Consumer behaviour

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;Routinised problem-solving: Repeat purchases or habitual purchases;Routinised problem-solving: Repeat purchases or habitual purchases
Consumers become aware of a problem in a variety of ways including:<ref>Punj, G. and Srinivasan, N., "Influence of Problem Recognition on Search and Other Decision Process Variables: a Framework For Analysis", in ''Advances in Consumer Research'', Vol. 19, John F. Sherry, Jr. and Brian Sternthal (eds), Provo, UT : Association for Consumer Research, 1992, pp 491-497, Online:Consumers become aware of a problem in a variety of ways including:<ref>Punj, G. and Srinivasan, N., "Influence of Problem Recognition on Search and Other Decision Process Variables: a Framework For Analysis", in ''Advances in Consumer Research'', Vol. 19, John F. Sherry, Jr. and Brian Sternthal (eds), Provo, UT : Association for Consumer Research, 1992, pp 491–497, Online:
http://acrwebsite.org/volumes/7348/volumes/v19/NA-19</ref>http://acrwebsite.org/volumes/7348/volumes/v19/NA-19</ref>
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[[File:Customer journey with touchpoints English.png|thumb|left|Customer purchase decision, illustrating different communications touchpoints at each stage]][[File:Customer journey with touchpoints English.png|thumb|left|Customer purchase decision, illustrating different communications touchpoints at each stage]]
During the information search and evaluation stages, the consumer works through processes designed to arrive at a number of brands (or products) that represent viable purchase alternatives. Typically consumers first carry out an internal search and scan their memory for suitable brands. The '''evoked set''' is the set of brands that a consumer can elicit from memory and is typically a very small set of some 3- 5 alternatives.<ref>Reilly, M. and Parkinson, T.L., "Individual and Product Correlates of Evoked Set Size For Consumer Package Goods", in Elizabeth C. Hirschman and Moris B. Holbrook (eds), ''Advances in Consumer Research,'' Vol. 12, Provo, UT: Association for Consumer Research, pp 492-497, Online: http://acrwebsite.org/volumes/6440/volumes/v12/NA-12</ref> Consumers may choose to supplement the number of brands in the evoked set by carrying out an ''external search'' using sources such as the Internet, manufacturer/brand websites, shopping around, product reviews, referrals from peers and the like. The readiness of information availability has raised the informedness of the consumers: the degree to which they know what is available in the marketplace, with precisely which attributes, and at precisely what price.<ref>Clemons, E. (2008). How Information Changes Consumer Behavior and How Consumer Behavior Determines Corporate Strategy. Journal of Management Information Systems, 25(2), 13-40. Retrieved from http://www.jstor.org/stable/40398715</ref>During the information search and evaluation stages, the consumer works through processes designed to arrive at a number of brands (or products) that represent viable purchase alternatives. Typically consumers first carry out an internal search and scan their memory for suitable brands. The '''evoked set''' is the set of brands that a consumer can elicit from memory and is typically a very small set of some 3- 5 alternatives.<ref>Reilly, M. and Parkinson, T.L., "Individual and Product Correlates of Evoked Set Size For Consumer Package Goods", in Elizabeth C. Hirschman and Moris B. Holbrook (eds), ''Advances in Consumer Research,'' Vol. 12, Provo, UT: Association for Consumer Research, pp 492–497, Online: http://acrwebsite.org/volumes/6440/volumes/v12/NA-12</ref> Consumers may choose to supplement the number of brands in the evoked set by carrying out an ''external search'' using sources such as the Internet, manufacturer/brand websites, shopping around, product reviews, referrals from peers and the like. The readiness of information availability has raised the informedness of the consumers: the degree to which they know what is available in the marketplace, with precisely which attributes, and at precisely what price.<ref>Clemons, E. (2008). How Information Changes Consumer Behavior and How Consumer Behavior Determines Corporate Strategy. Journal of Management Information Systems, 25(2), 13-40. Retrieved from http://www.jstor.org/stable/40398715</ref>
The fact that a consumer is aware of a brand does not necessarily mean that it is being considered as a potential purchase. For instance, the consumer may be aware of certain brands, but not favourably disposed towards them (known as the ''inept set''). Such brands will typically be excluded from further evaluation as purchase options. For other brands, the consumer may have indifferent feelings (the ''inert set'').<ref>{{cite journal |last1=Kakkar |first1=Pradeep |title=Inert Set or Inferred Set? A Comment |journal=Journal of Marketing |date=July 1976 |volume=40 |issue=3 |pages=59–60 |doi=10.1177/002224297604000312 |s2cid=167299845 }}</ref> As the consumer approaches the actual purchase, they distill the mental list of brands into a set of alternatives that represent realistic purchase options, known as the ''[[consideration set]]''.