...INTRODUCTION Each consumer is a member of a culture, various subcultures, and a social class; most of us belong to a number of different groups and almost would like to belong to several others. A group is defined as two or more individuals who share a set of norms, values, or beliefs and interact to accomplish individual or mutual goals. A group becomes a reference group when an individual identifies with it so much that he or she takes on many of the value, attitudes or personal standards of group members. The degree of reference group influence varies across product and brands with factors such as (1) the visibility to the group, (2) the necessity/non-necessity nature of the product, (3) the level of commitment the individual feels to a group, (4) the relevance of the behavior to the group, and (5) degree of individual’s confidence in his own judgment in the purchase situation. DESCRIPTION The majority of people belong to more different groups at the same time and frequently they want to be included in other groups as well, but in a specific situation they report themselves to a single group. When a new situation appears or the conditions change, the individuals may report themselves to the rules of another group which becomes the reference group for the given situation. Most people prefer to adapt, more or less, to the group's rules, from politeness or the desire to not be left aside. The norms are the general, common expectations of behavior that are considered appropriate...
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...Theory This chapter presents the theories behind consumer behaviour. It will also discuss online consumer behaviour in order to continue with the identification of the influencing factors. The theories of consumer behaviour will be used in order to be able to find consumer segments that will show whom the identified factors affect. 3.1 Introduction This dissertation aims at finding factors that affect the online consumer’s buying behaviour. By reading literature concerning consumer characteristics and online consumer characteristics we believe to find implications for certain factors that are of importance for the online consumer. The Internet is a worldwide accessible series of computer networks that transmit data by packet switching using the standard Internet Protocol. It is a "network of networks" that consists of millions of smaller domestic, academic, business, and government networks, which together carry various information and services, such as electronic mail, file transfer, the interlinked Web pages and other documents of the World Wide Web. Originally the Internet was mainly used by academics, research scientists and students; however that scenario has changed as commercial organizations have moved to incorporate the World Wide Web into their promotional campaigns, and by offering the facility of online purchasing (Jobber & Fahy, 2003). The Internet has evolved into a worldwide accessible marketplace for information exchange and e-commerce. The strategic...
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...Reference Groups For reliable and authentic information related to products, consumers seek sources that are not owned or sponsored by media such as ‘word of mouth’. Sources of word of mouth includes friends and family, clubs, online forums and neighbours. Online sources such as Facebook, Twitter and Instagram provide a platform for user to discuss, tag people and share their experiences and opinions about products. Such reference groups help marketers to manage feedback and address issues promptly. Though, social media feedback poses a lot of challenges for marketers since they have to be very vigilant and tactful in handling online feedback, if positive, it also has the potential to create a strong brand name. Customer concerns...
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...Research Report Consumer Behaviour Naveed Mohammed 300765975 Prof. James Quance Business Communications 2 BUSN 733 13 Nov ‘13 ------------------------------------------------- Executive Summary This report discusses consumer behaviour in detail. Consumer behaviour refers to the buying behaviour of individuals and households that buy goods and services for personal consumption. All of these final consumers combine to make up the consumer market. Consumers around the world vary tremendously in age, income, education level and tastes. They also buy an incredible variety of goods and services making both simple and complex purchase decisions every day. The Cultural, Social, Personal and Psychological factors that affect consumer behaviour are discussed in detail. The consumer decision process which consists of Need Recognition, Information Search, Evaluation of Alternatives, Purchase Decision and Post Purchase Behaviour are then studied. A Consumer Analysis follows where questions like “Who buys and uses the product?”, “What consumers buy and how they use it?” and “Why consumers prefer a product?” are answered. A brief conclusion wraps up the report which states how Marketers study consumer behaviour to find answer to most questions that help them design marketing strategies to reach consumers more effectively and build long lasting relationships. Table of Contents Introduction | | 1 | Factors influencing Consumer Behaviour | | 1 | | Cultural...
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...of marketing is to identify consumers’ needs and wants accurately, then to develop products and services that will satisfy them. For marketing to be successful, it is not sufficient to merely discover what customers require, but to find out why it is required. Only by gaining a deep and comprehensive understanding of buyer behaviour can marketing’s goals be realised. Such an understanding of buyer behaviour works to the mutual advantage of the consumer and marketer, allowing the marketer to become better equipped to satisfy the consumer’s needs efficiently and establish a loyal group of customers with positive attitudes towards the company’s products. Consumer behaviour can be formally defined as: the acts of individuals directly involved in obtaining and using economic goods and services, including the decision processes that precede and determine these acts. The underlying concepts of this chapter form a system in which the individual consumer is the core, surrounded by an immediate and a wider environment that influences his or her goals. These goals are ultimately satisfied by passing through a number of problem-solving stages leading to purchase decisions. The study and practice of marketing draws on a great many sources that contribute theory, information, inspiration and advice. In the past, the main input to the theory of consumer behaviour has come from psychology. More recently, the interdisciplinary importance of consumer behaviour has increased such that sociology...
