Abstract
Consumer behaviour has become a significant subject in marketing area because it has greatly influenced companies’ operation including not only established companies, but also new companies. It seems that consumer behaviour is unstable as it can be impacted by many factors. The purpose of this project is to observe these factors affecting consumer behavior and analysis effects of consumer behavior on established and new companies. With regard to these effects, it is concluded that consumer behavior has not only positive effects, but also negative effects on both types of companies. Moreover, negative effects can be avoided by effective approaches. This paper would be interested to companies who face problems about consumer
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From the marketer’s viewpoint, it is essential to attract attention of consumers, and consumers can respond the way marketers intend to. For example, if a marketer chooses red colour to package products, the consumer likes all commodities with red packaging by chance; then, perception arises as this packaging draws the consumer attention.
In terms of memory, when consumers make decision among kinds of brands, they prefer to select the brand that they remember. Hollensen (2003) observes consumers store information that is frequently seen or heard. Therefore, marketers try their best to publicize their brand name as much as possible with a view to making consumers remember their brand name when consumers select a product.
Attitude can be described as consumers have positive and negative feelings when they see a object that can be a brand, an action, or a person. For this reason, marketers formulate marketing strategy based on using the knowledge of consume attitude in order to associate with consumer’s tastes and preferences.
This subsection focuses on psychological factors that influence consumer behavior. In the latter subsection, it concerns social factors that would influence consumer behaviour.
1.2 Social influences
Baker (2006) points out that social influences can be divided into three categories including culture, social class, and life-style.
In terms of culture, Bennett
Buyer’s behavior is strongly influenced by members of their family. Personal factors can also affect the consumer behavior. Some of the important personal factors that influence the buying behavior are: lifestyle, economic situation, occupation, age, personality and self-concept. Age and life-cycle have potential impact on the consumer buying behavior. The occupation of a person has significant impact on his buying behavior. Consumer economic situation has great influence on his buying behavior. If the income and savings of a customer is high then he will purchase more expensive products. On the other hand, a person with low income and savings will purchase inexpensive products. Lifestyle of customers is another import factor affecting the consumer buying behavior. There are four important psychological factors affecting the consumer buying behavior. These are: perception, motivation, learning, beliefs and attitudes. The level of motivation also affects the buying behavior of customers. Every person has different needs such as physiological needs, biological needs, and social needs. Customer possesses specific belief and attitude towards various products. Since such beliefs and attitudes make up brand image and affect consumer buying behavior; therefore, marketers are interested in them.
which lead to the decline in sales for isnack 2.0. The lack of connection with consumers
Understanding consumer behaviour is essential to succeed in business. As Solomon et al. (2013) stresses, businesses exist to satisfy consumer’s needs. By identifying and understanding the factors that influences their customers, firms have the opportunity to develop a more efficient strategy, marketing message and advertising campaigns that is more in line with the needs and ways of thinking of their target consumers (Perreau, 2015).
Cognition is basically making decisions going through a thinking process. So this thinking process can occur on the basis of knowledge and perceptions that already existed in the consumers ' minds. The Cognitive Component of attitude is developing a belief based on past
Consumer psychology examines the consumers influence and their perceptions, thoughts, feelings, beliefs, and how these affect their decision of buying products and services. It studies the
In the increasingly competitive market, people pay more attention to the development of brand image. Meenaghan (1995) stated that advertising is considered to be an important marketing tool. It informs consumers of the product information and it is a popular and effective way to communicate with their customers. Companies could attract target groups through advertising. Advertising are largely based on defining the desires and dreams of the consumers so it do not attempt to manipulate consumers, but rather the symbolic meanings which are attached to the products. When a company launches advertising, its goal is to promote consumption and increase market sales. Abideen and Saleem (2011) stated that advertising promotes product awareness in the minds of all the potential and target consumers and as such playing a huge role in influencing the consumer purchasing decision. Therefore, many companies choose to make the advertising to attract the customers. These companies also use consumer‘s self-identity concept to advert and let the customers know the products could satisfy their self-identity. There are three different advertisements below.
Consumers are influenced strongly by cultural , social, personal and psychological characteristics. Most of the marketers cannot control such factors but they must take them into account .
In the current state of understanding consumer behaviour attitudes are core concept in gaining knowledge of people’s personalities, behaviour and choices they make. In other words answering the question - “Why do people do what they do?” Along with beliefs and identity they are main factor impacting on individual’s life since everyday choices are made embracing a certain attitude. Unless marketers try to define and pay attention to the psychological need which is encountered by the holding of an attitude they are in a poor position to predict when and how it will change. (Daniel Katz, 1960) This essay will specify the
In general, our attitude towards an object, person or idea is pre- determined by external factors. It is almost impossible to have a neutral attitude. Our family, friends, society or media are several examples of having an impact on our attitude towards an object, issue or person. Besides this aspect, attitude has a significant and highly impact on our purchase behavior.
Engel (1986) define consumer behavior as "those acts of individuals directly involved in obtaining, using and disposing of economic goods and services, including the decision processes that precede and determine these acts". The present paper is a reflective journal based in which three different marketing activities have been selected and analyzed from the perspective of their influence on consumer behavior.
Since the1950s, the majority of consumer behaviour literature has been built upon two assumptions. The first is that consumer behaviours can be influenced and shaped by multiple factors, which can be generalized as (Engel, Blackwell, and Miniard, 1995):
In this study we are able to understand that consumer and their behavior will determine the success of a firms marketing efforts. We have to observe all their physical, mental and their
Such behavior is influenced by four main factors: Cultural, Social, Personal and Psychological. These factors affect consumer decision making and plays a core impulse that let customer purchase.
The combination of these factors help the consumer in decision making further Psychological factors that as individual consumer needs, motivations, perceptions attitudes, the learning process personality characteristics are the similarities, which operate across the different types of people and influence their Behavior.
Customer possesses specific belief and attitude towards various products. Since such beliefs and attitudes make up brand image and affect consumer buying behavior therefore marketers are interested in them. Marketers can change the beliefs and attitudes of customers by launching special campaigns in this regard.