1. CONSUMER BEHAVIOR

4. Why they buy it?

5. When they buy it?

6. Where they buy it?

7. How often they buy it?

8. How often they evaluate it?

9. How they evaluate it after the purchase?

10. The impact of such evaluations on future purchases?

13. Social Surroundings

14. Time

15. Purchase Use

17. Family

18. Reference Groups Social Classes

20. Motives

21. Learning

22. Attitudes

23. PersonalityMajor Influences in the Consumer’s“Black Box” Consumer Decision Process Problem Recognition Post Purchase

24. The buying decision process

26. Problem Recognition- The buying process starts when the buyer recognizes a problem or need triggered by internal or external stimuli Internal stimulus- Hunger, Thirst, Safety External stimulus- Neighbor's car Marketers need to identify the circumstances that trigger their interest and formulate strategies accordingly

27. INFORMATION SEARCH 1. Internal Sources (Psychological) Experience emory storage/retrieval mental processing 2. External Sources (Social) family friends Professionals 3. Public Sources Government studies product testing magazines media stories 4. Commercial Sources Advertising sales people product pamphlets

28. CONT’D..

29. Successive sets involved in consumer Decision making

30. Evaluation of alternatives Some basic concepts will help us understand consumer evaluation processes First, the consumer is trying to satisfy a need. Second, the consumer is looking for certain benefits from the product solution Third, The consumer sees each product as a bundle of attributes with varying abilities for delivering the benefits sought to satisfy this need. For example- Hotels- Location, Cleanliness, atmosphere, pice

31. Purchase decision A consumer's decision to purchase something includes where to buy, when to buy and whether to buy. For routine goods such as groceries, consumers may simply go to their favorite grocery store, but for electronic purchases, they may browse multiple stores. They will evaluate each merchant based on prior experience with the store, special offers and whether they can return the product easily. A store that's visually appealing, has helpful sales associates and offers specials and discounts influences a buyer.

32. Post purchase behavior After making a purchase, a consumer mentally ranks her purchase satisfaction. She will evaluate if she liked the product, if she enjoys the product and the quality of the product. This evaluation determines whether the customer will purchase the product or brand again and whether it would be from the same store. Customers who are happy with their purchases and feel they received a quality product at a good price, will become repeat customers and will tell others about their experience.

33. Post Purchase satisfaction- Satisfaction is a function of the Closeness between expectation and the perceived performance Performance<Expectation Disappointed Performance= Expectation Satisfied Performance> Expectation Delight Post Purchase Action- If satisfied- Likely to purchase the product again Say good words about the product If Dissatisfied- Abandon , Complaint, Case filing

34. Models of consumer behavior An Economic view- Consumers are characterized as rational thinkers To behave rationally they have to Be aware of all the products alternatives Be capable of correctly ranking the alternatives in terms of benefits and disadvantages Be able to identify the best alternative Theory is unrealistic in following Grounds- People are limited in their skills and knowledge People are limited by their existing goals and values

35. A Passive view- Consumers are perceived as impulsive and Irrational buyers Regard consumers as an object which can be manipulated to serve the interest of marketers Limitation- Fails to recognize that the consumers play an equally important role in buying situation

36. A cognitive View- Portrays the consumer as a thinking problem solver Consumer frequently pictured as either receptive to or actively searching for product and services that fulfill their needs and enrich their lives It focuses on process by which consumer seeks and evaluate information about the selected brands and retail outlets( Information processors) Consumers often develop shortcut decision rules called Heuristics

37. An Emotional view Various feeling that guide the purchase decision of the consumers Less Emphasis is placed on the search of the pre-purchase information . Instead more emphasis is placed on the current mood and feelings Consumers mood are also important in decision making because it impacts on when to shop , where they shop, whether in shop individually or in group