5 Analyzing Consumer Markets
5 Analyzing
Consumer Markets
Chapter Questions
How do consumer characteristics influence buying behavior?
What major psychological processes influence consumer responses to marketing?
How do marketers analyze consumers decision making?
5-2
Model of Consumer Behavior
5-3
Consumer Behavior
5-4
Consumer Behavior is the study of how individuals, groups, and organizations select, buy, use, and dispose goods, services, ideas or experiences to satisfy their needs and desires.
What Influences Consumer Behavior?
Cultural FactorsCultural Factors
Social FactorsSocial Factors
Personal FactorsPersonal Factors
5-6
What is Culture?
Culture is the fundamental determinant of a person’s wants and behaviors acquired through socialization processes with family and other key institutions.
Subcultures
Nationalities
Religions
Racial groups
Geographic regions
5-7
A Few Facts About the American Culture
The average American:
spends 32% of income of housing, 8% on food at home and 6% on food away home.
has 1.9 vehicles per household.
spends 9.34 hours on sleeping and personal care a day.
chews 300 sticks of gum a year.
goes to the movies 9 times a year.
takes 4 trips a year.
attends a sporting event 7 times a year.
5-8
Cultural Factors: Social ClassesUpper uppers
Lower uppers
Upper middles
Middle
Working
Upper lowers
Lower lowers
5-9
Characteristics of Social Classes
Within a class, people tend to behave alike
Social class conveys perceptions of inferior or superior position
Class may be indicated by a cluster of variables (occupation, income, wealth)
Class designation is mobile over time
Social Factors
Referencegroups
Social roles Statuses
Family
5-10
Social Factors: Reference Groups
Membership groupsMembership groups
Primary groupsPrimary groups
Secondary groupsSecondary groups
Aspirational groupsAspirational groups
Dissociative groupsDissociative groups
5-11
5-12
Social Factors: Family Distinctions Affecting Buying Decisions
Family of Orientation: parents and siblings
Family of Procreation: spouse and children
5-13
Social Factors: Roles and Status
What degree of status is associated with various occupational roles?
Personal Factors
Age
Values
Life cyclestage
Occupation
Personality
Self-concept
Wealth
Lifestyle
5-14
5-15
LOHAS Market Segments (Lifestyles of Health and Sustainability)
Sustainable Economy (green goods, renewable energy, socially responsible investing, resource efficient products)
Healthy Lifestyles (organic and nutritional products)
Ecological Lifestyles (ecological home/office products, environmentally friendly products, ecotourism)
Alternative Health Care (homeopathy)
Personal Development (yoga, fitness, weight loss, CDs, books, seminars)
Key Psychological Processes
Motivation
MemoryLearning
Perception
5-16
5-17
Motivation
Freud’sTheory
Behavioris guided by subconsciousmotivations
Maslow’sHierarchyof Needs
Behavioris driven by
lowest, unmet need
Herzberg’sTwo-Factor
Theory
Behavior isguided by motivating
and hygienefactors
Maslow’s Hierarchy of Needs
5-18
Herzberg’s Two-Factor Theory
5-19
Perception
Selective Attention
Selective Distortion
Selective Retention
5-20
Learning
5-21
changes in behavior arising from experience
Memory
5-22
Consumer Buying Process
Problem Recognition
Information Search(personal, commercial,
public, experiential)
Evaluation
Purchase Decision
PostpurchaseBehavior
5-23
Successive Sets in Decision Making
5-24
Expectancy-Value Model: A Consumer’s Brand Beliefs about Laptop Computers
5-25
Weights 40% 30% 20% 10%
5-26
Perceived Risk
Functional – doesn’t perform up to expectations
Physical – poses a threat to the physical well-being or health of the user or others
Financial – product isn’t worth the price paid
Social – results in embarrassment from other
Psychological – affects the mental well-being of the user
Time – the failure of the product results in an opportunity cost of finding another good product
Steps Between Alternative Evaluation and Purchase
5-27
How Customers Use or Dispose of Products
5-28