Apple - Shopping and Purchasing Environment, Decision Making, Motivation and Values - Case Study Example

Write a report to analyse an organization of Apple for Buyer Behaviour lecture Table of Contents Introduction 3 Brief overview of Apple Inc 3 Shopping and Purchasing environment 4 Perception 5 Motivation and values 6 Attitudes 7 Decision Making 9 Recommendations 10 Conclusion 10 References 12 Introduction In this age of competitiveness, sustainability and marketing entirely depends on consumer behaviour as well as the availability of the products, its price and promotion. This is because; in today’s age, marketing entirely depends on customer preferences and tastes rather than the features of the products or services. Moreover, in order to improve the productivity and profitability of the organization, changing customers want and requirements need to be analysed. Only then, the organization might become successful in enhancing its brand image and prosperity in the market among many other rival players. Apart from this, the features of the products need to be at par with the preferences of the customers so as to improve their buying approach, purchasing behaviour that may amplify the reputation and market share. However, in order to amplify the demand and profit margin of the organization, most of them offer high preference or concentration over customer requirements (Assael, 1998.pp. 256-289). This strategy proved extremely effective for the organization thereby amplifying its portfolio and market value. Brief overview of Apple Inc The organization of Apple Inc is a reputed American multinational organization, operating in segment of computer hardware, software etc. In-spite of high marker share and brand value, the organization of Apple Inc offers high concentration over its target customer’s preferences. Only then, it became successful in enhancing its profit margin and competitiveness in the market. Other than this, the organization of Apple Inc developed products as per the desires of the customers and so its dominance amplified to a significant extent as compared to its rival players (Apple, 2014). This research paper mainly tries to analyse the customer buying behaviour of the products of Apple Inc that offers significant impact over the profitability of the organization. Shopping and Purchasing environment In this age of extreme competitiveness and high bargaining power of the buyers, branding plays a vital role in customer purchase decisions. This is because; it is the brand that helps the customers to satisfy their needs and demands. However, it might be possible only if the brand tries to develop the products or services as per the changing requirements of the customers. Other than this, the loyalty and reliability of the products of a specific brand enhances only if it comprises of differentiated products. For example: the organization of Apple Inc comprised of a wide range of products such as Iphone, Ipod, Ipad, Ipad Mini etc, so as to satisfy eh changing demand of the customers (Aaker, 1996, pp. 167-189). Along with this, in order to amplify the profitability and market value of the organization, Apple Inc utilised the advanced technologies so as to develop numerous products. However, due to the presence of differentiated features and benefits within the products of Apple Inc such as improved camera, wide screen, powerful processor, etc, its demand in the market is increasing. Therefore, due to these underlining causes, the trust and reliability of the customers over the products of Apple Inc is increasing at a rapid pace as compared to many other rival players. In addition to this, the marketers or a branded organization always tries to develop a good relationship with its buyers so as to increase its dominance in the market (Assael, 1998, pp. 224-234). However, in order to do so, the CEO of Apple Inc, Mr. Steve Jobs develop numerous customer care units in different places. The prime aim of these customer care units is to resolve the problems of the customer instantly so as to improve the loyalty and consistency of the brand in the market among its existing rival players such as Microsoft and IBM. Therefore, due to these causes, the level of equity and loyalty of the customers over the brand and the products of Apple Inc increased that proved extremely effective for the organization. Due to high brand loyalty and equity, the customers tried to fulfil their requirements and demands of shopping by purchasing the products of Apple Inc rather than others. So, its total sale and profit margin is extremely high as compared to others. Perception Perception is recognised as one of inner qualities of a human being. However, it significant differs from one person to another so most of the organization, operating in this age desire to offer high concentration over the concept of innovation. Innovation is a concept that helps an organization or a brand to develop varied types of inventive products and services in order to retain its competitiveness (Aaker, 1996, pp. 223-245). Moreover, innovative products are developed in order to satisfy the changing requirements of the customers of this age that may improve the sustainability and profitability of the organization or brand. Apart from this, due to the implementation of the concept of inventive products, the level of preference and trust of the customers over the brand increases that amplifies its market share and dominance among others. However, due to improvement of the brand image and reliability of the brand, the perception of the customers over its product lines also increases (Adcock & et. al. 1998, pp. 123-134). Keeping this idea in mind, the organization of Apple Inc implemented the concept of innovation. As a result, in order to satisfy