"What Are Consumer Behavior Models

A consumer behavior model is a theoretical framework for explaining why and how customers
make purchasing decisions. The goal of consumer behavior models is to outline a predictable
map of customer decisions up until conversion, thus helping you steer every stage of the buyer’s
journey.
Consumer behavior models may sound complicated, but they’re not. They’re a way to create a
“buyer behavior story” that you can use to refine and improve your customer experience.
As a whole, buyer behavior refers to an individual's buying habits based on influences from their
background, education, personal beliefs, goals, needs, desires, and more
Businesses aim to understand buyer behavior through customer behavior analysis, which
involves the qualitative and quantitative analysis of a target market. Even though this data can
tell you your customer’s favorite brand of socks, it doesn’t mean much if it doesn’t tell you why
they purchased that brand of socks.
That’s where consumer behavior models come in. Consumer behavior models contextualize
results from customer behavior analysis studies and help you get to the “why” of purchasing
decisions.
Consumer Behavior Models
Customer behavior models help you understand your unique customer base and more effectively
attract, engage, and retain them. These models are either traditional or contemporary."

TRADITIONAL CONSUMER BEHAVIOR CONTEMPORARY CONSUMER BEHAVIOR

MODELS MODELS

Learning Model Engel-Kollat-Blackwell (EKB) Model

Psychoanalytical Model Black Box Model

Sociological Model Hawkins Stern Model

Economic Model Howard Sheth Model

Nicosia Model

Webster and Wind Model

1
Traditional Behavior Models

Traditional behavior models were developed by economists hoping to understand what

customers purchase based on their wants and needs. Traditional models include the following:

1. Learning Model
2. Psychoanalytical Model
3. Sociological Model
4. Economic Model

The Learning Model of customer

"The Learning Model of customer behavior theorizes that buyer behavior responds to the desire
to satisfy basic needs required for survival, like food, and learned needs that arise from lived
experiences, like fear or guilt. This model takes influence from psychologist Abraham Maslow’s
Hierarchy of Needs.

The bottom level of this hierarchy represents basic needs, and ascending
sections describe learned needs, or secondary desires, that allow consumers
to feel as though they’ve reached self-fulfillment.

2
The Learning Model says that consumers first make purchases to satisfy their
basic needs and then move on to meet learned needs. For example, a
hungry customer would fulfill their need for food before a learned need to
wear trendy clothing.

"For instance, when I’m hungry, I need to buy food. My basic need for food
drives me to purchase food at a restaurant or grocery store. I can buy basic
groceries like milk, eggs, and produce, or I can decide to dine at a trendy
restaurant. Discretionary purchases like dining out at fancy restaurants fulfill
a higher need, perhaps learned, to satisfy psychological needs of esteem and
prestige.

Psychoanalytical Model of Consumer Behavior

"The Psychoanalytical Model draws from Sigmund Freud’s theories of psychoanalysis. This
consumer behavior model suggests that individual consumers are driven by deeply rooted
conscious and subconscious desires. According to this theory, consumers may be drawn to
particular products or brands without fully understanding why.
If you’re a ‘90s kid like me, you probably fondly remember Altoids Sours. Well, I have good
news — they’re back, and I’ll be picking up a tin. However, I’m not just buying them because
they taste good. According to the psychoanalytical model, nostalgia products like Altoids Sours
fulfill a psychological desire to return to the safety and simplicity of childhood. This
subconscious longing drives my purchasing decision, even if I’m unaware of it
The Sociological Model of Consumer Behavior
The Sociological Model of Consumer Behavior explores how societal factors and group
influences shape individual purchasing decisions. Unlike psychological models that focus on
subtle internal motivations, the sociological model emphasizes the broader social context in
which we operate, where the pressure to conform influences our decisions as consumers.
We belong to many groups at once, which can be demarcated by social roles, preferences,
cultural trends, friends and family, age range, and more. For instance, I am a:
 Millennial College
 Graduate Professional
 Bassist
 New Yorker
These are examples of social groups I belong to that marketers can target with messaging and
strategies that resonate with me and others in those groups.
As a bassist, many of my favorite players played Fender basses. Pino Palladino, James Jamerson,
and Flea, just to name a few. As you may have guessed, I’m a Fender bass guy. The sociological
model of consumer behavior would postulate that the preferences of my favorite bassists

