1. CONSUMER NEEDS AND MOTIVATION Alana Senafe

2. o What is Motivation? o Two key groups of motivation o Regulatory Focus theory o What is a need? o Maslow’s hierarchy of Needs o Utilitarian and Hedonic motivation o Application for Mercedes Benz/Devondale o Application for Marketing o Bibliography CONSUMER NEEDS AND MOTIVATIONS CONTENTS

3. WHAT IS MOTIVATION? Motivation: the “inner reasons or driving forces behind human actions that drive consumers to address real needs” (Babin & Harris, 2013) Fulfills a need or want Obtain either a product, experience or service

4. TWO KEY GROUPS OF MOTIVATION Homeostasis: “state of equilibrium wherein the body naturally reacts in a way so as to maintain a constant, normal bloodstream” (Babin & Harris, 2013) Consumers aim to maintain a constant level of homeostasis Self Improvement motivation: unlike Homeostasis, ones aim is to obtain a more ideal level of being Foundations of impulse buying, and making ones self worth feel more superior than their original state.

5. REGULATORY FOCUS THEORY Regulatory Focus theory “puts forward the notion that consumers orient their behavior either through a prevention or promotion focus” (Babin & Harris, 2013) Promotion focused consumers allow their growth and advancement needs to motivate them to bring them into alignment with their ideal selves (Brockner, Higgins and Low, 2004) Prevention focused consumers are motivated by safety and security needs, in which they try and avoid these being in jeopardy Promotion – self improvement Prevention – homeostasis

6. WHAT IS A NEED? A need is a physiological or psychological desire Based on consumer knowledge, product perception and the needs consumers want to satisfy (Zanoli and Naspetti, 2002)

7. MASLOW’S HIERARCHY OF NEEDS Well known theory introduced in 1943 by Abraham Maslow’s paper “A theory of human motivation” “theorized that a person could not recognize or pursue the next higher need in the hierarchy until her or his currently recognized need was substantially or completely satisfied” (Gawel, 1997) Physiological: basic needs as a means to survive Safety and security: the need to feel safe and have a sense of security Belongingness and love: to feel apart of a group, and share in human emotions Esteem: to have confidence and self worth Self-actualization: reaching self fulfillment and seeking personal growth Opposite ends of the spectrum: “to ensure our family’s safety and security, and to present ourselves to others in a positive, attractive light” (Bargh, 2002)

8. UTILITARIAN AND HEDONIC MOTIVATIONS “Consumers who act with hedonic purchasing reasons realize the act not to satisfy a need but to enjoy and take pleasure by doing it without contemplating and planning.” (Bakırtaş and Uslu Divanoğlu, 2013) Example; upgrading apartments “the utilitarian view, consumers are concerned with purchasing products in an efficient and timely manner to achieve their goals with a minimum of irritation.” (Childers et al., 2001) Example; running out of toilet paper

9. APPLICATION TO MERCEDES BENZ Clever marketing campaigns Being aware of it’s consumer market and reason for buying Ambience and degree of marketing within the showroom APPLICATION TO DEVONDALE MILK Highlighting it’s benefits Creating promos and sales with its distributors Pushing campaigns

10. APPLICATION TO MARKETING Understanding the reason why consumers are buying Pitching prices that appropriately match the product and need Giving reasons as to why the product is needed or will generate satisfaction Keeping up to date with changing consumer needs eg: Heinz added and updated range of products for different target markets

11. BIBLIOGRAPHY Babin, BJ & Harris, EG 2013, CB5, Cengage, United States. Bakırtaş, H. and Uslu Divanoğlu, S. 2013, ‘The effect of hedonic shopping motivation on consumer satisfaction and consumer loyalty’, International Journal of Asian Social Science, vol. 3 no. 7, pp.1522-1534. Bargh, J. 2002, ‘Losing consciousness: Automatic influences on consumer judgment, behavior, and motivation’, Journal of Consumer Research, vol. 29, no. 2, pp.280-285. Brockner, J., Higgins, E. and Low, M. 2004, ‘Regulatory focus theory and the entrepreneurial process’, Journal of Business Venturing, vol. 19, no. 2, pp.203-220. Celsi, R.L. and Olson, J.C. 1988, ‘The role of involvement in attention and comprehension processes’, Journal of Consumer Research, vol. 15, pp. 210-24. Childers, T., Carr, C., Peck, J. and Carson, S. 2001, ‘Hedonic and utilitarian motivations for online retail shopping behavior’, Journal of Retailing, vol. 77, no. 4, pp.511-535. Gawel, J. 1997, Herzberg's Theory of Motivation and Maslow's Hierarchy of Needs, 1st ed, Washington, DC: ERIC Digests, p.3. Viwed 28 November 2014,. Rana Sobh Brett A.S. Martin, 2011, ‘Feedback information and consumer motivation’, European Journal of Marketing, vol. 45, no. 6, pp. 963 – 986. Westmont College, 2014, Theories of Motivation, Westmount, Viewed 28 November 2014,. Zanoli, R. and Naspetti, S. 2002, ‘Consumer motivations in the purchase of organic food. A means-end approach’, British Food journal, vol. 104, no. 8, p.644.