Need recognition/problem awareness
Need recognition may be functional and occur as a result of routine depletion (e.g. petrol, food) or unpredictably (e.g. the breakdown of a car or washing machine). In other situations, consumer purchasing may be initiated by more emotional or psychological needs. For example, the purchase of Chanel perfume is likely to be motivated by status needs rather than by any marginal functional superiority over other perfumes.
Two issues govern the degree to which the buyer intends to resolve the problem: the magnitude of the discrepancy between the desired and present situation, and the relative importance of the problem. A problem may be perceived but if the difference between the current and desired situation is small then the consumer may not be sufficiently motivated to move to the next step in the decision-making process. For example, a person may be considering upgrading their personal computer from a Pentium III to a Pentium IV model. The Pentium IV model may be viewed as desirable, but if the individual considers the difference in benefits to be small then no further purchase activity may take place. Conversely, a large discrepancy may be perceived but the person may not proceed to information search because the relative importance of the problem is small. A person may feel that a Pentium IV has significant advantages over a Pentium III computer, but that the relative importance of these advantages compared with other purchase needs (for example, the mortgage or a holiday) is small. The existence of a need, therefore, may not activate the decision-making process in all cases, due to the existence of 'need inhibitors'.
The need recognition stage has a number of implications for marketing. First, marketing managers must be aware of the needs of consumers and the problems they face. Sometimes this awareness may be due to the intuition of the marketer who, for example, spots a new trend (such as the early marketing pioneers who spotted the trend toward fast food, which has underpinned the global success of companies like McDonald's and Kentucky Fried Chicken). Alternatively, marketing research could be used to assess customer problems or needs (see Chapter 4). Second, marketers should be aware of need inhibitors. In the personal computer case cited above, for example, fears of not being able to use a computer might suggest developing an easy-to-use computer. Apple Computers provided such opportunities through its 'Test drive a Mac' dealer promotion when it launched the Macintosh. Third, marketing managers should be aware that needs may arise because of stimulation. Their activities, such as developing advertising campaigns and training salespeople to sell product benefits, may act as cues to needs arousal.
Not all consumer needs are immediately obvious. Consumers often engage in exploratory consumer behaviour such as being early adopters of new products and retail outlets, taking risks in making product choices, recreational shopping and seeking variety in purchasing products. Such activities can satisfy the need for novel purchase experiences, offer a change of pace and relief from boredom, and satisfy a thirst for knowledge and consumers' curiosity.