PERSPECTIVE ON CONSUMER BEHAVIOR.. **

Session Highlights:**What is consumer behavior?Evolution of Consumer BehaviorChanging consumersConsumer Behavior & Marketing Strategy

**Consumer Behaviour:The behavior that consumers display in searching for, purchasing, using, evaluating, and disposing of products, services, and ideas.

Evolution of Consumer Behaviour:**Economics: supply and demand, utility, Role of IncomePsychology: Motivation, perception, learning, beliefs, attitudes, etc.Social psychology: social perceptions, social influence, social rewards, peer pressure, social cues, social sanctionsSociology: role theory, social class, family life cycle, the diffusion of innovation process, and population groupsAnthropology: Folklore, cultural myths, gift giving, holiday observance, rituals, superstitionsPhysio-pyschological: study of the interaction of the body with the mind.Biochemistry: external variables such as the makeup of the productsHuman genetics: how our genes direct our consumption behavior. ad clip\Gimme.pdf

Elements of Consumer Behavior:**The dynamic interaction of affect and cognition, behavior, and the environment by which human beings conduct the exchange aspects of their lives ..\ad clip\BANDAID.dat ad clip\band-aid-slice of life.DATInvolves the thoughts and feelings people experience and the actions they perform in consumption processesIncludes all things in the environment that influence thoughts, feelings, and actions ad clip\Fortune Gold Whiskey-lifestyle.DAT

Consumer Behavior is a Process**

CONSUMERS PERSPECTIVEMARKETERS PERSPECTIVEPREPURCHASE ISSUESHow does a consumer decide about needing a product?How are consumer attitudes formed/changed?PURCHASE ISSUESIs product acquisition a stressful or pleasant experience?How do situational factors affect purchase decision?

POSTPURCHASE ISSUESDoes product provide pleasure or perform function? How is product disposed of?What determines customer satisfaction and repurchase?

How to react?**To be successful, a company must determine the needs and wants of specific target markets and deliver the desired satisfactions better than the competition.

Consumer Behaviors Role in Marketing Strategy**Marketing strategyDesign, implementation, and control of a plan to influence exchanges to achieve organizational objectivesDeveloping and presenting marketing stimuli at selected target markets to influenceWhat they thinkHow they feelWhat they doPowerful force on consumers and society at large

**OBTAININGHow you decide you want to buyProducts you consider buyingWhere you buy How you pay for productHow you transport product homeCONSUMINGHow you use productHow you store the product in your homeWho uses the product How much you consumeHow product compares with expectationsDISPOSINGHow you get rid of remaining productHow much you throw away after useIf you resell items yourself or through a consignment storeHow you recycle productsCONSUMER INFLUENCESCulture EthnicityPersonality FamilyLife-stage ValuesIncome Available ResourcesAttitudes OpinionsMotivations Past ExperiencesFeelings Peer GroupsKnowledgeORGANIZATIONAL INFLUENCESBrand Product FeaturesAdvertisingWord of MouthPromotionsRetail DisplaysPrice QualityService Store AmbianceConvenience Loyalty ProgramsPackaging Product AvailabilityConsumer Behavior

Weak Customer FocusUnderwhelming Customer and Shareholders

Competitive Advantages Through Customer Satisfaction**Repeat BuyingHigher PricesLoyalty in CrisisWord of MouthNew Product InnovationCorporate PerformanceOne-Stop shoppingGrowthProfitsCustomer Satisfaction

Customer SatisfactionAre you putting too much effort here?Equity of performance and importance, but are you getting your full reward?Dont allow small fallings to obscure your real valueMust do betterImportance to the customerPoorExcellentPoorExcellentYour performance

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