analysing consumer market

1. In what ways do consumers
stray from deliberative,
rational decision making

2. Low involvement consumer
decision making
Central route
Based on consumer’s
diligent ,rational
consideration of the most
important product
information
Peripheral route
Results from consumer’s
association with
peripheral cues
(celebrity endorsement,
credible source e.t.c )
Decision
making
}
}
High
involvement
Low
involvement

3. Variety seeking buying
behaviour
Customers do brand switching for the sake of variety

4. Behavioral decision theory
Availability Heuristics
Representative Heuristics
Decision
Heuristics
Anchoring and adjustment
Heuristics

5. Representative
Heuristics
Consumers base their
predictions on how
representative or
similar the outcome is
to other example
Similar package appearance of
different brands

6. Availability
Heuristics
Consumers base
their predictions
on the quickness
and ease with
which a particular
example of an
outcome comes
to mind

7. Anchoring and
adjustment
Heuristics
Consumer arrive
on initial
judgement then
adjust it based on
additional
information

8. Framing
The manner in which choices are presented to and seen by
the consumer

9. Mental accounting
The way consumers
code, categorize and
evaluate financial
outcome of choices

10. Segregate gains
Segregate small gains
from large losses
Integrate losses
Prospect theory
Consumers frame
their decision
alternatives in terms
of gain and losses
according to a value
function.

11. Consumers are constructive decision makers and subject to many
contextual influences.They often exhibit low involvement in their
decision using many heuristics as a result
SUMMARY

12. Srishti Chaturvedi
Indian Institute of Technology
Kanpur
B.Tech Student