Consumer Buying Behavior - Assignment Example

Consumer Buying Behavior Name: Course: Tutor: Date: Abstract The youth hypothesis affirms that changes in technology have impacted greatly on the values, preferences and attitudes of young people around the world. Internet and satellite television have largely homogenized the aspects affecting purchasing decisions of young people in the society. This market research study attempts to explore teenagers’ behavior in regard to consumption of the clothing styles particularly the branded t-shirts. In explores the teenagers’ attitudes and perceptions towards the branded products (Vani et al, 2010) Background and Literature Review Product and consumer behavior refers to the behavioral characteristics displayed by consumers when searching, buying and disposing of goods and services that meets their needs and demands. The study of product and consumer behavior is more than studying what the consumers can buy to include the reasons for purchasing and the frequency at which they purchase a particular product. It entails understanding of paramount meanings that a good or service hold for the consumers. Market research study on product and consumer behavior takes place before purchase, during the purchase and after purchase. According to Vani et al (2010), consumer behavior encompasses psychological, social and physical behavior of potential buyers of certain product. The scope of product and consumer research goes beyond the act of actual buyer to include various roles of various individuals on final purchase decision making. In most cases, individual consumer behavior is determined by economic, social, cultural and personal factors among others (Vani et al, 2010) Product and consumer behavior has been a central focus among the marketers in the global market. The knowledge of individual purchasing behavior aids in understanding how customer thinks, feel and select from wide range of alternatives of certain products, brand. Consumer behavior helps marketers understand how customers are influenced by the environment, family members, salespersons and reference groups among others. Note mentioning, consumer’s purchasing behavior is largely influenced by either controllable or uncontrollable factors. However, great influence is experienced when a consumer is faced with uncontrollable factors. As stated earlier, consumer’s buying behavior is largely affected by social, cultural, personal and psychological factors. In order to understand the complexity surrounding consumers’ buying behavior, a marketer is obliged to consider all of these factors (Hawkins et al, 2004). Consumer personality factors Consumers’ attitudes and perception towards a particular product influence their purchasing behavior. Some of the consumer personality factors which influence their buying behavior include risk aversion and innovativeness. In most cases, consumers make final buying decision after ascertaining the features of the actual products they are about to purchase. Individuals have different attitudes and perception towards different products. Some customers perceive particular product as risky hence they tend to avoid them. Risk aversion refers to the extent to which a customer/consumer needs to understand the features of the products they are about to purchase. Basing on consumer personality factors, customers are either highly risk averse or less risk averse. Highly risk averse consumers are those who purchase a product after deeply understanding the nature of the product whereas less risk averse customers encompasses those who can tolerate risks associated with particular products and the preceding uncertainties of their purchases. Innovativeness is another personal factor which has had impact on the purchasing decision of consumers. This element captures the extent to which individual consumers are willing to experiment new products. Consumers may be tempted to purchase particular product because they want to explore new ways of doing things. Acquiring a product perceived to be unique presents them with great opportunities of exploring these ways. According to Hawkins et al (2004), the shopping motivation of individuals is abound with numerous behavioral characteristics of individuals such as venturesome, variety seeking and innovativeness (Hawkins et al, 2004). According to Sumathi and Saranavel (2003), individual perception towards particular product has had great influence on the purchasing behavior of individuals. Perception describes a mental process whereby a person uses selected data and information to arrive at conclusion about the product to purchase. Using the selected data, an individual consumer can draw inferences about the product they intend to purchase. Product class knowledge is another personal factor which influences the consumers purchasing decisions. This element indicates individual consumer perceptions of how much they understand particular product, and it is sometime referred to as subjective knowledge. Consumers’ self-perceptions determine their knowledge levels about particular product, and this has effects of their purchasing decision. Product class knowledge provides a better understanding of consumer perceptions towards certain products (Sumathi & Saranavel, 2003). The influence of socialization agents has been the focus of preponderance of the ancient market literature on teenage attitudes towards particular brands. According to Dotson and Hyatt (2005), parents influence the clothing brand of young people in the society. They act as the roles models of their children in their families. Like children, teenagers’ attitude towards certain brand is greatly influenced by their peers. Dotson and Hyatt also confirmed that girls are greatly influenced by peers than the boys in reference to taste and preference of particular clothing brands. In the society, adolescents often communicate and socialize with their peers, and this has impact on purchasing decisions. In