1. Consumer Markets and Consumer buyer behavior

2. Consumer buying behavior
Consumer buying behavior refers to the buying behavior of final consumers – individuals and households who buy goods and services for personal consumption.
Consumer market
All the individuals and households who buy or acquire goods and services for final consumption make up the consumer market.

3. MODEL OF CONSUMER BEHAVIOR
Marketing & other stimuli
Buyer’s black box
Buyer responses
Marketing
Product
Price
Place
Promotion
Other
Economic
Technological
Political
Cultural
Buyer character-istics
Buyer decision process
Product choice
Brand choice
Dealer choice
Purchase timing
Purchase amount

4. CHARACTERISTICS AFFECTING CONSUMER BEHAVIOR
Cultural factors
Social factors
Personal factors
Psychological factors
Culture
Subculture
Social Class
Groups
Family
Roles and Status
Age & Life-Cycle stage
Occupation
Economic Situation
Lifestyle
Personality
Motivation
Perception
Learning
Beliefs & Attitudes

5. The Major Social Classes
Income
Occupation
Education
Wealth
Upper class
Upper-Uppers
Lower-Uppers
Middle class
Upper-Middles
Middle Class
Working class
Lower class
Upper-Lowers
Lower-Lowers

6. TYPES OF BUYING DECISION BEHAVIOR
High involvement
Low involvement
Significant differences between brands
Complex Buying Behavior
Variety-Seeking Buying Behavior
Few differences between brands
Dissonance-Reducing
Buying Behavior
Habitual Buying Behavior

7. THE BUYER DECISION PROCESS (5 stages)
Need recognition
The consumer recognizes a problem or need.
Stage 2
Information search
The consumer is aroused to search for more information.

8. Sources to obtain information
Personal sources
Family, friends, neighbors
Commercial sources
Advertising, salespeople, packaging, Web sites, displays
Public sources
Mass media
Experiential sources
Handling, examining, using the products
Word-of-mouth sources
Recommendations of friends, relatives & professionals.

9. Evaluation of alternatives
Stage 3
Evaluation of alternatives
The consumer uses information to evaluate alternative brands in the choice set.
Stage 4
Purchase decision
The consumer actually buys the product.
The factors that come between the purchase intension and the purchase decision –
Attitudes of others
Unexpected situational factors

10. Post purchase behavior
Stage 5
Post purchase behavior
The consumer takes further action after purchase based on their satisfaction or dissatisfaction.
Dissatisfaction:
Consumer expectations > Product’s perceived performance
Satisfaction:
Consumer expectations = Product’s perceived performance
Delight:
Consumer expectations < Product’s perceived performance

11. THE BUYER DECISION PROCESS FOR NEW PRODUCTS
A New Product is a good or service that is perceived by some potential customers as new.
The Adoption Process can be defined as the mental process through which an individual passes from first hearing about an innovation to final adoption.

12. Stages in the Adoption Process
Awareness
Interest
Evaluation
Trial
Adoption