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Consumer
Behavior
.
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Consumer Behavior
The study of consumer behavior is
the study of how individuals make
decisions to spend their available
resources (time, money, effort) on
consumption related items .

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We focus on following question:
How do the buyers characteristics
cultural, social, personal, and
psychological influence buying
behavior?
Consumer Behavior
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Factors Influencing Behavior

Cultural Factors
Culture- Values . Indians avoid ready
to eat packaged meals . Cola drinks ,
Soups, Kellogg .
Subcultures Vastu , Feng Shui


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Factors Influencing Behavior
Social class- Distinct preferences in
clothing , automobiles, home
furnishings etc




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Social Factors
Reference Groups - Direct or Indirect
Membership groups
Primary groups
Secondary groups
Non Membership
Aspirational groups
Dissociative groups
Opinion leader
Factors Influencing Behavior
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Factors Influencing Behavior
Pressure for conformity
Expose to new behavior and life style
Influence attitudes
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Factors Influencing Behavior
Reference group influence is strong in
Automobiles , CTV, Clothing , Cigarettes
etc
Group influence is strong for products
that are visible to others & whom buyer
respects

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Family
Family of Orientation
Family of Procreation

Husband Life Insurance , Automobiles etc
Wife Washing machine , Kitchenware
Equal Vacation , Housing etc

Working Couple

Factors Influencing Behavior
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Factors Influencing Behavior
Roles and Statuses
Role-
Status- Surgeon , Sales
manager , Clerk

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Personal Factors
Age and Stage in the
Life Cycle
Family life cycle
Automobile at early age



Factors Influencing Behavior
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Factors Influencing Behavior
Occupation
Blue Collar Work Clothes , Work Shoes &
Bus Transportation
Director Expensive suits , Air travel , Club
membership.
Economic Circumstances
Spendable Income
Savings
Attitude towards savings and spending

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Factors Influencing Behavior
Life Style Pattern of living reflected in
A I O
What are your A I O
How do they affect what you buy ?
Participation lifestyle
Change lifestyle

AIO = Activities , Interests, and Opinions
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Personality and Self-Concept
Personality
Brand personality
Sincerity
Excitement
Competence
Sophistication
Ruggedness
*** Aaker , Stanford University
Factors Influencing
Behavior
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Personality and Self-Concept

Self-concept
Persons actual self-concept
Ideal self-concept
Others self-concept
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Personality and Self-Concept

Levis Ruggedness
MTV Excitement
CNN Competence
Levis in India Youthful, Fashion
Conscious
MRF - ???

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Psychological Factors
Motivation
Biogenic
Psychogenic
Motive



Influencing Buyer Behavior
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Maslows Theory- Maslows Hierarchy
of Needs

Influencing Buyer Behavior
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Influencing . Behavior
Maslows Theory
Human needs are arranged
Starving man ( Need 1 )
Herzbergs Theory
Two Factor Theory
Dissatisfiers
Satisfiers
*****

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Influencing Buyer Behavior
Perception ~ Interpretation
of information
Perceptual process
Selective Attention
Selective Distortion
Selective Retention

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Perception
Selective attention
Current need
Size of Stimuli
Large ads . Color ads

Influencing Buyer Behavior
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Influencing Behavior
Perception
Selective Distortion.
Example : Smokers

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Influencing Behavior
Perception
Selective Retention .

Drama & Repetition

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Learning
Change in the behavior arising
out of experience.
Example : Good experience of
Dell .



Influencing Buyer Behavior
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Influencing Buyer Behavior
Beliefs and Attitudes

Japan Automobiles
U S High Tech Innovations,
France Wine, Perfumes

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Influencing Buyer Behavior
Beliefs and Attitudes
Belief - I believe smoking is
hazardous to my health.
Attitude -I believe smoking is
hazardous to my health and I
would like to quit smoking

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Model of factors Influencing Behavior
Cultural
Social
Personal Psychologica
l
Age & life cycle
Stages
Culture
Occupation
Motivation
Sub
Culture
Reference
Groups
Economic
Circumstances
Perception
Social Class Family Lifestyle Learning
Roles and
Statuses
Personality
and self
concept
Beliefs &
Attitudes
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