MINISTRY OF MANPOWER

DIRECTORATE GENERAL OF TECHNOLOGICAL EDUCATION

NIZWA COLLEGE OF TECHNOLOGY
DEPARTMENT OF BUSINESS STUDIES

BAMK 2102 Consumer Behavior

Chapter No 3
OVERT BEHAVIOUR
Outcomes covered:
4. Identify the activities that consumers carry out during the consumer buying process
17. Analyze the methods marketer employ to influence consumers decision making.

Topics covered:
1. Meaning of overt behavior
2. Importance of overt behavior
3. Models of adoption/purchase process
4. Buyer decision process for new products-adoption categories
5. Behavior sequence of a consumer goods purchase

6. Methods to identify the consumer motives

7. Buying roles
8. Types of buying behavior

Course Tutor: Dr.V.Vishnukanth Rao, Mr.Mushtaq Ahmed.

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1. What is overt behavior?

Overt behavior refers to the observable and measurable responses or actions of consumers. This is
external and can be observed directly. Marketers refer to purchasing behavior, shopping behavior and
usage behavior. The success of marketing strategies depends on changing overt consumer behavior, not
just influencing affect and cognition.

2. Importance of overt behavior

1. Affect and cognition need not lead to overt behavior. E.g. consumers often have favorable attitudes
about products, but do not buy them.
2. Behavior precedes and causes affect and cognition in some cases. E.g consumer tries out a
friends laptop
3. Marketing strategies cannot succeed without influencing overt consumer behavior.
Marketing strategies are designed to increase the sale of products. This is accomplished by;
a) Increasing the frequency of purchase and use by existing customers
b) Maintaining purchase and use levels of existing customers and increasing purchase and use by
new customers
c) Increasing purchase and use by both existing and new customers

3. Models of adoption/purchase process

Awareness

Attention

Awareness

Comprehension

Interest

Interest

Conviction

Desire

Evaluation

Action

Action

Trial
Adoption

These cognitive variables are the main concern of marketing and the primary controllers of behavior. The
marketing task is to change these cognitive variables and move consumers through each stage until a
purchase is made.

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4. Buyer decision process for new products

A new product is a good or a service or idea that is perceived by some potential consumers as new.
Consumers learn about products for the first time and make decisions on whether to adopt it. Adoption
process is the mental process through which an individual passes from first learning about an innovation to
final adoption
Stages in the adoption process
Consumers go through five stages in the adoption of a new product;
1. Awareness: consumer becomes aware of the new product, but lacks information about it.
2. Interest: the consumer seeks information about the new product
3. Evaluation: the consumer considers whether trying the new product makes sense
4. Trial: the consumer tries the new product on a small scale to improve estimate of its value
5. Adoption: the consumer decides to make full and regular use of the new product
Adopter categories based on the relative time of adoption
People differ greatly in their readiness to try new products. People can be classified into the adopter
categories shown in the figure.

2.5%

13.5%

Innovators

Early
adopters

34%

34%

16%

Early
majority

Late
majority

Laggards

Time of adoption
1. Innovators are the first 2.5% of the buyers to adopt a new product. Innovators are venturesome.
The try new ideas at some risk. They are technology enthusiasts. They do not need much
persuasion. They are happy to conduct alpha and beta testing and report on early weaknesses.
Innovators tend to be relatively younger, better educated and higher in income. They rely more on
their own values and judgment. Innovators are less brand loyal. They have a high range of
interests and are socially mobile.

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2. Early adopters comprise 13.5% and are guided by respect- they are opinion leaders in their
communities and adopt new ideas early but carefully. They are visionaries and search for new
technology that give competitive advantage. They are less price-sensitive and are willing to adopt
the product if given personalized solutions and good service support. They have a high status and
are fairly well off. They are highly respected in local society and are often asked for their opinions
and advice.
3. The early majority (34%) are deliberate. They adopt new ideas before the average person. They
are pragmatists who adopt the new technology when its benefits are proved and a lot of adoption
has taken place. They have contact with mass media and sales people.
4. The late majority (34%) are skeptical. They adopt an innovation only after a majority of people
have tried it. They are conservatives who are risk averse and price sensitive. They are below
average in terms of income, status and education.
5. Laggards (16%)are traditionally bound. They are suspicious of changes and adopt the innovation
only when it has become something of traditional itself. They resist the innovation. They tend to be
older and from lower socio-economic group and are less wealthy.

