y

Inputs (stimuli)
o

significative
The 'real' (physical) aspects of the product or service

symbolic
The ideas or images attached by the supplier

social
The ideas or images attached to the product by society, such as reference groups.

Outputs
o

The consumers actions

Constructs
o

perceptual
Obtaining and handling information about the product or service.

learning
The process of learning leading to the decision itself

Howard Sheth Model of Consumer Behaviour : Howard Sheth Model of Consumer Behaviour Authored By: Anupam Kumar Reader, SMS Varanasi Email: anupamkr@gmail.com 1 Copyright 2010 Anupam Kumar Howard Sheth Model : Howard Sheth Model Attempt to explain rational brand choice behavior within the constraints of Limited Individual Capacities Incomplete Information Three levels of learning /stages of decision making Extensive problem solving Limited problem solving Routinized response behavior 2 Copyright 2010 Anupam Kumar Howard Sheth Model : Howard Sheth Model Extensive Problem Solving Early Stage of Decision Making Buyer has little Information of Brands Buyers Choice Criteria is NOT yet Formed 3 Copyright 2010 Anupam Kumar Howard Sheth Model : Howard Sheth Model Limited Problem Solving Advanced Stage of Decision Making Choice Criteria are now Defined Buyer Undecided about the Best Brand 4 Copyright 2010 Anupam Kumar Howard Sheth Model : Howard Sheth Model Routinized Response Behaviour Choice Criteria are Well Defined Strong Predisposition towards one Brand Little Evaluation of Alternatives by the Buyer 5 Copyright 2010 Anupam Kumar

Howard Sheth Model : Howard Sheth Model Postulates four sets of concepts / constructs or variables Inputs Outputs Hypothetical construct Perceptual Construct Learning construct Exogenous variables 6 Copyright 2010 Anupam Kumar Howard Sheth Model : Howard Sheth Model 7 Copyright 2010 Anupam Kumar INPUTS PERCEPTUAL & LEARNING CONSTRUCT OUTPUTS EXOGENUOUS VARIABLES Howard Sheth Model - Inputs : Howard Sheth Model - Inputs Input Variables consist of three distinct stimuli (information sources) The marketer furnishes Physical brand characteristics (significative stimuli) Verbal or visual product characteristics (symbolic stimuli). The third type is family, reference group, and social class. All three types of stimuli provide inputs concerning the product class or specific brands to the specific consumer. Significative Quality Price Distinctive Service Availability Symbolic Quality Price Distinctive Service Availability Social Family Reference Group Social Class 8 Copyright 2010 Anupam Kumar Howard Sheth Model - Output : Howard Sheth Model - Output The outputs are the results of the perceptual and learning variables How the consumers will response to these variables Purchase Attitude Intention Attention Brand Comprehension Attention Brand Comprehension Attitude Intention Purchase Intention Routinized Response Behaviour Limited Problem Solving Extensive Problem Solving 9 Copyright 2010 Anupam Kumar Howard Sheth Model - Hypothetical Constructs : Howard Sheth Model - Hypothetical Constructs It is the central part of the model Deals with the Psychological Variables Involved with the consumers decision contemplation Perceptual Variables are concerned with Consumer receipt of Information from Input Stimuli and Other Parts of the Model Consumers understanding of the information Interaction between the different variables in the Perceptual and Learning constructs and other sets give the Model its distinctive advantage. 10 Copyright 2010 Anupam Kumar Howard Sheth Model Perceptual Construct : Howard Sheth Model Perceptual Construct Pertain to the way the individual deals with information How the Consumer Receives Information How Consumer Understands Information Stimulus ambiguity When the consumer does not understand the message from the environment Perceptual bias When the consumer distorts the information received so that it fits his or her established needs or experience Significative Inputs Symbolic Inputs 11 Copyright 2010 Anupam Kumar Perception : Perception The process by which an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world How we see the world around us 12 Copyright 2010 Anupam Kumar Perceptual Selection : Perceptual Selection Consumers subconsciously are selective as to what they perceive. Stimuli selected depends on two major factors Consumers previous experience Consumers motives Selection depends on the Nature of the stimulus Expectations Motives 13 Copyright 2010 Anupam Kumar Perceptual Selection : Perceptual Selection Selective Exposure Selective Attention Perceptual Defense Perceptual Blocking Consumers seek out messages which: Are pleasant They can sympathize Reassure them of good purchases 14 Copyright 2010 Anupam Kumar Perceptual Selection : Perceptual Selection Selective Attention Heightened awareness when stimuli meet their needs Consumers prefer different messages and medium 15 Copyright 2010 Anupam Kumar Howard Sheth Model Perceptual Construct : Howard Sheth Model Perceptual Construct Pertain to the way the individual deals with information How the Consumer Receives Information How Consumer Understands Information Stimulus ambiguity When the consumer does not understand the message from the environment Perceptual bias When the consumer distorts the information received so that it fits his or her established needs or experience Overt Search Stimulus Ambiguity Attention Perceptual Bias Significative Inputs Symbolic Inputs 16 Copyright 2010 Anupam Kumar

