1

Analyzing Consumer Markets and consumer behavior

What is a Market

 A consumer market is all the individuals

and households who buy or acquire goods and services for personal consumption.

(Philip Kotler)  A business market is all organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others.

(Philip Kotler)

 Note: A business market is synonymous with industrial market or organizational market or producer market.

Consumer Buying Behavior

 Consumer Buying Behavior refers to

the buying behavior of final consumers (individuals & households) who buy goods and services for personal consumption.  Study consumer behavior to answer:

“How do consumers respond to marketing efforts the company might use?”

VD: Nhãn hiệu sữa tươi Vinamilk sinh viên thường chọn mua

8%

Khác

25%

Sữa tươi 100% có đường

33%

Sữa tươi 100% hương chocolate

50%

Sữa tươi 100% hương dâu

75%

Sữa tươi 100% nguyên chất

67%

Sữa tươi tiệt trùng Vinamilk

0%

10%

20%

30%

40%

50%

60%

70%

80%

VD: Các nguồn tham khảo khi SV mua sữa tươi Vinamilk

Báo, internet

42%

Quảng cáo trên TV

90%

Người quen

15%

Bạn bè

32%

Gia đình

33%

0%

20%

40%

60%

80%

100%

VD: Các tiêu chí quyết định mua sản phẩm Vinamilk (ĐV SV)

88%

80%

45%

33%

8%

3%

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

Gía cả hợp lý

Chất lượng tốt Mẫu mã, bao bì

Khác

Thương hiệu nổi tiếng

Vệ sinh an toàn thực phẩm

ấn tượng

VD: Đánh giá của sinh viên về giá sữa tươi Vinamilk

2%

3%

2%

18%

73%

Qúa rẻ

Rẻ

Vừa túi tiền Mắc

Qúa mắc

VD: Địa điểm sinh viên thường mua sữa tươi Vinamilk

20%

39%

31%

10%

Máy bán hàng tự động

Tiệm tạp hoá

Siêu thị

Chợ Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall

6-8

VD: Cách thức mua

85%

90%

80%

70%

60%

53%

50%

40%

30%

20%

5%

10%

0%

0%

0%

Tự mua

Gia đình

Bạn bè

Qùa tặng

Khác

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VD: Các yếu tố ảnh hưởng đến quyết định mua

Khác

8%

Khả năng tài chính

75%

Các hoạt động Marketing

32%

48%

Lời giới thiệu của người thân, bạn bè

Người bán tác động

3%

0%

10%

20%

30%

40%

50%

60%

70%

80% 6-10

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Lý do sinh viên chọn mua sữa tươi Vinamilk

Khác

5%

Khuyến mãi nhiều hơn

2%

Gía rẻ phù hợp

33%

Mua do tin tưởng vào thương hiệu Vinamilk

58%

55%

Chất lượng tốt hơn sữa tươi cùng loại của công ty khác

0% 10% 20% 30% 40% 50% 60% 70%

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Đánh giá sau khi uống vinamilk

Hoàn toàn không hài lòng

0%

Không hài lòng

7%

Bình thường

8%

Hài lòng

75%

Hoàn toàn hài lòng

10%

0%

10%

20%

30%

40%

50%

60%

70%

80% 6-12

Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall

VD: hành vi nếu sv ko hài lòng về VNM:

80%

35%

20%

10%

0%

90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

Trả lại sản phẩm

Khiếu nại

Khác

Không sử dụng sản phẩm đó nữa

Nói xấu về sản phẩm đó

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Many factors influences buying

.

Deciders

Influencers

Users

Buyers

(Philip Kotler)

Model of Consumer Behavior

Start here

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How do consumer characteristics influence buying behavior?

1.Cultural Factors

2.Social Factors

3.Personal Factors

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Characteristics Affecting Consumer Buying Behavior

1.Cultural Factors:

Culture

Subculture

The group of people with shared value systems based on common life experiences and situations.

The set of basic values, perceptions, Wants, and behaviors learned by a member of society from family and other important institutions.

Culture is the fundamental determinant of a person’s wants and behaviors acquired through socialization processes with family and other key institutions.

Ví dụ: * Nike đã phải thu hồi 38,000 đôi giày có chữ “AIR” trong logo

của nó. Vì “Air” trông giống như Allah trong ngôn ngữ Ả rập. * Tại sao cá tra không được tiêu thụ nhiều tại Việt Nam mà lại được

xuất khẩu rất nhiều sang Hoa Kỳ?

