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Models of Consumer Behavior

This document discusses several models of consumer behavior: 1. The Nicosia Model shows the inter-relationship between a firm's marketing communications, consumer attributes, and consumer decision-making and feedback processes. 2. The Howard-Sheth Model attempts to explain rational brand choice and distinguishes three levels of consumer learning and decision-making. 3. The Engel-Blackwell-Kollat Model views consumer behavior as a conscious problem-solving and learning process, consisting of a central control unit, information processing, environmental influences, and decision process. 4. The Shiffman & Kanuk Model has three major components: inputs, process, and outputs.

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Abhishek Saxena
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181 views

Models of Consumer Behavior

This document discusses several models of consumer behavior: 1. The Nicosia Model shows the inter-relationship between a firm's marketing communications, consumer attributes, and consumer decision-making and feedback processes. 2. The Howard-Sheth Model attempts to explain rational brand choice and distinguishes three levels of consumer learning and decision-making. 3. The Engel-Blackwell-Kollat Model views consumer behavior as a conscious problem-solving and learning process, consisting of a central control unit, information processing, environmental influences, and decision process. 4. The Shiffman & Kanuk Model has three major components: inputs, process, and outputs.

Uploaded by

Abhishek Saxena
Copyright
© Attribution Non-Commercial (BY-NC)
Available Formats
Download as PDF, TXT or read online on Scribd
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11/30/2011

Rupesh Malik

Contemporary Models of Consumer Behavior

Rupesh Malik

Model
A model is an abstract conception of the real world situation. They are described as the perception or diagramming of a complex or a system. Uses of marketing models
To provide a frame of reference for solving marketing problems. To play an exploratory role in relationships and reactions. To provide a useful aid in making predictions. To help in the construction of a theory, and To stimulate the creation of hypotheses that can then be validated and tested.

11/30/2011

Rupesh Malik

Nicosia Model
Nicosia model represents a sophisticated attempt to show the inter-relationship between the
Firms marketing communication. Attribute of the consumer The consumers decision process and The feedback of the consumers response to the firm

Nicosia believed simulation technique are effective in explaining in greater depth and detail the consumer decision process.

Rupesh Malik

11/30/2011

Rupesh Malik Field 1 : Field 1 has two sub fields - the firm's attributes (sub field 1) and the consumer's attributes (sub field 2). An advertising message from the firm reaches to consumer's attributes and then becomes an input for field 2. The field 1 represents the output of a commercial message from the firm in the form of advertising or other forms of promotion. For simplification, the model explicitly assumes that the consumer has no previous experience with or knowledge of the brand. Field 2 : It is the area of search and evaluation of the advertised product and other alternatives, if the attitude is favorable the consumer searches for the product and evaluates it in terms of other alternatives. If this process results in motivation to buy, it becomes the input for field 3. Field 3 : It represents the act of purchase. It involves the possible transformation of the motivation into the act of buying. Buying process is affected by several factors like availability of a particular brand advertised. Field 4 : It consists of the use of purchased item and it includes three factors as : a) Use and storage of the product by the consumer. b) Retention of the experience by the consumer as an influencing factor in future purchases. c) Feedback of sales results to the firm.

Rupesh Malik

Limitations
An inadequate understanding of the influences and interrelationships among the consumer attributes represented by sub field two. Questionable assumption that no prior consumer knowledge or experience with the product exists. For the respective decisions that make up a major part of consumer purchases, the operation of the model is ambiguous.

11/30/2011

Rupesh Malik

HOWARD - SHETH MODEL


Howard-Sheth Model is one of the most objectively constructed contemporary models of consumer behavior. It is an attempt to explain rational brand choice behavior within the constraints of limited individual capacities and incomplete information. The model attempts to deal with both overt behavior and internal or cognitive behavior that cannot be directly observed. The model distinguishes among three levels of learning (i.e. stages of decision making).
(i) Extensive problem solving (ii) Limited problem solving" (iii) Routinized response behavior.

Rupesh Malik

11/30/2011

Rupesh Malik

Howard Sheth model postulate four sets of concepts that he said as constructs or variables. These are:
(i) Inputs

(ii) Hypothetical Constructs


(a) Perceptual construct:
Attention: Opening and closing of sensory receptors to control information intake. Stimulus ambiguity: Perceived uncertainty and lack of meaningfulness of information received from the environment. Perceptual bias: A distortion or alteration of information that is received. Overt search: All active search for information.

Rupesh Malik

(b) Learning construct:


Motives: Buyer goals impinging upon a buying situation. Brand comprehension: Knowledge of existence and characteristics of those brands which form the buyer's set of alternative (called the 'evoked set'). Choice criteria: An ordered set of motives relevant to the product class under consideration. Attitude: Relative preferences of brands in the evoked-set based ratings along the choice criteria. Intention: A forecast regarding when, where, and how the buyer will act toward a brand in view of external (exogenous) inhibiting factors such as high price, lack of availability, social influences and so on. Confidence: Degree of certainty perceived toward a brand. Satisfaction: Degree of congruence between actual and expected purchase consequences.

11/30/2011

Rupesh Malik

(iii) Output
Attention: A buyer's response indicating the magnitude of his information intake. Brand comprehension: A verbal statement about brand knowledge in a product class. Attitude: A verbal evaluation of the potential of a brand to satisfy motives. Intention: A verbally stated expectation made in cognizance of possible extenuating factors, that he will buy the most preferred brand the next time this action is necessary. Purchase: The overt act of buying.

(iv) Exogenous variables.

Rupesh Malik

Two major advantages of the H-S model are


1. It has been partially tested empirically, that establishing some credibility for the model, and that 2. The model is also a dynamic model. This dynamic feature is accomplished by the learning that occurs due to the change in exogenous variable over time.

Limitations
1. It does not account for non-systematic behavior. A few products, for instance, are purchased only occasionally. In other words, a consumer might purchase a product simply for variety or because buying the same product or brand has become boring. 2. Another limitation of the H-S model is its applicability to situations in which there is no awareness of individual products with in a class of products that can be construed in the mind of the buyer as 'brand'.

11/30/2011

Rupesh Malik

ENGEL-BLACKWELL KOLLAT MODEL


It is probably the best-known contemporary model because it forms the basis for a widely used text on consumer behavior. It is essentially a conscious problem solving and learning model of consumer behavior. Like the HowardSheth model, the Engel Blackwell Kollat model has evolved over time to capture new information and observed relationships. The model consists of four components: (i) The central control unit (ii) Information processing (iii) Environmental influences (iv) Decision process

Rupesh Malik

11/30/2011

Rupesh Malik

SHIFFMAN & KANUK MODEL


This model has three major components.
1. Input 2. Process 3. Output

Rupesh Malik

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