Consumer Behavior V Scholarly Activity

Unit V: Group and

Situational Effects

Course Learning Objectives for Unit V

3. Explain how consumers interpret information about products and people.

3.1 Explain how the consumer buying process model relates to consumer interpretation of information about products or services. 3.2 Describe how a consumer’s interpretation of a company’s marketing efforts influence consumer buying.

4. Examine how consumers are influenced by values as members of a particular culture. 4.1 Explain how external groups or cultural beliefs could influence consumer buying.

8. Analyze how consumers evaluate product selections. 8.1 Summarize how group and situational factors impact consumer buying.

Situational Effects on Consumer Behavior

• Consumption situation: This includes a buyer, seller, product or service, reasons for purchase, and how the environment makes the consumer feel.

• Open rates: This is the percentage of people who open e-mails from marketers.

• Time poverty: Consumers feel increasingly pressed for time.

Clock (Tumisu, 2017)

Shopping Orientation

General attitudes about shopping are based on the criteria below.

• Attitudes are based on social experiences, sharing of common interests, interpersonal attraction, instant status, the thrill of the hunt

• Showrooming: This is when shoppers visit a store to pick out what they want and then find a cheaper price online.

Shopping cart (MarcoPomella, 2015)

Retail Theming Each store has a theme and aims to entertain its shoppers.

• Themes: Landscape themes, marketscape themes, cyberspace themes, mindscape themes

• Store image: Location, merchandise suitability, knowledge of sales staff

• Atmospherics: Conscious designing of space

Retail boutique (Hilary_eldridge, 2016)

Spontaneous Shopping

• Mobile shopping apps: Provide a way for retailers to guide shoppers through the experience

• Unplanned buying: Unfamiliar with a store’s layout or under pressure

• Impulse buying: Seeing an item and not being able to resist purchasing it

• Point of purchase stimuli: Elaborate product display or demonstration (e.g., free samples, coupons)

Social Power of Groups

• Social power: This is the capacity to alter the actions of others, including referent power, information power, legitimate power, expert power, reward power, and coercive power.

• Normative influence: The reference group helps to set and enforce standards of conduct.

• Comparative influence: This affects members’ decisions about a product.

Brand Communities

These are groups of consumers who share a set of social relationships based on usage of a product.

• Consumer tribe: A group of people who share a lifestyle

• Collective value creations

• Membership reference group vs. aspirational reference group

Community (Geralt, 2016)

Conformity

• Conformity is a change in beliefs or actions as a reaction to real or imagined group pressure.

• Pressures include cultural pressures, fear of deviance, commitment, group unanimity, susceptibility to interpersonal influence

• This can result in collective decision-making.

Military members (Skeeze, 2004)

Business-to-Business Decision-Making • Organizational buyers: These are people who

purchase goods and services on behalf of companies. • Purchasing decisions are much different in business-

to-business (B2B) scenarios. • Buy class theory of purchasing: This divides

organizational buying decisions into the following categories: – the level of information he or she must gather, – the seriousness with which he or she must consider

alternatives, and – the degree to which he or she is familiar with the

purchase.

Family Decision-Making

• Family decision-making: Impact on purchases due to each individual having a differing opinion

• Product or service must be marketable to all

• Can include extended family as well as pets

• Consensual purchase decision vs. accommodative purchase decision

• Sex roles impact decision-making

References Geralt. (2016). Silhouettes [Image]. Retrieved from

https://pixabay.com/en/silhouettes-person-district-1186996/

Hilary_eldridge. (2016). Store Georgetown [Photograph]. Retrieved from https://pixabay.com/en/store-georgetown-dc-facade-life-1542980/

MarcoPomella. (2015). Supermarket ecommerce [Photograph]. Retrieved from https://pixabay.com/en/supermarket-ecommerce-expense- 2158692/

Skeeze. (2004). Soldiers [Image]. Retrieved from https://pixabay.com/en/soldiers-military-attention-salute-559761/

Tumisu. (2017). Time management [Image]. Retrieved from https://pixabay.com/en/time-management-clock-efficiency-1966421/

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