Decision Making Process

The consumer decision-making process consists of five steps, which are need recognition, information search, evaluations of alternatives, purchase and post-purchase behavior. These steps can be a guide for marketers to understand and communicate effectively to consumers. One note is that consumers do not always move in the exact order through the process; it can depend on the type of product, the buying stage of the consumer and even financial status.

1. Welcome to the presentation 1

2. MKT 503- Marketing Communication Instructed by MIRZA AHSANUL HOSSAIN JUNIOR LECTURER, IUBAT Presented By MD. SAIDUR RAHMAN SAID 16204006, MBA Fall 2016, IUBAT 2

3. Consumer Decision Making Process The overall process through which individuals behave and ultimately make decisions. A five-step process used by consumers when buying goods or services. 3

4. Consumer Decision Making Process 4

5. 1. Problem Recognition “I’m Hungry” Result of an imbalance between actual and desired states . Problem recognition occurs when the buyer recognizes a problem or need triggered by: Internal stimuli Normal needs become strong enough to drive behavior External stimuli Advertisements Friends of friends 5

6. 6 1. Problem Recognition (cont.)

7. 2. Information Search Personal Commercial Public Experiential 7

8. 2. Information Search (cont.) 8

9. 3. Evaluation of Alternatives 9 Evaluation of alternatives is how the consumer processes information to arrive at brand choices No single process is used by all consumers, or by one consumer in all buying situations. Analyze product attributes Use cutoff criteria Rank attributes by importance Attitudes Beliefs

10. Attribute Mileage Design Size and Weight Price Model Weight: 40% Weight: 30% Weight: 20% Weight: 10% Fazer 8 9 6 8 Discover 7 7 7 7 Apache 10 7 4 9 Expectancy-Value Model Fazer = 0.4 (8) + 0.3(9) + 0.2(6) + 0.1(8) = 7.9 Discover = 0.4 (7) + 0.3(7) + 0.2(7) + 0.1(7) = 7.0 Apache = 0.4(10) + 0.3(7) + 0.2(4) + 0.1(9) = 7.8 3. Evaluation of Alternatives (cont.) 10

11. 4. Purchase Decision The purchase decision is the act by the consumer to buy the most preferred brand. Determines which attributes are most important in influencing a consumer’s choice. The purchase decision can be affected by: Attitudes of others. Unexpected situational factors. 11

12. The post-purchase decision is the satisfaction or dissatisfaction the consumer feels about the purchase. Relationship between: Consumer’s expectations Product’s perceived performance Cognitive dissonance c an minimize through: Effective Communication Follow-up Guarantees/Warranties 5. Post purchase Behavior Did I make a good decision? Did I buy the right product? Did I get a good value? 12

13. 5. Post purchase Behavior (cont.) Postpurchase Satisfaction Postpurchase Actions Defect Loyal Dissatisfied Satisfied Delighted Stay or Go 13

14. Do you have any question ? 14 Thank you for your kind attention