[Group 5] Consumer Behaviour

8/6/2019 [Group 5] Consumer Behaviour

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Consumer buying behaviour


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Model of consumer behaviour


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Personal factors


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Personal

Age and Life-

cycle stage

Occupation

Economic

SituationLifestyle

Personality

and self-

concept


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Age and Life-cycle stage

Age

changes


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Children Teenager Youngster Adult Elder


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Family life-cycle


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Family life-cycle

No financial burden

Concern: fashion, car, mobile phone,.

Interest: travelling, party,

Demand for house

Concern: promotional products, kid-

related products and services,

Interest: household appliances,


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Psychological life-cycle

Satisfied Unsatisfied


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Occupation

Affects the goods and services bought.

Economic situation

Affects product choice.

Buy

goods and

sevices

W

atch trends in personal income, savings andinterest rates.

identify the occupational groups.


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Singer


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Business women


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Lifestyle

Lifestyle: expressed in consumers activities,

interests and opinions.

P

sychographics: the technique of measuringlifestyles.

AIO

dimensions

VALS

SINUS

ACE

Technographics scheme


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VietnameseWomen

Take care of their house.

Tend to cook for their

family.

Spend more money

more nutritious meals.

American Women

Too busy at work

fast food.

Tend to go to restaurants

Rarely do housework.


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Personality and Self-concept

Personality: confident, dynamic, aggressive.

Analysing consumer behaviour.

Self-concept: the complex mental pictures that

people have of themselves.


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Gentle, girly


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GROUPS

Membershipgroups

Person belongs to the

group

Have direct influence

Reference groupsHave direct (Face-to-

face) or indirect

influence on persons

attitudes or behavior


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Membership Groups

Primary Groups:regular and

informal interactionEx: family,

friends,neighbors, and

fellow workers

Secondary Groups:

less regular but

more formal

interactionEx: religious groups,

professional associations,

and trade unions.


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Reference groups

Aspirational group: A group to which an individual wishes to

belong.

Reference groups inuence a person in at least three ways :

Expose the person to new behaviours and lifestyles. Inuence the persons attitudes and self-concept because he or

she wants to t in.

Create pressures to conform that may affect the persons

product and brand choices.

Ex: Britney Spears is famous singer. And many teenage girls

idolise her. They identify with her, although they dont hace

face-to-face

People inreference group have special skills,

knowledge, personality or other characteristics influence on

others

Ex: if Ho Ngoc Ha choose Sunsilk as her favorite, many of her

fan will follow her


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Public Luxuries

Gofts Clubs

Yatchs

Private Luxuries

TV video games

Ice makers

Public Necessities

Cars

Dress clothes

Privete Necessities

Refregerators

Floor lamps

Group influence on brand choice

Strong Weak

Groupinfluence

on

product

choice

Strong

Weak

Figures 7.3


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Family

Family members can strongly inuence buyer behaviour.

The family of orientation: parents buyers provide orientation

towards religion, politics,economics, and a sense of personal

ambition, self-worth and love

The family of procreation: the buyers spouse and children

has a more direct inuence on everyday buying behaviour


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Consumers buying roles

Group members can inuence purchases in many ways. For

other products, the decision-making unit is more complicated

with people playing one or more roles

UserDecider

BuyerInfluencer

Initator


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Role and status

Role:The activities a person is expected to

perform according to the people around him

or her.

Ex: With his parents, David Beckham plays a role of son.

In her family, he plays a role of husband and father. In his

job, he is a famous football star.


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Status: The general esteem given to a role by

society.

Role and status


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Cultural factors


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CULTURE

Culture is the set of

basic values,

perceptions, wants

and behaviourslearned by a member

of society from family

and other important

institutions.


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Cultural ship


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Subculture

A group of people with shared value

systems based on common life experiences

and situations.

Nationalities

Religions

Racial groups Geographic regions


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Nationalities


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Racial groups


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Northern food


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Central food


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Southern food


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Social class

Relatively permanent and ordereddivisions in a society whose members share

similar values, interests and behaviours.


