what is the difference between extended versus limited problem solving

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What is the difference between extended versus limited problem solving?

Limited problem solving is used when products are purchased on a regular basis or when buyers need to learn more about an unfamiliar brand in a different product category. When purchasing an unfamiliar, expensive, or infrequently purchased product, consumers engage in extended problem solving.

In the same vein, what is extended problem-solving? the process of a customer attempting to obtain all of the information they require in order to make a decision about which brand of product they want to purchase: When a customer purchases a product they have never purchased before, extensive problem solving is likely to occur. Also, how do you deal with the problem? Definition: Problem Recognition Problem recognition occurs when a consumer recognizes a significant difference between what appears to be the actual product and the product he or she wants to purchase, which has a direct impact on the customer’s decision-making during the purchasing process.

Aside from that, what is limited decision-making? Limited decision-making is a type of consumer decision-making that occurs when purchasing products that require a small amount of time and effort to compare models and brands prior to making a decision. Why do people spend so much time thinking about problems? because they have no knowledge of the product

A type of product or behavior that is temporarily adopted by a large number of people because the product, service, or behavior is thought to be socially acceptable for the time and place.

What exactly is integrated problem-solving?

Individuals can better understand who they are, their natural strengths and challenges, and become more of who they can be through Integrated Problem-SolvingTM (IPS), a teaching modality developed by Wellness Resources of Vermont.

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What is the scope of problem-solving?

Limited is a problem-solving process in which consumers are unmotivated to look for information or evaluate each alternative rigorously; instead, they use simple decision rules to make a purchase decision.

What exactly is routine problem-solving?

For each type, the goals and strategies used to solve problems are different. Problem solving is a common occurrence. Routine problem solving, from a curricular standpoint, entails using at least one of the four arithmetic operations and/or ratios to solve practical problems.

What exactly is extended decision-making?

”Extended decision-making is the response to a high level of purchase involvement; an extensive internal and external information search is followed by a complex evaluation of multiple options; after the purchase, there is likely to be uncertainty about its correctness; and a thorough evaluation of the purchase will take place.

What is a non-emergency issue?

Any complex problem that requires some level of creativity or originality to solve is referred to as a non-routine problem. Non-routine problems usually do not have a clear strategy for resolving them right away. These issues can often be resolved in a variety of ways.

What are the different types of decisions that can be made?

Programmed and non-programmed decisions: Routine and strategic decisions: Tactical (Policy) and operational decisions: Organizational and personal decisions: Major and minor decisions: Individual and group decisions

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What is the difference between extended versus limited problem solving.

Limited problem solving usually relies on past experience more than on external information . Extended problem solving, which is common when the customer perceives that the purchase decision entails a lot of risk, and entails much external information.

Limited problem solving is used for products purchased occasionally or when buyers need to acquire information about an unfamiliar brand in a familiar product category. Consumers engage in extended problem solving when purchasing an unfamiliar, expensive, or infrequently bought product.

What is extended problem solving in marketing?

What is extended problem solving? the process of a customer trying to get all the information they need in order to be able to make a choice between different brands of a product that they want to buy: Extensive problem solving is likely to occur when the customer is purchasing a product that they have not bought before.

When do consumers engage in limited problem solving?

What is limited problem solving in product recognition.

Limited problem solving is used for products purchased occasionally or when buyers need to acquire information about an unfamiliar brand in a familiar product category. Consumers engage in extended problem solving when purchasing an unfamiliar, expensive, or infrequently bought product. Also, what is the problem recognition?

What is extended problem solving?

buying situations which require considerable effort because the buyer has had no previous experience with the product or suppliers; also called Extensive Decision Making. See: Limited Problem Solving.

What is the difference between limited and extensive decision making?

While routine or limited decision-making require comparatively little research and thought, extensive decision-making requires a consumer to spend a significant amount of time and effort on the decision-making process.Oct 14, 2021

What is a limited problem?

buying situations in which a purchaser has had some previous experience but is unfamiliar with suppliers, product options, prices, etc. Also referred to as Limited Decision Making.

What is limited problem solving with example?

Limited problem solving Examples for this mode of decision – making might include searching for and purchasing products and services associated with pest control within private properties.