<ref>{{cite journal |last1=Roberts |first1=John |title=A Grounded Model of Consideration Set Size and Composition |journal=Advances in Consumer Research |date=1989 |volume=16 |pages=749–757 |url=https://www.acrwebsite.org/volumes/5967/volumes/v16/NA-16 }}</ref> By definition, the consideration set refers to the "small set of brands which a consumer pays close attention to when making a purchase decision".<ref>Howard, J. A. and Sheth, J.N., ''The Theory of Buyer Behaviour,'' New York: Wiley, 1969</ref> This ultimately leads to a ''choice set'' which includes the alternatives that are strong contenders for purchase.<ref>{{Cite web |title=Marketing Reading: Consumer Behavior and the Buying Process ^ 8167 |url=https://store.hbr.org/product/marketing-reading-consumer-behavior-and-the-buying-process/8167 |access-date=2024-03-01 |website=HBR Store |language=en}}</ref>The fact that a consumer is aware of a brand does not necessarily mean that it is being considered as a potential purchase. For instance, the consumer may be aware of certain brands, but not favourably disposed towards them (known as the ''inept set''). Such brands will typically be excluded from further evaluation as purchase options. For other brands, the consumer may have indifferent feelings (the ''inert set'').<ref>{{cite journal |last1=Kakkar |first1=Pradeep |title=Inert Set or Inferred Set? A Comment |journal=Journal of Marketing |date=July 1976 |volume=40 |issue=3 |pages=59–60 |doi=10.1177/002224297604000312 |s2cid=167299845 }}</ref> As the consumer approaches the actual purchase, they distill the mental list of brands into a set of alternatives that represent realistic purchase options, known as the ''[[consideration set]]''.<ref>{{cite journal |last1=Roberts |first1=John |title=A Grounded Model of Consideration Set Size and Composition |journal=Advances in Consumer Research |date=1989 |volume=16 |pages=749–757 |url=https://www.acrwebsite.org/volumes/5967/volumes/v16/NA-16 }}</ref> By definition, the consideration set refers to the "small set of brands which a consumer pays close attention to when making a purchase decision".<ref>Howard, J. A. and Sheth, J.N., ''The Theory of Buyer Behaviour,'' New York: Wiley, 1969</ref> This ultimately leads to a ''choice set'' which includes the alternatives that are strong contenders for purchase.<ref>{{Cite web |title=Marketing Reading: Consumer Behavior and the Buying Process ^ 8167 |url=https://store.hbr.org/product/marketing-reading-consumer-behavior-and-the-buying-process/8167 |access-date=2024-03-01 |website=HBR Store |language=en}}</ref>
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[[Brand image]] (or brand personality) is an important psycho-social attribute. Consumers can have both positive and negative beliefs about a given brand.<ref>Winchester, J. R. and Bogomolova, S., "Positive and negative brand beliefs and brand defection/uptake", ''European Journal of Marketing'', Vol. 42, No. 5/6, 2008, pp.553 - 570</ref> A considerable body of research suggests that consumers are predisposed towards brands with a personality that matches their own and that a good match can affect brand preference, brand choice, satisfaction with a brand, brand commitment and loyalty, and the consumer's propensity to give positive word-of-mouth referrals.{{citation needed|date=February 2022}} The branch of consumer behaviour that investigates the matching of a brand's personality and the consumer's personality is known as ''self-congruity research.'' <ref>Sirgy, M. J., "Using self-congruity and ideal congruity to predict purchase motivation", ''Journal of Business Research,'' 1985, Vol. 13, No. 3, pp 195-206, {{doi|10.1016/0148-2963(85)90026-8}}</ref> The social media presence of a brand plays a huge part in this stage, with the effect described as "Think of regular media as a one-way street where you can read a newspaper or listen to a report on television, but you have very limited ability to give your thoughts on the matter. Social media, on the other hand, is a two-way street that gives you the ability to communicate too."<ref>Nations, D. (2019). "[https://www.lifewire.com/what-is-social-media-explaining-the-big-trend-3486616 What Is Social Media?]" Lifewire.</ref> Consumer beliefs about a brand or product category may vary depending on a range of factors including the consumer's prior experience and the effects of selective perception, distortion, and retention. Consumers who are less knowledgeble about a category tend to evaluate a brand based on its functional characteristics. However, when consumers become more knowledgeable, functional attributes diminish and consumers process more abstract information about the brand, notably the self-related aspects.<ref>Sirgy, H.J., Lee, D-J and Yu, G.B., "Revisiting Self-congruity Theory in Consumer Behavior", in ''Routledge International Handbook of Consumer Psychology,'' Cathrine V. Jansson-Boyd and Magdalena J. Zawisza (eds), Routledge, 2017, p. 193</ref>[[Brand image]] (or brand personality) is an important psycho-social attribute. Consumers can have both positive and negative beliefs about a given brand.