

Surveys come in several different forms


Mail surveys - inexpensive, response rates
typically quite low—typically from 5-20%.

Phone-surveys - higher response rates,
not many questions can be asked because
many answer options have to be repeated
and few people are willing to stay on the
phone for more than five minutes.

Personal interviews - in-depth questions,
in-depth responses, allow elaboration and
follow-up questions, but costly and
vulnerable to interviewer bias.
 Surveys
ADVANTAGES DISADVANTAGES
• Mail: • Mail:
Low cost; ability to show text and Slow; low response rate
graphics
• Telephone:
• Telephone: Cannot show stimuli; can only ask
Moderate cost; ability to screen, a limited number of questions;
select respondents meeting question answer options have to
desired criteria be repeated
• Supermarket intercept:
• Supermarket intercept: More expensive than most other
Able to reach more potential survey research (but less costly
respondents; able to pre-screen than focus groups and
respondents for desired criteria experiments).

• Online: • Online:
Conditional branching, fast, limited Respondents often fail to read
data entry instructions
• Online research methods.
• Some consumers may be more
comfortable with online activities than
others—and not all households will have
access.
• it is very difficult—if not impossible—to get
respondents to carefully read instructions
and other information online—there is a
tendency to move quickly.
 Other research methods
ADVANTAGES DISADVANTAGES
• Experimentation • Experimentation
Able to eliminate extraneous Expensive; difficult to set up; limited
influences and identifycauses of information collected in one setting
choice and/or behavior
• Observation
• Observation Cannot get at consumer’s thoughts;
Consumer is in natural environment labor intensive and expensive

• Focus groups • Focus groups

Flexible method to gauge consumer Expensive; unable to generalize from
response to entirely new products and small sample size; respondents are
questions; issues of interest to vulnerable to social influence so that
respondents can be identified without answers are not independent. NOTE
specific prior knowledge of specific THAT THE TEXTBOOK SAYS THAT
questions to ask FOCUS GROUP COSTS ARE LOW.
THIS IS NOT THE CASE FOR
LARGE BUSINESSESS THAT USE
PROFESSIONAL SERVICES.

• In-depth interviews • In-depth interviews

Able to explore consumer feelings in Expensive; small sample size; unable
depth; more independent than focus to generalize
groups
 Observation of consumers - a powerful tool
• For example, some American manufacturers were
concerned about low sales of their products in Japan.
Observing Japanese consumers, it was found that many
of these Japanese consumers scrutinized packages
looking for a name of a major manufacturer—the product
specific-brands that are common in the U.S. (e.g., Tide)
were not impressive to the Japanese, who wanted a
name of a major firm like Mitsubishi or Proctor &
Gamble. Observation may help us determine how much
time consumers spend comparing prices, or whether
nutritional labels are being consulted.
• A question arises as to whether this type of “spying”
inappropriately invades the privacy of consumers.
 
Type of customer

 end user.
 retailer, wholesaler,
 manufacturer, service
 government, military, non profit,
 CONSUMER BEHAVIOR

• the study of WHAT, WHY, WHERE

WHEN, and HOW people do or do not
buy.
• It blends elements from psychology,
sociology, social, anthropology and
economics. It attempts to understand the
buyer decision making process, both
individually and in groups.
 It studies
• characteristics of individual consumers
• influences on the consumer from groups
such as family, friends, reference groups,
and society in general
• activities people undertake when
obtaining, consuming, and disposing of
products and services
ALL HELP TO PROMOTE A UNIQUE
SELLING POINT TO ITS POTENTIAL
CUSTOMERS
 Factors Influencing Buying Behaviour:

Cultural: Personal:
• Culture. • Age/ Life cycle stage.
• Sub – culture. • Occupation.
• Social class. • Economic circumstances.
• Lifestyles.
Social: • Personality/ self concept.
• Reference groups. Psychological:
• Families. • Motivation.
• Roles/ Status. • Perception.
• Learning.
• Beliefs/ Attitudes
 Culture features
1. Body language 12. Foods
2. Religions 13. Eating habits
3. Importance of time 14. Nature and environment
4. Values of life protection
5. Literature 15. Concept of self
16. Work ethic
6. Concept of leadership 17. Concept of beauty
18. Music
7. Holiday customs 19. Styles of dressing
8. Concept of fairness 20. General world view
9. Family culture 21. Concept of personal space
10. Childraising beliefs 22. Rules of social etiquette
11. Notions of modesty
 Social Factors
Reference Groups:
A person’s reference group consist of all the groups that
have a direct/ indirect influence on the person’s attitude/
behaviour.
Reference groups are either
Membership Group.
Aspirational Group.
Dissociate Group.
 Membership Groups:
groups having direct influence on a person.

