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CONSUMERS
Decision Process
  Presented by Sugiharto
Forms
                                 is when somebody makes something

                                              Task
                                 is when someone does something for another
                                 person

                                                              Time
                                 having it when you need it

                                              Place
                                 Having it where you need it

                                      Possession
           Product               having it, being able to use it, or ride it, drink it,
         Influence               wear it, operating it, work for it etc.

            Factors
Consumers Behaviors Class 2011                              © Created by SUGIHARTO, SH.MM 2011
Consumers
                                      Decision Process
                                     Consumer Behavior Basic Philosophy




                                 Seorang konsumen akan melakukan pilihan
                                   terbaik dengan cara memaksimumkan
                                 kepuasan atau utilitasnya dan kendala yang
                                           dihadapinya hanyalah:

                                            Product Price

                                          Personal Earning


Consumers Behaviors Class 2011                                      © Created by SUGIHARTO, SH.MM 2011
Consumers
Decision Process
Influencing Behavior                      Problems
                                         recognition

                                          Search of
              4P
                            Marketing
                              stimuli    Information
                                          Alternative
             Economy                      Evaluation
         Technology Other                Purchasing
            Political stimuli            Behaviors
                Cultural                Post purchase
                                          Behaviors



 Consumers Behaviors Class 2011          © Created by SUGIHARTO, SH.MM 2011
Consumers
Decision Process
Purchasing Behavior

                   Product Choice

                              Brand Choice

                      Dealer Choice

                      Purchase Timings

              Product Amounts



 Consumers Behaviors Class 2011              © Created by SUGIHARTO, SH.MM 2011
Consumers
Decision Process
Influencing Factors of
Purchasing Behavior




Consumers Behaviors Class 2011   © Created by SUGIHARTO, SH.MM 2011
Consumers
Decision Process
Influencing Factors of
Purchasing Behavior    Cultural Factors
Cultural Values
Culture is the most basic cause of a
person’s wants and behavior
Sub - Cultural
groups of people with share values and can
include nationalities, religions, racial
groups, or groups of people sharing the
same geographical location

Social Class
It is measured as a combination of occupation,
income, education, wealth and other variables.
# Any type of cultural can create a substantial and
distinctive market segment of its own
 Consumers Behaviors Class 2011                       © Created by SUGIHARTO, SH.MM 2011
Consumers
Decision Process
Influencing Factors of
Purchasing Behavior    Social Factors




                            such as the groups to which the customer belongs
                             and social status. In a group, several individuals
                             may interact to influence the purchase decision.


 Consumers Behaviors Class 2011                                      © Created by SUGIHARTO, SH.MM 2011
Consumers Decision Process
Influencing Factors of Purchasing Behavior
Social Factors The typical roles in such a group decision
                  can be summarized as follows:




                                                                         Decider




 Consumers Behaviors Class 2011                      © Created by SUGIHARTO, SH.MM 2011
Consumers
Decision Process                  Ages
Influencing Factors of
Purchasing Behavior
                                  Role and Status
Personal Factors
                                         Occupation and
                                         Circumstances


                                         Lifestyles


                                     Personality and
                                     Self Concept



 Consumers Behaviors Class 2011            © Created by SUGIHARTO, SH.MM 2011
Consumers
Decision Process
Influencing Factors of
Purchasing Behavior
Psychological Factors




                                  Learning




 Consumers Behaviors Class 2011              © Created by SUGIHARTO, SH.MM 2011
Why
                                                               People
                                                                BUY
Still presented by




Consumers Behaviors Class 2011   © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
The Reasons
                                                                Sometimes it seems
                                                                  that there is no
                                                                     reason for a
                                                                  purchase, but in
                                                               reality there is always
                                                                       a reason




                      Marketers spend millions of dollars trying to
                   understand why people buy products and services.



 Consumers Behaviors Class 2011                        © Created by SUGIHARTO, SH.MM 2011
WHY People Buy                                          For the purpose of
The Reasons Many factors are involved in a              displaying wealth /
            customers' buying decision, any                social status
            one of which can become the
            deciding factor, such as:

         Conspicuous Consumption




                                                      Preference for buying
                                                       increases with price




 Consumers Behaviors Class 2011               © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
The Reasons

             Snob Effect




                                  The Desire to buy something nobody else
                                  has; preference for buying increases with
                                  rarity or scarcity

 Consumers Behaviors Class 2011                 © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
The Reasons

             Band wagon Effect


      Desire to buy
       something
    everybody else is
         buying

     Preference for
    buying increases
     with perceived
       popularity.




