...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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...C H A PTE R CONSUMER BEHAVIOUR AND TARGET AUDIENCE DECISIONS 3 Chapter Objectives • To understand the consumer decision-making process and how it varies for different types of purchases. • To understand various internal psychological processes, their influence on consumer decision making, and implications for advertising and promotion. • To understand the similarities and differences of target market and target audience. • To understand the various options for making a target audience decision for marketing communication. Marketers Seeking 50-Plus Consumers Nintendo is famous for its video games. DaimlerChrysler features a wide selection of car brands. Tabi is known for its classic women’s clothing. While seemingly unrelated, these brands have recently shared a similar strategy. As these established companies expanded beyond their current customer base, each brand attempted new marketing communication programs containing a more emotional message aimed at the 50-plus demographic. The 50-plus crowd not only is a sizable market, but also is a very lucrative one; they control 55 percent of all discretionary spending in Canada due to their relatively high net worth. And while the brands all looked toward the fifty-plus market, additional segmentation based on an understanding of consumer behaviour revealed subtle differences in their approach. For Nintendo, the saturated youth market proved to be a no-growth avenue. With industry sales hitting the billion-dollar level...
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...Factors Affecting the Buying Behaviour of the Consumers: Branded vs. Imitation Clothes Mary Jonique M. Enoria Gracil L. Gomez BSBA-MKTG3A \ Abstract The relationship between consumers’ decision-making styles and their choice between imitation and branded clothing is investigated using a sample of Filipino consumers. The objective of this paper is to gauge the factors affecting purchase decision taking comparative perspective as base. Findings are calculated using survey technique and weighted mean method with a sample of 30 participants in Valenzuela. The objective of this paper is to analyze the significance of demographic profile of consumers affecting the purchase decision of branded garments and to observe from comparative perspective of their awareness about different apparel brands available in the Philippines market and also to find out whether there is a significant difference in total expenditure on branded apparels done by male and female. In developing countries, consumers are becoming conscious of fashion brands. The research was directed towards understanding the determinants of clothing involvement of Filipino perspective. A primary research study was conducted on Valenzuela Residents aged between 13 and 22 years using the survey method to know the factors affecting the buying behaviour of fashion clothing in their lives. The scale constructs related to consumption involvement, product involvement, advertising involvement and purchase decision involvement...
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...Unit 17: Marketing Intelligence Buyer Behaviour and Market Research Techniques This assignment is going to be looking at understanding buyer behaviour and the purchase decision making process. It will cover describing the main stages of the process, along with explaining theories of buyer behaviour and factors that may affect this. Finally it will evaluate the relationship between brand loyalties, corporate image and repeat purchasing. Being able to use marketing research techniques will also be included within this essay; evaluating different types of market research, using sources of secondary data to achieve marketing research objectives and assessing the validity and reliability of these findings. All of the above topics will conclude with a proposal of a market research plan to obtain information in any given situation. LO1: Buyer Behaviour Figure 1.1a: http://www.enotesmba.com/2014/06/marketing-notes-consumer-decision-making-process.html (Accessed: 23rd Nov 15) Figure 1.1a: http://www.enotesmba.com/2014/06/marketing-notes-consumer-decision-making-process.html (Accessed: 23rd Nov 15) Engel, Blackwell and Kollat (1968) developed a model of the consumer buying, decision making process in five steps (see figure 1.1a): Problem or need recognition, information search, evaluation of alternatives to meet this need, purchase decision and post-purchase behaviour. They believed that these five stages displayed what led a shopper to purchase a new product (http://theconsumerfactor...
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...1.1. BACKGROUND OF THE STUDY In order to stay profitable and competitive in today’s market, satisfying customer is vital. So as to meet this goal, understanding the customers’ behaviours should be given a top priority. These days, organizations are expected to perform more than producing products and delivering services. Before producing products or delivering services, there is a need to do customer research. The customer research enables to answer questions like what the market buys, why the market buys, who participate in the buying, how the market buys, when the market buys, where the market buys and the like. But learning about the whys of consumer buying behaviour is not so easy the answers are often locked deep within the consumer’s head. Marketing is the art of creating, attracting, and keeping customers, in order to convert occasional purchasers in to brand loyalists; habits must be reinforced by appealing to the factors that shape consumer behaviours which include the cultural, social, personal and psychological characteristics; because they hold the key to success or failure of any product. Among the aforementioned factors which influence consumer purchases, this research focuses on the psychological factors particularly attitude and perception. Consumer’s attitudes towards a product according to Kotler and Armsrong (2006) is being shaped and influenced by psychological factors such as motivation, perception, learning, personality, attitude and belief. Perception...
