Buying Behavior

Prepared By: Gaurang Kotadiya (16) Harshad parmar (17) Harveersigh Zala (18) Honey Pandya (19)

Submitted To: Dr.Vaishali Trivedi

What is consumer behaviour? ‘’Consumer behaviour is the

study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.’’

Characteristics of consumer behaviour

Opinions, attitudes and beliefs Psychological reactants Socio economic classification Lifestyle Life cycle Group influence Ethnic groups

Buying decision making process Motive development

Information gathering

Proposition evaluation

Proposition selection

Purchase/ acquisition

Re-evaluation

Key psychological processes

motivation Basics of motivation : People are

motivated by many things, some positive others not.  Some motivating factors can move people only a short time, like hunger which will last only until you are fed.  Others can drive a person onward for years. 

Motivation is the driving force within individuals that impels them to action. Motivation is the activation or energization of goal-oriented behavior.

Perceptions The American marketing association

(AMA,2009) defines perception as follows: based on prior attitudes, beliefs, needs, stimulus factors, and situational determinants, individuals perceive objects, events, or people in the world about them.

Perception is the cognitive impression that is formed of “reality” which in turn influences the individual’s action and behaviour toward that object; if we paid attention to all become Overloaded, just as a computer does when it crashes.

Thinking feeling

INVOLEVEMENT 1. INFORMATIVE (ECONOMIC) LEARN-FEEL-DO CAR, TV, CAMERA

2. AFFECTIVE (PSYCHOLOGICAL) FEEL-LEARN –DO BABY FOOD COOKING OIL SKIN CREAM

3. Habitual (Responsive) do-learn-feelDetergent, headache pill, engine oil

4. Satisfaction (social) Do-learn-feelconfectionery, soft drinks, ice-cream

Learning and memory How do consumers continually learn about new product

and service and characteristics, their how do consumers continually learn about new

product and service characteristic, their relative performance and new trends?

Learning is defined as the process by which we acquire new knowledge and skill attitudes and values, through study, experience or modelling others’ behavior.

There are various theories of human learning, which include classical conditioning, operant conditioning, and social learning as outlined here:

PERSONALITY PERSONALITY : How and what we buy is also

based on our personalities.

Personality can be defined as that aspect of our psyche that determines the way in which we respond to our environment in a relatively stable way over time.

The psychoanalytic approach ID-This part of our psyche harbours our drives

and urges, a kind of seething mass of needs, which require instant gratification.

EGO- this part of psyche attempts to find outlets for the urges in our id and acts as a planning center to determine the opportunities for the the urges in our urges. According to freud, the ego is moderated by the superego.

SUPEREGO- This part of our psyche, so that we in a socially acceptable manner and avoid any feelings of guilt or shame. It acts as a social conscience.

Self concept approach Consumer purchase the brand “that

they represent “ Example: middle class will purchase

Samsung mobile rich class will purchase iphone

Trait approach Based on personality traits ‘Big Five Model’ Extraversion – fun loving, sociable,

affectionate, friendly Openness – original, imaginative, creative,

daring Conscientiousness – careful, reliable, well

organized Neuroticism – worrying, nervous, self

conscious Agreeableness – soft hearted , sympathetic,

forgiving.

Theory of Planned Behavior Attitude Towards The Behavior:-

– Certain attitude are present before and while behaviors are preformed. Subjective Norm:-

– How important people in the subject life would view the behavior. Perceived behavior control:-

– A combination of self Efficacy is the difficulty of performing

the action. Controllability is the belief that one has control over the behavior.

Buyer Behavior Model The economical Modal:-

Low of principal of maximum utility Low of equimarginal utility enables a consumer to secure

the maximum utility from limited purchasing power. price effect Substitution effect income effect

Learning Modal:- – The response of satisfaction reinforces the relationship.– Learns to associate connection between stimulus and

response which becomes habits.– Understanding the response of consumer at the market

place.

Psychoanalytical Modal:-– Personality of consumer and their responses.– Consumer behavior I directed by a complete set of deep

seated motives. Sociological Modal:-

– As his role, status, interaction, influence, group relation, lifecycle, income, occupation, place of residence, social class etc.

Howard sheth model Customer lacks well defined evaluative criteria to

judge the product Searches for information After passing his own personality, his intake is

modified Evaluates the brands available Seeks greatest potential of satisfying his motives

example Online shopping

Nicosia modelProposed by Francesco Nicosia in

1966s Incomplete in a number of aspects,

very reductionist

Variables in the model have not been clearly defined

A number of assumptions have been made that question the validity of this model, for instance:

What type of consumer are we talking about? The company and the consumer have an

existing relationship? What type? Is this for a new product? Is this the first

exchange the consumer has had with the producer?

example Four-wheelers

Buying phasesProblem/need

recogunion

Product specification

Supplier and product search

Evaluation of proposals

Supplier selection

Evaluation

Characteristics of business

Derived demand Variance – feuchating demand Inelastic demand Buying process High pruancial value Relationship