61  Consumer and Industrial Buying Behaviour

61.1 What is Buying Behaviour?

Consumer behaviour is the study of how individuals, groups and organisations select, buy, use and dispose of goods, services, ideas or experiences to satisfy their needs and wants (kotlerkeller2022?; schiffmankanuk2019?). Understanding it lets marketers design value propositions, communications and channels that fit how people actually decide.

TipThree Working Definitions
Author Definition What it foregrounds
Kotler & Keller “The study of how individuals, groups and organisations select, buy, use and dispose of goods and services to satisfy their needs and wants.” Whole consumption cycle
Engel-Blackwell-Miniard “Those activities directly involved in obtaining, consuming, and disposing of products and services, including the decision processes that precede and follow these actions.” Decision processes
Schiffman & Kanuk “Behaviour that consumers display in searching for, purchasing, using, evaluating and disposing of products, services and ideas they expect will satisfy their needs.” Search → use → evaluate

61.2 Factors Influencing Consumer Behaviour

Kotler groups influences into four families (kotlerkeller2022?):

TipFour Families of Influences on Consumer Behaviour
Family Examples
Cultural Culture, sub-culture, social class
Social Reference groups, family, roles, status
Personal Age, life-cycle stage, occupation, lifestyle, personality
Psychological Motivation, perception, learning, beliefs and attitudes

flowchart LR
  C[Cultural] --> B[Buying Behaviour]
  S[Social] --> B
  P[Personal] --> B
  PS[Psychological] --> B
  style B fill:#FCE4EC,stroke:#AD1457

61.3 The Consumer Buying-Decision Process

The classical Kotler/Engel-Blackwell-Kollat five-stage model (kotlerkeller2022?; engelblackwell1968?):

TipFive Stages of the Buying-Decision Process
# Stage What happens
1 Need / Problem recognition Triggered by internal or external stimuli
2 Information search Personal, commercial, public, experiential sources
3 Evaluation of alternatives Compare on attributes; form preferences
4 Purchase decision Choice modified by attitudes of others, situation
5 Post-purchase behaviour Satisfaction, dissonance (Festinger), repeat or churn

61.4 Types of Consumer Buying Behaviour (Assael)

Henry Assael’s classification combines involvement with brand differentiation (assael1987?):

TipAssael’s Four Types of Consumer Behaviour
Type Involvement Differences between brands Example
Complex buying High Significant Cars, homes
Dissonance-reducing High Few Carpet, life insurance
Habitual buying Low Few Salt, soap
Variety-seeking Low Significant Snacks, soft drinks

61.5 Models of Consumer Behaviour

TipFive Classical Models of Consumer Behaviour
Model Authors Core idea
Howard-Sheth Howard & Sheth (1969) Inputs → perceptual & learning constructs → outputs (extensive, limited, routine problem-solving)
Engel-Blackwell-Miniard (EBM) Engel et al. Decision-process flow with environmental and individual influences
Nicosia Francesco Nicosia Firm-consumer-feedback loops
Black box (S-O-R) Stimulus-Organism-Response Marketing stimuli → consumer’s “black box” → buying response
Consumer involvement (Krugman) Herbert Krugman High vs low involvement

61.6 Industrial / Organisational Buying Behaviour

B2B / industrial buying differs from B2C in scale, complexity, and rationality. The standard model is Webster and Wind’s Organisational Buying Behaviour (1972) (websterwind1972?).

TipB2C vs B2B Buying
Feature B2C B2B
Buyers Many, dispersed Fewer, concentrated
Purchase value Smaller Larger
Decision Often individual / family Group / buying centre
Demand Direct Derived (depends on B2C demand)
Relationship Often transactional Long-term, contractual
Process Less formal Highly formal — RFP, tender, negotiation

61.6.1 The Buying Centre — Six Roles

Webster & Wind identified six roles in an organisational buying centre (websterwind1972?):

TipSix Roles in the Buying Centre
Role What this person does
Initiator Identifies the need
User Will use the product
Influencer Shapes the decision (technical, financial advice)
Decider Makes the final call
Buyer Has formal authority to purchase
Gatekeeper Controls information flow (assistants, procurement)

61.6.2 Buying Situations — Robinson’s BUYGRID

Patrick Robinson’s BUYGRID identifies three B2B buying situations (robinson1967?):

TipThree B2B Buying Situations (Robinson)
Situation What it captures
New task First-time purchase; high effort, many decisions
Modified rebuy Existing supplier with changed terms
Straight rebuy Routine reorder of an established item

The full BUYGRID matrix combines these with eight buyphases — anticipation of need → product specification → search for suppliers → proposal solicitation → evaluation → supplier selection → order routine → performance review.

