Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal,...

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Transcript of Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal,...

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-1

Chapter 17:

Contemporary topics in consumer behaviour

• Chapter 17: Business-to-business buying behaviour

• Chapter 18: Consumers and society

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-2

Business-to-business buying behaviour

• Similarities and differences between consumer/household behaviour and the behaviour of businesses

• Analysing business buying behaviour and developing marketing strategies

• The ways in which large, complex organisations approach different types of purchase decisions

• How certain consumer behaviour concepts can be adapted to studying and understanding business-to-business buying behaviour

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-3

Overall model of organisational buying behaviour

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-4

Organisational culture and organisational decisions

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-5

External factors influencing organisational culture:

Organisational demographics – Size– Activities and objectives– location– Industry category– Organisational composition– Macro segmentation– Reference groups

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-6

External factors influencing organisational culture (cont.)

Reference groups• Like consumer behaviour, organisational behaviour

and purchasing decisions are influenced by Reference groups

• In industrial markets, the most powerful type of reference group is that of lead users

• Trade associations• Financial analysts

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-7

External factors influencing organisational culture (cont.)

Lead users• Lead users are innovative organisations that derive

a great deal of their success from leading change • As a result, their adoption of a new product,

service, technology, or manufacturing process is watched and emulated by the majority

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-8

Role of lead users in encouraging development and adoption of online services

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-9

Internal factors influencing organisational culture: Organisational values

• Different values create different corporate cultures– Qantas versus Virgin Blue

Qantas is corporate, formal and takes itself seriously Virgin Blue is less formal, creative and promotes a more

open organisational style

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-10

Organisational values that influence organisational culture

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-11

A corporate culture of environmental responsibility

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-12

Internal factors influencing organisational culture

• Shared values and value conflicts• Perception• Motives and emotions—organisational decisions

tend to be less emotional than many consumer purchase decisions

• Learning—organisations learn through their experiences and perceptions

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-13

Personal, organisational and shared values

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-14

Organisational buying processes

Perception• The critical activity that links individual consumers to group, situation, and marketer influences• Branding is also important for B2B buyers

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-15

An ad using attention-grabbing visual and headline for a B2B audience

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-16

Organisational buying processes (cont.)

Motives and emotions • Firms have objectives for purchasing, and

therefore a rational approach to purchasing• Can appeal to the emotions of the individuals

making the decision• Develop a communication to ‘excite’ the buyers

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-17

Organisational buying processes (cont.)

Learning• Like individuals, organisations learn• Seen as guidelines and policies for purchasing• Can be cognitive or experiential

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-18

Unlearning high-involvement negative experiences

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-19

The organisational purchase process: purchase situation

• Straight-rebuy– Low-involvement decisions– Made by a single person in

the organisation

• Modified re-buy– Decision requires more

effort and includes more people because of modification to the product, delivery, price or terms and conditions

• New task– First-time buy– Lots of individuals

influencing and involved with decision-making process

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-20

Types of organisational decisions and high-/low-involvement processes

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-21

Ad acknowledging the importance of repeat purchases

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-22

The decision-making unit

• Also called buying centres because they make purchase decisions;

• Can be categorised in terms of area of functional responsibility and type of influence

• Similar organisational customers can be micro segmented into groups

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-23

Service attributes, importance for retail and wholesale buyers and operations

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-24

Organisational decision process

Problem recognitionProblem recognition

Information searchInformation search

Evaluation and selectionEvaluation and selection

Purchase and decision implementationPurchase and decision implementation

UsageUsage

Postpurchase evaluationPostpurchase evaluation

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-25

Ad highlighting a problem and offering a solution

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-26

Purchase and postpurchase evaluation

• Purchase and decision implementation• Postpurchase evaluation

- Measuring customer satisfaction

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-27

Technology and B2B marketing

• Advances in technology having a huge impact in the B2B market

• Many marketing functions are now implemented online

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-28

Comparison between B2B and B2C online marketing activities

Copyright 2007 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour 5e by Quester, Neal, Pettigrew, Grimmer, Davis & HawkinsSlides prepared by Dr Wayne Binney

17-29

Next Lecture

Chapter 18:

Consumers and Society