The document discusses consumer buying behavior and the factors that influence consumers' decision-making processes. It describes a model of consumer behavior that shows how marketing stimuli interact with a consumer's characteristics and psychological processes to influence their response. It then covers the various internal and external factors that shape consumers' behaviors, such as their culture, social groups, personal characteristics, psychological states, and more. Finally, it outlines the typical steps in a consumer's decision process, from need recognition to post-purchase evaluation.

1. Chapter 5 PRINCIPLES OF MARKETING Eighth Edition Philip Kotler and Gary Armstrong Consumer Markets and Consumer Buyer Behavior

3. Model of Consumer Behavior Marketing and Other Stimuli Buyer’s Black Box Buyer’s Response Product Price Place Promotion Economic Technological Political Cultural Characteristics Affecting Consumer Behavior Buyer’s Decision Process Product Choice Brand Choice Dealer Choice Purchase Timing Purchase Amount

4. Characteristics Affecting Consumer Behavior Buyer Psychological Personal Social Culture

7. Factors Affecting Consumer Behavior: Personal Personal Influences Age and Family Life Cycle Stage Occupation Economic Situation Lifestyle Identification Activities Opinions Interests Personality & Self-Concept

8. VALS 2 Principle Oriented Status Oriented Action Oriented Achievers Actualizers Strugglers Strivers Fulfilleds Believers Experiencers Makers Abundant Resources Minimal Resources

9. Factors Affecting Consumer Behavior: Psychological Psychological Factors Motivation P erception Learning Beliefs and Attitudes

10. Maslow’s Hierarchy of Needs Esteem Needs ( self-esteem, status) Social Needs (sense of belonging, love) Safety Needs (security, protection) Physiological Needs (hunger, thirst) Self Actualization (Self-development )

11. Types of Buying Decisions Complex Buying Behavior Dissonance- Reducing Buying Behavior Variety- Seeking Behavior Habitual Buying Behavior High Involvement Significant differences between brands Few differences between brands Low Involvement

12. The Buyer Decision Process Need Recognition Information Search Evaluation of Alternatives Purchase Decision Postpurchase Behavior

15. The Buyer Decision Process Step 3. Evaluation of Alternatives Product Attributes Evaluation of Quality, Price, & Features Degree of Importance Which attributes matter most to me? Brand Beliefs What do I believe about each available brand? Total Product Satisfaction Based on what I’m looking for, how satisfied would I be with each product? Evaluation Procedures Choosing a product (and brand) based on one or more attributes.

16. The Buyer Decision Process Step 4. Purchase Decision Purchase Intention Desire to buy the most preferred brand Purchase Decision Attitudes of others Unexpected situational factors

18. Stages in the Adoption Process Awareness Interest Evaluation Trial Adoption

19. Adoption of Innovations Percentage of Adopters Time of Adoption Early Late Innovators Early Adopters Early Majority 2.5% 13.5% 34% 34% 16% Laggards Late Majority

20. Influences on the Rate of Adoption of New Products Divisibility Can the innovation be used on a trial basis? Compatibility Does the innovation fit the values and experience of the target market? Complexity Is the innovation difficult to understand or use? Relative Advantage Is the innovation superior to existing products? Communicability Can results be easily observed or described to others? Product Characteristics