Consumer Decision Making Process
INTRODUCTION
We all have to make choices. One of those most important decisions made in our life are based on the market - buying goods. No one buy goods unless they have a problem, a need or a want. The Consumer Decision Making Model can be applied with any economics decision you have to make. The goal in creating this model was to analyze how individuals sort through facts and influences to make decisions that are logical and consistent for them. Think like an economist with this convenient tool.
The CDP model consists of seven major stages: Need recognition, search for information, pre-purchase evaluation of alternatives, purchase, consumption, post-consumption evaluation and divestment. The aim of this paper is to discuss these processes with reference to a product and analyze the reason why marketers should understand the CDP model. 1. Need recognitions
Need recognitions is the most important factor which leads to buying of products and services. Need in fact is the catalyst which triggers the buying decision of individuals. It occurs when an individual senses a different between what he or she perceives to be the ideal versus the actual state of affairs. Need recognition depends on how much discrepancy exists between the actual state (the consumer’s current situation) and the desired state (the situation the consumer want to be in).
Consumer buy things when they believe a product’s ability to solve a problem are worth more than the cost of buying it. Imagine having to buy yourself a new cell phone. The first step in this process is of course to recognize that you need a new cell phone. For another example, a man currently feeling thirsty (actual state) and he want to eliminate this kind of feeling (desired state) will experience need recognition when the discrepancy between the two states is of sufficient magnitude.
As indicate above, need recognitions often occurs for reasons outside a company control but it is possible for business to
We all have to make choices. One of those most important decisions made in our life are based on the market - buying goods. No one buy goods unless they have a problem, a need or a want. The Consumer Decision Making Model can be applied with any economics decision you have to make. The goal in creating this model was to analyze how individuals sort through facts and influences to make decisions that are logical and consistent for them. Think like an economist with this convenient tool.
The CDP model consists of seven major stages: Need recognition, search for information, pre-purchase evaluation of alternatives, purchase, consumption, post-consumption evaluation and divestment. The aim of this paper is to discuss these processes with reference to a product and analyze the reason why marketers should understand the CDP model. 1. Need recognitions
Need recognitions is the most important factor which leads to buying of products and services. Need in fact is the catalyst which triggers the buying decision of individuals. It occurs when an individual senses a different between what he or she perceives to be the ideal versus the actual state of affairs. Need recognition depends on how much discrepancy exists between the actual state (the consumer’s current situation) and the desired state (the situation the consumer want to be in).
Consumer buy things when they believe a product’s ability to solve a problem are worth more than the cost of buying it. Imagine having to buy yourself a new cell phone. The first step in this process is of course to recognize that you need a new cell phone. For another example, a man currently feeling thirsty (actual state) and he want to eliminate this kind of feeling (desired state) will experience need recognition when the discrepancy between the two states is of sufficient magnitude.
As indicate above, need recognitions often occurs for reasons outside a company control but it is possible for business to