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Consumer Behavior
Marketing > Consumer Behavior
Table of Contents
Abstract
Overview
Applications
Terms & Concepts
Bibliography
Suggested Reading

Abstract
The study of consumer behavior blends elements from economics, the social sciences and the physical sciences. An inexhaustible
and diverse field of research and applications, consumer behavior considers such areas as buying decision making, internal
influences, and external influences on the consumer. An understanding of consumer behavior leads to improved marketing
strategies on the part of firms and organizations, and also leads
to improved public policy.

graphics and behavior, in an attempt to understand the consumer

and his or her world. Demographics include factors such as race,
age, income, mobility (travel time to work or number of vehicles
available), educational attainment, home ownership, employment status and location. Psychographics are attributes related to
personality, values, attitudes, interests, or lifestyles. Behavioral
variables include usage rate and loyalty. Consumer behavior also
tries to assess influences on the consumer from groups such as
family, friends, reference groups and society in general (Perner,
2003).
Consumer 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 field of economics
actually provided the foundation for marketing, but it wrongly
assumed that consumers are rational decision makers who
actively seek information, objectively evaluate alternatives
available to them, and make rational selections of products or
services to maximize their benefits. By neglecting the emotional side of the customer, among other psychological factors,
economists failed to provide marketing with all of the concepts needed to understand the complexities of what motivates
consumers(Demirdjian & Senguder, 2004, p. 349).

In marketing, consumer behavior is the study of the acquisition,

consumption, use, and disposal of products, services, experiences, or ideas, by consumers. When considered in greater
depth, consumer behavior can be defined as the study of how
and when individuals, groups and organizations select, purchase,
use and dispose of products, services, experiences or ideas to
satisfy their needs. It also involves the study of why consumption decisions are made. In addition, consumer behavior looks at
the impacts that the processes of selection, purchasing, use, and
disposal have on consumers and on society.

Realizing these limitations, marketing scholars began to seek an

understanding of consumer behavior from other sciences. Psychology the study of individual behavior was one of the
earliest and most extensively used fields from which concepts
have been borrowed. Motivation, perception, learning, beliefs,
attitudes and so on, have all been used to explain why the consumer behaves the way he or she does (Demirdjian & Senguder,
2004, p. 349). Social psychology is yet another source from
which many concepts have been borrowed, as this field is concerned with the behavior of individuals in the presence of other
individuals or groups. Research into other sciences such as
physiological psychology, which is the study of the interaction
of the body with the mind, and which studies the extent to
which behavior is caused by physical and chemical phenomena
in the body, is relatively recent (Demirdjian & Senguder, 2004,
p. 349).

Consumer behavior studies the characteristics of individual

consumers, by looking at variables such as demographics, psycho-

It has been said that the basic nature of consumer behavior is

diversity: the field is characterized by diversity in theories and

Overview

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Consumer Behavior

diversity in research methods (Demirdjian & Senguder, 2004).

Although early related research can be traced back much further, the attempt to theorize consumer behavior began in 1962,
first looking at the type of behavioral processes consumers typically used in adopting new products; then addressing consumer
problem-solving, buyer behavior, and buyer decision processes.
Subsequent research has looked into information processing of
consumer choice, and the experiential consumer.
Since the early 1980s, research has been conducted in areas
as wide and varied as deviant behavior, consumer perception,
planned behavior, intention-behavior discrepancy, environmentally responsible behavior, consumer judgment, attitudes,
dependence, international and cross-cultural consumer behavior,
impulsive buying, personality-behavior relationships, the role of
imagery, and social and political marketing issues.

Applications
Behavior occurs either for an individual on his or her own; for an
individual in the context of a group (where others in the group
influence how a person behaves); or for an organization (where
people on the job make decisions as to which products the firm
should use). The study of consumer behavior attempts to understand the buyer decision making process for individuals, groups
and organizations.
Consumer decision making comes about as an attempt to solve
consumer problems, both major and minor. A consumer buying
decision process can have up to six stages. Actual purchasing
is only one stage of the process, and not all decision processes
may lead to a purchase. The number of stages involved in a particular decision will depend on the degree of complexity of that
decision. The six stages are: problem recognition, information
search, evaluation of alternatives, purchase decision, purchase,
and post-purchase evaluation.
The first stage, Problem Recognition, is when a consumer
becomes aware of a need. The need is manifest because there
is a difference between the consumer's desired state and his or
her actual condition. The second stage is the information search.
There are two types of information searches: internal and external. With an internal information search, the consumer searches
the information stored in his or her memory. If more information
is needed after the internal search, the consumer may consult
external information sources such as friends and relatives for
word-of-mouth; marketing information; comparison shopping;
and public sources.
A successful information search leaves a needy consumer with
possible alternatives collectively called the Evoked Set. Armed
with the evoked set, the consumer embarks on the third stage of
the buying decision process: Evaluation of alternatives. Here, the
consumer may need to establish the criteria for evaluation, such
as features of the product or service that the buyer wants or does

