8/6/2019 Cdpmodel

1/4

CHAPTER 3

THE CONSUMER DECISION PROCESS

CHAPTER OUTLINE

I. The Consumer Decision Process model (CDP) represents a roadmap of consumers

mind that marketers and managers can use to help guide product mix,

communication and sales strategies. The model captures the activities that occur

when decisions are made and shows how different internal and external forces

interact and affect how consumers think, evaluate, and act. The CDP model has

seven stages:

A. Stage One: Need recognition The perception of a difference between the ideal

versus the actual state of affairs

B. Stage Two: Search for information The search for information stored in the

memory (internal search) and from the environment (external search). Information

sources can be:

1. Marketer-dominated

2. Nonmarketer-dominated

Information processing consists of five steps:

1. Exposure

2. Attention

3. Comprehension

4. Acceptance

5. Retention

C. Stage Three: Alternative evaluation Options are weighted in terms of expected

benefits and a choice is made.

1. Salient attributes are thought of first and considered most important

(price quality etc.)

2. Determinant attributes determine the final choice (color, style, etc)

D. Stage Four: Purchase Acquisition of the preferred alternativeE. Stage Five: Consumption Possession and use of the preferred alternative

F. Stage Six: Post purchase evaluation Assessment to determine if the purchase

produced satisfaction or dissatisfaction

G. Stage Seven: Divestment Disposal, recycling, or re-marketing of the

unconsumed product or its remnants

H. By using the CDP model, marketers, consumer analysts, researchers can study

consumers and customers and how they move through the decision model. This

analysis:

1. Relates different consumer behavior topics to one another

8/6/2019 Cdpmodel

2/4

2. Identifies areas for additional research

3. Aids in the development and implementation of marketing mix strategies

II Variables that Shape the Decision Process

A. Consumer decision making is influenced by factors that fall into three categories:

1. Individual differences

2. Environmental influences

3. Psychological processes

B. Individual differences include:

1. Personality, values, and lifestyle

2. Consumer resources

a. Time

b. Money

c. Information reception and processing

3. Motivation

4. Knowledge

5. Attitudes

C. Environmental influences include:

1. Culture formulates and dictates social behavior

2. Social class individuals sharing similar values, interest, and behaviors

3. Family

4. Personal influence people with whom we closely associate

5. Situation the environments we occupy

D. Psychological processes

1. Information processing

2. Learning

3. Attitude and behavioral change

III. Types of Decision ProcessesA. The decision process is on a continuum ranging from low to high degrees of

complexity.

1. Limited Problem Solving (LPS)

2. Midrange Problem Solving

3. Extended Problem Solving (EPS)

B. Habitual decision making involves repeat purchase behavior and is the least

complex of the decision processes

C. Initial purchases:

1. Extended problem solving refers to a process that is detailed and rigorous

8/6/2019 Cdpmodel

3/4

and is commonly undertaken when it is essential to make the right choice.

All stages in the process are followed. Many alternatives will be evaluated

and a wide variety of information sources consulted.

2. Limited problem solving is a simpler process that occurs when consumers

have neither the time, resources, nor the motivation to engage in EPS. The

number and variety of information sources, alternatives, and evaluative

criteria used are reduced.

3. Mid-range problem solving lies between the two extremes of EPS

(rigorous) and LPS (simple). Many decisions, such as a choice of a movie,

are made by this process.

D. Repeat purchases may involve two types of decision making:

1. Repeated Problem Solving: Repeat purchases may often require continued

problem solving for several reasons such as dissatisfaction with the

previously bough alternative or when retail stock is depleted.

2. Habitual Decision Making: Repeat purchases may be based on habits or

routines that are formed to simplify decision-process activity and enable the

consumer to cope (Consumer in Focus 4.4 Freedom of Choice Enslaves

Dazed Customer).

a. Brand or company loyalty occurs when it is important to find an alternative

that meets needs. A high degree of brand loyalty is one of the greatest assets

a marketer can possess because strongly favorable attitudes resist change,

making competitive inroads both difficult and expensive.

b. Inertia takes place in many product categories in which there is limited

brand loyalty.

E. Special categories of buying behavior:

1. Impulse buying involves an unplanned spur-of-the-moment action triggered

by product display or point-of-sale promotion.

2. Variety seeking occurs when brand switching is evident even though

consumers are satisfied with their present brand.

IV. Factors influencing the Extent of Problem Solving

A. The degree of personal involvement is the most important factor that shapes the

type of decision-process behavior that will be followed. The consumer trys to:

1. Minimize the risks of the purchase

2. Maximize the benefits of the purchase

B. Determinants of involvement include personal, product, and situational factors.

1. Personal factors without activation of need and drive, there will be no

involvement. Involvement is strongest when the product or service is

8/6/2019 Cdpmodel

4/4

perceived as enhancing self-image, and is also likely to be enduring as

opposed to situational.

2. Product factors Products or brand become involving if there is some

perceived risk in purchase and use. Types of perceived risk include physical,

psychological, performance, and financial risk.

3. Situational factors Involvement may be situational, in other words,

operational on a temporary basis and likely to wane once purchasing

outcomes are resolved.

4. Perceptions of differences among alternatives EPS is more probable when

choice alternatives are seen as differentiated.

5. Time availability EPS is generally followed when time pressures are low.

6. Consumer mood may serve as an important moderating variable, which can

strongly influence the information processing, and evaluation that takes

place.

C. Outcomes of high and low involvement include:

1. Initiation of EPS

2. Activation of message involvement

3. A greater likelihood that consumers will notice differences in the attributes

possessed by various products

V. Diagnosing Consumer Behavior Provides Answers to Questions that will Help

Formulate:

A. More extensive market research

B. Communications strategies

C. Marketing strategies