Problem recognition is the first stage of the consumer decision making process. This influences the amount and type of information search: but we will cover that in the next chapter. In this chapter, we will consider the following contents: Nature of problem recognition; difference between habitual, limited and extended decision making; methods for measuring problem recognition; marketing strategies based on problem recognition. | Chapter 3 Problem Recognition Nature of problem recognition Difference between habitual, limited and extended decision making Methods for measuring problem recognition Marketing strategies based on problem recognition 3– Problem recognition is the first stage of the consumer decision making process. (Definition on page 63.) This influences the amount and type of information search: but we will cover that in the next lecture. As the level of involvement increases, the consumer moves from virtually no decision making through to an extended decision making process. Before devising a marketing strategy, a manager needs to be able to know the extent of the problem recognition. This should be objectively measured where possible. Finally, the manager is in a position to devise marketing strategies that take into account the degree of problem recognition present. Need/Problem Recognition What happens during need/problem recognition? Can they be activated? Are there non-marketing influences? What marketing influences are used? Does it vary from one person to the next? Implications for marketing strategy? 3– To understand how consumers behave during this early stage of decision making it is necessary to pose a number of questions: Do consumers readily recognise that they have a need for the product or service? If not, can this be activated? What are the major influences on consumers? And how does this vary from one consumer to the next? How can this knowledge be used to devise a suitable marketing strategy? Types of Consumer Decisions Problem recognition Purchase involvement 3– See page 63 for definitions of these. Types of Consumer Decisions (cont.) Purchase involvement influenced by the interaction of individual, product and situational characteristics Forms of involvement and outcomes Habitual decision making—single brand Limited decision making Extended decision making Implications for strategy 3– Purchase involvement can be complex to understand. It can | Chapter 3 Problem Recognition Nature of problem recognition Difference between habitual, limited and extended decision making Methods for measuring problem recognition Marketing strategies based on problem recognition 3– Problem recognition is the first stage of the consumer decision making process. (Definition on page 63.) This influences the amount and type of information search: but we will cover that in the next lecture. As the level of involvement increases, the consumer moves from virtually no decision making through to an extended decision making process. Before devising a marketing strategy, a manager needs to be able to know the extent of the problem recognition. This should be objectively measured where possible. Finally, the manager is in a position to devise marketing strategies that take into account the degree of problem recognition present. Need/Problem Recognition What happens during need/problem recognition? Can they be activated? Are there non-marketing .