not want. The consumer may rank or weigh the alternatives to

arrive at a choice, or resume searching if a satisfactory choice is
not arrived at. Information from different sources may be treated
differently.
The fourth stage in the consumer buying decision process is the
purchase decision. Here, the consumer selects from the available alternatives, making decisions on details such as the specific
product or service, its packaging, retail outlet and method of
purchase. The fifth stage is the purchase, which at times occurs
simultaneously with the purchase decision. Sometimes product
availability issues may cause a time lapse between the purchase
decision and the actual purchase.
The sixth and last stage in the consumer buying decision process is post-purchase evaluation (also known as post-acquisition
evaluation), which may occur to the buyer consciously or subconsciously. At the end of his or her evaluation, the buyer may
experience satisfaction or dissatisfaction. Dissatisfaction may
result from many factors, such as unmet brand expectations, and
at times may lead to the consumer lodging a complaint. A satisfied consumer may end up becoming loyal to a particular brand
or retail outlet.
There are a plethora of variables affecting consumer behavior,
and not all have been even discovered or explored yet. While it
is not possible to discuss many of these variables here, it is possible, however, to look at the following:

Group Influences
Family Influences
Attitudes
Perceptions
Planned Behavior
Deviant Consumer Behavior
In consumer behavior, the Behavioral Influence Perspective
assumes that strong environmental forces propel consumers to
action without them necessarily first developing strong feelings
or beliefs about a product, service, experience or idea. The consumer is impacted by many external influences: as a member of
society, for instance, one acquires, through one's culture, knowledge, beliefs, morals, values, customs, and other capabilities and
habits.
Apart from cultural and sub-cultural (such as African-American,
Hispanic and Asian) influences, the consumer is also subject
to situational influences, which are temporary environmental
factors, and which include physical surroundings, social surroundings and time. Consumers are also subject to cross-cultural
influences and group influences.
The literature on group influence is as extensive as its role in
consumer decision making. One useful framework of analysis of

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Consumer Behavior

group influence on the individual is the reference group. This is a

group of people used by an individual as a standard of reference
against which to compare him or herself, such as role models.
Reference groups come in several different forms. The aspirational reference group refers to those others against whom one
would like to compare oneself (Perner, 2003).
According to Perner (2003), associative reference groups include
people who more realistically represent an individual's current
equals or near-equals. Specifically, these include coworkers,
neighbors, or members of churches, clubs, and organizations. The
final group, the dissociative reference group, includes people that
the individual would not like to be like (Perner, 2003). Marketers use the various groups to bring pertinent messages home to
their actual and potential consumers.
Reference groups have various degrees of influence. Primary
reference groups are those with the greatest amount of influence
on an individual; secondary reference groups tend to have less
influence they may not enjoy very close relationships with
the individual.
As Perner notes, in families, individual members often serve
different roles in decisions that ultimately draw on shared family
resources. Some individuals are information gatherers or information holders: they seek out information about products of
relevance. These individuals often have a great deal of power
because they may selectively pass on information that favors
their chosen alternatives (2003). There are also the influencers: they do not ultimately have the power to decide between
alternatives, but they may make their wishes known by asking
for specific products or causing embarrassing situations if their
demands are not met (Perner, 2003).
The next role is that of the decision maker(s), who have the
power to determine issues such as whether to buy; which product to buy; which brand to buy; where to buy it; and when to buy.
The last role in family decision-making is that of the purchaser.
The fact that the purchaser and the decision-maker may be different people, often poses problems for marketers, since the
purchaser can be targeted by point-of-purchase marketing efforts
that cannot be aimed at the decision maker (Perner, 2003).
Apart from external factors and influences as described above,
the consumer is also prone to internal influences, such as attitudes, perception and intention. Consumer attitudes are the sum
of a consumer's (1) positive, negative or neutral beliefs about, (2)
feelings about, (3) and behavioral intentions toward an object,
which, in the context of marketing, is usually a brand or retail
outlet. The components of attitude are considered together
since they are highly interdependent and together represent
forces that influence how the consumer will react to the object
(Perner, 2003).
Perception is one of the personal factors that determine consumer behavior. The term "personal factors" refers to the closest

