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Chapter 6 - Consumer Behavior Marketing 6th
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
10
Slim-Fast
3. Identify the determinant attributes that set the Weight Watchers and Jenny Craig programs
apart. Use those attributes to develop a compensatory purchasing model similar to the one in
Exhibit 6.2.
Daily
Tracking
Group
Sessions
Prepared
Meals
Price
Overall
Score
Importance Weight
0.10
0.30
0.40
0.20
1.00
Weight Watchers
10
9
9
7
8.7
Jenny Craig
8
10
10
8
9.4
4. How can Weight Watchers, Slim-Fast, and Jenny Craig increase the probability of customer
satisfaction?
The companies should determine what is important to customers and the best way to create value for
customers. They should set realistic expectations for customers so that they are not expecting dramatic
5. Which factors examined in this chapter might have the most impact on consumers’ propensity
to go on a diet and choose one of these diet programs?
Student answers will vary. Some may choose the psychological factors that affect the way people
receive marketers’ messages. These factors (motives, attitudes, perceptions, learning, and lifestyle) can
Additional Teaching Tips
This chapter focuses on the consumer buying decision and describes the cognitive process that
consumers experience when evaluating that purchasing decision. It also focuses on the dynamics of what
influences the consumer buying decision.
This chapter is often one that is glossed over by students since they are familiar with making buying
decisions and they know most of the terminology in the chapter. However, what the student finds difficult
is connecting the process of the consumer buying decision with marketing strategy. Instructors should
emphasize the marketing strategies that can be developed to make the buying decision more likely. To do
that, marketers need to know how their target market makes that buying decision.
An exercise instructors may want to use is to have students write down the steps in the consumer
buying decision process using a recent purchase experience they have made. Then the students can
switch papers with the assignment of developing the marketing strategy for the buying process.
Chapter 6 - Consumer Behavior Marketing 6th
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
11
(Example: If I know people make their buying decision on purchasing diapers based on Internet coupon
availability, as a marketer I would make sure I supplied an Internet coupon to my target market and
communicated that to them.) This exercise gets students thinking about why they need to learn about the
consumer buying decision (to form marketing strategy). Online Tip: This can be easily transferred to the
online forum using the discussion board tools of the platform. Students can post their buying decision
steps of a recent purchase. Other learners can respond by developing the marketing strategy.
Connect Activities
Activity
Type
Learning Objectives 06-
01
02
03
04
05
06
The Camp Car in the U.S. Market
Case Analysis
X
X
X
The Perfect Haircut: Consumers’ Search Process
Click & Drag
X
Video Streaming Service: The Consumer Decision
Process
Click & Drag
X
Netflix and Consumer Behavior
Video Case
X
X
X
Helping Consumers Decide: Yelp
Video Case
X
X
X
A Trip to the Grocery Store
Click & Drag
X
X
Consumer Decision Rules: Evaluating Airlines
MC Worksheet
X
Consumer Decision Rules: Evaluating Soft Drinks
MC Worksheet
X
Consumer Decision Rules: Evaluating Car Models
MC Worksheet
X
Weight Watchers, Jenny Craig, and SlimFast
Case Analysis
X
X
X
X
X
ISeeIt Video Case: Consumer Decision Process
Video Case
X
X
X
The Camp Car in the U.S. Market
▪ Activity Type: Case Analysis
▪ Learning Objectives: 06-03, 06-05, 06-06
▪ Difficulty: Hard
▪ Activity Summary: This case discusses a hypothetical product called the “camp car,” which is
somewhat like a Smart Car. Students are asked questions relating the case to course concepts.
Activity
▪ Introduction: In this activity, you'll be reviewing the features and popularity of a fictional ultra-
compact car, the camp car. This car is already the rage in Europe and is now making its way across
the pond to the U.S. market. This case discusses why the camp car has been so popular in Europe
as well as what challenges the company faced in adapting to the unique consumer behavior of U.S.
auto buyers. Review the case and answer the questions as instructed.
