Buyer Behaviours Chapter 3.

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Presentation transcript:

Buyer Behaviours Chapter 3

Traditional factors affecting consumer purchasing behaviors Demographics (age, gender, income, etc.) Heredity and home environment Family life cycle Life changing events Cultural environment Social environment Situational environment

Video: Meredith Corporation Discussion Questions: What are the main variables that Meredith’s marketing has focused on to segment markets? Which trends in the buying environment does Meredith attempt to meet? Support your choice. How does Meredith’s management team use its variety of products to build relationships through direct marketing with the right customers?

Trends and Factors in the Consumer Buying Environment Age complexity Gender complexity Individualism Active, busy lifestyles, time pressures Cocooning Pleasure binges Emphasis on health Change in family unit

What’s Happening Plus! http://www.youtube.com/watch?v=LsJiGF_Groo http://www.businessinsider.com/fox-rejects-scarlett-johansson-sodastream-super-bowl-ad-over-coke-and-pepsi-2014-1 http://www.youtube.com/watch?v=9g9wXBkdWEg&feature=youtu.be http://www.youtube.com/watch?v=K7L5QByvXOQ http://elitedaily.com/news/world/this-is-the-greatest-super-bowl-commercial-you-will-ever-see/ http://www.youtube.com/watch?v=LaN3PnPfzCU http://www.youtube.com/watch?v=PQi9cBFm4pE

Consumer Decision-Making Process Problem Recognition Information Search Evaluation of Alternatives Purchase Decision Postpurchase Evaluation

Information Search Two ways of gathering information: Internally Think about brands Quickly reduce options Choice based on past experience Externally Ability to search Level of motivation Perceived cost versus benefit Why is this important to understand this for marketing communication planning?

Attitude Sequence Cognitive  Affective  Conative Affective  Conative  Cognitive Conative  Cognitive  Affective

What’s Happening? https://www.youtube.com/watch?v=PIVCLl07_5A http://www.youtube.com/watch?v=YiJtx7e1gEY http://www.youtube.com/watch?v=-TSjn3K-tcE

Evaluation of Alternatives Evoked set method 1. Evoked set 2. Inept set 3. Inert set Affect referral Saves time and energy Consumers often develop emotional bonds with their brands Multi-attribute approach – used more in B to B buying situations

Affect Referral A concept that suggests consumers choose brands they like the best or ones with which they have developed emotional connections. Example may include product categories that are frequently purchased like toothpaste, ketchup and beverages like soft drinks, juice and alcohol. Other examples of strong customer ties may include Nike, Apple and Harley Davidson

Common Reasons Purchases Are Made Products/services provide utility To satisfy physical needs To satisfy psychological needs To satisfy social needs To satisfy emotional needs Final purchase decisions may be based on price, quality, availability of product/substitutes, reputation of brand, past experience, etc.

Post-purchase Evaluation Evaluation of product performance. Cognitive dissonance. Impacts future purchases. Impacts word-of-mouth communications.

Trends and Factors in the Consumer Buying Environment Age complexity Gender complexity Individualism Health Emphasis Active, Busy Lifestyles Cocooning Change in Family Unit Pleasure Pursuits The Environment

Responding to New Consumer Trends Monitor consumer environment for change Create goods and services that are compatible with the changes Design marketing messages that reflect the changes