Decision Making Process: How Consumers Make Buying Decision?

Kimberly: Oh! Stop it! I’m Thirsty!

Eric: Let’s get something to drink from corridor

Kimberly: You talk too much! Thanks God! For the first time you asked something to drink

Eric: My treat! So what do you want to drink? Water, Soft drink, cocktail, beer, wine?

Kimberly : (thinks)Water, Soft drink, cocktail, beer or wine

Kimberly : I’d like a Coke!

Eric: One Coke, comin’ up!

Here you go

Kimberly : Now I’m feeling better, so where were we?

Eric: We were….

Kimberly : Oh! Wait a minute!

Buuuuuuuurrrrrp

Sorry! So where were we?

Eric, where are you?

Eric : I’m here! I hate you and your burp. I’ll never buy you a drink again, i promise

Kimberly : Ok, I’m sorry, please i really need to learn that topic, so where were we?

Eric : How consumers make buying decision?

Kimberly : So, how they do that?

Eric : Let’s recall, why did you drink Coke?

Kimberly : You asked me, what did i want to drink?

Not this one. Go to the initial stage. Why did you want to drink?

(Flashback) Kimberly : Oh! Stop it! I’m thirsty!

Kimberly : Oh yeah! I was feeling thirsty!

Decision Making Process: Kimberly’s example:

Eric: First of all, you recognize a need, I’m thirsty. Then, you search information you already have to drink water, soft drink, cocktail, beer or wine.

You evaluate alternatives, in your mind, and after a moment’s thought, you asked for the brand, Coke

This is called, Decision Making Process, to know, how consumers make buying decision. Now let’s discuss it in greater detail, with more examples:

Decision Making Process: How Consumers Make Buying Decision?

Eric: First of all, consumers recognize the need, then they go for information search to collect alternative.

So that, they can evaluate the alternative.

Then they make decision of what they buy, finally, they evaluate again after buying whether their decision of buying specific brand satisfy them or not ?

How consumers buy car?

For example:

1. Need Recognition: consumer thinks, I need a car which is safe for my family.

2. Information Search: So, he goes online for search or asks a friend for cars offer safety,

3. Evaluation of Alternatives: After information search, consumer collected list of brand to evaluate that, which brand satisfies my need of safety? Volvo, Toyota, Lexus or Ferrari?

4. Buy: After evaluating, consumer makes decision to buy Volvo, as he found it’s the safest car and satisfy his need and then.

5. Post Buy Evaluation: Finally, after buying and experiencing the brand, consumer observes, whether, Volvo is really a safest car or not? What others are saying about my decision of buying Volvo?

When Volvo’s new model arrives, consumer decides whether to buy the Volvo brand again or not. Based on his post buy evaluation or experience, he will buy again, if he’s satisfied

Decision Making Process: How Consumers Adapt Short-cut to Make Buying Decision?

Here’s another scenario: sometimes consumers pass through all decision making process. Sometimes they don’t, and jump directly to buying a brand, just after need recognition.

For example, when brands are famous in its category, consumer bypasses all other stages. First of all, he thinks of his need, and then, buy the top brand already exist in his mind

Why Marketers Should Know It?

Here’s the catch! Did you notice, first of all, you think of the category, and then, you asked for the brand?

Kimberly: Yeah!

Eric: Consumers also think the same way, they think of the category, and then, translate that category into brand name, to tell what, exactly, they would like to have.

This is also the major reason why a brand stands for something, in the mind of consumers. It can be achieved through positioning concept, we learnt in previous meetings.

World’s top branding expert, Al Ries and Laura Ries , wrote in their famous book, War in the boardroom:

“The brand is the visible face of the category. But the consumer’s first decision is the selection of the category. The brand always follows that choice.

Consumer think categories, but they frequently express their category choices in terms of brands. It might seem like the brand is the dominant decision when it’s not”

Summary:

1. Marketers need to understand the Decision Making Process.

2. Consumers love category, not brand. That’s why they think of a category first and then brand second.

3. Marketers should also focus on creating a new category first and brand second.