<ref>Winchester, J. R. and Bogomolova, S., "Positive and negative brand beliefs and brand defection/uptake", ''European Journal of Marketing'', Vol. 42, No. 5/6, 2008, pp.553 - 570</ref> A considerable body of research suggests that consumers are predisposed towards brands with a personality that matches their own and that a good match can affect brand preference, brand choice, satisfaction with a brand, brand commitment and loyalty, and the consumer's propensity to give positive word-of-mouth referrals.{{citation needed|date=February 2022}} The branch of consumer behaviour that investigates the matching of a brand's personality and the consumer's personality is known as ''self-congruity research.'' <ref>Sirgy, M. J., "Using self-congruity and ideal congruity to predict purchase motivation", ''Journal of Business Research,'' 1985, Vol. 13, No. 3, pp 195-206, {{doi|10.1016/0148-2963(85)90026-8}}</ref> The social media presence of a brand plays a huge part in this stage, with the effect described as "Think of regular media as a one-way street where you can read a newspaper or listen to a report on television, but you have very limited ability to give your thoughts on the matter. Social media, on the other hand, is a two-way street that gives you the ability to communicate too."<ref>Nations, D. (2019). "[https://www.lifewire.com/what-is-social-media-explaining-the-big-trend-3486616 What Is Social Media?]" Lifewire.</ref> Consumer beliefs about a brand or product category may vary depending on a range of factors including the consumer's prior experience and the effects of selective perception, distortion, and retention. Consumers who are less knowledgeble about a category tend to evaluate a brand based on its functional characteristics. However, when consumers become more knowledgeable, functional attributes diminish and consumers process more abstract information about the brand, notably the self-related aspects.<ref>Sirgy, H.J., Lee, D-J and Yu, G.B., "Revisiting Self-congruity Theory in Consumer Behavior", in ''Routledge International Handbook of Consumer Psychology,'' Cathrine V. Jansson-Boyd and Magdalena J. Zawisza (eds), Routledge, 2017, p. 193</ref>
The marketing organisation needs a deep understanding of the benefits most valued by consumers and therefore which attributes are most important in terms of the consumer's purchase decision. It also needs to monitor other brands in the customer's consideration set to optimise planning for its own brand. During the evaluation of alternatives, the consumer ranks or assesses the relative merits of different options available. No universal evaluation process is used by consumers across all-buying situations.<ref>Kotler, P and Armstrong, G., Principles of Marketing, Upper Saddle River, N.J., Pearson, 2014.</ref> Instead, consumers generate different evaluation criteria depending on each unique buying situation. Social media further enables consumers to share views with their peers about the product they are looking to purchase.<ref>Stileman, P. (2009), To What Extent has Social Media Changed the Relationship between Brand and Consumer, Dissertation of MA Advertising, Bucks New University</ref> This way, consumers can gauge the positive and negative sides of each alternative, and decide even more conveniently as for the best product to buy. Thus the relevant evaluation attributes vary according to across different types of consumers and purchase contexts. For example, attributes important for evaluating a restaurant would include food quality, price, location, atmosphere, quality of service, and menu selection. Consumers, depending on their geographic, demographic, psychographic and behavioural characteristics, will decide which attributes are important to them. Potential patrons seeking a pleasant dining experience may be willing to travel further distances to patronise a fine-dining venue compared to those wanting a quick meal at a more utilitarian eatery. After evaluating the different product attributes, the consumer ranks each attribute or benefit from highly important to least important. These priorities are directly related to the consumer's needs and wants.<ref>Suri, R. and Monroe, K.B., "Effect of Consumers' Purchase Plans on the Evaluation of Bundle Offers", in Advances in Consumer Research Vol. 22, Frank R. Kardes and Mita Sujan (eds), Provo, UT, Association for Consumer Research, 1995 pp 588-593, Online: http://acrwebsite.org/volumes/7816/volumes/v22/NA-22</ref> Thus, the consumer arrives at a weighted score for each product or brand which represents the consumer's subjective assessment of individual attribute scores weighted in terms of their importance. Using these scores, they arrive at a total mental score or rank for each product/brand under consideration.<ref>Siddiqui, S. and Agarwal, K., "The Consumer's Purchase Decision Process: A Theoretical Framework", ''International Journal of Science Technology and Management,'' Vol. 6, No. 6, 2017, pp 361-367</ref>The marketing organisation needs a deep understanding of the benefits most valued by consumers and therefore which attributes are most important in terms of the consumer's purchase decision. It also needs to monitor other brands in the customer's consideration set to optimise planning for its own brand. During the evaluation of alternatives, the consumer ranks or assesses the relative merits of different options available. No universal evaluation process is used by consumers across all-buying situations.