Unformatted Attachment Preview
CDM PROCESS (steps)
Pre-purchase:
1. STIMULUS → motivation. Impetus to act
On/ Off switch (ex: buying bed pillows)
• Off: passive consumers: the consumer uses a product but is not shopping for it
(ex. you are an earring consumer, but you are not actually shopping for them)
• On: active consumers: when you start gathering info, first, informally, and then, formally. We
go passive to active. Actively buys and goes to the store, and look for commercials…
(ex. you have a wedding and you go and buy earrings)
Experiences
•
•
•
Novices: never purchase before. They don’t know anything. Little or no knowledge
Amateurs: some knowledge
Experts: not book learned, just have a lot of experience
Context of buying
•
•
•
Replace
Upgrade
New purchase
2. EVOKED SET → They are on “top of your mind”
Brands that come to mind with no effort
VERY strong brand awareness (it does not mean that you have used it to know it)
Relatively small set
May include positive or negative perceptions
“Prime real estate” for firms: that’s why there’s so much reminder advertising
3. INFORMAL INFORMATION SEARCH → “radar”
It is not planned, it just happens
It is not systematic
Reference groups & opinion leaders are influential:
- Membership reference group (people we are like)
- Ideal reference group (people we want to be like)
- Negative reference group (people we do not want to be like)
Start seeing and thinking about things when you are exposed to them
(ex: when you are pregnant, the only thing you see is pregnant people)
Purchase:
4. CRITERIA DEVELOPMENT → what really matters.
You put a box around a problem: you have to make it manageable to choose a criterion
Features customers wants in the purchase
Criteria are no equally important:
•
•
•
Determinant criteria: the “must has”, non-negations. That’s really what drives decisions. Not
willing to give up. People typically have 2-4.
(ex. the hotel must be have a pool)
Secondary criteria: compromised criteria. We are willing to negotiate within reason
(ex. I want all included hotel as long as its cost is between this range)
Tertiary criteria: minimal impact. Sacrificial
(ex. there is a sleeping sofa instead of a bed).
5. FORMAL INFORMATION SEARCH (“shopping”) → comparing.
It is systematic
It is planned
Sometimes is long and sometimes is short: it depends on how much the buyer cares
Occurs: pre-purchase, during purchase, and post-purchase
May involve physical activity (ex. going to the store) or just mental activity (ex. reading reviews)
6. CHOICE SET (consideration set): “short list”, typically with 3-4 items.
Most likely choices
If I cannot get those items list that is failure
To fix this the customer could loop back to defining its criteria (4); he could continue shopping (5)
This is for efficiency purposes
7. DEPTH EVALUATION: close look, high effort information search
This is systematic and rational
Peripheral processing: low involvements and superficial evaluation. Very shallow
Central processing: pros and cons evaluation. More time and energy
- Elaboration: bringing more info, go deeper. Compare previous and other products
- Counter-arguing: debating pros and cons (in your mind or with someone else)
8. SELECTION → the choice outcome
It is to pick a product
If failure you can look back to other process and repeat it.
9. PURCHASE → how (cash, credit card, coupon)
10. POST-PURCHASE ATTITUDES AND BEHAVIORS → what we do after the purchase
Usually, after buying you use the product as intended, and you can be satisfied or not.
Determine level of satisfaction:
-
Satisfying/satisfied: exceeding expectations
Satisficing/satisficed: meeting minimal standards
Neutral: no opinion (yet)
Dissatisfaction
Behaviors:
•
•
•
•
Recommend: when you are at the supermarket and you recommend something to someone
that is looking at a product you like (recommend)
Reviews: online reviews in Amazon
Web site traffic
Features
Post purchase SHOPPING: I already buy it buy I continue my shopping search, to make sure I got
the best deal because people are particularly prices sensitive.
Buyer’s REMORSE: regrets after the purchase, remorse. Especially in very expense purchases.
People usually don’t do anything about it, just get over it (ex. buying a house)
Post purchase RATIONALIZATION: all the reasons why you bought something to justify you
purchase (to you and others). Reasons to prove yourself that you did good buying that product.
This is one of the questions why you don’t ask the question “why?” when interviewing about a
product purchase.
Laith:
Hey, how are you?
Cayla:
I’m grest. How are you?
Laith:
I’m good, thank you. So, did you have your coffee this morning?
Cayla:
No. I don’t drink coffee in the morning usually.
Laith:
Oh, do you drink a lot of coffee usually?
Cayla:
Not really. I’m more of a tea person.
Laith:
A tea person, uhm okay.
So you said you don’t drink coffee often, what makes you drink coffee over tea?
Cayla:
If I’m craving it, or other people around me drinking coffee, if I’m tired and have a
lot of work.
Laith:
Would you say that you rather have coffee when you’re with people ve when
you’re alone?
Cayla:
Yeah.
Laith:
Could you talk more about that?
Cayla:
Well, it’s usually when you’re sitting alone and someone text you “hey, do you
wanna grab a cub of coffee?” and that’s usually one of the times I drink coffee. I
think it’s more of a social outing.
Laith:
Uhm okay, make sense. So how many times a week do you think you drink coffee?
Cayla:
I’d say 3-4 times a week.
Laith:
Do you usually make your coffee or go buy it?
Cayla:
It’s either it’s made for me or I go buy it.
Laith:
So, what do you mean by it’s made for you?
Cayla:
When I go see a family member or something. When you’re sitting with people
and they ask you if you’d like a cup of coffee.
Laith:
Does your family drink more coffee?
Cayla:
Yeah definitely.
Laith:
Do you think they’re more of an influence on you? when you go over? Are they
like “do you want coffee?” and you have to have coffee?
Cayla:
It’s definitely an after-meal drink when I go to my family. Like you eat then have a
cup of coffee.