environment of a person, including everything that is inside the

person, his head and soul, characterizing him as a personality.
Using his sensory receptors and being influenced by external
factors as discussed above, the person receives information,
accepts and adapts it, forms his personal attitude, opinion, and
motive, which can be defined as factors that will influence his
further activity and behavior (Banyte, J., Paunksniene, ., &
Rutelione, A., 2007).
The Theory of Planned Behavior suggests that behavioral intention the motivation that determines how hard people are
willing to try to perform a behavior is the most influential
predictor of behavior: it assumes that a person does what he or
she intends to do (Pavlou & Fygenson, 2006). However, this is
not always the case. Sometimes there is a discrepancy between
intention and behavior. This is referred to as the intention-behavior discrepancy.
Other factors that influence behavior include past experience or
past behavior, habit, and even the information gathering process,
which has been found to have a significant impact on purchasing
(Pavlou and Fygenson, 2006).
When consumer behavior differs from the norm or the standard,
it is termed "deviant." Deviant behavior veers away from established customs, manners, rules and regulations, laws, and mores
which themselves are sometimes poorly defined or unclear.
Depending on the extent to which an individual's behavior
deviates from such norms, it may be considered by society to
be either undesirable, unacceptable, or dysfunctional (which is
another word for "deviant").
Another way in which deviancy can be defined, is in terms of the
frequency or the degree to which a consumer deviates from society's norms and prescribed behaviors (Moschis and Cox, 1989).
Deviant behavior does not only pertain to individuals: it can
also emanate from firms and organizations, for instance, through
deceptive advertising, advertising harmful products to children,
and telemarketing fraud.
Similarly, some consumers display negligent consumer behavior, through the misuse of products and the consumption of
hazardous products.
To conclude, those organizations which understand what would
appeal to the current and potential consumers of their products
and services, can tailor their advertising and other marketing
efforts accordingly. Understanding consumer behavior helps
firms and organizations improve their marketing strategies by
understanding issues such as:

How consumers think, feel, reason, and select between

different alternatives, such as brands and products

How the consumer is influenced by his or her environ-

ment, for instance, by culture, family, signs and the media

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Consumer Behavior

The behavior of consumers while shopping or making

other marketing decisions

How limitations in consumer knowledge or information

processing abilities influence decisions and marketing
outcome

How consumer motivation and decision strategies differ

between products that differ in their level of importance
or interest that they entail for the consumer

How marketers can adapt and improve their marketing

campaigns and marketing strategies to more effectively

reach the consumer (Perner, 2003).

Apart from assisting in the area of marketing, the study of consumer behavior also aids policymakers in formulating rules and
regulations concerning the uses and abuses of certain products
and services. Likewise, the study of consumer behavior also
helps environmentalists to put measures in place to reduce the
occurrence of improper waste disposal. By understanding consumer behavior, social marketers are also able to improve their
marketing strategies, so as to get their ideas across to their target
audience.

Terms & Concepts

Attitudes: Consumer attitudes are the sum of a consumer's (1)

positive, negative or neutral beliefs about, (2) feelings about,

(3) and behavioral intentions toward an object. The components
of attitude are considered together since they are highly interdependent and together represent forces that influence how the
consumer will react to the object (Perner, 2003).
Behavioral Influence Perspective: The Behavioral Influence

Perspective assumes that strong environmental forces propel

consumers to action without them necessarily first developing
strong feelings or beliefs about a product, service, experience
or idea.

services, experiences or ideas, to enable him or her to make a

purchase decision.
Evoked Set: This is a list of possible alternatives that the con-

sumer arrives at after his or her Information Search, during the

Consumer Buying Decision Process.
Information Search: The second stage in the Consumer Buying

