Explain how marketers use personality in marketing products and services ?

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This is the theory of planned behavior – Fishbein and Azjen (1975).

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Consumer behavior deals with the psychology of marketing. It examines how a person’s mind influences the purchase decision-making process. Both psychology (the study of the mind) and social psychology (the study of social phenomena) have an impact on buyer behavior.

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Consumer behavior seeks to understand consumers (why and how they make their decisions). Marketing takes this information and incorporates it into marketing messages, product development, etc.

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The consumer decision-making process can be simple or complex, depending on involvement. Involvement can be either high or low. High involvement requires additional processing and information, such as when one is considering purchasing a new car. Low involvement requires little thinking and a decision can be made almost instantaneously. For example, when one wishes to buy a soft drink from a vending machine.

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The problem recognition phase begins when a need or want is determined. This can come from internal or external signals. An internal signal can be one’s stomach growling from hunger. An external signal can be seeing an ad for a restaurant, which serves to remind someone that they haven’t eaten lunch.

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The length of time that the information search phase takes will depend on the type of product and knowledge of the product category. For many products, especially those the buyer may hold a strong loyalty toward, the process is quick.

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The evoked set model outlines how the information search process can take place. This also ties in with the objectives that many products seek with their advertising. If a product is not in a buyer’s known brand set, the chances of that buyer selecting an unknown brand is slim.

Advertisers also seek to move products that are known but are overlooked or forgotten about due to inexperience with the brand.

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During the evaluation stage, consumers assign weights to the different attributes (based on what is important to them) and rank brands.

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Unexpected aspects that can alter the decision include gaining new information such as: the price being higher when reaching the store (or at check-out), an item that is out of stock, or a lower price on an acceptable but not chosen brand.

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Cognitive dissonance is the emotional distress buyers feel after making a high-involvement purchase decision. This is also referred to as buyer’s remorse and occurs when prepurchase beliefs and actual behavior do not match. For example, when a consumer purchases a new HDTV and upon installing it at home, discovers that the picture does not look as good as it did at the store. To combat this, retailers and manufacturers have been informing consumers that they must also have an HD video source. Consumers were buying flat screen TVs only to be disappointed – their reactions included returning the product for a refund. Accenture, a technology consulting firm, found that about 95% of electronics returned by consumers were for reasons other than defects.

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The decisions that consumers make are influenced by personal, psychological, situational, and social elements. These will be discussed in more depth in the coming slides.

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Self-identity – The concept of your ideal self and what you wish to be can influence the types of product that you buy. (Use fashion or technology as an example)

Personality – Most of us have our own personality that helps to shape and guide us in our lives and in the products we purchase. Personality is expressed by our behaviors.

Lifestyle – The way that we choose to spend our time and personal resources (money). Lifestyle influences our choice in the products we buy and media we consume.

Age and life stage – A person’s age alters their product selections (not just the types of product, but also the brands). Life stage, which involves the events experienced by individuals, can play a similar role. Couples that waited until late in life to have children will be purchasing the same types of product that younger couples will purchase (cribs, strollers, etc.), but they may look at the options differently.

Vocation – A person’s occupation impacts the types of product purchased. Doctors buy different types of product than mechanics or clergy do. The reason is not solely due to differences in income, but is due primarily to experiences.

Affluence – A person’s financial means alters what products can be considered. A person with a $35,000 income may want a Ferrari, but in most cases, they cannot afford to purchase one. A consumer with an income of $250,000 may not consider the products that the person earning $35,000 would.

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Perception is a person’s cognitive sense of received stimuli that can influence behaviors. Many people can recall scents or sounds from their childhood that remind them of a brand. Often the stimuli will be processed subliminally (below the threshold of consciousness) but can have an impact on decision making.

Motivation is what drives people to take action to fulfill a want or need. This will be covered more in the next slide, which examines Maslow’s Hierarchy of Needs.

Attitude is a state of readiness that influences how we respond to a stimuli. Attitude is developed from one’s experience and is comprised of three components: feelings, actions, and knowledge. A belief is a sense of truth about something – it is what individuals know, and can influence their attitudes.

Learning includes four elements: drive (internal stimulus that encourages action), cue (environmental stimulus that encourages action), response (consumers response to drive and cues), and reinforcement (positive feeling that is the result of taking action). Marketers use the knowledge of these four elements to drive buyer behavior.

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Maslow’s Hierarchy of Needs is a psychological model that argues that people must solve their needs in a predetermined level based on importance. Deficient needs must be met before people can be concerned about the needs that are higher up on the hierarchy. For example, if a person has no food or water, they will worry about solving these needs before worrying about their social needs (friendship, love, etc.)

Physiological Needs are the most basic and include the elements of survival (food, water, sleep, breathing, etc.)

Once physiological needs are met, humans turn to Safety needs, which takes into account our need for order, security (personal and job). These needs also include financial security and health. When this need level is achieved, humans turn toward social needs, which are the emotional relationships of friendship, love, and a sense of belonging (such as to a group or organization). In this stage people seek out sexual intimacy, which differs from the desire of sex that is found in ones physiological needs.

When social needs are met, humans seek more in the way of esteem needs, which is the desire for respect and a sense of belonging or the feeling of making a contribution to a society.

Self actualization is the need a human has to reach their full potential. Maslow noted that in his study (which lead to the development of his hierarchy) very few people reached the self-actualization stage. But those who reach this level are motivated by wisdom and seek to find meaning in things around them.

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Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

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OBJECTIVE 3

What are the different categories of consumer problem solving?

DEFINED

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Consumer Problem Solving is how someone comes to a conclusion about a situation. This is determined by what kind of decision
a consumer is
facing.

E X P L A I N E D

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CONSUMER PROBLEM SOLVING

Low Involvement

High Involvement

Routine

Limited

Significant

APPLIED

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CONSUMER PROBLEM SOLVING

Routine Problem Solving

Limited Problem Solving

Significant Problem Solving

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VISUAL SUMMARY

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All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America.