The whole effort is to support and uplift beginners in marketing who search essentials in marketing. Reference Text - Principles of Marketing, 15th Edition, By Phillip Kotler and Gary Armstrong

1. CONSUMER AND
ORGANIZATION BUYER
BEHAVIOUR
Mahesh Weeratunge
Senior Lecturer and Examiner

2. Recommended StudyText
Principles of Marketing
15th Edition
By
Phillip Kotler
Gary Armstrong
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3. Coverage… (Chapter 5)
■ Consumer Buyer/MarketVs Business Buyer/Market
■ Model of Consumer Buying
■ Model of Business Buying
■ Factors / Characteristics affecting consumer buying
■ Factors / Characteristics affecting business buying
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4. Consumer BuyerVs Business Buyer
Consumer Buyer / Market Business Buyer / Market
The buying behavior of a final consumer – individual
and household that buy goods and services for
personnel consumption.
Self satisfaction and the satisfaction of the family
members or peer are the key for buying decision
The buying behavior of an organization that buys
goods and services for use in the production of other
products and services that are sold rented, supplied or
others.
Generating revenue and profit, increase efficiency of
business process directly or indirectly are key for
buying product or service.
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5. Model of Consumer Buyer Behavior
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The Marketing
Environment
Marketing Stimuli (4Ps)
PESTEEL
Buyer’s Black Box
Buyers characteristics and
buyers decision process
Buyer Response
Buying attitudes and
preferences
Purchase behavior
Brand and company
relationship

6. Model of Business Buyer Behavior
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Buyer
Response
Products or service
choice
Supplier choice
Order Quantities
Delivery terms and
time
The Marketing
Environment
Marketing Stimuli
(4Ps)
PESTEEL
The BuyingOrganization
Organizational influences
Buying Center
Interpersonal and individual
influences
Buying decision
process

7. Factors affecting or influencing consumer
buying
■ Cultural
– Culture, Sub Culture, Social Classes
■ Social
– Groups and Social Networks, Family, Roles and status
■ Personal
– Age and life cycle stages, Occupation, Economic situation, Personality and self concept
■ Psychological
– Motivation, Perception, Learning, Beliefs and attitudes.
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8. Factors affecting or influencing business buying
■ Environmental Factors
– Both micro and macro environmental factors
■ Organizational factors
– Objectives, Strategies, Structures, Systems, Culture, procedures
■ Interpersonal
– Influence, Authority, Expertise, Dynamics
■ Individual Factors
– Motivation, Demographics, Personality, Preferences, Buying Style
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9. Types of Consumer Buying Decision Behavior
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Complex Buying Behavior
Expensive, Risky, purchase infrequently, highly self-
expensive
Eg: Buying a car
Habitual Buying Behavior
Buying daily basis, familiar with brands, low cost
Variety Seeking Buying Behavior
Brand switching for the sake of variety rather than
dissatisfaction
Eg: Buying a chocolate
Dissonance reduction Buying Behavior
Expensive, Risky, purchase infrequently, little
difference among brands
Eg: Buying furniture
Significant Different
Between Brands
High Involvement
Few Differences
Between Brands
Low Involvement

10. ■ Straight Rebuying
■ Modified rebuying
■ NewTask Purchase
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Types of Business Buying Situations

11. Consumer Buyer Decision Process
Need
Recognition
Information
Search
Evaluation of
Alternatives
Purchase
Decision
Post purchase
Behavior
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Business Buyer Decision Process
Need/Problem
Recognition
General Need
Description
Product
Specification
Supplier
Search
Proposal
Solicitation
Supplier
selection
Order-routine
specification
Performance
review

12. Awareness Interest Evaluation Trial Adoption
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Consumer Buyer Decision Process for a new
product
Having looked at the stages of adoption process which is defined as “the mental process through which
an individual passes from first hearing about an innovation to the final adoption” it can be identified how a
consumer respond on a new product

13. Participants of the business buying
process
■ Buying Center Participants can be identified as follows.
– User
– Influencer
– Buyer
– Decider
– gatekeeper
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