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Consumer Behavior Key Concepts and Relevant Research Techniques

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Consumer Behavior key concepts and relevant

Research Techniques

Session 1

It is not the employer who pays the wages. Employers only handle the money. It is the customer
who pays the wages. Henry Ford
By the end of the session participants will be able to :

1 Define Consumer behavior and the buying units involved in the process.

2 Explore the Consumer behavior Process

3 § Identify the need to understand needs and wants of different segments

4 § Identify relevant research techniques and technologies for measuring consumer


behavior
Consumer behavior is a Process

Consuming

Obtaining Disposing
Stages In Consumption Process

Pre-Purchase

Purchase

Post-Purchase
Consumer’s Marketer’s
Perspective perspective
Some issues that arise during
stages in the consumption
process

How does consumer decides that How are consumer attitudes towards
Pre-Purchase issues he/she needs a product? product formed / changed?

How do situational factors as time


Purchase issues pressure / store layout affect
Is acquiring product pleasant /
stressful experience? consumer decision?

Post-Purchase What determines whether consumer


Does the product provide pleasure or
perform intended function? will be satisfied with the product ?
Whether he/she will buy it again?
And how product is eventually
disposed? And tell others about the experience
Evolution of Consumer Behavior

Sales Orientation Consumer Orientation

Manufacturing Orientation. Marketing Orientation.

Consumers’ Increasing Influence


Consumer Behavior involves many different Actors

Initiator Buyer

Influencer User

Decider
Consumers’ Impact
on Segmenting Markets
Marketing Strategy “to whom we are marketing?”

Demographics Geographic
(Purchaser vs. user) (Country differences)

Behavioral
Psychographic
(Benefit Desired, Brand
(Self-concept, personality)
Loyalty)
Consumers’ Impact
on
Marketing Strategy

Positioning Products

Developing Appropriate Marketing Mix


Consumers’ Impact
on Relationship Marketing
Marketing Strategy

long-term, human side of


buyer-seller interactions

Database Marketing

Tracking consumers’ buying


habits very closely, and then
crafting products and messages
tailored precisely to people’s
wants and needs based on this
information
Do marketers create artificial needs?.

DO MARKETERS MANIPULATE
CONSUMERS?
The Wheel of
Consumer
Behavior Internal
Social and
Group
Forces
influence

Consumers in
the Marketplace

Consumers as Decision
makers
Research is what I'm doing when I don't know what I'm doing." - Werner von
Braun
Marketing Research

The function that links the consumer , the customer , and the public to the marketer
through information

Used to identify Monitor marketing performance


and define market
opportunities and Improve understanding of
problems marketing as a process
P&G, on using data and insight to win business
Importance Of Marketing Research:

?
Gain better Identify Discover
Understanding target Customer
of customers
Markets need
Marketing Research Process

1 2 3 4 5 6

Research Approach Fieldwork &Data Report Preparation


and data sources Collection & Presentation

Define Research
Design Research Data Analysis
Problem
Qualitative & quantitative research approaches

Qualitative Research Quantitative Research


- usually involves small samples of - Collects data that are amenable
subjects and produces to statistical analysis, usually from
information that is not easily large enough samples
quantifiable. - The principal benefit of
- may yield deeper insights into quantitative research lies in its
consumer behavior than are measurement of a population’s
available from quantitative attitudes toward or likely
research response to products or
marketing programs
- is often conducted first and used
to guide subsequent quantitative - Greater confidence can be
research placed in quantitative studies,
when conducted properly, using
appropriate sampling.
Consumer Research: Methods of Studying Consumer Behavior

surveys and Focus Group Experimentation


Observation
interviews

Attempts to
understand
Efficient a group cause-and-
Observing method for discussion led effect
consumer gathering by a moderator relationships by
behaviors in information skilled in carefully
different from a large persuading manipulating
situations such sample of consumers to independent
as natural or consumers by thoroughly variables to
artificial settings asking questions discuss a topic determine how
and recording of interest these changes
responses affect
dependent
variables
Exit Slip

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