7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
1/41
Chapter 4: Purchase Behavior& Communication
MKTG. 377
February 14, 2013
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
2/41
HAPPY VALENTINES DAY!
Source: Advertising Age 2-14-13
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
3/41
Glengarry Glen RossIn-Class Review
3
1. What were the principal ethical predicaments which Sheldon(the Machine) Levene /(Jack Lemmon) and his cohorts faced?
2. How could Levenes extenuating circumstances justifyhis actions (or could they?)
3. What types of external pressures influenced thesalespeoples unethical selling practices?
4. How did the sales-manager, John Williamson (KevinSpacey) and top management (Mitch & Murray) foster theseunethical practices?
5. How did Alec Baldwin, the nameless motivationalspeaker address the issue of ethics?
6. How does Dave Moss (Ed Harris) rationalize breaking thelaw?
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
4/41
Glengarry Glen RossIn-Class Review
4
7. How does George Aaronow (Alan Arkin) violate the rules of ethics?
8. What was unethical about Ricky Romas (Al Pacino) methods in prospecting andclosing James Lingk (Jonathan Pryce)?
9. Why was Ricky Romas handling of Mr. Lingks cancellation unethical?
10. How would you suggest changing the sales environment of Mitch & Murrays realestate business to promote ethical selling practices without compromising overallsales performance?
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
5/41
According to an actual count byTHE FAMILY MEDIA GUIDE,, how many F-Bombs were
tossed in, GLENGARRY GLEN ROSS?
5
A - < 50
B - < 100
C - < 150
138 F-Bombs
D - > 200
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
6/41
Now The Sequels...
Glengarry Glen Girl Scout
Glengarry Glen Christmas
Glengarry Glen Ross Jr.
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
7/41
Glengarry Glen Ross Even Returnedto Broadway Last December
With Al Pacino returning to play the Shelly Levene role instead of
Ricky Roma 30 years later
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
8/41
Whats Alec Baldwins Newest
Opportunity...
Moving from Brass Balls to Schweddy Balls
On Saturday Night Live
Ben & Jerrys Introduces New Schweedy Balls Flavor
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
9/41
What youll learn about today
1. Determine the differences between individual and organizationalbuyers.
2. Learn environmental influences on the purchase decision process.
3. Find out what goes into the successful sending and receiving of amessage.
4. Examine methods for overcoming communication barriers.
5. Understand the importance of using the voice as a communicationtool.
6. Explore the effects of body language and proxemics in selling.
Chapter 4: Purchase Behavior &
Communication:
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
10/41
What do President Abe Lincoln &Gene Simmons have in common?
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
11/41
They both employed the
KISS Method KISS
When President Lincolnneeded to communicatewith his countrymen, he
K EPT
I T
S IMPLE,
S TUPID
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
12/41
Lincolns Gettysburg Address
Contained 268 words
198 were one syllablewords
50were two syllablewords
Only 20words hadmore than two syllables
Small words really work!
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
13/41
Consumer Behavior Defined
Consumer behavioris the set of actions that
make up an individualsconsideration,
purchase & useofproducts and services.
This includes both thepurchase as well as theconsumption of thoseproducts and services.
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
14/41
The Purchase Decision Process
External
Evaluation of
The Purchase
Post urchase
Internal Search
The Search for
Problem
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
15/41
May occur when thecustomerreceivesinformation from advertisingor from conversation with
friends that causesawareness of need
In Relationship Selling,sometimes hinges on theSalespersons ability touncover a need
The 5 Step Purchase Decision Process
Or may occur when theconsumerre-evaluates thecurrent situation andperceives an area of void ordissatisfaction
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
16/41
The 5 Step Purchase Decision Process
Limited By: Your sense of urgency
Timing
Your past experiences
The risk involved withmaking this purchase
The cost of the purchase
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
17/41
All customers have specificcriteria for making theirdecision
Choice Criteria is what theSalesperson MUST identify
Focus your efforts on the
Prospects choice criteria
The 5 Step Purchase Decision Process
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
18/41
The 5 Step Purchase Decision Process
Several alternatives may seemequally acceptable
Can be made easier by aprofessional salesperson
Involves a set of relatedcriteria Tangible features of the product
Financial considerations: price,
discounts, credit policies Intangible factors: reputation,
past performance, or deliverydates
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
19/41
The 5 Step Purchase Decision Process
Cognitive Dissonance is.
Post-Purchase Anxiety
or Buyers Remorse
The level of anxietydepends on theimportance of thedecision and theattractiveness of rejectedalternatives
A Relationship Salesperson can reduce this by: Reinforcing the buyers belief that the right
decision was made Demonstrating the capabilities and quality of
the product
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
20/41
External
Search
3 - Evaluation ofAlternatives
4- The PurchaseDecision
5 - Posturchase
Internal
Search
2 - The Search forAlternatives
1 - ProblemRecognition
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
21/41
External Search
(Extensive, Limited)
3 - Evaluation of Alternatives
4- The Purchase Decision
Internal Search
(Habitual, Routine)
2 - The Search for Alternatives
1 - Problem
Recognition
(Motive Arousal)
5 - Post Purchase Evaluation
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
22/41
A MUSICAL INTERLUDE
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
23/41
Influences on the PurchaseDecision Process
3 Types1. Behavioral Influences
2. Psychological Influences
3. Socio-cultural Influences
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
24/41
Influences on the PurchaseDecision Process
Psychological Influences:1. Perception
2. Mood of the Moment3. Attitude
Attitudes are habitual patterns of response to previousexperiences
A negative attitude must be overcome before a sale
can be made Attitudes are the minds paintbrush
They can color or affect any situation
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
25/41
Psychological Influences
4. Self-Image
In communicating with a Prospect, what they believe is true is often more
important, than what is true Self image is an individuals unique and personal self-appraisal at any given
moment in time.
