Professional Documents
Culture Documents
Consumer Behavior
Consumer Behavior
Purchase
o Problem/ need recognition
o Information search
o Evaluation of alternatives
o Purchase
o Post-purchase behavior
Consumption
Divestment or disposal
5 basic principles regarding consumer: they are sovereign, consumer motivation can be understood
through research, consumer behavior can be influences, all consumer influence should be socially
acceptable, and consumer behavior is a dynamic process.
Consumer sovereignty implies that consumers are free and independent on their decision-making and
that their decisions are based on personal reasons and goals.
Identifying motivation is very important. A single product can satisfy several needs and motives
simultaneously.
Marketing actions can influence consumers in their decision making process.
Market activities should be motivated by sincere attempts to satisfy consumers needs, taking their
interests into consideration.
The dynamic of the consumer behavior process stems from continuous and rapid changes in the
environment.
Post-purchase review implies the evaluation of purchase and the expression of content or discontent
with it. This influences future purchases
Cognitive dissonance second guessing
VALS 2 (values and lifestyle) understand the basic values and lifestyle of each group, and
based on that the corresponding understanding, supply and need satisfaction
AIO (action-interest-opinion) evaluates the lifestyle of examinees through activities,
interests and opinions
Psychological determinants:
Motivation
Perception
Attitudes
Learning
Conclusive research
Descriptive used when researching characteristics of potential and existing consumers, their
behaviors, attitudes and so on.
causal research cause and effect (experimental)
Research process
Six elementary phases of the consumer behavior research process:
1. defining the problem and research goals
2.
3.
4.
5.
6.
a. can be any phenomenon or process which is not familiar enough and needs further
research or clarification
collecting and evaluating secondary data
a. three groups of external sources of secondary data
i. standard data sources, where they distinguish data published in the country
and data published abroad
ii. commercial sources
iii. databases, including the internet
primary research design
primary data collection
processing and analysis of collected data
a. applying suitable statistical techniques
b. Data categorization (grouping data), pre-logical control and coding (checking for
possible errors), and data entry and post-logical control precede processing data.
preparing a research report
a. Includes information about all the previous phases and possibly recommendation for
particular marketing activities.
individual contact with the examinee (personal survey), postal survey , telephone survey,
online survey
Experiment data collection technique used to measure how an independent variable affects a
dependent variable, while controlling all other effects.
Natural experiments are carried out in a completely natural environment, where respondents
are usually not aware that there is an experiment taking place whereas a laboratory experiment
is carried out in an artificial environment, where the respondents are aware of the experiment.
One-group experiments (measuring is done before or after the independent variable has an
effect) and parallel groups experiments (measuring is done at one point after the independent
variable has an effect)
Observation goal is to notice and record facts related to the actual situation by observing consumers
while they purchase and use products
Ordinary observation (random and unsystematic) and scientific observation (carried out
according to a previously determined plan)
According to the way it is realized direct (observe a phenomenon at the moment it is
happening) and indirect (observing other phenomena related to it)
Within scientific observation there are also simple and multiple observation, individual and
mass observations, and observation with and without participation
There is also observation within a natural and artificially created situation. Also there is
personal observation and observation using technical apparatus
Types of equipment used in technical observation are psycho-galvanometer (sweaty palms),
pupil-meter (pupil dilation), eye tracking camera (tracks eye movements to see what
consumers notice first on advertisements), measuring voice range (emotional reaction and
lying), EEG or device for electroencephalography (monitors brain activity)
Content analysis focused on content and on the message form in the communication process
Qualitative research techniques
In-depth interview unstructured, longer interview. This is used to research the needs and attitudes of
consumers and to understand their behavior in different situations.
Laddering focus questioning from listing characteristics of the observed product to revealing
characteristics of the consumer himself.
Hidden issue questioning focused on researching values by indirectly discovering what the
examinee finds important
Symbolic analysis examinees are asked to describe their best and worst experiences with
products or services
Focus group a trained moderator discusses a certain issue with a group of 8 to 12 examinees using a
reminder.
