Models of Consumer Behavior: Nicosia, Howard-Sheth & EKB Models

Engel-Kollat-Blackwell Model of Consumer Behaviour

The Engel-Kollat-Blackwell (EKB) model is a comprehensive model of consumer behaviour that uses concepts from behavioural science to explain the decision-making process followed by consumers. According to Tuck (1976), the Blackwell model attempts to describe the consumer decision process in a detailed manner while remaining applicable to a wide range of consumer situations.

The EKB model was originally developed as a framework for organizing the rapidly growing body of knowledge related to consumer behaviour. Like the Howard-Sheth model, it has undergone several revisions to improve its descriptive ability and to clarify the relationships between its various components and sub-components.

The model views consumer behaviour essentially as a problem-solving and learning process. It provides a detailed explanation of how consumers actively search for information, evaluate alternatives, make choices, and experience outcomes. The model identifies five major activities in the consumer decision-making process:

1. Problem Recognition
2. Information Search
3. Evaluation of Alternatives
4. Choice
5. Outcome

It is important to note that consumers do not necessarily pass through all five stages in every purchase situation. Depending on the nature of the product, level of involvement, previous experience, and available information, some stages may be shortened or skipped.

1. Problem Recognition

Problem recognition occurs when a consumer identifies a difference between his or her actual state and the desired or ideal state. This difference creates a need or problem that motivates the consumer to take action.

Problem recognition may arise from internal stimuli, such as hunger or dissatisfaction, or external stimuli, such as advertisements, social influences, or changes in the consumer's environment.

Marketing and non-marketing information can influence the consumer and contribute to the recognition of a problem or need. This is the first major stage of the consumer decision-making process.

2. Information Search

After recognizing a problem or need, the consumer begins to search for information that can help in making an appropriate decision.

The consumer may initially rely on information already stored in memory, including previous experiences, beliefs, and attitudes. If this information is insufficient, the consumer may seek additional information from various sources, such as:

• Advertisements and marketing communications
• Friends and family
• Online reviews and websites
• Salespeople
• Previous personal experiences
• Other external sources

Information processing is selective in nature. Consumers may pay attention to information that is relevant to their needs and consistent with their existing beliefs and perceptions. The information that attracts attention may be received, processed, and stored in memory for future use.

3. Evaluation of Alternatives

At this stage, the consumer evaluates the different brands, products, or alternatives available to satisfy the recognized need.

The criteria used for evaluation depend on the consumer's:

• Goals
• Motives
• Personality
• Previous experience
• Beliefs and attitudes
• Perceived product characteristics

Consumers often have predetermined beliefs about different brands and their attributes. They compare these alternatives according to the characteristics that are important to them and gradually develop a preference for one or more options.

4. Choice

After evaluating the available alternatives, the consumer makes a choice. The final choice is influenced by the consumer's intentions, attitudes, social influences, and anticipated circumstances.

One important factor is normative compliance, which refers to the extent to which a consumer's decision is influenced by other people, such as family members, friends, colleagues, or reference groups.

Situational factors may also influence the final decision. For example, changes in price, product availability, financial circumstances, or unexpected events may cause the consumer to change an initially intended choice.

5. Outcome

The final stage is the outcome of the purchase decision. The outcome may be either positive or negative depending on the consumer's experience with the product or service.

A satisfactory outcome can strengthen the consumer's beliefs and increase the likelihood of future purchases. An unsatisfactory outcome may lead to dissatisfaction, complaints, brand switching, or a search for better alternatives in the future.

Thus, the outcome can also influence the consumer's future learning, attitudes, beliefs, and decision-making behaviour.

Other Components of the EKB Model

In addition to the five major stages of the decision-making process, the EKB model includes several related variables that influence consumer behaviour. These can be broadly grouped into five categories:

1. Information Input

Information received from marketing and non-marketing sources enters the consumer's decision-making system and can influence problem recognition and subsequent decisions.

2. Information Processing

Consumers receive, interpret, organize, and store information. Selective attention and perception determine which information is processed and retained.