What is extended decision?

Extended Decision-Making occurs when consumers are buying a rather expensive product. You spend some time doing in-depth research about the product, before making your final purchase decision. Since it is a high-end product, the economic risk of buying it is much higher than if you would buy an average product.

What is extended decision making example?

1) Extensive decision making process – This type of decision making process is used when the product is a very high involvement product, possible a high investment product as well. Typical examples include buying a house for a consumer, or buying a new manufacturing plant in case of industries.Feb 14, 2018

What characteristics of extended problem solving are involved in a computer purchase?

When a consumer commits significant time to the comparative process and reviews price, warranties, terms and condition of sale and other features it is said that they are involved in extended problem solving.

What is limited problem solving in consumer behaviour?

In limited problem solving, the consumers have already set the basic criteria or standard for evaluating the products. However, they have not fully set the established preferences and they search for additional information to discriminate among other products or brands.

What are the 3 types of customer decision making?

Types of Consumer Decisions There are three major categories of consumer decisions - nominal, limited, and extended - all with different levels of purchase involvement, ranging from high involvement to low involvement.Aug 14, 2021

What are some examples of limited decision-making?

Limited Decision Making--buying product occasionally. When you need to obtain information about unfamiliar brand in a familiar product category, perhaps. Requires a moderate amount of time for information gathering. Examples include Clothes--know product class but not the brand.

What is the first stage of FLC?

Stage I : Bachelorhood This FLC stage consists of young single men and women w h o have established households away from their parents. Although most members of this FLC stage are fully employed, many are college or university students who have left their parents' homes.

What is antecedent state?

Antecedent states are momentary moods or conditions of buying such as acute anxiety, pleasantness, hostility, cash on hand, fatigue and illness.

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Extended versus limited problem-solving in purchase decisions

Elements of Extended versus limited problem-solving in purchase decisions:

The extended and limited purchase process in relation to different product types.

Principle :

The purchase decision will range on a continuum from low to high level risk (financial, social or psychological) and will vary in terms of the amount of time devoted to the information search and the number of brand alternatives considered.

Primarily concerned with understanding how we make purchase decisions

In order to choose between alternatives the buyer must search for relevant information and then evaluate and compare the various options in order to reach the best decision.

Applications :

To analyse or illustrate the problem-solving continuum facing consumers

Source of  Extended versus limited problem-solving in purchase decisions :

Blackwell (2005)

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Purpose – the heart of business, entrepreneurship vs intrapreneurship, business model canvas.

Four Modes of Consumer Decision Making

Extended problem solving

Extended problem solving customer decision – making mode relates to a situation where customers lack experience in a specific consumption setting, nevertheless, the setting is perceived by them as a highly involving. The products are usually of a high value and they also contribute to an individual’s social status, however, their purchase is often associated with significant amount of risk in terms of making improper purchase decision. Purchasing the first car or the first house can be mentioned as instances for extended problem solving.

Limited problem solving

Customer decision – making mode of limited problem solving , relates to a situation where both, customer experience, as well as, the level of their involvement are low. Considered to be the most common mode of decision – making, it lacks systematic approach in terms of decision – making. Examples for this mode of decision – making might include searching for and purchasing products and services associated with pest control within private properties.

In other words, as Perrey and Spillecke (2011) confirm, limited problem – solving customer decision – making mode relate to situations where customers are attempting to find appropriate solutions to their unpleasant issues. Retailers often attempt to attract such type of customers by employing a range of marketing techniques that include introducing discount vouchers, offering free samples etc.

Habit or variety seeking

Habit or variety seeking is the customer decision – making mode where a decision is not involving, however, there are high amount of repeated purchases from a specific brand. For example, the purchase of a specific brand of a dishwasher gel can be repeated over a long period of time in a habitual manner, without re-considering the value associated with the brand even when there are more valuable alternatives have emerged in the market.

Variety seeking relates to instances where customer moves to another brand within a given product category. At the same time, interestingly, “from one purchase occasion to the next, the individual  will switch brands from within this set, just for the sake of variety” (O’Guinn et al, 2011, p.175).

