BUS630: Consumer Behavior

Read this article to learn why it is important to learn about consumer behavior. New consumers are born every minute, but marketers start marketing to them through their parents before they are even born. They understand that a brand choice can be a lifetime decision.

The relationship between the buyer (customer) and the seller forms through market exchange. During the exchange process, each party assesses the trade-offs they have to make to meet their needs and wants. Read this chapter about the exchange process between the buyer and the seller of products and services. Review The Exchange Process chart and note that the exchange presents value for the buyer and the seller. Additionally, both parties have needs, wants, and trade-offs.

Read this chapter on how marketers link consumers' self-concept to their buying behavior. Although self-concept is the fundamental cognitive part of the self, there are several variations of our self-concept, including self-complexity, self-esteem, and the extended self. Marketers need to know about all of these self-ideals when creating marketing plans to target consumers.

Read this chapter on how consumers interpret their environment and make sense of it. We receive various stimuli through our five senses for our brains to interpret. Perception is the process of selecting, organizing, and interpreting information. The chapter discusses how marketers focus on the various senses to develop a brand's positioning strategy.

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 1 Assessment.

Read this chapter on the different consumer decision-making involvement levels. Low-involvement decision-making involves low-risk items, such as deodorant. High-involvement decision-making involves high-risk items, such as a car. Pay close attention to the chart distinguishing how the marketing process impacts each. Lastly, review the six ways marketers can increase involvement levels and think about how many of them you engaged with in the last week.

Read these chapters to distinguish between the two types of learning theories: behavioral and cognitive. They are both at the heart of most advertising efforts. Under each theory are subcategories of learning theories marketers utilize to sell their products. Each learning theory has several sub-theories. Classical conditioning is one of the sub-theories under behavioral learning and is based on the work of Ivan Pavlov and his dog experiments. This is where the term "Pavlov's dog" originated. We have conditioned responses to external stimuli. Sometimes these responses take a long time to develop. Sometimes, it only takes a single experience. While behavioral learning focuses on external stimuli, cognitive learning examines the internal mental processes behind a person's response. These theories are important for marketers to understand, and we are subject to them dozens of times each day. After reading these chapters, think of the many behavioral and cognitive messages you are subjected to daily.

The goal of marketers is to create long-lasting memories that the consumer will retain and retrieve when they are making a buying decision. Read this chapter to learn about the three types of memory systems psychologists have identified and the role each of them plays in processing brand-related information. The challenge for marketers is to get consumers to access these memories before or at the time of the purchase decision. Some tools marketers use include slogans, jingles, repetition, and even colors. Look at the brands you interact with daily and recall their slogan or tagline.

Motivation can be described as behavioral responses to reduce stress or attain goals as we move from our current state to our desired state. Read this chapter to examine the motivational theories and models. Carefully review Maslow's Hierarchy of Needs, as it provides a prism through which marketers view the needs, wants, and goals in consumer purchase motivations. This topic is further discussed in the next section.

In the previous unit, you read about Maslow's Hierarchy of Needs, which details how consumers moved from their lowest level of needs, such as hunger and thirst, to their higher level of needs, like self-esteem and self-actualization. Consumers can only move up the hierarchy after meeting their basic needs. Watch this video to compare the differences between needs, wants, and goals, how consumer behavior meets them, and the motivational conflicts that can arise when two goals are incompatible.

McGuire's Psychological Motivations is a classification system that organizes motives into 16 categories that help marketers determine what motives are most likely involved in different scenarios. As you read this article, examine the motives that comprise each category.

This chapter covers key factors that influence consumers' buying behavior. The social situation, time, reason for the purchase, and lifestyle are among the multiple factors covered. Which influences factor most in your buying behavior?

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 2 Assessment.

Understanding the self starts with understanding the self-concept. Watch this video to define self-concept, distinguish between self-concept and self-esteem, learn how self-concept develops, and discover the characteristics of a self-concept.

Read this study on the relationship between a consumer's self-concept and their emotional brand attachment. Consider the implications for marketers looking to develop strong emotional brand attachments, which leads to stronger brand loyalty and performance over time. Carefully review the four issues they discovered and the executive suggestions in the section on managerial implications.

Read this chapter to discover how lifestyle and psychographics are used to target consumers better based on how they live or what they do. Lifestyle is how a person lives. Marketing campaigns are created to align a product's position with a target market's lifestyle characteristics. Psychographic segmentation involves profiling a market segment based on personality, traits, lifestyle, or values.

