Buyer’s
Decision
Product choice
Brand choice
Dealer choice
Purchase timing
Purchase amount
Buyer’s
Characteristics
Buyer’s decision process
Cultural Social
Personal
Psychological
Problem recognition
Information search
Evaluation
Decision
Post purchase behavior
Marketing
Stimuli
Other Stimuli
Product
Price
Place
Promotion
Economic
Technological
Political
Cultural
Source: Kotler, Marketing Management: Analysis, Planning, Implementation, and Control, 1997
Figure 2.1. Model of Buying Behavior (1)
As shown in Figure 2.1, the buyer’s “consciousness” is inspired by marketing and
environment stimuli. The buyer’s characteristics and decision process guide to certain
purchase decision. The marketer attempts to understand the buyer’s “consciousness” by
understanding the buyer’s characteristics – cultural, social, personal, and psychological –
which influence buying behavior and buyer’s purchasing decision process. (Kotle®
1997,
p171-172)
Ambrose & Johnson (1998, p264)
introduced buying behavior in Internet commerce, that
is, a trust-based model of buying behavior (see Figure 2.2). Trust based model of buying
behavior is “combines
traditional
marketing philosophy
on customer motivation to
buy
and
the
trust model
developed
by Mayer,
Davis and
Schoorman (1995)”. This
model presents the relationship between buyer and seller by creating trust and the buyer’s
motivation, which influences buying in Internet.
The
definition
of
trust
that
is
used
in
this
model
is
proposed
by
Mayer
et
al
(Quoted
in
Ambrose
& Johnson
1998,
p264)
:
“
trust
is
the
willingness of
a
party
to
be
vulnerable
to
the
actions
of
another
party
based
on
the
expectations
that
the
other
will
perform
a
particular action
important to the
trustor
…”.
The buyer’s propensity
to
trust
the
sellers
will
force
the
sellers
to
develop
their
trustworthiness image
by
managing
three
factors
–
ability,
benevolence
and
integrity.
Ability
is
related
with
the
seller’s skill, competencies and characteristics that a seller
has
in a domain. Benevolence
refers
to the readiness
of a seller
to do good
for a buyer.
Integrity
is the buyers’
perception
about a set of principles of seller that is perceived acceptable by buyers.
The factors that motivate customers to buy the product electronically consist of need,
capacity and willingness. Consumers buy products because they need them. However,
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