© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin CONSUMER PURCHASE DECISION PROCESSPURCHASE DECISION PROCESS

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Problem Recognition: Perceiving a Need Information Search: Seeking Value CONSUMER PURCHASE DECISION PROCESS

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Alternative Evaluation: Assessing Value  Evaluative criteria Evaluative criteria  Evoked set Evoked set Purchase Decision: Buying Value Postpurchase Behavior: Value in Consumption or Use  Cognitive dissonance Cognitive dissonance CONSUMER PURCHASE DECISION PROCESS

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Involvement and Problem-Solving VariationsInvolvement CONSUMER PURCHASE DECISION PROCESS

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Comparison of problem-solving variations

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Involvement and Problem-Solving Variations Routine Problem Solving Limited Problem Solving Extended problem Solving Involvement and Marketing Strategy Situational Influences CONSUMER PURCHASE DECISION PROCESS

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Influences on the consumer purchase decision process

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Motivation and Personality Motivation PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Hierarchy of needs “Maslow”

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Motivation and Personality Personality  National character National character  Self-concept Self-concept Perception Selective Perception Subliminal perception PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Perception Perceived Risk Learning Behavioral Learning Cognitive Learning Brand Loyalty PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Values, Beliefs, and Attitudes Attitude Formation  Attitude Attitude  Beliefs Beliefs Attitude Change Lifestyle PSYCHOLOGICAL INFLUENCES ON CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin VALS TM psychographic segments

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Personal Influence Opinion Leadership Word of Mouth SOCIOCULTURAL INFLUENCES ON CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Reference Groups Family Influence Consumer Socialization Family Life Cycle SOCIOCULTURAL INFLUENCES ON CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Modern US family life cycle

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Family Influence Family Decision Making SOCIOCULTURAL INFLUENCES ON CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Social Class Culture and SubcultureSubculture African-American Buying Patterns Hispanic Buying Patterns Asian Buying Patterns SOCIOCULTURAL INFLUENCES ON CONSUMER BEHAVIOR

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Chevy Impala Ad That Targets Korean- Americans

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Chevy Venture Print Ad That Targets the Chinese- American Market

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Consumer behavior is the actions a person takes in purchasing and using products and services, including the mental and social processes that precede and follow these actions. Consumer Behavior

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin The stages a buyer passes through in making choices about which products and services to buy is the purchase decision process. Purchase Decision Process

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin A consumer’s evaluative criteria represent both the objective and subjective attributes of a brand used to compare different products and brands. Evaluative Criteria

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin An evoked set is the group of brands that a consumer would consider acceptable from among all the brands of the product class of which he or she is aware. Evoked Set

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin A feeling of postpurchase psychological tension or anxiety is called cognitive dissonance. Cognitive Dissonance

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Involvement is the personal, social, and economic significance of a purchase to a consumer. Involvement

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Situational influences that have an impact on the purchase decision process are: (1) the purchase task, (2) social surroundings, (3) physical surroundings, 4) temporal effects, and (5) antecedent states. Situational Influences

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Motivation is the energizing force that causes behavior that satisfies a need. Motivation

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Personality refers to a person’s consistent behaviors or responses to recurring situations. Personality

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin A national character is a distinct set of personality characteristics common among people of a country or society. National Character

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin A person’s self-concept is the way people see themselves and the way they believe other people see them. Self-Concept

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Perception is the process by which an individual selects, organizes, and interprets information to create a meaningful picture of the world. Perception

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Subliminal perception means that you see or hear messages without being aware of them. Subliminal Perception

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin An attitude is “a learned predisposition to respond to an object or class of objects in a consistently favorable or unfavorable way.” Attitude

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Beliefs are a consumers subjective perception of how well a product or brand performs on different attributes. Beliefs

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Lifestyle is a mode of living that is identified by how people spend their time and resources, what they consider important in their environment, and what they think of themselves and the world around them. Lifestyle

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Perceived risk represents the anxieties felt because the consumer cannot anticipate the outcomes of a purchase but believes that there may be negative consequences. Perceived Risk

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Learning refers to those behaviors that result from (1) repeated experience and (2) thinking. Learning

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Brand loyalty is a favorable attitude toward and consistent purchase of a single brand over time. Brand Loyalty

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Individuals who exert direct or indirect social influence over others are called opinion leaders. Opinion Leaders

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin People influencing each other during their face- to-face conversations is called word of mouth: Satisfied customers tell one person to every three that a dissatisfied customer tells People influencing each other during their face- to-face conversations is called word of mouth: Satisfied customers tell one person to every three that a dissatisfied customer tells Word of Mouth

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Reference groups are people to whom an individual looks as a basis for self- appraisal or as a source of personal standards. Reference Groups

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin The process by which people acquire the skills, knowledge, and attitudes necessary to function as consumers is consumer socialization. Consumer Socialization

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin The family life cycle concept describes the distinct phases that a family progresses through from formation to retirement. Family Life Cycle

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Social class is defined as the relatively permanent, homogeneous divisions in a society into which people sharing similar values, interests, and behavior can be grouped. Social Class

© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Subgroups within the larger, or national, culture with unique values, ideas and attitudes are referred to as subcultures. Subcultures