Unit IV

CONSUMER MODELS
The different models of consumer behaviour can be as follows:
1. ECONOMIC MODEL
The economic model deals with the economical portion associated with the consumers. This
model shows that the consumer is of the opinion to purchase products with the minimum
amount and which can give maximum returns. This model is based on following principles:
 Price effect: Price effect means that the consumer has more demand for the product
which is less in the price and vice versa.
 Substitution effect: Substitution effect means that the consumer has more demand for
the original product when the price of substitution product increases and vice versa.
 Income effect: Income effect means that the consumer has more demand for the product
when the income of the consumers increases and vice versa.

2. PSYCHOLOGICAL MODEL
The psychological model deals with the psyche of the consumers. This model shows that the
consumer mental status changes with time and influences the purchase of the products. This
model is based on the principle of Maslow Hierarchy Need Theory. This model is based on
the need of the consumers which changes with the passage of time & hence the mental
status of the consumer also changes. This model is based on following principles:

a. Physiological needs: These are the basic needs which can be as follows i.e. food,
clothing and shelter.

b. Safety needs: When physiological needs are fulfilled then an individual tries to
achieve safety needs i.e. need for security and safety from physical harms like needs
of insurance and pension.

c. Social\Love and Belonging needs: When physiological & safety needs are fulfilled
then an individual tries to achieve social needs i.e. need to fulfill social formalities for
being accepted by different groups because man is a social animal. The desire here is
to have a sense of love, affection, belonging and acceptance in the society.

d. Esteem needs: When physiological, safety & social needs are fulfilled then an
individual tries to achieve esteem needs i.e. need to feel a sense of accomplishment
and an achievement of respect, status, unique and recognition.

e. Self-actualization needs: When physiological, safety, social & esteem needs are
fulfilled then an individual tries to achieve self-actualization needs i.e. need for
maximum achievement. Self-actualization need means desire to achieve more and
more i.e. achievement of everything in terms one capable to achieve.

3. PAVLOVIAN LEARNING MODEL (Classical conditioning of learning)

This model was given by Ivan Pavlov. According to this model the behaviour can be learned
through repetition. Pavlov proved his statement through the experiment conducted on an
animal dog. Pavlov conducted experiment to know the amount of salvia secreted by an
animal dog. In the first phase he ranged the bell there was no salivation. In the second phase
he ranged the bell as well as presented a piece of meat there was salivation. He repeated this
action. In the third phase he only ranged the bell without the piece of meat there was
salivation. This means the learning has occurred. In the same way learning can occur to the
consumers by the company representative.
The Pavlovian Learning Model can be seen through the following diagram:

Source: http://cdn-6.simplypsychology.org/Pavlov2.jpg

4. INPUT PROCESS OUTPUT MODEL

The input process output model consists of 3 major stages in the form of Input, Process and
Output.
Input
The input stage consist of firm’s marketing effort which means the actions done by the
company related with the manufacturing of the product, cost of the product, availability of the
product and promoting of the product. The company while performing the marketing efforts in
the input stage goes through the influence of political, economic & socio-cultural factors which
comes under the external factors.

Process
The process stage consists of need recognition, pre purchase search and evaluation of
alternatives. The need recognition means the requirement or the problem related with the
consumers. The pre purchase search means the collection of information related with the
different products for fulfilling the requirement or providing the solution related with the
problem of the consumers. The evaluation of alternatives means analyzing the different
informations related with the different products and selecting any one product for fulfilling the
requirement or providing the solution related with the problem of the consumers. The process
stage which consists of need recognition, pre purchase search and evaluation of alternatives
is influenced by the psychological factors and experience level of the consumers. These
portions constitute the decision making process of the consumers.

Output
The output stage consist of purchase which means the actual action related with the buying of
the product made by the consumers. This purchase portion leads to post purchase decision
which means the actual information related with the product after consuming that product.
This post purchase information adds to the information level of the consumers hence acting
as a device for enhancing experience.

The input process output model can be seen as follows:

Firm’s marketing effort Political, economic & socio- External

Input cultural factors factors

Psychological factors Consumer

Need recognition Decision
Process Pre purchase search making
Evaluation of alternatives
Experience

Purchase Post
decision
Output behaviour
Post purchase decision

Source: Images for input-process-output model in consumer behaviour, GOOGLE.

5. SOCIOLOGICAL MODEL
The sociological model consists of a child, family, school\peers, community\cultural, regional
and the process of society. The sociological model can be seen as follows:

Source: Images for sociological model in consumer behaviour, GOOGLE.

The sociological model believes that the unit of the society is the child. The child is firstly
influenced by their family members. The next child is influenced by the school or peers. The
child then has the influence of the community which he belongs to and shows a particular
type of culture. The region then influences the child in the form of place the child belongs to
and this can be reflected by the behaviour of the child. The last factor is the society which is
formed and influences the child behaviour.
The sociological model can be seen as follows:

Understanding

Reflection SOCIET Analysis

Y
Action

Source: Images for sociological model in consumer behaviour, GOOGLE.

The sociological model shows that there is first understanding of the information which leads
to analysis of the information in the form of rejection and selection. The The child or the man
shows response in the form of action hence leading to the reflection of the society.