Projective techniques purpose is to encourage examinees to project their hidden motives, feelings,
attitudes and beliefs through seemingly unrelated things
Association technique word association test (what responders associate with certain words)
and picture association test
Completion test sentence completion test, balloon test (complete a conversation),
construction test (complete an event presented in pictures)
Role-playing
Personalization
Symbol technique
Metaphor analysis
Collage research examinees cut out pictures from magazines which show their feelings
about a product
Case study - direct observation of activities and documenting data during a process
Questions can be either open ended or closed ended. They can also be either direct or indirect. They
need to be clear, interesting, unambiguous, objective and short.
The order of the questions can be determined by psychological strategy and logical strategy.
A test consists of a sequence of connected tasks. Personality group tests are the most important.
Personality inventory is a personality test for researching nature and temperament, and it consists of a
list of statements which distinguished it from a questionnaire that offers a series of questions.
Projective tests are used to investigate the subconscious field or to discover what the examinees are
consciously hiding.
Scale is used to examine attitudes
Likert scale requires the examinee to express their level of agreement with the statements by
choosing one of the five possible intensities
Semantic differential scale formed based on bipolar adjectives. The scale is used when
comparing consumers perceptions of competitive products and for identifying the product
characteristics which need to be improved.
Rank scale requires the examinees to rank objects according to certain criteria
Sampling
A part of the total population on which the research will be conducted. It needs to be representative it
has all the characteristics of the group it is representing
Designing a sample means answering three questions: who will be included in the sample, what will
be the size of the sample, and how the sample will be formed
Three types of sample:
1. Probability sampling all units have the same probability of being selected as a sample
a. Simple each member of the set is equally likely to be selected
b. Stratified first the population is divided into groups by specific criteria and then the
sample units are obtained by random selection from each group
c. Depending on the proportion from each group samples can be proportional or unproportional
2. Non-probability sample used if there is no need for the research results to be projected onto
the entire population, but if it is enough for them to represent the population.
a. Convenience a sample which is most accessible at the moment
b. Deliberate formed based on the researchers evaluation of the most typical
representatives of the population in terms of a specific characteristic.
c. Quota begins with a certain population then members are chosen by set quotas
3. Combined samples selected through several phases where combinations of previous types
are used.
a. Zone sample created by defining zones according to a specific characteristic, where
only a few zones are chosen by random selection, the they are divided into new zones
and the process is repeated until a sample is formed
Needs
Need is the first element of the motivational chain and therefore a precondition for the rest of them.
The most common classification of needs is into: inborn (biological) needs and acquired needs
Goals
The last element in the motivational chain is goals. A goal is actually a specific external stimulant that
acts as a landmark in a persons attempts to satisfy their needs
If a goal is seen as a marketing category, it is possible to notice certain uniqueness form one to another
and we can then classify them.
Generic (fruit juice) vs product-specific (dimes) goals and positive (desired goals toward which a
persons behavior is directed) vs. negative (goals that are avoided) goals
Motives
The space between needs and goals is occupied by motives and motivation.
A motive is a result of interaction between psychological and physiological processes within a person,
a totality of internal factors that stimulate one to activity, and that direct and manage that activity.
Important because they enable the external results of these internal processes to be discovered.
Types of motives:
When people cannot achieve specific goals that would fulfill certain needs, their behavior can divert to
an alternative goal. Failure to achieve a goal often results in frustration
Other classifications of motives
McClellands theory of acquired needs: need for achievement, need for affiliation, need for power
Contemporary theories:
Types of motivation
Motivation is a state of being in which a persons energy is mobilized and directed toward an external
goal; a driving force that stimulates an individual to action.
The state of motivation can have two possible outcomes
Motivation is not under the influence of only one, but a number of motives: a special motivational
combination
The most common state of motivation in real life is that of a parallel existence and a conflict of
positive and negative motivational forces.
