...Consumer and organizational buyer behavior are sub-categories of marketing. Research in both fields has enabled manufacturers and distributors to understand the needs, preferences and behavior of buyers, as well as the internal and external factors that influence buyer behavior. Although much has been written about the differences between consumer and organizational buyer behavior, it appears that the demarcations between the two fields are not as clear as they may seem to be. Keywords Buying Center; Buying Decision Process; Consumer Buyer Behavior; Decision-Making Unit (DMU); Organizational Buyer Behavior Marketing: Consumer Overview Buyer behavior is concerned with the selection and purchase of Products or services to satisfy a need for individuals or groups. It is focused on the needs of individuals, groups and organizations. Buyer behavior occurs either for an individual consumer on his own; an individual consumer in the context of a group (where others in the group influence how a person behaves); or an organization (where employees make decisions about which products or services the firm should use). Although economists were the first academic group to offer a theory of buyer behavior, the field of buyer behavior is a subcategory of marketing that blends elements from economics, psychology, sociology, social psychology, anthropology and other sciences, such as physiological psychology, biochemistry, and genetics. The two main areas of buyer behavior are consumer...
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...Lecture Topic 6 Ch. 5 & 6 (p. 188 - 201) Buyer Behavior MKTG 2501 Lecturer: Yin Mei NG Model of Consumer Behavior External Stimuli • Marketing Stimuli • Environmental Forces BUYER’S BLACK BOX • Buyer’s decision process • Buyer’s characterist ics Buyer Responses • Buying attitude and preference • Purchase behavior (what, when, where, and how much) • Relationship behavior with brand and company Five Stages in the Consumer Decision Process Need recognition Information search Evaluation of alternatives Purchase decision Class Discussion: Customer Needs • What do parents-to-be need? • How can a company meet their important needs? Identify and Evaluate Alternatives Example: Brand Choice of Your Computer Purchased Recently Company: What can you do? Dear Company, We’re sorry to let you know your brand is not in our evoked set. To: The Company Yours sincerely, Your target customers Question: • What can a company do if its brand is NOT in the evoked set of the target consumers? – Inept set (avoided alternatives) – Inert set (backup alternatives) – Unawareness set Example: A customer’s evaluation of 3 computer brands • Which brand would this consumer most likely choose to purchase? • Which brand would this consumer least likely choose to purchase? Attributes (Criteria) Importance Weight (Sum = 1.0) Evaluation on the Performance of Alternative Computer Brands (Score: 1-7) Evaluation of Alternatives Brand A Price Speed Warranty Size ...
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...Consumer Markets and Consumer Buyer Behavior Case Study Harley Davidson Building Success • Understanding the customers’ emotions and motivation • Determining the factors of loyalty • Translating this information to effective advertising Measuring Success • Currently 22% of all U.S. bike sales • Demand above supply • Sales doubled in the past 5 years with earnings tripled Case Study Harley-Davidson – Devoted Consumers Building Success • Offers good bikes, upgraded showrooms, and revised sales tactics. • Consumer emotions, motivations, and lifestyle research has been translated into effective advertising. • Harley riders are fiercely loyal to the brand, older, better educated, affluent. Measuring Success • Currently has 26% of all U.S. bike sales and 50% of heavyweight segment. • Demand outstripped supply for several years; waits of up to 2 years for popular models. • Annual revenues/earnings have grown at 14% to 23% over past 10 years. 2007: 21st straight year of record sales and income. 5-3 Definitions • Consumer buyer behavior refers to the buying behavior of final consumers – individuals and households who buy goods and services for personal consumption • All of these final consumers combine to make up the consumer market. Consumer Buying Behavior • Consumers make many buying decisions every day. • Most research consumer buying decisions try to answer the questions about; What consumers buy? Where, how, and how they buy, when & why they buy...
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...Consumer Behavior |Program |: |MBA |Class of |: |2009 | |Credit |: |3 |Sessions |: |33 | |Course Code |: |SL MM 602 | | | | Objective To understand the various factors influencing behavior of consumers – as individuals and as members of a group/society, and also the impact of consumerism in the contemporary environment. To understand the behavior of consumers – decision making, post-purchase behavior, behavior in a shopping environment, etc. To understand the behavior of organizations as consumers. |REFERENCE BOOKS |AUTHOR / PUBLICATION | |Consumer Behavior |ICMR | |Consumer Behavior, 5e |Leon G Schiffman and Leslie Lazar Kanuk, Prentice-Hall, India | |Consumer Behavior |Hawkins, Best & Coney, McGraw Hill | |Consumer Behavior |Blackwell, Miniard & Engel, Thomson ...
