CONSUMER JUDGMENT

(FACTORS AND PROCESS )

CONSUMER JUDGEMENT
People do not buy products or services, they buy benefits offered by a product, service, outlet, etc.
Hence we make purchases not for the products themselves, but for the benefits of the problems they solve or the opportunities they offer. Consumers seek bundles of types of benefits: 1.Tangible benefits 2. Intangible benefits

MODELS OF CONSUMER JUDGEMENT

A consumer decision model is a means of describing the processes that consumers go through before, during, and after making a purchase (choice).

Prospect Theory

Expected utility

Asymmetry for gains and losses Framing

Utility functions

THE CONSUMER DECISION-MAKING PROCESS

The EKB model

Input

Information processing Exposure Attention Comprehension Yielding Retention

Problem recognition Search Alternative evaluation Choice Outcomes

A decision process

Decision process variables External influences

Overall model of consumer behaviour

Consumer Judgment - Factors

The decision process

Effects of involvement

Presence Types of decision strategies

Active Inactive

Some other Factors

Compensatory vs. noncompensatory

Brand vs. attribute based processing

Task definition and expectations

Mood

Consumer Judgement & Marketing Strategy

Successful

marketing strategies require a thorough understanding of consumer behaviour Basis for many marketing strategies:

Product positioning Market segmentation New product development New market applications

Some more Strategies

Global marketing Marketing mix decisions Marketing regulation

Acceptance

Maintenance

Preference

Disrupt

Intercept

Capture

Customer-based brand equity pyramid

Intense, active loyalty

Consumer Brand resonance Positive, accessible reactions Consumer judgements Consumer feelings Strong, favourable and unique brand associations

Brand Performance

Brand imagery

Brand Salience

Deep, broad brand awareness

Unique Factors Affecting Consumer

Judgment

Quality

Style consistency

Evocativeness continuous exposure

Experience continuous

CONTEXTUAL FACTORS

All JUDGEMENTS takes place within the context of a certain situation. Therefore, behaviour will not only vary between consumers but the same consumer will exhibit different behaviours from one situation to the next.

Communication situation Purchase situation Usage situation Disposal situation

Variety Seeking and Impulse Buying

Variety seeking
need varies among consumers by

Impulse purchases
Motivation

Dont give me that same old cola, that same old cola-I want a rocknroller!

stimulation level (Osl)

optimal

Use innovativeness

Consequences

APPROACHES TO SEARCH FOR PROBLEM SOLUTIONS

INTERNAL

Memory Thinking

EXTERNAL

Compensatory vs. noncompensatory--can an exceptionally good rating on one attribute outweigh a bad one elsewhere?

Word of mouth, media, store visits, trial

Household Decision Making

Roles/influence

Information gatherers/holders Influencers Decision makers Purchasers Users

 Types

of households (family/non family) Household life cycle Household decision making:

Information gatherer, influencer, decision maker, purchaser, user

Current

and future trends in household consumption

Computers & video games, purchase of services, pets

Household Decision Making

Roles/influence
Information gatherers/holders Influencers Decision makers Purchasers Users
Constructive Strategies of Influence

Manipulative

Borderline

Bargaining

Impression management

Information gathering

Reasoning (sincere)

Authority

Values--desired end states

Emotion

Types of Problems in Consumer Judgment

Presence

Active Inactive

Specificity Generic Selective

Acceptance Acknowledged Unacknowledg ed/ denied

THANK YOU

Presented By: Ashish Nagar Pragati Bindal