Decision Process, where a consumer searches internally and

externally for information that will ultimately help him or her to
satisfy a need to purchase a product, service, experience or idea.
Perception: Perception comes into play when a person uses his

sensory receptors and under the influence of external factors,

receives information, accepts and adapts it, and forms his or her
personal attitude, opinion, and motive, which will influence further activity and behavior.
Post-Purchase Evalution: Also known as post-acquisition evalu-

ation, this is the sixth and final stage in the Consumer Buying
Decision Process. Here, the consumer assesses the extent to
which the product, service, experience or idea purchased, meets
his or her need. Post-purchase evaluation may result in satisfaction or dissatisfaction.
Problem Recognition: The first stage in the Consumer Buying

Decision Process, when a consumer becomes aware of a need

caused by a difference between the consumer's desired state and
his or her actual condition.
Purchase Decision: As the fourth stage in the Consumer Buying

Decision Process, the purchase decision is reached when the

consumer has evaluated the alternatives and made a choice of
product, service, experience or idea to purchase.
Purchase: This is the fourth stage in the Consumer Buying Deci-

sion Process; it involves the consumer acquiring the product,

service, experience or idea of his or her choice.

Consumer Behavior: Consumer behavior is the study of the

Reference Group: A reference group is a group of people used

Consumer Buying Decision Process: The Consumer Buying

Theory of Planned Behavior: The Theory of Planned Behavior

acquisition, consumption, use and disposal of products, services,

experiences or ideas, by consumers.

Decision Process is comprised of six stages, namely: problem

recognition, information search, evaluation of alternatives, purchase decision, purchase, and post-purchase evaluation.
Deviant Behavior: Also known as dysfunctional behavior, devi-

ant behavior occurs when a consumer's actions differ from

established customs, manners, rules and regulations, laws, and
mores.
Evaluation of Alternatives: As the third stage in the Consumer

Buying Decision Process, the evaluation of alternatives sees a

consumer analyzing, ranking or weighing a shortlist of products,

by an individual as a standard of reference against which to compare him or herself.

suggests that behavioral intention the motivation that determines how hard people are willing to try to perform a behavior
is the most influential predictor of behavior: it assumes that a
person does what he or she intends to do.

Bibliography
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Consumer Behavior

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trust metric in the social age. International Journal Of
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database Business Source Complete with Full Text:http://
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Scaraboto, D., Carter-Schneider, L., & Kedzior, R. (2013).

At worlds end: Exploring consumer-marketer tensions
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Suggested Reading
Demirdjian, Z., & Senguder, T. (2004). Perspectives in consumer behavior: Paradigm shifts in prospect. Journal
of American Academy of Business, Cambridge, 4(1/2),
348-353. Retrieved April 02, 2007, from EBSCO Online
Database Business Source Complete. http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=12704394
&site=ehost-live
Mowen, J., & Minor, M. (2003). Consumer Behavior: A
Framework. Retrieved April 26, 2007, from http://www.
consumerbehavior.net/
Perner, L. (2007). The Psychology of Consumers. Retrieved
April 2, 2007, from http://www.consumerpsychologist.
com/
Vernette, E., & Hamdi-Kidar, L. (2013). Co-creation with
consumers: who has the competence and wants to cooperate?. International Journal Of Market Research, 55(4),
2-20. Retrieved November 19, 2013 from EBSCO online
database Business Source Complete with Full Text:http://
search.ebscohost.com/login.aspx?direct=true&db=bth&A
N=89071271&site=ehost-live
Wong, J., & Sheth, J. (1985). Explaining intention-behavior
discrepancy A paradigm. Advances in Consumer
Research, 12(1), 378-384. Retrieved April 02, 2007, from
EBSCO Online Database Business Source Complete.
http://search.ebscohost.com/login.aspx?direct=true&db=bt
h&AN=6430998&site=ehost-live

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Consumer Behavior

Essay by Vanessa A. Tetteh, Ph.D.

Dr. Tetteh earned her Doctorate from the University of Buckingham in England, U.K., where she wrote a dissertation on Tourism Policy,
Education and Training. She is a teacher, writer and management consultant based in Ghana. Her work has appeared in journals such as
the International Journal of Contemporary Hospitality Management, The Consortium Journal, and Ghana Review International.

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Copyright of Consumer Behavior -- Research Starters Business is the property of Great Neck
Publishing and its content may not be copied or emailed to multiple sites or posted to a
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Copyright of Consumer Behavior -- Research Starters Business is the property of Great Neck
Publishing and its content may not be copied or emailed to multiple sites or posted to a
listserv without the copyright holder's express written permission. However, users may print,
download, or email articles for individual use.