1. THE CONSUMER AUDIENCE

2. Nuggets Why is consumer behaviour important to advertisers?
What cultural, social, psychological and behavioural influences affect consumer responses to advertising?
How does the consumer decision process work?
What is the difference between segmenting and targeting?

3. How does consumer behaviour work?
Consumer behaviour describes how individuals or groups select, purchase, use or dispose of products as well as the needs and wants that motivate these behaviours.
Consumers are people who buy or use products or adopt ideas that satisfy their needs and wants
Customers are specific types of consumers or patrons
Prospects are potential customers

4. Influences on consumer decisions

5. Influences on consumer decisions
The major categorization of influences are
Cultural
Social
Psychological
Behavioral influences
Trends in consumer buying behavior

6. Cultural influences
Norms and Values – norms are proper behaviour; while values are where norms are drawn from. The 9 core values are 1. sense of belonging, 2. excitement, 3. fun and enjoyment, 4. warm relationships, 5. self-fulfillment, 6. respect from others, 7. a sense of accomplishments, 8. security, 9. self respect
Subcultures – eg ethnic background, age etc
Corporate culture – eg AUN, dress code

7. Social influences Social class Reference groups Family
Demographics – age [traditionalist, baby boomer, Gen X, Gen Y, Millennium Generation], gender, family status, race/ethnicity, education, occupation, income geography, sexual orientation

8. Psychological Influences
Perception and state of mind
Needs [satisfaction and dissonance] and wants – see Maslow Hierarchy of needs in next slide
Motivations
Attitudes
Personality
Psychographics – opinions, activities, interests
Lifestyles

9. Maslow’s hierarchy of needs

10. Lifestyle components – the Venn middle is the lifestyle
Person
Product
Setting

11. Behavioural influences
Remember the early models like T/F/D, AIDA, we could add Diffusion of Innovation by Everett Rogers
We have two classes – usage behaviour and experiences
We could talk about innovators and adopters

12. Diffusion of Innovation Model

13. Information approach to brand decisions for low and high involvement

15. Market Target

16. Thank you and question
What were the decision making process involved in your choice of AUN as a university?
Build a profile base of AUN student with not less than 20 indicators
What social and psychographic factors will influence the choice of a new SUV and Smart phones for AUN students?