The Process of Making

Decisions
CONSUMER BEHAVIOR
How does a consumer process begins?
The consumer process decision begins when the consumer identifies
a consumption problem that needs to be solved.

PROBLEM RECOGNITION – is the perceived difference between an

ideal and an actual state.
Ideal State - The way things we wanted to be.
Actual State – The way things actually are or real situation.
Consumer Decision Making Process
Consumer Decision Making Process
• Consumer feels that her mobile phone is outdated to
Problem
Recognition
match her needs and wants to buy a new one.

• Consumer talks to some of her friends about getting a

Information
Research
new phone and the type of phone

• Consumer check online and compare sevaral models,

Information
Evaluation
prices, features and user rating.
Consumer Decision Making Process
• Consumer makes her choice based on the features that
Decision
she was looking for.

• Consumer makes the purchase and enjoys her new mobile

Post Purchase phone.
Evaluation
Information Search
Internal Search: process of recalling stored
information from memory.

External Search: the process of collecting information

from outside sources, like magazines, dealers and
ads.
4 Types of Internal Search
1. Recall of Brands – Consumer tends to recall brands (preferential)
2. Recall of Attributes – recall based on variables (accessibility /
availability)
3. Recall of evaluation – recall based on the details or attributes of
the product / services
4. Recall of experience – recall of autobiographical memory.
2 Types of External Search
1. Pre- purchase search - search for information that aids a
specific acquisition Decision
2. On-going search - a search that occurs regularly,
regardless of whether the consumer is making a choice.
Key aspects of the external search
process
- The source of information;
- The extent of external search;
- The content of external search;
- Search typologies;
- The process or order of the search.
Where can you acquire information
1. Retailer Research
2. Media and Social Medial Research
3. Interpersonal Research
4. Independent Research
5. Experiential Research
Six factors increase our motivation to conduct
an external
search:
1. Involvement and Perceive risk
2. Perceived cost and Benefits
3. Consideration set
4. Relative brand Uncertainty
5. Attitudes toward the search
6. Level of discrepancy of new information
Quiz 7/22/17
1. Enumerate the consumer decision making process.
2. Explain the 4 types of internal search:
A. Recall of Brands
B. Recall of Attributes
C. Recall of evaluation
D. Recall of experience
3. Explain the 2 types of external search
A. Pre- purchase search.
B. On-going search