MKTG1025 Lecture Notes - Lecture 5: E-Procurement
CHAPTER 5 – BUYER BEHAVIOUR: UNDERSTANDING CONSUMER AND BUSINES BUYERS
Identify the consumer market and the main factors that influence consumer buyer behaviour.
The consumer market consists of all the individuals and households who buy or acquire goods and services for
personal consumption. A simple model of consumer behaviour suggests that marketing stimuli and other
ajor fores eter the osuers lak o. This lak o has to parts: uer harateristis ad the
uers deisio proess. Oe in the black box, the inputs result in buyer responses, such as buying attitudes
and preferences and purchase behaviour. Consumer buyer behaviour is influenced by four key sets of buyer
characteristics: cultural, social, personal and psychological. Marketers who understand these factors can
identify interested buyers and shape products and appeals to serve consumer needs better. Culture is the
ost asi deteriat of a persos ats ad ehaiour. People i differet ultural ad soial lass groups
have different product and brand preferences. Social factors – such as small group, social network and family
influences – strongly affect product and brand choices, as do personal characteristics , such as age, life-cycle
stage, occupation, economic circumstances, lifestyle, personality and self-concept. Finally, consumer buying
behaviour is influenced by four main sets of psychological factors – motivation, perception, learning, and
beliefs and attitudes. Each of these factors provides a different perspective for understanding the workings of
the uers lak o.
Identify and discuss the stages in the buyer decision process
When making a purchase, the buyer goes through a decision process consisting of need recognition,
information search, evaluation of alternatives, purchase decision and post-purchase behaviour. During need
recognition , the consumer recognises a problem or need that could be satisfied by a product or service. Once
the need is recognised, the consumer moves into the information search stage. With information in hand, the
consumer proceeds to alternative evaluation and assesses brands in the choice set. From there, the consumer
makes a purchase decision and actually buys the product. In the final stage of the buyer decision process, post-
purchase ehaiour , the osuer takes atio ased o satisfatio or dissatisfatio. The arketers jo is
to uderstad the uers ehaiour at eah stage ad the ifluees that are operatig.
Describe the adoption and diffusion process for new products
The product adoption process is made up of five stages: awareness, interest, evaluation, trial and adoption.
New-product marketers must think about how to help consumers move through these stages. With regard to
the diffusion process for new products, consumers respond at different rates, depending on consumer and
product characteristics. Consumers may be innovators, early adopters, early majority, late majority or
laggards. Each group may require different marketing approaches. Marketers often try to bring their new
products to the attention of potential early adopters, especially those who are opinion leaders.
Define the business market and identify the main factors that influence business buyer behaviour
The business market comprises all organisations that buy goods and services for use in the production of other
products and services or for the purpose of reselling or renting them to others at a profit. As compared to
consumer markets, business markets usually have fewer, larger buyers who are more geographically
concentrated. Business demand is derived demand, and the business buying decision usually involves more,
and more professional, buyers. Business buyers make decisions that vary with the three types of buying
situations : straight rebuys, modified rebuys and new tasks. The decision-making unit of a buying organisation
– the buying centre – can consist of many different persons playing many different roles. The business
marketer needs to know the following: Who are the main buying centre participants? In what decisions do
they exercise influence, and to what degree? What evaluation criteria does each decision participant use? The
business marketer also needs to understand the main environmental, organisational, interpersonal and
individual influences on the buying process.
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Document Summary
Chapter 5 buyer behaviour: understanding consumer and busines buyers. Identify the consumer market and the main factors that influence consumer buyer behaviour. The consumer market consists of all the individuals and households who buy or acquire goods and services for personal consumption. A simple model of consumer behaviour suggests that marketing stimuli and other (cid:373)ajor for(cid:272)es e(cid:374)ter the (cid:272)o(cid:374)su(cid:373)er(cid:859)s (cid:858)(cid:271)la(cid:272)k (cid:271)o(cid:454)(cid:859). This (cid:271)la(cid:272)k (cid:271)o(cid:454) has t(cid:449)o parts: (cid:271)u(cid:455)er (cid:272)hara(cid:272)teristi(cid:272)s a(cid:374)d the (cid:271)u(cid:455)er(cid:859)s de(cid:272)isio(cid:374) pro(cid:272)ess. O(cid:374)(cid:272)e in the black box, the inputs result in buyer responses, such as buying attitudes and preferences and purchase behaviour. Consumer buyer behaviour is influenced by four key sets of buyer characteristics: cultural, social, personal and psychological. Marketers who understand these factors can identify interested buyers and shape products and appeals to serve consumer needs better. Culture is the (cid:373)ost (cid:271)asi(cid:272) deter(cid:373)i(cid:374)a(cid:374)t of a perso(cid:374)(cid:859)s (cid:449)a(cid:374)ts a(cid:374)d (cid:271)eha(cid:448)iour. People i(cid:374) differe(cid:374)t (cid:272)ultural a(cid:374)d so(cid:272)ial (cid:272)lass groups have different product and brand preferences.
