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1 INTRODUCTION CONSUMER BEHAVIOR.pptx

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1 INTRODUCTION CONSUMER BEHAVIOR.pptx

  1. 1. CONSUMER BEHAVIOR AND MARKETING STRATEGY
  2. 2. Book Hawkins, Best and Coney – Customer behavior 13th ed. Hawkins and Mothersbaugh – Consumer Behavior Schiffman and Kanuk, Consumer Behavior Michael R. Solomon – Consumer Behavior Kotler - H2H Marketing Nimmerman – Consumer Behavior in Digital Environment
  3. 3. What is Consumer Behavior? The study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.
  4. 4. Why study consumer behavior? Consumer behavior theory provides the manager with the proper questions to ask Marketing practice designed to influence consumer behavior influences the firm, the individual, and society All marketing decisions and regulations are based on assumptions about consumer behavior
  5. 5. Applications of Consumer Behavior • To satisfy target consumer needs Marketing Strategy • To protect consumers Regulatory Policy • To help consumers Social Marketing • To better understand how societies function Informed Individuals
  6. 6. Marketing Strategy & Consumer Behavior • What is Customer Value? The difference between all the benefits derived from a total product and all the costs of acquiring those benefits. • What is required of a firm to provide superior customer value? It must do a better job of anticipating and reacting to customer needs than the competition does. • What role does consumer behavior play in creating superior customer value? An understanding of consumer behavior is the basis for marketing strategy formulation, and the consumer’s reaction to this marketing strategy ultimately determines the firms success or failure.
  7. 7. Customer- perceived value Total customer benefit Total customer cost Product benefit Monetary cost Services benefit Time cost Personal benefit Energy cost Image benefit Psychological cost Determinants of Customer Perceived Value
  8. 8. New capabilities (Kotler) • Consumer 1. Internet as powerful information and purchasing aid 2. Can search, communicate 3. Tap into social media to share 4. Interact with companies 5. Reject marketing • Company 1. Internet as powerful information and sales channel 2. Reach customer quickly and efficiently 3. Improve communications 4. Improve cost efficiency
  9. 9. Holistic Marketing Dimensions
  10. 10. Marketing Strategy & Consumer Behavior
  11. 11. Market Analysis Components • The Consumers • The Company • The Competitors • The Conditions
  12. 12. Market Segmentation Market Segment: a portion of a larger market whose needs differ somewhat from the larger market. Four steps to segmentation: Identify product-related need sets Group customers with similar need sets Describe each group Select an attractive segment(s) to serve
  13. 13. Market Segmentation What is market segmentation? Market segmentation involves aggregating prospective buyers into groups that: • 1. have common needs • 2. will respond similarly to marketing actions Why segment the market? Market segmentation links market needs to an organization’s marketing programs. When does an organization segment the market? When the potential increase in profits as a result of segmenting outweigh the costs of segmenting.
  14. 14. Bases for Segmenting Consumer Markets 15 Occasions, Benefits, Uses, or Attitudes Behavioral Geographic Region, City or Metro Size, Density, Climate Demographic Age, Gender, Family size and Fife cycle, Race, Occupation, or Income ... Lifestyle or Personality Psychographic
  15. 15. 16
  16. 16. Market Segment Attractiveness
  17. 17. Marketing Strategy • How will we provide superior customer value to our target market? • Marketing Mix • The Product • Communications • Price • Distribution • Service
  18. 18. Marketing Mix 4P-9P People Planning Product Place Price Promotion Partner Presentations Passions
  19. 19. Outcomes • Product positioning • Sales • Customer Satisfaction Firm: • Need Satisfaction • Injurious Consumption Individual: • Economic • Physical Environment • Social Welfare Society:
  20. 20. Creating Satisfied Customers
  21. 21. Consumer Behavior is Product – Person – Situation Specific Personal Characteristics Product Characteristics Consumption Situation Consumer Behavior Marketing Strategy
  22. 22. Consumer Lifestyles and Consumer Decisions Consumer Lifestyle Needs/Attitudes That Influence Consumption Decisions Behavior/Experiences That Influence Consumption Decisions Consumer Choices
  23. 23. Psychological Factors
  24. 24. Overall Model Of Consumer Behavior
  25. 25. Essay Imagine you are a consultant working with your state or province’s tourism agency. You have been asked to advise the agency of the best promotional themes to use to attract foreign tourists. What would you recommend if Korea and Netherlands were two target markets?

Notas del editor

  • Dispose - menentukan
    A complex multimensional process – culture, religion, demographics, lifestyle etc
    Require an understanding the process
    Collect information about the target
    Influence society to buy our product
  • Social marketing – create the behavior to positive effect
  • Customers estimate which offer they believe—for whatever reason—will deliver the most perceived value and act on it.
  • Marketing realization – Globalization, Technology and Social Responsibility



  • Marketing strategy = total product

    Promotion – when, effect, message, target, media
  • Cust delight
    -Focus
    Build cust loyalty
    Serve like ur boss
    Inform the new product
  • The starting point for understanding consumer behavior is the stimulus-response model shown in Figure 6.1. Marketing and environmental stimuli enter the consumer’s consciousness, and a set of psychological processes combine with certain consumer characteristics to result in decision processes and purchase decisions. The marketer’s task is to understand what happens in the
    consumer’s consciousness between the arrival of the outside marketing stimuli and the ultimate purchase decisions. Four key psychological processes—motivation, perception, learning, and memory—fundamentally influence consumer responses

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