What is Consumer Behaviour (1)

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    Evaluation of Customer

    Behaviour, Expectation &Perception in building

    Customer Relation

    By:Swapna Chitra SahooRashmita JatiRupak Kumar Sahu

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    What is consumer behaviour?

    It is the study of when, why, how, and where people

    do or do not buy a product or service.

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    Whose Behaviour is Important?

    Buyer

    Consumer

    Customer

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    Factors influencing Consumer Behaviour

    Cultural and Social factors

    Personal and Physical factors

    Psychological factors

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    Cultural and Social factors

    Formal learning

    Informal learning

    Technical learning

    Income

    Family

    Reference groups

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    Personal factors

    Education

    Occupation

    Economic position

    Status

    Personality and self concept

    Lifestyle

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    Physical factors Age

    Sex

    Health

    Height and weight

    Beauty

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    Psychological factors Motivation

    Perception

    Learning

    Attitude and beliefs

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    Consumer Buying Process

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    Need Recognition Physiological needs

    Safety and Security needs

    Social needs

    Ego needs Self-actualization

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    Information Search Personal and Non personal sources

    Perceived Risk

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    Post Purchase Evaluation Word-of-Mouth communication

    Attribution of Dissatisfaction

    Positive or Negative Biases

    Brand Loyalty

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    Customer expectation

    Reference point to compare service delivery

    Mainly two levels:o maximum level

    o minimum level

    Differ from customer to customer

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    Levels of service performance

    Below minimum level

    Minimum service level

    Adequate service level

    Maximum service level

    Above maximum level

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    Zone of tolerance

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    Determinants of maximum level

    of service expectation

    Needs and wants

    Derived expectations

    Personal expectations

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    Determinants of minimum

    level of service expectation Service choice

    Emergencies Participative ability

    Situational factor

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    Factors effecting both maximum &

    minimum level of expectation

    Marketing communication

    Word of mouth

    Past experience

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    Consumer

    Perception

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    Perception

    The process by which anindividual selects,

    organizes, and interpretsstimuli into a meaningful

    and coherent picture of

    the world.

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    Elements of Perception Sensation

    The absolute threshold

    The differential threshold

    Subliminal perception

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    SensoryReceptors

    The human organs (eyes,

    ears, nose, mouth, skin)that receive sensory

    inputs.

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    AbsoluteThreshold

    The lowest level at whichan individual can

    experience a sensation.

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    SensoryAdaptation

    Getting used to certainsensations; becoming

    accommodated to acertain level of

    stimulation.

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    DifferentialThreshold

    The minimal differencethat can be detected

    between two stimuli.Also known as thej.n.d.

    (just noticeable

    difference).

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    Marketing Applications of the jnd

    Need to determine the

    relevant j.n.d. for their

    products

    o so that negative changes are not

    readily discernible to the public

    o so that product improvements

    are very apparent to consumers

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    SubliminalPerception

    Perception of very weak

    or rapid stimuli receivedbelow the level of

    conscious awareness.

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    Perceptual Selection Consumers subconsciously are selective as to

    what they perceive.

    Stimuli selected depends on two major factors

    o Consumers previous experience

    o Consumers motives

    Selection depends on the

    o Nature of the stimulus

    o Expectations

    o Motives

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    Perception is influenced by:

    Product and Service Features

    Consumer Emotion

    Attribution for Service Success or Failure

    Perception of Equity or Fairness

    Other consumers, Family Members and Co-workers

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    Servqual A critical element to analyse customer perception,

    customer evaluation and customer satisfaction

    Service Quality Dimension: determines that thequality is based on multiple factors relevant to the

    context

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    The Gap Model

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    Servqual Factors Reliability: ability to perform the promised service

    dependably and accurately

    Responsiveness:willingness to help customers and provide

    prompt service

    Assurance:employees knowledge and courtesy and their

    ability to inspire trust and confidence

    Empathy: caring, individualized attention given to customers

    Tangibles:appearance of physical facilities, equipment,

    personnel and written materials

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    Judgment of 5 Servqual dimensions by customers

    Reliability Responsiveness Assurance Empathy tangibles

    Car Repair(Consumer)

    Problemfixed the first

    time andready when

    promised

    Accessible; nowaiting;

    responds torequest

    Knowledgeable mechanics

    Acknowledges customersby names ordesignation;remembers

    previous

    problems

    Repairfacilities;

    waiting area;uniforms;

    equipment

    Airline(Consumer)

    Flights topromised

    destinationsdepart andarrive onschedule

    Prompt andspeedy systemfor ticketing,

    in-flightbaggagehandling

    Trusted name;good safety

    record;competentemployees

    Understandspecial

    individualneeds;

    anticipatescustomers

    needs

    Aircraft;ticketingcounters;

    baggage area;uniforms

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    Service Encounters

    Otherwise known as moment of truth

    is whencustomers interacts with the service firm

    It is potentially critical in determining customer

    satisfaction and loyalty

    Types:

    o Remote Encounters

    o Phone Encounters

    o Face-to-Face Encounters

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    Thank

    You