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...People need foods, air, water clothing, shelter to survive and people also have strong needs for recreation, education and entertainment. 1.2 Wants Wants that defined as the human needs that shaped by culture, individual personality and the demand to have something, which are products and services. According to Boyd, Walker and Larreche (1998) wants reflect a person’s desires and preferences for specific ways of satisfying a basic needs. For example, a company needs office space and its top executives want an office at a prestigious address in midtown Manhattan (Boyd,Walker and Larreche 1998). 2.0 Decision-Making Process / Buyer Behaviour 2.1 Decision-Making Process Decision-making process is process that made by the consumer before the purchase of a product. The following is the five-stage model of decision-making processes made by the consumer: Source: (Brassington and Pettitt, 2007, Essentials of Marketing, 2nd edn, p.70)...
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...object. As a consumer, we have a wide range of products and services to choose from and we tend to form attitudes towards each products while making decisions, for example when we are being questioned whether we like or dislike the specific product in a survey. At that moment, we are being asked to express our point of view on the certain product or service. As the way consumers feel about the brand reflects their attitudes towards that brand. Consumer’s attitudes towards a certain product is crucial for any marketers as it determines how well their products or services perform in the specific market. From that, marketers will know how to tailor their products to meet each individual’s unique requirement. There are two types of attitudes, positive attitude and negative attitude. When a consumer have a positive attitude towards a product, he or she will spread positive word of mouth to others, this can boost up the company’s image, however, negative attitudes towards the product may have a big impact on both reputation and sales of the company. This essay will outline how consumer attitudes are formed and affect the behavior of consumers. Next, the difference in behavior and attitudes on product choice and purchase when consumers are rational or irrational decision makers will be discussed, Lastly, the ways marketers used to change consumers ‘attitudes and behavior when they are rational or irrational will be included as well. Content Different types of consumers have different...
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...CHAPTER I1 TEXTILE INDUSTRY AND CONSUMER BEHAVIOUR In an environment of competitive market, the success of every industry largely depends on how precisely it can understand the target consumers. Because, such an understanding is the sole means to translate the needs and wants of the prospective consumers into products or services. Regarding textiles, understanding consumer is the nucleus of its production and marketing, as clothing is the manifestation of the behavioural aspects of the wearer in its totality. To make it more clear, the decision regarding buying and using textiles is the reflection of the rational behaviour of consumers. The amazing and amusing aspect of the rational behaviour is its 'dynamism' which is conspicuous because of its magnitude. It is worth noting here the opinion of Michael De Montaigne 'There never were in the world two opinions alike, no more than two hairs or two grains: the most universal quality is diversityl(Montaigne, Michael De, 1915). The dynamism of rational behaviour postulates the,formulation and the reformulation of approach, outlook or perception in resdLct of every sphere of human activity including consumption. A sagacious marketer, therefore, has to convince himself that his products / services and sti,ategies are in line with the dynamic marketing environment. 'Marketing is the 'whole business' from the viewpoint of its final result, that is, from the consumer - point- of- view' (Drucker, P.F. 1973). Unless a deliberate ...
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...Faculty of Journalism and Media Communications Assignment Cover Sheet |Student name: |Adebayo Olaniyi | |Student number: |2910750 | | |Course: |Digital Communications |Stage/year: |1 | |Subject: |Marketing, Branding & Audiences | |Study Mode: |Full time | | |Part-time |x | | |Lecturer Name: | Robbie smith & Stephen o leary | |Assignment Title: |Select two firms: (a) a small Irish business and (b) A large transnational firm. | |No. of pages: | | | |Disk included? |Yes | | |No |x | ...
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...details of offering coordinator MKTG 1052 Buyer Behaviour Singapore Lectures and online support Dr Kaleel Rahman School of Economics, Finance and Marketing RMIT University, Melbourne, Australia kaleel.rahman@rmit.edu.au Name / contact details of other relevant staff Visiting lecturers: Dr Kaleel Rahman / Dr. Linda Robinson / Mr. Brian McCauley Teacher guided hours Learner directed hours Course Description 36 108 Concentrating on buyers needs is fundamental to the marketing concept. The emphasis of this subject is to look more closely at the buyer, covering the factors effecting: • • • • • why people make purchase decisions what products (goods and services) people buy how people go about the purchase process the frequency with which people purchase the buying decision process It is crucial that practitioners are able to usefully apply these buyer behaviour concepts to their marketing programs. The increasing complexity, competitiveness and change in today’s markets require a marketing practitioner to have a thorough understanding of buyer behaviour theories and dynamics if they are to have a competitive edge. MKTG 1052 BUYER BEHAVIOUR S1 2014 Course Guide 1 On completion of the course, students will normally be able to: Learning Outcomes • • Develop familiarity with the theories of buyer behaviour in consumer markets. Enhance their abilities to appraise models of consumer behaviour and determine their relevance to particular marketing...
