Created by Akhila Polishetty

1. Purchasing Decisions

2. Key questions
● Who influences the decision to buy a product.
● What does the customer buy.
● When do customers buy.
● Where do they look.
● How is it perceived by customers.
● Why do customers buy a particular product.

3. Five stage model

4. 1. Problem recognition
—
The buying process starts when the buyer
recognizes a problem or need triggered by
internal or external stimuli.

5. 2. Information Search
Consumers often search for limited amounts of
information. Two types:
1. Middler search state is called heightened attention.
2. Active information search.

6. Information sources
● Personal
● Commercial
● Public
● Experimental

8. Successive sets involved in
consumer decision making

9. Evaluation of alternatives
1. The consumer is trying to satisfy a need.
2. The consumer is looking for certain benefits from
the project.
3. The consumer sees a project as bundle of attributes.

10. Beliefs and attitudes
● A Belief is a descriptive thought that a person holds.
● Attitude : a person’s enduring favorable or
unfavorable evaluations, emotion feelings, and
action tendencies toward some object.
It’s beliefs and attitudes become too negative,
however, more serious steps may be necessary.

11. Expectancy-value model

12. Purchase decision

13. Noncompensatory models
With noncompensatory models of consumer choice,
positive and negative attributes considerations don’t
necessarily net out.

14. Heuristics
● Conjunctive heuristic
● —Lexicographic heuristic
● —Elimination-by-aspects heuristic

15. Steps between Evaluation of
Alternatives and a Purchase
Decision

16. Intervening factors
Perceived risks which modify consumer’s decision:
1. Functional risk
2. Physical risk
3. Financial risk
4. Social risk
5. Psychological risk
6. Time risk

17. Postpurchase behavior
Postpurchase satisfaction- Depending upon the product
the consumer may be-
Disappointed Satisfied Delighted
These are purchase actions

18. How customers use or
dispose of products

19. Recap
1. Key questions
2. Five stage model
a. Problem recognition
b. Information search
c. Evaluation of alternatives
d. Purchase decision
e. Postpurchase behavior

20. Declaration
Created by
Akhila Polishetty, during an internship under
Prof. Sameer Mathur, IIM
Lucknow.
www.IIMinternship.com

21. Thank you.