Consumer Behavior

Why do we need consumer behaviour?

We need consumer behaviour in order to build marketing strategies. In the other hand we need marketing strategies in order to to target audience and consumers. We need consumers to maximize our profits. We need profits to maintain sustainability. It’s a chain.

The Consumer Decision-Making Process Stages

1) Problem Recognition:

2) Information Search:

3) Evaluation of Alternatives:

4) Purchase Decision:

5) Post-Purchase Behavior:

Influences on consumer behavior

Internal factors influencing consumer behavior include:

• Psychological factors: Perception, motivation, and learning.

• Personality and self-concept: Individual traits and self-perception affecting choices.

• Attitudes and beliefs: Positive/negative feelings and convictions about products or brands.

External factors influencing consumer behavior include:

• Social influences: Family, reference groups, and social status.

• Cultural influences: Shared values, norms, and subcultural differences.

• Economic factors: Impact of economic conditions on purchasing power.

• Technological and environmental factors: Technology's role and environmental concerns in shaping preferences.

Psychological Influences on Consumer Behavior

• Motivation and Needs

  Consumer Needs:

  • Functional: Practical use (e.g., energy-efficient washing machine).

  • Social: Acceptance and status (e.g., luxury cars).

  • Emotional: Personal satisfaction (e.g., comfort foods).

• Perception

  Stages of Consumer Perception:

  • Exposure: Initial contact with a stimulus (e.g., seeing a car ad on a billboard).

  • Attention: Focus on a stimulus influenced by novelty, emotion, or relevance (e.g., an eye-catching ad).

  • Interpretation: Making sense of the stimulus based on experiences and beliefs (e.g., differing views of an ad).

• Learning and Memory

  Theories of Learning:

  • Classical conditioning: Associating a neutral stimulus with a meaningful one to elicit a positive response (e.g., Coca-Cola's festive ads creating emotional connections).

  • Operant conditioning: Shaping behavior through rewards or punishments (e.g., loyalty programs offering points for repeat purchases).

How memory affects consumer behavior

Memory Processes in Consumer Behavior:

• Encoding: Transforming marketing information into memory

• Storage: Retaining information

• Retrieval: Accessing stored information using cues like logos or slogans

Social and Cultural Influences on Consumer Behavior:

• Social Influences:

  • Family: Joint decisions, parental/children’s influence, and life stages (e.g., young singles to retirees).

  • Reference Groups: Primary (family), secondary (associations), aspirational, and dissociative groups.

  • Social Class: Income, education, and status affect preferences and consumption patterns.

• Cultural Influences:

  • Culture: Shared values and norms shape behavior (e.g., individualism vs. collectivism).

  • Subcultures: Ethnic or lifestyle groups with distinct needs influence preferences.

Rational Decision-Making Process:

1. Problem Identification: Recognizing a need (e.g., unreliable car needing replacement).

2. Information Gathering: Researching options (e.g., car models, reviews, costs).

3. Evaluation: Comparing alternatives based on criteria (e.g., safety, price).

4. Decision Making: Choosing the best option that aligns with goals and needs.

5. Post-Purchase Evaluation: Assessing if the choice met expectations (e.g., car performance).

Emotional Decision-Making Process:

1. Emotional Trigger: A feeling or emotion prompts the decision (e.g., desire for comfort or status).

2. Emotional Response: Choices are based on feelings rather than logic (e.g., choosing a product tied to positive memories).

3. Decision Making: The choice satisfies emotional or psychological needs (e.g., brand association with personal identity).

4. Post-Purchase Reflection: Assessing if emotional satisfaction was achieved, regardless of rationality.