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National statistics socioeconomic classification

Classification Membership

1 Higher managerial and professional occupations

1.1 Employers and managers in large organisations (senior private

and public sector employees)

1.2 Higher professionals (partners in law firms, etc.)

2 Lower managerial and professional occupations (middle

managers andprofessionally qualified people)

3 Intermediate occupations (secretaries, policemen, etc.)

4 Small employers and sole traders5 Lower supervisory, craft and related occupations (skilled manual

workers)

6 Semi-routine occupations (shop assistants, etc.)

7 Routine occupations (semi-skilled or unskilled manual workers)


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Lower class


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PSYCHOLOGICAL FACTORS

Motivation

Perception

Learning Beliefs and attitudes


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MOTIVATION

Motive is a need that is sufficiently pressing to

direct the person to seek satisfaction of the

need.

Two popular theories of human motivations:

theories of Sigmund Freud and Abraham

Maslow.


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FREUDS THEORY OF MOTIVATION

People are largely unconscious of the real

psychological forces shaping their behaviour.

A person do not fully understand his or her

motivation.


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FREUDS THEORY OF MOTIVATION

She may wants to describe her motive as the

following:

Her current phone is too old.


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MASLOWS THEORY OF MOTIVATION

Human needs are arranged in a hierarchy,

from the most pressing to the least pressing.

A person tries to satisfy the most important

need first. When that important need is

satisfied, it will stop being a motivator and the

person will then try to satisfy the next most

important need.


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MASLOWS THEORY OF MOTIVATION

7 self-actualisati

onneeds

6 aesthetic

needs5 cognitiveneeds

4 esteem needs

3 social needs

2 safety needs

1 physiological needs


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PERCEPTION

The process by which people select, organise

and interpret information to form a

meaningful picture of the world.


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PERCEPTION

SIGHT, HEARING, SMELL,

TOUCH, TASTE

PERCEPTION

ACTS


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PERCEPTION

PERCEPTION

SELECTIVEATTENTION

Screen out

most of the

information towhich they are

exposed.

SELECTIVEDISTORTION

Adapt

information topersonalmeanings.

SELECTIVERETENTION

Retain only part of theinformation to which

they are exposed,usually informationthat supports theirattitudes or beliefs.


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PERCEPTION SELECTIVE ATTENTION

Ex: Everyday people are exposed to about 1500advertisements. However we can onlyremember 3 or 4 of them.

If a person is in the market for the product, thead has to stand out from the numerous of thesame type ads.

If a person is not in the market for the product,usually he will not remember anything aboutthe ad.


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PERCEPTION SELECTIVE ATTENTION

If a person is not in the market for the product,

usually he will not remember anything about

the ad.

marketers have to work really hard to draw

the attention of consumers.


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PERCEPTION SELECTIVE DISTORTION

Ex: Haphuong goes to a mall to seek advice on

purchasing a new cell phone.

The salesperson compares iphone 4 and HTC

desire.


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Better

Battery

BetterEngine

Better

Image

Better

Storage

Better

Software

BetterPrice


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Ex: However, as Haphuong wants to have an

iphone 4, she will tend to ignore good points

ofHTC desire and distort bad points of its.


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PERCEPTION SELECTIVE RETENTION

Ex: As Haphuong ignore good points ofHTC

desire and distort bad points of its, she also

forgets bad points of iphone 4. Haphuong is

likely to remember good things about iphone

4 because people tend to retain information

that supports their attitudes and beliefs.


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LEARNING

Learning describes changes in an individuals

behaviour arising from experience.

Learning occurs through the interplay of

drives, stimuli, cues, responses and

reinforcement.


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LEARNING

drives Haphuong has a drive for esteem needs.

stimuli Stimulus object: Iphone 4

cues Ads, friends using ip4, see in the mall

Responses Interest in buying an iphone 4


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LEARNING

After buying

an iphone 4

Generalises

Generalise

response tosimilar stimuli

DiscriminationRecognise

differences and

adjust accordingly


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BELIEFS AND ATTITUDES

Belief: a descriptive thought that a person

holds about something.


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Belief

Modern style

Many applications

Interesting games Good camera

Good recorder

High quality Too big


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Attitudes

Attitude: a persons consistently favourable or

unfavourable evaluations, feelings or

tendencies towards an object or idea.

A IS FOR

APPLE


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Types of buying decision behaviour


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Buyer decision process

WHYs

C l l f


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Cultural factors


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CULTURE

Culture is the set ofbasic values,

perceptions, wants

and behaviourslearned by a member

of society from family

and other important

institutions.


