Consumer Behavior Model
Consumer Behavior Model
- Ivan Pavlov was a Russian psychologist best known for his work in classical
conditioning. In 1904, this work earned him the Nobel Prize in physiology or medicine.
His principles have been applied to behavior therapies for educational classrooms and for
reducing phobias via systematic desensitization.
- Pavlovian theory is a learning procedure that involves pairing a stimulus with a
conditioned response. A simple application of Pavlovian theory is the response that some
consumers have when they hear the word “sale.” It can generate an urge to shop, even if
people have no specific need at the time. The theory can also work with specific brands.
A consumer may start associating a brand name or product with a certain perception after
repeated marketing efforts and/or experience with the brand or product.
- Consumer behavior is a constantly evolving science. With this knowledge, marketing
professionals can be more effective in reaching their audience and bringing value to
employers. This is a strong internal stimulus which impels action. Because of the drive, a
person is stimulated to action to fulfil his desires. Thus, when a person has a need to buy,
say clothing, and passes by a showroom and is attracted by the display of clothing, their
color and style, which acts as a stimulus, and he makes a purchase. He uses it, and if he
likes it, an enforcement takes place and he is happy and satisfied with the purchase. He
recommends it to his friends as well, and visits the same shop again. Learning part, thus
is an important part of buyer behavior and the consumer tries to create a good image of
the product in the mind of the consumer for repeat purchases through learning.
Economic Model
- Economic model of consumer behavior is unidimensional. This means that buying
decisions of a person are governed by the concept of utility. Being a rational man, he will
make his purchase decisions with the intention of maximizing the utility/benefits.
- The economic model of consumer behavior focuses on the idea that a consumer's buying
pattern is based on the idea of getting the most benefits while minimizing costs. Thus,
one can predict consumer behavior based on economic indicators such as the consumer's
purchasing power and the price of competitive products.
- Economic model is based on certain predictions of buying behaviour.
o Price effect – Lesser the price of the product, more will be the quantity purchased.
o Substitution effect – Lesser the price of the substitute product, lesser will be the
quantity of the original product bought.
o Income effect – More the purchasing power, more will be the quantity purchased
Sociological Model
- The sociological model primarily considers the idea that a consumer's buying pattern is
based on his role and influence in the society. A consumer's behavior may also be
influenced by the people she associates with and the culture that her society exhibits. For
instance, a manager and an employee may have different buying behaviors given their
respective roles in the company they work for, but if they live in the same community or
attend the same church, they may buy products from the same company or brand.
- Intimate groups comprising of family, friends and close colleagues can exercise a strong
influence on the lifestyle and the buying behavior of an individual member. The peer
group plays a very important role in acting as an influencing factor especially in adopting
particular lifestyles and buying behavior patterns.
Psychological model
- The purchasing process and behavior is governed by motivational forces. Motivation
stimulates people into action. Motivation starts with the need. It is a driving force and
also a mental phenomenon. Need arises when one is deprived of something. A tension is
created in the mind of the individual which leads him to a goal directed behavior which
satisfies the need. Once a need is satisfied, a new need arises and the process is
continuous.
- Consumer Behavior in a general sense can be considered to be everything, as every
aspect of our lives revolves around the consumption of goods and services. The field of
consumer behavior covers a wide stretch of bases as it focuses on the entire consumption
process, involving issues that influence a consumer before, after and during a purchase.
Whether it be travelling, shopping, or watching television, individuals are directly or
indirectly engaging in consumer behavior. It can be defined as the processes involved
when individuals select, purchase and use products or services to fulfil their needs and
desires.
2. Assume that you are a manager of a fast food restaurant which of the consumer model
will you utilize? Justify your answer.
Psychological Model
- Due to the subjective nature of perception, it is vital the message the marketer is aiming
to achieve is portrayed in a very clear manner so that the consumer does not interpret the
advertisement incorrectly. This then brings us to exposure. One factor that determines
how much exposure to a certain stimulus a person accepts is experience. The past
experiences of an individual influences the perceptual filters and impacts what the
consumer chooses to process.
- Consumer psychology deals with the way individuals or groups are involved with
consumer activities and the effect it has on them personally. It is quite difficult to
comprehend consumer psychology without having an understanding of the ways
individual’s process information and make decisions. Consumers actively seek purchase-
decision reassurance, so marketers should focus on building strong brand attitudes in
order for consumers to feel pleased with their purchase.
- Nonetheless it is vital for consumer to go about changing consumer attitudes in a manner
that doesn’t cause social or ethical damage. It can be effective to change consumer’s
attitudes however marketers need to develop persuasive messages and strategies in order
to succeed. What is important to remember is that there are many factors that come into
play concerning consumer behavior and the commonly raised a lot of question that
cannot be answered purely by focusing on the psychological influences.