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...Question – Consumer Behavior is the bedrock of marketing. Discuss Consumer behavior is defined as all the behavior that consumers display in searching for, purchasing, using, evaluating and disposing of products and services they expect will satisfy their needs and wants. It can also be defined as the study of why, how, what, when, where and how often do consumer buy offered products and services. It includes all purchase-related activities, thoughts and influences that occur before, during and after the purchase is performed by buyer and of consumers of products and services and those that influence the purchase. If goods and services produced are not consumed, then there would not be a need for further production. But the reverse is the case, some of these goods and services are inadequate for the level of consumption they attract. Therefore, it is very pertinent to really understand who a consumer really is. A consumer therefore is an individual or groups who buy products or service whether for personal or organizational consumption. Sometimes, it is not actual buyer of product/services that consumed it. This means that different and various kinds of people play one role or the other in a buying process. These individuals and groups are briefly explained below: 1. Initiator: The person who begins the process of considering a purchase. Information may be gathered by this person to help the decision. 2. Influencer: The person who attempts to persuade others...
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...PSY322/Consumer Psychology and Research June 16, 2013 Case Study Analysis The subject case studies are designed in order to conceptualize the cross-cultural consumer behaviors, their effects on business and company activities while analyzing the case study. The main realm of subject study is the consumer behaviors in global perspectives. The studies are also aimed to create the sense in the students about how to analyze the case study. So to achieve the said objectives the extensive literature review is conducted including the evaluation of consumer behaviors and their decisions regarding purchases while including the lessons learned by the Apple regarding the differences in consumer behavior and purchasing decisions between the Japanese market and the market outside of Japan. The consumer behaviors during the field survey administered under subject study are found dissimilar across the cultures. These dissimilarities in behaviors of the customers across the cultures affect the company’s marketing mix strategies. These effects are discussed in sections created below. Likewise the lessons learned from the Walt Disney Company about consumer behavior and purchasing decisions at Hong Kong Disneyland has also been added as a part of study while explaining various issues that may influence the behaviors of the consumers. Lastly the survey administered identifies the reasons behind the Japanese consumers’ behaviors of hating the iPhone. Consumer Behavior Consumer...
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...Explain the relationship between consumer traits and behavior. Provide a specific example. What is consumer buying behavior and how is it impacted by internal and external factors? Buying behavior is the decision processes and acts of people involved in buying and using products. When trying to understand the complexity of consumer buying behavior it is important to understand the why consumers buy any products or contract any services. What influences a consumer to buy one brand over another? Personal behavior and character traits have a large role in the actions we take the decisions we make, including consumer choices. Traits Character traits are defined as enduring and stable patterns of behavior, attitudes, emotions, that vary between individuals (Dr Howell, 2014). Personality traits are everlasting characteristics that are consistently demonstrated in spite of changing circumstances or environment. Because they define habitual patterns of behavior, thought and emotion, they provide a foundation for predicting behavior. Researchers have linked personality traits to experiential buying tendencies, political orientation, and preference in pets, even more meaning connections to divorce, morbidity, and occupational attainment. Traits are a window into consumer motivations. Traits are hard for marketing plans to alter but a communication plan may be altered to focus on certain character traits. As an example, if a specific demographic has a certain political orientation...
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...A STUDY OF CONSUMER BEHAVIOR TOWARDS PURCHASING TOOTHPASTE INTRODUCTION Consumer behavior is stated as the behavior that consumer display in searching for, purchasing, using, evaluating, and disposing of products, services and ideas that they expect will satisfy their needs. The study of consumer behavior is concerned not only with what consumers buy, but also with why they buy it, when and how they buy it, and how often they buy it. It is concerned with learning the specific meanings that products hold for consumers. Consumer research takes places at every phase of consumption process, before the purchase, during the purchase and after the purchase. The scope of consumer behavior includes not only the actual buyer and his act of buying but also various roles played by different individuals and the influence they exert on the final purchase decision .Individual consumer behavior is influenced by economic, social, cultural, psychological, and personal factors. Consumer purchase decision A decision is the selection of an action from two or more alternative choices. Consumer decision to purchase the goods from the available alternative choice is known as “consumer purchase decision”. The various options of the consumer may be classified into five main types of decisions. They are: * what to buy, * how much to buy, * where to buy, * when to buy, and * how to buy Indian Oral Care Industry Many people in India still clean their teeth with traditional...