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l l h


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Cultural ship


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Subculture

A group of people with shared value

systems based on common life experiences

and situations.

Nationalities

Religions

Racial groups

Geographic regions

N i li i


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Nationalities


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Religions


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Northern food

C t l f d


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Central food


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Southern food


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S i l l


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Social class

Relatively permanent and ordereddivisions in a society whose members share

similar values, interests and behaviours.



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Classification Membership

1H

igher managerial and professional occupations

1.1 Employers and managers in large organisations (senior private

and public sector employees)

1.2 Higher professionals (partners in law firms, etc.)

2 Lower managerial and professional occupations (middle

managers andprofessionally qualified people)

3 Intermediate occupations (secretaries, policemen, etc.)

4 Small employers and sole traders

5 Lower supervisory, craft and related occupations (skilled manual

workers)

6 Semi-routine occupations (shop assistants, etc.)

7 Routine occupations (semi-skilled or unskilled manual workers)


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Upper class

Middl l


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Middle class

L l


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Lower class


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Five stages


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Five stages

NeedRecognition

Information

Search

Purchase

Decision

Post-purchaseBehaviour

Evaluation

of

Alternatives


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Need Recognition

The first stage of the buyer decision process in

which the consumer recognizes a problem or

need. A need can be triggered by:

Internal stimuli

External stimuli


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Internal stimuli

Hunger

Thirst


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External stimuli


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Information Search

The stage of the buyer decision process in

which the consumer is aroused to search fro

more information; the consumer may simply

have heightened attention (advertisements,conversations) or may go to active information

search.


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Information Search

The consumer can obtain information from these

sources:

Personal sources: Family, neighbors, acquaintances

Commercial sources: Ad, salespeople, internet, packaging,displays.

Public sources: mass media , consumer-rating organisations

Experiential sources: handling , examining, using the product.


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Evaluation of alternatives


which the consumer uses information to

evaluate alternative brands in the choice set.


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Alternative evaluation

First, consumer looks for certain benefits and

see product as a bundle of product attributes

Second, consumer considers the importance

of each attribute

Third, consumer develops a set of brand

beliefs about where each brand stands on

each attribute.


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Alternative evaluation

Fourth, the consumer is assumed to have a

utility function for each attribute.

Fifth, the consumer arrives at attitudes

towards the different brands through some

evaluation procedure.


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h b h


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Postpurchase behaviour


which consumers take further action after

purchase based on their satisfaction or

dissatisfaction

i fi d i i fi d?


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Satisfied or Dissatisfied?

Consumers expectations

Products perceived performance

S i f i i i


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Satisfaction is important

New customers

Repeat customers

Buyer decision process for new


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Buyer decision process for new

products

Adoption process

- Awareness

- Interest

- Evaluation

- Trial

- Adoption


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SingerS

elenaP

huongto attend the 2012

Grammy Awards!!!


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Need recognition


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Beyonce Nicole Kidman


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Ciara Rihanna


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Nicki Minaj

the

greatestenemy


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Information search

??


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????

??

?? ??

??

??

Personal source:


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LLouis Vuitton

best friends

suggestion


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Commercial source:

the Internet

Alexander McQueen


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Hermes

Public source:

Celebrities brand poll

on Vogue


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Chanel

Experiential source:

Selena Phuong is a

loyal customer of

Chanel

AlexanderHermes


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Chanel Louis Vuitton

Alexander

McQueen

Hermes


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Attribute


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Brands

Attribute

Originality(50%)

Convenience(20%)

Price(30%)

Louis Vuitton 5 8 6

Hermes 6 8 4

Chanel 9 2 2

Alexander

McQueen6 5 3

Louis Vuitton = 0.5(5) + 0.2(8) + 0.3 (6) = 5.9

Hermes = 0.5( 6) + 0.2(8) + 0.3(4) = 5.8

Chanel = 0.5(9) + 0.2(2) + 0.3(2) = 5.5

Alexander McQueen = 0.5(6) + 0.2(5) + 0.3(3) = 4.9


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Purchase decision


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Situational factor:

Last minute discovery

of Lady Gagas

extraordinary

costume!!!


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[Group 5] Consumer Behaviour

Documents