howard sheth model
TRANSCRIPT
![Page 1: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/1.jpg)
CONSUMER BEHAVIORThe Howard-Sheth Model
![Page 2: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/2.jpg)
What is Consumer Behavior?
Those activities directly involved in obtaining ,
consuming and disposing of products and services, including the decision
processes that precede and follow these actions
![Page 3: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/3.jpg)
Perspectives of Consumer Behavior
• Logical Positivism– Understanding and predicting consumer
behavior – Cause and effect relationships that govern
persuasion and/or education
• Post Modern – to understand consumption behavior without any attempt to influence it
![Page 4: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/4.jpg)
Overall Model of Consumer Behavior
Self-Concept&
Learning
Decision ProcessesExternal Influences
Internal Influences
CultureSubcultureDemographicsSocial statusReference groupsFamilyMarketing Activities
PerceptionLearning
Memory
Motives
Personality
Emotions
Attitudes
Problem Recognition
Information Search
Alt Eval & Selection
Outlet select & Purchase
Post-purchase Processes
![Page 5: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/5.jpg)
The Different Other Models
The Economic Theory The Learning Model Maslow’s Hierarchy of Needs Veblanian Social Psychological Model Psycho Analytic Theory Gestalt Theory Theory of Cognitive Dissonance The Nicosia Model
![Page 6: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/6.jpg)
Organizational Buyers
• Types– Industrial– Reseller– Government and
non-profit organizations
• Purchase types– Straight rebuy– Limited decision
making– Extended
decision making
• Characteristics– Bureaucracy– Greater
involvement– Long term
relationships– Price is
important but may not be the most important factor
![Page 7: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/7.jpg)
Howard-Sheth Model• John A. Howard and Jagdish N. Sheth• Published in the year 1969• Wished to explain the buying behavior of
individuals over a period of time • An attempt to explain the brand choice behavior
of the buyer
![Page 8: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/8.jpg)
Howard-Sheth Model• Assumptions of the theory• That buying behavior is rational in the sense that it is within the buyer’s ‘bounded rationality’• Attempted to build a positive theory, not a normative one• If brand choice behavior is assumed to be systematic, then it can be observed in certain standard ways.• If behavior is systematic, then it is caused by some even, a stimulus either in the buyer or the buyer’s environment
![Page 9: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/9.jpg)
Summary of the model• Elements of the Buyers Brand Choice decision are: • A set of motives• Several alternatives courses of action• Decision Mediators which are the set of rules that match motives and alternatives
• Decision Mediators develop the buyers process of learning about the buying situation.
![Page 10: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/10.jpg)
Summary of the model• 3 levels of decision making• Extensive decision making• Limited problem solving• Habitual response behavior• Inputs• Perceptual and Learning Constructs• Outputs• Exogenous(External) variables
![Page 11: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/11.jpg)
Howard-Sheth Model
![Page 12: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/12.jpg)
• According to the Howard-Sheth model there are four major sets of variables• Inputs• Perceptual and Learning Constructs• Outputs• Exogenous(External) variables
![Page 13: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/13.jpg)
Inputs
3 distinct types of stimuli in the consumer’senvironment1. Significative – product/brand characteristics
emanating from the product – quality, price2. Symbolic – product/brand characteristics
emanating from sources such as marketing and advertising
3. Social environment – not controllable by the firm – family, reference groups
![Page 14: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/14.jpg)
Inputs lead to the following:1. Attention – buyer’s total response to information2. Brand comprehension – buyer knowledge in the
specific product class3. Brand attitude – the satisfying potential of the
brand4. Buyer intention – preferred brand will be bought
the next time buying is necessitated
![Page 15: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/15.jpg)
Hypothetical ConstructsCentral part of the Model
Deals with the Psychological Variables that deals consumers’ decision
Comprises of 2 parts:Learning ConstructsPerceptual Constructs
![Page 16: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/16.jpg)
Perceptual Constructs
Overt Search – stems from significative inputs.Deals with how consumers receive and understand information
Stimulus ambiguity- When the consumer does not understand the information he receives from the input stimulus
Attention Perceptual Bias-Distortion of info to suit one’s established needs.
![Page 17: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/17.jpg)
Learning Constructs
Brand Comprehension-info about brands Confidence- derived from brand knowledge Satisfaction- from previous experience Attitude-choice, brand info Choice criteria- to evaluate alternatives Motives- Consumer’s Goals Intention- Needs of the consumer and preferences
![Page 18: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/18.jpg)
Outputs
• Represent hierarchical responses from attention to purchase
• Purchase is the sequential result of attention, brand comprehension, brand attitude and buyer intention
![Page 19: Howard Sheth Model](https://reader035.vdocuments.us/reader035/viewer/2022081412/5447e00ab1af9fda018b4ccb/html5/thumbnails/19.jpg)
Exogenous Variables
External variables which affect the buying decisions of consumers.
This Model does not recognize these but explains a little on them• Importance of purchase• Social class• Cultural background• Time pressure• Financial Status• Personality variables