3. Product-Brand Evaluation

Consumers compare products and brands using criteria that are influenced by their needs, motives, beliefs, attitudes, and personal characteristics.

4. General Motivating Influences

Motives, goals, personality, values, and other internal factors influence how consumers respond to information and make purchase decisions.

5. Internalized Environmental Influences

Social and environmental factors, such as family, culture, social class, reference groups, and other influences, become internalized by consumers and affect their decision-making behaviour.

Quick Summary - Engel-Kollat-Blackwell Model of Consumer Behaviour

The Engel-Kollat-Blackwell model provides a systematic framework for understanding consumer behaviour as a decision-making, problem-solving, and learning process. Its five major stages—problem recognition, information search, evaluation of alternatives, choice, and outcome—explain how consumers move from identifying a need to evaluating available options and experiencing the results of their decisions. 

The model is particularly useful because it recognizes that consumer behaviour is influenced not only by the immediate purchase decision but also by information processing, motivation, personal characteristics, social influences, environmental factors, and previous experiences. Therefore, the EKB model provides marketers with a comprehensive framework for understanding how consumers make decisions and how those decisions may influence their future behaviour.

Steps of the Engel-Kollat-Blackwell (EKB) Model

1. Decision Process Stages – Central Focus of the Model
The central focus of the EKB model is the five basic stages of the consumer decision-making process:

• Problem Recognition
• Information Search
• Evaluation of Alternatives
• Choice/Purchase
• Outcome

These stages explain how a consumer moves from identifying a need to evaluating available options, making a purchase decision, and experiencing the final outcome.

2. Information Input
Information from both marketing and non-marketing sources enters the information-processing system of the model. Marketing sources include advertisements, sales promotions, and other promotional communications, while non-marketing sources include family, friends, reference groups, and personal experiences.

This information provides inputs to the consumer's decision-making process and can contribute to problem recognition and subsequent stages.

3. Information Processing
The information-processing section explains how consumers deal with the information they receive. It consists of four major processes:

• Exposure – The consumer comes into contact with information.
• Attention – The consumer focuses on information that appears relevant.
• Comprehension – The consumer interprets and understands the information.
• Retention – Relevant information is stored in memory for future use.

The information may come from both marketer-dominated and non-marketer-dominated sources.

4. Variables Influencing the Decision Process
The EKB model also recognizes various individual, social, and situational factors that can influence all five stages of the consumer decision-making process.

• Individual characteristics: Motives, values, lifestyle, and personality influence how consumers perceive information and make decisions.
• Social influences: Culture, reference groups, and family can affect consumer preferences, attitudes, and choices.
• Situational influences: Factors such as financial condition, anticipated circumstances, and unexpected circumstances may influence the final decision.

Thus, the EKB model shows that consumer decision-making is not influenced by information alone. Personal characteristics, social influences, and situational factors interact with the decision process to shape consumer behaviour.

Nicosia Model of Consumer Behaviour

The Nicosia Model was developed in 1966 by Francesco Nicosia, an expert in consumer motivation and behaviour. The model attempts to explain consumer buying behaviour by establishing a relationship between a marketing organization and its prospective consumers.

The central idea of the Nicosia Model is that the marketing activities and communication of a firm influence the consumer's attitude and predisposition toward a product or service. This may lead the consumer to search for information, evaluate the product and available alternatives, develop a motivation to purchase, and ultimately make a purchase decision.

The model is based on the computer flowcharting technique and divides consumer behaviour into four major fields.

Field 1: Firm's Attributes and Consumer Attributes

Field 1 represents the relationship between the firm's attributes and the consumer's attributes. The firm communicates with prospective consumers through advertising and other marketing messages.

The message received by the consumer interacts with the consumer's existing characteristics, needs, experiences, and perceptions. Depending on how the message is interpreted, it may create a particular predisposition or attitude toward the product or service.

The attitude developed in Field 1 becomes the input for Field 2.

Field 2: Search and Evaluation

Field 2 represents the consumer's search and evaluation process. After developing an interest in the product, the consumer searches for additional information about the advertised product.

