School of Business
Master of Business Administration
BMKT675 – Advanced consumer behavior
Chapter 1
Consumer Behavior and Technology
Fall 2020-2021
Consumer Behavior
Twelfth Edition, Global Edition
Chapter 1
Consumer Behavior and
Technology
Voice Over PART 1
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Learning Objectives
1.1 To understand the evolution of the marketing concept, what
consumer behavior is, and the components of strategic marketing.
1.2 To understand how technology has benefited both marketers and
consumers.
1.3 To understand providing value and satisfaction and how technology
has enhanced customer loyalty and retention.
1.4 To understand marketers’ social and ethical responsibilities.
1.5 To understand consumer decision-making as the foundation of this
book.
1.6 To explain how the knowledge of consumer behavior advances
seeking employment after graduation.
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Marketing
Defined
Marketing is the activity, set of institutions, and processes
for creating, communicating, and delivering offerings that
have value for customers, clients, partners, and society.
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Consumer Behavior
Defined
Consumer behavior is the study of consumers’ choices
during searching, evaluating, purchasing, and using
products and services that they believe would satisfy their
needs.
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
What Can a Car Help Express About its
Owner?
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Vices and Virtues
• Presence of healthy food option “licensed” consumers to
eat unhealthy food
• Estimated burger calories decreased over 100 calories
when accompanied by three celery sticks.
• How and why do consumers make decisions based on
other factors than facts and rationality?
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Learning Objective 1.1
1.1 To understand the evolution of the marketing concept,
what consumer behavior is, and the components of
strategic marketing.
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Marketing Concept
Defined
The premise that marketing consists of satisfying
consumers’ needs, creating value, and retaining customers,
and that companies must produce only those goods that
they have already determined would satisfy consumer
needs and meet organizational goals.
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Marketing Concept Application
How does the Vans ad relate to the marketing concept?
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Development of the Marketing Concept
• Production Concept
• Product Concept
• Selling Concept
• Marketing Concept
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Marketing Myopia
• Short-sighted approach where companies “look in the
mirror instead of out the window”
• In other words, managers focus on the product, not the
needs it is designed to fulfill
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Marketing Concept Requirements
• Market Segmentation
• Targeting
• Positioning
• The Marketing Mix (4 Ps)
– Product or service
– Price
– Place
– Promotion
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Learning Objective 1.2
1.2 To understand how technology has benefited both
marketers and consumers.
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Value Exchange
• Technologies create a value exchange
• Technology makes it easier to shop and access
information, entertainment, and customized products
• Consumers pay for content with information about
themselves
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Consumers Have Embraced Technology
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
Most Prominent Online Activities
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
More Precise Targeting
• Cookies
• Global Positioning Systems (GPS)
• Selfies
• Interactive communications
Copyright © 2019 Pearson Education, Ltd. All Rights Reserved.