3
influenced me in an aspirational attempt to belong to the same group, and well, I’d have to say
that’s accurate, which brings me to my next point:
Reference Groups
Reference groups are groups people look up to for guidance or aspire to belong to. Like I aspired
to belong to the group of legendary Fender bassists, many of today’s consumers look to social
media influencers who set trends in fashion, tech, and beyond, driving billions of dollars of
consumer spending.
The Economic Model of Consumer Behavior
The Economic Model of Consumer Behavior is rooted in rational choice theory, which assumes
that consumers will make decisions to maximize utility (satisfaction) while minimizing costs
(money, time, and effort).
The economic model takes a logical approach to consumer behavior, which is valid but also
neglects the emotional and psychological influences referenced in other traditional models.
The economic model of consumer behavior is predicated on a few assumptions:
Rational Decision-Making.
Consumers are rational actors who evaluate the costs and benefits of each purchase.
Budget Constraints.
Consumers have limited resources and will try to spend within their budget.
Price Sensitivity.
Price is the primary factor influencing consumer decisions. If the price decreases, consumers
will buy more, and vice versa.
Perfect Information.
This model assumes consumers have full market knowledge regarding prices and alternatives.
Income Effects.
Consumers will buy more as their income increases, and vice versa, save for inferior goods that
increase in demand as consumer income decreases.
Substitutions and Trade-Offs. When faced with two products that satisfy the same need,
consumers choose the best value for the money or seek cheaper alternatives if necessary.

Contemporary Models
Contemporary models of consumer behavior focus on rational and deliberate decision-making
processes rather than emotions or unconscious desires. The contemporary models include:

4
 1. Engel-Kollat-Blackwell (EKB) Model
2. Black Box Model
3. Hawkins Stern Model
4. Howard Sheth Model
5. Nicosia Model
6. Webster and Wind Model
Engel-Kollat-Blackwell (EKB) Model of Consumer Behavior
The Engel-Kollat-Blackwell model of consumer behavior outlines a five-stage decision process.
Let’s check out the stages:
1. Awareness
What is it? The beginning of the decision-making process when a consumer recognizes
they have a need or problem that requires a solution.
Example. My new apartment has a back patio (a first for me in NYC), and I realized I
wanted to furnish it with an outdoor sectional.
2. Information Processing
What is it? After recognizing the problem, the consumer begins gathering information
about possible solutions. This can include internal searches (recalling from memory) and
external searches (internet, reviews, friends).
Example. I called my parents and asked about their sectional (apparently, you have to
cover it when it rains), browsed Pinterest for patio inspiration, and Googled “best outdoor
sectional reddit” to see what the internet had to say about it.
3. Evaluation
What is it? Once the consumer has gathered enough information, they compare different
options based on factors like price, features, and personal preferences.
Example. After intensive research, I narrowed it down to a rattan couch from Walmart
and a teak one from Wayfair. The Walmart couch was larger, cheaper, and featured a lift-
top coffee table, but the teak one better fit my vision for a Japanese Zen Garden theme —
tough choice.
4. Purchasing Decision
What is it? The moment of truth when the consumer decides to buy the product or
service. Factors like availability, advertising, brand loyalty, or word-of-mouth could
influence the purchase decision.
Example. I bought the teak one from Wayfair. It was a little more expensive, but I
preferred the aesthetic, and it was my girlfriend’s favorite.
5. Outcome Analysis
What is it? Post-purchase, the customer evaluates their level of satisfaction with the
product. If they are happy with the purchase, they may become brand loyalists and
choose to make repeat purchases with the brand. If unsatisfied with the product, they
might leave negative feedback and avoid the brand in the future.

5
 Example. I’ll have to let you know. The couch hasn’t arrived yet. But, if it’s comfortable
and looks as good as it does in pictures, I’ll be happy, and I’ll certainly recommend
Wayfair to friends and family

The Black Box Model of Consumer Behavior

The Black Box Model of Consumer Behavior is a conceptual framework focusing on

understanding the relationship between external stimuli and consumers’ observable actions.

The model gets its name from the idea of a Black Box representing a consumer’s mind, where
internal thought processes aren’t directly observable. Since we can never fully know what
happens in the buyer’s mind, the black box model seeks to infer the decision-making process by
analyzing the consumer response (purchasing or not) in relation to observable external stimuli.

External stimuli that influence the decision-making process are separated into two categories: the
marketing mix and environmental stimuli.

Hawkins Stern Impulse Buying Model

Unlike other models of consumer behavior, the Hawkins Stern Model suggests that not all
purchases result from rational thought processes. Instead, many are impulse purchases driven by
sudden, powerful urges to buy something immediately, often triggered by external stimuli. I’ve
been there, and I’m sure you have, too. This model categorizes impulse buying into four types

