Consumer behavior toward ATM cards at ho chi minh city

MINISTRY OF EDUCATION & TRAINING
UNIVERSITY OF ECONOMICS HCM CITY

****************

NGUYEN THANH UY VU

CONSUMER BEHAVIOR
TOWARD ATM CARDS
AT HO CHI MINH CITY

Major:
ID:

Banking
60.31.12

Master of Banking

Thesis Tutor : TS. HỒ VIẾT TIẾN

Ho Chi Minh City - 2010


ACKNOWLEDGEMENTS
Two year studying with many subjects and hardly timetables, sometimes I feel
exhausted to keep up both work and study at the same time. However, until now when
I am taking the last steps on the studying road, I feel like ever stronger, confident with
knowledge. I have learned at University of Economics Hochiminh City. I would like to
take this opportunity to express my sincere thanks to all professors who provide me
with a lot of knowledge.

I would like to express my deep gratitude to Prof Dr. Ho Viet Tien, my thesis tutor in
supporting me to complete the thesis. His enthusiasm and whole-hearted guidance are
strong encouraging for me to accomplish the research.
I would like to extend a grateful acknowledgement to the Board of Directors and the
administration staff of University of Economics Hochiminh City for their assistance
and supporting me in studying during years.
Finally, thank you for being essential part of my life: family and friends, they always
love, care and continuously encourage me in study and career.
Love and thank you all!
Nguyen Thanh Uy Vu


TABLE OF CONTENTS
LIST OF FIGURE
LIST OF TABLES
CHAPRTER 1 : INTRODUCTION ……………………………………………. 1
1.1.

Rationale of the research………………………………………………….. 1

1.2.

Objective of the research …………………………………………………. 2

1.3.

The meaning of research ………………………………………………….. 3

1.4.

The scope and methodology of research …………………………………. 3

1.4.1. The research scope ………………………………………………………… 4
1.4.2. The research methodology ………………………………………………… 4
1.5.

Structure of thesis ………………………………………………………….. 4

CHAPRTER 2 : LITERATURE REVIEW.......................................................... 6
2.1.

Concept of consumer behavior ……………………………………………. 6

2.2.

Models of consumer behavior …………………………………………….. 7

2.3.

Characteristics influencing consumer behavior …………………………… 7

2.3.1. Culture factors ……….……………………… …………………………… 7
2.3.2. Social factors …………………………………………………………….... 8
2.3.3. Personal factors ………………………………………………………….

9

2.3.4. Psychological factors ……………………………………………………..

10

2.4.

The stages of the buying decision process ……………………………….… 14


2.4.1. Problem recognition: perceiving a need…………………………………… 15
2.4.2. Information searching: seeking value …………………………………..… 15
2.4.3. Alternatives evaluation: assessing value ……………………………….… 16
2.4.4. Purchase decision: buying value ………………………………………..… 16
2.4.5. Post purchase behavior: value in consumption or use…………………….. 17
2.5.

Four types of consumer buying behavior ……………………………….… 18

2.5.1. Complex buying behavior ……………………………………………….… 18
2.5.2. Dissonance- reducing buyer behavior ………………………………….… 19
2.5.3. Habitual buying decision………………………………………………..… 19
2.5.4. Variety- seeking buying decision ……………………………………….… 19
2.6.

Adoption process ……………………………………………………….… 20

2.7.

Bank marketing approach.……………………………………………….… 22

CHAPTER 3 : RESEARCH METHODOLOGY ………………………….…

25

3.1.

Motivational research …………………………………………………..… 25

3.2.

The major techniques of motivational research ………………………….… 26

3.2.1. Observation ……………………………….………………………………. 26
3.2.2. Focus group……………………………………………………………..… 26
3.2.3. Depth interviews ………………………………………………………..… 27
3.3.

Projective techniques in motivational research ………………………….… 28

3.4.

Source of information ………………………………………………….…

28

3.4.1. Secondary information ………………………………………………….… 28


3.4.2. Primary information ……………………………………………………..… 29
3.5.

The survey process ………………………………………………………… 30

3.5.1. Objectives…………………………………………………………………… 30
3.5.2. Interviewees………………………………………………………………… 30
3.5.3. Survey method……………………………….……………………………… 32
3.5.4. Data analysis ……………………………….………………………………. 32
CHAPRTER 4 : ATM CARD MARKET ….…………………………………… 33
4.1.