The consumer evaluates:

• The product and its attributes
• The benefits offered by the product
• Alternative products or brands
• The suitability of the product for his or her needs

If the search and evaluation process creates sufficient motivation to purchase, the process moves to Field 3. If the evaluation is unfavourable, the consumer may reject the product or choose an alternative.

Field 3: Purchase

Field 3 represents the actual act of purchase. After evaluating the available alternatives, the consumer makes a decision based on his or her level of motivation and preference.

A favourable evaluation may result in the consumer purchasing the product or service, whereas an unfavourable evaluation may result in the consumer deciding not to buy.

Field 4: Use and Feedback

Field 4 represents the use of the purchased product or service. After purchasing the product, the consumer uses it and develops an experience based on its performance.

This experience can influence future buying behaviour. The results of product use may also provide feedback to the firm. Sales results and consumer responses can help the firm evaluate the effectiveness of its marketing communication and make improvements in its future marketing activities.

Thus, the process can be represented as:

Firm's Message → Consumer Attitude → Search & Evaluation → Purchase → Use → Feedback to Firm

Product Adoption Process

The product adoption process explains how different consumers gradually accept and adopt a new product or innovation. Consumers can generally be classified into five categories:

1. Innovators – The first consumers to try a new product. They are willing to take risks and experiment with new ideas.
2. Early Adopters – Consumers who adopt the product relatively early and often influence the opinions of other consumers.
3. Early Majority – Consumers who adopt a product after seeing evidence that it is useful and accepted by others.
4. Late Majority – Consumers who are more cautious and adopt the product after it has become widely accepted.
5. Laggards – Consumers who are the last to adopt a new product and generally prefer traditional products or established practices.

The adoption sequence can therefore be shown as:

Innovators → Early Adopters → Early Majority → Late Majority → Laggards

Quick Summary - Nicosia Model of Consumer Behaviour

The Nicosia Model provides a systematic explanation of how a firm's marketing communication can influence consumer behaviour. It emphasizes the interaction between the firm and the consumer, beginning with communication and attitude formation and progressing through information search, evaluation, purchase, and product use.

The four fields of the model can be summarized as:

Field	Main Activity
Field 1	Firm's message, consumer attributes and attitude formation
Field 2	Search and evaluation of the product and alternatives
Field 3	Purchase decision and act of purchase
Field 4	Product use and feedback to the firm

Overall, the Nicosia Model is useful for understanding how marketing communication can influence consumer attitudes and ultimately lead to purchase and post-purchase behaviour.

Nicosia Model – Four Major Fields and Limitations

The Nicosia Model is divided into four major fields, which explain the consumer decision-making process from the firm's communication to the consumer's purchase and subsequent feedback.

1. Field 1: Consumer Attitude

Field 1 explains how the firm's marketing messages influence the consumer's attitude toward a product or service. The consumer receives and interprets the firm's message, which may create a favourable or unfavourable attitude toward the product.

2. Field 2: Search and Evaluation

Field 2 represents the search for information and evaluation of the product and available alternatives. The consumer searches for relevant information and evaluates whether the advertised product can satisfy his or her needs.

3. Field 3: Act of Purchase

Field 3 represents the actual act of purchase. If the consumer's search and evaluation create sufficient motivation, the consumer may decide to purchase the product or service.

4. Field 4: Feedback

Field 4 represents feedback from the consumer's experience with the purchased product. The experience and purchasing results can provide useful feedback to the firm and may influence future marketing activities and consumer decisions.

Limitation of the Nicosia Model

One major limitation of the Nicosia Model is that it does not provide sufficient detail about the internal factors that influence consumer personality, attitude formation, and purchase decisions.

For example, a consumer may find a firm's advertising message attractive and interesting but may still decide not to purchase the product because it conflicts with the consumer's beliefs, values, attitudes, or personal preferences.

Therefore, the model could be improved by giving greater attention to the internal psychological and personal factors that influence consumers. Factors such as motives, beliefs, values, personality, attitudes, lifestyle, and past experiences can play an important role in determining whether a consumer ultimately accepts or rejects a product.

