A mental orientation characterising a consumer’s approach to making choices"
Sproles, G. & Kendall, E. (1986)
Steps of Decision-Making Behaviour
Decision-making behaviour is made up of 5 steps:
1. Problem Recognition;
2. Information Search;
3. Evaluation of Alternatives;
4. Purchase; and
5. Post Purchase Behaviour.
1) Problem Recognition
The initial step in the decision-making process, is where the consumer identifies a need or a
problem that requires addressing. Normally the need refers to the current state-desired and
difference. It is a decisive stage as when no need or problem is perceived, the process will not
continue.
Need or problem recognition can be triggered by either internal or external stimuli:
Internal: I.e. a recognition of feeling thirsty and consequently deciding to buy a drink.
External: I.e. the aftermath of being exposed to an ad of perfumes that drives us to buy
something.
2) Information Search
Undertaking a search for information which allows for presenting the consumer with potential
viable purchase options. Information search can again be internal or external:
Internal: The customer is guided by previous personal experience.
External: No prior knowledge has been established.
, Information search phase is perceptive and establishes the value of the prospective product.
Information search can occur via different channels such as Internet-based search, word of
mouth, opinions of the product online and visiting some shops.
3) Evaluation of Alternatives
Evaluation of alternatives aims to calculate whether the information collected has the ability to
provide the benefit sought. There is no single set of evaluation criteria, as these vary on
individual basis. The process of evaluation can be influenced by price, value received, content.
Perception of the functional (utilitarian) and psychological (symbolic or value-expressive)
benefits offered is an important element of the evaluation of alternatives:
Functional Benefits: Functional benefits encompass the tangible outcomes that the consumer
can smell (like in the case of perfumes), taste (a chocolate cake) or physical appearance.
Psycho-Social Benefits: Psycho-social benefits are intangible, more abstract, difficult to
measure and include the social benefit (exotic holidays or a posh car can entail).
In case of uncertainty within the evaluation stage, customers will be prompted to return to the
previous stage.
4) Purchase
Purchase refers to the situation when the purchase takes place. Within the purchase intent the
customer self-commits to buying a particular product, however sometimes the purchase intent
does not translate into the sale.
When the purchase intent becomes an actual purchase, this is called sales conversion rate.
Since lack of transition between an intention and an actual purchase is a significant challenge
for the marketers, conversion rates ratio can be improved by the use of different techniques
which aim to convert the customer towards the actual purchase such as credit financing, sales