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...provide a post-hoc means of remedying a range of the possible damage or harm that might flow from consumption choices. Regulation enters the picture in both specific and general ways, all of which aim essentially to pre-emptively correct market failures that might harm vulnerable consumers. General statutory consumer protection rules (for example prohibiting certain terms in standard contracts, or unfair pressure in situations of unequal bargaining power) are supplemented by sector-specific statutory attempts to mitigate or prevent particular harms and risks that might be suffered by consumers, whether through poor water quality, contaminated food, morally offensive publications for children or the like. In this picture, regulation is the skeleton that gives shape and structure to a well-functioning market society. Regulation, as Karl Polanyi argued so eloquently many decades ago, constitutes the market. Neoclassical perspectives have in recent years adopted the Polanyian appreciation of the importance of institutions and in so doing have come to recognize the constitutive role of regulation much more fully than laissez-faire stereotypes might suggest. But the Polanyian resonance ends there, for the neoclassical image of regulation’s constitutive role is that it facilitates the development of an ‘active consumer’, mandating the provision of information and incentive frameworks that the...
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...Consumer Behaviour – MKT 510 Consumer Behaviour – MKT 510 Vishal Saraiya - 11509973 Assessment 1: - Case: Struggling to make the best buy. Lecturer: Deborah D’Cruz Date: - 9th December, 2013 Vishal Saraiya - 11509973 Assessment 1: - Case: Struggling to make the best buy. Lecturer: Deborah D’Cruz Date: - 9th December, 2013 Table of Contents 1. Introduction 2 2. Definition of Situational Influences 3 2.a Physical Surroundings 4 2.B Social Surroundings 4 3. Identification of Situational Influences 5 3.A Social Surroundings 5 3.B Temporal Surroundings 5 3.C Task Definition 6 4. Application of Situational Influence 7 5. Conclusion 8 6. References 9 1. Introduction This report is going to discuss and evaluate the importance of the situational influence and focus on the case provided towards a Kate’s struggling to best buy, where her boyfriend’s birthday was fast approaching and what all factors affected in making the decision. This report will firstly research and discuss in detail about the situational influences which affects consumer decision to purchase a product or service. Under which it will focus on two key influences and substantiate on these concepts. Secondly, it will identify and briefly describe three particular situational influences as evident from the given case study affecting Kate’s purchase decision. Thirdly, it will discuss how a marketer might be able to utilise “situation” to market a specific...
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...CHAPTER 1 AN INTRODUCTION TO THE STUDY OF CONSUMER BEHAVIOUR Consumer behaviour has changed dramatically in the past few decades. Today, consumers can order online many customised products ranging from trainers to computers. Many have replaced their daily newspapers with customised, online editions of these media and are increasingly receiving information from online sources. Students choosing a university no longer rely on receiving prospectuses through the post; instead, they have online access to all the pertinent information about a university’s courses and teaching staff and, in some cases, can visit, virtually, actual classes. People wanting to sell their old computers or grandmother’s antique table no longer need to advertise in the local newspaper or rely on a pricey auctioneer; instead, they can sell these items via online auctions or their own personalised online advertisement. Consumers who want out-of-print books no longer have to visit out-of-the-way shops with hundreds of poorly organised dusty shelves, and those who wish to purchase a book published in another country no longer have to call foreign publishers or deal with the bureaucratic nightmare of overseas delivery; instead, they can visit online stores where they can easily locate and place orders for the books they seek. Television viewers can now avoid the advertisement breaks by using the ‘skip’ feature of their recorders and order on demand previously shown television programmes as well as films. All...
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...CONSUMER MARKET RESEARCH:- Consumer marketing research is a type of sociology (applied) that has its main focus on the preferences, attitude and behaviour of consumers in a competitive economy. The main objective is to understand the effectiveness and success levels of pull-marketing campaigns. Consumer marketing research is also known as the systematic identification, analysis, collection and distribution of information mainly for the purpose of helping the management in decision making process related to the classification and solution of prospects and problems in marketing. The goal of marketing research is to identify and assess how changing elements of the marketing mix impacts customer behaviour. Assess of consumers (prospective and existing)can be done with consumer market research from Informatics Outsourcing. Consumer market research can help in the quests of, * Gathering market information regarding opinions and trends * Acquiring information on consumer behaviour * Measure the interest levels in new products and service offerings * Generating a list of potential new customers Consumer marketing research is also a Part of market research in which the preferences, motivations, and buying behavior of the targeted customer are identified through direct observation, mail surveys, telephone or face to face interviews, and from published sources (such as demographic data). Business to business market research Business to business (B2B) research is...
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...B U S INE S S S CHO O L JÖNKÖPING UNIVERSITY The traditional vs. the online market A study of consumer behaviour and consumer preferences in the purchase of high-involvement products Bachelor Thesis within Business Administration Author: Denis Čelhasić Tommy Grdić Lukas Özer Tutors: Maya Paskaleva Olga Sasinovskaya Jönköping January 2008 ii Acknowledgements First of all, we would like to express appreciation to our academic tutors, Olga Sasi-novskaya and Maya Paskaleva, for providing valuable feedback and guidance on our work. We would also like to thank Robert Bengtsson, CEO at MindValue AB in Gothenburg, Sweden, for supporting us throughout the research by sharing ideas and vital information concerning the marketing industry on the Internet, as well as the operations of MindValue AB itself. We would further like to take the opportunity to send gratitude to the interview-ees making it possible for us to retrieve the information essential for conducting this study. Finally, our thanks goes to Carl Emil Svedin, legal counsel at Saab AB in Linköping, Swe-den, for taking his time to validate the credibility of our translations made of the transcripts from the interviews. Denis Čelhasić Tommy Grdić Lukas Özer January 2008 Jönköping International Business School iii Bachelor Thesis in Business Administration Title: The traditional vs. the online market: A study of consumer be-haviour and consumer preferences in the purchase of high-involvement products Authors: Čelhasić Denis...
