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CONSUMER

BEHAVIOR
Lecture 3 – Chapter 15
Spring Semester 2024

Course Lecturer:
Dr. Sara El-Deeb

1
Chapter 15:

Consumer Decision
Process and
Information Search

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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PART IV: CONSUMER DECISION PROCESS

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Learning Objectives

• Define the Nature of Information Search


1

• Discuss the types of information search


2

• Summarize the evaluative criteria that matches


3 the brand’s strengths

• Discuss SEO (Search Engine Optimization)


4

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
4
Recap
Levels of Consumer Decision Making

• A lot of information needed


Extended • Must establish a set of criteria for
evaluation

• Criteria for evaluation established


Limited • Fine tuning with additional
information

• Usually make decisions based on


Nominal what they already know
• Frequent, low risk purchases

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Dr. Sara El-Deeb
Consumer Behavior (MRKT602)
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Information Search

Information collected by consumers


is the basis for evaluation and choice
behavior.

It is important for marketers


to know:
• Why consumers are searching
for information
• Where will they look
• What information consumers
seek
• How extensively they are
willing to search

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Dr. Sara El-Deeb
Consumer Behavior (MRKT602)
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The Nature of Information Search
Internal vs. External Search

Consumers continually recognize problems and opportunities,


so internal and external searches for information to solve these
problems are ongoing processes.

Internal Search External Search

Search of long-term memory If a resolution is not reached


to determine if through internal search,
1. a satisfactory solution is then the search process is
known focused on relevant external
information.
2. what are types of
potential solutions, and Ongoing search is done to
3. ways to compare the acquire information and
possible solutions. because the process is
pleasurable.
Dr. Sara El-Deeb
Consumer Behavior (MRKT602)
9
Types of Information Sought

Consumer decisions require information about:

 Appropriate evaluative criteria

 The existence of various alternatives

 Performance of each alternative on each evaluative


criterion

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
10
Types of Information Sought
Information Search in Consumer Decisions

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Types of Information Sought
Appropriate evaluative criteria

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Types of Information Sought
Appropriate evaluative criteria

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Types of Information Sought
Appropriate evaluative criteria

One potential • Government agencies and consumer


objective of organizations want consumers to use
sound evaluative criteria
both internal
and external • Marketers wanted consumer to use
search is the evaluative criteria that match their
brand’s strengths
determination
of appropriate • Both marketers and government
evaluative agencies provide information designed
to influence the evaluative criteria used
criteria.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Types of Information Sought
Suggesting evaluative criteria that match the brand’s strengths

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Types of Information Sought
Appropriate Alternatives

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Types of Information Sought
Appropriate Alternatives

The Awareness set is composed of three subcategories


of considerable importance to marketers:

1. The evoked set or consideration set contains


brands or products one will evaluate.

2. The inept set consists of brands found to be


completely unworthy of further consideration.

3. The inert set contains brands for which the consumer


is aware of but basically indifferent toward.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Types of Information Sought
Appropriate Alternatives

Example of Decision Alternatives for University

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Dr. Sara El-Deeb
Consumer Behavior (MRKT602)
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Types of Information Sought
Alternative Characteristics

To choose among the brands in the evoked set, the


consumer compares them on the relevant
evaluative criteria.

This process requires the consumer to gather


information about each brand on each pertinent
evaluative criterion.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information

Five primary sources of information available to consumers:

 Memory of past searches, personal experiences, and low-


involvement learning
 Personal sources, such as friends, family, and others.
 Independent sources, such as magazines, consumer
groups, and government agencies
 Marketing sources, such as sales personnel, websites,
and advertising
 Experiential sources, such as inspection or product trial

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
Internet is a Major Search Avenue

• Online information is expected


• Online information boosts offline sales
• Online sources are viewed as valuable
• Online sources reduce salesperson’s role

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
Internet Search Activities

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
The Nature of Search Using Online Search Engines

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
The Nature of Search Using Online Search Engines - Tips & Tricks for Effective Ads

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
The Nature of Search Using Online Search Engines - Tips & Tricks for Effective Ads

Start of Consumer
Buying Cycle
End of Consumer
Buying Cycle

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
The Nature of Search Using Online Search Engines - Tips & Tricks for Effective Ads

Google Search Console is a free service that


gives you feedback about how your website is doing
in Google search results.