6
 1. Escape Purchase (Pure Impulse Buying)
What is it? A classic, unplanned purchase that breaks a typical buying pattern and is often
driven by emotions.
Example. My girlfriend and I were walking around Williamsburg on the way to a dinner
reservation when we passed Bon-Bon, a specialty Swedish candy store. We weren’t
planning on having a candy appetizer, but we bought $15 worth of gummies because they
just looked so good!
2. Reminder Purchase
What is it? When consumers see a product and are reminded they need it.
Example. I was at the grocery store the other day when I saw the paper towels and
remembered I needed to pick some up.
3. Suggested Purchase
What is it? An impulse purchase that occurs when a consumer is made aware of a product
by an advertisement or in-store salesperson.
Example. I bought a water bottle at a bodega in Brooklyn the other day. The cashier was
ringing me up when his daughter, standing to his right, asked me, “Do you want to try my
homemade banana bread?” How could I say no? I bought the banana bread, too.
4. Planned Purchase
What is it? When a consumer goes shopping with a specific purchase in mind but is open
to other items if there are good deals.
Example. This happens to me all the time when I shop for clothes. I’ll go on a website
looking to buy a pair of jeans, and the next thing I know, I’ve loaded up my shopping cart
with four shirts on top of that because they were on sale. It’s basically free! At least,
that’s what I tell myself.
The Howard Sheth Model of Buying
The Howard Sheth Model of Buying Behavior can be thought of as the opposite of the Hawkins
Stern Model. It is a framework for understanding high-involvement purchases, where customers
invest significant time and effort in making informed, rational, and systematic decisions. The
Howard Sheth model postulates that purchase decisions can be categorized into three levels,
differentiated by the amount of consumer knowledge
1. Extensive Problem-Solving
Consumers have little to no prior knowledge or experience with a product or brand.
Consumers invest significant time and effort into gathering information and researching
options.
2. Limited Problem-Solving
Consumers have some prior knowledge or experience with a product or brand. The
purchase decision requires moderate time and effort. Consumers rely on both past
experiences and new information gleaned from research.
3. Habitual Response Behavior
Consumers have significant experience with a product and are likely to show brand
loyalty. The purchase decision is habitual and requires little effort and consideration.

7
The Nicosia Model of Consumer Behavior
The Nicosia Model of Consumer Behavior is a framework for understanding purchasing
decisions by focusing on the relationship between the company and the consumer. Unlike other
models that emphasize consumers' internal thought processes and preferences, the Nicosia model
favors the perspective of the business and the effectiveness of its marketing messages. The
model is divided into four fields, each representing a different stage of the interaction between
the consumer and the business.
Field One: The Business’ Characteristics and the Consumers' Characteristics
The first field represents the transfer of information from the business to the consumer. It is
further divided into two subfields.
Subfield One. The business develops its marketing messaging to influence the consumer.
Subfield Two. The consumer receives the marketing information and begins to form an attitude
towards the company and product based on this information and environmental/personality
factors.
Field Two: Search and Evaluation
 Having formed an initial attitude towards a company, the consumer begins to search for
more information on the brand and its products and evaluate them based on their needs
and preferences.
 Consumers will also compare alternative options from other brands.
Field Three: Purchase Decision
The consumer decides whether to purchase the product, influenced by the attitudes formed in
field one and the evaluation of field two.
Example: I decided not to purchase the phone case because of the price and colors, which didn’t
align with my preferences.
Field Four: Feedback
 The company will evaluate the effectiveness of its marketing messaging and alter it
accordingly.
 The consumer’s experience with the newly purchased product impacts their attitude
toward the brand, influencing future purchase decisions.
The Webster and Wind Model of Organizational Buying Behavior
The Webster and Wind Model of Organizational Buying Behavior explains how companies buy
products and services. B2B buying behavior differs from that of individual consumers in
multiple ways. The main differences are as follows:
Multiple Decision Makers.

8
Multiple individuals and departments are involved in purchase decisions.
Formal Processes.
B2B purchases typically follow organized procedures and approval processes.
Rational Evaluation.
Purchases are assessed logically, and emotional factors are less likely to be considered.
The Webster and Wind model identifies four main categories of variables that affect B2B
buying behavior:
1. Environmental Variables. These factors impact an organization's purchasing
behavior but are outside its control.
 Economic. Market conditions and overall financial climate.
 Technological. Advances that could influence product needs.
 Political and Legal. Regulations, policies, and compliance.
 Cultural and Social. Societal expectations and industry norms.
 Competitive. Actions of competitors and industry trends.
2. Organizational Variables. Internal factors and goals that can influence purchasing
behavior.
 Goals. Goals like cost reductions, innovation, or quality improvement.
 Structure. Organizational hierarchy and communication pathways.
 Policies and Procedures.
 Organizational guidelines for purchasing.
 Resources. Budget constraints and technological capabilities.
3. Buying Center Variables. All individuals and groups involved in a purchasing
decision. Some of those roles include:
 Initiators recognize the need for a product or service.
 Users will use the product or service.
 Deciders are those with the authority to choose amongst options.
 Buyers handle the procurement process.
 Approvers authorize the actions of buyers and deciders.
 Gatekeepers control the flow of information.
4. Individual Variables. The personal characteristics of the individuals involved.
 Motivations. Goals, level of risk tolerance, and personal objectives.
 Perceptions. How they interpret information based on experience.
 Preferences and Attitudes. Bias towards certain brands or products.
 Demographics. Age, education, and professional background.