Subculture:  Nationalities; Religions ; Racial groups; Geographic

regions

Fast Facts About American Culture

 The average American:

 chews 300 sticks of gum a year  goes to the movies 9 times a year

takes 4 trips per year

 attends a sporting event 7 times each

year

Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 6-18

Characteristics Affecting Consumer Buying Behavior: 2. Social

Groups

•Membership

•Reference

Social Factors

Family •Husband, wife, kids •Influencer, buyer, user

Roles and Status

Dominant Family Purchase - Cozenza 1985

PRODUCT

TYPICAL DECISION

DOMINANT DECISION MAKER

Women’s casual clothing

Wife

Price, style

Vacations

Syncratic (both)

Whether and where to go

Men’s casual clothing

Husband

Type, price, style

Life insurance

Husband

Company, coverage

Homeowner’s insurance

Husband

Company, coverage

Household appliances

Wife

Style, brand, price

Social Classes

Upper uppers

Lower uppers

Upper middles

Middle

Working

Upper lowers

Lower lowers

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Characteristics Affecting Consumer Buying Behavior: 3. Personal Factors

Personal Influences

Occupation

Age and Family Life Cycle Stage

Economic Situation

Personality & Self-Concept

Lifestyle Identification

Activities

Opinions

Interests

Age and Stage of Lifecycle

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Occupation and Economic Circumstances

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Personality

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Brand Personality

 Sincerity  Excitement  Competence  Sophistication  Ruggedness

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Characteristics Affecting Consumer Buying Behavior

Self Concept (=Self Image)

Mini Case: Come to Marlboro country e.g. Leo Burnett’s campaign for Marlboro, using the cowboy photographs, projects an image the biggest-selling which has made it cigarette in the world. It has been running, almost without change, for 25 years.

Images found on the Internet…Not official Marlboro Advertisements

Model of Consumer Behavior

We continue….

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Factors Affecting Consumer Behavior: Factors Affecting Consumer Behavior: Psychological: VD: quan niệm “nhất dáng nhì da” về vẻ Psychological: VD: quan niệm “nhất dáng nhì da” về vẻ đẹp phụ nữ đẹp phụ nữ

Motivation

Perception

Psychological Factors

Beliefs and Attitudes

Learning

What major psychological processes influence consumer responses to the marketing? 1. Motivation

Herzberg’s Two-Factor Theory

Freud’s Theory

Maslow’s Hierarchy of Needs

Behavior is guided by subconscious motivations

Behavior is driven by lowest, unmet need

Behavior is guided by motivating and hygiene factors

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Maslow’s Hierarchy

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2.Perception

 a particular way of understanding or thinking

about something; the ability to understand and make good judgments about something

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3.Learning:

the process of gaining knowledge and experience, for example by studying

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4.Emotions: feeling that you experience

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5. Memory

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Figure 2 State Farm Mental Map

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Model of Consumer Behavior

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Problem Recognition

Information Search

Evaluation of alternatives

Purchase Decision

Postpurchase Behavior

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The Buyer Decision Process Step 1. Need Recognition

Need Recognition

Internal Stimuli

External Stimuli

• Hunger

• TV advertising

• Thirst

• Magazine ad

• A person’s normal

• Radio slogan

needs

•Stimuli in the environment environment

The Buyer Decision Process Step 2. Information Search

Personal Sources

•Family, friends, neighbors •Most influential source of

information

Commercial Sources

•Advertising, salespeople •Receives most information from these sources

Public Sources

•Mass Media •Consumer-rating groups

Experiential Sources

•Handling the product •Examining the product •Using the product

The Buyer Decision Process The Buyer Decision Process Step 3. Evaluation of Alternatives Step 3. Evaluation of Alternatives

Product Attributes Product Attributes Evaluation of Quality, Price, & Features Evaluation of Quality, Price, & Features

Degree of Importance Degree of Importance Which attributes matter most to me? Which attributes matter most to me?

Brand Beliefs Brand Beliefs What do I believe about each available brand? What do I believe about each available brand?

Total Product Satisfaction Total Product Satisfaction Based on what I’m looking for, how satisfied Based on what I’m looking for, how satisfied would I be with each product? would I be with each product?

Evaluation Procedures Evaluation Procedures Choosing a product (and brand) based on one Choosing a product (and brand) based on one or more attributes. or more attributes.

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The Buyer Decision Process Step 4. Purchase Decision

Purchase Intention Desire to buy the most preferred brand

Attitudes of others

Unexpected situational factors

Purchase Decision

The Buyer Decision Process Step 5. Post purchase Behavior

Consumer’s Expectations of Product’s Performance

Product’s Perceived Performance

Dissatisfied Customer

Satisfied Customer!

Cognitive Dissonance

Figure: How Customers Use or Dispose of Products

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Stages in the Adoption Process

Awareness

Interest

Evaluation

Trial

Adoption

Adoption of Innovations

s r e t p o d A

Early Majority

Late Majority

Laggards

34%

34%

Early Adopters

s r o t a v o n n

I

f o e g a t n e c r e P

16%

13.5%

Time of Adoption

Late

2.5% Early

For Review

 How do consumer characteristics influence

buying behavior?

 What major psychological processes influence

consumer responses to the marketing program?

 How do consumers make purchasing

decisions? In what ways do consumers stray from a deliberate rational decision process?

Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 6-48

Chapter Questions

 How do consumer characteristics influence

buying behavior?

 What major psychological processes influence

consumer responses to the marketing program?

 How do consumers make purchasing

decisions?

Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 6-49