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Consumer Behavior Model (Black Box)

Definition of Consumer Behavior

Consumer behavior is the study of individuals and groups to understand the process they follow before making a purchase. It includes psychological, social, and cultural factors that influence decision-making.

According to Engel, Blackwell, and Mansard:
"Consumer behavior is the actions and decision processes of people who purchase goods and services for personal consumption."

Black Box Model of Consumer Behavior

The Black Box Model explains how external stimuli are processed in the consumer's mind (the "black box") to result in a purchase decision or response. It focuses on three components: Environment, Buyer's Black Box, and Buyer's Response.

1. Environment

The environment consists of external factors that influence a consumer’s behavior. These include:

  • Marketing Stimuli: Product, Price, Place, Promotion.
  • Other External Factors: Economic, Technological, Political, Cultural, and Social influences.

2. Buyer's Black Box

The buyer's black box refers to the internal processes within the consumer’s mind, which are not directly observable. It includes two main aspects:

(a) Buyer's Characteristics

  • Beliefs, attitudes, values, and motivations.
  • Knowledge, perceptions, and lifestyle.
  • These factors shape how the buyer processes information and makes decisions.

(b) Buyer's Decision Process

The decision-making process includes the following steps:

  1. Problem Recognition: Identifying a need or a problem.
  2. Information Search: Gathering information about solutions.
  3. Evaluation of Alternatives: Comparing products or services.
  4. Purchase Decision: Deciding what to buy and from where.
  5. Post-Purchase Evaluation: Reflecting on the purchase experience.

3. Buyer's Responses

The responses include:

  • Purchase Decisions: What product to buy, which brand, and from where.
  • Behavioral Reactions: Loyalty, brand switching, or buyer’s remorse (regret after purchase).
  • No Purchase: The decision not to buy if the product doesn’t meet the buyer’s expectations or needs. Buyer's Responses Buyer's Responses Environment Environment Purchase Decisions Purchase Decisions Marketing Stimuli Marketing Stimuli Behavioral Reactions Black Box Model of Consumer Behavior Black Box Model of Consumer Behavior Behavioral Reactions Other External Factors Other External Factors No Purchase No Purchase Buyer's Black Box Buyer's Black Box Buyer's Characteristics Buyer's Characteristics Buyer's Decision Process Buyer's Decision Process

The Black Box Model helps marketers understand how consumers make decisions and tailor their strategies to influence buying behavior effectively.

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