 Consumers Behaviors Class 2011   © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
The Reasons

             Economy

                                                                  3500
                                                                  IDR




                     To enhance their lifestyle or to fulfill two of Maslow's needs:
                         physiological (food, shelter) and Safety and Security

 Consumers Behaviors Class 2011                                     © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
The Reasons

           Psychological

 This is the study of how
 people interact with their            For example air
environment, products are         fresheners, furniture and
  consumed to enhance                convection ovens.
     their well being




 Consumers Behaviors Class 2011                               © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
The Reasons

           Practical


   Consumers
purchase products
because they need
 them to survive,
such as shoes and
    medicine.




 Consumers Behaviors Class 2011   © Created by SUGIHARTO, SH.MM 2011
impractical Is the opposite of   WHY People Buy
                                                             The Reasons
 practical, purchasing products
 that are not necessary




Consumers Behaviors Class 2011      © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
The Reasons



                                   Rational Purchases are
                                  made with logical, thought out
                                  reasoning.


                                       Irrational products are
                                     purchased for foolish or absurd
                                     reasons.




 Consumers Behaviors Class 2011                                    © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
            The Reasons


              Factual
              Purchasing products
              based on researched
              reports.




Consumers Behaviors Class 2011      © Created by SUGIHARTO, SH.MM 2011
WHY People Buy
The Reasons


               Practical

Purchasing products
based on feelings :

 Buy to satisfy a need
    (for a reason)

 Buy to satisfy a want
    (for a desire)




 Consumers Behaviors Class 2011   © Created by SUGIHARTO, SH.MM 2011
The Application of
 Consumers Motive
Theories in Marketing
      Strategy
          For Segmenting

           For Positioning




Consumers Behaviors Class 2011   © Created by SUGIHARTO, SH.MM 2011
Still presented by Sugiharto, SH. MM


Consumers Behaviors Class 2011                           © Created by SUGIHARTO, SH.MM 2011
Buying Behaviors
Routine Purchase




                                     For example, a student buying a
                                  favorites hamburger would recognize
                                  the need (hunger) and go right to the
                                       purchase decision, skipping
                                    information search and evaluation




 Consumers Behaviors Class 2011                  © Created by SUGIHARTO, SH.MM 2011
Buying Behaviors
The Buying Process starts with
The Need Recognition




                                  The Buyer Responds to
                                    a Marketing Stimulus
 Consumers Behaviors Class 2011                            © Created by SUGIHARTO, SH.MM 2011
An “aroused”
     customer then                       If The Need is Strong
   needs to decide
         how much                              If the need is strong
information (if any)                               and there is a
        is required                             product or service
                                               that meets the need
                                                   close to hand
                                            then a Purchase
                                         decision is likely to be
             If Not the process of
                                                 made
             information search begins

Buying Behaviors
The Buying Process starts with
The Need Recognition
 Consumers Behaviors Class 2011            © Created by SUGIHARTO, SH.MM 2011
Buying Behaviors                  The usefulness and influence of these sources of
The A customer can obtain         information will vary by product and by customer
information from several
sources:




                                                    Public Sources

   The challenge for the marketing team
      is to identify which information
    sources are most influential in their
               target markets.

 Consumers Behaviors Class 2011                            © Created by SUGIHARTO, SH.MM 2011
Any Question ?                                THANK YOU
                                             For LISTENING

                                          Consumer Decision Process
                                                Presented by
                                              Sugiharto, SH. MM

                                                 Re-programmed

                                             Presentation created by
                                            ugik013 Presentation Pro

                                               Images provided by
                                               Personal collections


                                          Closing theme performed by
                                         F4 ‘Can’t Help Falling in Love’
                                           Lilo and Stitch the movie

