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The Decision Making Process and Purchasing Online David Martin Maxine Ellison
Presentation Aims: Consumers are increasingly using the internet as a method of purchasing goods and services.  We will the typical objectives of marketers at each stage of the decision making process and show how they attempt to influence each stage in the context of internet shopping, making reference to both high and low involvement products and services.
The Decision Making Process ,[object Object],[object Object],[object Object],[object Object],[object Object]
Forces Influencing The Online Consumer’s Behaviour Other stimuli: Personal and Environmental  Uncontrollable Factors Demographic, personal, cultural, sociological, economic, legal, environmental etc.. Marketing stimuli (Traditional Marketing Mix) Buyer’s Decision Process Problem identification, Search, Trust  building, Evaluation of alternatives, Choice, Post-purchase behaviour Buyer’s Decision  Product  choice, Brand choice, Dealer choice, Purchase timing Web Experience:  Online Controllable Marketing Factors Source: Based on P. Kotler’s framework (2003)
Stimulating Need Recognition ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
 
 
Information Search ,[object Object],[object Object],[object Object],[object Object],INTERNAL vs. EXTERNAL
Information Search - Internal All products / brands Ones you know Ones you don’t ,[object Object],[object Object],[object Object],Memory
Information Search - External
Information Search - External Centralisation of information -
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Factors Which Effect Information Search
Evaluating Alternatives High-involvement  Compensatory decision rule Low- involvement Non-compensatory rule All Alternatives Evoked set Inert set Inept set Retrieval set Prominent products in environment
Journal 1 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Traditional Perceived Risks ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Journal 2 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Journal 3 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Product Choice ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Online Specific:
Post Purchase Evaluation ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Conclusion ,[object Object],[object Object],[object Object],[object Object]
Thank you for your time.  Any questions?

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The decision making process - ONLINE

  • 1. The Decision Making Process and Purchasing Online David Martin Maxine Ellison
  • 2. Presentation Aims: Consumers are increasingly using the internet as a method of purchasing goods and services. We will the typical objectives of marketers at each stage of the decision making process and show how they attempt to influence each stage in the context of internet shopping, making reference to both high and low involvement products and services.
  • 3.
  • 4. Forces Influencing The Online Consumer’s Behaviour Other stimuli: Personal and Environmental Uncontrollable Factors Demographic, personal, cultural, sociological, economic, legal, environmental etc.. Marketing stimuli (Traditional Marketing Mix) Buyer’s Decision Process Problem identification, Search, Trust building, Evaluation of alternatives, Choice, Post-purchase behaviour Buyer’s Decision Product choice, Brand choice, Dealer choice, Purchase timing Web Experience: Online Controllable Marketing Factors Source: Based on P. Kotler’s framework (2003)
  • 5.
  • 6.  
  • 7.  
  • 8.
  • 9.
  • 11. Information Search - External Centralisation of information -
  • 12.
  • 13. Evaluating Alternatives High-involvement Compensatory decision rule Low- involvement Non-compensatory rule All Alternatives Evoked set Inert set Inept set Retrieval set Prominent products in environment
  • 14.
  • 15.
  • 16.
  • 17.
  • 18.
  • 20.
  • 21.
  • 22. Thank you for your time. Any questions?

Notas del editor

  1. DAVID
  2. DAVID
  3. DAVID
  4. Low involvement example of need recognition
  5. High involvement example of need recognition. As the internet is used so much to gain information the Information search and need recognition stages can be interchangeable online. For example here a search on types of holidays offered by Thomson may create a desire to go on a holiday the consumer may have not previously thought of before.
  6. DAVID
  7. DAVID Accidental learning – Reinforcing a brand so when the time does that a consumer needs it they can use it.
  8. DAVID When you think of information search on the internet, many of us will automatically think Google. There is no doubt that the internet has made getting hold of information extremely easy and quick, but as you can see here from the 107 billion results for ‘buy a car’ it is vast and the consumer can be overloaded with information.
  9. DAVID High involvement – centralisation of information
  10. DAVID
  11. MAXINE High Involvement choice Compensatory decision rule All information on the attributes of the brand are combined to form an overall judgement. High ratings on some attributes can compensate for low ratings on others. Low involvement choice Non Compensatory rule When one evaluation criteria does not offset or compensate for another Disjunctive rule - Establishes a minimum standard which must be met e.g. performance
  12. MAXINE
  13. Survey was conducted at BOOM time of internet usage, people were feeling positive. Survey stated 164 males compared to 64 males were surveyed which was typical of internet users. In August 2007 The Times reported that more women than men were using the internet (typically women aged 25-49) timesonline.co.uk August 23, 2007 Move over geeks, women are top web users Dan Sabbagh and Rhys Blakely last accessed 1st May
  14. Results from a study made in 2002, from the Journal Understanding Online purchase intentions: Contributions from technology and trust perpectives stated that: Trust, ease of use and usefulness are the threshold variables, and there was no difference between the trust in the web only store and the company with physical shops. Survey stated 164 males compared to 64 males were surveyed which was typical of internet users. In August 2007 The Times reported that more women than men were using the internet (typically women aged 25-49) timesonline.co.uk August 23, 2007 Move over geeks, women are top web users Dan Sabbagh and Rhys Blakely last accessed 1st May
  15. MAXINE
  16. MAXINE http://www.youtube.com/watch?v=_87YZPSdHX8
  17. DAVID