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Copyright 2007 by Prentice Hall
Consumer Behavior,Ninth Edition
Schiffman & Kanuk
Chapter 16Consumer Decision Making
and Beyond
Copyright 2007 by Prentice Hall 16 - 2
Chapter Outline
• Levels of Consumer Decision Making• Models of Consumer Decision
Making• Consumer Gifting Behavior• Relationship Marketing
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Levels of Consumer Decision Making
• Extensive Problem Solving– A lot of information needed– Must establish a set of criteria for
evaluation
• Limited Problem Solving– Criteria for evaluation established– Fine tuning with additional information
• Routinized Response Behavior– Usually review what they already know
Copyright 2007 by Prentice Hall 16 - 4
This Site Helps You Search and Establish Criteria for Choosing a Doctor
weblink
Copyright 2007 by Prentice Hall 16 - 5
Ads often appeal to
consumers who are looking for information to
help them evaluate
products.
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Models of Consumers: Four Views of Consumer Decision Making
• An Economic View
• A Passive View
• A Cognitive View
• An Emotional View
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Discussion Questions
• How are the four models of consumer decision making similar?
• How do they differ
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Goal Setting and Pursuit Figure 16.1
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A Simple Model of
Consumer Decision Making
Figure 16-2
Copyright 2007 by Prentice Hall 16 - 10
Discussion Question
• What types of sociocultural inputs would influence the purchase of a:– Plasma TV– Hybrid vehicle– Sugar-free ice cream
Copyright 2007 by Prentice Hall 16 - 11
The Process of Consumer Decision Making
• Need Recognition
• Prepurchase Search
• Evaluation of Alternatives
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Need Recognition
• Usually occurs when consumer has a “problem”
• Need recognition styles– Actual state– Desired state
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Prepurchase Search
• Begins with internal search and then moves to external search
• The impact of the Internet
• Search may be personal or impersonal
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Issues in Alternative Evaluation
• Evoked set• Criteria used for evaluating brands• Consumer decision rules and their
application• Decisions by functionally illiterate population• Going online for decision-making assistance• Lifestyles as a consumer decision strategy• Incomplete information • Series of decisions• Decision rules and marketing strategy
Copyright 2007 by Prentice Hall 16 - 15
The Evoked Set Figure 16-3
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Issues in Alternative Evaluation
• Evoked Set• Criteria used for evaluating brands• Consumer decision rules and their
application• Decisions by functionally illiterate population• Going online for decision-making assistance• Lifestyles as a consumer decision strategy• Incomplete information • Series of decisions• Decision rules and marketing strategy
Copyright 2007 by Prentice Hall 16 - 17
Consumer Decision Rules
• Compensatory
• Noncompensatory– Conjunctive Decision Rule– Disjunctive Decision Rule– Lexicographic Rule
Copyright 2007 by Prentice Hall 16 - 18
Compensatory Decision Rules
A type of decision rule in which a
consumer evaluates each brand in terms
of each relevant attribute and then selects the brand with the highest weighted score.
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Non-compensatory
Decision Rules
A type of consumer decision rule by which positive
evaluation of a brand attribute does not compensate for a
negative evaluation of the same brand on
some other attribute.
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Conjunctive Decision
Rule
A noncompensatory decision rule in which consumers establish a minimally acceptable cutoff point for each attribute evaluated.
Brands that fall below the cutoff point on any
one attribute are eliminated from further
consideration.
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Disjunctive Rule
A noncompensatory decision rule in which consumers establish a minimally acceptable cutoff point for each
relevant product attribute.
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Lexicographic Rule
A noncompensatory decision rule -
consumers first rank product attributes in
terms of importance, then compare brands
in terms of the attribute considered
most important.
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Affect Referral Decision
Rule
A simplified decision rule by which consumers
make a product choice on the basis of their
previously established overall ratings of the
brands considered, rather than on specific
attributes.