Brand loyalty

Customers with a decision – making mode of brand loyalty practice high level of involvement in decision – making and they also possess high level of experience with a particular brand. Instances of brand loyalty customer decision – making mode include using specific brand of cigarettes for a long period of time.

According to Cant et al (2009), factors effecting customer brand loyalty in retail setting include brand name, the quality of products and services, price and style of products, environment of the store, the level and nature of promotion offered, and the quality of customer services provided. Considerable amount of financial resources are usually invested by leading retailers in order to enhance their brand image and therefore increase their long-term growth prospects.

• Cant, M.C., Strydom, J.W. & Jooste, C.J. (2009) “Marketing Management” Juta Publications
• O’Guinn, T.C., Allen, C.T. & Semenik, R.J. (2011) “Advertising and Integrated Brand Promotion” Cengage Learning
• Perrey, J & Spillecke, D. (2011) “Retail Marketing and Branding: A Definitive Guide to Maximising ROI” John Wiley & Sons

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Consumer Motivation and Involvement

15 Involvement Levels

Depending on a consumer’s experience and knowledge, some consumers may be able to make quick purchase decisions and other consumers may need to get information and be more involved in the decision process before making a purchase. The level of involvement reflects how personally important or interested you are in consuming a product and how much information you need to make a decision. The level of involvement in buying decisions may be considered a continuum from decisions that are fairly routine (consumers are not very involved) to decisions that require extensive thought and a high level of involvement. Whether a decision is low, high, or limited, involvement varies by consumer, not by product.

Low Involvement Consumer Decision Making

At some point in your life you may have considered products you want to own (e.g. luxury or novelty items), but like many of us, you probably didn’t do much more than ponder their relevance or suitability to your life. At other times, you’ve probably looked at dozens of products, compared them, and then decided not to purchase any one of them. When you run out of products such as milk or bread that you buy on a regular basis, you may buy the product as soon as you recognize the need because you do not need to search for information or evaluate alternatives . As Nike would put it, you “just do it.” Low-involvement decisions are, however, typically products that are relatively inexpensive and pose a low risk to the buyer if a mistake is made in purchasing them.

Consumers often engage in routine response behaviour when they make low-involvement decisions — that is, they make automatic purchase decisions based on limited information or information they have gathered in the past. For example, if you always order a Diet Coke at lunch, you’re engaging in routine response behaviour. You may not even think about other drink options at lunch because your routine is to order a Diet Coke, and you simply do it. Similarly, if you run out of Diet Coke at home, you may buy more without any information search.

Some low-involvement purchases are made with no planning or previous thought. These buying decisions are called impulse buying . While you’re waiting to check out at the grocery store, perhaps you see a magazine with a notable celebrity on the cover and buy it on the spot simply because you want it. You might see a roll of tape at a check-out stand and remember you need one or you might see a bag of chips and realize you’re hungry or just want them. These are items that are typically low-involvement decisions. Low involvement decisions aren’t necessarily products purchased on impulse, although they can be.

High Involvement Consumer Decision Making

By contrast, high-involvement decisions carry a higher risk to buyers if they fail. These are often more complex purchases that may carry a high price tag, such as a house, a car, or an insurance policy. These items are not purchased often but are relevant and important to the buyer. Buyers don’t engage in routine response behaviour when purchasing high-involvement products. Instead, consumers engage in what’s called extended problem solving where they spend a lot of time comparing different aspects such as the features of the products, prices, and warranties.

High-involvement decisions can cause buyers a great deal of post-purchase dissonance, also known as cognitive dissonance which is a form of anxiety consumers experience if they are unsure about their purchases or if they had a difficult time deciding between two alternatives. Companies that sell high-involvement products are aware that post purchase dissonance can be a problem. Frequently, marketers try to offer consumers a lot of supporting information about their products, including why they are superior to competing brands and why the consumer won’t be disappointed with their purchase afterwards. Salespeople play a critical role in answering consumer questions and providing extensive support during and after the purchasing stage.