Overview about ATM card market at Vietnam ….………………………… 33

4.2.

Bank alliances in Vietnam ….……………………………………………… 36

CHAPRTER 5 : RESEARCH FINDINGS ….……………………………….… 37
5.1.

Overview of respondent profile ………………………………………….… 37

5.2.

Brand awareness ………………………………………………………...… 39

5.3.

Research on ATM card usage …………………………………………….. 41

5.3.1. Penetrationof ATM card ………………………………………………….. 41
5.3.2. Number of ATM cards own and use ………………………………………

41

5.3.3. Length of ATM cards usage ………………………………………………. 42
5.3.4. Bank of current usage ATM cards ………………………………………… 42
5.3.5. Average money of each withdrawal ………………………………………. 43
5.3.6. Active services linkage with ATM cards …………………………………… 44
5.3.7. People influence to the choice about bank of ATM cards ………………… 44
5.3.8. Place to registered current usage ATM cards …………………………….. 45


5.3.9. Level of satisfaction with current usage ATM cards ……………………… 47
5.4.

The barrier of ATM cards non-users……………………………………….. 47

5.5.

New ATM card and service ………………………………………………… 48

5.5.1. Intend to have new card ………………………………………….………… 48
5.5.2. Bank choose in future for new ATM cards ………………………………… 49
5.5.3. Source of information to decide banks for new ATM cards ……………….. 50
5.5.4. Kinds of information to decide banks for new ATM card ……………….… 51
5.5.5. Acceptable fee for new ATM cards …………………………………..….… 52
5.5.6. Place to register new ATM cards …………………………………….…

53

5.5.7. Impact of promotion program ………………………………………….…

54

5.5.8. Criteria of new ATM cards ………………………………………….…

55

5.5.9. Evaluation services related to ATM cards………………………………

56

5.6.

Research on banks ………………………………………….…………….. 57

CHAPRTER 6: CONCLUSTION AND RECOMMENDATION …………….. 60
6.1.

Research finding conclusion ………………………………………………. 60

6.1.1. About scale system………………………………………………………….. 60
6.1.2. About the research finding. ………………………………………………… 61
6.2

Recommendation for banks at HCM city ………………………………….. 62


6.2.1. Product……………………………………………………………………. 62
6.2.2. Price ……………………………………………………………………………….

63

6.2.3. Place ……………………………………………………………………….. 0
6.2.4. Promotion ………………………………………………………………… 0
6.2.

Limitation ………………………………………………………………… 0

APPENDIX
Interview guideline for focus group discussion
Questionnaire
Statistic and test analysis with SPSS
REFERENCE


LIST OF FIGURES

Figure 2.1: Model of consumer behavior …………………………………. 7
Figure 2.2: Maslow’s hierarchy of needs …………………………………. 12
Figure 2.3: Buyer decision process………………………………………… 15
Figure 2.4:Steps between evaluation of alternatives and purchase decision 17
Figure 2.5: Four types of Consumer Buying Behavior ……..……………. 19
Figure 2.6: The Adoption Process ………………………………………… 21


LIST OF CHARTS

Chart 5.1: Respondent Profile Analysis – Gender ……………………………..

37

Chart 5.2: Respondent Profile Analysis - Age …………………………………

37

Chart 5.3: Respondent Profile Analysis – Occupation …………………………

38

Chart 5.4: Respondent Profile Analysis – Monthly Income ……………………. 38
Chart 5.5: Respondent Profile Analysis – Education …………………………… 39
Chart 5.6: Top of mind awareness ………………………………………………. 39
Chart 5.7: Spontaneous brand awareness ……………………………………….. 40
Chart 5.8: Aided brand awareness ………………………………………………. 40
Chart 5.9: Penetration of ATM card …………………………………………….. 41
Chart 5.10: Number of ATM card own and use ………………………………… 41
Chart 5.11: Length of ATM cards usage ………………………………………… 42
Chart 5.12: Bank of current usage ATM cards …………………………………. 43
Chart 5.13: Average money of each withdraw …………………………………

43

Chart 5.14: Active services linkage with ATM cards ………………………….