– Primary: Family/ Friends/ Neighbours/ Co-workers

with whom that person interacts continuously/
informally.
– Secondary: Formal/ Less continuous interaction such
as professional/ relational/ trade unions/ religious
groups.
 Family:
 Most important customer-buying organization in society.
 Also most important primary reference group.
 Each buyer has two families
1. Family of Orientation (parents/ siblings).
It gives a person
• Orientation towards religion/ politics/ economics.
• Source of personal ambition/ self worth/ love.
2. Family of Procreation (spouse/ children).
It influences a buyer based on position:
• Husband: may dominate decision related to
insurance/ automobiles.
• Wife : may dominate decision related to furniture/ appliances.
• Equal : for decision related to vacation/ housing.
• Above patterns may change due to societal changes.
• Influence of children in buying behaviour is increasing.
 PERSONAL FACTORS
EFFECTING CONSUMER BEHAVIOUR :

• Age/Life cycle stage.

• Occupation.
• Economic circumstances.
• Life style.
• Personality/ Self concept.
Examples:
Life cycle stage
• Bachelor: Young/ Single people not living at home.
– Few financial burdens.
– Fashion opinion leaders.
– Recreation oriented.
– Buy basic kitchen equipment/ furniture/ vacations.
• Newly Married Couple: Young/ No children.
– Better off financially than they would be in near future.
– High purchasing rate of consumer durables- furniture/
car/ refrigerator (may be highest purchasing rate).
• Full Nest 1: Youngest child under six.
– Home purchase.
– Low liquid assets.
– Dissatisfied with financial positions & savings.
– Interested in new products.
– Influenced by advertisements.
– Buy: washing m/c, T.V., Baby food, toys.

• Full Nest 2: Youngest child above six years.

– Better financial position.
– Lower influence of advertisements.
– Buy large size packs/ multiple units.
– Buy: Food, Cleaners, Educational Accessories
 Economic Circumstances:
Affects choice of products.
Components of economic circumstances could be
• Spendable income (level/ stability/ time pattern).
• Savings & Assets (including liquid assets).
• Attitude towards ‘Spending Vs Savings’.
Marketers of income sensitive goods need to pay attention
towards trends in
• Personal income.
• Savings.
• Interest rates.
In a recession, marketers may need to
• Redesign.
• Reposition.
• Reprice their products
• Lifestyle: (Psychographic):
• Persons from same subculture/ occupation/ may lead
different lifestyles.
• Lifestyle: Person’s pattern of living in the world,
expressed in the person’s Activities/ Interests/ Opinion.
• Lifestyle portrays the whole person’s interacting with
his/her environment.
• Marketers search for relationship between their products
& lifestyle groups (coefficient of correlation, r > 0.7).
• Lifestyles classified through frameworks. - AIO
Framework and VALSI Framework.
• Personality / Self Concept:
• Each person has a distinct personality that influences his/ her buying
behaviour.
• Personality implies a person’s distinguishing psychological characteristic &
enduring responses to his/her environment.
• Described by traits such as:
• Self confidence.
• Dominance.
• Autonomy.
• Deference.
• Sociability.
• Defensiveness.
• Adaptability.
• Personality may be variable in analyzing consumer behaviour provided
personality types can be accurately classified & their direct co-relation to
product/ brand choices indicated.
• Related to personality is the person’s self concept.
• Self-concept is a person’s image about him/her self (self image).
• Marketers need to develop communication strategies so that:
• Advertisements/ Communication appeal to personality traits
• Brand/ Products image relates target market’s self image.
Phap Ngu

Phap Ngu
• In Japan, on the other hand, groups of
men and women may take steam baths
together without perceived as improper.
On the other extreme, women in some
Arab countries are not even allowed to
reveal their faces. Notice, by the way, that
what at least some countries view as
moral may in fact be highly immoral by the
standards of another country.
• For example, bowing and a strong desire
to avoid the loss of face are unified in their
manifestation of the importance of respect
• One American spy was intercepted by the
Germans during World War II simply
because of the way he held his knife and
fork while eating.
• For example, within the Muslim tradition,
the dog is considered a “dirty” animal, so
portraying it as “man’s best friend” in an
advertisement is counter-productive.
For example, while white symbols purity in
the U.S., it is a symbol of death in China.