Marketers can significantly impact the decision process by providing product information.
Detailed product information, available product features/attributes and benefits may satisfy potential consumers need for information. Marketing at this step allows companies to “toot their own horn” to a degree and explain the advantages of their product. In some instances, companies compare their product to competing products to help the consumer realize that their product is clearly superior to its competitors. One consideration is that comparison information maybe misinterpreted or may confuse potential consumers. If this happens, the potential consumer might mistake the competing product as having the advantage over the product being marketed.
Evaluation of criteria is the process where consumers determine what features they would
Prefer. Consumers evaluate and assign a value to various product features and attributes. Think about purchasing an automobile. There are numerous features that can be added or removed from an automobile. The consumer decides on what features they desire. Because there is generally a cost associated with the various features, consumers have to rank the features and decide which ones are most important to them. If the consumer is not satisfied with the selection or the evaluation of the product criteria, they will revert back to the information search process. Again, Marketers have an opportunity to supply information and tout the advantages of its product’s features and attributes. Detailed feature and attribute descriptions and benefits allow consumers to thoroughly evaluate the product as well as allow the consumer to think about trade-off between competing products. Purchase decision occurs when the consumer actually makes the purchase. It includes the product, method of payment, package, location of purchase and all other factors that are
Associated with purchasing the product. This step is directly influenced by marketers. If the marketing campaign was effective, consumers purchase the product. Marketers have an impact on this portion of the process by their interaction with consumers. Advertising directly impacts the purchase decision by stimulating consumers’ awareness of a need, providing relevant product information and helping them evaluate the product and derive that this is their best purchase option.
Where did this come from??????
The following lists provide the four types of purchasing behavior which are ranked according to the amount of research or information required in the purchase decision.
•Impulse purchasing generally occurs spontaneously without conscious planning. Retail
Establishments estimate that approximately 60% of all sales are impulse purchases. Impulse purchases generally only involve the first step of the purchasing behavior process - problem recognition or a “need.”Consumers realize they have some real or perceived need for a product and make a purchase.
•Routine purchases involve purchasing frequently-bought items (i.e., paper towels, soft
Drinks, milk) and are purchased almost automatically. These products are generally
Considered to be low-cost items and require very little research and decision effort.
Routine purchases do not require lots of thought or research and involve the first, and to a
Degree, the second step of the purchasing behavior process. Again, these purchases are
Almost automatic and require little thought.
•Limited decision making purchases are thought of as items that are purchased
Occasionally. The purchase of these items may require a limited amount of research if the
Purchase involves an unfamiliar brand or product category. These types of purchases may
Require a moderate amount of research and information gathering prior to making a
Purchase decision - steps one through three.
•Extensive decision making purchases require large amounts of information gathering and
Research. The purchase of a “big-ticket item” like electronic products, automobiles or homes would be and extensive decision making purchase. Consumers involved in an extensive decision making purchase go through all five of the aforementioned purchasing behavior steps. Post purchase evaluation refers to the consumers purchase decision afterthoughts. At this stage, the consumer determines their level of satisfaction with the product and questions themselves as to whether they a have made the right purchase decision. Marketers can lessen their anxieties by offering warrantees, money-back guarantees, after-sales support and generous return policies. Understanding the principles of the consumer decision process allows marketers to gain insight into the process a consumer undertakes when purchasing their products. It is also important to understand that the actual purchasing behavior process may not necessarily include all five steps depending on the product being purchased.
Additional Factors Influencing Consumers Purchase Decision It is not enough to understand how consumers arrive at their purchase decision because there are personal, psychological and social factors that influence the purchase decision. A thorough understanding of these factors is essential to effectively market products.
1. Personal factors (demographic variables) significantly impact the consumer purchasing process. Men and women have needs for different products that may or may not cross gender lines. Teenagers may purchase a product for different reasons than older people. Also, it is important to determine who buys the product and who is actually going to be the end user. One household member may be responsible for purchasing household items. However, a different member of the household may be the only person actually using the product.
2. Psychological factors. There are four psychological factors impacting the purchasing decision. These are motivation, perception, learning beliefs and attitudes. First, it is important to determine the motive for making the purchase. Motives are based on Maslow’s hierarchy of needs starting with physiological and ending with self actualization. Is the product being bought to satisfy a basic need like nourishment or is it being purchased to show one’s level of success? Motives are often subconsciously driven and therefore measuring them is difficult.
3. Secondly, consumers’ perception impacts their purchasing decision. Perception has a significant role on consumer’s information search and how the information is interpreted. Consumers choose what information they perceive as important/relevant and discard the remaining. Therefore, they’re more likely to remember information that supports their existing beliefs and disregard information that does not. Attitudes are derived though experiences, interactions, personality and lifestyles. Consumer personalities are quite varied; no two people are the same. Personalities are thought of as internal traits derived from hereditary and personal experience that makes individuals unique. Marketers try to match their products image to the Personalities (or perceived personalities) of their target market. Thus, creating a
Means of allowing consumers to identify with the product.
4. Social factors play an important role in consumers purchasing decisions. Opinion
Leaders (i.e., sport stars, musicians, politicians), families, reference groups, social class and culture all impact a consumers purchasing decision. Consumers may try to emulate famous people through purchasing certain products. Reference groups can be thought of as any group that has an influence, positive or negative, on an individual. Social class impacts purchasing decision directly and indirectly. Annual household income is used to define social status and also places limits on household spending. Culture impacts the purchasing decision process in that the values, ideas and attitudes of people are shaped by the culture in which they reside.
Conclusion
Companies are better able to market their products to consumers if they have a good
Understanding of the consumers and the basic purchase decision process. By understanding the consumer and the type of purchasing behavior associated with different products, marketers are more likely to create a marketing campaign that positively impacts the consumer’s purchasing decision.