Answer to Question #241949 in Management for Carmel

Question

With the use of a cellphone as an example, apply the phases in the decision-making process.

Answer 1

Consumer decision-making process consists of five steps which are: need 

recognition, information search, evaluations of alternatives, purchase and post-purchase behaviour. Consumers do not always move in the exact order through the process; it can depend on the type of product, financial status, digital devices they have, etc... Consumer decision making process is important for marketers because they have to understand these steps in order to design their marketing mix properly. 

 The consumer decision-making process ranges from simple to complex, and is influenced by a variety of factors. It begins with the recognition of a need. It might be as simple as realizing that there are no vegetables left in the fridge! 

 It is followed by an information search where a consumer starts to search for information from internal and external resources. Once a consumer finds information and alternatives, he/she starts to evaluate them in alternative evaluation step. 

 After the evaluation of alternatives a consumer makes decisions regarding which product/service to purchase. After the purchase the consumer has an experience using product/service that is purchased by him/her.

Need Recognition

Decision-making process for each consumer starts when consumers realize that they have a need for something. A consumer recognizes a need when there is an imbalance in their present status and their preferred status. Need 

recognition occurs when a consumer is faced with a difference between an actual and a desired state. This is an important stage for marketers because marketers can construct some of their campaigns in order to create this imbalance by 

seeking to create a need and make consumers search out and buy a product or service. 

Effects of Mobile Marketing on Consumer Decision Making Process 

Marketers can construct some of their 

campaigns in order to create an imbalance in consumers’ present 

status and their preferred status. 

 

Consumer needs can be divided 

into two groups A need can occur 

immediately and can be a very basic 

impulse such as getting hungry. This is 

called an internal stimulus. Moreover a 

need may arise if a consumer is affected 

by outside influences such as receiving 

a discount from his/her favourite retailer. 

This is called an external stimulus. 

 

 Marketers try to create an imbalance/consumer need because they want to create a want. How is a want is created? It is created by marketing efforts that lead 

consumers to recognize that they have an unfulfilled need. Within these marketing efforts thanks to mobile technology mobile marketing became one of the most important tool for marketers.

Mobile technology allows marketers to connect with their customers anywhere and anytime whether they are at 

work, in a store, or surfing the web. In addition to that; mobile technology also helps marketers to deliver their 

offerings to their customers by customizing the offers based 

on the needs of their customers. 

Therefore, mobile marketing messages can act as external cues that help consumers to recognize a need, 

triggering a decision-making process that might result in a purchase. 

In the appendix part of this chapter actionable Insights and use cases for marketers regarding need recognition 

stage can be found.

After the consumer has developed a want or a need, the next thing he or she will do is start an information search regarding different alternatives that he/she can purchase to satisfy his/her need. Information search can be done internally or externally. An internal information search consists of utilizing information from memory, such as past experiences with the product and/or service. An external information search is the process of utilizing information from outside environment. 

Effects of Mobile Marketing on Consumer Decision Making Process 

A Mobile technology offers the convenience of accessing and 

sharing information, that’s why mobile 

marketing tools are very crucial to 

marketers 

The amount of time dedicated to 

the information search stage depends 

on several factors such as the 

consumer’s past experience, perceived 

risk and the level of interest. External 

information search can consist of family & friends effect as well as public resources.

Another external information 

source is marketing-controlled 

sources, such as radio, TV ads, digital-

mobile ads, etc. 

 

Within these channels thanks to evolving mobile technology, mobile marketing became one of the most important tool for marketers to impact on information search stage. In this chapter insights and use cases will be put forward regarding mobile tools as a marketing controlled source.