Self-image impacts the problem recognition phase of consumer behavior
Many of our permanent beliefs about our self-image are developed in ourchildhood
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
26/41
Socio-cultural Influences
Culture is an influence that is a completely learned andhanded-down way of life
1. Culture2. Global / MNC business considerations
3. Physical Environment
4. Social Class Impacts the information search phase of consumer behavior Advertising campaigns must differ in their attempts to reach the
various social classes
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
27/41
Socio-cultural:
Doing Business in China The Business Meeting
Always show up on time
If you are running late, call
Chinese tend to call to let you knowthey arrived
Handle Business Cards with twohands
Never write on the card
Use honorifics / titles (drop thevice from Pres.)
Guanxi (Gift-giving) Essential part of building connections
Call ahead to ensure that both partiesare giving gifts
Personal touch is nice but status labelsare nicer
Large gifts being given usually mean big
favors
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
28/41
Socio-cultural:
Doing Business in China Wining & Dining
Usually involves several meals,because relationships take time tonurture
Thoughtfulness and patience
Remember details including properpronunciation of Chinese names,schooling
Minimize your drinking (or else delaynegotiations)
Karaoke Hostesses are part of the
experience
Chinese take Karaoke veryseriously
After they sing, praise them
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
29/41
Organizational Buying Versus
Consumer Buying - Key Differences Organizational Buyers
Decision Maker- usually abuying center
Buying Criteria - morecomplex
Strategic Business Alliances- longer lasting
Buying Motivation - rational,economic or emotional
Characteristics Fewer in number
Purchases usually involve largerdollar volume
Less freedom of decision
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
30/41
Consumer BuyingMotives
1. Increase wealth
2. Alleviate fear
3. Secure social approval
4. Satisfy bodily needs5. Experience happiness or
pleasure
6. Gaining an advantage
7. Imitating
8. Dominating others
9. Recreation
10. Improving health
OrganizationalBuyingMotives
1. Profit
2. Economy
3. Flexibility
4. Uniformity of output5. Salability
6. Protection
7. Utility
8. Guarantees
9. Delivery10. Quality
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
31/41
Several people involved directly orindirectly in the decision making
process The Buying Center
1. Users
2. Buyers3. Influencers4. Gatekeepers5. Decision Makers
Multiple BuyingInfluences
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
32/41
For Organizational Buyers, most of
their purchase decisions are based on
rational buying motives rather thanemotional motives
Decisions are usually made afterextensive research and analysisconcerning the product and the sellingcompany prior to purchase
Organizational Buying Motives
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
33/41
The Communications Agenda
1 - Source The sender of the message
2 - Encoding the message Achieved through the use of symbols
3 - The message itself
4 - Evaluating the prospects decoding of the message Did they get it?
The Channels Which Communications MustFlow Through:
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
34/41
Verbal Skills(Clarify Meaning)
Nonverbal Skills(Read)
Source Receiver
The Communication Model forVerbal and Nonverbal Messages
Encoding(Implications)
Decoding(Inferences)
Message(Actions)
Verbal/Nonverbal(Noise)
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
35/41
Verbal SkillsNoise Reduction
Communication Barriers
1. Choice of Words
2. Possible Distractions
3. Timing of Meeting
4. Interruptions
5. Info Overload
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
36/41
Verbal Skills: Using YourVoice as a Sales Tool
1. Clarity or Articulation
2. Volume3. Silence
4. Rhythm
5. Rate of Speech
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
37/41
Words
Tone ofVoice
Visual
% of Total Impact
Ability to
Control
7%
55%
38%
High
Medium
Low
The Ability to ManageCommunication Dimensions
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
38/41
Visual communication expressesthe majority of a persons feelingsand emotions
Body Language Includes facial expressions,
shifts in posture and stance, andmovement of body limbs
Understand the BodyLanguage of Gestures
Body Signals
Hand Movements
Non-Verbal Skills:Selling Without Words
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
39/41
Watch for these signs that the prospect iseithernot understanding ornot acceptingthe message:
Rubbing the nose
Resting the head in the hands with elbows
on the desk
Finger under collar or rubbing back of neck
Warning Signals
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
40/41
Successful salespeople movecloser to a client when closing
It is best to carefully test for aprospects comfort zone
Comfort zones tend to changewith sex, status, or age
Four to twelve feet could be agood distance in which to
begin a sales interview The intimate zone should be
entered only by invitationor during a handshake
7/29/2019 Chap. 4 - Purchase Behavior 2-14-13
41/41
For Tuesday, February 19th
Read Chapter 5 - FINDING YOURSELLING STYLE
Type a one paragraph summary on whatyour own Primary & Secondary SellingStyles are and why.
Ill collect at the end of class
Top Related