Models of consumer behavior.pptx

Consumer behaviour models on of the important topic in
Marketing management and consumer behaviour

1. MODELS OF CONSUMER BEHAVIOUR J.Gayathri 2nd M.com 22MCM15

2. WHAT IS CONSUMER BEHAVIOUR Consumer behavior refers to the study of consumers and the actions and the decision processes they use to purchase goods and services to satisfy their needs and wants, including emotional, mental, and behavioral responses with the aim of determining what influences consumers’ buying decisions.

3. Economic model of consumer behavior: The Economic Model of consumer behavior focuses on price alone. It says that consumers want to meet their needs for the lowest price possible and enables companies to predict sales based on a product’s price and their customer’s income.

For example, Wal-Mart offers a wide range of products at very low prices to serve its target audience.

4. LEARNING MODEL The Learning Model of customer behavior theorizes that buyer behavior responds to the desire to satisfy basic needs required for survival, like food, and learned needs that arise from lived experiences, like fear or guilt. This model takes influence from psychologist Abraham Maslow’s Hierarchy of Needs.

5. Psychoanalytical model His theories say that individual consumers have various motives driving them to make purchases that are both conscious and unconscious. For example, motives may lie in suppressed desires or hidden fears.

6. Sociological model The Sociological consumer behavior model says that people buy based on their places in societal groups. These societal groups can range from a person’s family and friends to their work circles, generation group, and hobbies. For example, say that you are joining in to a gym. Everyone at the gym has certain brands of clothes, climbing shoes, and chalk bags, belay devices, and even water bottles. The Sociological model says that you would buy similar products in order to secure and retain your position in the group.

7. For example,

8. Howard Sheth model In this model there are three levels of decision-making that buyers use. First, customers who are aware of a product or service perform extensive research to find out which one will suit them best Next, they slow down and compare their options. Once they’ve made a purchase of a particular product or service and are satisfied They continue to make similar purchases from the trusted brand.

9. Nicosia Model

10. 1. The business’ characteristics and the customer’s characters : What does your marketing messaging look like? And what’s your customer’s perception of that messaging? Are they predisposed to be receptive to your message? The latter is shaped by the customer’s personality traits and experiences 2. Search and evaluation: Similar to the Howard Sheth model’s “limited problem-solving” stage, the customer begins to compare different brands here based on the company’s messaging.

11. 3.Purchase decision. The purchase decision will occur after the company convinces the customer to choose them as their retailer or provider. 4.Feedback. During the feedback field, the company will determine whether it should continue using the same messaging, and the customer will decide whether they will continue to be receptive to future messages.

12. Black Box model The Black Box Model, also known as the stimulus-response model, theorizes that each consumer’s mind is like a “black box.” When they come into contact with external stimuli from your business (like a marketing message), they relate it to their existing knowledge and then make a decision on whether they will buy or not. But what all exist’s in the buyer’s mind (black box) that factors into the decision-making process? A combination of internal influences such as their beliefs, values, motives, perception, and lifestyle. By understanding these things about your customer, you can speak to them in a way that helps the right customers find your products.

13. Engel- Kollat -Blackwell (EKB) model

14. Awareness: Consumers become aware of a need or want for a product or service (often through ads) Information processing: Consumers think about the product or service and how it could fit into their lives Evaluation: Consumers shop around to find the best deal on the product or service

15. Purchasing decision: Consumers decide on the best deal and make the purchase or decide not to Outcome analysis: The consumer reflects on their purchase to see if it met their expectations, and they may become a repeat customer or may begin to look for another solution

16. For example, if you want to bring more people into the buyer’s journey with your company, you need to raise awareness. You can do that through content marketing that involves search engine optimization, ads, social media campaigns, and email sequences. Then, you can publish guides, comparative blogs, case studies, testimonials, and customer reviews to help guide prospects through the information processing and evaluation stages. Once a customer makes a purchase, you should also have support available for them to ensure they’re satisfied and encourage future purchases.