Consumer Decision Making Process - 2217 Words

INTRODUCTION We all have to make choices. One of those most important decisions made in our life are based on the market - buying goods. No one buy goods unless they have a problem, a need or a want. The Consumer Decision Making Model can be applied with any economics decision you have to make. The goal in creating this model was to analyze how individuals sort through facts and influences to make decisions that are logical and consistent for them. Think like an economist with this convenient tool. The CDP model consists of seven major stages: Need recognition, search for information, pre-purchase evaluation of alternatives, purchase, consumption, post-consumption evaluation and divestment. The aim of this paper is to discuss these†¦show more content†¦The relative influence of these information sources varies with the product and the buyer. Generally, the consumer receives the most information about a product from commercial sources-those controlled by the marketer. The most effective sources, however, tend to be personal. Personal sources appear to be even more important in influencing the purchase of services. Commercial sources normally inform the buyer, but personal sources legitimize or evaluate products for the buyer. For example, doctors normally learn of new drugs from commercial sources, but turn to other doctors for evaluative information. The consumer’s awareness and knowledge of the available brands and features increases as they get more and more information. In designing marketing mix, a company should have the objective of making the target customers aware of its brand. Consumers’ sources of information should be carefully identified and the importance of each source should also be assessed. Companies benefit from an understanding of consumer search in many ways. Companies want to know how much they should charge in order to maximize their profitability. They also need to know how much attention they should give to the prices charged by competitors in setting their own price. ConsumerShow MoreRelatedThe Consumer Decision Making Process1706 Words   |  7 Pagesuse a lot of strategies to make the consumer purchase their brand over various other competitors. But what is it exactly that happens inside the head of the ‘king’ that the marketers are always so interested in? What process does a consumer follow towards making a purchase that reduces the level of his cognitive dissonance? Let’s have a look. Need Recognition This is the first stage of the consumer decision making process (Solomon et al 2010), when a consumer recognises that there is a differenceRead MoreThe Decision Making Process Of Consumers Essay1679 Words   |  7 PagesIntroduction One of the important objective of marketers is to identify and understand the purchase decision maker. Understanding them helps the marketers in various fields from product manufacturing process to developing a good marketing strategy. The focus of the review of the research is to understand the decision making process by focussing on family buying decision or role of gender in family buying decision. Over the last few years, the pattern of family has changed a lot. Changing are occurring inRead MoreConsumer Decision Making Process1577 Words   |  7 PagesThis piece of work is about consumer behavior on electric vehicle which included the five stages of consumer decision making process such as Need Recognition, Information Search, Evaluation on Alternative, Purchase Decision, and Post-purchase decision. Lastly, the five different concepts which made up by social cultural factors and individual factors. 2.0 Five Stages of Consumer Decision Making Process 2.1 Need Recognition A problem is recognized when consumer found out a difference betweenRead MoreConsumer Decision Making Process2329 Words   |  10 Pages2Extensive problem solving and perception 3 2.3 Consumers accept satisfactory decision 3 2.4 Motivation 3 2.5 Physiological field 4 2.6 Implication for marketers 4 3 Passive view 4 3.1 Characteristics 4 3.2 Arguments 4 4. Emotional view 5 4. 1 Characteristics 5 4.2 Consumer decision making process 5 4.3 Offers for emotional view 5 4.4 Implication 5 4.5 Effective Communication 5 5. Cognitive view 6 5.1 Characteristics and decision making 6 5.2 Relevance 6 5.3 Cross-cultureRead MoreThe Consumer Decision Making Process2218 Words   |  9 PagesFIGURE 2.4 Consumer future decision-making process (Fotis, 2015; Moutinho, 1987) The value of influence is also a crucial element in understanding consumer purchase decision. Brown and Hayes (2008) interpret influence as ‘the action of creating a conductive environment which shapes other consumers’ perspective on a particular matter’ and ‘the ability to alter a person, item or route’. A book published by James Duesenberry in 1949, who is the first to embrace the term â€Å"consumer behaviour†, focusingRead MoreThe Consumer Decision Making Process1923 Words   |  8 PagesIntroduction Consumer behaviour examines how individuals acquire, use and dispose of company offerings (Noel 2009). Acquiring a product or service is not the only consideration of consumer behaviour but the various stages and processes before these offerings are bought. In this essay I will be analysing a television purchase I made from Argos using the consumer decision making process and concluding with a justification in the context on consumer decision-making process. The consumer decision-making processRead MoreThe Decision Making Process Of The Consumer1950 Words   |  8 Pagesstates that each person seeks to maximize their own gains. Putting that in context with a low self-control, one can identify that an offer should be fair since the key demographic might reject an unfair offer out of altruism. The decision making process of the consumer is a quick and intuitive one [See Appendix A]. In order to start advertising a change needs to happen in the eating habits. The strategy is to spread the word, create a buzz and sell an experience. In order to spread the word aboutRead MoreConsumer Behaviour And Decision Making Process Essay1264 Words   |  6 Pagesliterature based on the order of the objectives. The literature review is on purchase intention, financial capability, and social factors, consumers’ attitudes and online buy. While analysing the literature, contributions, weaknesses and gaps in the existing literature were identified. 2.2. Theoretical review While consumers/buyers have existed for thousands of years, consumer behaviour research really began after World War II. It was established as a unique field of study during the 1960s (Engel, BlackwellRead MoreConsumer Decision Making Process Essay1449 Words   |  6 PagesConsumer Decision Making Process A key factor in successfully marketing new/existing products or implementing a product Extension is a thorough understanding of the motivation, learning, memory, and decision Processes that influence consumers purchasing behavior. Consumer purchasing behavior theories have found their way into managerial decision making to help companies more effectively develop and launch new products, segment the market, determine market entranceRead MoreAnalysis of Consumer Decision Making Process1581 Words   |  7 PagesIntroduction Consumer decision making process is a list of steps that are carried out by consumers concerning to a potential market transaction, before, during and after the purchase of a product or service. The process includes identifying the problem, collecting information, evaluating the alternatives, making the purchase decision and evaluating post purchase. Generally, decision making is the  cognitive process  of selecting a course of action from among multiple options. As a consumer, I find that