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...MKT2CBE Consumer Behaviour Week 2 Chapter 2, Value and the Consumer Behaviour Value Framework Learning Outcome 1: Describe the consumer value framework, including its basic components CVF: Identifies variables that influence the consumer both internal and external whilst also looking at the process of turning a need into a want into the acquisition of a product; then having the product do something for them (creating value) be it hedonic or utilitarian. Internal Influences: Learning, Perception, Memory, Attitude, Categorisation (cool, uncool) Personality of Consumer: Motivation, Personal Values, Lifestyle, Emotional Expressiveness (Assignment) Consumption Process: Needs, Wants, Exchange, Costs/Benefits, Reactions Value: Utilitarian/Hedonic Relationship Quality External Influences Situational Influencers Affect: feelings Consumer research: defining, establishing and testing individual differences in order to divide market External Influences: interpersonal, social environment (workmates/housemates/family) Situational Influences: time of day Learning Outcome 2: Define consumer value and compare and contrast two key types of value Value: What you get – What you give up eg. 7/11 convenience of opening 24/7 allows the company to introduce a higher premium Utilitarian: utility aspect (product, functionally, does something for you) Hedonic: facebook updates on your phone Learning Outcome 3: Apply the concepts of marketing strategy and...
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...Marketing - Marketing Mix and Consumer Behaviour: The key is the research. Francesco Giunta Consumer Behaviour: The key is the research. Marketing over the last two decades has made significant progress in terms of segmentation, positioning and targeting of the product. In this progress is included the core aspect of consumer behaviour. The study of such behaviour is a necessity for any company in any business, regarding this it is interesting the analysis of consumer behaviour in purchasing technological products. There are several cases of companies not only in the technology field, leading market research in order to understand how they can maintain the loyalty of existing customers and attract new ones, but not everyone can have positive results. A remarkable example of success is Apple Inc. which with its revolutionary and aesthetically refined products managed to have a tremendous positive feedback from consumers and is able to maintain a strong and lasting relationship. Consumer Behaviour : Marketing Research and Marketing Mix Marketing Research In creating a product and an advertising campaign is essential to consider the target market. It is crucial to know what are the habits of the consumer, their needs when purchasing a specific product and what are the benefits of such purchase. So it is vital to understand how to attract consumers' attention and get a complete picture of the situation. It is possible to do that by following five basic steps/questions...
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...Consumer Green Attribute Endorsement: An Empirical Study Praveen Goyal Research Scholar, Department of Management Studies, Indian Institute of Technology Roorkee, India praveeng23@gmail.com Zillur Rahman Associate Professor, Department of Management Studies, Indian Institute of Technology Roorkee, India yusuffdm@iitr.ernet.in Vinod Kumar Research Scholar, Department of Management Studies, Indian Institute of Technology Roorkee, India Vinodmehta8383@gmail.com Ishwar Kumar Research Scholar, Department of Management Studies, Indian Institute of Technology Roorkee, India Ishwar1983@gmail.com Abstract- The changes in the global climatic conditions have led and will lead to adaptive consumption behaviour and life styles in the form of aggressive conservation, recycling, energy saving, and green product. The impact of consumers’ environmental knowledge, attitudes, behaviour, and its resultant popular political actions have opened doors to pro-environmental thinking and consumption. Therefore, marketing can earn for the pro-environmental initiatives taken by the companies in terms of sustainable process and green product offerings as well as play a vital role in establishing greener patterns of consumption into contemporary life styles. Keywords- consumer behaviour, Green attributes, Green purchase decision INTRODUCTION In order to promote greener patterns of consumption into contemporary lifestyles, companies need to segment their markets on ...
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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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...information, develop new ideas and offer something unique/special * Ongoing process Why study marketing? * Market orientation firms have better performance * Better profits, sales volume, market share, return on investment * Marketing drives economic growth/stimulates consumer demand * Every employee is a stakeholder in the success of their organisation The Marketing Evolution * Changed from: * Trade * Production orientation * Sales orientation (e.g. black vs. blue) * Market orientation (i.e. what colour do you want, and matching the product) * Societal market orientation (e.g. to stop consumerism) * Used by small and large, those selling goods and services, private, public, profit and non-for-profit Marketing Exchange * Mutually beneficial transfer of offerings of value between buyer and seller * Two or more parties, each with something of value * All must benefit * Exchange must meet expectations of both parties What is value? * “A customers overall assessment of the utility of an offering based on perception of what is received and given” * Refers to the ‘total offering’ What is the market? * Group of customers with heterogeneous (different) needs and wants (e.g. geographic, demographic, product markets) * Customers * Consumers * Clients (customers of non-for-profit) * Partners (all who are involved in activities of...
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