Consumer Behaviorin

Travel and TourismVinit Khandelwal

What is Consumer Behavior?

• Study of HOWIndividuals

GroupsOrganizations

SelectBuyUse

Dispose

GoodsServices

IdeasExperiences

To satisfy their NEEDS and WANTS

Model of Consumer Behavior

What influences Consumer Behavior?

Consumer Behavior

Personal

Social Cultural

Cultural Factors

• Cultural is the fundamental determinant of a person’s WANTS and BEHAVIOR

Exposure to valuesChild growing up in US

Achievement and SuccessActivityEfficiency and PracticalityProgressMaterial ComfortIndividualismFreedomExternal ComfortHumanitarianismYouthfulness

Child growing up in IndiaRespect and Care for eldersHonesty and IntegrityHard WorkAchievement and SuccessHumanitarianismCompassion

Sub Culture

• Provide more specific identification and socialism for their members.

• Nationalities• Religions• Racial Groups• Geographic Regions

Socio-Economic Classification

• Uses a combination of education and occupation of the chief wage earner of the household to classify buyers in URBAN areas.

• Uses a combination of occupation of the chief wage earner of the household and the type of house to classify buyers in RURAL areas.

Social FactorsReference

Groups

Direct Influence

Secondary

Primary

Indirect Influence

Aspirational

Dissociative

Social Factors

Family

Orientation Procreation

Examples

• Women – place priority to people• Men – place priority to actions• Children – Amusement Park• 2/3rd – 13-21 year olds influence purchase– Audio/Video equipments– Software– Vacation Destinations

• Women - Spa

Personal Factors

• Personal Characteristics that influences a buyer’s decision:– Age and Stage in Life Cycle

– Occupation and Economic Circumstances

– Personality and Self Concept

– Lifestyle and Values

Age and Life Cycle Stage

• Children – Adventure Places• Adults – Relaxation Places• Old – Religious Places

• Nuclear Family – Small Cars/Flight• Joint Family – Bus/Train

• Married – Honeymoon

Occupation and Economic Circumstances

• Doctors – Conferences

• Recession – Reduced foreign trips

• People from entertainment industry – more shopping from Hip stores (Zara, Gucci, Prada)

Personality and Self Concept• Personality? Distinguishing Human Psychological

Traits that lead to relatively consistent and enduring responses to environmental stimuli

• Self-confidence• Dominance• Autonomy• Deference• Sociability• Defensiveness• Adaptability

Stanford’s Jennifer Aaker researched Brand Personalityand identified the following traits

• Sincerity (down-to-earth, honest, wholesome, cheerful)

• Excitement (daring, spirited, imaginative, up-to-date)

• Competence (reliable, intelligent, successful)• Sophistication (upper-class and charming)• Ruggedness (outdoorsy and tough)

Lifestyle and Values

• Lifestyle? A person’s pattern of living in the world as expressed in activities, interests and opinions

• Health Conscious lifestyle• Sophisticated lifestyle• Workaholic lifestyle

• Money constrained• Time constrained