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 3 Assessment.

Marketers want to understand consumers' attitudes because attitudes tend to predict behavior. If a person has a positive attitude about a product, they are more likely to purchase and repurchase it. Read this chapter to learn the purpose of attitudes, consumer responses, and various attitude influences. Carefully review the ABCs of Attitudes and how the hierarchy of responses influences them. Think about how consumer attitudes towards different products have changed over time.

Consumer attitudes have a significant influence on consumer behavior. They impact consumer behavior and marketing strategies by influencing consumer perceptions, usage, and perceptions. Because of their impact, marketers are very interested in understanding consumer attitudes' effect on buying choices. Watch this video to learn how consumer attitudes impact marketers' success. Pay close attention to the Tri-Component Attitude model introduced in the video.

Marketing is effective in changing attitudes through persuasion. There are several persuasion models, but the key to success is the trust of the communication source. Read this chapter to examine the persuasion models and the three characteristics that lead to trust: perceived authority, honesty, and likability. What advertisements have you seen that exhibit each of these trust characteristics?

Marketers use many appeals to get the consumer's attention. Watch this video to examine the emotional, cognitive, and physical appeals they use to attract consumers to their products. As you watch, think of examples of the types of appeals mentioned.

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 4 Assessment.

All consumer purchases follow a decision-making process, whether consciously for more complex purchases or subconsciously for relatively simple purchases. Read this chapter to compare the differences between the different steps in the consumer decision-making process. Once the process is started, the buyer can withdraw or stop at any stage and not make the actual purchase. The depth the consumer engages in each stage depends on the purchase's complexity and whether it's a new or repeat purchase. As you learn about each step, think of a simple and complex purchase you recently made and how you followed the decision process. Take a look at the post-purchase step overview, which we will cover in more detail in subsequent units.

The post-purchase step is very important to the consumer and the marketer. It's where the consumer evaluates if they are satisfied with the perceived performance of their purchase. Watch this video to examine how satisfaction with the purchase may lead to repeat purchases and positive product reviews and the implications for negative or poorly perceived performance. Think of how you reacted to a recent product or service you were very satisfied or unsatisfied with.

Read this study, which analyzes consumer intent to repurchase a smartphone. The intention was derived as social influence, consumer satisfaction, emotional loyalty, and habit.

Marketers spend a lot of resources to get consumers to repurchase their products or services. These efforts start with the initial advertising and continue through to the post-purchase decision-making step. Read this study on the determinants of consumer attitudes on repurchase intentions in the direct-to-consumer fashion industry. For marketers to succeed, they must continue strengthening their value proposition.

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 5 Assessment.

This chapter provides information about the customer relationship management (CRM) system. CRM systems are software systems that support marketing, sales, and account management functions. The systems have multiple purposes, including capturing and centralizing data about customers and customer interactions, conducting data analysis to gain insights about better meeting target segments' needs, and determining the best marketing mix for target segments. Watch the included video to learn the difference between CRM and marketing automation.

This video makes a case for the importance of customer management and how its implementation has significant benefits for the organization. Closely review the CRM model, which details the four steps an audience/customer goes through as they move from prospect to advocate for an organization's product or service. Converting a customer into an advocate is the pinnacle of marketing success.

Read this chapter to examine the other uses of customer relationship management systems.

Customer management impacts areas outside of traditional marketing. Read this study to learn how customer management affects entrepreneurial marketing.

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 6 Assessment.

Dividing the general population into groups is called segmentation. The members of each segment share one or more similar attributes such as purchase behavior, culture, age, etc. With segmentation, marketers can target their messages to a similar group. Watch this video to understand why market segmentation is an effective business strategy.

Social factors have a significant influence on consumer behavior. Read this article to learn about the different factors and how they impact a consumer's decision process. Think about what groups you belong to and how those groups might affect your purchasing decisions.

Social influence is the trend of how our beliefs and behaviors tend to be similar to others around us. These influences can occur consciously or subconsciously. This chapter compares the different types of social influences, reference groups versus opinion leaders, and the role influencers play in consumer decision-making.

A consumer's household or family also has a major influence on their attitude and behavior. These influences include their standing in the household group (parent, teen, and so on), their family lifecycle, and their age cohort. Read this chapter which discusses household influences as well as other demographic influences. Who makes the important purchase decisions in your household? What age cohorts are present in your house?

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 7 Assessment.

