MKTG 6111020
Marketing Management
Odd Semester 2024/2025
Chapter 5:
Consumer Markets and Buyer Behavior
Session Learning Outcomes
Upon completion of this session, students are expected to be able to:
1. Describe marketing mix and marketing strategy in different business
situations.
2. Use appropriate terminologies in marketing activities and business
environment.
Consumer Markets and Buyer Behavior
Consumer buyer behavior is the buying behavior of final consumers—individuals
and households that buy goods and services for personal consumption.
Consumer markets are made up of all the individuals and households that buy or
acquire goods and services for personal consumption.
Consumer Markets and Buyer Behavior
Characteristics Affecting Consumer Behavior
Characteristics Affecting Consumer Behavior
Cultural Factors
Culture is the set of basic values, perceptions, wants, and behaviors learned by a
member of society from family and other important institutions.
Characteristics Affecting Consumer Behavior
Cultural Factors
Subcultures are groups of people within a
culture with shared value systems based on
common life experiences and situations.
Characteristics Affecting Consumer Behavior
Cultural Factors
Social classes are society’s relatively permanent and ordered divisions whose
members share similar values, interests, and behaviors.
Measured as a combination of occupation, income, education, wealth, and other
variables
Characteristics Affecting Consumer Behavior
Cultural Factors
Major American Social Classes
• Upper Class
• Middle Class
• Working Class
• Lower Class
Characteristics Affecting Consumer Behavior
Social Factors
Groups and Social Networks
Membership Aspirational Reference
Groups Groups Groups
• Groups with • Groups an • Groups that
direct individual form a
influence wishes to comparison
and to which belong to or reference
a person in forming
belongs attitudes or
behavior
Characteristics Affecting Consumer Behavior
Groups and Social Networks
• Online social networks
• Buzz marketing
• Social media sites
• Virtual worlds
• Word of mouth
• Opinion leaders
Characteristics Affecting Consumer Behavior
Social Factors
• Family is the most important consumer-buying organization in society.
• Role and status can be defined by a person’s position in a group.
Characteristics Affecting Consumer Behavior
Personal Factors
• Age and life-cycle stage
• PRIZM Lifestage Groups system
66 segments
11 life-stage groups
Characteristics Affecting Consumer Behavior
Personal Factors
Occupation affects the goods and services bought by consumers.
Economic situations include trends in:
Personal Interest
Spending Savings
income rates
Characteristics Affecting Consumer Behavior
Personal Factors
Lifestyle is a person’s pattern of living
as expressed in his or her
psychographics.
Characteristics Affecting
Consumer Behavior
Personal Factors
Personality refers to the unique psychological
characteristics that distinguish a person or group.
Characteristics Affecting Consumer Behavior
Brand Personality Traits
Sincerity Excitement Competence
Sophistication Ruggedness
Developing Marketing Information
Psychological Factors
Motivation
Perception
Learning
Beliefs and attitudes
Characteristics Affecting Consumer Behavior
Psychological Factors
A motive (or drive) is a need that is sufficiently pressing to direct the person to seek
satisfaction of the need.
Motivation research refers to qualitative research designed to probe consumers’
hidden, subconscious motivations.
Developing Marketing Information
Characteristics Affecting Consumer Behavior
Psychological Factors
Perception is the process by which people select, organize, and interpret information to form a
meaningful picture of the world.
Perceptual Processes
Selective Selective Selective
attention distortion retention
Characteristics Affecting Consumer Behavior
Psychological Factors
Selective attention is the tendency for people to screen out most of the information
to which they are exposed.
Selective distortion is the tendency for people to interpret information in a way that
will support what they already believe.
Selective retention is the tendency to remember good points made about a brand
they
Characteristics Affecting Consumer Behavior
Psychological Factors
Learning is the change in an individual’s behavior arising from experience and
occurs through the interplay of:
Drives Stimuli Cues
Responses Reinforcement
Characteristics Affecting Consumer Behavior
Psychological Factors
A belief is a descriptive thought that a person has about something based on:
• knowledge
• opinion
• faith
An attitude describes a person’s relatively consistent evaluations, feelings, and
tendencies toward an object or idea.
Types of Buying Decision Behavior
Complex buying behavior
Dissonance-reducing buying behavior
Habitual buying behavior
Variety-seeking buying behavior
Types of Buying Decision Behavior
Figure 5.5 The Buyer Decision Process
The Buyer Decision Process
Need Recognition
Need recognition is the first stage of the buyer decision process, in which the
consumer recognizes a problem or need triggered by:
• Internal stimuli
• External stimuli
The Buyer Decision Process
Information Search
Information search is the stage of the buyer decision process in which the
consumer is motivated to search for more information.
Sources of information:
• Personal sources
• Commercial sources
• Public sources
• Experiential sources
The Buyer Decision Process
Evaluation of Alternatives
Alternative evaluation is the stage of the buyer decision process in which the
consumer uses information to evaluate alternative brands in the choice set.
The Buyer Decision Process
Purchase Decision
Purchase decision is the buyer’s decision about which brand to
purchase.
The purchase intention may not be the purchase decision due to:
• Attitudes of others
• Unexpected situational factors
The Buyer Decision Process
Postpurchase Behavior
Postpurchase behavior is the stage of the buyer decision process in which
consumers take further action after purchase, based on their satisfaction or
dissatisfaction.
The Buyer Decision Process
Postpurchase Behavior
Cognitive dissonance is buyer discomfort
caused by postpurchase conflict.
The Buyer Decision Process for New Products
The adoption process is the mental process an individual goes through
from first learning about an innovation to final regular use.
• Stages in the adoption process include:
Awareness Interest Evaluation Trial Adoption
The Buyer Decision Process for New Products
Individual Differences in Innovativeness
• Innovators
• Early Adopters
• Early Mainstream
• Late Mainstream
• Lagging Adopters
The Buyer Decision Process for New Products
Analyzing and Using Marketing Information
Influence of Product Characteristics on Rate of Adoption
Relative
Compatibility Complexity
advantage
Divisibility Communicability
References
• Kotler, P., & Armstrong, G. (2018). Principles of Marketing (17th ed.). Upper
Saddle River, New Jersey: Pearson Education, Inc. ISBN: 9781292220178