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...Consumer Behavior Models in Tourism Analysis Study Muhannad M.A Abdallat, Ph.D. Assistant Professor Hesham El –Sayed El - Emam, Ph.D. Assistant Professor Department of Tourism and Hospitality, Faculty of Tourism and Archeology King Saud University ABSTRACT The theories of consumer decision-making process assume that the consumer’s purchase decision process consists of steps through which the buyer passes in purchasing a product or service. However, this might not be the case. Not every consumer passed through all these stages when making a decision to purchase and in fact, some of the stages can be skipped depending on the type of purchases. The reasons for the study of consumer’s helps firms and organizations improve their marketing strategies by understanding issues such as: • The psychology of how consumers think, feel, reason, and select between different alternatives (e.g., brands, products); • The psychology of how the consumer is influenced by his or her environment (e.g., culture, family, signs, media); • The behavior of consumers while shopping or making other marketing decisions; • Limitations in consumer knowledge or information processing abilities influence decisions and marketing outcome; • How consumers’ motivation and decision strategies differ between products, that differ in their level of importance or interest that they entail for the consumer; and • How marketers can adapt and improve their marketing campaigns and marketing strategies...
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...What are the 5 models of consumer behavior? | 1. Marketing Stimuli 2. Other stimuli 3. Consumer psychology 3. Consumer characteristics 4. Buying decision process 5. Purchase decision | Wat are the 4 marketing stimuli of consumer behavior? | 1. Products and service 2. Price 3. Distirbution 4. Communications | What are the other 4 stimuli of consumer behavior? | 1. Economical 2. Political 3. Technological 4. Cultural | What are the 4 stimuli of consumer psychology? | 1. Motivation 2. Perception 3. Learning 4. Memory | What are the 3 stimuli of consumer characteristics? | 1. Cultural 2. Social 3. Personal | What are the 5 stimuli of buying decision process? | 1. problem recognition 2. information search 3. evaluation of alternatives 4. purchase decision 5. Post purchase behavior | What are the 6 stimuli of purchase decision? | 1. product choice 2. brand choice 3. dealer choice 4. purchase amount 5. Purchase timing 6. Payment method | What influences consumer behavior? | 1. cultural factors 2. social factors 3. personal 4. psychological | What are the 5 reference groups? | 1. Membership groups 2. primary groups 3. secondary groups 4. aspirational groups 5. dissasociative groups | What are the 8 personal factors which influence consumer behavior? | 1. Age 2. Life cycle stage 3. Occupation 4. Wealth 5. personality 6. values 7. life-style 8. self concepts | What are the lifestyle influences? | 1. multi tasking ...
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...Consumer Behavior Outline of the Study The first chapter of the study covers the introduction about the company (Iceland Frozen Foods) and consumer behavior and follows with the scope and significance of the study. The second chapter of the study will represent several literature reviews on research relating to the previous studies carried out by various authors. The third chapter of the study will conduct the methodology chapter, which will indicate the research methods and designs. The analysis and finding for the research study will be in the fourth chapter. The final and fifth chapter will conclude the study and provide useful and justified recommendations for the further research (Welford, 2007, 52–62). Observing consumer behavior while they are shopping gathers a wide variety of information about their behavior in choosing products and services. The consumer behavior is observed upon number of observable phenomenon like physical actions, such as the actual shopping pattern of consumers (in store or through online interface); verbal behavior, such as sales conversation between buyer and the seller or communication of buyer with other buyers in the store; expressive behavior, such as facial expressions and tone of voice or behavior while interacting with product features they are buying; and temporal patterns, such as amount of time spent by consumers while making their purchase decision (Zikmund, pp. 239-240). The marketing activity of Starbucks can be made more effective...
