Consumer Buying Process and Modelss.ppt

Buying Behavior Models

1. KOTLER’S CONSUMER
BUYING BEHAVIOUR MODEL

2. Consumer Behaviour Consumer Behaviour

It is the study of when, why, how, and It is the study of when, why, how, and
where people do or do not buy [Product where people do or do not buy [Product
(business)|product). It blends elements (business)|product). It blends elements
from psychology, sociology, social from psychology, sociology, social
anthropology, and economics anthropology, and economics

3. 
It studies characteristics of individual It studies characteristics of individual
consumers such as demographics and consumers such as demographics and
behavioural variables in an attempt to behavioural variables in an attempt to
understand people's wants. It also tries to understand people's wants. It also tries to
assess influences on the consumer from assess influences on the consumer from
groups such as family, friends, reference groups such as family, friends, reference
groups, and society in general. groups, and society in general.

4. NEED RECOGNITION
INFORMATION SEARCH
EVALUATION OF
ALTERNATIVES
TOTAL SET
AWARENESS SET
CONSIDERATION SET
CHOICE SET-DECISION
PURCHASE INTENTION
ATTITUDE OF
OTHERS
UNANTICIPATED
SITUTATIONAL
FACTORS
PURCHASE DECISION
POST PURCHASE BEHAVIOUR
High low
Involvement Involvement
Significant Consumer Variety
Differences buying seeking
Between behaviour behaviour
For dissonance Habitual
Difference reducing buying
Between behaviour behaviour
Brands
Buyer’s
Characteristics
Cultural
•Culture
•Subculture
•Social class
•Social
•Reference groups
•Family
•Roles & Status
Personal
•Age
•Occupation
•Economic
circumstances
•Life style
•Personality
•Self concept
Psychological
•Motivation
•Technological
•Political
•Cultural
•legal
MARKETING
AND
OTHER
STIMULI
Desired
product
Appropriate
price
Right place
Relevant
promotion
EXTERNAL
ENVIRONMENT
Economic
Technological
Political
Cultural
Legal

5. Models of Consumer Behaviorof Consumer Behavior
1.1.Monactic ModelsMonactic Models
Using only one discipline of study. Real Using only one discipline of study. Real
buying behavior is affected and influenced buying behavior is affected and influenced
by economic,sociological,psychological,by economic,sociological,psychological,
environmental and various other factors environmental and various other factors
simultaneously.simultaneously.

6. ((A) Elasticity ModelA) Elasticity Model

This is a pure economic, more precisely, This is a pure economic, more precisely,
micro-economic model. As the price micro-economic model. As the price
increases, other things remaining constant, increases, other things remaining constant,
demand of the commodity will go down. But demand of the commodity will go down. But
how much it will go down, depend on the how much it will go down, depend on the
nature of the commodity.nature of the commodity.

7. (B) Response Hierarchy Model(B) Response Hierarchy Model

This model attempts to predict the This model attempts to predict the
sequence of mental stages that the sequence of mental stages that the
consumer passes through while consumer passes through while
purchasing a product.purchasing a product.
STAGE AIDA MODEL
Cognitive Attention
Affective Interest
Behavior Desire
Action

8. (C) The Black Box Model
It is also called as It is also called as ‘Stimulus Response Model’
Consumers mind and thought processing is
treated like a ‘Black Box’ which cannot be opened
to find out its working.
Input stimulus Purchase Behavior
Product
Price
Place
Promotion
The Impregnable
Black Box
Product Choice
Brand Choice
Brand Loyalty

9. 2.Electic or Multi-variable Models
of Consumer Behavior

Taking account of all the influences of Taking account of all the influences of
economic,sociological,environmental simultaneously economic,sociological,environmental simultaneously
much more comprehensive and relevant. Although much more comprehensive and relevant. Although
checking the validity of these models becomes checking the validity of these models becomes
relatively difficult.relatively difficult.

Consumer is taken as a problem solver, the problem Consumer is taken as a problem solver, the problem
is ‘to buy or not to buy'. The consumer receives is ‘to buy or not to buy'. The consumer receives
information from various sources, which is processed information from various sources, which is processed
in central processing unit (mind), influenced by in central processing unit (mind), influenced by
external environment like economic,social,cultural external environment like economic,social,cultural
and psychologicaland psychological..

10. (A) The Howard - Sheth Model(A) The Howard - Sheth Model

Explains buyer behavior decision process using six Explains buyer behavior decision process using six
sets of variables.sets of variables.
Behavioural
Determinants
•Personality
•Culture
•Social Class
•Importance of
•Purchase decision
Inhibitors
•Price of product/brand
Availability
•Financial status of an
individual
•Time constraints of an
individual
Inputs
Products, Services
Brands
Facts
Images
Feelings
Perceptual
Reaction
•Perceptual Bias
•Sensitivity to
•Information
•Filtering of
•Information
Processing
•Determinants
•Purchase Motivation
•Available satisfactions
•Past experience
•Judgmental criteria
Outputs
Attention
•Understanding attitudes
•Purchase intentions
•Purchase behavior
•Purchase decision
Actual Purchase
Or
No purchase
Or
Delay

11. (B) The Engel, Blackwell &
Minard Model
The basis of this model takes the simple
process of consumer behavior , as a
decision making process comprising of
five major activities over a period of time.
Activities:
•Need recognition
•Search for information
•Alternative evaluation
•Purchase
•outcome

12. Input Information Decision Process variables influencing
processing decision process
Stimuli
Marketer
Dominated
Other
External
Search
Need
Recognition
Environmental Influences
•Culture
•Social Class
•Personal Influences
•Family
•Situation
Search
Internal
Search
Memory Alternative
Evaluation
Exposure
Attention
Comprehension
Acceptance
Retention
Purchase
Outcomes
Beliefs
Attitude
Intentions
Satisfaction Satisfaction
•Individual differences
•Consumer resource
Motivation & Involvement
•Knowledge
•Attitudes & Personality
•Life style
•Demographics
The Engel, Blackwell & Minard Model

13. (C) The Nicosia Model(C) The Nicosia Model
Francesco Nicosio gave a consumer
behaviour model based on the technique
of computer flow charting with feed back
loops.
There are four basic fields in the model. It
is assumed that neither the seller nor the
buyer has had any previous experience
directly related to the particular
product/brand.

14. Firm’s
Objectives
Consumer’s
Attributes
(especially
Free-disposition)
Message
Exposure
Attitude
Search
Evaluation
Motivation
Decision
(action)
Experience
Consumption
Storage
Purchasing
Behaviour
Field-I
Field-II
Field-III
Field - IV
F-I –From the source of
message to the
Consumer’s attitude
F-II-Search for and
evaluation of means
to ends (preaction field)
F-III- The act of Purchase
F-IV-The feed back