Consumer Behavior - Chapter 9

Decision Making Perspectives

1. Rational perspective

2. Behavioral influence perspective

3. Experiential perspective

Rational perspective - Decision making perspective

Consumers make decisions logically by carefully comparing information, prices, features, and benefits to choose the option that provides the most value. Ex. Comparing three laptops based on price, battery life, storage, and performance before purchasing.

Behavioral influence perspective - Decision making perspective

Consumers' decisions are influenced by their surroundings, marketing, social pressures, and the environment in which they make decisions. Ex. Buying a certain brand of shoes because your friends wear them or because you saw an advertisement.

Experiential perspective - Decision making perspective

Consumers makes decisions based on feelings, emotions, enjoyment, and personal experiences rather than carefully analyzing every option. Ex. Buying an expensive coffee because you enjoy the experience and atmosphere of the coffee shop.

Types of consumer decisions

Habitual decisions making: Consumers regularly purchase products without much thought because they are familiar with the product or brand.

Limited problem solving: Consumers put some effort into comparing products but do not conduct extensive research.

Extended problem solving: Consumers spend considerable time and effort researching and comparing alternatives before making an important purchase.

Consumer Decision-Making Process

1. Need recognition: The consumer realizes there is a problem or need that must be satisfied.

2. Information search: The consumer searches for information about products or services that could satisfy the need.

3. Evaluation of alternatives: The consumer compares the available options based on important criteria.

4. Purchase: The consumer chooses and purchases a product or service.

5. Post purchase evaluation: The consumer evaluates whether the product met their expectations and whether they are satisfied with the purchase.

Economics of Information

How consumers decide how much time, effort, and money to spend gathering information before making a purchase.

Product Categorization

The process of organizing products into groups or categories based on their similarities.

Levels of Categorization

Refer to how broadly or specifically consumers classify products. 

1. Superordinate level - Dessert

2. Basic level - fattening dessert vs. non-fattening dessert

3. Subordinate level - ice cream, cookies, brownies vs. fruit, yogurt

Market Beliefs

Consumers' assumptions or beliefs about products, brands, or the marketplace. Ex. A consumer believes expensive products are always better quality.

Country of Origin

The country that consumers associate with a product's manufacturing or production. It can influence how consumers perceive the product's quality, reputation, and value. Ex. A consumer may associate Italy with fashion and luxury goods.