44

Chart 5.15: People influence to the choice about bank of ATM cards …………. 45
Chart 5.16: Place to registered current ATM cards ……………………………… 46
Chart 5.17: Reason to chose that place to registered current ATM cards ……….. 47
Chart 5.18: Level of satisfaction with current usage ATM cards ……………… 47
Chart 5.19: The barrier of ATM cards non-users ………………………………… 48

Chart 5.20: Intend to have new card ……………………………………………. 49
Chart 5.21: Bank chose in future for new ATM cards ………………………….

50

Chart 5.22: Sources of information to decide banks for new ATM cards ………. 51
Chart 5.23: Kinds of information to decide banks for new ATM cards…………. 52
Chart 5.24: Acceptable fee for new ATM cards …………………………………. 53
Chart 5.25: Place to register new ATM cards …………………………………… 53
Chart 5.26: Criteria to decide place for new ATM cards registration …………..... 54
Chart 5.27: Impact of promotion program on decision for new ATM cards …….. 55
Chart 5.28: Criteria of new ATM cards ………………………………………… 55
Chart 5.29: Evaluation service related to ATM cards ……………………………. 56
Chart 5.30: Evaluation of banks ………………………………………………….. 57
Chart 5.31: Evaluation attractiveness of banks …………………………………… 58


1
 

CHAPRTER 1 : INTRODUCTION
1.1.

RATIONALE OF THE RESEARCH
Within several recently years, when macro economics has many dramatic
changes and at the same time, it impacts on consumer behaviors towards to
banking services, especially usage of different kinds of card. Personal finance
service of bank have raised a need of evaluation current situation and potential
exploration of market. And then, building up strategy to develop in both short

term and long term. Within personal finance service, other services (such as
savings, loan, etc) established, while card service is still emerging. Developing
card service is future growth in retailing banking strategy
Considering that, study about consumer behaviors toward card service is
necessary and bringing benefits to business. The bank could know which are
consumer’s needs about this kind of personal finance service. It can help
management team define solutions to improve and build up strategy of card
service; then sustaining the position and gain more market share in banking
industry. This is also the rationale of research “CONSUMER BEHAVIOR
TOWARD ATM CARDS AT HO CHI MINH CITY”
This research is aiming to, draw down consumer profile of cards. And at the
same, studying the current situation of card market and find out conclusion to
contribute marketing plan of this emerging market, which is really potential and
interesting.

1.2.

OBJECTIVE OF THE RESEARCH
The first objective of this research is, making clear theories about consumer
behaviors - which is one of basic process in marketing planning. And base on
these theories, developing research model to:


2
 

(1) Define consumer profile of cards service, thru questions about sex, age,
occupation, income, etc.
(2) Study consumer evaluation about card services of different banks in market,
then, define positioning, attractiveness of each bank on card service.

(3) Study usage behaviors of current users and potential users of card service,
thru questions about :
-

The purpose of using card service among current users.

-

Which information current users look for and sources of these
information.

-

Which criteria are used for qualification card service, bank, and bank
counters.

-

How the register for new card? When? Is there any kind of promotion
consumers prefer?

1.3.

THE MEANING OF RESEARCH
This research brings some reality meaning for banks in developing card service
and securing their position in total banking market. It could help banks to have
an overall about current user profiles, to sustain loyalty consumers; providing
information to decide marketing plan to gain back lapped users and attract more
new users, explore potential segmentation. In details as following:

3
 

Information

Marketing Strategy
Define service as consumer need

Purpose of usage

Service developing strategy

Source and kind of information
Register

without

Communication plan and strategy
Design strategy

enough Display, card design, attract new users

information

Promotion strategy
Role of branding,

Reason of banking choosing

Segmentation strategy
Brand developing strategy

Reason of service chosing

Service developingstrategy

Reasong of bank counters chosing

Distribution strategy
Marketing activities at bank counters

1.4.

THE SCOPE AND METHODOLOGY OF RESEARCH

1.4.1. The research scope
-

Geography: downtown districts of HCM city

-

Target respondent: consumer from 20 – 49 year olds at downtown districts
of HCM city

-

Service: ATM card service which is available at HCM city

-

Size: 100 questionnaires.


4
 

1.4.2. The research methodology
Research process includes two main periods’ qualitative study and quantitative
study as following:
Qualitative studying was conducted by in-depth interview and focused group
discussion with consumers to define evaluation criteria, chose factors which
consumer care, adjust and add on relative scale to design questionnaire using for
step of quantitative studying.
Quantitative studying was conducted by interviewing consumers thru
questionnaire. Data collection was cross-checked and processed by software
SPSS 16.0.
1.5.

