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Chapter 16
Consumer Behavior,Consumer Behavior,Eighth EditionEighth Edition
SCHIFFMAN & KANUK
Consumer Decision Making and Beyond
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Levels of Consumer Decision Making
Extensive Problem Solving
Limited Problem Solving
Routine Response Behavior
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Extensive Extensive Problem Problem SolvingSolving
A search by the consumer to establish the necessary
product criteria to evaluate knowledgeably the most
suitable product to fulfill a need.
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Limited Limited Problem Problem SolvingSolving
A limited search by a consumer for a product that will satisfy his or her basic
criteria from among a selected group of brands.
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Routinized Routinized Response Response BehaviorBehavior
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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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The Economic viewRational Customers Have To
…• Be aware of all available product alternatives
• Be capable of correctly ranking each alternative in terms of its benefits and disadvantages
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Why is the Classical Economic Model Considered Unrealistic?
• People are limited by their existing skills, habits, and reflexes
• People are limited by their existing values and goals
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Models of Consumers: Four Views of Consumer Decision
Making• A Passive View
• A Cognitive View
• An Emotional View - mood
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A Model of Consumer Decision Making
INPUT
PROCESS
OUTPUT
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Figure 16.2 A Simple Model of Consumer Decision Making
Firm’s Marketing Efforts1. Product2. Promotion3. Price4. Channels of distribution
Sociocultural Environment1. Family2. Informal sources3. Other noncommercial sources4. Social class5. Subculture and culture
Need Recognition
Prepurchase Search
Evaluation of Alternatives
Psychological Field1. Motivation2. Perception3. Learning4. Personality5. Attitudes
Experience
Purchase1. Trial2. Repeat purchase
Postpurchase EvaluationOutput
Process
Input
External Influences
Consumer Decision Making
Postdecision Behavior
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Three Stages of Consumer Decision Making
• Need Recognition
• Prepurchase Search
• Evaluation of Alternatives
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Need Need RecognitionRecognition
The realization by the consumer that there is a
difference between “what is” and “what should be.”
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Prepurchase Prepurchase SearchSearch
A stage in the consumer decision-making process in
which the consumer perceives a need and
actively seeks out information concerning products that will help
satisfy that need.
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A stage in the consumer decision-making process in
which the consumer appraises the benefits to be
derived from each of the product alternatives being
considered.
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Table 16.2 Factors that are Likely to Increase Prepurchase Search
Product FactorsLong interpurchase time (a long-lasting or infrequently used product)Frequent changes in product stylingVolume purchasing
Many alternative brands
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Table 16.2 continued
Product FactorsDemographic Characteristics of Consumer
Well-educatedHigh-incomeWhite-collar occupationUnder 35 years of age
PersonalityLow dogmaticLow-risk perceiver (broad categorizer)Other personal factors, such as high product involvement and enjoyment of shopping and search
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Issues in Alternative Evaluation• Evoked Set• Criteria Used for Evaluating Brands• Consumer Decision Rules• Lifestyles as a Consumer Decision Strategy• Incomplete Information and Noncomparable
Alternatives• Series of Decisions• Decision Rules and Marketing Strategy• Consumption Vision
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Figure 16.3 The Evoked Set as a Subset of All Brands in a Product Class
All Brands
Known Brands
Unknown Brands
Overlooked Brands
Indifferent Brands
Unacceptable Brands
Acceptable Brands
Not Purchased Brands
Purchased Brands
Evoked Set Inept Set Inert Set
(1)
(2) (3) (4)
(5)
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Brands that a consumer excludes from purchase
consideration.
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Brands that a consumer is indifferent toward
because they are perceived as having no particular advantage.
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Issues in Alternative Evaluation• Evoked Set• Criteria Used for Evaluating Brands• Consumer Decision Rules• Lifestyles as a Consumer Decision Strategy• Incomplete Information and Noncomparable
Alternatives• Series of Decisions• Decision Rules and Marketing Strategy• Consumption Vision
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Consumer Decision Rules
• Compensatory• Noncompensatory
– Conjunctive Decision Rule– Disjunctive Decision Rule– Lexicographic Rule
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Compensatory Compensatory Decision RulesDecision 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-Non-compensatory compensatory
Decision Decision RulesRules
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 Conjunctive Decision Decision
RuleRule
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 Disjunctive RuleRule
A noncompensatory decision rule in which consumers establish a minimally acceptable cutoff point for each
relevant product attribute.
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Lexicographic Lexicographic RuleRule
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 Affect Referral Referral Decision Decision
RuleRule
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.
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Table 16.7 Hypothetical Use of Popular Decision Rules in Making a Decision to
Purchase an Ultralight LaptopDECISION RULEDECISION RULE MENTAL STATEMENTMENTAL STATEMENT
Compensatory rule “I selected the computer that came out best when I balanced the good ratings against the bad ratings.”
Conjunctive rule “I selected the computer that had no bad features.”
Disjunctive rule “I picked the computer that excelled in at least one attribute.”
Lexicographic rule “I looked at the feature that was most important to me and chose the computer that ranked highest on that attribute.”
Affect referral rule “I bought the brand with the highest overall rating.”
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Coping with Missing Information
• Change the decision strategy to one that better accommodates for the missing information
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Types of Purchases
TrialPurchases
Repeat Purchases
Long-TermCommitment
Purchases
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Outcomes of Postpurchase Evaluation
• Actual Performance Matches Expectations
• Actual Performance Exceeds Expectations– Positive Disconfirmation of Expectations
• Performance is Below Expectations– Negative Disconfirmation of Expectations
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Figure 16.5 A Simple Model of Consumption
Choice or Purchase DecisionChoice or Purchase Decision
Consumption SetAdded to one’s assortment or portfolio
Consuming StyleHow the individual fulfills his or her
consumption requirements
Using, Possessing, Collecting, Disposing
Consuming and Possessing Things and ExperiencesConsuming and Possessing Things and Experiences
Altered consumer satisfaction, change in lifestyle and/or quality of life, learning and knowledge, expressing and
entertaining oneself
Feelings, Moods, Attitudes, BehaviorFeelings, Moods, Attitudes, Behavior
Input
Process ofConsuming
andPossessing
Output
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Relationship Relationship MarketingMarketing
Marketing aimed at creating strong,
lasting relationships with a core group of customers by making them _______ about the company and by giving them some
kind of ___________ with the business.
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Figure 16.7 A Portrayal of the Characteristics of Relationship
Marketing
•Products/Services•Individualized attention•Continuous information•Price offers•Customer services•Extras and perks, etc.
•Repeat Purchase•Increased Loyalty•Goodwill•Positive word-of-mouth•Lower costs for the firm
Trust and promises
The Firm provides The Customer provides
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Consumers Are Less Loyal - Why?
• Availability of information
• Entitlement -
• Commoditization –
• Insecurity
• Time scarcity -
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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.
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Table 16.9 Five Giver-Receiver Gifting Subdivisions
GROUPIntercategory
giftingIntergroup
giftingIntragroup
gifting
INDIVIDUALInterpersonal
giftingIntercategory
giftingIntrapersonal
gifting
GIVERS INDIVIDUAL
RECEIVES “OTHER”
GROUP SELF*
*This “SELF” is either singular self (“me”) or plural (“us”).
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Table 16.12 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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Gifting Subdivisions
Intergroup Gifting
Intrapersonal Gifting
Intragroup Gifting
InterpersonalGifting
IntercategoryGifting
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Table 16.13 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