Limited Problem Solving

Limited problem solving falls somewhere between low-involvement (routine) and high-involvement (extended problem solving) decisions. Consumers engage in limited problem solving when they already have some information about a good or service but continue to search for a little more information. Assume you need a new backpack for a hiking trip. While you are familiar with backpacks, you know that new features and materials are available since you purchased your last backpack. You’re going to spend some time looking for one that’s decent because you don’t want it to fall apart while you’re traveling and dump everything you’ve packed on a hiking trail. You might do a little research online and come to a decision relatively quickly. You might consider the choices available at your favourite retail outlet but not look at every backpack at every outlet before making a decision. Or you might rely on the advice of a person you know who’s knowledgeable about backpacks. In some way you shorten or limit your involvement and the decision-making process.

Distinguishing Between Low Involvement and High Involvement

Products, such as chewing gum, which may be low-involvement for many consumers often use advertising such as commercials and sales promotions such as coupons to reach many consumers at once. Companies also try to sell products such as gum in as many locations as possible. Many products that are typically high-involvement such as automobiles may use more personal selling to answer consumers’ questions. Brand names can also be very important regardless of the consumer’s level of purchasing involvement. Consider a low-versus high-involvement decision — say, purchasing a tube of toothpaste versus a new car. You might routinely buy your favorite brand of toothpaste, not thinking much about the purchase (engage in routine response behaviour), but not be willing to switch to another brand either. Having a brand you like saves you “search time” and eliminates the evaluation period because you know what you’re getting.

When it comes to the car, you might engage in extensive problem solving but, again, only be willing to consider a certain brand or brands (e.g. your evoke set for automobiles). For example, in the 1970s, American-made cars had such a poor reputation for quality that buyers joked that a car that’s not foreign is “crap.” The quality of American cars is very good today, but you get the picture. If it’s a high-involvement product you’re purchasing, a good brand name is probably going to be very important to you. That’s why the manufacturers of products that are typically high-involvement decisions can’t become complacent about the value of their brands.

Ways to Increase Involvement Levels

Involvement levels – whether they are low, high, or limited – vary by consumer and less so by product. A consumer’s involvement with a particular product will depend on their experience and knowledge, as well as their general approach to gathering information before making purchasing decisions. In a highly competitive marketplace, however, brands are always vying for consumer preference, loyalty, and affirmation. For this reason, many brands will engage in marketing strategies to increase exposure, attention, and relevance; in other words, brands are constantly seeking ways to motivate consumers with the intention to increase consumer involvement with their products and services.

Some of the different ways marketers increase consumer involvement are: customization; engagement; incentives; appealing to hedonic needs; creating purpose; and, representation.

1. Customization

With Share a Coke, Coca-Cola made a global mass customization implementation that worked for them. The company was able to put the labels on millions of bottles in order to get consumers to notice the changes to the coke bottle in the aisle. People also felt a kinship and moment of recognition once they spotted their names or a friend’s name. Simultaneously this personalization also worked because of the printing equipment that could make it happen and there are not that many first names to begin with. These factors lead the brand to be able to roll this out globally ( Mass Customization #12 , 2017).

2. Engagement

Have you ever heard the expression, “content is king”? Without a doubt, engaging, memorable, and unique marketing content has a lasting impact on consumers. The marketing landscape is a noisy one, polluted with an infinite number of brands advertising extensively to consumers, vying for a fraction of our attention. Savvy marketers recognize the importance of sparking just enough consumer interest so they become motivated to take notice and process their marketing messages. Marketers who create content (that isn’t just about sales and promotion) that inspires, delights, and even serves an audience’s needs are unlocking the secret to engagement. And engagement leads to loyalty.

There is no trick to content marketing, but the brands who do it well know that stepping away – far away – from the usual sales and promotion lines is critical. While content marketing is an effective way to increase sales, grow a brand, and create loyalty, authenticity is at its core.

Bodyform and Old Spice are two brands who very cleverly applied just the right amount of self-deprecating humour to their content marketing that not only engaged consumers, but had them begging for more!

Content as a Key Driver to Consumer Engagement

Engaging customers through content might involve a two-way conversation online, or an entire campaign designed around a single customer comment.

