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Consumer Buying Behavior What makes people consumers? Topics Buying Behavior Characteristics Affecting Behavior Buying Decisions Buying Process New Product Adoption Consumers Consumer Market All individuals and households who buy for personal use Consumer buying behavior Reasons and logic behind purchasing decisions U.S. market 300 million Worldwide 6 billion Expected to be over 8 billion by 2025 Consumers How do consumers respond to marketing attempts? Influences Marketing Mix: price, place, product, promotion Consumer Characteristics and decision process Responses Product, brand, dealer choice, purchase timing Behavior Characteristics Cultural Broadest and deepest influence Includes Culture Subculture Social class Culture Most basic cause of wants and needs Cultural behavior is learned, not inherited Different cultures have different values Recall from earlier sections Marketers need to be aware of cultural shifts in order to target products correctly Subculture Smaller groups within a culture that share common interests and traits Typically identifiable through demographics 4 major divisions Hispanics African Americans Asian Americans 50 plus Social Class Permanent divisions in the subculture Not just by income, but also occupation, education, type of wealth Some countries have fixed classes, i.e. India 7 flexible distinction in U.S. Social Class Upper Uppers - 1% Lower Uppers – 1% Upper Middle – 15% Middle Class – 30% Working Class – 38% Upper Lower – 13% “Working poor” Lower Lower – 12% Social Factors Groups Membership groups – direct influence Reference groups – points of comparison Aspirational groups – a group you want to belong to, sports teams, bands, etc. Opinion leaders – those who influence based on status, skills or personality Social Factors Family Most important buying organization Continuing changes in family require constant marketing adaptation Role and Status Activities people are expected to perform based on others General esteem given by s
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