Laith:
What are the other influences that you drink coffee from?
Cayla:
Well, I recently moved, and my roommate is a huge coffee drinker, she makes a
big pot of coffee every morning and I sometimes crave coffee from the smell of it.
So I’ve been definitely drinking more coffee lately.
Laith:
Okay, so whenever you go and you're going to buy coffee, like when you go out
and stuff, what's your favorite place to go get coffee?
Cayla:
I love little coffee shops. So if we're going to get coffee and there's a local coffee
shop, I'd definitely prefer that over Starbucks. But if I'm just on the road and
getting sleepy, then I'll just go to whatever has the quickest. I am not opposed to
picking up some 7-Eleven coffee.
Laith:
What do you like about the little coffee shops?
Cayla:
There's the atmosphere. They're calming. You can do some work in them. Usually
when I go to coffee shops it's to do schoolwork.
Laith:
Make sense.
I’m the same way a lot of times. You think price comes into factor at all?
Cayla:
I think with how rarely I drink coffee; price isn't a huge factor. I'm definitely not
going to pay six or $7 for a cup, but I don't drink it on the regular. It's not a huge
issue for me.
Laith:
Okay, that makes sense then. So, would you say that convenience is a big factor for
you? So, if you're on the go and you said, "Oh I want coffee," and Starbucks is
right there. Would you rather go to Starbucks or go a little further to another place?
Cayla:
I guess it would really depend of how busy I am, why I'm getting coffee at that
time, but I'm definitely not opposed to using convenient locations, I guess.
Laith:
Okay. Okay. So, you said price really isn't a factor. So, if you were just on the road
and you wanted to get a coffee because you were tired, and 7-Eleven was right
there but Starbucks was just two more minutes down the road. Would you go to the
7-Eleven instead the Starbucks?
Cayla:
No, I'd probably go to the Starbucks because the quality of the coffee would be
better.
Laith:
Okay. So quality, is that a big deal to you? Would you rather pay more for better
quality?
Cayla:
Depends. if I'm already in the 7-Eleven getting gas or something and I want some
coffee, I'm just going to pick it up. I'm not even going to search my phone to see if
there's another location around. But if I just want coffee and it's between 7-Eleven
and Starbucks, I'm going to lean towards the better coffee.
Laith:
Yeah, no, I agree. So, do you have a preference for any kind of coffee that you get?
Cayla:
Not really. I don't like very strong coffee. I prefer sweet and with a lot of milk. So
like cappuccinos, Frappuccino, fun things. If they make it sound like a dessert, I'm
sold.
Laith:
Okay. No, I agree. So, let's say that a place sold a black coffee and you could get
milk or half and half and stuff in it for a lower price than you could to get a
specialty coffee, like one of those dessert coffees. Would you rather pay the lower
price and get the coffee or get the dessert coffee for a little higher price?
Cayla:
Probably dessert coffee. If I'm out, I'm already planning on spending some money
and if I want to enjoy my outing, I'm going to go for the better coffee.
Laith:
So, price isn’t really a big factor since you don’t drink it that often, right?
Cayla:
Yeah, I rarely even buy coffee.
Cayla:
indulgence.
Laith:
Yeah, exactly.
Laith:
What is your thought process when you’re buying coffee?
Cayla:
Uhm, I guess finding coming to the conclusion of buying coffee, then figure out
where I would get coffee from. Like on campus in school, do I want to just walk
across campus and grab something there or do I want to go someplace a little bit
cheaper and better. How much time do I have to get the coffee? Uhm, what type of
coffee do I want, just a regular coffee with milk or do I want something with a
little bit more flavor.
Laith:
What is your thought process when you’re buying coffee?
Cayla:
Uhm, I guess finding coming to the conclusion of buying coffee, then figure out
where I would get coffee from. Like on campus in school, do I want to just walk
across campus and grab something there or do I want to go someplace a little bit
cheaper and better. How much time do I have to get the coffee? Uhm, what type of
coffee do I want, just a regular coffee with milk or do I want something with a
little bit more flavor.
Laith:
Okay, okay.
Laith:
What is your ethnicity?
Cayla:
I am Puerto Rican.
Laith:
Uhm, does that has to do anything with coffee?
Cayla:
Uhm, yeah culturally the history of the island that I’m from used to grow coffee,
and I know definitely when I go visit the island, coffee is more of an everyday
drink, people would drink it with breakfast, lunch, and dinner. So, I definitely think
they have a certain coffee brand just sold in the island, I know my family order
those coffee for special occasions and whatnot.
Laith:
Yeah, I understand. So, you’re saying that coffee is more prominent? That’s why
your family drink it more than you do?
Cayla:
I have no idea, but it could possibly be a factor to why they drink it more maybe
their family before them drink it more or something. Definitely like our generation,
I see a lot of us not drinking a lot of coffee, or just not liking coffee. But in the
older generation they did.
Laith:
Okay, that’s interesting. So, you’re telling me that it’s a social think and it’s more
of a family thing? Those are the only times you drink it, or when you want more
energy. Right?
Cayla:
Yeah, I would agree with that. I would definitely drink coffee if my family are
making it, but I definitely drink way less than them, even if they’re serving me a
cup, I’ll only drink half of it. But yeah, I definitely think coffee drinking is
contributed to family influence.
Laith:
Okay, which of these things matter to you when you whenever you’re getting
coffee, the place, the coffee, the price, or the convivence?
Cayla:
That definitely depends on why I’m drinking coffee. If I’m tired and just wanted a
little pick me up, the convenience of it is definitely a big factor.
If I’m going to study for two hours with my friends, then the place is a huge factor.
If I’m craving something sweet or whatnot quality of what they make and the
coolness of what they have is a factor.
Laith:
Okay, so you’re probably telling me that price is the least convenient factor.