UNIT 4 UNIT 4 Consumer and business to Consumer and business-to- - PowerPoint PPT Presentation

UNIT 4 UNIT 4 Consumer and business to Consumer and business-to- business market buyer behaviour: understanding what drives understanding what drives customers and how marketers use the knowledge effectively the knowledge effectively 1 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Obj Objectives ti The relationship between marketing and buyer behaviour Model of consumer buyer decision-making Consumer buying decision roles Buying decision choice sets Ways consumers evaluate alternatives y Post purchase behaviour Business Buying Behaviour us ess uy g e a ou 2 CuuDuongThanCong.com https://fb.com/tailieudientucntt

C Consumer Buying Behaviour B i B h i Consumer Buying Behaviour refers to the buying behaviour of final consumers - individuals & households - who buy goods and services for personal consumption. These final consumers make up the consumer market. The central question for marketers is: – “How do consumers respond to various marketing efforts the company might use?” k ti ff t th i ht ?” 3 CuuDuongThanCong.com https://fb.com/tailieudientucntt

M d l Model of Buyer Behaviour f B B h i 4 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Factors Influencing Consumer Behaviour g Personal Social •Age & lifecycle stage •Household type Psychological •Occupation Occupation •Reference groups Reference groups •Motivation Moti ation •Education •Roles & status •Perception •Economic situation •Learning (memory) •Beliefs & attitudes •Personality & P lit & self-concept Consumer Buyers’ responses •Product service & category selection g y BUYER DECISION BUYER DECISION •Brand selection PROCESS •Reseller selection Marketing programs •Purchase timing & •Marketing objectives Experiences Lifestyle repurchase intervals p •Marketing strategy Marketing strategy •Purchase amount •Marketing mix Cultural Environmental influences •Culture •Culture •Economic E i •Subculture •Technological •Social Class 5 •Political CuuDuongThanCong.com https://fb.com/tailieudientucntt

Factors Influencing acto s ue c g Consumer Behaviour 6 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Factors Affecting Consumer acto s ect g Co su e Behaviour: Culture Culture is the Most Basic Cause of a Person's Wants and Behavior. Wants and Behavior. Subculture • Groups of people with shared • Groups of people with shared value systems based on common life experiences. • Hispanic Consumers Hispanic Consumers • African American Consumers • Asian American Consumers • Mature Consumers 7 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Factors Affecting Consumer acto s ect g Co su e Behaviour: Culture Social Class Social Class • Society’s relatively permanent & ordered divisions whose members share similar values interests share similar values, interests, and behaviours. • Measured by a Combination of: Occupation Income Education Occupation, Income, Education, Wealth and Other Variables. 8 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Factors Affecting Consumer acto s ect g Co su e Behaviour: Social Groups Membership, Reference, p, , or Aspirational Family Most Important Consumer Buying Organization Roles and Status 9 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Factors Affecting Consumer acto s ect g Co su e Behaviour: Personal Personal Influences Age and Life Economic Personality & Occupation p Cycle Stage Cycle Stage Situation Situation Self Concept Self-Concept Lifestyle Identification Lifestyle Identification Activities Activities Interests Interests Opinions O i i 10 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Factors Affecting Consumer Factors Affecting Consumer Behavior: Psychological Motivation Psychological Factors Beliefs and Perception Affecting Attitudes Buyers Choices Learning 11 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Maslow’s Hierarchy of Needs M l ’ Hi h f N d 12 CuuDuongThanCong.com https://fb.com/tailieudientucntt

B Buyer Decision Process D i i P 13 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Buyer Decision Process uye ec s o ocess Step 1. Need Recognition Buyer Recognises a Internal Stimuli – External Stimuli- Problem Problem or a Hunger Friends Need Arising Arising From: 14 CuuDuongThanCong.com https://fb.com/tailieudientucntt