61.7 Practice Questions

Q 01 Process Easy

The first stage of the consumer buying-decision process is:

  • AInformation search
  • BNeed recognition
  • CEvaluation of alternatives
  • DPurchase decision
View solution
Correct Option: B
The five stages: Need recognition → Information search → Evaluation → Purchase → Post-purchase.
Q 02 Assael Medium

In Assael's framework, buying salt would be best classified as:

  • AComplex buying
  • BDissonance-reducing
  • CHabitual buying
  • DVariety-seeking
View solution
Correct Option: C
Salt = habitual buying — low involvement, few perceived differences between brands.
Q 03 Howard-Sheth Medium

The classical Howard-Sheth model identifies three problem-solving levels. Which is one of them?

  • AExtensive, limited, routine
  • BHigh, medium, low risk
  • CAwareness, attitude, behaviour
  • DTrial, repeat, advocacy
View solution
Correct Option: A
Howard-Sheth: Extensive · Limited · Routine problem-solving.
Q 04 Buying Centre Medium

In Webster & Wind's six-role buying centre, the role that controls the flow of information to other members is the:

  • AInitiator
  • BDecider
  • CGatekeeper
  • DUser
View solution
Correct Option: C
Gatekeeper controls information flow — secretaries, procurement officers. Six roles: Initiator · User · Influencer · Decider · Buyer · Gatekeeper.
Q 05 BUYGRID Medium

Robinson's BUYGRID identifies three B2B buying situations. Which is NOT one of them?

  • ANew task
  • BModified rebuy
  • CStraight rebuy
  • DReverse buy
View solution
Correct Option: D
Robinson (1967): three situations — New task · Modified rebuy · Straight rebuy.
Q 06 Demand Medium

B2B demand is described as "derived" because it:

  • ADepends ultimately on consumer demand for the final product
  • BIs derived by mathematical models
  • CIs derived from inflation
  • DHas no demand at all
View solution
Correct Option: A
Industrial / B2B demand is derived from final-consumer demand — steel demand depends on car demand depends on car-buyer demand.
Q 07 Influences Medium

"Reference groups" influencing consumer behaviour fall under which family of influences?

  • ACultural
  • BSocial
  • CPersonal
  • DPsychological
View solution
Correct Option: B
Reference groups, family, roles and status are social influences.
Q 08 Dissonance Medium

Post-purchase doubt or anxiety, often after expensive purchases, is referred to as:

  • ACognitive dissonance
  • BSelective perception
  • CHalo effect
  • DConspicuous consumption
View solution
Correct Option: A
Cognitive dissonance (Festinger, 1957) — the psychological discomfort of post-purchase doubt. Marketers reduce it through reassurance and warranties.
ImportantQuick recall
  • Consumer behaviour = how individuals/groups select, buy, use, dispose of offerings.
  • Four families of influences: Cultural · Social · Personal · Psychological.
  • Five stages: Need recognition → Information search → Evaluation → Purchase → Post-purchase. Festinger’s cognitive dissonance sits in stage 5.
  • Assael’s four types: Complex · Dissonance-reducing · Habitual · Variety-seeking.
  • Models: Howard-Sheth, EBM, Nicosia, S-O-R, Krugman’s involvement.
  • B2B vs B2C: fewer, larger, derived, group decision, formal, long-term.
  • Webster & Wind’s buying centre (6 roles): Initiator · User · Influencer · Decider · Buyer · Gatekeeper.
  • Robinson’s BUYGRID — three situations: New task · Modified rebuy · Straight rebuy × eight buyphases.