Copyright 2017 Pearson Education, Ltd.

5-1
Learning Objectives
5-1. Understand the consumer market
and the major factors that influence
consumer buyer behavior.
5-2. Identify and discuss the stages in
the buyer decision process.
5-3. Describe the adoption and
diffusion process for new
products.

Copyright 2017 Pearson Education, Ltd. 5-2

Learning Objectives
5-4. Define the business market and
identify the major factors that
influence business buyer behavior.
5-5. List and define the steps in the
business buying decision process.

Copyright 2017 Pearson Education, Ltd. 5-3

First Stop: Lenovo
Understanding Customers and Building Profitable
Relationships

Lenovo listens and

communicates
constantly with
their customers
and
takes their input
into consideration,
as when customers
complained about
the removal of
the TrackPoint Copyright 2017 Pearson Education, Ltd. 5-4
Learning Objective 5-1
Understand the consumer market and
the major factors that influence
consumer buyer behavior.

Copyright 2017 Pearson Education, Ltd. 5-5

Consumer Buyer Behavior
and Consumer Markets

Consumer buyer
behavior
Buying behavior of final consumers

Consumer market

All the individuals and households

that buy or acquire goods and
services for personal consumption

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Figure 5.1 - Model of
Buyer Behavior

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Figure 5.2 - Factors
Influencing Consumer
Behavior

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Cultural Factors

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Cultural Factors

To improve
perceptions
among young
Asian Americans,
AT &T created a
Web series called
Away We
Happened.

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Social Factors

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Personal Factors

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Personal Factors

KitchenAid sells
an entire
cooking and
entertainment
lifestyle to
Kitchenthusiast
s.

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Psychological Factors

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Figure 5.3 Maslows
Hierarchy
of Needs

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 Learning Objective 5-1
Summary
Consumer market and consumer buyer
behavior
Model of buyer behavior
The environment, buyers black box, and
buyer responses
Factors influencing consumer behavior
Cultural
Social
Personal characteristics
Psychological factors
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Learning Objective 5-2

Identify and discuss the stages in the

buyer decision process.

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Figure 5.4 - Buyer Decision
Process

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 Postpurchase Behavior

Postpurchase customer
satisfaction is a key to
building profitable
customer relationships.

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Learning Objective 5-2
Summary
Stages in the buyer decision process
Need recognition
Information search
Alternative evaluation
Purchase decision
Postpurchase behavior

Copyright 2017 Pearson Education, Ltd. 5 - 20

Learning Objective 5-3
Describe the adoption and diffusion
process for new products.

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Stages in the Adoption
Process

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Figure 5.5 - Adopter Categories
Based on Relative Time of
Adoption of Innovations

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Characteristics Influencing an
Innovations Rate of Adoption

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Learning Objective 5-3
Summary
Five stages of the adoption process
Awareness
Interest
Evaluation
Trial
Adoption
The diffusion process for new
products
Innovators, early adopters, early
mainstream, late mainstream, or lagging
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Learning Objective 5-4
Define the business market and
identify the major factors that
influence business buyer behavior.

Copyright 2017 Pearson Education, Ltd. 5 - 26

Business Buyer Behavior
Business buyer behavior
Purchasing goods and services are used
in the production of other products and
services
Business-to-business (B-to-B)
marketers must understand business
markets and business buyer behavior
Business buying process: Determining
which products and services to purchase
Finding, evaluating, and choosing
among alternative suppliers and brands
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Business Markets
Business markets are huge and
involve more money and items than
consumer markets.
Differ from consumer markets in
terms of
Market structure and demand
Nature of the buying unit
Types of decisions and the decision
process
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Market Structure and Demand

Business market structure and

demand
Fewer but larger buyers
Derived demand: Business demand
that comes from the demand for
consumer goods
Inelastic and fluctuating demand

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Nature of the Buying Unit
Nature of the business market buying
unit
More decision participants
More professional purchasing effort

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Types of Decisions
Business purchases
More complex buying decisions
Large sums of money
Complex technical and economic
considerations
Interactions among people at many
levels of the buyers organization

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 Decision Process
Buying processes
Longer and more formalized procedures
Buyer and seller more dependent on each
other
Supplier development: Systematic
development of networks of supplier-
partners to ensure a dependable supply
of products and materials

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Figure 5.6 - A Model of
Business Buying Behavior

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Types of Buying Situations

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Types of Buying Situations

Solutions
selling: IBM
works with Six
Flags to provide
a complete
solution.

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Participants in the
Business Buying Process
Buying center: All the individuals
and units that play a role in the
purchase decision-making process
Actual users of the product or service
People who make the buying decision
People and units influencing the buying
decision
People who do the actual buying
Individuals and units controlling the
buying information
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Figure 5.7 - Major Influences on
Business Buying Behavior

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Learning Objective 5-4
Summary
Buying behavior of organizations
Business-to-business (B-to-B) marketers
Business buying process
Market structure and demand
Types of buying situations
Buying center - decision making unit

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Learning Objective 5-5

List and define the steps in the

business buying decision process.

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Figure 5.8 - Stages of
Business Buying Behavior

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E-Procurement
and Online Purchasing
Purchasing through electronic
connections between buyers and
sellersusually online
E-procurement occurs through
Reverse auctions
Online trading exchanges
Company buying sites
Extranet links with key suppliers

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Benefits and Problems
of E-Procurement

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Business-to-Business Digital
and Social Media Marketing
B-to-B marketers are now using a
wide range of digital and social
media marketing approaches.
Compared with traditional media and
sales approaches, digital and social
media can create greater customer
engagement and interaction.

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Learning Objective 5-5
Summary
Steps in the business buying decision
process:
Problem recognition, general need
description, product specifications,
proposal solicitation, supplier selection,
order-routine specification, and
performance review
Information and digital technology
have given birth to e-procurement.
Copyright 2017 Pearson Education, Ltd. 5 - 44
Learning Objectives
5-1. Understand the consumer market
and the major factors that influence
consumer buyer behavior.
5-2. Identify and discuss the stages in
the buyer decision process.
5-3. Describe the adoption and
diffusion process for new
products.

Copyright 2017 Pearson Education, Ltd. 5 - 45

Learning Objectives
5-4. Define the business market and
identify the major factors that
influence business buyer behavior.
5-5. List and define the steps in the
business buying decision process.

Copyright 2017 Pearson Education, Ltd. 5 - 46