Chapter 1 Consumers Rule CONSUMER BEHAVIOR, 9e Michael R. Solomon Dr. Rika Houston CSU-Los Angeles MKT 342: Consumer Behavior

What is Consumer Behavior? The study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires

The Meaning of Consumption Consumers often buy products not for what they do, but for what they mean Consumers can develop relationships with brands: Self-Concept Attachment Nostalgic Attachment Interdependence Love

Figure 1.1 Stages in the Consumption Process

Actors in Consumer Behavior Individuals Groups Organizations

Consumers’ Impact on Marketing Understanding consumer behavior is critical for developing effective marketing strategy To satisfy consumers’ needs To help define the market To identify threats/opportunities to a brand

How do marketers understand consumer behavior? Market segmentation Lifestyle analysis

Marketers Influence Consumer Preferences Music Movies Sports Books Celebrities Entertainment

Consumers Also Influence Marketers Virtual brand communities provide consumer-generated content Blogs Pictures Video Blogs Ads

Global Consumer Culture Unites people around the world with a common devotion: Brand name products Movie stars Celebrities Leisure activities

Public Policy & Consumer Advocacy Concern for the welfare of consumers Department of Agriculture Federal Trade Commission Food and Drug Administration Securities and Exchange Commission Environmental Protection Agency

Consumer Activism Culture jamming a strategy to disrupt efforts by the corporate world to dominate our cultural landscape.

The “Dark Side” of Consumption Consumer terrorism Addictive consumption Compulsive consumption Consumed consumers Illegal activities

Figure 1.2 Disciplines in Consumer Research MICRO CONSUMER BEHAVIOR (INDIVIDUAL FOCUS) Experimental Psych Clinical Psychology Developmental Psych Human Ecology Microeconomics Social Psychology Sociology Macroeconomics Semiotics/Literary Criticism Demography History Cultural Anthropology Consumer behavior involves many different disciplines MACRO CONSUMER BEHAVIOR (SOCIAL FOCUS)

Table 1.3 Positivist versus Interpretivist Approaches Assumptions Positivist Approach Interpretivist Approach Nature of reality Objective, tangible Single Socially constructed Multiple Goal Prediction Understanding Knowledge generated Time free Context-independent Time-bound Contest dependent View of causality Existence of real causes Multiple, simultaneous shaping events Research relationship Separation between researcher and subject Interactive, cooperative with researcher being part of phenomenon under study

Figure 1.3 Wheel of Consumer Behavior

MKT 342: Consumer Behavior Key Concepts: Chapter 1 What is consumer behavior? Meaning of consumption Stages of consumer behavior process Actors in consumer behavior Consumer impact on marketing Consumer segmentation Consumer lifestyle analysis How marketers influence consumers How consumers influence marketers Global consumer culture Public policy and consumer advocacy Consumer activism The dark side of consumption Disciplines in consumer research Positivist vs. interpretivist approaches to consumer research Wheel of consumer behavior