CHAPTER 14 CONSUMER DECISION PROCESS AND PROBLEM RECOGNITION

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CHAPTER 14 CONSUMER DECISION PROCESS AND PROBLEM RECOGNITION

Marketing Strategy and Problem Recognition

Suppressing Problem Recognition

Competition, consumer organizations, and governmental agencies sometimes introduce information in the marketplace that promotes the problem recognition which marketers would prefer to avoid

Helping Consumers Recognize Problems

The marketers would rather cause problem recognition than react to it.

The Timing of Problem Recognition

Consumers often recognize problems at times when purchasing a solution is difficult or impossible

Generic vs Selective Problem Recognition

Selective

discrepancy that only one brand can solve

Generic

discrepancy that a variety of brands within a product category can reduce

Approaches to Activating Problem Recognition

Marketing efforts to attempt to influence the desired state

Responding to Consumer Problems

A key task of marketers is to identify consumer problems and position their brands as solutions for them

Discovering Consumer Problems

Emotion Research

Helps marketers anticipate consumer reactions to problems and train their customer service personnel to respond appropriately.

Human Factors Research

Attempts to determine human capabilities

Observational Techniques

Problem Analysis

Starts with a problem and asks respondents to indicate which activities, products, or brands are associated with those problems.

Activity and Product Analysis

Product analysis - is similar to activity analysis but examines the purchase or use of a particular product or brand.

Activity analysis - Focuses on a particular activity, such as preparing dinner, maintaining the lawn, or swimming.

Uncontrollable determinants of problem recognition

Problem recogntion

Diference between the desired and what it has

Desried state /Actual state

Marketing factors

Non marketing factors

House hold characteristics

Situations

Motives

-social status

-Culture/subculture

The process of problem recognition

Types of costumers problems

INACTIVE PROBLEMS

Consumer is not aware

Convince they have a problem and the brand is the solution.

ACTIVE PROBLEMS

Is aware of or will become aware (normal events)

Strategy

Convince consumers that its brand is the solution.

The Nature of problem recognition

Desire State

Actual State

Problem recognition

Extended Decision Making

Internal Information

ExternalInformation

Complex Evaluation Multiple

Limited Decision Making

Nominal Decision Making

Repeat Purchases

Brand Loyal Purchases

Types of Consumer Decisions.

High Level of Involvement

PRODUCT INVOLVEMENT

Low Level of Involvement

PURCHASE INVOLVEMENT