Copyright 2007 by Prentice Hall 16 - 24
Issues in Alternative Evaluation
• Evoked Set• Criteria used for evaluating brands• Consumer decision rules and their
application• Decisions by functionally illiterate population• Going online for decision-making assistance• Lifestyles as a consumer decision strategy• Incomplete information • Series of decisions• Decision rules and marketing strategy
Copyright 2007 by Prentice Hall 16 - 25
The Decision Process for Functionally Illiterate Consumers
Figure 16-4
Copyright 2007 by Prentice Hall 16 - 26
Issues in Alternative Evaluation
• Evoked Set• Criteria used for evaluating brands• Consumer decision rules and their
application• Decisions by functionally illiterate population• Going online for decision-making assistance• Lifestyles as a consumer decision strategy• Incomplete information • Series of decisions• Decision rules and marketing strategy
Copyright 2007 by Prentice Hall 16 - 27
There Are a Growing Number of Web Sites to Help Consumers Choose
Products
web link
Copyright 2007 by Prentice Hall 16 - 28
Issues in Alternative Evaluation
• Evoked Set• Criteria used for evaluating brands• Consumer decision rules and their
application• Decisions by functionally illiterate population• Going online for decision-making assistance• Lifestyles as a consumer decision strategy• Incomplete information • Series of decisions• Decision rules and marketing strategy
Copyright 2007 by Prentice Hall 16 - 29
Coping with Missing Information
• Delay decision until missing information is obtained
• Ignore missing information and use available information
• Change the decision strategy to one that better accommodates for the missing information
• Infer the missing information
Copyright 2007 by Prentice Hall 16 - 30
Issues in Alternative Evaluation
• Evoked set• Criteria used for evaluating brands• Consumer decision rules and their application• Decisions by functionally illiterate population• Going online for decision making assistance• Lifestyles as a consumer decision strategy• Incomplete information • Series of decisions• Decision rules and marketing strategy
Copyright 2007 by Prentice Hall 16 - 31
A Purchase Can Involve a Number of Decisions.
When purchasing car, the buyer is
involved in a number of decisions – the
make, model, country of origin, the
dealer, the financing, and different
options.
Copyright 2007 by Prentice Hall 16 - 32
Output of Consumer Decision Making
• Purchase behavior
• Postpurchase evaluation
Copyright 2007 by Prentice Hall 16 - 33
Purchase Behavior
• Three types of behavior– Trial purchases– Repeat purchases– Long-term commitment
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Postpurchase Evaluation
• Actual Performance Matches Expectations– Neutral Feeling
• Actual Performance Exceeds Expectations– Positive Disconfirmation of Expectations
• Performance Is Below Expectations– Negative Disconfirmation of Expectations
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This article in Cargo is
designed to help a reader reduce their
postpurchase depression.
Copyright 2007 by Prentice Hall 16 - 36
Discussion Question
• What are four ways that consumers reduce postpurchase dissonance?
• How can marketers work to help consumers reduce the dissonance?
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Gifting Behavior
Gifting is an act of symbolic communication, with explicit and implicit meanings ranging from congratulations and love, to regret, obligation, and dominance.
Copyright 2007 by Prentice Hall 16 - 38
An Increasing Number of Gift Purchases Are Now Made Online
weblink
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Table 16.13 Reported Circumstances and Motivations for Self-Gift Behavior
CIRCUMSTANCES
Personal accomplishmentFeeling downHolidayFeeling stressedHave some extra moneyNeedHad not bought for self in a whileAttainment of a desired goalOthers
MOTIVATIONS
To reward oneselfTo be nice to oneselfTo cheer up oneselfTo fulfill a needTo celebrateTo relieve stressTo maintain a good feelingTo provide an incentive toward a goalOthers
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Table 16.14 Gifting Relationships
GIFTING GIFTING RELATIONSHIPRELATIONSHIP
Intergroup
Intercategory
EXAMPLEEXAMPLEDEFINITIONDEFINITION
A Christmas gift from one family to another family
A group giving a gift to another group
A group of friends chips in to buy a new mother a baby gift
An individual giving a gift to a group or a group giving a gift to an individual
Intragroup
Interpersonal
A family buys a VCR for itself as a Christmas gift
A group giving a gift to itself or its members
Valentine’s Day chocolates presented from a boyfriend to a girlfriend
An individual giving a gift to another individual
Intrapersonal A woman buys herself jewelry to cheer herself up
Self-gift
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A Simple Model of ConsumptionFigure 16-5
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Relationship Marketing
Marketing aimed at creating strong,
lasting relationships with a core group of customers by making them feel good about the company and by giving them some kind of personal
connection with the business.
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Proctor & Gamble Builds Relationships with Their Brands
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State Farm Insurance stresses
relationship marketing in their
advertising.