It has two primary functions:


1. It monitors your performance in Google Search
results.
2. It shows you how Google “sees” your site.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information

Information Search on the Internet

Two of the major strategic issues marketers face regarding


the Internet’s role in information search and decision
making:

1. How can they drive their information to consumers?

2. How can they drive consumers to their information?

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
Driving Information to Consumers

 Banner ads

 Permission-based e-mail

 Opt-in

 Social media

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
Driving Consumers to Firm’s Information

• Offline Media such as print and TV.

• Behavioral targeting involves tracking consumer click


patterns on a website and using that information to decide
on banner ad placement.

• Search engine optimization (SEO) - techniques to ensure


that a company's web pages are accessible to search
engines and improving the chances they are found.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
Driving Consumers to Firm’s Information

Paid Ad

Organic - SEO

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
Example: Driving Consumers to Firm’s Information

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
Example: Driving Consumers to Firm’s Information

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Sources of Information
Example: Driving Consumers to Firm’s Information

Website design is also critical. Ongoing and repeat traffic requires


relevant and frequently updated content.

Consumers need ongoing incentives


to return such as:
• product-related news features
• user-related discussion forums
• updates on new products

Firms use various incentive techniques to


Dr. Sara El-Deeb encourage repeat traffic
Consumer Behavior (MRKT602)
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Costs vs. Benefits of External Search

The level of external information search done by the customer is


based on:

Market Characteristics (alternatives, price differences, stores...)

Product characteristics (price levels, differentiation)

Consumer characteristics (personality, social status, age, household


life cycle, product involvement)

Situation characteristics (time, physical surroundings)

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Costs vs. Benefits of External Search

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Marketing Strategies Based on Information Search Patterns

Sound marketing strategies take into account the nature of


information search prior to purchase.

Two dimensions of search are particularly appropriate:


1. The type of decision influences the level of search, and
2. The nature of the evoked set influences the direction of
the search

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Marketing Strategies Based on Information Search Patterns

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Marketing Strategies Based on Information Search Patterns
Maintenance Strategy

If the brand is purchased habitually by the target market, the marketer’s


strategy is to maintain that behavior

This requires consistent attention to product quality, distribution, and a


reinforcement advertising strategy.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Marketing Strategies Based on Information Search Patterns
Disrupt Strategy

If the brand is not part of the evoked set and the target market engages
in nominal decision making, the marketer’s first task is to disrupt the
existing decision pattern
Tactics include:
• Free samples, coupons, rebates, and tie-in sales.
• Striking package designs and point-of-purchase displays.
• Comparative advertising

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Marketing Strategies Based on Information Search Patterns
Capture Strategy

Limited decision making generally involves a few brands evaluated on


only a few criteria.

Brand is in evoked set

Search occurs mainly at the point-of-purchase or in readily


available media

Objective is to capture as large a share as practical

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Marketing Strategies Based on Information Search Patterns
Intercept Strategy

If limited decision making and brand is not part of evoked set, objective
will be to intercept the consumer during search.

Emphasis will be on local media, point-of-purchase displays, shelf


space, package design, etc.

Coupons can also be effective.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Marketing Strategies Based on Information Search Patterns
Preference Strategy

Extended decision making with the brand in the evoked set requires a
preference strategy.

A simple capture strategy not likely adequate.

Instead, marketer needs to structure information so brand


becomes preferred by target market.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Marketing Strategies Based on Information Search Patterns
Acceptance Strategy

Similar to preference strategy, but complicated by fact that target market is not
seeking information about the brand.

Beyond preference strategy, marketer must attract consumer attention or


motivate brand learning.

Incentives to try product, long-term advertising to enhance low-


involvement learning and use of the Internet are useful for gaining
acceptance.

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
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Due Next Week

Quiz 1:
• Lectures 1, 2, 3

Dr. Sara El-Deeb


Consumer Behavior (MRKT602)
46
Berlin Workshop
https://www.giu-
berlin.de/DesignConnects/Pages/WorkShop/?WorkShopID=2

Workshop: AI and Digital Marketing for Creatives

From 15-25 July

WHAT TO EXPECT?

In a fast-paced competitive market


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extra mile and play the joker role.
Whether you like to play it as a
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Dr. Saralandscape.
El-Deeb
Consumer Behavior (MRKT602)
47
Dr. Sara El-Deeb
Consumer Behavior (MRKT602)
48

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