most cases, teenagers would decide to purchase particular clothing brand in order to maintain specific group identity. Auty and Elliot (2001) hold similar opinion as they contend that peers purchase particular cloth brand in order to conform to the fashion that is valued by the peers. They also found that teenagers converse with their peers thus creating consumer insights that influence their purchasing decisions. Taylor and Cosenza (2002) suggested that clothing offers means of expressing themselves. Some have used it as a way of coping with various social situations. Self-expression is treated as a very crucial aspect of life by the teenagers thus they have considered clothing style is the best option of achieving this objective. This phenomenon is common especially among teenage age between 15 and 19 years. According to Taylor and Cosenza (2002), this age group bases their social lives on social affiliation and social acceptance which are both affected by the clothing choices. Interestingly, teenagers are not brand loyal hence they shift from one fashion to another. This implies that the providers have to be introducing new products from time to time. Research Problem To study teenagers’ buying behavior regarding branded t-shirts in the market. Objectives of the Market Research Study The main objective of this research study is: To ascertain whether teenagers prefer branded t-shirts than the non-branded ones To understand the marketing opportunities for the Gamma Incorporation products To determine teenager’s acceptance of the branded product in the clothing industry To help Gamma understand the taste and preference of teenagers in the market. Research Methodology In an attempt to explore teenager’s attitudes and perception, there is need for development of interview structures and selection of sample of adolescents in the market of interest. The study utilizes convenient sample of teenagers (approximately 10) in the market. With the efforts of the graduate assistants from the Gamma Incorporation, the marketing team identified geographical markets in which to obtain the individuals to be interviewed. Eight teenagers were drawn from relatively mid-class neighborhoods in various markets. The sample comprised of eight teenagers from various markets within United States. The interview was administered during the market days in various geographical regions within the city of Missouri. The primary data would be collected through in-depth interviews from the selected sample in the market. Each teenager was picked from a different market within United States. The market research team went from one market to other interviewing different teenagers to ascertain the perception and attitudes towards the branded t-shirts. The marketing research team conducted a structured interview i.e. the interviewers asked the respondent clearly defined questions. The team employed a tape recorder after examining that it had no effect in the relationship with the interviewees. The tool enabled the team to record all the interview proceedings which were later analyzed succinctly. Some of the research questions How many pairs of branded t-shirt do you purchase annually? What makes you purchase the branded t-shirts? Do your peers influence you to purchase particular brand of clothes? Do you value fashionable styles? These questions were asked during the interview to aid in understanding the recognition the youth place on particular brand of a cloth. Descriptive study Teenagers comprise the largest part in the fast booming markets for clothes around the world. United States offers the best market for the company’s product. However, globalization has enabled numerous firms enter the clothing industry thus causing competition. There are several international competitors that have established themselves in the United States markets, and this has led to intense competition (Suja, 2007). Results The interview instrument conducted included a five-item scale, where each questions refers to different attitudes towards the branded t-shirt. Note mentioning, the market research team obtained the measures from modification of the five-item scale that was designed by Moschis in 1978. The interview indicated that most teenagers prefer branded t-shirts as opposed to non-branded t-shirts. The response indicated preference for branded garments (Rajendra, 2006). All the teenagers from different markets were in agreeable as evident by frequent statement “I prefer branded t-shirts as non-branded. Branded garments are heavily recognized on the premise that they of higher quality than non-branded garments. Significantly, the demand for branded t-shirts is affected by peers and gender pressures which have impact on social affiliations. Teenagers agreed strongly that their purchasing decisions are influence by their peers. Some indicated that the branded t-shirt is source of pride to them. In addition, the branded t-shirts acts as form of expression and create sense of identity (Rajendra, 2006). Discussion The results of the market research study generally supports that teenagers’ purchasing behavior towards the branded t-shirts is directly affected by attitudes and opinions. From the interview of the ten teenagers, there is similarity in factors influencing their purchasing pattern. The results suggested that many teens around the United States prefer branded garments as opposed to non-branded ones. Clearly, the preference of selecting t-shirts is mainly based on brand and quality. Through the interview, the teenagers affirmed that brand image of the t-shirts influence their minds. They argued that they can feel the quality of the branded t-shirts than non-branded. This is consistent with Hermans and Parker (2005) who found that people value branded items because of perceived quality and value. Despite the fact that youth are skeptical, they recognize and value branded garments hence influencing their purchasing behavior in regard to specific