Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search...

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Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensi ve Problem Solving Limited Problem Solving Routine Problem Solving Postpurchase Evaluation External Stimuli Sensory Receptors Short- Term Memory Long - Term Memory Information Processing Learni ng Retrie val 1 Problem Recognition (Buyer Readiness) Customer Sees a Significant Difference Between the Current State of Affairs and Some Desired State of Affairs.

Transcript of Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search...

Page 1: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Retrieval and Problem Solving Orientations

Problem Solving Model

ProblemRecognition

External Search

Evaluation ofAlternatives

Choice

ExtensiveProblemSolving

LimitedProblemSolving

RoutineProblemSolving

PostpurchaseEvaluation

ExternalStimuli

SensoryReceptors

Short-TermMemory

Long -TermMemory

Information Processing

LearningRetrieval

1

Problem Recognition(Buyer Readiness)Customer Sees a

Significant Difference Between the Current State of

Affairs and Some Desired State of

Affairs.

Page 2: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Consumer’s Current State Consumer’s Desired State

Perceived Discrepancy

Problem Recognition

Changes in Current State

• Depletion of stock• Dissatisfaction• Increase in finances• Decrease in finances• Marketing inputs

Changes in Desired State

• New need circumstances• New want circumstances• New product opportunities• Purchases of other products• Marketing inputs

Determinants of Problem Recognition

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Page 3: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

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• Need for substantial information and time to choose

• Fewer expectations• Attention is less guided• Less apt to be involuntarily

interrupted• Uses only three to four

attributes in the evaluation• Relies more on brand

recognition than on attitudes

Extensive Problem SolvingBuying behavior exhibited

by customers who are considering a purchase in an

unfamiliar category.

Page 4: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Retrieval and Problem Solving Orientations

Problem Solving Model

ProblemRecognition

External Search

Evaluation ofAlternatives

Choice

ExtensiveProblemSolving

LimitedProblemSolving

RoutineProblemSolving

PostpurchaseEvaluation

ExternalStimuli

SensoryReceptors

Short-TermMemory

Long -TermMemory

Information Processing

LearningRetrieval

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• Developed hierarchy for the category of brandsClass = autosCategory (form) = subcompact, SUV, sportsWithin Category = recognizable attributes, benefits provided

• The product hierarchy controls the consumer’s search, attention, memory utilization, and choice

• Characterized by considerable information seeking and time to choose

Limited Problem SolvingBuying behavior exhibited by

customers when they are confronted by a new brand in a familiar category.

Page 5: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

• Characterized by little or no information seeking and quick problem solving

• Evoked set of brands well developed

• Brands tend to be more standardized and there are few product changes compared to LPS

• Price and availability are more likely to produce product shifts

Retrieval and Problem Solving Orientations

Problem Solving Model

ProblemRecognition

External Search

Evaluation ofAlternatives

Choice

ExtensiveProblemSolving

LimitedProblemSolving

RoutineProblemSolving

PostpurchaseEvaluation

ExternalStimuli

SensoryReceptors

Short-TermMemory

Long -TermMemory

Information Processing

LearningRetrieval

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Routine Problem SolvingBuying behavior exhibited by

customers when they are confronted by familiar brands in a familiar

product category, and already have formed an evoked set of the familiar

brands

Page 6: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Problem-Solving Processes in Purchase Decisions

• Extensive decision making– Usually involves a substantial amount of

search behavior.

– Involves several choice decisions and substantial cognitive and behavioral effort.

– Likely to take rather long periods.

Page 7: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Problem-Solving Processes in Purchase Decisions (cont.)

• Limited decision making

– Amount of effort ranges from low to moderate.

– Involves less search for information than extensive decision making.

– Choices typically are carried out fairly quickly.

Page 8: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Problem-Solving Processes in Purchase Decisions (cont.)

• Routinized choice behavior

– Requires very little cognitive capacity or conscious control.

– A previously learned decision plan is activated from memory and carried out relatively automatically to produce the purchase behavior.

Page 9: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Problem-Solving Processes - Implications for Marketing Strategy (cont.)

• Extensive decision making

– Satisfy consumers’ special needs for information

– Informational displays at the point of purchase– Free samples, coupons, or easy trial.

Page 10: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Problem-Solving Processes - Implications for Marketing Strategy

• Limited decision making– Advertisements to increase top-of-mind

awareness– Stimulate impulse purchases.

• Routinized choice behavior– Develop strategies for producing prominent

environmental stimuli– Efficient distribution system.

Page 11: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Retrieval and Problem Solving Orientations

Problem Solving Model

ProblemRecognition

External Search

Evaluation ofAlternatives

Choice

ExtensiveProblemSolving

LimitedProblemSolving

RoutineProblemSolving

PostpurchaseEvaluation

ExternalStimuli

SensoryReceptors

Short-TermMemory

Long -TermMemory

Information Processing

LearningRetrieval

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External SearchThe Process Where a Customer

Searches for Appropriate Information to Make a Reasonable

Decision.

Might Search for Information from:

•Commercials•Friends Recommendations•Brochures, Internet

Page 12: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Retrieval and Problem Solving Orientations

Problem Solving Model

ProblemRecognition

External Search

Evaluation ofAlternatives

Choice/Purchase

ExtensiveProblemSolving

LimitedProblemSolving

RoutineProblemSolving

PostpurchaseEvaluation

ExternalStimuli

SensoryReceptors

Short-TermMemory

Long -TermMemory

Information Processing

LearningRetrieval

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Evaluation of AlternativesAn assessment on salient criteria

compared to alternatives

Page 13: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Forming a Consideration Set of Brand Choice Alternatives

Page 14: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Retrieval and Problem Solving Orientations

Problem Solving Model

ProblemRecognition

External Search

Evaluation ofAlternatives

Choice/Purchase

ExtensiveProblemSolving

LimitedProblemSolving

RoutineProblemSolving

PostpurchaseEvaluation

ExternalStimuli

SensoryReceptors

Short-TermMemory

Long -TermMemory

Information Processing

LearningRetrieval

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Choice

Selection of a preferred brand and outlet

Page 15: Retrieval and Problem Solving Orientations Problem Solving Model Problem Recognition External Search Evaluation of Alternatives Choice Extensive Problem.

Retrieval and Problem Solving Orientations

Problem Solving Model

ProblemRecognition

External Search

Evaluation ofAlternatives

Choice/Purchase

ExtensiveProblemSolving

LimitedProblemSolving

RoutineProblemSolving

Post-purchaseEvaluation

ExternalStimuli

SensoryReceptors

Short-TermMemory

Long -TermMemory

Information Processing

LearningRetrieval

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Post-purchase EvaluationReflection on the purchase decision