CHAPTER
15
Consumer Decision Making and
Beyond
What Would
you need to
Know in Order
to Make a
Decision About
Buying a car?
2
Extensive Problem Solving
• A lot of information needed
• Must establish a set of criteria for evaluation
Levels of Limited Problem Solving
Consumer
Decision Making • Criteria for evaluation established
• Fine tuning with additional information
Routinized Response Behavior
• Usually review what they already know
3
Consumer
Decision
Making
4
The consumer journey is the newest way
Consumer of describing the stages consumers pass
through as they develop relationships
Journey with brands before, during, and after
purchase.
Marketing mix
Input: External
Family
Sociocultural Peers
Social class
Influences influences Reference groups
Culture/subculture
Communications
• What types of sociocultural inputs would influence the
Discussion purchase of a:
Question • حفل زواجك
• Hybrid vehicle
7
Usually occurs when
consumer has a “problem”
Process -
Need
Recognitio
n
Need recognition styles
Actual state Desired state
8
Pre purchase Search
• Begins with internal search and then moves to external search
• The impact of the Internet
• There are many factors that increase search
• Product factor
• Situational factors
• Social acceptability
• Experience
• Consumer factors
9
• Personal experience and external information
• Memory Search
• Shopping provides external information
Pre-Purchase • Men and women are different
• Seek opinions of friends (e.g. shopping
Search selfies)
• Search greatest when product category
knowledge is low
• Cognitive challenge may limit search
• Task complexity
Information • Information organization
Search: • Time constraints
Contextual • Consumers have limited information-
Factors processing capacity
Product Factors
Situational Factors
Experience
Factors That
Increase Social Acceptability
Search Value-Related Considerations
Consumer Factors
• Demographics
• Personality Traits
Evaluation
of
Alternatives
: Brand-Sets
• Unknown brands or models
• Unacceptable brands of poor quality
or inappropriate positioning
• Brands that are perceived as not
Excluded Products having special benefits
Include • Overlooked brands that have not been
clearly positioned
• Brands that do not satisfy perceived
needs
• Product attribute examples
• Size
• Weight
• Sweetness
• Color
Evaluation of • Packaging
Alternatives: • Criteria to assess product may be advertised
Attributes • Price less important when products are “right”
• Brand credibility is affected by
• Perceived quality
• Information costs saved
• Perceived risk
•Compensatory decision rules
• Each relevant attribute weighted
• Summated score for each brand
Decision •Non-compensatory decision rules
• Conjunctive
Rules • Lexicographic
• Disjunctive
• Affect Referral – no assessment of individual
attributes
Application of Decision Rules
Decision Rule Rationale
Compensatory “I selected the smartphone app that came out as the best when I balanced
the good ratings against the bad ratings.”
Conjunctive “I selected the smartphone app that had no bad features.”
Disjunctive “I picked the smartphone app that excelled in at least one attribute.”
Lexicographic “I chose the smartphone app that scored the best on the attribute that I
consider to be the most important.”
Affect referral “I bought the smartphone app with the highest overall rating.”
Recognition “I downloaded the smartphone app that seemed familiar.”
Majority Vote “I downloaded the smartphone app that had the most downloads.”
• Delay the decision until information is
Coping with obtained
• Ignore missing information
Incomplete • Change the decision strategy to
Information accommodate missing information
• “Construct” the missing information
Trial
Decision
Making: Repeat purchase/brand loyalty
Output
Positive/negative
Post-purchase disconfirmation of
expectations
evaluation Cognitive
dissonance
Actual Performance
Matches Neutral Feeling
Expectations
Postpurcha Actual Performance
se Exceeds
Positive
Disconfirmation
of Expectations
Expectations
Evaluation
Performance Is Negative
Disconfirmation
Below Expectations of Expectations
20
• What are four ways that consumers reduce
Discussion postpurchase dissonance?
Questions • How can marketers work to help consumers
reduce the dissonance?
21
Gifting Behavior
A gift exchange that takes place
between a giver and a recipient. The
definition is broad in nature and
embraces gifts given voluntarily, gifts
that are an obligation, gifts given to
(and received from) others and gifts to
oneself (“self-gifts”).
• Intergroup Gifting
Types of • Intercategory Gifting
Gifting • Intragroup Gifting
• Intrapersonal Gifting
The framework for exploring the
Diffusion of evolution of consumers’ acceptance of
Innovations (1 of 2) new products throughout the social
system.
THE INNOVATION THE CHANNELS OF
Diffusion of COMMUNICATION
Innovations
THE SOCIAL TIME
SYSTEM
Innovation
Adoption Focuses on the stages through which
an individual consumer passes when
Process deciding to accept or reject a new
product.
Continuous innovation
Types of Dynamically continuous
innovation
Innovations
Discontinuous innovation
Product • Relative Advantage
• Compatibility
Features That • Complexity
Affect • Technical fear most widespread concern of
innovators
Adoption • Rapid obsolescence, social rejection and
physical harm are other fears
• Trial-ability
• Observability (communicability)
Encourages
Trial
The Adoption Process
• Awareness
• Interest
• Evaluation
• Trial
• Adoption