▪ Concept Review: The consumer decision process can be influenced by several factors, including
psychological factors (internal influences such as motives, attitudes, perception, and learning), social
factors (such as family, reference groups, and culture), and situational factors (such as the purchase
situation, the store environment, and the time of day).
Chapter 6 - Consumer Behavior Marketing 6th
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
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Follow-Up Activity
Internet research challenge: Ask students to find recent data on the most popular car models (note:
models, not brands) in Europe vs. the U.S. Then compare the cars, visiting websites for some of the
models. To what extent do the features of the popular cars support what the case says about the
differences between American and European drivers? Remind the students that they should consider
good Internet research practices, including credibility of the source and currency of the information.
Here are some websites that, as of this writing, have current data:
▪ http://www.best-selling-cars.com/ - This is a blog written by a freelance writer in Switzerland, so his
credibility over the subject matter isn’t well established; however, the wealth of data he has on his site
at least suggests that he’s invested in the accuracy of the information provided.
▪ http://focus2move.com/ - An automotive consulting company’s website
The Perfect Haircut: Consumers’ Search Process
▪ Activity Type: Click & Drag
▪ Learning Objectives: 06-03
▪ Difficulty: Medium
▪ Activity Summary: Different risk factors in the consumer decision process, and their impact on
information search, are applied to a scenario of two consumers choosing a place to get a haircut.
Students click and drag factors into the appropriate categories.
Activity
▪ Introduction: Two consumers are searching for new hair salons and have very different belief
systems and needs that affect the way they search for information. Categorize the following
statements according to the factors that affect consumers' search processes.
▪ Concept Review: The second step in the consumer decision process, after a consumer recognizes a
need, is to search for information about various options that exist to satisfy that need. The length and
intensity of the search are based on the degree of perceived risk associated with purchasing the
product or service.
The student will need to mouse over each of the ten boxes presented in order to understand the ten
items. The statements that appear identify the individual (Joleen or Ginger) and give more insight into the
consumer’s thought process.
Follow-Up Activity
Ask the students to work in small groups to choose a product category in which many different types of
consumers make purchases (some suggestions: shoes, jeans, or a meal in a restaurant). Then describe
two very different purchasing scenarios, as in the haircut example above. For each scenario, identify the
key risk factors that will affect the amount of information search.
Chapter 6 - Consumer Behavior Marketing 6th
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
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Video Streaming Service: The Consumer Decision Process
▪ Activity Type: Click & Drag
▪ Learning Objectives: 06-01
▪ Difficulty: Medium
▪ Activity Summary: The steps of the consumer decision process are explored in the context of a
hypothetical choice of a video streaming service.
Activity
▪ Introduction: Eva Carlyn is a college student making a decision about a video streaming service. As
part of her decision-making process she asks herself, "Which alternative gives me the best overall
value—the best selection and convenience at the lowest price?" and, "Which alternative is more likely
to attract friends over to watch movies?" Read about Eva's process and then assemble the decision-
making model as instructed.
▪ Concept Review: To understand consumer behavior, we must learn why people buy products.
Generally, a consumer chooses a good or service because she or he perceives it to be the best
value; that is, the ratio of benefits to costs is higher for that good or service than for any other. The
consumer decision process model represents the steps that consumers go through before, during,
and after making purchases.
First, the student is asked to read a short case about a video streaming purchase decision. Then, the
student categorizes each example according to the step of the consumer decision process it represents.
Follow-Up Activity
Writing prompt: Ask each student to identify two recent purchases—one that was a simple choice, and
another that was more complex. Then, the student should write a short essay describing each purchase
situation, and classifying what happened according to the step of the consumer decision process that
each action or thought process represented.
Netflix and Consumer Behavior
▪ Activity Type: Video Case
▪ Learning Objectives: 06-01, 06-02, 06-03
▪ Difficulty: Medium
▪ Activity Summary: This video case explores the origins of Netflix and the services it offers. After the
video ends, students are asked questions about the video and related course concepts.
