problem Recognition

When a buyer becomes aware of a difference in a desired state and an actual condition

Marketing a Problem…

can lead consumers to identify problem and a desired state

Internal Search

Buyers search their memories for information about the products that might solve their problem

External Search

Searching for information via outside resources

Independent Sources

unbiased and factual sources. Governments, Consumer Reports, new presentations, and publications

Reptition

Act of repeating advertising to consumers to increase retention and recall. Beneficial unless consumers tire of it.

Consideration Set

group of brands consumers view as possible alternatives

A Brand Consumers have heard of

A greater value to customers even if it is one the customer has only heard the name of

Evaluation Criteria

Objective and Subjective characteristics that are important to the customer

Framing the alternatives

describing the alternatives and their attributes in a certain manner. (ex. large signing in stores describing products in a certain way) Predatory towards inexperienced buyers

Affects Purchase

Avaibility of product, enviroment of seller, price, delivery, warranties

Woman’s Post Purchase Evaluation

has lesser effect of dissatisfaction then men, who are more likely to shop else where

Cognitive Dissonance

Doubts in the buyer’s mind about whether purchasing was the right decision. Most likely to arise after purchasing an expensive item, or finding an item on sale a week after the purchase.

Routinized Response Behavior

When buying frequently purchased, low-cost items that require very little search and decision effort. Satisfaction with most brands but may have a preference. (ex. groceries)

Extended Decision Making

High Involvement, unfamiliar, expensive, or infrequent purchased items. (ex. a car, computer)

Limited Decision Buying

purchase products occasionally or from unfamiliar brands in a familiar product category. requires slightly more time for information gathering. (ex. experiencing a new brand instead of utilizing the routined brand)

Impulse Buying

Involves no conscious planning and stems from a powerful urge to buy something immediately. Promentily food (Ex. Can't by cash registers)

Level of Involvement

The degree of interest in a product and the importance the individual places on that product.

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High: Visiting a winery, and placing importance on the product

Low: buying cheap wine, with little apathy

Enduring Involvement

Long-term ongoing interest in a product or product category. (ex. hardcore apple customers)

Situational Involvement

Temporary and Dynamic results from a particular set of Circumstances. (ex buying a new laptop since the laptop broke down before an assignment was due)

Situational Influences

Results from circumstances, time, and location that affect the consumers buying decision. (buying a tire after noticing it worn out)

Situational Influences Categories

• Physical Surroundings

• Social Surroundings

• Time Perspective

• Reasons For Purchase

• Buyer’s Momentary Mood and Condition

Physical Surrondings

Location, store atmosphere, scents, sounds, lightning, weather, and other factors in the physical environment in which the decision making process occurs. (Ex. atmosphere of a football stadium)

Social Surroundings

Friends, Relative, Salespeople, and other customers.

Time Dimension

affects buying process by the length of buying process, time of product use, and time of the day, week, month, or year. (ex. an apple customer might wait in line to get new product asap)

Reason For Purchase

involves what the product should accomplish

Perfection Charge

a charge added onto a product that is added for a premium event. (wedding have perfection charges)

Buyers mood

affects the buying process by the current state of mind of the customer

Psycological Influences

• perception

• motivation

• learning

• attitudes

• personality

• self-concept

  Operates internally but is affected by external social forces

Selective Exposore

Selecting the sensory inputs to pay attention to. Change in an environment or intensity calls selection to change

Selective Distortion

Changing or Twisting received information. (ex sticking with favorite brand when other is superior

Perception

The Process of selecting, organizing, and interpreting information inputs to produce meaning.

information Inputs

Sensations received through the senses.

Inputs most likely to reach awareness

• Change in Stimuli. (waking up to a loud commercial)

• inputs that relate to an anticipated event (listening to road noise when anticipating a friend coming over; noticing time go by in boring class)

• Inputs relate to our needs. (fast food commercials airing during meal times)

Selective Retention

remembering inputs that support personal feelings and beliefs and forgetting inputs that do not. (ex. homeopathy)

Closure

missing information in a way that conforms to a pattern or statement. Used to draw attention to a product via incomplete advertising

Steps of Perception

1. Perceptual Selection

2. Perceptual Organization

3. Perceptual Interpretation

ways to organize perception

• figure ground

• Grouping

• Closure

Figure Ground (figure and background)

Perception organizations where inputs that stand out some forward and the rest go to the background. (looking at the vase or two woman picture, headline in newspapers)

Grouping

putting inputs into groups or categories based on similarities, proximity, or continuity.

We interpret things based on…

Whats familar to us

Perception affects…

what we buy, where we buy, and how we buy.