<ref>Kotler, P and Armstrong, G., Principles of Marketing, Upper Saddle River, N.J., Pearson, 2014.</ref> Instead, consumers generate different evaluation criteria depending on each unique buying situation. Social media further enables consumers to share views with their peers about the product they are looking to purchase.<ref>Stileman, P. (2009), To What Extent has Social Media Changed the Relationship between Brand and Consumer, Dissertation of MA Advertising, Bucks New University</ref> This way, consumers can gauge the positive and negative sides of each alternative, and decide even more conveniently as for the best product to buy. Thus the relevant evaluation attributes vary according to across different types of consumers and purchase contexts. For example, attributes important for evaluating a restaurant would include food quality, price, location, atmosphere, quality of service, and menu selection. Consumers, depending on their geographic, demographic, psychographic and behavioural characteristics, will decide which attributes are important to them. Potential patrons seeking a pleasant dining experience may be willing to travel further distances to patronise a fine-dining venue compared to those wanting a quick meal at a more utilitarian eatery. After evaluating the different product attributes, the consumer ranks each attribute or benefit from highly important to least important. These priorities are directly related to the consumer's needs and wants.<ref>Suri, R. and Monroe, K.B., "Effect of Consumers' Purchase Plans on the Evaluation of Bundle Offers", in Advances in Consumer Research Vol. 22, Frank R. Kardes and Mita Sujan (eds), Provo, UT, Association for Consumer Research, 1995 pp 588–593, Online: http://acrwebsite.org/volumes/7816/volumes/v22/NA-22</ref> Thus, the consumer arrives at a weighted score for each product or brand which represents the consumer's subjective assessment of individual attribute scores weighted in terms of their importance. Using these scores, they arrive at a total mental score or rank for each product/brand under consideration.<ref>Siddiqui, S. and Agarwal, K., "The Consumer's Purchase Decision Process: A Theoretical Framework", ''International Journal of Science Technology and Management,'' Vol. 6, No. 6, 2017, pp 361-367</ref>
===Purchase decision======Purchase decision===
Once the alternatives have been evaluated, the consumer firms up their resolve to proceed through to the actual purchase. For example, the consumer might say to themself, "Yes, I will buy Brand X one day." This self instruction to make a purchase is known as ''purchase intent.'' Purchase intentions are a strong yet imperfect predictor of sales. Sometimes purchase intentions simply do not translate into an actual purchase and this can signal a marketing problem.<ref>Morwitz, V.G., Steckel, J. and Gupta, A., "When Do Purchase Intentions Predict Sales?" ''International Journal of Forecasting,'' Vol. 23, No. 3, 2007, pp 347-64.</ref> For instance, a consumer may wish to buy a new product, but may be unaware of the retail outlets that stock it, so that purchase cannot proceed. The extent to which purchase intentions result in actual sales is known as the ''sales conversion'' rate.<ref>Armstrong, J. S., Morwitz, V. and Kumar, V., "Sales Forecasts for Existing Consumer Products and Services: Do Purchase Intentions Contribute to Accuracy?" ''International Journal of Forecasting,'' Vol. 16, No. 3, 2000, pp 383-397; Retrieved from http://repository.upenn.edu/marketing_papers/143</ref>Once the alternatives have been evaluated, the consumer firms up their resolve to proceed through to the actual purchase. For example, the consumer might say to themself, "Yes, I will buy Brand X one day." This self instruction to make a purchase is known as ''purchase intent.'' Purchase intentions are a strong yet imperfect predictor of sales. Sometimes purchase intentions simply do not translate into an actual purchase and this can signal a marketing problem.<ref>Morwitz, V.G., Steckel, J. and Gupta, A., "When Do Purchase Intentions Predict Sales?" ''International Journal of Forecasting,'' Vol. 23, No. 3, 2007, pp 347-64.</ref> For instance, a consumer may wish to buy a new product, but may be unaware of the retail outlets that stock it, so that purchase cannot proceed. The extent to which purchase intentions result in actual sales is known as the ''sales conversion'' rate.<ref>Armstrong, J. S., Morwitz, V. and Kumar, V., "Sales Forecasts for Existing Consumer Products and Services: Do Purchase Intentions Contribute to Accuracy?" ''International Journal of Forecasting,'' Vol. 16, No. 3, 2000, pp 383–397; Retrieved from http://repository.upenn.edu/marketing_papers/143</ref>
[[File:HK Central night Soho restaurant shop 2.JPG|thumb|Happy hour, where two drinks can be purchased for the price of one, is a strong call-to-action because it encourages consumers to buy now rather than defer purchasing to a later time.]][[File:HK Central night Soho restaurant shop 2.JPG|thumb|Happy hour, where two drinks can be purchased for the price of one, is a strong call-to-action because it encourages consumers to buy now rather than defer purchasing to a later time.]]