Activity
▪ Introduction: Instead of driving to a video store, Netflix subscribers create online lists of DVD
selections from the company's inventory of over 100,000 titles, receive DVDs in the mail, keep them
for as long as they wish, and then mail them back in prepaid envelopes. On an average day, Netflix
ships two million DVDs to its 10+ million subscribers. Despite this high volume, service is prompt and
Chapter 6 - Consumer Behavior Marketing 6th
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
14
efficient, and 90% of Netflix customers say that they actively recommend the service to friends and
family. "Watch It Now" streaming movies are also available to subscribers who want to choose a
movie and watch it immediately. Follow the evolution of Netflix in the video, which discusses the role
of consumer behavior in the firm's success.
▪ Concept Review: To understand consumer behavior, we must learn why people buy products.
Generally, a consumer chooses a good or service because she or he perceives it to be the best
value; that is, the ratio of benefits to costs is higher for that good or service than for any other. Using
principles and theories from sociology and psychology, marketers have been able to decipher many
consumer actions and develop basic strategies for responding to, or anticipating, their behavior.
▪ Video: The video is presented to the student below the introductory information. The video plays
embedded on the page, after which questions are presented.
Follow-Up Activity
At the time that the video was recorded, Netflix’s business was primarily in DVD delivery, and its primary
competitor was Blockbuster. Much has changed since then, particularly in the area of on-demand
streaming of entertainment. But for this activity, we will focus on the DVD rental business, where a new
competitor has emerged: Redbox. Rather than offer a subscription service, Redbox has reinvented the
“DVD rental store” model in a lower-cost format, creating self-service kiosks where consumers can rent
movies quickly and inexpensively, and placing these kiosks in grocery stores and other high-traffic
locations.
In small groups, have students compare Netflix’s DVD services to those offered by Redbox. What types of
customer needs are met by each service? How much information search does each alternative require?
Which one involves more risks? Would you expect each to adopt a transactional or a relational orientation
(this concept is from Chapter 1)?
Helping Consumers Decide: Yelp
▪ Activity Type: Video Case
▪ Learning Objectives: 06-01, 06-02, 06-03
▪ Difficulty: Medium
▪ Activity Summary: This video case discusses Yelp, where consumers can review local businesses,
and relates it to different factors that impact the consumer decision process. After the video ends,
students are asked questions about the video and related course concepts.
Activity
▪ Introduction: Founded in 2004, Yelp is a website/service that connects consumers with many types
of local businesses. These businesses range from restaurants to dentists to beauty salons. The site
has grown tremendously and its international community of users call themselves Yelpers. In January
of 2011, Yelp had more than 45 million unique visitors. Yelpers have written over 15 million local
reviews. All of these word-of-mouth reviews are locally indexed, the starting point for Yelp searches.
Yelp has grown to be a valuable resource to aid consumer decision making.
▪ Concept Review: Many consumer decisions require searching for and evaluating information. There
are psychological factors that affect the search process such as past experience, locus of control, and
perceived risk. When consumers evaluate alternatives, they often use decision rules regarding
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Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
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determinant attributes. After evaluation, consumers are typically ready to buy. There are also a
number of factors that influence the overall decision process. In this activity, you will be examining
these factors as they relate to Yelp.
▪ Video: The video is presented to the student below the introductory information. The video plays
embedded on the page, after which questions are presented.
Follow-Up Activity
For class discussion or writing prompt:
One problem with online review sites is the writing of “shill” reviews. For example, a hotel owner or
employee might post reviews of his/her own hotel, or might offer customers an incentive (such as a
discount) to post five-star reviews regardless of the customer’s true opinion.
But even omitting false reviews, there are still challenges in using online reviews to aid in decision
making. For almost any product or service, you can find a wide range of opinions, from wildly positive to
just as wildly negative.
How do you decide which reviews are the best predictors of how you will feel about the product or
service? What cues cause you to trust or mistrust a review? How do you identify your online “reference
group” among those reviewers: the ones who are most likely to share your wants, needs, and attitudes?
A Trip to the Grocery Store
▪ Activity Type: Click & Drag
▪ Learning Objectives: 06-03, 06-06
▪ Difficulty: Medium
▪ Activity Summary: This activity presents three grocery shopping scenarios to distinguish among
different types of buying situations.
