Consumer Behaviour When What I Think, feel, do and buy depends on who I am (or want to be)

1. ConsumerBehaviourWhen What I Think, feel, do and buy depends on who I am (or want to be)

2. Remember Me….. • I'm the fellow who goes into a restaurant, sits down and patiently waits while the waiter do everything but take my order. I'm the fellow who goes into a department store and stands quietly while the sales clerks finish their little chitchat. I'm the man who drives into a petrol station and never blows his horn, but waits patiently while the attendant finishes his talks. • "Yes, you might say, I'm a good guy. But do you know who else I am? I am the fellow who never comes back, and it amuses me to see you spending thousands of rupees every year to get me back into your store, when I was there in the first place, and all you had to do to keep me was to give me a little service; show me a little courtesy."

4. Example …. • In the US, the Marlboro cowboy is usually shown alone

6. Example …. • In Japan, the Marlboro cowboy is usually shown as part of a group…

7. WHY??

8. Solution…. • Influence of culture on consumer behaviour • US culture = importance of individual; not true in Asia • Japanese consumers think a single cowboy looks “lonely” and “poor” • Just an ordinary worker on a farm

9. Some Ads…. • .ING • ..Fevicol • ..Jeevansaathi • In general we can say that its important to understand consumer psychology and the influences around to develop marketing tactics . And this is what the course all about……….

10. What is Consumer Behaviour The behaviour that consumers display in searching for, purchasing, using, evaluating, and disposing of products and services that they expect will satisfy their needs.

11. Personal Consumer The individual who buys goods and services for his or her own use, for household use, for the use of a family member, or for a friend.

12. Organizational Consumer A business, government agency, or other institution (profit or nonprofit) that buys the goods, services, and/or equipment necessary for the organization to function.

13. Origin of Field Of Consumer behaviour : Development of the Marketing Concept Production Concept Product Concept Selling Concept Marketing Concept

14. The Production Concept • Assumes that consumers are interested primarily in product availability at low prices • Marketing objectives: • Cheap, efficient production • Intensive distribution • Market expansion

15. The Product Concept • Assumes that consumers will buy the product that offers them the highest quality, the best performance, and the most features • Marketing objectives: • Quality improvement • Addition of features • Tendency toward Marketing Myopia .

16. The Selling Concept • Assumes that consumers are unlikely to buy a product unless they are aggressively persuaded to do so • Marketing objectives: • Sell, sell, sell • Lack of concern for customer needs and satisfaction

17. The Marketing Concept • Assumes that to be successful, a company must determine the needs and wants of specific target markets and deliver the desired satisfactions better than the competition • Marketing objectives: • Profits through customer satisfaction

18. KFC

19. The Marketing Concept A consumer-oriented philosophy suggests that satisfaction of consumer needs provides the focus for product development and marketing strategy to enable the firm to meet its own organizational goals.

20. Areas of application of Consumer Behaviour

21. Marketing is centred on the consumer Marketing Mix = four areas a marketer can control. Marketing strategy selection of target market and marketing mix in order to achieve our objectives.

22. Marketing is hard. procon02.ppt Feb 07

23. Marketing is hard. • Right Target Market procon02.ppt Feb 07

24. Marketing is hard. • Right Target Market • Right PRODUCT package procon02.ppt Feb 07

25. Marketing is hard. • Right Target Market • Right PRODUCT package • Right PLACE and time procon02.ppt Feb 07

26. Marketing is hard. • Right Target Market • Right PRODUCT package • Right PLACE and time • Right PROMOTION & communications procon02.ppt Feb 07

27. Marketing is hard. • Right Target Market • Right PRODUCT package • Right PLACE and time • Right PROMOTION & communications • Right PRICE procon02.ppt Feb 07

28. Profile of a typical consumer

29. THE SEVEN MAGIC QUESTIONS I have seven little helpers That tell me what to do Their names are WHY and WHAT and WHEN and WHERE and HOW and WHO and HOW MUCH ARE THEY WILLING TO PAY?

30. The target market WHO

31. The target market Their thoughts and actions WHO

32. The target market Their thoughts and actions Our actions WHO

33. The target market Their thoughts and actions Our actions Product Why? What? WHO

34. The target market Their thoughts and actions Our actions Promotion Product Why? How? What? WHO When?

35. The target market Their thoughts and actions Our actions Promotion Product Why? How? What? WHO Place When? Where?

36. The target market Their thoughts and actions Our actions Promotion Product Why? How? What? WHO Price Place When? How much? Where?

37. In simple words… • The study of consumer behaviour involves what they buy, why they buy, how they buy it when and where they buy it .

38. Areas of application of Consumer Behaviour

39. Firm’s Marketing Efforts 1. Product 2. Promotion 3. Price 4. Channels of distribution Sociocultural Environment 1. Family 2. Informal sources 3. Other noncommercial sources 4. Social class 5. Subculture and culture External Influence Input Need Recognition Pre-purchase Search Evaluation of Alternatives Psychological Field 1. Motivation 2. Perception 3. Learning 4. Personality 5. Attitudes Consumer Decision Making Process Experience A Model of Consumer Decision Making Purchase 1. Trial 2. Repeat purchase Post-Decision Behavior Output Postpurchase Evaluation