Before anything else, you need to know

all about your consumers

› Who are they?

› What do they want?

› How can I reach them?

1. Market research

2. Consumer behaviour

Necessity: analyze your market before

you launch your product

Traditional types of market research

› Desk research

› Field research, eg. questionnaires

› Data consulting

The Nielsen corporation (AC Nielsen)

› Reliable and objective information on the

impact of marketing and sales programs

› Nielsen ratings: system that measures

television, radio and newspaper audiences

in their respective media markets

› Homescan program: sample members track

and report all grocery and retail purchases,

allowing purchasing patterns to be related

to household demographics

GfK:

› Consumer panels

› Mystery shopping

› ROI of promotions

› Retail sales tracking

› Trends and forecasts

› Webshop advice

Trendwatching:

› Eg. Herman Konings

Specialized market research:

› Quantitative research

› Eye-tracking

› Facial coding

› Neuro marketing

› Mystery shopping

Contents:

› 1. Introduction

› 2. Stimulus-response model

› 3. Purcase decision process

› 4. Purchase behaviour and orientation

› 5. Types of shopping behaviour

Consumer behaviour research focuses

on:

› What do consumers buy?

› Who buys?

› How do they buy?

› How much do they buy?

› Why do they buy?

Black box

Stimuli:

› Something that causes a physiological or

psychological response

› Can be marketing input

› Or different input

Black box:

› The process of decision making in the mind

of the consumer

› Processing stimuli

› Influenced by:

Mental processes

Exogenous variables (from outside)

Cultural

Culture

Subculture

Social class

Social

Refence

groups

Aspirational

groups

Opinion

makers

Family

Personal

Age + Life

cycle stage

Gender

Education

Job

Income

Life style

Cultural influence:

› Transferred by education

› Consists of subcultures

› Different social classes

Also geographic

Social influence:

› Groups you belong to,

› will belong to in the future or

› desire to belong to

Examples:

Meet the blogger, London 2014

Influence of personal factors:

› Age

› Life cycle stage

› Gender

› …

Which cultural, social and personal

factors can have an influence on a

person’s idea to buy home cinema

system?

Make a list of all relevant factors and

explain

Exogenous factors

Cultural influences Social infuences Personal

Stimuli Black box Response

Needs and motives

Decision making processMental processes

Learning process

Perception process

Attitude formation process

Mental processes: learning process

› Cognitive learning: gathering information

and knowledge

› Associative learning: consumer sees the link

because he knows from experience

Cfr. Pavlov

Classical conditioning

Instrumental conditioning

Cognitive: Associative:

Pavlov:

Classical

conditioning:

Belief that a stimulus

always generates

the same reaction

Eg. Smell of pizza

Eg. Bright light

Instrumental

conditioning:

Belief that a certain

behaviour is good

and should be

rewarded, other

behaviour is bad

and should be

punished

Examples of classical conditioning

› Phase 1: party atmosphere => fun, happy

› Phase 2: party atmosphere + Bacardi Mojito

=> fun, happy

› Phase 3: Bacardi Mojito => fun, happy

› Bacardi Mojito commercial

Explains:

Examples of instrumental conditioning:

Other example: Zazoo

Classical or instrumental?

Exogenous factors

Cultural influences Social infuences Personal

Stimuli Black box Response

Needs and motives

Decision making processMental processes

Learning process

Perception process

Attitude formation process

Perception process:

› Exposure

› Brains process the stimulus

› Selective and personal process

› Selective memorization

› Marketeers use music, icons, celebrity

endorsement, …

› How much have you notived and

remembered today?

Exogenous factors

Cultural influences Social infuences Personal

Stimuli Black box Response

Needs and motives

Decision making processMental processes

Learning process

Perception process

Attitude formation process

Attitude formation process› Attitude towards brand, product, …

› Can influence behaviour/purchase

› Attitude can be formed by many factors

Age

Reference groups

Life style

Income

Motivation

…

Exogenous factors

Cultural influences Social infuences Personal

Stimuli Black box Response

Needs and motives

Decision making processMental processes

Learning process

Perception process

Attitude formation process

Decision making process => purchase

decision process

Recognize the

problem

Gather information

Evaluate alternatives

Final choice

Result

Recognize the problem

› Feel the difference between the existing and

desired situation

› Take action

› Depends on

How big the problem is

Urgency

Gather information:

› Well informed = less risks

› Internal information search

› External information search

› 3 types of information sources:

Commercial

Neutral

Social

Exercise : describe how you choose your

institute of further education (Artevelde)

› Internal or external search

› Which of the 3 sources of information did you

use?

Evaluate alternatives:

› Evoked set

› Your criteria

Final choice => purchase

› Routine purchase?

› Limited decision process?

› Extended decision process?

› Much depends on the type of process

› And on rational elements (eg. price)

› And on emotional elements (eg. design)

Result = evaluation

› Happy; buy again

› Not happy; also report to others…