High involvement vs low involvement decision-making April 20, By Tara Howell Is there really much of a difference in someone buying a banana over a holiday? At the end of the day, they will just make a transaction correct? Ah, yes and yes.
While sometimes it may be easier to decide which product to buy, at other times, the process may be time consuming and may require some or a lot of preliminary research before the purchase.
The level of involvement is an important factor deciding how important a product is for you and how much information you need to have before making a purchase decision.
In our daily lives we make several purchases that hardly require lot of research, thought or selection. If someone is used to having a can of Diet Coke with lunch, it will not require him any thought or research every time before he buys the soda drink.
It is a routine decision where you decide quick based on your knowledge and experience. Consumers make decisions ranging from fairly routine to those requiring extensive thought and research.
This can be understood as a continuum at whose one extreme lie the low involvement decisions and at the other are the high involvement decisions. The decisions that fall in the middle are called limited problem solving. Generally, the decisions vary by consumers and not by products.
However, some products can be high involvement for most consumers. A consumer that is newly buying a product will show higher involvement compared to the other who is just replacing it. Low Involvement decisions — There are products that we buy regularly and do not even think twice before buying them.
Anyone buys these products as soon as he has recognized the need and without doing any research or evaluation.
It is because we buy these things on a regular basis and do not need to think over which brands of milk or bread to buy. There are two important characteristics of low involvement products: They are relatively inexpensive They are low risk products. Low Involvement Decision Making Low involvement decisions involve products that do not typically cost much and are bought regularly.
A packet of bread, a can of milk or diet coke; these products are not so expensive for an average buyer. The risk of making wrong decisions is also very low in case of low involvement decisions.
Such products do not pose a major risk if you have made a wrong choice by mistake. If someone has bought Diet Pepsi instead of Diet Coke, the risk of financial or any other kind of loss is negligibly small because apart from very slight variation taste and the brand, the products are nearly similar.
Same is the case with milk, bread, magazines and newspapers. People consume such products on a regular basis and do not put much thought before final action of buying. Companies selling low involvement products use advertising and sales promotion to push the sales higher and to reach more consumers.
They also sell from a higher number of stores to cover a larger consumer base. Such products can be seen regularly in TV ads, print ads or outdoor and instore advertising. Impulse buying — Sometimes consumers may feel inclined to engage in impulse buying.
Impulse buying means buying without much planning and thought and only because you felt like buying the product. A packet of chips on the stall makes you feel hungry ad you purchase it without any thought.
A magazine has a hot celebrity on its cover and you just purchase it without any consideration. Low involvement products are not necessarily impulse purchases but many times we buy them just out of impulse.
However, several times high involvement products too can be bought at impulse only because you were unable to resist their appeal.
In case of impulse buying it is mostly the appeal of the product that makes us buy it. The high involvement decisions are made after careful consideration and lots of thought. There are three important characteristics of high involvement buying decisions.
They are risky They are expensive. High Involvement Decision Making The risk of failure is always high in the case of high involvement decisions. Such decisions are also more complex than the low involvement decisions.Session 3 - Consumer Involvement and Decision Making - Free download as Powerpoint Presentation .ppt), PDF File .pdf), Text File .txt) or view presentation slides online.
Scribd is the world's largest social reading and publishing site. Consumer decision-making varies with the type of buying decision. There are great differences between buying toothpaste, a tennis racket, a personal computer, and a new car. Complex and expensive purchases are likely to involve more buyer deliberation and more participants.
Comparison of High Involvement Consumer Decision Making with Love Involvement Decision Making Investigation on the Impacts of Personality on Consumer Decision-making Process Nature of the Consumer Decision Making. Comprises the alternative brands or stores that the consumer states he or she would consider when making a purchase decision.
Evaluative Criteria Consist of a set of salient, or important, attributes about a particular product. Therefore, for high involvement decision-making, consumer buying decision will normally based on the personal life-style.
This man will use the car daily for working and . It falls in the middle between low and high involvement decision making. There are several products that we do not buy on a regular basis, are not very high involvement and still require some research and evaluation before finalizing the purchase.