Howard Sheth Model- Learning Construct : Howard Sheth Model- Learning Construct Learning Construct Category Consumers Goals Information about Brands Criteria for evaluation Alternatives Preferences Buying Intentions Confidence Attitude Motive Choice Criteria Brand Comprehension Intention Perceptual Bias Satisfaction 17 Copyright 2010 Anupam Kumar Learning : Learning Learning refers to any change in the content or organisation of long-term memory and/or behaviour Learning are the changes in an individuals behavior arising from experience A process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior. 18 Copyright 2010 Anupam Kumar Characteristics of Learning : Characteristics of Learning The strength of learning is influenced by: importance involvement mood reinforcement stimulus repetitions imagery 19 Copyright 2010 Anupam Kumar Howard Sheth Model- Learning Construct : Howard Sheth Model- Learning Construct Learning Construct Category Consumers Goals Information about Brands Criteria for evaluation Alternatives Preferences Buying Intentions Confidence Attitude Motive Choice Criteria Brand Comprehension Intention Perceptual Bias Satisfaction Routinized Response Behaviour Limited Problem Solving Extensive Problem Solving 20 Copyright 2010 Anupam Kumar Extensive Problem Solving : Confidence Attitude Choice Criteria Brand Comprehension Intention Overt Search Stimulus Ambiguity Attention Perceptual Bias Attention Brand Comprehension Attitude Intention Purchase 21 Copyright 2010 Anupam Kumar Extensive Problem Solving Routinized Response Behaviour : Confidence Attitude Motive Choice Criteria Brand Comprehension Intention Satisfaction Stimulus Ambiguity Attention Perceptual Bias Attention Brand Comprehension Attitude Intention Purchase 28/10/2010 22 - Anupam Kumar Routinized Response Behaviour 22 Copyright 2010 Anupam Kumar Limited Problem Solving : Confidence Attitude Motive Choice Criteria Brand Comprehension Intention Satisfaction Overt Search Stimulus Ambiguity Attention Perceptual Bias Attention Brand Comprehension Attitude Intention Purchase 28/10/2010 23 Anupam Kumar Limited Problem Solving 23 Copyright 2010 Anupam Kumar Howard Sheth Model : Howard Sheth Model Exogenous Variables These do not properly fall within the Howard Sheth model The Exogenous Variable include: Importance of purchase Personality variables Social class Culture Organization Time Pressure Financial Status 24 Copyright 2010 Anupam Kumar Criticism to Howard Sheth Model : Criticism to Howard Sheth Model The Howard Sheth has only been partially tested. It does not explain the nonsystematic behaviour. The Howard Sheth does recognizes the exogenous factors but explains little on the same. Copyright 2010 Anupam Kumar 25