product. Another possible explanation for high demand of the branded t-shirt produced by Gamma is that social experience encountered by the youth in the social environment. All the ten candidates indicated that their purchasing decisions are greatly influenced by their peers. When socializing with their colleagues, teens tend discuss matters related to clothing. As such, an individual teenager would want to make sure that they fit within specific social affiliations which are recognized through certain clothing styles. Most young people in United States associate themselves with certain clothing styles as means of self-expressions. This finding is supportive of Hermans and Parker (2005) contention that teenagers place more importance on branded garments as a way of expressing themselves in the social environment. They argued that teenagers recognize and purchase certain brands so that they can stand out from others in the society. They have habit of keenly observing particular branded products as a way of safeguarding their likes and valuations (Herman and Parker, 2005). Herman and Parker (2005) proposed that relative to other age group, teenagers are habitual of matching specific brands they consume with apparent social status in the society. Therefore, teenagers are inclined to turn to particular brand in an attempt to clicking perceived social status associated with certain branded products available in the market. The result also suggested that most teens disregard unbranded cloth items on the basis that they are of poor quality. They are more convinced that branded products are of better quality hence indicates individual social class. According to Bawa & Shoemaker (2007) teenagers are very familiar and update themselves with the new brands. They have increasingly concern about quality of specific clothing brands. Their preference for branded goods is ever increasing because of mere belief and attitude that they are of better quality. According to Bawa and Shoemaker (2007), the increase in demand for branded products especially clothes have been noticed among the affluent teenage consumers (Bawa & Shoemaker 2007). The results also suggest that teenagers’ purchasing behavior in regard to branded t-shirts is closely related to the fact that they value and appreciate unique items in the society. Branded t-shirts are perceived to be unique hence attracting many consumers. This could be a expression of the famous United States street fashion scene. These findings are in agreement with a Time (2008) research that most teenagers around the world are eschewing non-branded products for branded items which are perceived to be of high quality. Most youth desire for expensive branded items on mere perception that they are of high quality and ought to be purchased by the middle or high income earners in the society. Moreover, Time (2008) argues that fast-moving fashion cycle is eminent in the teenagers’ fashion market in various parts of the world. Based on this study, it is clear that peers have great impact on the teenager’s purchasing decisions. Most youth purchase the branded products because their friends are in possession of it. This finding has been supported by Packaged Facts (2007) who founded that the peer groups provide several types of influence on teenage purchasing characteristics. Peers have informational, normative and identification influence on the purchasing behavior of teenagers. Their preference, attitudes and perceptions towards the branded t-shirts is largely influenced by the information and behaviors of others (Packaged Facts, 2007). Limitation Every project has certain limitations. Profoundly, it is almost impossible to collect complete data necessary for accomplishment of the project. The data may not be gathered in the proper ways. The participants may have given untrue information pertaining their attitudes and perceptions towards the branded item. The sample size was too small in respect to the actual population of the various markets in United States. Consequently, this would adversely affect the final result (Bawa & Shoemaker 2007). Conclusion As the market research study, it has indicated the relationship between the branded product and the consumer purchasing behavior. It reveals that teenagers prefer branded t-shirts than non-branded ones. In the competitive world, companies ought to put great emphasis on market situation i.e. consumers buying behaviors in respect to particular products. It is explicit that teenagers are brand sensitive hence companies are obliged to be keen when availing or launching their products in the market. From the present study, it is clear that teenagers are inclined towards branded products (Kottler, 2010). References List Auty, S. & Elliott, R 2001, "Being Like or Being Liked: Identity vs. Approval in a Social Context" Advances in Consumer Research, Vol. 28, Issue 1, 235-241. Bawa, K, & Shoemaker, G 2007, ‘The Coupon-Prone consumer: some findings based on purchase behavior across product classes’, Journal of Marketing, 51(4), 99-110. Hermans, C & Parker, R 2005, "A Cross-cultural exploration of advertising and media effects in teenagers," Marketing Management Journal, 15 (20), 29-42. Hawkins, D, Best, R & Coney, A 2004, Consumer behavior: building marketing strategy, New York: McGraw-Hill Irwin. Kottler, P 2010, Principles of management, New York: FK Publishers. Suja, N 2007, Consumer behavior in Indian perspective, Mumbai: Himalaya publishing House Sumathi, S, & Saranavel, P 2003. Marketing Research &Consumer Behavior, Vikas publishing house: New Delhi. Packaged Facts 2007, ‘Teen markets in the U.S.’, viewed 28 April, 2011, Time Asia 2008, "Generation No Logo," vol. 171, 68-69. Rajendra, N 2006, Market Research, New Delhi, ND: Tata McGraw Hills Vani, G, Babu, G & Panchanatham, N 2010, ‘Toothpaste brands-a study of consumer behavior in Bangalore city’, Journal of Economics and Behavioral Studies Vol. 1, No. 1, pp. 27-39, viewed April 28, 2011, Read More