6. HOWARTH SHETH MODEL

The Howarth Sheth model was proposed by Howarth & Sheth in 1969. The Howarth Sheth
model is the system model, where a human being is analyzed as a system with stimuli as the
input to the system and behaviour as the output of the system. The Howarth Sheth model
consists of Input, Perception, Learning & Output (External & Internal variables).

Input
Input consists of issues related with significative, symbolic & social. Significative means real
physical aspect of product. Symbolic means ideology or image related with product i.e.
quality, service, price & availability of product. Social means influence of family, school,
community, regional & social aspect over the child or human being.
Perception
Perception consists of issues related with the overt search, stimulus ambiguity, attention &
perceptual bias. Overt search means open to view the information and search those
informations (overt means open to view). Stimulus ambiguity means confusion related with
the different stimulus. Attention means giving concentration the stimulus. Perceptual bias
means deviation related the actual perceiving.
Learning
Learning consist of issues related with the motives, confidence, brand comprehension, choice
criteria, attitude, intention and satisfaction. Motives means desire related with the products or
services. Confidence to ask about the information and to collect the information properly.
Brand comprehension means to have the information related with the brand. Choice criteria
means the main ingredients considered for selecting or rejecting the product. Intention means
an act or instance of determining mentally upon some action or result. Satisfaction means the
act of fulfillment of the desire.

Output
Output consists of issues related with the attention, brand comprehension, attitude, intention
and purchase. Attention means the act of attending by directing the mind towards the product.
Brand comprehension means to have and confirm the information related with the brand.
Attitude means the tendency to respond towards the product. Intention means an act or
instance of determining mentally upon some product. Purchase means to go for actual
purchasing of the product.
The Howarth Sheth model can be seen as follows:

INPUT PERCEPTION LEARNING OUTPUT

-Significative, -Overt -Motives, -Attention,

-Symbolic & - search, -Confidence, -Brand
Social -Stimulus brand comprehension,
ambiguity, -Comprehension, -Attitude,
-Attention & -Choice criteria, -Intention and
-Perceptual -Attitude, -Purchase
bias -Intention and
-Satisfaction

Source: slideshare.net

7. ENGEL-BLACKWELL-KOLLAT MODEL
The Engel Blackwell Kollat model was proposed by Engel, Blackwell & Kollat in 1968. The
Engel Blackwell Kollat model is the system model, where a human being is analyzed as a
system with stimuli as the input to the system and environment as the external factors of the
system. The Engel Blackwell Kollat models consist of Input, Information processing, Decision
process & External factors.

Input
The input consists of issues related with stimulus of marketers and others. The stimulus of
marketers can be new product, quality product, cost effective price, availability of product and
sales promotional efforts.

Information processing
Information processing consists of issues related with exposure, attention, acceptance,
retention & comprehension. Exposure means an act of subjecting or an instance of being
subjected to a product or influence related with the product. Acceptance means product facts
received as adequate. Retention means to hold the information related with the product or
the company. Comprehension means an ability to understand the meaning or importance of
something which can be product or the company.

Decision process
Decision process consists of issues related with problem recognition, search, evaluation of
alternatives, choice, outcome and satisfaction \ dis-satisfaction. Problem recognition means
the difficulty of the consumer related with the product. Search means to collect the information
related with the product. Evaluation of alternatives means to analyze the different informations
available related with the product. Choice means to select the best information related with
the product. Outcome means to know the way a thing turns out i.e. consequence related
with the product. Satisfaction \ dis-satisfaction means fulfilment \ un-fullfilment of one's
wishes, expectations, or needs, or the pleasure derived from the product.

External factors
External factors consist of issues related with cultural norms, group influences, family
influences and un-expected circumstances. Cultural norms means the influences related with
the culture over the purchase of the product. Group influences means the influences related
with the group over the purchase of the product. Family influences means the influences
related with the family over the purchase of the product. Un-expected circumstances means
the influences related with the un-expected circumstances over the purchase of the product.

The Engel Blackwell Kollat model can be seen as follows:

 INPUT INFORMATION DECISION EXTERNAL
PROCESSING PROCESS FACTORS

-Stimuli of -Exposure, -Problem -Cultural norms,

marketers & -Attention, recognition, -Group
others -Acceptance -Search, influences,
-Retention -Evaluation of -Family
-Comprehension alternative, influences,
-Choice, -Un-expected
-Outcome, circumstances
-Satisfaction and
Dis-satisfaction

Source: slideshare.net

8. NICOSIA MODEL
The Nicosia model was proposed by Francesco Nicosia in 1966. The Nicosia model is the
system model, where a human being is analyzed as a system with stimuli as the input to the
system and behaviour as the output of the system. The Nicosia model deals with the attitude
of consumer, purchase of product and post purchase behaviour of the consumer. This model
deals with the two sub-fields:
 One sub field deals with the firm attributes & product attributes
 Second sub-field deals with the consumer attributes
This model consists of the following steps:
Field 1 Field 2

Sub-field 1 MESSAGE Sub-field 2 Search

EXPOSURE &
Evaluation
Consumption
Feedback
Field 3
Field 4
Purchase Purchase
Behaviour Decision
Source: slideshare.net