Chapter 3 - Buyer Behavior

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3 Chapter Three

Buyer Behaviors
Prof. (Dr.) Kao Kveng Hong, Ph.D., D.Litt.
Apple iPhone

3 • July 2007 introduction - $600


• Initial problem with AT&T
phone activation
• Sales soared
• After 3 months – priced
reduced to $200
• Despite problems – Why did
the iPhone succeed?
Apple iPhone

3 New Product Introductions

• Innovators
• Early adopters
• Early majority
• Late majority
• Laggards or nonadopters
Buying Behaviors

3 •
Chapter Overview
Consumer purchase process
Discussion Slide Copyri • Consumer buying environment
• Recent trends in consumer
behavior
• Business buying center
• B-to-B purchasing process
FIGURE 3.1
Consumer Decision-Making Process
Information Search
Internal search
External search
External Search
Ability to search
Motivation
Level of involvement
Need for cognition
Shopping enthusiasm
Perceived cost versus benefit
Consumer Attitude
Affective
Cognitive
Conative
Attitude Sequence
 Cognitive  Affective  Conative
 Affective  Conative  Cognitive
 Conative  Cognitive  Affective
What emotion does
this Pamper Wipes
advertisement
solicit?

Which attitude
sequence would be
the most likely for
this product?

“Some things can be rough.”


“Her wipe shouldn’t be one of them.”
FIGURE 3.3
Personal Values

• Comfortable life • Pleasure


• Equality • Salvation
• Excitement • Security
• Freedom • Self-fulfillment
• Fun, exciting life • Self-respect
• Happiness • Sense of belonging
• Inner peace • Social acceptance
• Mature love • Wisdom
• Personal
accomplishment
Which personal
values does this
Skeeter ad target?
FIGURE 3.4
Cognitive map for Ruby Tuesday
Processing of New Information
Cognitive map

 Reinforce a current linkage.


 Modify a current linkage.
 Create a new linkage. Click picture to play video.

What linkage is Miracle Whip attempting to create or reinforce with this


TV advertisement?
Principles Concerning Processing of
Information and Cognitive Mapping

• Cognitive mapping enhances movement of messages


from short-term memory to long-term memory.
• Most persuasive messages reinforce current linkages.
• Repetition is necessary to establish new linkages.
• Difficult to modify or create new linkages.
FIGURE 3.6
Methods of Evaluating Alternatives

Evoked set

Problem Information
Problem Evaluation of
Recognition Search Multiattribute
Recognition Alternatives

Affect referral
The Evoked Set Method

• Inept set
• Inert set
• Evoked set
How important is it for each of the
following brands to be a part of a
consumer’s evoked set?

 Advil (pain medicine)


 Head & Shoulders (shampoo)
 Black & Decker (power tools)
 C & H (sugar)
 Smith & Kline (attorneys)
 Hall’s (cough drops)
 Blockbuster (video rentals)
 Dr. Nelson (neurosurgeon)
 Pearle Vision (optical)
The Multiattribute Approach

High-Involvement
Products

• Brand’s performance for each attribute.


• Importance of each attribute.
Affect Referral
• Saves mental energy.

• Multiattribute approach may


have been used previously.

• Consumers often develop


emotional bonds with
brands.
FIGURE 3.7
Trends Affecting Consumer Buyer Behavior

• Age complexity
• Gender complexity
• Individualism
• Active, busy lifestyles
• Cocooning
• Pleasure pursuits
• Health emphasis
Business-to-Business
Buyer Behavior
FIGURE 3.9
The Buying Center
FIGURE 3 . 10
Individual Factors Affecting the Behaviors of
Buying Center Members
Types of
Business-to-Business Sales

• Straight rebuy
• Modified rebuy
• New task
FIGURE 3 . 11
Reasons for Modified Rebuy

 Dissatisfaction with current vendor.

 A different vendor makes an attractive offer

 End of contract with current vendor.

 Individuals have no or little experience.


Consumer Buying Process B-to-B Buying Process
Problem Identification
Recognition Of Needs

Establish Specifications
Information
Search

Identify Vendors

Evaluation
Of Evaluate Vendors
Alternatives

Select Vendor
Purchase
Decision
Purchase Negotiations

Postpurchase
FIGURE 3 . 11
Evaluation
FIGURE 3.12
Dual Channel Marketing
• Consumer and B-to-B markets
• Spin-off market
• Image concerns
• Dual strategy
• Different communication messages
• Create different brands
• Use multiple or different channels
• Single strategy
• Integrate communication message
• Sell same brand in both markets
• Scan both markets for dual opportunities

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