Perspectives on Consumer Behavior

Consumer behavior can be defined as the process and activities people engage in when searching for, selecting, purchasing, using, evaluating, and disposing of products and services so as to satisfy their needs and desires. For many products and services, purchase decisions are the result of a long, detailed process that may include an extensive information search, brand comparisons and evaluations, and other activities. Other purchase decisions are more incidental and may result from little more than seeing a product prominently displayed at a discount price in a store. Think of how many times you have made impulse purchases in stores.

Problem Recognition

Examining Consumer Motivations

Marketers recognize that while problem recognition is often a basic, simple process, the way a consumer perceives a problem and becomes motivated to solve it will influence the remainder of the decision process. For example, one consumer may perceive the need to purchase a new watch from a functional perspective and focus on reliable, low-priced alternatives. Another consumer may see the purchase of a watch as more of a fashion statement and focus on the design and image of various brands. To better understand the reasons underlying consumer purchases, marketers devote considerable attention to examining motives—that is, those factors that compel a consumer to take a particular action.

Maslow's hierarchy of needs

Psychoanalytic Theory

A somewhat more controversial approach to the study of consumer motives is the psychoanalytic theory pioneered by Sigmund Freud. Although his work dealt with the structure and development of personality, Freud also studied the underlying motivations for human behavior. Psychoanalytic theory had a strong influence on the development of modern psychology and on explanations of motivation and personality. It has also been applied to the study of consumer behavior

by marketers interested in probing deeply rooted motives that may underlie purchase decisions.

Information Search

Once consumers perceive a problem or need that can be satisfied by the purchase of a product or service, they begin to search for information needed to make a purchase decision. The initial search effort often consists of an attempt to scan information stored in memory to recall past experiences and/or knowledge regarding various purchase alternatives.9 This information retrieval is referred to as internal search. For many routine, repetitive purchases, previously acquired information that is stored in memory (such as past performance or outcomes from using a brand) is sufficient for comparing alternatives and making a choice.

Perception

Knowledge of how consumers acquire and use information from external sources is important to marketers in formulating communication strategies. Marketers are particularly interested in (1) how consumers sense external information, (2) how they select and attend to various sources of information, and (3) how this information is interpreted and given meaning. These processes are all part of perception, the process by which an individual receives, selects, organizes, and interprets information to create a meaningful picture of the world.

Selective Perception Process

Ways to Change Attitudes

Multi-attribute models help marketers understand and diagnose the underlying basis of consumers’ attitudes. By understanding the beliefs that underlie consumers’ evaluations of a brand and the importance of various attributes or consequences, the marketer is better able to develop communication strategies for creating, changing, or reinforcing brand attitudes.

Integration Processes and Decision Rules

Another important aspect of the alternative evaluation stage is the way consumers combine information about the characteristics of brands to arrive at a purchase decision. Integration processes are the way product knowledge, meanings, and beliefs are combined to evaluate two or more alternatives.Analysis of the integration process focuses on the different types of decision rules or strategies consumers use to decide among purchase alternatives.

The Consumer Learning Process

The discussion of the decision process shows that the way consumers make a purchase varies depending on a number of factors, including the nature of the product or service, the amount of experience they have with the product, and the importance of the purchase. One factor in the level of problem solving to be employed is the consumer’s involvement with the product or brand.

Behavioral Learning Theory

Behavioral learning theories emphasize the role of external, environmental stimuli in causing behavior; they minimize the significance of internal psychological processes. Behavioral learning theories are based on the stimulus–response orientation (S–R), the premise that learning occurs as the result of responses to external stimuli in the environment. Behavioral learning theorists believe learning occurs through the connection between a stimulus and a response. We will examine the basic principles of two behavioral learning theory approaches: classical conditioning and operant conditioning.

Classical Conditioning: Classical conditioning assumes that learning is an associative process with an already existing relationship between a stimulus and a response.

Operant Conditioning:

In the operant conditioning approach, the individual must actively operate or act on some aspect of the environment for learning to occur. Operant conditioning is sometimes referred to as instrumental conditioning because the individual’s response is instrumental in getting a positive reinforcement (reward) or negative reinforcement (punishment).

Cognitive Learning Theory

Since consumer behavior typically involves choices and decision making, the cognitive perspective has particular appeal to marketers, especially those whose product/service calls for important and involved purchase decisions. Cognitive processes such as perception, formation of beliefs about brands, attitude development and change, and integration are important to understanding the decision-making process for many types of purchases.

External Influences on Consumer Behaviour