STRUCTURE OF THESIS
This thesis has 5 chapters as following:
Chapter 1: Introduction
Including about rationale of research, purpose of research with reality meaning.
And introduce about scope and method of research.
Chapter 2: Literature Review
Include general theories and model related to consumer behaviors and buying
decision process, which is principle using for research implementation. From
that, develop research model and factors in model.
Chapter 3: Research Methodology

Including consumers’ need and source of information, then define research
methodology and data collection, research process, developing questionnaire.


5
 

Chapter 4: ATM Card Market
Introduce overall about ATM card and card service in personal finance in Việt
Nam. From that, define role, position and potential of card service.
Chapter 5: Research Findings
Present the findings of research and give comments, from general information
about respondent to details of: service appraisal, usage behavior towards card
service.
Chapter 6: Conclusion & Recommendation
Give the key findings of research to propose solutions for banks. And selfassessment about limitation of research and the suggestion topic for research in
future.


6
 

CHAPRTER 2 : LITERATURE REVIEW
2.1.

CONCEPT OF CONSUMER BEHAVIOR
According to the American Marketing Association1, Consumer Behavior is
defined as "the dynamic interaction of affect and cognition, behavior, and
environmental events by which human beings conduct the exchange aspects of
their lives”. More generally, Consumer Behavior is the psychology behind

Marketing and the behavior of consumers in the Marketing environment.
According to Michael Solomon (2006), consumer behavior may be defined as
the study of the processes involved when individuals or groups select, purchase,
use or dispose of products, services, ideas or experiences to satisfy needs and
desires. A consumer may purchase, use and/or dispose of a product, but these
functions may be performed by different people. In addition, consumers maybe
thought of as role players who need different products to help them play their
various parts.
Consumer behavior includes observable behaviors, such as amount purchased,
and when, with whom, by whom, and how purchases are consumed. It is also
included non-observable varieties, such as consumer’s value, personal needs
and perceptions, what information they have in memory, how they obtain and
process information, how they evaluate alternatives and how they feel about the
ownership and use of various products.2

                                                            
1
2

Source : American Marketing Association website: www.marketingpower.com
Neal Quester Hawkins, Consumer Behavior, 3rd Edition, Mc Graw Hill, 2002


7
 

2.2.

MODELS OF CONSUMER BEHAVIOR
Figure 1: Model of consumer behavior

Consumer

Marketing

Other

Stimuli
Stimuli

Psycholog
ical

Consumer

Buying
Decision
Process

Character
istic

Purchase
Decision

Product
choice

Source : Philip Kohler , Management Marketing , Prentice Hall, 12th edition,
2.3.

CHARACTERISTICS INFLUENCING CONSUMER BEHAVIOR
Consumer buying behavior is influenced by culture, social, personal,
psychological factors.

2.3.1. Culture factors
Culture, subculture, and social class are particular important influences on
consumer buying behavior
 Culture: is the most fundamental determinant of a person’s wants and
behavior.
 Subculture: Each culture consists of smaller subcultures that provide more
specific identification and socialization for their members. Subcultures
include nationalities, religions, racial groups, and geographic regions. Many
subcultures make important market segments which require marketers
design products and marketing programs tailored to their needs.


8
 

 Social Class: Social classes reflect income, as well as occupation, education
and other indicators. Those within social class tend to behave more alike
than do persons from different social classes. Still, individual can move from
one social class to another during their lifetime.
2.3.2. Social factors
Reference group, family and social roles and statuses
 Reference group: consist of all of the groups that have a direct (face-to-face)
or indirect influence on a person’s attitudes or behavior. Group having a
direct influence on a person are called membership groups. Reference
groups expose people to new behaviors and lifestyles, influence attitudes and

self-concept, and create pressures for conformity that may affect product and
brand choices.
People are also influenced by group to which they do not belong.
Inspirational groups are those the person hopes to joint; dissociative groups
are those whose values or behavior and individual rejects. Although
marketers try to indentify target customer’s reference groups, the level of
reference-group influence varies among products and brands. Manufacturers
of products and brands with strong group influence must reach and influence
the opinion leaders in these reference groups. An opinion leader is the
person in informal product related communications who offers advice or
information about a product or product category. Marketers try to reach
opinion leaders by identify demographic and psychographic characteristics
associated with opinion leadership, identifying the preferred media of
opinion leaders and directing messages at the opinion leaders.