Changes in Brand

May face backlash out of customer expectations if not promoted properly

Problems with attempting to control perception

1. Customers may block out marketing attempt

2. Misinterpretation of information presented

3. Inconsistent with beliefs

Motivation

inner driving forces or reasons behind an individual’s actions and behaviors. force that moves you to behave the way you do

Motivational Theories

• equilibrium theory

• Hierarchy Theory

• Self Theroies

Equilibrium Motive Theory

The idea that people seek mental stability or homeostasis. people will accept changes if it help balance achieve a better mental balance

Self Motive Theory

based upon the idea that a person has a perception of themselves they wish to project to enhance that self-image. not necessarily aligned with their true self but rather what they want others to see

People are motivated to…

• Maintain a current acceptable state of being

• improve their state of being to a desired level

• Avoid negative consequences

Maslow’s Hierarchy of Needs

Top: Self - Actualization

Esteem Needs

Social Needs

Safety Needs

Bottom: Physiological Needs

Physiological Needs Market

Food/Sex appeal

Saftey Needs Market

insurance, smoke detectors, air bags, and tooth paste

Social Needs

Human requirements for love, belonging, and affection. Advertisements aim at this for cosmetics, jewelry, and anything that may bring acceptance.

Esteem Needs

People require respect and recognition from others as well as a sense of oneself’s self-worth. ( ex. buying things that signify status)

Self-actualization needs

refers to people’s needs to grow and develop and to become all that they are capable of being. (ex. Education)

Learning

changes in behavior that result from previous behavior (or someone telling us about their experiences). Consequences of behavior strongly influence

Types of Simple Learning

• Classical Conditioning

• adaptive behavior; adaptive learning; operate learning

Classical Conditioning

Idea that a stimuli can be substituted for another and obtain the same result. (dogs salivating at a bell ringing just because in the past before they ate a bell rang)

Adaptive Behavior; Adaptive Learning; Operate Learning

Substitute one response for another even though one stimulus situation stays the same. (a brands loses it’s satisfaction)

Measures of Advertising Learnings

• unaided recall

• aided recall

• recognition method

Unaided Recall

recalling something without any clue or cues

Aided Recall

recalling something with clues or cues

Recognition Method

Recalling something by being exposed to what your trying to recall

Zara

Recycle clothing company with new fresh styles every two weeks

Inexperienced Buyers are likely to

Get info from more experienced buyers with self confidence

Attitude

An individual enduring evaluations of feelings about and behavioral tendencies.

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Or

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**the level of knowledge and the feelings that a person has about an object. are learned**

strongest attitudes

are related to ones central value system

Peripheral Attitudes

Not strongly held and easier to change than strongly held ones

Honda

Originally solely a motorcycle company who overcame the negative attitudes of motorcycle via “The nicest people ride ______ “ ad campaign

Cognitive Attitude

The Person’s Knowledge and information about the object or idea. (ex. knowing more about unhealthy food creates a negative cognitive attitude toward it.)

Affective Attitudes

The feelings and emotions toward the object or idea.

Behavioral Attitudes

Manifested in people’s actions regarding the object or idea

Fishbein Model

The attitude toward the object model

Theory of Reasoned Action

the behavioral intentions model. Focuses on intentions to act or purchase; considers consumers’ perceptions of what other people think is the best choice

Elements of Attitude Models; Combines to form the Overall attitude toward the object

• Beliefs about product attributes

• the strength of beliefs

• the evaluation of beliefs

Attitude Scale

utilized to measure attitude; Consists of a series of Adjectives, Phrases, or sentences about an object.

Information-focused campaign

Firms launch to change negative attitudes about an object. Lengthy and expensive

Personality

set of internal and distinct behavioral tendencies that result in consistent patterns of behavior in certain situations. Or uniqueness of an individual; Can change overtime

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Self Concept

One’s perception or view of oneself

Lifestyle

an Individual pattern of living expressed through **activities, interests,** and **opinions**

PRIZM

popular frameworks for understanding consumer lifestyles. leading consumer behavior company

Roles

Sets of actions and activities a person in a particular position is supposed to perform based on the expectations of both the individual and surrounding persons. A person may have many depending on the number of activities they participate in

Consumer Socialization

The process in which a consumer gains the knowledge in skills to function as a consumer. often gained through parents and siblings

Strangers on online reviews…

have a stronger effect on those from people that are known, because their value system is unknown and the way they think,

Categories of Family Decisions Making process

• Automic

• Husband Dominant

• Wife Dominant

• Synranic

Primary Decision Maker in Families

Woman; Make up 85% of all consumer purchases

Husband Dominant Products

Lawnmowers, hardware and tools, stereos, automobile parts

Wife Dominant Products

Children’s clothing, womens clothes, groceries, household furnishing

Autonomic Family Decision Making

Decisions made by either the wife or husband but not both. Men’s clothing, luggage, toys and games, sporting equipment, cameras

Syncretic Family Decision Making

Decisions made by both the husband and wife. Vacations, TVs, Living room furniture, financial planning, and family cars.

The Gatekeeper

The household member who collects and controls information

The Influencer

The household member who tries to sway buying decisions by expressing opinions