the changing requirements and demands of the customers, it presented varied types of inventive product lines such as Ipad Mini, Ipod, Iphone etc. Due to which, the brand value and demand of the products of Apple Inc increased thereby amplifying its total revenue and total assets by US$ 170.910 billion and US$ 207.000 billion by the end of 2013. Other than this, due to the use of advanced operating system such as iOS, the demand of Iphone increased to a significant extent that amplified its market value and dependency among others. Therefore, due to the presence of these benefits, the stimuli of perception of the customers get activated and readily discriminates one brand from other. Apart from these, the consumers also become motivated or encourage towards a specific brand or product lines of Apple Inc due to its high ended packing, advertisements, word of mouth as well as promotional campaigns. Due to which, the level of awareness of the customers, regarding the benefits and advantages of the products gets enhanced that forces r encourages an individual to purchase the products of that brand. Thus, it might be stated that promotional campaigns helps to develop the brand image or concept or believe regarding the qualities or features of the products. Moreover, brand image also helps to develop a specific perception regarding the benefits of product lines that enhances the total sale and profitability (Alreck & Settle, 1999, pp. 130-144). Motivation and values The motivation and values plays a very important role in making the decisions regarding the purchase of the product or service. However, in order to satisfy the underlining values and ideas of the customers, the organizations of this age tries to offer high concentration over promotion and advertisements. It is the advertisements or promotion that increases the level of awareness of the customers that offers a significant impact over the purchasing power of the customers as stated by economic model of consumer behaviour. As per the economic model, the purchasing behaviour of the consumer might get fulfilled only if the required set of information such as price features etc. However, in order to fulfil the above mentioned information of the customers, promotion is extremely essential. Only then, a customer might allocate his or her expenditure in order to satisfy the need or desire of purchasing. But, if the organization fails to present this information to the customers, then the motivation and values of the customers may not get fulfilled and the purchasing process might also remain incomplete (Assael, 1998, pp. 412-423). Other than this, purchasing behaviour or motivation to purchase a product increases only if the product accomplishes the ability to solve various problems as stated by Howard-Sheth model of buying behaviour (Assael, 1993, pp. 110-123). For example: the products of Iphone comprises of wide screen, superior camera, web based dash boards, Bluetooth, WI-FI, goggle maps etc that may be used at any time and at any place. Due to these underlining reasons, the demand and total sale of the product lines of Apple Inc is extremely high as compared to many other rival players. As a result of which, the profitability and productivity of the organization of Apple Inc increased to a significant extent as compared to many others in this age of competitiveness. In addition, due to the presence of wide range of features, the products of Apple Inc are highly preferred by the customers that amplified its brand image and loyalty in the market among others (Apple, 2014). Therefore, due to these reasons, the target customers highly get motivated towards the product lines of Apple Inc thereby amplifying its prosperity and brand value. Attitudes Attitude is also another vital factor that helps o evaluate the effectiveness of a specific product or services, prior purchasing it. However, the attitude of a consumer towards a specific brand or product line is evaluated by analysing its effectiveness and advantages in both favourable and unfavourable situations (Belk, 1975, pp. 157-164). Moreover, as behaviour and attitude of an individual is directly related with one another, so, determination or reliability over a brand encourages the individual to purchase the product or service. As a result of which, the level of trust and consistency varies from one person to another and it offers a significant impact over the demand and total sale of the products lines in this age of competitiveness. For example: the demand and market share of the product lines of Apple Inc is quite high in the market as compared to Sony, Samsung or Microsoft. Other than this, the attitude and personality of an individual is highly influenced by the promotional and advertising campaigns of the organizations. Due to which maximum extent of the organizations, desires to offer high attention over the promotional campaigns in order to increase the level of awareness of the customers. Apart from this, with the help of promotions in television, billboards and social media, the organizations tries to highlight the distinctive features of its product lines as compared to its rival players. As a result of which, the customers gets an opportunity to tally the features and benefits presented by the product lines of a specific brand as compared to others and then make their purchasing decision (Briggs & Cheek, 1986, pp. 106-148). Just like, after viewing the advertisements of tablets presented by Sony and Apple, maximum extent of the customers might get attracted towards Apple due to its stunning features like 2USB ports, 4 GB hard drive, 256MB RAM, 320 GB hard disk etc. Other than these factors, the buying behaviour and attitude towards a brand is also affected by another important factor, i.e. price. This