CONSUMER MARKETS & BUYING BEHAVIOUR:
Why is Consumer Marketing Difficult ?
Because :
1) Customer Profile & Demands are always Changing,
2) Yesterday’s Success may not work for today,
3) Buying Decision-Process is Changing.
Steps in buying decision-process:
1) Need Recognition,
2) Information Search,
3) Alternatives Evaluation,
4) Purchase,
5) Post Purchase Behaviour.
Customers may or may not Follow all steps in The Buying Process, depending upon his/her Level of involvement.
High level of involvement occurs when:
1) Cost of Purchase is High,
2) Social Status is involved,
3) Benefits are large,
4) Customer lacks Information.
1) Need Recognition:
Difference between Actual & Desired State,
Generated by:
• Internal Stimuli (Hunger)
• External Stimuli (Environment).
2) Information Search:
Extent of Info Search Depends on:
• Current Info & its Authenticity,
• Value of More Info (Time/Cost).
3) Alternatives Evaluation:
Product is a Bunch of Attributes:
• Customer Assigns importance to each Attribute & then matches
One Product with Another,
• Brand-image of highest Priority Feature is thus Essential.
4) Purchase Decision:
“Buy or Not to Buy” That is the Question?
Further Factors Evaluated:
• From Where?
• When?
• How?
• Delivery Process?
• Terms?
• Other Facilities to Customers to Reduce Further Decision/Worries,
Leading to “Patronage Buying Motive”.
5) Post Purchase Behaviour:
SATISFIED- Will Buy Again!
DISSATISFIED- Will Not Buy!
• Depends on Customer’s Expectations Versus Perceived Performance!
• Cognitive Dissonance: Discomfort felt by Customer after Purchase!
• May be Satisfied with Strengths of the Chosen-Brand, but
Uncomfortable with the Thoughts of having lost the Strengths of Non--chosen Brand !
Why should ‘Cognitive Dissonance’ be minimised?
• To seek Words of Mouth Publicity,
• To Obtain Referrals,
• To Retain Customers,
• To Avoid Negative Publicity.
What is Personality ? Does it Affect Buying Decision?
PERSONALITY: It can be defined as a set of Traits that influence Behaviour.
PERSONALITY has No direct Proven Co-Relation with ‘Buying Decision’ except in
Outwardly visible & Socially Significant Purchases-e.g-Clothes, Cars, Hotels, etc;
But Not in General Consumer Products, as ‘The Buying Decision-Process’ is a Series
of Steps & Not based on one Single Factor alone.
