Chapter 2: A Framework for Consumer Behavior – The Wheel of Consumer Analysis

1. Chapter 2: A Framework for Consumer Behavior – The Wheel of Consumer Analysis

2. Affect & Cognition ConsumerBehavior Marketing Strategy Consumer Environment The Wheel of Consumer Analysis The Wheel of Consumer Analysis is a framework that helps us understand consumer behavior. It helps by allowing us to structure consumer behavior phenomena. We can understand consumer behavior at various levels – that of individual consumers, market segments, industries and the society at large.

3. The Elements of the Wheel of Consumer Analysis Consumer Affect & Cognition Consumer Behavior Consumer Environment

4. An Sample Consumption Situation • We are about to view a set of slides portraying a consumption story. • Carefully read the slides, we will be referring back to this story as we progress in the lecture. • This is about a consumer who goes through a process of buying a gun.

5. The Wheel of Consumer Analysis Affect & Cognition

6. Consumer Affect & Cognition Affect A consumer’s feelings about stimuli and events.

7. Consumer Affect & Cognition Affect A consumer’s feelings about stimuli and events. • Barbara is concerned about her safety and that of her children. • Barbara’s worry about her children accidentally having access to the gun. • She is surprised how easy it is to shoot and hit a silhouette target at 25 feet.

8. Consumer Affect & Cognition Cognition: Definition The mental structures and processes involved in thinking, understanding, and interpreting stimuli and events.

9. Consumer Affect & Cognition Cognition: Definition The mental structures and processes involved in thinking, understanding, and interpreting stimuli and events. • Barbara decides to take the kids and fly home to see her family the following weekend. • She thinks the gun looks and feels good and would be right for her needs.

10. The Wheel of Consumer Analysis ConsumerBehavior

11. Consumer Behavior Definition The physical actions of consumers that can be directly observed and measured by others. • …so she purchases a Model 686 when she returns to Chicago. • Barbara loads the gun and tries it out at the range.

12. Consumer Behavior Definition The physical actions of consumers that can be directly observed and measured by others. By influencing behavior, sales can be made and profits can be earned.

13. The Wheel of Consumer Analysis Consumer Environment

14. Consumer Environment Definition Everything external to consumers that influences what they think, feel, and do.

15. Consumer Environment Definition Everything external to consumers that influences what they think, feel, and do. • Recently, a number of robberies and burglaries have occurred close to her neighborhood. • One of her friends was attacked… • Barbara's uncle owns a gun store and shooting club in her hometown near Minneapolis.

16. Consumer Environment Definition Everything external to consumers that influences what they think, feel, and do. The consumer environment is the medium in which stimuli are placed to influence consumers.

17. The Wheel of Consumer Analysis Affect & Cognition ConsumerBehavior Consumer Environment

18. The Wheel of Consumer Analysis Reciprocal System Any of the elements could be either a cause or an effect of a change at any particular time. Affect & Cognition ConsumerBehavior Consumer Environment

19. The Wheel of Consumer Analysis Starting Point Any of the elements could be the starting point for consumer analysis. Affect & Cognition Consumer Behavior Consumer Environment

20. Affect & Cognition ConsumerBehavior Consumer Environment The Wheel of Consumer Analysis Dynamic The elements of the wheel change continuously.

21. The Wheel of Consumer Analysis Multi-level These elements can be analyzed at several different levels Affect & Cognition ConsumerBehavior • Society • Industry • Market segment • Individual Consumer Environment

22. The Wheel of Consumer Analysis Marketing Strategy

23. The Wheel of Consumer Analysis Marketing Strategies: Definition A set of stimuli placed in consumers’ environments designed to influence their affect, cognition, and behavior.

24. Marketing Strategy Definition A set of stimuli placed in consumers’ environments designed to influence their affect, cognition, and behavior. Marketing strategies should be designed not only to influence consumers but also to be influenced by them.

25. Affect & Cognition ConsumerBehavior Marketing Strategy Consumer Environment The Wheel of Consumer Analysis