CONSUMER BEHAVIOR UNIT II
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1 CONSUMER BEHAVIOR UNIT II 1
2 UNIT II LEARNING OBJECTIVES 1. Market research and consumer behavior; Approaches to consumer behavior research: observation, interviews and surveys, experimentation 2. Consumer needs, motivation, emotions, mood, Consumer involvement 3. Consumer learning, personality, self-concept, selfimage; Consumer perception, risk and imagery 4. Consumer attitude: belief, affect, attitude and intention, attitude formation and attitude change 2
3 MARKET RESEARCH - MEANING Market research is the process of gathering and interpreting data about customers and competitors ithi a fir s target arket. 3
4 CONSUMER BEHAVIOR RESEARCH APPROACHES Consumer behavior approaches are: In-home observation Shadowing 1. Observation Psychological methods Surveys 2. Interviews and surveys Focus Groups Longitudinal studies 3. Experimentation 4
5 CONSUMER BEHAVIOR RESEARCH APPROACHES Observation Observing consumer behaviors in different situations such as natural or artificial settings to know their purchase patterns. 1. In-home observation: In-home examination is examining how and when consumers use and consume products in their households 2. Shadowing: Shadowing is following and observing consumers in the shopping and consumption processes. Researchers may ask questions about reasons for behaviors 3. Physiological methods: Psychological methods are the techniques borrowed from medicine, psychology and other sciences including cameras to measure eye movement and body language. 5
6 CONSUMER BEHAVIOR RESEARCH APPROACHES Interviews and surveys 1. Surveys: Surveys are efficient methods for gathering information from a large sample of consumers by asking questions and recording responses. 2. Focus groups: Focus groups are those groups that are organized for group discussions led by a moderator skilled in persuading consumers to thoroughly discuss a topic of interest. 3. Longitudinal studies: Longitudinal studies are repeated measures of activities over time to determine changes in opinions, buying, and consumption behaviors. 6
7 CONSUMER BEHAVIOR RESEARCH APPROACHES Experimentation Experimentation is measuring cause-and-effect relationships by manipulating independent variables to determine the effects of changes on dependent variables. Independent variables might include number of advertisements and package design. Dependent variables might include purchase intent or behavior. 7
8 CONSUMER NEED A consumer need is a consumer's desire for a product's or service's specific benefit. 8
9 CONSUMER MOTIVATION Consumer motivation is an unobservable inner force that stimulates and compels a behavioral response and provides specific direction to that response. 9
10 CONSUMER EMOTION Consumer emotion is the identifiable specific feeling of a consumer. 10
11 CONSUMER MOOD Consumer mood is a relatively long lasting emotional state. 11
12 CONSUMER INVOLVEMENT Consumer involvement is the level of interaction and regard that a consumer has with a given product. 12
13 CONSUMER LEARNING Consumer learning is a process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior. 13
14 CONSUMER PERSONALITY Consumer personality is the inner psychological characteristics that both determine and reflect how a person responds to his or her environment. Nature of Personality Personality reflects individual differences Personality is consistent and enduring Personality can change 14
15 THEORIES OF PERSONALITY Freudian theory Unconscious needs or drives are at the heart of human motivation Neo-Freudian personality theory Social relationships are fundamental to the formation and development of personality Trait theory Quantitative approach to personality as a set of psychological traits 15
16 FREUDIAN THEORY Id Warehouse of primitive or instinctual needs for which individual seeks immediate satisfaction Superego I di idual s i ter al e pressio of so iet s moral and ethical codes of conduct Ego I di idual s o s ious control that balances the demands of the id and superego 16
17 Freudia Theor a d Produ t Perso alit Snack Foods Potato chips Tortilla chips Pretzels Snack crackers Cheese curls Personality Traits Ambitious, successful, high achiever, impatient with less than the best. Perfectionist, high expectations, punctual, conservative, responsible. Lively, easily bored with same old routine, flirtatious, intuitive, may over commit to projects. Rational, logical, contemplative, shy, prefers time alone. Conscientious, principled, proper, fair, may appear rigid but has great integrity, plans ahead, loves order. 17
18 Neo-Freudian Personality Theory Believe that social relationships are fundamental to the formation and development of personality. Kare Hor e s three perso alit groups CAD Compliant: move toward others Aggressive: move against others Detached: move away from others 18
19 TRAIT THEORY Focus on measurement of personality in terms of traits Trait - any distinguishing, relatively enduring way in which one individual differs from another Personality is linked to broad product categories and NOT specific brands 19
20 20
21 SELF-CONCEPT Self-Concept is defined as the totality of the individual's thoughts and feelings having reference to him- or herself as an object. Self-concept can be divided into four parts as listed below: 1. Actual Self-Concept 2. Ideal Self-Concept 3. Private Self-Concept 4. Social Self-Concept 21
22 Self-Concept Dimensions of a Consumer s Self-Concept 22
23 SELF IMAGE Self-i age of a o su er is that perso s perceptions of his or her self. 23
24 Different Self-Images Actual Self- Image Ideal Self- Image Ideal Social Self-Image Social Self- Image Expected Self-Image 24
25 Different Self-Images Actual Self-Image How you see your self Ideal Self-Image How you would like to see yourself Social Self-Image How you think others see you Ideal Social Self-Image How you would like others to see you 25
26 Different Self-Images- Co t d Expected Self-Image How you expect to be in the future Ought-to elf The qualities that you think you should possess 26
27 CONSUMER PERCEPTION Consumer perception is the process by which an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world. How we see the world around us is our perception. 27
28 PERCEIVED RISK Perceived Risk represents anxieties felt because the consumer cannot anticipate the outcomes of a purchase but believes that there may be negative consequences. Types of Perceived Risk: financial physical psychosocial 28
29 How do consumers handle risk? Seek Information Stay Brand Loyal Select by Brand Image Rely on Store Image Buy the Most Expensive Model Seek Reassurance 29
30 ATTITUDES AND BELIEFS An attitude is a learned predisposition to respond to an object or class of objects in a consistently favorable or unfavorable way. Beliefs are a o su er s su je ti e per eptio of ho well a product or brand performs on different attributes. 30
31 How do we form attitudes? Three different paths to attitude formation: 1. Attitudes are created by first creating beliefs. Consumer beliefs are the knowledge that a consumer has about objects, their attributes, and the benefits provided by the objects. Consumer beliefs are created by processing information--cognitive learning. 2. Attitudes are created directly. Behavioral learning Mere exposure 3. Attitudes are created by first creating behaviors. Consumers respond to strong situational or environmental forces, and after engaging in the behavior, form attitudes about the experience. 31
32 CONSUMER AFFECT Consumer affect is the liking or disliking aspect of the specific feeling, called consumer emotion. 32
33 CONSUMER BEHAVIOR UNIT II 33
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