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5. A common behavior sequence of a consumer goods purchase in a retail store

Consumption stage

Types of behavior

Examples of behavior

Prepurchase

Information contact

Read newspaper, magazine, listen to radio

commercials, TV, sales persons

Funds access

Cash, check, credit card, loan etc

Purchase
Store Contact
Locate outlet, travel to outlet, enter outlet

Product contact

Transaction

Post purchase

Consumption and disposition

Communication

1.

Locate product in the store, obtain product,

take to check-out counter

Exchange funds for product, take product

Consume/use product, dispose of packaging,

repurchase
Tell others of product experience, provide
other information to the firm

Information contact
Consumers come into contact with information intentionally or accidentally about products, stores or
brands. This stage includes behaviors such as reading newspaper, magazines, surfing company
websites, listening to radio, watching TV commercials and talking to sales people and friends.
Marketers should increase the probability that consumers will observe and attend to the information.
Consumers also search for information about products, brands, stores and prices.

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2.

Fund access : It includes;

a) The methods consumers use to pay for particular purchases (cash, bank withdrawal, credit card
like Visa, Master card, American Express, debit card, bank loans, or store charge accounts)
b) The marketing strategies to increase the probability that consumers will access funds for purchase
(locating ATMs in hypermarkets, liberal credit terms, deferred payment plans, gift certificates,
discount for cash purchases)

3.

Store contact
Store contact includes;
a) Locating the outlet: selecting convenient locations in high traffic areas with ample parking outlet
b) Traveling to the outlet: carnivals in mall parking lots, or other entertainment attracts potential
customers to the store.
c) Entering the outlet: tactics are used to get the potential customer physically into the store.
Advertised sales sale signs in store windows, door prizes, music, smell are commonly used.

4.

Product contact
Many methods to accomplish product contact involve;
a) Push strategy such as trade discounts and incentives to enhance retailers selling efforts
b) Pull strategies- offers and discounts to encourage the customer to purchase the manufacturers
brand.
Three behaviors are necessary for a purchase to occur;
1. Locate the product or brand in the store (store directories, end of aisle displays, in-store signs, help
consumers contact with the products)
2. Physically obtain the product or brand: attractive, eye-catching packaging and product appearance
influence the stimuli of the consumer. Behavior of sales personnel affect point of purchase
3. Take the product or brand to the point of exchange: (check-out counter) Parking vouchers are
usually validated at this location, sales people assist the buyer to check-out and help arrange
financing)

5.

Transaction

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Consumers funds are exchanged for products and services. Providing payment facilities, use of
express check-out lanes, electronic scanners to decrease time, contest coupons etc.

6.

Consumption and disposition

This varies according to the product-durable and nondurable. For non-durable packaged goods,
tactics include the use of in or on-package coupons to encourage the consumer to repurchase the
same brand. Proof of purchase seals have been used to encourage consumers to purchase the same
brand repeatedly, thereby obtaining free gifts.
For durable goods, proper instructions on the care and use of the product may be useful because they
help the consumer receive full product benefits. High quality service and maintenance provided by the
seller help to develop long term relationships.

7.

Communication
Marketers want consumers to;
1) Provide the company with marketing information and
2) Tell potential consumers about the product and encourage them to purchase it.

6. Methods to identify the consumer motives

Marketers and consumer researchers use the following technique or methods for exposing the hidden
motives of consumers
1.