Activity
▪ Introduction: Every time we go to the store, we make decisions on what products to buy and what
brands to buy. These decisions are dependent on individual consumer experiences, habits, and
preferences with product categories and brand loyalty. This activity asks you to read three brief
buying scenarios and determine the decision heuristic and the type of buying decision being used.
▪ Concept Review: Once a consumer has recognized a problem and explored the possible outcomes,
she or he must sift through the choices available and evaluate the alternatives. Some use decision
heuristics, which are mental shortcuts that help consumers narrow down the choices. Consumers
engage in two types of buying processes/decisions, depending on their level of involvement.
Follow-Up Activity
In small groups, have students develop buying scenarios representing each of the three buying situations
for a different product category: perhaps clothing or a restaurant choice.
Chapter 6 - Consumer Behavior Marketing 6th
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
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Consumer Decision Rules: Evaluating Airlines
▪ Activity Type: Multiple Choice Worksheet
▪ Learning Objectives: 06-05
▪ Difficulty: Hard
▪ Activity Summary: Students read a fictional scenario describing an airline ticket purchase scenario,
and then complete a worksheet that leads them through using compensatory and noncompensatory
decision criteria to make a choice.
Activity
▪ Introduction: People use various consumer decision rules to select a product or service from
among several alternatives. In compensatory decision-making, consumers trade off one product
characteristic against another; positive characteristics compensate for negative ones. A
noncompensatory decision is when consumers choose a product based on only one characteristic,
regardless of the value of the others. (As a consumer, you’ll need to weigh various criteria—based on
your opinions, observation, and experience—in order to make a well-informed purchasing decision.)
In the following exercise, you’ll evaluate airline brands using both compensatory and non-
compensatory consumer decision rules.
▪ Instructions: Read the fictional scenario, reviewing the characteristics that Tara Singh will use to
purchase an airline ticket from one of 3 airlines: American, Delta, and Southwest. Then answer 25
multiple-choice questions. Questions 1-16 ask you about weights, importance, and performance of
various characteristics of the flights, and then ask you what choice Tara would make using both
compensatory and noncompensatory decision models. Questions 17-25 further analyze Tara’s
decision making; you will answer only five of these nine questions.
Consumer Decision Rules: Evaluating Soda Drinks
▪ Activity Type: Multiple Choice Worksheet
▪ Learning Objectives: 06-05
▪ Difficulty: Hard
▪ Activity Summary: Students read a fictional scenario describing a soft drink purchase scenario, and
then complete a worksheet that leads them through using compensatory and noncompensatory
decision criteria to make a choice.
Activity
▪ Introduction: People use various consumer decision rules to select a product or service from
among several alternatives. In compensatory decision-making, consumers trade off one product
characteristic against another; positive characteristics compensate for negative ones. A
noncompensatory decision is when consumers choose a product based on only one characteristic,
regardless of the value of the others. (As a consumer, you’ll need to weigh various criteria—based on
your opinions, observation, and experience—in order to make a well-informed purchasing decision.)
In the following exercise, you’ll evaluate airline brands using both compensatory and non-
compensatory consumer decision rules.
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Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
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▪ Instructions: Read the fictional scenario, reviewing the characteristics that Victor Fernandez, a first-
year middle-school teacher, uses to buy cola, selecting from one of 3 brands: Coca-Cola, Pepsi, and
Dr Pepper. Then answer 25 multiple-choice questions. Questions 1-16 ask you about weights,
importance, and performance of various characteristics of the sodas, and then ask you what choice
Victor would make using both compensatory and noncompensatory decision models. Questions 17-
25 further analyze Victor’s decision making; you will answer only five of these nine questions.
Consumer Decision Rules: Evaluating Car Models
▪ Activity Type: Multiple Choice Worksheet
▪ Learning Objectives: 06-05
▪ Difficulty: Hard
▪ Activity Summary: Students read a fictional scenario describing a car purchase scenario, and then
complete a worksheet that leads them through using compensatory and noncompensatory decision
criteria to make a choice.
