A consideration set is the group of brands or products a consumer evaluates before making a final purchase decision. This model represents a small subset of the larger awareness set: the total list of options a buyer knows about. For marketers, entering this set is vital because any product excluded at this stage has virtually zero chance of being purchased.
What is a Consideration Set?
The term was first used in 1977 by Peter Wright and Fredrick Barbour to describe the screening process in consumer behavior. It acts as a cognitive filter. When faced with a need, consumers narrow the "Universal Set" (all possible products) down to an "Awareness Set" (known products). From there, they filter options into the consideration set based on personal preferences, price, mood, and previous experiences.
Options that do not make the cut typically fall into two categories: * Inert Set: Brands the consumer knows but feels neutral about. * Inept Set: Brands the consumer actively rejects or finds unacceptable.
These sets are fluid. New information or changes in context can move a brand from the inert set into the consideration set almost instantly.
Why Consideration Set matters
Understanding this set helps businesses focus their marketing spend on the specific attributes that drive inclusion.
- Reduces Information Overload: Consumers use these sets to lower the cognitive load and fatigue of an exhaustive search.
- Higher Satisfaction: Buyers are generally more satisfied and less stressed when they choose from a smaller, well-defined list.
- Strategic Benchmarking: It provides insight into which competitors a brand is actually being compared against during the "shortlist" phase.
- Predictive Value: While not a perfect predictor, knowing the set allows marketers to forecast the probability of a final sale.
How Consideration Set works
The formation of a consideration set is usually the first step in a two part decision making framework. The first step is screening options; the second is choosing an alternative from that list.
Screening Heuristics
Consumers use mental shortcuts (heuristics) to build their sets. Common methods include: 1. Top n: Choosing only the top few options based on one attribute, such as the highest-rated products on a marketplace or the first page of search results. 2. Shortlisting: Creating a list of options that are "undominated," moving anything else to the inept or inert sets. 3. Categorization: Grouping products by similarity (e.g., SUVs vs. Sedans) and then picking one category to evaluate further. 4. Narrowing Down: Repeatedly adding criteria to reduce the list (e.g., Brand -> Latest Model -> Specific Memory Size).
Selection Rules
Once the set is formed (usually containing 2–5 options), consumers apply rules to pick the winner: * Weighted Linear Compensatory: The consumer assigns "weights" to different features. A high score in one area compensates for a low score in another. * Conjunctive Rule: The product must meet a minimum cut off point for every single attribute to be chosen. * Lexicographic Rule: The consumer compares brands on the most important attribute first. If one is better, it wins immediately.
Limitations and The "Myth" of Static Sets
Traditional marketing often treats the consideration set as a stable, linear list. However, research suggests that [22% of automobile buyers considered only one brand before purchasing] (Branding Strategy Insider), suggesting that previous ownership can bypass the set formation entirely.
Further studies show that set sizes vary significantly by industry. For example, [analysis of financial services revealed an average consideration set size of just 1.4 brands] (Branding Strategy Insider), while [consumers searching for LED TVs produced an average set size of 3.19] (Branding Strategy Insider).
Category Entry Points (CEPs)
Modern theories suggest that instead of a static list, brands are linked to specific contexts or "mental cues." A consumer might have one consideration set for "casual dinner wine" and a completely different one for a "romantic evening wine." Marketers use CEPs to ensure their brand comes to mind in specific situations.
Common mistakes
Mistake: Assuming all consumers in a demographic evaluate the same brands. Fix: Treat set formation as probabilistic and individualistic, influenced by socioeconomic status and personal perception.
Mistake: Focusing only on being the "best" overall brand. Fix: Identify specific Category Entry Points (contexts) where your brand is currently excluded and build relevance for those moments.
Mistake: Overloading consumers with too much product information too early. Fix: Simplify the initial screening process. High quantity of information can exceed a consumer's processing power and lead to them abandoning the search.
Examples
Example scenario (Repositioning): A beverage brand traditionally perceived as a summer drink identifies a gap in winter social occasions. By launching campaigns around winter activities, the brand shifts into a new consideration set for cold-weather drinks. [Aperol took this approach with après-ski contexts and saw a 9.6% volume increase in 2023] (Branding Strategy Insider).
Example scenario (Search Behavior): A consumer wants a new smartphone. Their awareness set includes Apple, Samsung, Google, and Sony. They apply a "Narrowing Down" heuristic: they only want a phone with a specific camera quality and a price under $800. After filtering, their consideration set contains only the Google Pixel and a specific Samsung model.
FAQ
How many brands are typically in a consideration set? While it varies by product category, most consumers evaluate between 2 and 5 options. In high-stakes or complex categories like financial services, the set may be as small as 1.4 brands.
What is the difference between the awareness set and the consideration set? The awareness set includes every brand a consumer can remember or find during a search. The consideration set is the much smaller group of "finalists" that are actually evaluated for purchase.
How do consumers choose a brand once the set is created? They use decision rules. Some consumers use "compensatory" rules where a great price makes up for a lack of features. Others use "non-compensatory" rules where a product is rejected if it fails even one requirement (like being over budget).
Can a brand move from the "inept set" to the "consideration set"? Yes. These sets are fluid. If a consumer has a negative perception of a brand (inept set) but sees new information, a peer recommendation, or a significant product update, they may re-evaluate and move the brand into consideration.
How does SEO impact the consideration set? SEO primarily influences the "Top n" heuristic. Because many consumers only consider the top 5 results on a search engine or the first page of Amazon, high rankings are often the primary gateway to entering the consideration set.
