SNS College of Engneering,Coimbatore-641107 Department of ... · SNS College of...
Transcript of SNS College of Engneering,Coimbatore-641107 Department of ... · SNS College of...
Prepared by
VAISHNAVI NIII/IT
SNS College of Engneering,Coimbatore-641107Department of Mechanical Engineering
(Accredited by NBA)
OMF551 - Product Design and Development
Topic 4 : Behaviour Analysis
B.BALAMURALI AP/MECH -PDD 1
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Studying consumer behaviour:
• Analysing behaviour and everything
that influences behaviour?
•Making the complexities possible to
grasp by taking one step at a time!
• But still using a holistic view!
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• Looking at consumers from different
perspectives: as a marketeer, as a
distributor, from a shop perspective,
from a customer perspective and from
the regulator/government perspective!
• The goal is to become better thinkers
concerning consumers and customers!
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Reasons:
• Changes in competition, from
sellers to buyers market
• We have gone from satisfying
primary needs to satisfying
more complex needs
• Changes in the IT systems
• Better quality in marketing
research and developments in
consumer behaviour and
marketing research
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The history of consumer
behaviour as a science • Up to 1940: Sociological research and
practical studies of selling processes
•1940-1964: Motivation research
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Motivation research
Ernst Dichter, Motivation Research Inc.
• The Cake Mix study 1950
• Depth interviews and antropological
studies
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Motivation research using
quantitative research methods
• Nescafé – product development – testing
– test launching – problems – new tests –
new launch – more problems
• Mason Haire jr. (1950)
– 100 women i two matching groups. Questions
about shopping lists for groceries.
– (……., Nescafé or Maxwell House,….)
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Nescafé study 1950 and 1970
Nescafé 1950 1970– Lazy wife 48% 18%
– Thrifty 4% 36%
– Spendthrift 12% 23%
– Bad wife 16% 18%
Maxwell House– Lazy wife 4% 10%
– Thrifty 16% 55%
– Spendthrift 0% 5%
– Bad wife 0% 5%» Haire jr( 1950) Webster jr (1974)
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The history of consumer behaviour
as a science
• Up to 1940: Sociological research and practical
studies of selling processes
•1940-1964: Motivation research
•1960s: One-factor models
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One-factor models
• The study of individual phsychologicl and
sociological factors and the relationship to
buying or not buying a product
• Example – The car industry
– Who reads ads for cars?
– Cognitive dissonance!
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The history of consumer behaviour
as a science
• Up to 1940: Sociological research and practical
studies of selling processes
•1940-1964: Motivation research
•1960s: One-factor models
•1960s and 70s: The rise and fall of the
comprehensive theorethical models
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Grand theories – Howard & Sheth
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Test of Grand Theories
• Results show low R2 values!
• Why?
– Difficulties in measurement, lack of validity
and reliability
– Difficulty in specifying the model
relationships
– Feedback loops vs causal relationships
– Real consumer behaviour and quantitative
characteristics?
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The history of consumer behaviour
as a science
• Up to 1940: Sociological research and practical
studies of selling processes
•1940-1964: Motivation research
•1960s: One-factor models
•1960s and 70s: The rise and fall of the
comprehensive theorethical models
•1980-: Different parallell research traditions
• Attitude research
• Qulitative research
• Use of multivariate statistical models on
quantitativ data
• Measurement of customer satisfaction
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Multivariate techniques
• From bivariate to multivariate analysis
– Univariate analyses
– Bivariate analyses
– Multivariate analyses
• Using mixtures of scales in analyses
• Finding patterns through the use of
factor analysis
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Bivariate method
• American Survey
Not-married Married
Eating candy regularly 75% 63%
Sample 999 2010
Hypoteses? CandyMarital status
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Bivariate method
Under 25 Over 25
Eating candy regularly 80% 58%
Sample 1302 1707
Hypotheses?CandyAge
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Multivariate method
Not-m Married Not-m Married
-25 -25 25 + 25 +
Eating candy 79% 81% 60% 58%
regularly
Sample 799 503 200 1507
Hypotheses? CandyMartial status
Age
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Consumer Behaviour Definition
Peter, Olsen & Grunert model
• Consumer behaviour is dynamic
• Consumer behaviour is built on
interactions
• Consumer behaviour consists of
exchange relationships
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1. Consumer behaviour is dynamic
Individual consumers, consumer groups and
among these housholds and society at large
are changing at an increasing speed.
Generalisations about consumer behaviour is
to a very large extent limited in time and
space. Marketing strategies must always be
adjusted to new circumstances!
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2. Consumer behaviour is built on
interactions
To understand consumers and to develop
efficient marketing strategies we must
understand what consumers think (coginition),
how they feel (affective processes), what they
do (behaviour) and what happends in the
environment and in the market that influence
and is influences by what the consumer thinks,
feels and does.
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3. Consumer behaviour consists of
exchange relationships
As the market concept has been developed
more and more various types of exchanges
have been studied. Exchange of money, goods,
services, political thinking, religious thoughts,
art etc etc…
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Consumer Issues and Marketing
Strategy
Many links! Many aspects on
consumer behaviour influences
marketing strategy! Not everything can
be studied. The choice of questions is
extremely important for the marketer.
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The Relationship between marketing
strategy and Consumer Behaviour?
Marketing Strategy
•Segmentation
•Product
•Promotion
•Pricing
•Distribution
Consumer Behaviour
•Demographic and socio
economic variables
•Personality
•Expectations
•Awareness
•Knowledge
•Attitudes
•Motivation
•Intentions
•Behaviour
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The basic model for analysing
consumer behaviour
Many theories, models and concepts are
used to understand consumer behavour.
An number of sciences are useds as e g
micro economics, sociology, social
psychology, psychology, economic
geography, antropopogy etc etc.
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The Wheel of Consumer Analysis consists of:
1. Affect and cognition
a. Affect as e g:•Strong feelings like love, annoyance and
hate
•Less strong feelings lika satisfaction and
frustration
•General feelings like being relaxed or bored
•Feelings about products and services, e g ”I
like product X!”
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The Wheel of Consumer Behavior
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b. Cognition are mental processes and
knowledge structures we use when we as
individuals react on changes in our
environment. Cognitive processes take the
form of:
•Knowledges we base on experience and
that we store in our memory
•Psychological processes: •When we become aware of and understand our
environment
•When we remember things
•When we evaluate alternative courses of action
•When we make decisions about where, when and how
we buy products and services.
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2. Behaviour
Consumers’ overt actions that we can
observe directly
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3. Consumer environment
•The environment is the complex envionment of
physical and social stimuli around the
consumer.
•This consists of things, places and people.
•The marketer can to varying degrees influence
some of these stimuli, e g proucts, pacaging,
services, advertising, personal selling, pricing,
store layout etc.
•Other stimuli can be studied and forecasted,
e g competiors actions.
•Finally some facors in the environment are
totally unpredictable.
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Relationships between factors in
the model
One-way cause-effect relationships or
two-way interactions of ”reciprocal
determinism”?
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Basic conclusions:
•All analyses of consumer behaviour must
take into account all three basic factors in
the model
•Start with the factor that seem to be the
most obvious or the most important. From
that point of view work your way around the
other factor in the model.
•Analyses must be dynamic. Consumer
behaviour changes in time and space
eternally!
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Further conclusions
• Consumer analysis does not end with
the choice of market strategy.
• The analysis does not end when the
strategy is implemented.
• Consumer analysis, choice of strategy,
implementation and ongoing evaluation
etc is the key to efficient marketing!
• THANK YOU
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