Social class is one of many factors that influence consumer behavior. Other factors include cultural, psychological, and personal factors. Together, these factors all influence consumer behavior either individually or combined. Watch this video to distinguish the differences between each of these factors. Then ask yourself how these factors influence your morning coffee, tea, or other daily purchases.

No two people make decisions in exactly the same way. We are all influenced by situational, personal, and psychological factors that influence our decisions. Read this article for an overview of these different factors. Then, read the following chapters to discover how each factor influences consumer decisions.

Psychological factors that influence consumer decision-making are the motivations, learning, socialization, attitudes, and beliefs behind each consumer decision. These can be very complex and difficult to predict. Read this chapter to discover the differences between the factors and how they influence consumer decision-making.

Understanding cultures and subcultures are critical to consumer marketing. Marketers have made numerous mistakes over the years due to a lack of understanding of the culture and language in their markets. Read this chapter to discover the difference between culture, subculture, and counterculture. Think about the subcultures you may belong to and how marketers should adapt their marketing message to best reach you.

A subculture is made of people who are part of a larger society but share a specific identity within a small group. Ethnic and racial groups often share languages, food, and customs. Shared experiences unite other subcultures, such as biking or skateboarding. Some subcultures are formed by people who act or present differently from the rest of society. Read this chapter to examine the different subcultures in western civilizations.

Age or generation subcultures refer to people born and living at about the same time who experience the same significant events within a given time. Some of the most recent Western World generations include Baby Boomers, Generation X, Millennials, and Generation Z. Read this article to learn how each generation is defined and how marketers could use this knowledge to better target each generation.

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 8 Assessment.

Different cultures have different values, and marketers need to adjust their marketing strategy to reflect the culture that is being targeted. The product or service should reinforce the targeted culture's beliefs, values, and customs or risk losing sales or reputation. This chapter defines culture and then discusses how it is learned and maintained. Marketing for other cultures is one of the biggest challenges organizations face in today's global economy. The Internet is littered with stories about global marketing failures. Look up "global marketing fails" to see some of them.

Gender stereotypes can also shape attitudes and inform judgments and behavior. Read this chapter to learn how gender and gender roles can shape consumer attitudes and decision-making in various cultures.

There are seven elements of culture: social organization, customs and traditions, language, arts and literature, government, religion, and economic systems. These elements form the way of life for an entire society, including how people dress, the music they listen to, and how people greet each other. Watch this video on each element and how they work together to define our present and past.

The same marketing principles that lead to success domestically also apply to global markets. The challenge for marketers is to know what to modify for global success. Read this article to learn how companies can adapt the marketing mix to meet the needs of the different global markets.

As discussed in earlier sections, global marketing requires careful planning and execution. In most cases, the entry strategy for each country will require modification. Read this article to learn about the different ways of selling products and services in global markets.

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 9 Assessment.

To further distinguish themselves from their competition, marketers are turning more and more to emotional branding, which develops long-lasting brand loyalty through an emotional connection. When consumers emotionally connect to a brand, they are more likely to repurchase that brand with little consideration for competitive products. This article examines how emotional branding is used in the fashion industry.

Marketers try to influence consumers and their buying decisions about products and services through various means. Emotional branding is just one of many tools in the toolbox. An emotional connection helps them to create "loyalty without reason" for their product or service. Read this study to learn how emotional branding influences women's consumption behavior. Closely study Figure 1 in the literature review for a detailed model of the impact of emotional advertising on consumer behavior.

Now that we have nearly completed our examination of consumer behavior, let's walk through the five steps in the consumer decision-making process using real-world examples for each step. As you read each step, think of other examples from your life that fit.

Once a marketer has chosen to focus on consumer behavior as part of their marketing strategy, they must decide how to target their potential buyers. Their universe of consumers may be large, so they will need to segment the population to reach the right person, at the right time, with the right offer, through the right channel. Some common market segmentation approaches include geographic, demographic, psychographic, behavioral, and decision-maker. Read this article about the different segmentation types and think about how you would fit into the scheme.

Read this chapter to examine some of the current trends impacting consumer decision-making. These trends include green marketing, social impact, cause-related marketing, and conscientious consumerism.

Watch this as you work through the unit and prepare to take the final exam.

You can also download the presentation slides so you can make notes.

We also recommend that you review this Study Guide before taking the Unit 10 Assessment.

Watch this as you prepare to take the final exam.

You can also download the presentation slides so you can make notes.

Watch this as you prepare to take the final exam.

You can also download the presentation slides so you can make notes.