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...Customers make purchases in order to satisfy needs. Some of these needs are basic and must be filled by everyone on the planet, example: food and shelter, while others are not required for basic survival and vary depending on the person. Sometimes in the consumer market people are involved in a purchase decision, example: in planning for a family vacation the father may make the hotel reservations but others in the family may have input on the hotel choice. Therefore, understanding consumer purchase behavior involves not only understanding how decisions are made but also understanding the dynamics that influence purchases. Consumer buyer behavior refers to the buying behavior of final consumers (individuals and households who buy goods and services for personal consumption). All of there final consumers combine to make up the consumer market. Customers go through a five-stage decision-making process in any purchase: 1. Need Recognition & Problem Awareness 2. Information Search Customers make purchases in order to satisfy needs. Some of these needs are basic and must be filled by everyone on the planet, example: food and shelter, while others are not required for basic survival and vary depending on the person. Sometimes in the consumer market people are involved in a purchase decision, example: in planning for a family vacation the father may make the hotel reservations but others in the family may have input on the hotel choice. Therefore, understanding consumer purchase...
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...What is Consumer Buying Behavior? Definition of Buying Behavior: Buying Behavior is the decision processes and acts of people involved in buying and using products. Need to understand: * why consumers make the purchases that they make? * what factors influence consumer purchases? * the changing factors in our society. Consumer Buying Behavior refers to the buying behavior of the ultimate consumer. A firm needs to analyze buying behavior for: * Buyers reactions to a firms marketing strategy has a great impact on the firms success. * The marketing concept stresses that a firm should create a Marketing Mix (MM) that satisfies (gives utility to) customers, therefore need to analyze the what, where, when and how consumers buy. * Marketers can better predict how consumers will respond to marketing strategies. Stages of the Consumer Buying Process Six Stages to the Consumer Buying Decision Process (For complex decisions). Actual purchasing is only one stage of the process. Not all decision processes lead to a purchase. All consumer decisions do not always include all 6 stages, determined by the degree of complexity...discussed next. The 6 stages are: 1. Problem Recognition (awareness of need)--difference between the desired state and the actual condition. Deficit in assortment of products. Hunger--Food. Hunger stimulates your need to eat. Can be stimulated by the marketer through product information--did not know you were deficient? I.E., see a commercial for a...
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...Consumer Behavior Models in Tourism Analysis Study Muhannad M.A Abdallat, Ph.D. Assistant Professor Hesham El –Sayed El - Emam, Ph.D. Assistant Professor Department of Tourism and Hospitality, Faculty of Tourism and Archeology King Saud University ABSTRACT The theories of consumer decision-making process assume that the consumer’s purchase decision process consists of steps through which the buyer passes in purchasing a product or service. However, this might not be the case. Not every consumer passed through all these stages when making a decision to purchase and in fact, some of the stages can be skipped depending on the type of purchases. The reasons for the study of consumer’s helps firms and organizations improve their marketing strategies by understanding issues such as: • The psychology of how consumers think, feel, reason, and select between different alternatives (e.g., brands, products); • The psychology of how the consumer is influenced by his or her environment (e.g., culture, family, signs, media); • The behavior of consumers while shopping or making other marketing decisions; • Limitations in consumer knowledge or information processing abilities influence decisions and marketing outcome; • How consumers’ motivation and decision strategies differ between products, that differ in their level of importance or interest that they entail for the consumer; and • How marketers can adapt and improve their marketing campaigns and marketing strategies...
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...Holiday decision-making: an adaptable and opportunistic ongoing process Name: Institution: Course: Tutor: Date: Identify and discuss how holiday decision-making as described in the case, is different from the traditional problem-solving models of consumer decision-making Holiday decision-making process is different from the traditional problem-solving models of consumer decision making. This is because holiday decision-making model does not require fixed sequential stages that are required by traditional problem-solving models. Administrative factors play an imperative role when deciding time and choice of holiday decision-making process (Schermerhorn & Osborn, 2011). The typical factors that mostly influence the holiday decision-making process are levels of involvement, situational factors, anticipation, nostalgia and daydreaming. On the other hand, this is very different from traditional decision-making process that is well sequentialized and structured. In this model, the need for a specific service or product is identified and information search and other alternatives are evaluated. The consumer is further led towards purchasing a product and there after placing a purchase evaluation (Moore & Simmons, 2010). In the traditional consumer decision-making, the method of searching for information is well structured and it is either external, internal or both of them. Information collection process in the holiday decision making is an ongoing and...
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