TS Nguyễn Minh Đức

PRINCIPLES OF MARKETING Chapter 4. BUYER BEHAVIOR ANALYSIS

Dr. NGUYỄN MINH ĐỨC NONG LAM UNIVERSITY HCM CITY

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The most important thing is to forecast where customers are moving, and be in front of them.

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TS Nguyễn Minh Đức

BUYER BEHAVIOR ANALYSIS

§ How do the buyers’ characteristics – cultural,

social, personal, and psychological – influence buying behavior?

§ How does the buyer make purchasing

decisions?

§ How individuals, groups, and organizations

select, purchase, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and desires.

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Reason to analyze buyer behavior?

v Keys for product development v Create characteristics of a new product v Select marketing distribution v Select message for communication v Apply marketing mix

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MODEL OF BUYER’S DECISION

Marketing stimuli

Other stimuli - Economic - Technological - Political - Cultural

- Product - Price - Place - Promotion

Buyer’s Characteristics: - Cultural - Social - Personal - Psychological

Buyer’s decision process: - Problem recognition - Information search - Evaluation of alternatives - Purchase decision - Post-purchase behavior

Buyer’s decision - Product choice (Sản phẩm) - Brand choice (Nhãn hiệu) - Dealer choice (Cửa hàng) - Purchase timing (Thời gian) - Purchase amount (Số lượng)

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INFLUENCES OF BUYEER BEHAVIORS

Cultural

Psychological

Social

BUYER DECISION

Personal

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Cultural Factors

v Subcultures

§ Diversity marketing

v Social class

§ Reference Groups • Reference groups • Membership groups • Opinion leader

§ Family

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• Family of orientation • Family of procreation

Personal/Demographic Factors

v Age v Stage in family life cycle v Occupation v Economic circumstances v Lifestyle

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Stages in the Family Life Cycle Table 7.2: Stages in the Family Life Cycle

1. Bachelor stage: Young, single, not living at home

Few financial burdens. Fashion opinion leaders. Recreation oriented. Buy: basic home equipment, furniture, cars, equipment for the mating game; vacations.

Highest purchase rate and highest average purchase of durables: cars, appliances, furniture, vacations.

2. Newly married couples: Young, no children

3. Full nest I: Youngest child under six

Home purchasing at peak. Liquid assets low. Interested in new products, advertised products. Buy: washers, dryers, TV, baby food, chest rubs and cough medicines, vitamins, dolls, wagons, sleds, skates.

4. Full nest II: Youngest child six or over

Financial position better. Less influenced by advertising. Buy larger-size packages, multiple-unit deals. Buy: many foods, cleaning materials, bicycles, music lessons, pianos.

See text for complete table

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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

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PSYCHOLOGICAL FACTORS

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§ Motivation § Perception § Learning § Beliefs and attitudes

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Who is our customers?

I. Initiator

II. Influencer

III. Decider

Customers

IV. Buyer

V. User

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Maslow’s Hierarchy of Needs

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BUYING DECISION PROCESS

Problem recognition (Nhận ra nhu cầu)

Developing marketing mix to create customers’ demand and wants

External and internal factors

Selecting effective communication channelss toward target markets

Information search (Tìm kiếm thông tin)

Information from personal knowledge, marketing, mass media, public or personal experiences

Compare values, features, and prices

Evaluation of alternatives (Xem xét các lựa chọn)

Developing marketing strategies to consolidate consumers’ like: affirm comparative advantages, differentiation

Purchase decision (Quyết định mua)

Providing information and support to minimize risks to customer

Attitudes of others Unpredictable circumstances

Post purchase behavior (Đánh giá sau khi mua)

Keeping contacts: Thanks, congratulation, greeting, technical support, guarantees,

Satisfied? Action? (use, dispose, recommend,…)

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Example: Successive Sets Involved in Customer Decision Making

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Successive Sets Involved in Customer Decision Making

The Buying Decision Process

§ Consumer Reports § Unanticipated situational factors § Perceived risk § Brand decision § Vendor decision § Quantity decision § Timing decision § Payment-method decision

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Types of buyer behaviour

v Phức tạp (Complex buyer behaviour)

VD: laptop, motobikes => Tư vấn, nêu bật điểm khác biệt, sự ưu việt của sản phẩm

v Giảm rắc rối (Dissonance-reducing behaviour): brand reduces

after-sales discomfort, mua trước tin sau VD: s(cid:1)n ph(cid:2)m m(cid:3) ph(cid:2)m, th(cid:4)c ph(cid:2)m => Cung cấp niềm tin (cho thử)

v Theo thói quen (Habitual buying behaviour - little difference

between products) e.g. nư(cid:6)c ch(cid:7)m => khuyến mãi, quảng cáo

v Thích thay đổi (variety seeking behaviour - significant brand

differences) e.g soap powder => gia tăng sự có mặt của sản phẩm trên thị trường

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Post-purchase Behavior

§ Postpurchase Satisfaction

§ Postpurchase Use and Disposal

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• Disappointed • Satisfied • Delighted

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How Customers Dispose of Products

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