The Buyer Decision Process e uye ec s o ocess Step 2. Information Search •Family, friends, neighbors Personal Sources •Most effective source of i f information ti •Advertising, salespeople Commercial Sources •Receives the most information from these sources from these sources •Mass Media Public Sources •Consumer-rating groups •Handling the product Experiential Sources •Examining the product •Using the product •Using the product 15 CuuDuongThanCong.com https://fb.com/tailieudientucntt

The Buyer Decision Process The Buyer Decision Process Step 3. Evaluation of Alternatives Consumer May Use Careful Consumer May Use Careful Calculations & Logical Thinking Calculations & Logical Thinking Consumers May Buy on Impulse and Consumers May Buy on Impulse and Rely on Intuition Rely on Intuition Consumers May Make Buying Decisions Consumers May Make Buying Decisions on Their Own on Their Own Consumers May Make Buying Decisions Consumers May Make Buying Decisions Consumers May Make Buying Decisions Consumers May Make Buying Decisions Only After Consulting Others Only After Consulting Others Marketers Must Study Buyers to Find Out Marketers Must Study Buyers to Find Out How They Evaluate Brand Alternatives 16 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Types of Buying Decisions Types of Buying Decisions Hi h High L Low Involvement Involvement Significant g Complex Complex Variety- V i t differences Buying Seeking between Behaviour brands Behaviour Few Dissonance- Habitual ab tua differences differences Reducing Buying Buying between Behaviour brands Behaviour 17 CuuDuongThanCong.com https://fb.com/tailieudientucntt

B Buying Decisions i D i i Total Set - All potential products & services that might satisfy wants and needs. that might satisfy wants and needs. Awareness Set - Alternatives that the consumer is aware of Evoked (Choice) Set - Alternatives considered by consumers y Inept Set Inert Set 18 CuuDuongThanCong.com https://fb.com/tailieudientucntt

The Buyer Decision Process The Buyer Decision Process Step 4. Purchase Decision Purchase Intention Desire to buy the most preferred brand Desire to buy the most preferred brand Unexpected Unexpected Attitudes Attitudes Situational of Others Factors Purchase Decision 19 CuuDuongThanCong.com https://fb.com/tailieudientucntt

The Buyer Decision Process The Buyer Decision Process Step 5. Postpurchase Behaviour Satisfied Customer! issonance e Consumer’s Expectations of Product’s Performance Expectations of Product s Performance gnitive Di Product’s Perceived Performance Cog Dissatisfied Customer Dissatisfied Customer 20 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Using the decision making process model, trace a recent purchase each of you have trace a recent purchase each of you have made. Be sure to examine each of the five stages of the buyer decision process and detail your experiences in each stage detail your experiences in each stage. What could the seller have done to make your buying experience better? your buying experience better? Did you experience any cognitive dissonance? Explain. 21 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Stages in the Adoption Stages t e dopt o Process Awareness : Consumer becomes aware of the new product, but lacks information about it. Interest : Consumer seeks information about new product. Evaluation : Consumer considers whether trying the Evaluation : Consumer considers whether trying the new product makes sense. Trial : Consumer tries new product on a small scale to improve his or her estimate of its value. Adoption : Consumer decides to make full and regular use of the new product use of the new product. 22 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Ad Adopter Categories t C t i 23 CuuDuongThanCong.com https://fb.com/tailieudientucntt

Influence of Product Characteristics Influence of Product Characteristics on Rate of Adoption Communicability Communicability Relative Advantage Relative Advantage Can results be easily Can results be easily Is the innovation Is the innovation observed or described observed or described observed or described observed or described superior to existing superior to existing to others? to others? products? products? Compatibility Compatibility Divisibility Divisibility Does the innovation Does the innovation Can the innovation Can the innovation fit the values and fit the values and fit the values and fit the values and be used on a be used on a be used on a be used on a experience of the experience of the limited basis? limited basis? target market? target market? Complexity Complexity Is the innovation Is the innovation difficult to difficult to understand or use? understand or use? 24 CuuDuongThanCong.com https://fb.com/tailieudientucntt