CHAPTER 3: Consumer Markets and Consumer Buying Behavior

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Consumer Buying Behavior

Consumer Buying Behavior refers to the buying behavior of final consumers -individuals & households who buy goods and services for personal consumption. Describes the process of how consumers make purchase decisions and how they use the purchased products The central question for marketers is: How do consumers respond to various marketing efforts the company might use?
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Model of Buyer Behavior

Marketing and Other Stimuli
Marketing
Product Price Place Promotion

Buyers Black Box

Buyer Characteristics Buyer Decision Process

Buyer Responses
Product Choice Brand Choice

Other

Economic Technological Political Cultural

Principle of Tourism and Hospitality Marketing By : SALFARINA BINTI ABDUL SUKOR

Purchase Timing Purchase Amount

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Factors Influencing Consumer Behavior

Cultural Social
Culture Reference groups Family

Personal
Age and life-cycle Occupation Economic situation Lifestyle Personality and self-concept

Psychological
Motivation Perception Learning Beliefs and attitudes

Subculture
Social class

Buyer

Roles and status

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Factors Affecting Consumer Behavior: Culture

Culture is the Most Basic Cause of a Person's Wants and Behavior.
Subculture
Group of people with shared value systems based on common life experiences. Hispanic Consumers African American Consumers Asian American Consumers Mature Consumers
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Factors Affecting Consumer Behavior: Culture

Culture is the Set of Values, Perceptions, Wants & Behavior Learned by a Member of Society from Family.
Social Class
Societys relatively permanent & ordered divisions whose members share similar values, interests, and behaviors. Measured by: Occupation, Income, Education, Wealth and Other Variables.

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Factors Affecting Consumer Behavior: Social

Groups Membership Reference
Family (most important) Husband, wife, kids Influencer, buyer, user

Social Factors

Roles and Status

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Factors Affecting Consumer Behavior: Personal

Personal Influences Personal Influences
Age and Life Age and Life Cycle Stage Cycle Stage Economic Economic Situation Situation Personality & Personality & Self-Concept Self-Concept

Occupation Occupation

Lifestyle Identification Lifestyle Identification

Activities Activities

Interests Interests

Opinions Opinions

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VALS 2
Principle Oriented

Actualizers Abundant Resources

Status Oriented

Action Oriented

Fulfilleds

Achievers

Experiencers

Believers

Strivers

Makers

Minimal Resources

Strugglers

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Factors Affecting Consumer Behavior: Psychological

Motivation

Beliefs and Attitudes

Psychological Factors Affecting Buyers Choices

Perception

Learning
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Psychological - Motive
A motive is a need that has a sufficient level of intensity. Creating a tension state that drives the person to act. Satisfying the need reduces the felt tension.

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Psychological - Perception
The process by which an individual selects, organizes, and interprets information inputs to create a meaningful picture of the world.

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Psychological - Learning

Changes in an individuals behavior arising from experience.

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Psychological - Attitude
An attitude describes a persons relatively consistent evaluations, feelings, and tendencies toward an object or idea.

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Maslows Hierarchy of Needs

Self Actualization

Esteem Needs (self-esteem)

(sense of belonging, love)

Social Needs

(security, protection)

Safety Needs

Physiological Needs
(hunger, thirst)

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Buyer Decision Process

Purchase Decision Evaluation of Alternatives Information Search Need Recognition
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Postpurchase Behavior

Consumer Behavior and Services

Search Experience Credence

qualities

qualities

qualities

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Organizational Buyer Behavior of Group Market

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Characteristics of Business Markets

Nature of the Buying Unit
Business purchases involve more buyers. Business buying involves a more professional purchasing effort. Salespeople must have knowledgeable and create value through their consultative advice.
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Participants in the Organizational Buying Process

Users Ethical DecisionMaking Unit of a Buying Roles Include Organization is Called Its Attitudes Buying of Center. Others
Unexpected Situational Factors

Influencers Deciders

Approvers

Gatekeepers
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Buyers
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Major Influences on Organizational Buyers

Environmental
Economic developments Supply Conditions Technological change Political and regulatory developments Competitive Developments Culture and customs Principle of Tourism and Hospitality Marketing By : SALFARINA BINTI ABDUL SUKOR HT 103 PPPT, POLITEKNIK MERLIMAU 21

Organizational
Objectives Policies Procedures Organizational Structure Systems

Interpersonal
Authority
Status Empathy

Individual
Age Education Job Position Personality Risk Attitudes

Buyers

Persuasiveness

The Organizational Buying Process

Stage 1. Problem Recognition Stage 2. General Need Description Stage 3. Product Specification Stage 4. Supplier Search

Stage 5. Proposal Solicitation

Stage 6. Supplier Selection Stage 7. Order-Routine Specification Stage 8. Performance Review
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End of Chapter 3

Principle of Tourism and Hospitality Marketing By : SALFARINA BINTI ABDUL SUKOR

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Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens

2003 Pearson Education, Inc. Upper Saddle River, NJ 07458

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