Thus, although the Nicosia Model provides a useful framework for understanding the relationship between firm communication and consumer purchase behaviour, its limited treatment of internal consumer factors is an important weakness.

Howard-Sheth Model of Consumer Behaviour

The Howard-Sheth Model was introduced by John Howard and Jagdish Sheth in 1969. It is also known as a multi-variable model of consumer behaviour because it explains consumer buying behaviour through the interaction of several variables.

The model attempts to explain the complexity of consumer decision-making, particularly when consumers have incomplete information about products or brands. It focuses on how consumers receive information, process it, develop preferences, and ultimately make purchase decisions.

The Howard-Sheth Model identifies three levels of consumer decision-making:

1. Extensive Problem Solving

At this stage, the consumer has little or no knowledge about the product or available brands and has not developed a clear preference.

The consumer therefore seeks information about different brands, compares their features and benefits, and evaluates the available alternatives before making a decision.

Example: A consumer buying a car for the first time may research different brands, prices, features, mileage, and customer reviews before selecting a brand.

2. Limited Problem Solving

At this stage, the consumer has some knowledge about the product or market, but does not have a definite brand preference.

The consumer seeks additional information and compares a limited number of brands to develop a preference and arrive at a purchase decision.

Example: A consumer who already knows several smartphone brands may compare their cameras, processors, prices, and features before choosing one.

3. Habitual Response Behaviour

At this stage, the consumer has considerable knowledge and experience with the product and different brands. The consumer can easily distinguish between brands and their characteristics.

As a result, the consumer requires relatively little additional information and can make the purchase decision based on habit, previous experience, and established preferences.

Example: A consumer who regularly purchases the same toothpaste brand may continue buying it without comparing other brands every time.

Major Variables in the Howard-Sheth Model

The Howard-Sheth Model consists of four major sets of variables:

1. Inputs

Inputs are the various sources of information that influence the consumer. They consist of three major types:

• Significative stimuli – Information about the physical characteristics of a product, such as price, quality, design, and features.
• Symbolic stimuli – Information communicated through advertising, sales promotion, packaging, and other marketing communication.
• Social stimuli – Influences from the consumer's social environment, such as family, friends, reference groups, and social class.

These inputs provide information that the consumer uses during the decision-making process.

2. Perceptual and Learning Constructs

These constructs explain the psychological processes involved in consumer decision-making.

The consumer receives and interprets information and develops knowledge, beliefs, attitudes, preferences, and intentions. Important elements include:

• Consumer goals
• Brand information
• Evaluation criteria
• Brand preferences
• Attitudes
• Purchase intentions

These psychological processes determine how the consumer responds to the information received from the environment.

3. Outputs

Outputs represent the consumer's responses resulting from the perceptual and learning processes.

The consumer's response may develop progressively from awareness and knowledge to attitude, preference, purchase intention, and finally actual purchase behaviour.

Thus, outputs reflect how the consumer has processed the available information and what action he or she is likely to take.

4. Exogenous Variables

Exogenous variables are external factors that can influence the consumer decision-making process but are not necessarily part of the main input-processing-output sequence.

Examples include:

• Consumer personality traits
• Religion
• Time pressure
• Social and cultural influences
• Financial circumstances

These factors can affect how consumers interpret information and make their final purchase decisions.

Quick Summary - Howard-Sheth Model of Consumer Behaviour

The Howard-Sheth Model explains consumer behaviour as a learning and decision-making process in which consumers receive information, process it psychologically, develop preferences, and ultimately make purchase decisions.

The three levels of decision-making can be summarized as:

Extensive Problem Solving → Limited Problem Solving → Habitual Response Behaviour

The model's four major variable sets are:

Inputs → Perceptual & Learning Constructs → Outputs, influenced by Exogenous Variables.

Overall, the Howard-Sheth Model is particularly useful for explaining how consumers move from limited knowledge and uncertainty to established brand preferences and habitual purchasing behaviour.