Psychographics and Psychographics and Buying BehaviourBuying Behaviour

VALSVALS Stands for “Values and Lifestyles”Stands for “Values and Lifestyles” Created by SRI Consulting (Standard Research Institute)Created by SRI Consulting (Standard Research Institute) Consumers are defined by 3 “Motivators” and by 7 “Resources” Consumers are defined by 3 “Motivators” and by 7 “Resources”

(self-confidence, income, education, health, etc)(self-confidence, income, education, health, etc) 8 VALS Profiles8 VALS Profiles

– Actualizers (well informed, value personal growth, politically active)Actualizers (well informed, value personal growth, politically active)– Fulfilleds (activities focus on home, value edc’n & travel, health concious)Fulfilleds (activities focus on home, value edc’n & travel, health concious)– Acheivers (focus on family and work, avoid change, conservative)Acheivers (focus on family and work, avoid change, conservative)– Experiencers (innovative, risk takers, exercise & outdoors, fame, wealth)Experiencers (innovative, risk takers, exercise & outdoors, fame, wealth)– Believers (respect authority, close family and friends, predictable)Believers (respect authority, close family and friends, predictable)– Strivers (easily bored, influenced by peers, not worried about health)Strivers (easily bored, influenced by peers, not worried about health)– Makers (prefer hands on, distrust big organizations and gov’t, outdoors)Makers (prefer hands on, distrust big organizations and gov’t, outdoors)– Survivors (worried about safety, have health problems, often older)Survivors (worried about safety, have health problems, often older)

Motivational TheoriesMotivational Theories Thorndike’s Law of EffectThorndike’s Law of Effect

– States that: Consumers are motivated to buy States that: Consumers are motivated to buy products that produce positive events and to products that produce positive events and to avoid products that produce negative eventsavoid products that produce negative events

– Motivation is affected by how good or how bad Motivation is affected by how good or how bad a product or service is (Product) but also by a product or service is (Product) but also by Place factors such as crowded stores, parking Place factors such as crowded stores, parking problems, noise, salespeople, etcproblems, noise, salespeople, etc

Consumer Motivation to purchasePain: economic and emotional Pleasure: economic and emotional

Motivational TheoriesMotivational Theories

Maslow – Another timeMaslow – Another time Alderfer’s ERG TheoryAlderfer’s ERG Theory

The Buying DecisionThe Buying Decision

Step 1

The dishwasher breaks, creating a Want

Step 2

Set Criteria: new or used? What kind do I want? How much can I spend?

Step 3

Product search: various “Places” are investigated

Step 4

Decision is made: the best deal is selected

Step 5

Purchase made

Step 6

Purchase is evaluated

The AIDA FormulaThe AIDA Formula AA = Attention: = Attention: the headline or main image the headline or main image

catches the readers' attention and excites catches the readers' attention and excites them. The headline should either reveal or them. The headline should either reveal or conceal a common interest. Consider a conceal a common interest. Consider a concern that a large percentage of the concern that a large percentage of the target market has and use that as the target market has and use that as the theme of the headline.theme of the headline.

ExamplesExamples1) TO PEOPLE WHO WANT TO QUIT WORK SOMEDAY 1) TO PEOPLE WHO WANT TO QUIT WORK SOMEDAY 2) HOW TO BURN OFF BODY FAT, HOUR-BY-HOUR 2) HOW TO BURN OFF BODY FAT, HOUR-BY-HOUR

3) THE MOST EXPENSIVE MISTAKE OF YOUR LIFE3) THE MOST EXPENSIVE MISTAKE OF YOUR LIFE II = Interest: = Interest: Interest is created by giving Interest is created by giving

the potential customer multiple benefits the potential customer multiple benefits that will enhance their life. that will enhance their life.

The AIDA FormulaThe AIDA Formula DD = Desire: = Desire: Build desire by making the Build desire by making the

product irresistible. Include things like product irresistible. Include things like attractive images, free bonuses, attractive images, free bonuses, guarantees, endorsements. Build urgency guarantees, endorsements. Build urgency into every offer.into every offer.

example: "Order now in the next 72 hours and you will get this example: "Order now in the next 72 hours and you will get this

free bonus."free bonus." AA = Action: = Action: The sales piece must have a The sales piece must have a

call to action. The customer should be call to action. The customer should be invited to buy. The customer should be invited to buy. The customer should be aware that it is easy for them to buy (as aware that it is easy for them to buy (as many payment methods as possible).many payment methods as possible).

The AIDA Formula – rate The AIDA Formula – rate the following Adsthe following Ads

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