Lamb, Hair, McDaniel

Consumer Decision Making

Consumer Behavior
Consumer Behavior
Processes a consumer uses to make purchase decisions, as well as to use and dispose of purchased goods or services; also includes factors that influence purchase decisions and the product use.

Consumer Behavior is the Study of Consumer Decision Making Process

Consumer Decision-Making Process

Need Recognition Need Recognition Information Search Information Search Evaluation Evaluation of Alternatives of Alternatives Purchase Purchase Postpurchase Postpurchase Behavior Behavior
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Cultural, Social, Cultural, Social, Individual and Individual and Psychological Psychological Factors Factors affect affect all steps all steps

Consumer Decision Making Process

Situational Influences on the Buying Decision Process

Situational Influences
Factors that can influence a buyers purchase decision and may cause the buyer to shorten, lengthen, or terminate the process.

Situational Factors Include

Physical surroundings Social surroundings Time perspective Reason for purchase Buyers momentary mood and condition

Psychological Influences on the Buying Decision Process

Psychological Influences
Factors that in part determine peoples general behavior, thus influencing their behavior as consumers

Psychological Influences Include

Perception Motives Learning Attitudes Personality and self concept Lifestyles

Maslows Hierarchy of Needs

Core Values
Success Success Materialism Materialism Freedom Freedom Progress Progress Youth Youth Capitalism Capitalism
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Social Influences on the Buying Decision Process

Social Influences
The forces other people exert on ones buying behavior

Social Influences
Roles Family Reference groups Opinion leaders Social class Culture and subcultures

Cognitive Dissonance
Cognitive Dissonance
Inner tension that a consumer experiences after recognizing an inconsistency between behavior and values or opinions.

Consumer Buying Decisions and Consumer Involvement

Discussion Questions
1. What is consumer decision making process? Take automobile as an example and explain each step of the consumer decision making process. 2. Explain the influence of Situational, Psychological and Social Influences on consumer decision making process. 3. What is the difference between culture and subculture? Why do marketing managers need to understand culture and subculture in a society? 4. How does the level of consumer involvement in purchase affect consumer decision making? Explain. 5. What is post purchase cognitive dissonance? How a marketer can reduce cognitive dissonance?