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...ISSN 1822-6515 ECONOMICS & MANAGEMENT: 2009. 14 IMPACT OF TECHNOLOGY ADOPTION ON CONSUMER BEHAVIOUR Elina Gaile-Sarkane Riga T echnical University, Latvia, elina.gaile-sarkane@rtu.lv Abstract Fast development of equipment and technologies, economic globalization and many other external circumstances stimulate the changes in consumer behavior. Usually consumer behavior has drawn upon theories developed in related fields of study of human behavior such as psychology, sociology, economics, behavioral economics, and anthropology, to develop a theoretical framework for the analysis of the behavior of consumers. It is very convenient and up-to-date to use information and telecommunication technologies for communication among individuals what improves the information flow within an organization and outside. At the same time there are a lot of challenges for all involved parts – industry and society. These challenges are principally related to adoption of the technologies in the country what directly impacts the consumer behavior. In the paper customer behavior in electronic environment have been analyzed, peculiarities of behavior caused by information and telecommunication technologies were funded out. The research conducted by the author showed that information technologies create dynamic behavior what involves different from traditional market interactions and exchanges. Keywords: consumer behavior, electronic environment, adoption of technologies, information and telecommunication...
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...Module tutor: Kandis Watson Course: MBA Word count: 2,854 I. According to Bloisi, W., Cook, C.W. and Hunsaker, P.L (2003), consumer market refers to the purchase of goods and services purely for personal consumption. Consumer market and consumer buying behaviour must be studies and understood before an appropriate marketing plan can be developed. In general, organisations and companies need to know and understand the behaviour not only for their own customers but also for all consumers. Multiple roles of Consumers As users of a product, consumers are concerned with product features, thus users define what is needed from a product. Payers are consumers who pay for the product and are primarily concerned with its price and other financial considerations (reasonable life cycle of the product, cost of maintenance, cost of consumables, etc). Buyers focus on the logistics of the products (online, by phone, mail or retail center).In a particular purchase situation, the roles may be filled by a signal individual or by multiple people, for example, a parent may decide on the type of baby food that they wish to purchase but their partner may also beinvolved in the decision making or transaction, while the baby is the ultimate user of the food. The stages of consumer buying process The consumer buying process: Irrespective of the particular role, consumers constantly face a number of choices: -Whether to purchase -What to purchase. -Where to purchase. -From which supplier or...
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...Introduction to Consumer Behaviour What is Consumer Behaviour? * 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 * An ongoing process * Exchange – 2+ people giving and receiving something of value = an integral part of marketing Consumers’ Impact on Marketing Strategy * Consumers’ needs can be satisfied to the extent that marketers understand the people/orgs that will use what they are trying to sell – better than the competitors * Consumer response is the test of whether a marketing strategy will exceed – knowledge about consumers is important Segmenting Consumers * Marketing segmentation – identifies groups of consumers who are similar to one another in 1+ ways and then devises marketing strategies to appeal to 1+ of these groups * Demographics – measure observable aspects – age, gender, family structure/life stage, social class/income, ethnicity * Psychographics – measure consumers’ personalities, attitudes, values, lifestyles Marketing’s Impact on Consumers * Relationship marketing – making an effort to interact with customers on a regular basis, giving them reasons to maintain a bond with company * Ex: restaurant sending a birthday coupon to consumer every year * Popular culture – music, movies, books, sports, celebs, consumed by mass market – a product of and inspiration for marketers * Consumer-generated...
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...automaker companies have to strengthen the need according to the need of the customer in order to remain in the car manufacturing industry. Carmaker and marketers should not only focuses on manufacturing vehicle and performance of the vehicle instead they also should emphasises on the social factors which influence the buyers decision in purchasing car such as reference group, family factor and social status. Other than that, the basic principle in the current market which is governing is customer orientation and customer centeredness in belief. Currently, the Competitive market is forced to produce the goods according to the customer needs (Tafler, 2007). The study on the consumer purchase behaviour which also refer as consumer behaviour, provides information of the consumer patterns and purchase intention (Nesai, 2009). Other than that, the organization able to survive along the organization could able to supply the needs and the demand of the consumer with a comprehensive by understanding the costumer. Thus, this will allows to identify the importance in understanding the consumer purchase intention and customer behaviour (Hawkins et al, 2006). Understanding the consumer behaviour is not a simple which the organization should look into the situation more seriously. Customer reacts to the affecting...
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...interaction with the group on conformity and distinctiveness in consumer decision making.” ! Name: Lavinia Rusu Student ID: 4485335 ! ! Table of Contents ! 1. Abstract .....................................................................................2 2. Introduction ................................................................................3 3. Summary of Article ........................................................................3 a. Conformity. Distinctiveness. Interaction within a group .................3 b. Experiment .........................................................................4 c. Structure ............................................................................5 4. Analysis. Conformity vs. Distinctiveness.............................................5 5. Global Business Consumer Behaviour .................................................8 6. Conclusions .................................................................................9 7. References.................................................................................10 8. Bibliography ..............................................................................11 ! ! ! ! ! ! ! ! !1 ! 1. Abstract The following report has the aim of critically analysing the “If I want you to like me, should I be like you or unlike you? The effect of prior positive interaction with the group on conformity and distinctiveness in consumer decision making” consumer behaviour article by Veronika...
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