9
 

 Family: The family is the most important consumer-buying organization in
society and it has been reached extensively. The family of orientation
consists of one’s parents and siblings. From parents, a person acquires an
orientation toward religion, politics, and economics as well as a sense of
personal ambition, self-word, and love. A more direct influence on the
everyday buying behavior of adults is the family of procreation – namely
one’s spouse and children. The roles and relative influence of family
member vary in different cultures and social classes.
 Social roles and statuses: A person participate in many groups, such as
family, clubs, organizations. The person’s position in each group can be
defined in term of social roles and statuses. A role consists of activities that

a person is expected to perform. Each role carries a status. People choose
product that communicate their roles and status in society.
2.3.3. Personal factors
 Age and stage in the life cycle: People buy different goods and services over
a lifetime. The products they buy or use are age-related, that is why smart
marketers are attentive to the influence of age. Marketer often chooses a
specific group from this traditional life cycle as their target market.
 Occupation and economic circumstances: Occupation is also influent to a
person’s consumption pattern. Marketer should identify the occupation
groups that are interested in their products and services and consider
specializing their products occupations. In addition, product choice is greatly
also affected by consumer’s economics circumstances: spendable income,
savings and assets, debt, borrowing power and attitude toward spending
versus saving.


10
 

 Life style: People from the same subculture, social class, and occupation
may lead quite different lifestyles. A lifestyle is the person’s pattern of living
in the world as expressed in activities, interests and opinions. Life style
portrays the “whole person“ interacting with his or her environment.
Successful marketers search for the relationship between products and
lifestyle of groups. Lifestyle segmentation schemes vary by culture.
 Personality and self-concept: Each person has a distinct personality that
influences buying behavior. Personality refers to the distinguishing
psychological characteristics that lead to relatively consistent and enduring
response to environment. Personality is usually described in terms of traits
such as self-confidence, dominance, sociability, autonomy, defensiveness,

adaptability and aggressiveness. Personality can be useful in analyzing
consumer behavior for certain product or brand choices. Related to
personality is a person’s self-concept (also called self-image). The basic selfconcept premise is that people’s possessions contribute to and reflect their
identities.
2.3.4. Psychological factors
A person’s buying choices are influenced by the psychological factor of
motivation, perception, learning, beliefs and attitudes.
 Motivation: A person has many needs at any given time. Some needs are
biogenic; they arise from physiological states of tension such as hunger,
thirst, discomfort. Other needs are psychogenic; they arise from tension such
as the need for recognition, esteem, or belonging. A need becomes a motive
when it is aroused to a sufficient level of intensity.


11
 

Psychologists have developed theories of human motivation. Three of the
best known- the theory of Sigmund Freud, Abraham Maslow, and Frederick
Herzberg- carry quite different implications for consumer analysis and
marketing strategy.
Freud’s theory: Sigmund Freud assumed that the psychological forces
shaping people’s behavior are largely unconscious, and that a person cannot
fully understand his or her own motivations. A technique called laddering
can be used to trace a person’s motivations from the stated instrumental ones
to the more terminal ones. Then the marketer can decide at what level to
develop the message and appeal.16 In line with Freud’s theory, consumers
react not only to the stated capabilities of specific brands, but also to other,
less conscious cues. Successful marketers are therefore mindful that shape,
size, weight, material, color, and brand name can all trigger certain

associations and emotions.
Herzberg’s theory: Frederick Herzberg developed a two-factor theory that
distinguishes dissatisfies (factors that cause dissatisfaction) from satisfiers
(factors that cause satisfaction).18 The absence of dissatisfies is not enough;
satisfiers must be actively present to motivate a purchase. For example, a
computer that comes without a warranty would be a dissatisfy. Yet the
presence of a product warranty would not act as a satisfier or motivator of a
purchase, because it is not a source of intrinsic satisfaction with the
computer. Ease of use would, however, be a satisfier for a computer buyer.
In line with this theory, marketers should avoid dissatisfies that might un-sell
their products. They should also identify and supply the major satisfiers or
motivators of purchase, because these satisfiers determine which brand
consumers will buy.


