What is the Consumer Decision Process?

The Consumer Decision Process, or the 5 Stages of the Buyer's Decision Process is the cycle a consumer goes through when they purchase a product or service.

The process has 5 main steps:

Problem Recognition

Information Search

Evaluation & Selection

Store Choice & Purchase

Post Purchase Processes

 1. Problem Recognition

 

In this stage, a consumer realises they need a product or service to solve their problem. In psychology this can be separated between a need or want.

This classification is based on your biological needs, for example; if you feel thirsty you need a drink. Whereas you need a car to drive around, but you want a Lexus due to the brand name and quality associated with it.

2. Information Search

 

After a consumer has recognised they have an problem, they seek information on where they can find a solution to their problem. They can conduct an internal search, which means they use information from their memory, or external search, where they seek information on different mediums. This could be advise from friends, or marketing-generated promotions. 

In regards to having your product or service as a choice, it is information you are in the evoked set, which means that your service or product is found when they are searching for a solution.

3. Evaluation and Selection 

 

Once a consumer has identified their problem, and found information on what will solve their problems, they have to evaluate which product or service best meets their needs. When analysing the product, they compare characteristics to see if it has the benefits they believe it should have. 

There are many traits that come to play. For example, when I decided to purchase the Samsung s3 over the Iphone5, I decided this purely based on the characteristics of the mobile. Iphone 5 was not giving me more than the Iphone4, but the Samsung s3 was providing me with a different design and graphics. 

4. Store Choice and Purchase 

 

After a consumer has evaluated the brands or services available, they are required to pick a store to purchase the product or service. The store environment: the noise, music and temperature, the physical conditions: spaces, colours and layout, the social conditions: sales people, number of customer, and symbols: point-of purchase displays all play a significant role in the consumer decision process. 

For example, I went to a Woolworth in Wollongong; they did not allow you to take your trolley to your car. This is extremely impractical- I never went there again. 

5. The Post-Purchase Process 

 

In this stage, the consumer evaluates the product or services. Where they are able to use it? Did it solve their initial problem? and most importantly, will this lead to a repeat purchase?

Conclusion 

 

In all, there are many factors that a consumer goes through when purchasing a product or service. The aim of all company's should be consumer satisfaction, because consumer tell me more people about their bad experienced than their good. It is also cheaper in the long-term to keep a consumer then to invest in finding a new one.