Activity
▪ Introduction: People use various consumer decision rules to select a product or service from
among several alternatives. In compensatory decision-making, consumers trade off one product
characteristic against another; positive characteristics compensate for negative ones. A
noncompensatory decision is when consumers choose a product based on only one characteristic,
regardless of the value of the others. (As a consumer, you’ll need to weigh various criteria—based on
your opinions, observation, and experience—in order to make a well-informed purchasing decision.)
In the following exercise, you’ll evaluate airline brands using both compensatory and non-
compensatory consumer decision rules.
▪ Instructions: Read the fictional scenario, reviewing the characteristics that Ashley Jones, a young
medical student, will use to buy a car, selecting from one of 3 models: SUV, Sedan, and Coupe. Then
answer 25 multiple-choice questions. Questions 1-16 ask you about weights, importance, and
performance of various characteristics of the car models, and then ask you what choice Ashley would
make using both compensatory and noncompensatory decision models. Questions 17-25 further
analyze Ashley’s decision making; you will answer only five of these nine questions.
Weight Watchers, Jenny Craig, and SlimFast
▪ Activity Type: Case Analysis
▪ Learning Objectives: 06-01, 06-02, 06-03, 06-04, 06-05
▪ Difficulty: Hard
▪ Activity Summary: A short case compares and contrasts the products and services offered by
Weight Watchers, Jenny Craig, and SlimFast. Students are asked questions relating the case
material to course concepts.
Chapter 6 - Consumer Behavior Marketing 6th
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of
McGraw-Hill Education.
18
Activity
▪ Introduction: The weight loss industry, worth over $60 billion in 2010, is growing steadily because
lifestyles and food choices keep working against people's desire to lose weight. Many Americans
spend their days sitting in front of a computer and their evenings sitting in front of a television.
Restaurant meals, prepared foods, and high-fat/high-sugar snacks have replaced home-cooked
meals, whole grains, and fresh produce. Exercise is limited to clicking a mouse or turning an ignition
key. Three recognized diet-aid behemoths, Weight Watchers, Jenny Craig, and SlimFast, share a
substantial piece of the pie of this highly lucrative market.
▪ Concept Review: It is vital that marketers study consumer behavior to understand why people buy
specific products or services and not others. Generally, people buy one product or service instead of
another because they perceive it to be the better value for them; that is, the ratio of benefits to costs
is highest for the product or service they purchase. But buyer behavior is far more complex than that,
and the best value is not always chosen. The consumer decision-making process model represents
the steps that consumers go through before, during, and after making purchases. In this decision
process, consumers use decision rules that are a set of criteria used consciously or subconsciously to
quickly and efficiently select from among several alternatives. Marketers need to consider that the
consumer decision process is influenced by several factors: social, psychological, situational, and the
marketing mix itself. In general, consumers make two types of buying decisions, depending on their
level of involvement: extended problem solving; and limited problem solving, which includes impulse
buying and habitual decision making.
ISeeIt Video Case: Consumer Decision Process
▪ Activity Type: Video Case
▪ Learning Objectives: 06-01, 06-03, 06-05
▪ Difficulty: Medium
▪ Activity Summary: This video case explores the consumer decision process, using the selection of a
flight home for the holidays as the context.
Activity
▪ Introduction: Behind the act of making a purchase lies a complex and important decision making
process. Buyers typically pass through a five-stage process where they must decide between a set of
possible options to meet their needs. Take for instance Gabbie and her need to fly home to see her
parents during the holiday season. With her limited budget and even less experience, she relied on
her parents, her boyfriend and the Internet as sources of information to help guide her decision. Upon
finding a series of alternatives which met her budgetary and personal requirements, she decided to
purchase a flight with Jet Green. While she enjoyed her flight, the airline lost Justin’s luggage, which
left her with a somewhat negative opinion of an otherwise satisfying experience. While this negative
opinion may impact Gabbie’s immediate evaluation of the experience, her future purchasing needs
along with motivation, personality, and perception will also influence potential travel purchases with
Jet Green.
▪ Video: The video is presented to the student below the introductory information. The video plays
embedded on the page, after which questions are presented.