Rational thinking about products attributes and comparing them to the attributes of similar
products
Emotional involvement at the very act of purchase of products
Permanent involvement long term interest of an individual for a certain product or group of
products
Situational involvement involvement in the process of shopping does not have a
characteristic of durability. Closely related to concrete situations
Regarding the involvement during the purchase of a certain product we have high and low
involvement. Low involvement implies little readiness to spend time and money on the decision
making process. High level involvement is the opposite.
One of the causes of a persons motivation lies in the fact that most needs are never completely or
permanently satisfied. Also, because satisfaction of some needs means the actualization of others.
Lastly, the increase of self- confidence results in higher aspirations and goals.
Existence of specific latent needs has to be discussed. Here we have physiological initiation, emotional
activation, and environmental need activation
Exploring motives
Four methods of motivational research are the most important:
Depth interview individual interview consisting of long conversations that have not been structured
in advance. Used when a detailed examination of personal behavior, attitudes, and needs is necessary
and when the research subject is highly confidential and private. It should also be used when the
subject of examination is a step-by-step understanding of complex behavior.
If values are the research subject, then depth interview uses the following techniques:
Laddering technique starts with having the client define all attributes that they find useful
for describing and differentiating brands. Further examination leads to higher levels of
consideration.
Technique grand tour starts with clients imagining themselves in a specific situation. The
objective is to take clients through their typical experience with a product and uncover what is
relevant for them.
Depth interview technique is a critical incident technique. Can be carried out without an examiner.
Group interview (focus group) - Conducted with a small group of people. Unstructured, casual
conversation. Projective techniques are often used (imaginary situations).
Association technique showing words or images as an incentive.
Finalization technique based on presenting an unresolved situation to the examinees that they need
to resolve.
Role-play technique examinees become imaginary persons and are asked to behave the way they
would in a given situation
Personalization examinees give features and appearances of living things to objects that normally
do not possess such characteristics.
Psycho drawing requests examinees to relate an object to a certain color, shape, or symbol whose
meaning is familiar.
PERCEPTION
Perception determine the level of possibility to create and master communication by creating a
companys image, brand, products, and other elements of vital importance for marketing in general
Perception determines individual attitudes, beliefs, evaluations, decisions, and reactions
Knowledge of perception implies understanding events during the exposure of consumers to stimuli,
as well as an acceptance and appreciation of environmental incentives
Definition of perception
The process by which an individual selects, organizes and interprets stimuli into a meaningful and
coherent picture of the world
In numerous situations completely identical stimuli result in a number of interpretations and
explanations
People see, hear, and feel what they expect or want to. Because of this marketing stimuli cannot be
homogenous, but need to adapt to different market segments or target markets.
The absolute threshold of perception presents the level of stimuli intensity below which people do not
know of a stimuluss existence, and above which they become aware of it. This presents a logical limit
of the effort to make an impression.
The differential threshold of perception refers to two levels of a stimulus: one that does not stimulate
any perception, and one that does. This is also called the just noticeable difference. In marketing this
means that any change must be visible and distinct enough to cause consumers to detect it
Webers law is an extension of JND, and refers to the fact that the relation between two stimuli is not
an absolute objectivized category, but depends on the intensity of the primary stimulus.
K=
i
I
K Perception of JND
i minimal change of intensity of a stimulus necessary to cause JND and
I intensity of the initial stimulus
JND-related elements that influence perceptivity re: the relevance of the product and purchase for the
consumer, pleasure and enjoyment in the process, repetition of stimuli, surprise, contrast, and
prominence of stimuli.
The phenomenon called sensory adaptation is related to Webers Law and JND. People exposed to
intensive stimuli adjust to them with time and stop noticing them regardless of their intensity or
attraction.
