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Consumer Decision Processes

You cant assume that people


know what they want
Y OU C A N T A S S U ME T HA T P E O P L E
W I L L T E L L Y O U T H E T RU T H A B O UT
T HE I R W AN T S A N D D I S L I KE S , E VE N I F
T H E Y K N OW T H E M. W H A T YO U A RE
L I K E L Y T O G E T A RE A N S W E R S T H A T
W I L L P R O T E CT T H E I N F O RMA N T S I N
T H E I R S T E A D F AS T E ND E A V O U R T O
A P P E AR T O T H E W O R L D A S R E A L L Y
S E N S I B L E , I N T E L L I G E N T R AT I O N AL
BE I N GS

Nature of Decision Processes

Consumption
options

Purchase options

Purchase Options

Whether to buy or save?


When to buy?
What to buy both
category and brand?
Where to buy?
How to
pay?

Consumption Options

Whether to
consume or
not?

When to
consume?

How to
consume?

Divestment Options

Disposal

Remarketing

Recycling

Consumer Problem Solving

Rational
Hedonic
In most cases it is a combination of the two

Consumer Decision Making Stages

Need
Need
recognition
recognition

Search
Search for
for
information
information

PrePrepurchase
purchase
alternative
alternative
evaluation
evaluation

Purchase
Purchase

Consumption
Consumption

PostPostpurchase
purchase
evaluation
evaluation

Divestment
Divestment

Variables that shape decision making

Individual
differences

Environment
influences

Psychological
processes

Decision Process Continum

Complexity
High

Low
Degree of complexity
Extended
problem
solving

Habitual
decision
making

Extended Problem Solving

THOUGHT AND EVALUATION PRECEDE THE


ACT OF PURCHASE AND USE BECAUSE OF
THE IMPORTANCE OF MAKING THE RIGHT
CHOICE

Limited Problem Solving

NEED RECOGNITION LEADS TO BUYING


ACTION, BECAUSE THE PURCHASE DOES NOT
ASSUME GREAT IMPORTANCE

Factors Influencing Extent Of Problem Solving

Degree of involvement personal factors, product

factors, situations
Alternatives are differentiated time availability,

consumer mood
Sufficient time for deliberation

Impulse Buying
It does not have the indifference that accompanies LPS.
A high sense of emotional involvement and urgency short
circuits the reasoning process and motivates immediate action.
A sudden and spontaneous desire to act accompanied by urgency
State of psychological disequilibrium in which a person can feel out of control
Onset of conflict and struggle that is resolved by immediate action
Minimal objective evaluation
Lack of regard for consequences

Variety Seeking
Activation of seeking variety as a motive
Similar alternatives
Frequent brand shifts
High purchase frequency

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