In 2012, Richard Neill posted a message to Bodyform’s Facebook page calling out the brand for lying to and deceiving its customers and audiences for years. Richard went on to say that Bodyform’s advertisements failed to truly depict any sense of reality and that in fact he felt set up by the brand to experience a huge fall. Bodyform, or as Richard addressed the company, “you crafty bugger,” is a UK company that produces and sells feminine protection products to menstruating girls and women (Bodyform, n.d.). Little did Richard know that when he posted his humorous rant to Bodyform that the company would respond by creating a video speaking directly at Richard and coming “clean” on all their deceitful attempts to make having period look like fun. When Bodyform’s video went viral, a brand that would have otherwise continued to blend into the background, captured the attention of a global audience.

Xavier Izaguirre says that, “[a]udience involvement is the process and act of actively involving your target audience in your communication mix, in order to increase their engagement with your message as well as advocacy to your brand.” Bodyform gained global recognition by turning one person’s rant into a viral publicity sensation (even though Richard was not the customer in this case).

Despite being a household name, in the years leading up to Old Spice’s infamous “The Man Your Man Should Smell Like” campaign, sales were flat and the brand had failed to strike a chord in a new generation of consumers. Ad experts at Wieden + Kennedy produced a single 30-second ad (featuring a shirtless and self-deprecating Isaiah Mustafa) that played around the time of the 2010 Super Bowl game. While the ad quickly gained notoriety on YouTube, it was the now infamous, “ Response Campaign ” that made the campaign a leader of its time in audience engagement.

3. Incentives

Customer loyalty and reward programs successfully motivate consumers in the decision making process and reinforce purchasing behaviours ( a feature of instrumental conditioning ). The rationale for loyalty and rewards programs is clear: the cost of acquiring a new customer runs five to 25 times more than selling to an existing one and existing customers spend 67 per cent more than new customers (Bernazzani, n.d.). From the customer perspective, simple and practical reward programs such as Beauty Insider – a point-accumulation model used by Sephora – provides strong incentive for customer loyalty (Bernazzani, n.d.).

4. Appealing to Hedonic Needs

A particularly strong way to motivate consumers to increase involvement levels with a product or service is to appeal to their hedonic needs. Consumers seek to satisfy their need for fun, pleasure, and enjoyment through luxurious and rare purchases. In these cases, consumers are less likely to be price sensitive (“it’s a treat”) and more likely to spend greater processing time on the marketing messages they are presented with when a brand appeals to their greatest desires instead of their basic necessities.

5. Creating Purpose

Millennial and Digital Native consumers are profoundly different than those who came before them. Brands, particularly in the consumer goods category, who demonstrate (and uphold) a commitment to sustainability grow at a faster rate (4 per cent) than those who do not (1 per cent) (“Consumer-Goods…”, 2015). In a 2015 poll, 30,000 consumers were asked how much the environment, packaging, price, marketing, and organic or health and wellness claims had on their consumer-goods’ purchase decisions, and to no surprise, 66 per cent said they would be willing to pay more for sustainable brands. (Nielsen, 2015). A rising trend and important factor to consider in evaluating consumer involvement levels and ways to increase them. So while cruelty-free, fair trade, and locally-sourced may all seem like buzz words to some, they are non-negotiable decision-making factors to a large and growing consumer market.

6. Representation

Celebrity endorsement can have a profound impact on consumers’ overall attitude towards a brand. Consumers who might otherwise have a “neutral” attitude towards a brand (neither positive nor negative) may be more noticed to take notice of a brand’s messages and stimuli if a celebrity they admire is the face of the brand.

When sportswear and sneaker brand Puma signed Rihanna on to not just endorse the brand but design an entire collection, sales soared in all the regions and the brand enjoyed a new “revival” in the U.S. where Under Armour and Nike had been making significant gains (“Rihanna Designs…”, 2017). “Rihanna’s relationship with us makes the brand actual and hot again with young consumers,” said chief executive Bjorn Gulden (“Rihanna Designs…”, 2017).

Media Attributions

• The image of two different coloured sneakers is by Raka Rachgo on Unsplash .
• The image of a coffee card in a wallet is by Rebecca Aldama on Unsplash .
• The image of an island resort in tropical destination is by Ishan @seefromthesky on Unsplash .
• The image of a stack of glossy magazine covers is by Charisse Kenion on Unsplash .

