Transcript Chapter 1
What is
Consumer Behavior?
Chapter 1
Overview of Consumer Behavior
Every day interactions
Important to:
Marketers
Policymakers
Consumers
Consumer Behavior
Two definitions:
1. As human behavior:
“Set of value-seeking activities that take
place as people go about addressing
realized needs”
Basic Consumption Process
NEED
WANT
EXCHANGE
COSTS & BENEFITS
REACTION
VALUE
Consumer Behavior
Two definitions:
2. Study of consumers as they go about the
consumption process; study how they seek value to
address needs
Consumer Behavior
Anthropology
Economics
Consumer
Behavior
Sociology
Psychology
Marketing
How Are Consumers Treated?
Two determinants
How competitive is the
environment?
License Bureau v. Upscale
restaurant
Consumer orientation v.
market orientation
How dependent on
repeat business?
Relationship marketing
Touchpoint
Role of Consumer Behavior
CB & Marketing
Resource advantage
theory
Products v. Attributes
What do consumers give
up?
What are they looking
for?
Milkshake study
Understanding value
helps determine who
your competitors are
Examples:
Role of Consumer Behavior
Business Orientation
Undifferentiated
Differentiated
Production
Wal-mart
Toyota
Niche
One specific group
Role of Consumer Behavior
CB & Society
Purchasing behaviors
shape society
What’s “cool” and “not
cool”
CB & Personal Growth
Debt
Credit cards
Approaches to CB
How can we study it?
Interpretive research
Qualitative
Pros & cons
Phenomenology
Ethnography
Quantitative
Pros & cons
CB is Dynamic
CB changes over time
Internationalization
Technological changes
TV ads
Internet
Changing demographics
Changes in the family
How does this affect their
CB?