Consumer behaviour and the psychology of marketing

Heinrich Struck

Contents

° Introduction

° Research Methods

° Problem recognition

° Demographics

° Segmentation

° Decision making

° Influences

° Perception

° Links

Introduction

The study of consumers helps firms and organizations improve their marketing

strategies by understanding issues such as how

°The psychology of how consumers think, feel, reason an select

between different alternatives

°The psychology of how the consumer is influenced by his envi-

ronment like family, culture, media

°The behaviour of consumers while shopping or making other marketing

decisions

°Limitations in consumer knowledge or information processing abilities

influence decisions and marketing outcome

°How consumer motivation and decision strategies differ between products

that differ in their level of importance or interest that they entail for the

consumer

°How marketers can adapt and improve their marketing campaigns and

marketing strategies to more effectively reach the consumer

One of often needed definition of consumer behaviour is "The study of individuals,

groups, or organisations and the processes they use to select, secure, use, and

dispose of products, services, or ideas to satisfy needs and the impacts that these

processes have on the consumer an society ". There are elements of psychology,

sociology, sociopsychology and economics influencing the buyer´s decision.

Consumer behaviour is the study of how people buy, what they buy, when and why

they buy. Consumer behaviour involves services and ideas as well as tangible

products. The main applications are marketing strategy, public policy, social

marketing and as a final benefit, studying consumer behaviour should make us better

consumers.

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Consumer research methods

Market research is often needed to ensure that we produce what customers really

want and not what we think they want.

Research will often help us reduce risks associated with new products, but it cannot

take the risk away entirely. It is also important to ascertain whether the research has

been complete. For example, Coca Cola did a great deal of research prior to releasing

the New Coke, and consumers seemed to prefer the taste. However, consumers were

not prepared to have this drink replace traditional coke.

The psychological process that is associated with information search is perception.

Perception is defined as " the process by which an individual receives, selects,

organises and interprets information to create a meaningful picture of the world.

Problem recognition

Problem recognition is that result when there is a difference between one´s desired

state and one´s actual state. Consumers are motivated to address this discrepancy

and therefore they commence the buying process.

Sources of problem recognition include New products, Marketer-induced, related pro-

ducts, Consumer needs and wants and Dissatisfaction with a current product and

service.

The relevant internal psychological process that is associated with problem

recognition is motivation.

A motive is a factor that compels action. Belch and Belch provide an explanation of

motivation based on Maslow´s hierarchy of needs and Freud´s psychoanalytic theory.

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