Third person test: The respondent is encouraged to reply through some third party. Good reasons
are socially acceptable. (e.g. to buy environmentally friendly products). Real reasons are not socially
acceptable. While good reasons will probably be given in response to a direct question like Why did
you buy this? The answers may be partially true. There may be a real reason for behavior that either
the respondent is unwilling to admit or unable to recognize. An indirect question is What kind of
people buy this? Or Why do people buy this?.

2.

Word association test: This is also known as free association. This involves asking a series of words
to consumers who state other words that come into their minds. This test can be used to determine
consumer attitudes towards products, stores, advertising themes, product feature and brand names.
For example; word associated with Volvo is safety.

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3.

Psychodrama: The consumer is asked to play a role and they are given a complete description of the
circumstances. For instance, the role-playing of respondents to depict two alternative painkillers with
other respondents playing the role of the pain. How the painkiller tackles the pain lead to advertising
campaigns.

4.

Cartoon test: Consumers are presented with a rough sketch showing two people talking.
Presentation of one by words is written in a speech balloon. The other persons balloon is empty and
the consumer is asked how the other person replies. The idea is that consumers own feelings are
projected through that reply.

Ahmed says Nokia

mobile is better than
Samsung

7. Buying roles
There are seven roles people play in a buying decision;
1. Initiator: A person who first suggests the idea of buying the particular product or service.
2. Gatekeeper: individual who control the flow of knowledge either proactive in collecting information
or by filtering it.
3. Influencer: a person who view or advice influences the decision
4. Decider: a person who decides a buying decision; whether to buy, what to buy, how to buy, where
to buy etc.
5. Buyer: person who actually makes the actual purchase
6. User: a person who consumes or uses the product or service
7. Customer: person who buys the same brand repeatedly and shows loyalty to the same brand and
shop.
8. Types of buying behavior
High involvement
Significant differences between Complex buying behavior

Low involvement
Variety-seeking buying behavior

brands
Few differences between brands

Dissonance-reducing

buying Habitual buying behavior

behavior

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1. Complex buying behavior

Consumers go through complex buying behavior when they are highly involved in a purchase and aware of
significant differences among brands. Consumers are highly involved when the product is expensive,
bought infrequently, risky and highly self-expressive. Consumer does not know much about the product
category. E.g laptop, disc storage, screen resolution, 320GB memory etc.

2. Dissonance-reducing buying behavior

Consumer is highly involved in a purchase but finds little differences in the brands. The high involvement is
based on the fact that the purchase is expensive, infrequent and risky. Buyer will shop around to learn what
is available and buy quickly because brand differences are not there. The buyer responds primarily to a
good price or to product inconvenience. Example; carpet or blanket purchase.

3. Habitual buying behavior

Many products are bought under conditions of low consumer involvement and the absence of significant
brand differences. Consumers have no involvement in this product category. Example; salt. They go to
store and buy the brand. Consumers have low involvement with most low-cost, frequently purchased
products. Consumers do not form a strong attitude toward a brand but select it because it is familiar.
Example: a juice with vitamins

4. Variety-seeking buying behavior

These buying situations are characterized by low consumer involvement but significant brand differences.
Consumers do a lot of brand switching. Example; purchase of cookies. The consumer has some beliefs,
chooses a brand of cookies, without much evaluation and evaluates it during consumption. Brand switching
occurs for the sake of variety.
References:
1. Course materials prepared by Mr. Renjith Kumar and updated by Mr. Musthaq Ahmed in the year 20132014 semesters.
2. Martin Evans, Ahmad Jamal, & Gordon Foxall, Consumer Behavior, 2006, John Wiley & Sons,

England.
3. Paul J. Peter and Jerry C Olson, Consumer Behavior and Marketing Strategy, Eighth edition,

2008, Mc Graw Hill International edition, Singapore

4. Philip Kotler, Marketing Management, Analysis, Planning, Implementation and Control, Prentice

Hall of India Pvt Ltd.

5. Gary Armstrong and Kotler Philip, Marketing, An Introduction, 8th edition, 2007, Pearson Prentice

Hall, New Jersey

6. Jim Blythe, Principles and Practice of Marketing, 2008, Thomson Learning, London

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