Text Attributions

• The introductory paragraph; sections on “Low Involvement Consumer Decision Making”, “High Involvement Consumer Decision Making”, and “Limited Problem Solving” are adapted from Principles of Marketing which is licensed under CC BY-NC-SA 3.0.

About Us . (n.d.). Body Form. Retrieved February 2, 2019, from https://www.bodyform.co.uk/about-us/.

Kalamut, A. (2010, August 18). Old Spice Video “Case Study” . YouTube [Video]. https://youtu.be/Kg0booW1uOQ.

Bernazzani, S. (n.d.). Customer Loyalty: The Ultimate Guide [Blog post]. https://blog.hubspot.com/service/customer-loyalty.

Bodyform Channel. (2012, October 16). Bodyform Responds: The Truth . YouTube [Video]. https://www.youtube.com/watch?v=Bpy75q2DDow&feature=youtu.be.

Consumer-Goods’ Brands That Demonstrate Commitment to Sustainability Outperform Those That Don’t. (2015, October 12). Nielsen [Press Release]. https://www.nielsen.com/us/en/press-room/2015/consumer-goods-brands-that-demonstrate-commitment-to-sustainability-outperform.html.

Curtin, M. (2018, March 30). 73 Per Cent of Millennials are Willing to Spend More Money on This 1 Type of Product . Inc. https://www.inc.com/melanie-curtin/73-percent-of-millennials-are-willing-to-spend-more-money-on-this-1-type-of-product.html.

Izaguirre, X. (2012, October 17). How are brands using audience involvement to increase reach and engagement?   EConsultancy. https://econsultancy.com/how-are-brands-using-audience-involvement-to-increase-reach-and-engagement/.

Rihanna Designs Help Lift Puma Sportswear Sales . (2017, October 24). Reuters. https://www.businessoffashion.com/articles/news-analysis/rihanna-designs-help-lift-puma-sportswear-sales.

Tarver, E. (2018, October 20). Why the ‘Share a Coke’ Campaign Is So Successful . Investopedia. https://www.investopedia.com/articles/markets/100715/what-makes-share-coke-campaign-so-successful.asp.

Low involvement decision making typically reflects when a consumer who has a low level of interest and attachment to an item. These items may be relatively inexpensive, pose low risk (can be exchanged, returned, or replaced easily), and not require research or comparison shopping.

This concept describes when consumers make low-involvement decisions that are "automatic" in nature and reflect a limited amount of information the consumer has gathered in the past.

A type of purchase that is made with no previous planning or thought.

High involvement decision making typically reflects when a consumer who has a high degree of interest and attachment to an item. These items may be relatively expensive, pose a high risk to the consumer (can't be exchanged or refunded easily or at all), and require some degree of research or comparison shopping.

Also known as "consumer remorse" or "consumer guilt", this is an unsettling feeling consumers may experience post-purchase if they feel their actions are not aligned with their needs.

Consumers engage in limited problem solving when they have some information about an item, but continue to gather more information to inform their purchasing decision. This falls between "low" and "high" involvement on the involvement continuum.

Introduction to Consumer Behaviour Copyright © by Andrea Niosi is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License , except where otherwise noted.

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6.3 Types of Consumer Decisions

As you read through the stages of the decision making process, did you think “Wait a minute. I do this sometimes but not all the time”? That is indicative of the different levels of involvement within the decision making process. In this section, we will examine this difference in more detail and how it may impact the marketing strategy.

Levels of Involvement in Decision Making

As you have seen, many factors influence a consumer’s behavior. Depending on a consumer’s experience and knowledge, some consumers may be able to make quick purchase decisions and other consumers may need to get information and be more involved in the decision process before making a purchase. The  level of involvement  reflects how personally important or interested you are in consuming a product and how much information you need to make a decision. The level of involvement in buying decisions may be considered a continuum from decisions that are fairly routine (consumers are not very involved) to decisions that require extensive thought and a high level of involvement. Whether a decision is low, high, or limited, involvement varies by consumer, not by product, although some products such as purchasing a house typically require a high-involvement for all consumers. Consumers with no experience purchasing a product may have more involvement than someone who is replacing a product.