The butterfly curve phenomenon is based on the idea of sensory adaptation and possible changes. The
preference acceptance and attraction to a specific stimulus lasts for a certain amount of time until the
adaptation of senses occurs, which is when the relation turns into indifference or insensitivity for
further stimuli of that type. When a new stimulus occurs, the process is repeated
Subliminal or unconscious perceptions relates to the possibility that people perceive stimuli without
conscious understanding or under the level of awareness
Selective perception is a defense mechanism that selects stimuli in accordance with the motives,
expectations, and interests of individuals, but that also depends on the nature and intensity of stimuli
Selective exposure is openness toward stimuli that lead to pleasant and satisfying reactions
Selective attention takes people specifically to those stimuli that match the current needs and
interests
Perceptual defense explains how it is possible for completely identical stimuli to be
interpreted differently
Perceptual blocking is a common mechanical method of defense from the vast amount of
stimuli in the contemporary world
Attention stage
Attention is a cognitive process of recognizing a stimulus that is processed in consciousness
Pre-attention is a type of selection process, most commonly below the level of awareness or at
the border of it. Transitional stage between exposure and realization.
Involuntary attention is mainly caused by extreme or dramatic stimuli (orientation reflex)
Perceptual semiotics
Consumers interpret symbols and characteristics of products based on their experience and cultural
values.
Semiotics is very important for the study of perception because it represents the foundation of a
correct understanding between the sender and recipient of a stimulus or a meaning.
PERSONALITY
Understanding a consumers personality as well as personality types is of
exceptional importance for two reasons at least.
Firstly, for market segmentation, and secondly, for the communication
strategy which needs to answer the question of how adjusted the message
is to the personality traits dominant in the market segment that it
addresses.
Personality concept
Personality could be said to represent the totality of characteristics that
determine behavior, thoughts and emotions of every person
Determinants of personality
Is personality a genetic category, the result of heredity, or a result of a
persons interaction with the environment?
Personality is a result of both influences
Heredity refers to the factors defined by birth: physical appearance, facial
attraction, sex, temper, muscle structure and reflexes.
Personality traits
Personality traits imply a set of elements which enable ones personality to
function as a single structure.
When it comes to personality traits it is possible to identify some common
elements that do not reveal any discrepancies or disagreements.
It is undisputable that personality traits are not homogenous for all
consumers personality traits are related to the situational variables.
Personality traits can be used to predict consumer behavior.
Classifies people into three types of personality. The first consists of the
so-called submissive or accommodating, the persons who are turned
towards the others and, accordingly, expect love and devotion from them.
In the second group are the aggressive, people characterized by their wish
for success and an admiration of others. The third group is the
independent, people who are distinguished by the independence and selfconfidence as typical features of their personality.
Resisman's social theory
Three categories.
The first are the tradition-oriented, whose behavior is based on the
traditional values of the society they live in
The self-oriented are in the second category. They depend on
personal values and standards
The third category consists of the so-called other-oriented. They rely
on the values of those they are connected with in the group and
who,
Personality trait theory
Insight into the nature and the levels of a consumers readiness for
innovation.
Consumer dogmatism
Rigidity for the unknown and the information opposed to personal beliefs
highly dogmatic persons rather commit to familiar products than
experiment with new ones.
Lowly dogmatic individuals are significantly more liberal regarding new
products; they accept them more readily
The social character of personality
The self-image
Personality traits or features are something that exists independently from
a persons will implies a mode in which a person perceives himself
It is quite natural for consumers to buy what pleases their self-image and
avoid what does not fi t in it
Single-dimension concept of the self-image: based on the thesis that
consumers have only one self-image, the self-perception that is constant
and therefore their relation towards products and services is constant
Multi-dimensional concept of the self-image: human beings behave
differently in various situations
Self-image is formed by individuals based on their personal opinion of what
is socially acceptable and what is not.
Social comparison, the formation of self-image based on how the self is
perceived compared with the others.
A theory of incorrect scanning: they perceive themselves as what they
want to be rather than what they actually are.
