Consumer Markets and

Consumer buyer behavior

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 Consumer buying behavior

Consumer buying behavior refers to the buying

behavior of final consumers – individuals and
households who buy goods and services for
personal consumption.

 Consumer market

All the individuals and households who buy or

acquire goods and services for final consumption
make up the consumer market.

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 MODEL OF CONSUMER BEHAVIOR

Marketing & other Buyer’s black box Buyer responses

stimuli
Marketing Other Product choice
Product Economic Buyer Buyer Brand choice
Price Technological character- decision Dealer choice
Place Political istics process Purchase timing
Promotion Cultural Purchase amount

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 CHARACTERISTICS AFFECTING
CONSUMER BEHAVIOR
Cultural Social Personal Psychological
factors factors factors factors
Age & Life-
Cycle stage
Motivation
Groups
Culture Occupation
Perception
Family
Subculture Economic
Learning
Situation
Roles and
Social Class
Status Beliefs &
Lifestyle
Attitudes
Personality
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 The Major Social Classes
Upper class
Upper-Uppers
Income Lower-Uppers

Middle class
Occupation Upper-Middles
Middle Class

Education
Working class

Wealth Lower class

Upper-Lowers
Lower-Lowers
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 TYPES OF BUYING DECISION BEHAVIOR

High involvement Low involvement

Significant Variety-Seeking
Complex Buying
differences Buying
Behavior
between brands Behavior
Dissonance-
Few differences Reducing Habitual Buying
between brands Buying Behavior
Behavior

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 THE BUYER DECISION PROCESS
(5 stages)

Stage 1
Need The consumer recognizes a problem or
recognition need.

Stage 2
Information The consumer is aroused to search for
search more information.

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 Sources to obtain information

Personal sources Family, friends, neighbors

Advertising, salespeople,
Commercial sources
packaging, Web sites, displays

Public sources Mass media

Handling, examining, using the

Experiential sources
products
Word-of-mouth Recommendations of friends,
sources relatives & professionals.

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 Stage 3

Evaluation of The consumer uses information to evaluate

alternatives alternative brands in the choice set.

Stage 4
Purchase
The consumer actually buys the product.
decision
The factors that come between the
purchase intension and the purchase
decision –

• Attitudes of others
• Unexpected situational factors
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 Stage 5
Post The consumer takes further action after
purchase purchase based on their satisfaction or
behavior dissatisfaction.
Dissatisfaction:

Consumer expectations > Product’s perceived performance

Satisfaction:

Consumer expectations = Product’s perceived performance

Delight:

Consumer expectations < Product’s perceived performance

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 THE BUYER DECISION PROCESS
FOR NEW PRODUCTS

A New Product is a good or service that is perceived by

some potential customers as new.

The Adoption Process can be defined as the mental

process through which an individual passes from first
hearing about an innovation to final adoption.

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Stages in the Adoption Process

Awareness

Interest

Evaluation

Trial

Adoption

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