Consumer Decision Making

Chapter 7

7-2

• Decisions– Requires a choice between different behaviors– Marketers are interested in consumers’

purchase behaviors

• Model of consumer decision making– All aspects of affect and cognition are involved

Introduction

7-3

– The integration process is the key process by which knowledge is combined to evaluate two or more alternative behaviors and select one

– The outcome is a choice, represented cognitively as a behavioral intention (BI)

Introduction cont.

7-4

Introduction cont.

7-5

Decision Making as Problem Solving

• Consumer decision making is a goal-directed, problem-solving process

• Consumer problem solving is a continuous stream of interactions among– Environmental factors– Cognitive and affective processes– Behavioral actions

7-6

Decision Making as Problem Solving cont.

• Generic model of consumer problem solving

7-7

Decision Making as Problem Solving cont.

– Five basic stages or subprocesses• Problem recognition• Search for alternative solutions• Evaluation of alternatives• Purchase• Postpurchase use and reevaluation of chosen

alternative

7-8

Decision Making as Problem Solving cont.

– Generic model often provides an imperfect account of actual problem-solving processes

• Actual consumer problem solving seldom proceeds in a linear sequence

• Actual problem-solving processes involve multiple, continuous interactions among consumers’ cognitive processes, their behaviors, and aspects of the physical and social environment

• Most problem-solving processes actually involve multiple problems and multiple decisions

7-9

Elements of Problem Solving

• Three basic elements of problem solving– Problem representation

• Serves as a decision frame• End goals• A set of subgoals organized into a goal hierarchy• Relevant product knowledge

7-10

Elements of Problem Solving cont.

7-11

Elements of Problem Solving cont.– Choice alternatives

• Consideration set

– Choice criteria• Only discriminant consequences can be used as

choice criteria• The relevant choice criteria for a decision depends,

in part, on the particular set of choice alternatives under consideration

• Vary in evaluation

7-12

Elements of Problem Solving cont.– Integration process

• Perform two essential tasks– The choice alternatives must be evaluated in terms of the

choice criteria– One of the alternatives must be selected

• Two types of integration procedures can account for these evaluation and choice processes

– Formal integration strategies– Heuristics

7-13

Elements of Problem Solving cont.– Formal models of the integration process involved in

evaluating and choosing among choice alternatives

7-14

Elements of Problem Solving cont.

– Compensatory integration processes• Multiattribute model

– Noncompensatory integration processes• Conjunctive• Disjunctive• Lexicographic• Elimination by aspects

– Combination processes

7-15

Elements of Problem Solving cont.– Consumer heuristics

• Search• Evaluation• Choice

– Decision plans• Vary in their specificity and complexity• Concern intentions to perform particular behaviors in

highly defined situation• Increase the likelihood that the intended behaviors

will be performed

7-16

Problem-Solving Processes in Purchase Decisions

• Extensive decision making– Usually involves a substantial amount of search

behavior– Involves several choice decisions and

substantial cognitive and behavioral effort– Likely to take rather long periods

7-17

Problem-Solving Processes in Purchase Decisions cont.

• Limited decision making– Amount of effort ranges from low to moderate– Involves less search for information than

extensive decision making– Choices typically carried out fairly quickly

• Routinized choice behavior– Requires very little cognitive capacity or

conscious control

7-18

Problem-Solving Processes in Purchase Decisions cont.

• Effects of end goals– Optimize satisfaction– Prevention– Resolve conflict– Escape– Maintenance (satisfaction)

7-19

Problem-Solving Processes in Purchase Decisions cont.

• Effects of goal hierarchies– Provides useful structure

• Effects of involvement and knowledge– Low involvement, low knowledge– Low involvement, high knowledge– High involvement, high knowledge– High involvement, low knowledge

7-20

Problem-Solving Processes in Purchase Decisions cont.

• Environmental effects– Four types of disruptive events, or interrupts

• Unexpected information• Prominent environmental stimuli• Affective states• Conflicts

– Goal– Approach-approach

7-21

Problem-Solving Processes in Purchase Decisions cont.

– Avoidance-avoidance– Approach-avoidance– Interrupts

• Implications for marketing strategy– Routinized choice behavior– Limited decision making– Extensive decision making

7-22

Summary• Examined consumers’ decision-making

processes as they choose between alternative behaviors

• Learned about the primary focus on purchase choices of products and brands

• Discussed how to treat decision-making as a problem-solving process in which the consumers’ cognitive representation of the problem is key to understanding the process

7-23

Summary• Considered what is involved in problem

representation

• Examined how consumers’ problem-solving processes vary widely

• Described how consumers’ end goals, goal hierarchies, product knowledge, and involvement affect the problem-solving process

7-24

Summary

• Discussed how various aspects of the decision environment affect the problem-solving process

• Drew implications of these concepts for marketing strategy