                                          E-mail: ugik013@yahoo.com

                                                STIE GICI Business School


                                                      © 2011
Consumers Behaviors Class 2011   © Created by SUGIHARTO, SH.MM 2011

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Cb decision process

  • 1. CONSUMERS Decision Process Presented by Sugiharto
  • 2. Forms is when somebody makes something Task is when someone does something for another person Time having it when you need it Place Having it where you need it Possession Product having it, being able to use it, or ride it, drink it, Influence wear it, operating it, work for it etc. Factors Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 3. Consumers Decision Process Consumer Behavior Basic Philosophy Seorang konsumen akan melakukan pilihan terbaik dengan cara memaksimumkan kepuasan atau utilitasnya dan kendala yang dihadapinya hanyalah: Product Price Personal Earning Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 4. Consumers Decision Process Influencing Behavior Problems recognition Search of 4P Marketing stimuli Information Alternative Economy Evaluation Technology Other Purchasing Political stimuli Behaviors Cultural Post purchase Behaviors Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 5. Consumers Decision Process Purchasing Behavior Product Choice Brand Choice Dealer Choice Purchase Timings Product Amounts Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 6. Consumers Decision Process Influencing Factors of Purchasing Behavior Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 7. Consumers Decision Process Influencing Factors of Purchasing Behavior Cultural Factors Cultural Values Culture is the most basic cause of a person’s wants and behavior Sub - Cultural groups of people with share values and can include nationalities, religions, racial groups, or groups of people sharing the same geographical location Social Class It is measured as a combination of occupation, income, education, wealth and other variables. # Any type of cultural can create a substantial and distinctive market segment of its own Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 8. Consumers Decision Process Influencing Factors of Purchasing Behavior Social Factors such as the groups to which the customer belongs and social status. In a group, several individuals may interact to influence the purchase decision. Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 9. Consumers Decision Process Influencing Factors of Purchasing Behavior Social Factors The typical roles in such a group decision can be summarized as follows: Decider Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 10. Consumers Decision Process Ages Influencing Factors of Purchasing Behavior Role and Status Personal Factors Occupation and Circumstances Lifestyles Personality and Self Concept Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 11. Consumers Decision Process Influencing Factors of Purchasing Behavior Psychological Factors Learning Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 12. Why People BUY Still presented by Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 13. WHY People Buy The Reasons Sometimes it seems that there is no reason for a purchase, but in reality there is always a reason Marketers spend millions of dollars trying to understand why people buy products and services. Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 14. WHY People Buy For the purpose of The Reasons Many factors are involved in a displaying wealth / customers' buying decision, any social status one of which can become the deciding factor, such as: Conspicuous Consumption Preference for buying increases with price Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 15. WHY People Buy The Reasons Snob Effect The Desire to buy something nobody else has; preference for buying increases with rarity or scarcity Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 16. WHY People Buy The Reasons Band wagon Effect Desire to buy something everybody else is buying Preference for buying increases with perceived popularity. Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 17. WHY People Buy The Reasons Economy 3500 IDR To enhance their lifestyle or to fulfill two of Maslow's needs: physiological (food, shelter) and Safety and Security Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 18. WHY People Buy The Reasons Psychological This is the study of how people interact with their For example air environment, products are fresheners, furniture and consumed to enhance convection ovens. their well being Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 19. WHY People Buy The Reasons Practical Consumers purchase products because they need them to survive, such as shoes and medicine. Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 20. impractical Is the opposite of WHY People Buy The Reasons practical, purchasing products that are not necessary Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 21. WHY People Buy The Reasons Rational Purchases are made with logical, thought out reasoning. Irrational products are purchased for foolish or absurd reasons. Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 22. WHY People Buy The Reasons Factual Purchasing products based on researched reports. Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 23. WHY People Buy The Reasons Practical Purchasing products based on feelings : Buy to satisfy a need (for a reason) Buy to satisfy a want (for a desire) Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 24. The Application of Consumers Motive Theories in Marketing Strategy For Segmenting For Positioning Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 25. Still presented by Sugiharto, SH. MM Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 26. Buying Behaviors Routine Purchase For example, a student buying a favorites hamburger would recognize the need (hunger) and go right to the purchase decision, skipping information search and evaluation Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 27. Buying Behaviors The Buying Process starts with The Need Recognition The Buyer Responds to a Marketing Stimulus Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 28. An “aroused” customer then If The Need is Strong needs to decide how much If the need is strong information (if any) and there is a is required product or service that meets the need close to hand then a Purchase decision is likely to be If Not the process of made information search begins Buying Behaviors The Buying Process starts with The Need Recognition Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 29. Buying Behaviors The usefulness and influence of these sources of The A customer can obtain information will vary by product and by customer information from several sources: Public Sources The challenge for the marketing team is to identify which information sources are most influential in their target markets. Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011
  • 30. Any Question ? THANK YOU For LISTENING Consumer Decision Process Presented by Sugiharto, SH. MM Re-programmed Presentation created by ugik013 Presentation Pro Images provided by Personal collections Closing theme performed by F4 ‘Can’t Help Falling in Love’ Lilo and Stitch the movie E-mail: ugik013@yahoo.com STIE GICI Business School © 2011 Consumers Behaviors Class 2011 © Created by SUGIHARTO, SH.MM 2011