1. 2007 Pearson Education Canada1 Marketing 11 Chapter 4 Consumer Buying Behaviour Lesson 1: pp. 82-87 Lesson 1: The Consumer Purchase Decision Process pp. 82-87

2. 2007 Pearson Education Canada2 Consumer Behaviour How consumers act and how or why consumers make purchase decisions, including the decisions made before the purchase. What makes the consumer tick? Definition:

3. 2007 Pearson Education Canada3 Why Not Just Ask? Why not just do your research and ask consumers what they want? Because what people say they want and what people actually buy are not always the same! That is why it is important to observe consumer behaviour.

4. 2007 Pearson Education Canada4 Purchase Decision Process Problem Recognition Information Search Evaluation of Alternatives Purchase Decision Post-purchase Evaluation

5. 2007 Pearson Education Canada5 Purchase Decisions Routine Complex Do not involve much time and money. More expensive and time consuming to evaluate alternatives. Limited Capital investment; much time and effort to evaluate options.

6. 2007 Pearson Education Canada6 Post-Purchase Evaluation Second thoughts often follow a buying decision. The unsettled state of mind experienced by someone after a decision has been made is called cognitive dissonance. Did I make the right decision?

7. 2007 Pearson Education Canada7 Example: Purchase Decision Process 1. Problem Recognition: “Darn, my running shoes have a hole in the toe!” 2. Information Search: “I guess I’ll go to the mall and check out Foot Locker and The Running room.” 3. Evaluation Alternatives: “The Nike’s and the New Balance runners feel the best, now let me try them on again and compare.” 4. Purchase Decision: “The Nike’s are the most comfortable, but the New Balance runners are nicer looking than the Nike’s and they are within my budget, so I’m going buy them from The Running Room because I know they have a good return policy.” 5. Post-Purchase Evaluation: “Hmmm…this is my first run with my new shoes and I wonder if it would have been better to pay more for the Nike’s because they were more comfortable. Maybe they will feel better once I break them in.”

8. 2007 Pearson Education Canada8 Any Questions? Homework: –Read Chapter 4 pages 82 – 87 –Complete WSH 4.1 –Consumer Behaviour Activity

9. 2007 Pearson Education Canada9 Consumer Behaviour Activity 1. Choose three products that someone might buy: one routine purchase, one limited purchase, and one complex purchase. 2. Detail all five steps in the purchase decision process for each of your three chosen products.