1.

Analyze the buyer decision process of a traditional Porsche customer

Answer: The Porsche buyer decision process will start with need recognition. This feeling
will occur when a buyer mentally recognizes that there is a problem and it can be satisfied
with a purchase to satisfy their need. A consumer feels he or she needs a newer or brand
new Porsche, which is triggered from a stimulus. These stimuli can be advertising, word-
of-mouth, visual, or a one’s psychological need to enhance his or her self-esteem. The
information search process then begins when consumers start to look into various
commercial, personal, public, and experiential sources for research. Checking the latest
car magazines and websites is where most people go nowadays to learn about almost
anything. When more information is obtained about the features, characteristics, and
attributes of the Porsches is learned, the consumer will then explore possible alternatives
of another brand. The consumer will compare and contrast what the Porsche will give
them in regard to certain attributes. The high cost of a Porsche is not taken into
consideration. When a consumer has their mind made up, it is time for the purchase
decision.
A consumer then buys a Porsche after the logical steps of the buyer decision process. The
post-purchase decision will then strengthen or weaken the consumer’s satisfaction with
Porsche. If the car ends up with more mechanical problems than expected or less than
expected service coverage, the buyer will be slightly affected. If the Porsche is everything
they’d ever imagined, the buyer’s satisfaction will be through the roof and their word of
mouth will spread good information of the company.
2. Contrast the traditional Porsche customer decision process to the decision
process for a Cayenne or a Panamera customer.

Answer:
The decision process between someone who purchases the traditional Porsche as
opposed to the Cayenne or Panamera models differs very greatly. The first step of the
process is need recognition, in which the consumer recognizes that there is a difference
between his or her current state, and evaluates the needs that will propel him or her to the
desired state. It is in this step that the consumers, both the traditional Porsche and the
Cayenne or Panamera consumers alike, will realize that they need a vehicle for the sole
purpose of moving around. The car is the need that is recognized in this step. The next
step of the decision process is the search. Consumers usually do not possess enough
information to make an intelligent purchase, so they usually search for and gather as much
information as possible to be able to make a purchase that they believe will best suit their
needs. This is usually when the decision process differs between the consumer who
decides to buy the traditional Porsche and the consumer who buys the Cayenne or the
Panamera. Most traditional Porsche consumers do not need to consider the size, cost or
efficiency of the vehicle. As the textbook describes it, most Porsche owners view the
vehicle as something to be enjoyed; it is an exclusive car brand and therefore represents
both exclusiveness and status (two things that are usually important to the typical type of
Porsche consumer). However, consumers buying the Cayenne or Panamera have
considered qualities such as size along with efficiency and power. These types of
consumers still want the brand name, exclusiveness and luxury, but decide that they need
more space with the same Porsche power found in the traditional vehicles. After the
search, the next step in the process is making a decision. The consumers then decide
which product they believe will best fulfill their needs based on the information produced
by the search. Porsche consumers will evaluate the traditional Porsche, as well as the
Cayenne and Panamera, and proceed to decide on one to purchase. Making the actual
purchase follows, and the final step in the decision process is the post-purchase decision,
in which customers evaluate whether they are satisfied or dissatisfied with the product they
have purchased.

3. Which concept in the chapter explains why Porsche sold so many lower-priced
models in the 1970s and 1980s

Cultural, personal and psychological factors have played roles in Porsche developing
lower priced models in the past. The 914 and 944 models were marketed to attract
different social classes of customers who were once priced out of the brand’s models.
People then bought the new models to fulfill their self-esteem and confidence with being
associated with an upper class car maker. Porsche wanted to reach out to create many
future brand loyalists when it extended its brand outside the box. This decision resulted in
the loss of many loyal customers. The people who were Porsche enthusiasts and fanatics
became highly disappointed with the new model. How could Porsche make a car that was
underpowered and had a front engine placement? Loyal customers didn’t accept the new
models as real Porsche cars that were known for unique engineering developed negative
attitude towards the company.

4) Explain how both positive and negative attitudes toward a brand like Porsche
develop. How might Porsche change consumer attitudes toward the brand?

Positive attitudes towards Porsche develop first from its reputation over the years
as a top performance marque that young people dream to one day own and drive. This
encourages buyers who want to elevate their social status or fulfill their current upper
status. Porsche vehicles normally deliver the quality, luxury, and performance that are
expected of the brand. The high resale values of older models allows for people to speak
highly of their products.
Negative attitudes about Porsche can develop from word of mouth. People can talk badly
about people who own a Porsche as maybe arrogant and not genuine out of jealousy.
When the brand starts to market lower cost models to younger people to develop a long
relationship, older existing owners can feel that Porsche has lost the exclusivity of their
cars. It may make them feel as though they may have to buy a different brand to
disassociate them from the Porsche name. Another negative attitude is towards the high
cost of ownership. Porsche vehicles are very expensive to own, operate, insure and repair.
Parts and labor costs can make many potential customers feel as though their money has
better value with another company.
Porsche can change customer attitude by increasing its customer relationships and
enhance the quality and value of the total Porsche experience. Porsche can also change
consumer attitudes towards it buy marketing campaigns that show the company not as just
a maker of frivolous impractical “rich people sports cars” but into a family friendly and
environmentally friendly car maker. The new models appeal to families and younger
consumers. Its customers are becoming diverse and not just “rich old people”. The brand
still makes super sports cars that demand very high prices that keep the traditional
customers who love the image of exclusivity for which Porsche is well-known.