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Buyer Behaviors Buyer Behaviors

Buyer Behaviors - PowerPoint Presentation

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Buyer Behaviors - PPT Presentation

Chapter 3 Chapter Overview Consumer purchase process Consumer buying environment Trends in consumer behavior Business buying center BtoB purchasing process Chapter Overview Common Purchase Reasons ID: 614147

cognitive consumer evaluation search consumer cognitive search evaluation evoked set buying linkage retailer attitudes values purchase affective center information

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Presentation Transcript

Slide1

Buyer Behaviors

Chapter 3Slide2

Chapter Overview

Consumer purchase process

Consumer buying environment

Trends

in consumer behaviorBusiness buying centerB-to-B purchasing process

Chapter OverviewSlide3

Common Purchase Reasons

Products/services provide utility

To satisfy physical needs

To satisfy psychological needs

To satisfy social needsTo satisfy emotional needsSlide4

3-

4

Consumer Decision-Making Process

Fig. 3-1Slide5

Information Search

Internal search

Known sources

Low-risk, low involvement

External searchLess-frequent purchaseGreater social/financial importanceSlide6

External Search

Ability to search

Education, pre-existing knowledge

Motivation

Level of involvementNeed for understanding (cognition)Shopping enthusiasmPerceived cost vs. Perceived benefitSlide7

Consumer Values

Attitudes shaped by personal values.

Values are strongly held beliefs.

Values contribute to attitudes.

Personal valuesComfortable lifeEquality, FreedomHappiness Personal accomplishmentSlide8

Affective

Cognitive

Conative

Consumer Attitudes

Attitudes drive purchase decisions.Marketing communications attempts to influence attitudes. Slide9

Attitude

Affective

Feelings or emotions about the object, topic, or idea.

Cognitive

Mental images, understanding, interpretationsConativeIntentions, actions, behavior3 Components:Slide10

Attitude Sequence

Cognitive

 Affective 

Conative

(Think, feel, do )Affective  Conative  Cognitive(Feel, do, think )

Conative  Cognitive  Affective

(Do,

think, feel )Slide11

Simulations of knowledge structures and memories

Assumptions, beliefs, interpretations

Marketing messages aim to:

Strengthen current linkage

Modify current linkageCreate a new linkageCognitive Mapping (CM)Slide12

Principles concerning processing of information and cognitive mapping:

CM enhances movement from short-term to long-term memory.

Repetition

is necessary to establish new linkages.

Once linkage exists, difficult to modify or create new linkages.Slide13

“Establish a new linkage as alternative to salt”

Strengthen linkage

Modify linkage

Create new linkage

Role of Marketing Messages in Cognitive Mapping

Fig.

3-5

Marketing

MessageSlide14

Information Processing

Elaboration Likelihood Model (ELM)

Hedonic, Experiential Model (HEM)Slide15

Occurs along two routes:

Central Route

Cognitively processes a message with a high degree of attention to core elements of the message

(uses cognitive skills)

Peripheral RouteAttention paid to marginal cues imbedded in the message (repetition important) Music, actors, background of an ad Information ProcessingSlide16

ELM

Consumers pay attention to

Prices

Product qualityCompany/brand attributes HEMConsumers pay attention to

Emotions

Feelings

Fun

New or unusual experiences

Slide17

3-

17

Information

Search

Evaluation ofAlternatives

ProblemRecognition

Evoked set

Multiattribute

Affect referral

F

ig

3 . 6

Evaluation of AlternativesSlide18

Evoked set method

Evoked set

Inept set

Inert set

Multiattribute methodBased on beliefs about a brand’s performance on product attributes and the importance of each attribute. (High involvement)Affect referralChooses brand liked, without evaluation of other brands or attributes

Evaluation of AlternativesSlide19

Evoked Set

The set of brands

and purchase locations

that meet both the objective and subjective requirements of the consumer.

Development of the evoked set begins during the internal search.Inclusion in the evoked set is a major goal of marketers.Slide20

Factors Affecting Consumer Purchasing Behaviors

Demographics (age, gender, income, etc.)

Heredity and home environment

Family life cycle

Life changing eventsSocial/Cultural environmentSituational environmentUnplanned/impulse/variety alternativesSlide21

Age complexity

Gender complexity

Individualism

Active, busy lifestyles

CocooningPleasure bingesHealth Emphasis Consumer TrendsSlide22

Postpurchase

Evaluation

Evaluation of product performance.

Cognitive dissonance.

Impacts future purchases.Impacts word-of-mouth communications.Slide23

Business-to-Business

Buyer Behavior

Users

Buyers

InfluencersDecidersGatekeepersA simplistic view of the

Buying CenterSlide24

1. Problem recognition

2. General need description

3. Product specification

4. Supplier/Source search

8. Evaluate performance

7

. Make the transaction routine

6

. Selection

5. Proposal Solicitation

Traditional

BtB

Buyer Behavior ProcessSlide25

Total

Offering

CREATES

PERCEIVES

ADDED VALUE

Direct Activities

Support Activities

Creation and Perception of Value

Buying CenterSlide26

Individual Factors

Business-to-Business Buying Center

Personality

Roles and perceived roles

MotivationLevels of powerAttitude towards riskLevels of cognitive involvementPersonal objectives

Can be summed up as……Slide27

Needs of the job function

Needs of the organization

Personal needs

3 Primary Roles of Buying Center MembersSlide28

Straight

rebuy

Modified

rebuy

New taskTypes of B-to-B SalesSlide29

Based on Customer needs related to economic utility

Multi-distribution

Multiples of same channel design to reach intended intensity of distribution

Dual distribution

Unique channel designs for different target marketsDual/Multiple ChannelsSlide30

Dual Distribution

Manufacturer

Small user/ Retailer

Large end user

Distributor

Unique channel designs for different target marketsSlide31

Multi-Distribution

Multiples of same channel design to reach intended intensity of distribution

Manufacturer

Retailer

Retailer

Retailer

Retailer

Retailer