is because; it is the price that acts as a catalyst for the interested customers, motivated to purchase the products of a specific brand like Apple. Due to which, the CEO, Mr. Steve Jobs implemented competitive pricing methods for its product lines so as to attract or motivate the interested customers towards the products lines of this brand as compared to others. Only then, the brand value and market share of the organization of Apple Inc might get improved in this competitive phrase among many other existing contenders. In addition to this, the availability of the products is also another important factor that offers significant impact over the purchasing behaviour of the customers (Carpernter & Nakamopto, 1989, pp. 285-298). Therefore, in order to improve the availability of the product lines of Apple Inc, numerous stores in different areas of the country. As a result of which, the interested or motivated customers might very easily attain the product lines of Apple Inc that may improve their total income and profit margin as compared to others. However, due to the improvement of the availability of the product lines, the level of trust and reliability of the customers over the brand of Apple Inc increased significantly. Decision Making Decision making process is one of the most important aspects of consumer buying behaviour. Consumer buying behaviour is a process of purchasing a products or services after evaluating all the elements of marketing mixes such as product features, prices, places of availability, loyalty, promotion etc. If the customer becomes successful in attaining all sorts of information regarding the above elements of marketing mixes then they might get motivated towards the brand in purchasing or buying it (Carpernter & Nakamopto, 1996, pp. 325-358). Other than this, the buying or decision making process is highly affected by psychological or cognitive processes such as motivation and need recognition as stated by psychological model of consumer behaviour. As per this model of consumer behaviour, decision making is an inner quality that arises mainly from the first stage of need recognition. It is the stage, in which, the consumers analyses the need to purchase a specific product or service. After this stage, the consumer tries to attain varied types of information regarding the product or services and is known as information stage (Cheratony, 1989, pp. 12-19). Once all the information regarding the product is attained, the consumer starts evaluating them with others. Then, the consumer gets motivated to purchase the product or service as compared to others. Then the customer also tries to evaluate varied types of information after completing the purchase of the product or service. However, in order to present all the required information to the customer, the organization of Apple Inc presented high attention over advertising. As a result of which, the customers very easily attained all information regarding their preferred products from online sites as well as television promotions, prior buying it (Cheratony, 1993, pp. 223-234). Hence, after attaining all information, the customer might make their decision, regarding the purchase of the product without any sort of confusions. Recommendations In this age of competitiveness, customer buying behaviour might be enhanced only through innovation. This is because; its innovation that helps an individual to get motivated towards the product or service as compared to its rival players (Chisnall, 1995, pp. 123-134). Therefore, the organization of Apple Inc might try to recruit extremely talented and experienced staffs within the organization so as to present inventive technologies and products. Along with this, high concentration might be presented over advertising in order to increase the level of awareness of the products and services. This strategy might prove effective for the organization thereby amplifying its prosperity and total sale as compared to others. In addition, the organization of Apple Inc might try to offer more concentration over packaging and labelling in order to attract customer attention towards the product lines and brand among others. Conclusion Conclusively, it might be stated that promotion is the most essential requirement of an organization, operating in this age to amplify its total sale and brand image. This is because; its promotion that helps to improve the level of awareness regarding the features of the products that may motivate or attract them to purchase it. Other than this, the organization of Apple Inc might try to present varied types of inventive product lines so as to improve its total sale and consumer decision making process in this age of inflation as compared to other rival brands. Thus, it might be revealed that consumer buying process is entirely dependent over the procedure of attainment of information, evaluation of alternatives, purchasing and fulfilment of any queries or problems after purchasing the item. If these stages might be fulfilled by the organization, then the rate of sale of that product may surely be improved. References Aaker, D. 1996. Building strong brands. London: The Free Press. Adcock, D. & et. al. 1998. Marketing Principles and Practice. London: Pitman Publishing. Alreck, P. & Settle, R. 1999. Strategies for building consumer brand preference. Journal of Product and Brand Management, Vol. 8 Issue 2, pp.130-144. Apple, 2014. About Apple Inc. [Online] Available at: www.apple.com/in. [Accessed on 6 June, 2014]. Assael, H. 1993. Marketing principles and strategy. New York: The Dryden Press. Assael, H. 1998. Consumer behaviour and marketing action, 8th Edition. Boston: Kent Publishing Company. Belk, R. 1975. 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