Chapter-1 Consumer Rule

7/29/2019 Chapter-1 Consumer Rule

1/28

1-1

Chapter 1

Consumers Rule

CONSUMER

BEHAVIOR, 9eMichael R. Solomon


2/28

1-2

Chapter Objectives

When you finish this chapter, you shouldunderstand why:

Consumers use products to help them define

their identities in different settings. Consumer behavior is a process.

Marketers need to understand the wants and

needs of different consumer segments. The Web is changing consumer behavior.


3/28

1-3

Chapter Objectives (continued)

Consumer behavior relates to other issues inour lives.

Consumer activities can be harmful to

individuals and to society. Many different types of specialists study

consumer behavior.

There are two major perspectives that seekto understand and study consumer behavior.


4/28

1-4

Aspects of Consumer Behavior

Segmented by marketers bydemographics

Influenced by peer groups

Exposed to competingbrands seeking her loyalty

Evaluates products by the

appearance, taste, texture,smell


5/28

1-5

What is Consumer Behavior?

Consumer behavior:the study of the

processes involvedwhen individuals or

groups select,purchase, use, or

dispose of products,

services, ideas, orexperiences tosatisfy needs and

desires.


6/28

1-6

Figure 1.1Stages in the Consumption Process


7/281-7

Actors in Consumer Behavior

A consumer is a personwho identifies a need ordesire, makes apurchase, and then

disposes of the product.

Purchaser versus userversus influencer

Organization/group asconsumer


8/281-8

Consumers Impact on Marketing

Understanding consumer behavior is goodbusiness

Understanding people/organizations to

satisfy consumers needs Knowledge and data about customers:

Help to define the market

Identify threats/opportunities to a brand


9/281-9

Segmenting Consumers: Demographics

Demographics:statistics that measureobservable aspects of apopulation, such as

Age

Gender

Family structure

Social class/income

Race/ethnicity

Geography


10/28

1-10

Redneck Bank Targets by Social Class
http://www.redneckbank.com/


11/28

1-11

Segmenting Consumers: Lifestyles

Psychographics

The way we feelabout ourselves

The things wevalue

The things we do

in our spare time


12/28

1-12

Tapping into Consumer Lifestyles

Relationship marketing: interact withcustomers regularly; give them reasons tomaintain a bond with the company.

Database marketing: tracking specificconsumers buying habits and crafting

products and messages tailored preciselyto peoples wants.


13/28

1-13

The Meaning of Consumption

People often buy products not for what they do, but

for what they mean

Consumers can develop relationships with brands:

The product helps to establish the

users identity

The product serves as a link with a

past self.

The Product is part of the users

daily routine.

The product elicits emotional bondsof warmth, Passion, Or otherstrong emotion.

Self-Concept Attachment

Nostalgic Attachment

Interdependence

Love


14/28

1-14

The Global Consumer

The global consumerculture is one that unitespeople with a commondevotion to

Brand name consumergoods

Movie stars

Celebrities

Leisure activities


15/28

1-15

Marketing Ethics and Public Policy

Business ethics: rules of conduct that guideactions in the marketplace

Cultural differences in ethics:

Codes of ethics less formal in Mexico

U.S. Foreign Corrupt Practices Actprohibits use of bribery by U.S.businesspeopleno matter where theyre

doing business

Bribery commonly practiced in othercountries


16/28

1-16

Do Marketers Create Artificial Needs?

Need:

a basicbiological

motive

Want:

one way thatsociety has

taught us thatthe need canbe satisfied

Objective of marketing: create awareness thatneeds exist, not to create needs

versus


17/28

1-17

Are Advertising & Marketing Necessary?

Does advertising foster materialism?

Products are designed to meet existingneeds;

Advertising only helps to communicate theiravailability


18/28

1-18

Do Marketers Promise Miracles?

Advertisers simplydo not knowenough about

people tomanipulate them


19/28

1-19

Discussion

Advertisers are often blamed for promoting amaterialistic society by making theirproducts as desirable as possible.

Do you agree with this? If yes, is materialism a bad thing?

If no, what are your reasons?


20/28

Advertising Can't Make You Buy SomethingYou Don't Need.

1-20

This point is illustrated by

the featured image,

suggesting that despite

how compelling an ad formen's shaving products

might be to a woman, it

would be silly for her to

actually purchasegender-irrelevant

products based on

advertising.


21/28

1-21

Public Policy & Consumerism

Concern for the welfare of consumers

Department of Agriculture Federal Trade Commission

Food and DrugAdministration

Securities and Exchange

Commission

Environmental Protection

Agency


22/28

1-22

Consumer Activism

Culture jamming is a strategy to disruptefforts by the corporate world to dominateour cultural landscape.
http://www.adbusters.org/


23/28

1-23

Consumerism & Consumer Research

JFKs Declaration ofConsumer Rights

(1962)

The right to safety

The right to beinformed

The right to redress

The right to choice

Social Marketing

Green Marketing


24/28

1-24

The Consumer Dark Side

Consumerterrorism

Addictiveconsumption

Compulsiveconsumption Consumed

consumers

Illegal activities


25/28

1-25

Experimental PsychClinical Psychology

Developmental PsychHuman EcologyMicroeconomics

Social Psychology

SociologyMacroeconomics

Semiotics/Literary CriticismDemography

HistoryCultural Anthropology

Figure 1.2 Disciplines inConsumer Research

MICRO CONSUMER BEHAVIOR(INDIVIDUAL FOCUS)

MACRO CONSUMERBEHAVIOR

(SOCIAL FOCUS)

Consumer behaviorinvolves many different

disciplines


26/28

1-26

Figure 1.3 Wheel of Consumer Behavior


27/28

1-27

The End

"Yesterday's failures are today's seeds

that must be diligently planted to be able

to abundantly harvest tomorrow's

successes."- Author Unknown


28/28

1-28

Documents

Chapter-1 Consumer Rule