Consumer and Business buying behaviour

Consumer and Business buying behaviour

1. Consumer

   • Buyer Behaviour
     • The attitudes, preferences, intentions and decisions of a consumer when purchasing items in the market place. 'The decision process and purchase habits of people who purchase items for personal use not business' 
     • How can marketers use this?
       • 1- By developing a greater understanding of the needs and wants of consumers 2- Understanding the opinions and attitudes of customers towards the company and its products   3- further understanding the factors that effect buyer behaviour  4- what, where, when and how consumers buy and in turn develop ways to best satisfy consumers
   • Consumer buying decision process
     • Problem recognition
       • 1- Occurs when consumers notice a difference between desired state and actual state 2- How quickly consumers recognise  a problem may vary  3- some buyers are unaware of their problems, so marketers use sales personel, advertising and packaging to help trigger this recognition in consumers
     • evaluation of alternatives
       • Evoked set
         • The set of brands that consumers see as alternatives for a given product
       • Evaluative criteria
         • The objective and subjective criteria/characteristics that consumers look for in a product. These include the physical dimensions and weight or the colour 
     • Information search
       • Internal
         • 1- Search memories for product information. *Perform an external search if this information cannot be retreived* 
       • External
         • 1- Information from outside source 2- Can be through communication with friends and relatives 3- Can involve cross brand comparison  4- Can also involve any other independent source
     • Purchase
       • * Buyer chooses the goods to be sold *Buyer chooses the seller* buyer negotiates the terms of the deal *Buyer makes the purchase- or terminates the deal 
     • Post purchase evaluation (Cognitive dissonance)
       • Buyer evaluates the purchase- does its expectations meet the actual performance of the product 
       • Cognitive dissonance
         • The buyers doubts about the purchase right after the purchase has been made. This is also known as post purchase dissonance or buyers remorse
   • Level of involvement