You have probably thought about many products you want or need but never did much more than that. At other times, you’ve probably looked at dozens of products, compared them, and then decided not to purchase any one of them. When you run out of products such as milk or bread that you buy on a regular basis, you may buy the product as soon as you recognize the need because you do not need to search for information or evaluate alternatives. As Nike would put it, you “just do it.” Low-involvement decisions are, however, typically products that are relatively inexpensive and pose a low risk to the buyer if they makes a mistake by purchasing them.

Consumers often engage in routine, or habitual, behavior when they make low-involvement decisions—that is, they make automatic purchase decisions based on limited information or information they have gathered in the past. For example, if you always order a Diet Coke at lunch, you’re engaging in routine response behavior. You may not even think about other drink options at lunch because your routine is to order a Diet Coke, and you simply do it. Similarly, if you run out of Diet Coke at home, you may buy more without any information search.

Some low-involvement purchases are made with no planning or previous thought. These buying decisions are called impulse buying. While you’re waiting to check out at the grocery store, perhaps you see a magazine with the latest celebrity or influencer on the cover and buy it on the spot simply because you want it. You might see a roll of tape at a check-out stand and remember you need one or you might see a bag of chips and realize you’re hungry or just want them.

By contrast, high-involvement decisions carry a higher risk to buyers if they fail, are complex, and/or have high price tags. A car, a house, and an insurance policy are examples. These items are not purchased often but are relevant and important to the buyer. Buyers don’t engage in routine response behavior when purchasing high-involvement products. Instead, consumers engage in what’s called extended problem solving where they spend a lot of time comparing different aspects such as the features of the products, prices, and warranties.

High-involvement decisions can cause buyers a great deal of cognitive (postpurchase) dissonance (anxiety) if they are unsure about their purchases or if they had a difficult time deciding between two alternatives. Companies that sell high-involvement products are aware that dissonance can be a problem. Frequently, they try to offer consumers a lot of information about their products, including why they are superior to competing brands and how they won’t let the consumer down. Salespeople may be utilized to answer questions and do a lot of customer “hand-holding.”

Allstate’s “You’re in Good Hands” advertisements are designed to convince consumers that the insurance company won’t let them down.

Mike Mozart –  Allstate,  – CC BY 2.0.

Limited problem solving falls somewhere between low-involvement (routine) and high-involvement (extended problem solving) decisions. Consumers engage in limited problem solving when they already have some information about a good or service but continue to search for a little more information. Assume you need a new backpack for a hiking trip. While you are familiar with backpacks, you know that new features and materials are available since you purchased your last backpack. You’re going to spend some time looking for one that’s decent because you don’t want it to fall apart while you’re traveling and dump everything you’ve packed on a hiking trail. You might do a little research online and come to a decision relatively quickly. You might consider the choices available at your favorite retail outlet but not look at every backpack at every outlet before making a decision. Or you might rely on the advice of a person you know who’s knowledgeable about backpacks. In some way you shorten or limit your involvement and the decision-making process.

Products, such as chewing gum, which may be low-involvement for many consumers, often use advertising such as commercials and sales promotions such as coupons to reach many consumers at once. Companies also try to sell products such as gum in as many locations as possible.  Many products that are typically high-involvement such as automobiles may use more personal selling to answer consumers’ questions. Brand names can also be very important regardless of the consumer’s level of purchasing involvement. Consider a low- versus high-involvement decision—say, purchasing a tube of toothpaste versus a new car. You might routinely buy your favorite brand of toothpaste, not thinking much about the purchase (engage in routine response behavior), but not be willing to switch to another brand either. Having a brand you like saves you “search time” and eliminates the evaluation period because you know what you’re getting.

When it comes to the car, you might engage in extensive problem solving but, again, only be willing to consider a certain brand or brands. For example, in the 1970s, American-made cars had such a poor reputation for quality that buyers joked that a car that’s “not Jap [Japanese made] is crap.” The quality of American cars is very good today, but you get the picture. If it’s a high-involvement product you’re purchasing, a good brand name is probably going to be very important to you. That’s why the manufacturers of products that are typically high-involvement decisions can’t become complacent about the value of their brands.

You Try It!

Marketing Copyright © by Kim Donahue is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License , except where otherwise noted.

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