Consumer decision-making models - Assignment Example

1. The traditional problem solving model of consumer decision making is based on a step by step logical and rational approach to take any decision. This model generally hold true for buying products where customer recognized the need for the product, collects information about its availability, types and price ranges, buys the product and uses it. However, in case of holiday decision making, the process is not that logical and uniform. The need for a holiday is a luxury for most people and hence their decisions are very flexible.

The decision to go on a holiday is dependent as much on external factors as the aspiration of the customer. Many times, the decisions are made due to other co-customers. Also the actual purchase decisions are often made very late in the process in order to avoid risks and regrets. While in traditional models, the customers search for a product before buying it, in case of holiday decision making the search may actually continue during or even after the experience. The decisions regarding holidays are more emotional than rational and are often dependent upon right opportunity and adaptability.

Most of the holiday customers tend to fall in the ‘Affective’ quadrant of the FCB grid (Erasmus et. al. 2001). 2. The information search process for a household appliance is quite different from that of a holiday planning. In case of a household appliance, the customers recognize or feel the need of the appliance due to an unmet need say not able to have fruit juices because juicer is not available at home. However, in case of holiday planning, a holiday may simply be planned because a friend or a relative is going.

For household appliances. The need recognition is often followed by an extensive search such as an internet search off various companies selling juicers or a manual enquiry from the various retailers nearby. This would be followed by listing the alternatives available and comparing them. The various alternatives would be matched with the needs of the customer and a final alternative would be decided. These steps may very well be followed for a holiday planning as well where a customer will look for various possible locations or holiday packages.

Then he would compare the packages with hi budget and time constraints and come to a conclusion. However, there is no guarantee of the occurrence of this process. A holiday may simply be planned because an employer pays Leave Travel Allowance for the same. After buying a household appliance, a person would actually use it and evaluate its quality. In case of a holiday, the exploration may actually start during or after the journey. Thus, the purchase and advertising for a household appliance would fall in the ‘Informative ‘ quadrant of the FCB grid.

The holiday planning decision is likely to fall in the ‘Affective’ or ‘Satisfaction’ quadrants of the FCB grid depending upon customer involvement (Richard, John). 3. The managers marketing and promoting holidays must aim to sell holiday packages or tours as an experience rather than a product or a commodity. The managers must be ready to sell customized packages rather than standard packages for all. The holiday planning agencies should have sufficient inventory to meet last minute customer demand.

The promotion of the packages should be around unique experience rather than cost alone. The promotion messages should be supported by real but exotic pictures of the tourist destinations. The managers can even make use of eco-friendly touch to their packages. References Erasmus, Boshoff & Rousseau 2001, ‘Consumer decision-making models within the discipline of consumer science: a critical approach’, Journal of Family Ecology and Consumer Sciences, Vol 29, 2001 Yssel, Johan C., ‘Demonstrating the superiority of FCB grid as a tool for students to write effective advertsising strategy’ , Available online from Vaughan, Richard, ‘How Advertising Works: A planning model revisted’, Journal of Advertising Research