MKT 750

Consumer Behavior
Instructor: Dr. West
Office Hours & Location: W 11:00 12:00, Fisher 544
Phone & Fax: 292-0568 (O) 292-0879 (F)
E-mail: west@cob.osu.edu

Agenda
Introductions
Class website: classes.osu.edu
Syllabus highlights
Course overview
Assignment

Syllabus Highlights
Course Objective:
To develop a deeper understanding of and
appreciation for consumers
To learn how to better serve your customers

Class materials:
Consumer Behavior, 9th edition (Blackwell,
Miniard, & Engel)
Harvard readings packet

Syllabus Highlights
Requirements:
Individual Components
Participation
Memo & Case Write-up @ 50 points each
Two exams @ 100 points each

Points
50
100
200

Team Components
Demographic research project
Advertising project

75
75
500

Honor Code
What is academic misconduct?
Any activity that compromises the
academic integrity of the institution or
subverts the educational process.

How will it be dealt with?

You will be dismissed from the class.
The University Committee on Academic
Misconduct will be notified.

Keys to Success
Come to class prepared
Read the material in advance
Keep up on assignments

Treat others professionally

Show pride in your work
Be respectful

Please refrain from:

1.
2.
3.
4.
5.

Coming in late
Leaving class early
Sidebar conversations
Cellular phone interruptions
Eating food in the classroom

Considered appropriate:
1.
2.
3.
4.

Be considerate of others
Get involved and participate
Strive to be a good teammate
Manage your time wisely

Course Overview
What is consumer behavior?
Why study it?
How does this relate to marketing?
Some essential tools

What is Consumer Behavior?

Activities people undertake when obtaining,
consuming, and disposing of products and
services
--- Blackwell, Miniard, & Engel 2001

The study of the cognitive, emotional, and

physical activities associated with the
perception, evaluation, choice, acquisition,
use, and disposition of goods and services.

PERSONAL INFLUENCES
Personality
Values
Resources
Opinions
Feelings
Knowledge

Life-stage
Income
Attitudes
Motivations
Past Experiences

OBTAINING
How you decide you want to
buy
Products you consider buying
Where you buy
How you pay for product
How you transport product
home

SITUATIONAL INFLUENCES
Brand
Advertising
Promotions
Quality
Service
Product
Packaging
Assortment
Availability

Product Features
Display
Price
Store Ambiance
Convenience
Loyalty Programs
Goals
Involvement

SOCIAL INFLUENCES
Justification
Culture
Family

Word of Mouth
Ethnicity
Peer Groups

CONSUMING

DISPOSING

How you use product

How you store the product in
your home
Who uses the product
How much you consume
How product compares with
expectations

How you get rid of remaining

product
How much you throw away
after use
If you resell items yourself or
through a consignment store
How you recycle products

Consumer Behavior

What is Consumer Behavior?

An interdisciplinary field
Economics
Physiology
Cognitive
Psychology

Social
Psychology
Biology
Anthropology

Sociology

Computer
Science

Why Study Consumer Behavior?

The Marketing Concept:
Marketing is the process of planning and executing the
conception, pricing, promotion, and distribution of
ideas, goods, and services to create more satisfying
exchanges than the competition.

Corollary:
Success in the marketplace requires attracting,
satisfying, and retaining customers.

Why Study Consumer Behavior?

No brand/product can appeal to all
people.
Firms must segment the market into groups
with relatively homogeneous preferences and
target one or more groups.
Firms must position their offerings in the
hearts and minds of these individuals in a
favorable way.

Why Study Consumer Behavior?

Our guesses about people are
inaccurate.
This is because human nature leads us to
believe that other people think like us
false consensus
People tend to perceive differences even
when they dont exist
stereotyping

Why Study Consumer Behavior?

Therefore, we must strive to
Identify customer needs and wants
Engage in research
Understand how customers will respond to
different messages and environments
Learn about and apply theories
Anticipate where preferences are headed
Staying informed

Connections to Marketing
Segmentation & Targeting
Customer Acquisition & Retention
Building Loyalty

Positioning & Repositioning

New Products and Shaping Consumer
Preferences
Customer-based Brand Equity

Connections to Marketing
Communicating with your customers
Influence & Persuasion
Generating buzz

Pricing your product

Framing
Value Pricing

Building community
Added value through social interaction
with like-minded individuals

Essential Tools:
Consumer Decision Making
Demographics / Trends
Family Life Cycle
Information Processing

Consumer Decision Making

Consumer-side
Need
Recognition

Search

Alternative
Evaluation

Choice

Post-Purchase
Evaluation

Marketer-side
Awareness

Interest

Desire

Action

Consumer Decision Making

First-time versus Repeat purchase?
Rational versus Emotional purchase?
Functional versus Ego-expressive?
Level of Involvement?

Essential Tools:
Consumer Decision Making
Demographics / Trends
Family Life Cycle
Information Processing

Demographic Trends:
Aging population

Cultural Diversity & Globalization

Lifestyle Trends:
Staying connected
Cellular phones
Instant messaging

Health & Fitness

Atkins
Water

Essential Tools:
Consumer Decision Making
Demographics / Trends
Family Life Cycle
Information Processing

Family Life Cycle

Single

Newly
Married

Full

Empty
Nest

Nest

Essential Tools:
Consumer Decision Making
Demographics / Trends
Family Life Cycle
Information Processing

Consumer Information Processing

Stimuli

Exposure
Attention
Comprehension
Acceptance
Retention

Purchase

Assignment
Carefully read the syllabus!
There will be a quiz on Thursday

Chapters 1 & 2 of the textbook