1 1 © 2009 John Wiley & Sons Ltd. Consumer Behaviour, Second Edition Martin Evans, Ahmad Jamal Gordon Foxall Cardiff Business School ISBN:

Copyright © Houghton Mifflin Company. All rights reserved. 2 The Book Consists of 13 chapters  Chapter1 : Consumer Motives & Values  Chapters : Consumer Response to Marketing Actions & purchase and post- purchase behaviour  Chapter 5: Consumer Demographics  Chapter 6: Consumer Psychographics  Chapter 7: Social Group Influences  Chapter 8: Cultural Influences  Chapter 12: Consumer Misbehaviour

Copyright © Houghton Mifflin Company. All rights reserved. 3 Common thread in our discussions  The consumer  Consumer Response to Marketing Actions: Hierarchical Approach

Copyright © Houghton Mifflin Company. All rights reserved. 4 Hoyer & MacInnis, 2008

Copyright © Houghton Mifflin Company. All rights reserved. 5 5 Sequential Model of Marketing Post purchase Action Attitude Learning Perception Attention Exposure © 2009 John Wiley & Sons Ltd.

Copyright © Houghton Mifflin Company. All rights reserved. 6  Why Study Consumer Behaviour?

2–72–7 The New Coke…

2–82–8 New Coke: the Launch New Coke was introduced on April 23, 1985 with the slogan "The Best Just Got Better". Production of the original formulation ended that same week. The new coke was a rapid reaction to competitive pressures. Consumer data provided mixed results When Pepsi heard that the Coca-Cola company was changing its secret formula they said that it was a decision that Pepsi tastes better. Roger Enrico, the president and CEO of Pepsi-Cola wrote a letter to every major newspaper in the U.S. to declare the victory.

2–92–9 New Coke: the disaster July 10, eighty-seven days after the new Coke was introduced, the old Coke was brought back in addition to the new one. This was greatly due to dropping market share and consumer protest. The market share fell from a high of 15 percent to a low of 1.4 percent. This was said to be a classic marketing retreat. Coca-Cola executives admitted that they had goofed by taking the old Coke off the market. The Coca-Cola company's eight hundred number received eighteen thousand calls of gratitude. One caller said they felt like a lost friend had returned home. The comeback of old Coke drove stock prices to the highest level in twelve years. This was said to be the only way to regain the lead on the cola wars.

2–10 What went Wrong?

2–11 Lessons Learned Each marketing move requires a strategy Marketing Strategy starts with an understanding of customer needs and the environment Consumer Behaviour can be complicated based on cognitive and emotional elements A product rollout should be done incrementally and supported by the other Ps Do not forget about the power of the brand: consumer emotions and loyalty.