12
 

Maslow’s theory: Abraham Maslow sought to explain why people are driven
by particular needs at particular times.17 His theory is that human needs are
arranged in a hierarchy, from the most to the least pressing. In order of
importance, these five categories are physiological, safety, social, esteem,
and self-actualization needs. A consumer will try to satisfy the most
important need first; when that need is satisfied, the person will try to satisfy
the next-most-pressing need. Maslow’s theory helps marketers understand
how various products fit into the plans, goals, and lives of consumers.
Figure 2: Maslow’s hierarchy of needs
Self actualization
(self-development)
Esteem Needs (self-esteem, status)

Social Needs
Safety Needs

Physiological Needs
(h

thi t)

Source: Philip Kohler , Management Marketing , Prentice Hall, 12th edition,
2006
 Perception: a motivated person is ready to act, yet how that person actually
acts is influenced by his or her perception of the situation is the process by
which an individual selects, organizes, and interprets information inputs to


13
 

create a meaningful picture of the world. Individuals can have different
perceptions of the same object because of three perceptual processes:
selective attention, selective distortion, and selective retention.
- Selective attention: People are exposed to many daily stimuli- a process
called selective attention. The end result is that marketers have to work hard
to attract consumers’ attention. Through research, marketers have learned
that people are more likely to notice stimuli that relate to a current need,
notice stimuli that they anticipate, and notice stimuli whose deviations are
large in relation to the normal size of the stimuli, such as a banner ad
offering $100 (not just $5) off a product’s list price.
- Selective distortion: Even noticed stimuli do not always come across the
way that marketers intend. Selective distortion is the tendency to twist

information into personal meanings and interpret information in a way that
fits our preconceptions. Unfortunately, marketers can do little about
selective distortion.
- Selective retention: People forget much that they learn but tend to retain
information that supports their attitudes and beliefs. Because of selective
retention, we are likely to remember good points mentioned about a product
we like and forget good points mentioned about competing products.
Selective retention explains why marketers use drama and repetition in
messages to target audiences.
 Learning
When people act, they learn. Learning involves changes in an individual’s
behavior that arise from experience. Most human behavior is learned
 Beliefs and attitude


14
 

Through doing and learning, people acquire beliefs and attitudes that, in
turn, influence buying behavior. A belief is a descriptive thought that a
person holds about something. Beliefs may be based on knowledge, opinion,
or faith, and they may or may not carry an emotional charge. If some beliefs
are wrong and inhibit purchase, the manufacturer will want to launch a
campaign to correct these beliefs. Attitudes vary toward country of origin
and can change over time.
Attitudes are just as important as beliefs for influencing buying behavior. An
attitude is a person’s enduring favorable or unfavorable evaluations,
emotional feelings, and action tendencies toward some object or idea. People
have attitudes toward almost everything. Attitudes put them into a frame of
mind of liking or disliking an object, moving toward or away from it.

Attitudes lead people to behave in a fairly consistent way toward similar
objects. Because attitudes economize on energy and thought, they are very
difficult to change; to change a single attitude may require major
adjustments in other attitudes. Thus, a company would be well advised to fit
its product into existing attitudes rather than to try to change people’s
attitudes.
2.4.

THE STAGES OF THE BUYING DECISION PROCESS
The typical buying process includes 5 steps, but it doesn’t mean that all
consumers should pass over all five steps but they can skip or reverse some
stages. However, the model captures the full range of considerations that arise
when a consumer faces a highly involving new purchase.


15
 

Figure 3: Buyer decision process
Need

Information

Alternatives

recognition

searching

evaluation

Post-purchase

Purchase

behavior

decision

2.4.1. Problem recognition: perceiving a need
The buying process starts when the buyer/ consumer recognize a problem or
need. That is when customer perceives a different between his’ ideal and actual
situations big enough to trigger a decision. The need can be triggered by internal
or external stimuli. In the former case or internal stimuli, the need is triggered
when one of the person’s normal needs-hunger, thirst, sex- rise to a level high
enough to become a drive. In the latter case, the need is aroused by an external
stimulus.
2.4.2. Information searching: seeking value
In the next stage of the buying decision process, the consumer will be inclined
to search for more information. There are two steps of information search:
internal search and external search. Internal search is when consumer scanning
the memory to recall the previous experiences with products or brands.
However, internal search is often sufficient for frequently purchased product. In
case the past information or experiences is insufficient; consumer feels the high
risk of making wrong decision; or the cost for gathering information from