Different types of self-image:
The first one is the real self-image, a persons real self, i.e. the
way consumers actually perceive themselves
Ideal self-image, consumers ideal self, which describes what kind
of person they would like to be, where they would like to perceive
themselves.
A social self-image, a persons social self. It refers to what people
think about how others perceive them.
The ideal social self-image, the ideal social self. It refers to how
consumers as individuals would like to be seen by others
Brand personality
Attributing of features and characteristics of a personality to different
brands in a broad range of products
Brand personality on its own does not mean a lot. Its importance for
consumer behavior stems from the so-called brand personification - the
ability to convert the perception of a product or service so that it assumes
human-like characteristics gender is frequently given to products. Another
common way of identifying with a brand is through colors
As the time of its duration increases, the learning process decreases the
time of a correct reaction
The longer the learning process, the greater is the width and strength of a
reaction to certain stimulation
What is learnt well is much more difficult to forget than the superficial or
bad knowledge of something
It implies a process in which individuals acquire the knowledge and
experience related to purchase and consumption, which they then apply in
similar future behaviours2
The first part of learning is intentional, a result of a careful information
search
Unintentional; a part of learning that is obtained without a plan,
accidentally
Response is the third element of the learning process. It implies the way
individuals react to an urge or a clue
Reinforcement is the last element of learning. It implies every increase of
the probability that a response will happen in the future as a reaction to
clues or stimuli
Another element relevant for consumer behavior and closely related to the
learning process is forgetfulness, i.e. the loss or disappearance of the
facts acquired during the learning process
Inattention or insufficient attention occurs when your attention is split
between reading a newspaper and listening to the radio
Forgetfulness may also emerge as a consequence of various types of
mental blockages in an individual
Biological age
Excessiveness of stored information
Consumers forget the information they find irrelevant faster
Consumers recognize products through slogans and selling appeals rather
than through mere information
defensive identification
o manifested as the identification with the aggressor, and occurs
as a result of fear that the role-model will display aggression
o a consequence of imaging oneself in the role which enables
satisfaction of desires
Developmental or analytic identification
o Based on love and respect for the role-model, and it denotes
the need to adopt the role models behavior.
Learning by observation
New forms of behavior are acquired, or the unwanted ones are modified,
based on the observation of others, without trying to practice or learn
such behavior, without a direct reward or punishment, by a direct imitation
of a role-models behavior
Perceived similarity and perceived competence are factors
Stages of observational learning
1. attention
2. retention
3. reproduction
4. motivation
Cognitive learning theories
ATTITUDES
Definition of attitudes
An attitude always refers to something, to an object. Regarding consumer behavior, this object can
be a product, type of product, brand, price, shop, etc.
Attitudes are not genetic but a result of learning. Regarding consumer behavior they are the result of:
Consistency as one of the important characteristics of attitudes. Attitudes generally portray the
behavior they reflect. This means that the coherence of attitudes is not inevitable. More precisely,
different intervening variables can produce behavior that is not a reflection of ones own attitudes.
Complexity of attitudes
Most relevant characteristics: their dispositional character, the fact that they are not genetic but
acquired, and that they influence behavior and its consistency, and their complexity
Cognition, affect and conation
Cognitive component implies that there is certain knowledge and assumptions about the attitude
objects
A consumer is convinced that the attitude object has certain characteristics matching this attitude
Affective component refers to the fact that attitudes always include emotions toward the attitude
object.
Connotative component implies a tendency to do something about the attitude object, to take certain
action
Complexity refers to the assumption that attitudes are not homogenous
Different types of attitudes: personal and social ones. Logic and prejudices
Personal attitudes refer to peoples attitudes toward something:
Social attitudes are common to many people and in accordance with these attitudes such people can be
compared
Attitudes that are logically unsubstantial, difficult to change and as a rule accompanied with strong
emotions
An attitude itself does not always have to produce behavior. However, such behavior can be caused by
behavioral factors that stimulate or discourage certain behavior
Consumer behavior can be related to the influence of group attitudes
Certain types of personality are, simply, more appropriate for the influence of various intervening
variables on their behavior.