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In the marketing literature, the consumer's motivation to search for information and engage in the purchase decision process is sometimes known as ''involvement''.<ref>Clarke, K. and Belk. R.W., "The Effects of Product Involvement and Task Definition on Anticipated Consumer Effort", in ''Advances in Consumer Research,'' Vol. 06, William L. Wilkie (ed.), Ann Abor, MI: Association for Consumer Research, pp 313-318, Online: http://acrwebsite.org/volumes/9220/volumes/v06/NA-06</ref> Consumer involvement has been defined as "the personal relevance or importance of a message [or a decision]".<ref>McInnis, D.J. and Jaworski, B.J., "Two Routes to Persuasion Models in Advertising: Review, Critique and Research Directions", in Valarie A. Zeithaml (ed), ''Review of Marketing 1990'', Marketing Classics Press (AMA), 2011, pp 3-42</ref> Purchase decisions are classified as '''low involvement''' when consumers experience only a small psycho-social loss in the event that they make a poor decision. On the other hand, a purchase decision is classified as '''high involvement''' when psycho-social risks are perceived to be relatively high.<ref>{{cite journal |last1=Percy |first1=Larry |last2=Rossiter |first2=John R. |title=A model of brand awareness and brand attitude advertising strategies |journal=Psychology and Marketing |date=July 1992 |volume=9 |issue=4 |pages=263–274 |doi=10.1002/mar.4220090402 }}</ref> The consumer's level of involvement is dependent on a number of factors including perceived risk of negative consequences in the event of a poor decision, the social visibility of the product, and the consumer's prior experience with the product category.<ref>Lamb, C.W., Hair, J.F. and McDaniel, C., ''Essentials of Marketing,'' Mason, Ohio, South-Western Cengage, 2009, p. 174</ref>In the marketing literature, the consumer's motivation to search for information and engage in the purchase decision process is sometimes known as ''involvement''.<ref>Clarke, K. and Belk. R.W., "The Effects of Product Involvement and Task Definition on Anticipated Consumer Effort", in ''Advances in Consumer Research,'' Vol. 06, William L. Wilkie (ed.), Ann Abor, MI: Association for Consumer Research, pp 313–318, Online: http://acrwebsite.org/volumes/9220/volumes/v06/NA-06</ref> Consumer involvement has been defined as "the personal relevance or importance of a message [or a decision]".<ref>McInnis, D.J. and Jaworski, B.J., "Two Routes to Persuasion Models in Advertising: Review, Critique and Research Directions", in Valarie A. Zeithaml (ed), ''Review of Marketing 1990'', Marketing Classics Press (AMA), 2011, pp 3-42</ref> Purchase decisions are classified as '''low involvement''' when consumers experience only a small psycho-social loss in the event that they make a poor decision. On the other hand, a purchase decision is classified as '''high involvement''' when psycho-social risks are perceived to be relatively high.<ref>{{cite journal |last1=Percy |first1=Larry |last2=Rossiter |first2=John R. |title=A model of brand awareness and brand attitude advertising strategies |journal=Psychology and Marketing |date=July 1992 |volume=9 |issue=4 |pages=263–274 |doi=10.1002/mar.4220090402 }}</ref> The consumer's level of involvement is dependent on a number of factors including perceived risk of negative consequences in the event of a poor decision, the social visibility of the product, and the consumer's prior experience with the product category.<ref>Lamb, C.W., Hair, J.F. and McDaniel, C., ''Essentials of Marketing,'' Mason, Ohio, South-Western Cengage, 2009, p. 174</ref>
====Perception========Perception====

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