The principle that an attitude is a precondition of certain behavior is valid as a rule
Attitudes precede behavior and behavior follows attitude formation
Two theoretical approaches:
1. Cognitive dissonance theory and
2. Attribution theory
Cognitive dissonance theory
Cognitive dissonance theory is based on the thesis that dissonance always occurs when a consumer has
contradicting thoughts about the object of an attitude or conviction.
It is possible to talk about two cognitive dissonances: the cognitive dissonance before the purchase and
post-purchase dissonance.
Cognitive dissonance before the purchase is possible to be expected after the consumer has decided on
a product
Post-purchase dissonance, occurs after a purchase
Attitude change forces the consumer to change behavior during the next purchase and its adjustment
to the change
Post-purchase dissonance with consumers does not suit the businesses. Therefore they take certain
actions in order to disable or minimize it.
A large number of companies decide to develop a consumer loyalty program. Philosophy of rewarding
valuable consumers
Post-purchase dissonance however does not suit the consumers either
Attribution theory
The attribution theory focuses on an individuals continuous eff orts to discover and interpret the
causes of the events he witnesses.
Why has she tried to make me change the brand?
This theory claims that people, while discovering what the causes of someones behavior are, are
trying to establish whether this behavior was induced by some extreme causes from the individuals
environment, or by some internal ones such as motives, attitudes or capabilities
People are often prone to being biased and making mistakes in their perception of the causes of ones
behavior or predication and representation of certain social and political attitudes.
Theory of self-perception attitudes develop when consumers observe and evaluate their own
behavior
One of the attribution forms is also attribution toward others. It is always present when an individual
asks the why question in relation to a statement or action of another person
Attribution can be manifested in the form of attribution toward Objects
Attitude formation
Generally we could say that attitudes are the result of socialization
Four most important mechanisms were identified in 1935 by Allport7:
Sources
Attitude change
In the life cycle of existing attitudes, two routes are possible, at a theoretical level: their petrifaction
and their change
Petrifaction of attitudes implies their solidification, fossilization, resistance to all eff orts to modify or
change them
Attitudes acquired a long time ago, and strong attitudes. They both have solid foundations and are
resistant to any, even the smallest changes.
The change of acquired attitudes. At least two types of situations lead to it: attitudes being acquired
relatively recently, or not being deeply ingrained.
Whether a change occurs or not depends on the attributes that an attitude has. Four of them are worth
emphasizing:
Marketing attention is therefore on the attitudes that are subject to modification and change. By
influencing them they try to cause changes that would benefit the company, by causing the consumers
identification with a certain product or service but also with the product providers themselves.
It can happen in various forms:
Trust in the communication source as an assumption that influences what source of effect the
increased interest of consumers for the information is going to have,
It is created gradually and under the influence of various factors. Three of these factors deserve
attention: the credibility of the source, the expertise of the message sender, and the social status of the
message sender.
The second assumption on which it largely depends what the impact of the increased interest of
consumers for the information is going to be, is related to the message content
The second example of the influence of mass media is a low level of consumer involvement - it is
about various situations in which the consumer is not interested in buying a certain product or a brand
The influence via the source and the influence via the message
The influence of mass media on attitude formation and change via the source focuses on the fact that
the perceived attractiveness of the communication source influences the attitude
Influence via the message. This is about certain appeals that are contained within messages influencing
their successful acceptance
Three types of appeals are worth emphasizing: emotional, fear and humor Appeals
Emotional appeals are appeals to joy, hope, excitement, fear, anger, shame etc., which we use when we
want to change or intensify a certain attitude of an individual or, even more commonly, of a group of
consumers
The second group of appeals is appeals to fear. Their goal is to present a situation that the consumer is
going to get into unless he acts as the message appeal is asking him to.
Humor appeals are relatively common as a method of the mass media influence on the attitude
formation and change