Cereal Aisle Analysis - Assignment Example

 Cereal Aisle Analysis Identify the store I had visited a nearby grocery store to conduct a thorough analysis on cereals aisle. My major objective was to identify change in consumer behavior while purchasing cereals. Different target group encompasses different procedure of consumer decision making. I visited Buehler’s Fresh Foods which is a nearby grocery store. This store was founded by Helen and Ed Buehler in Ohio in 1929. Buehler’s Fresh Foods belongs to the supermarket industry. I went to this grocery store with one of my friends. I visited this store at around 12 pm in the afternoon since most visitors come to this grocery store during this time. Analyze the consumer behaviors Consumer behavior process comprises of different stages which are undertaken by every customer. These stages are problem recognition, information search, and evaluation of alternatives, purchase decision, purchase and post-purchase evaluation. Customers need to firstly identify their need with respect to purchasing a product or service. This kind of need is further utilized to search information and take appropriate action. All possible alternatives available in the market place are identified by customers. Finally purchase decision is made and products or services are purchased (Alba and Hutchinson, 2008). Growth or success of a brand depends on post purchase evaluation. I visited a local grocery store where I observed behavior of three consumers who were going towards three different aisles. All of the three consumers had different demand such as one wanted to purchase breakfast cereals, another was looking at bread aisle, and third was visiting cereal aisle. Customer A had a need for breakfast cereals and the lady was visiting the store outlet with her kid. She compared prices of all breakfast cereals kept on the track and selected some like Kellogg’s, Lucky Charms and Cocoa Puffs. However while making final purchase decision her kid put across his preference towards Kellogg’s Apple Jacks. The lady finally purchased breakfast cereal of Kellogg’s. On the other hand, customer B was in a hurry, he smartly moved in and went to specific department to purchase a particular brand’s bread. There was less of information search or peer group influence since he was indeed a brand loyal customer. I observed that customer C was doing more of impulse buying. This customer went to all cereals aisle and purchased most well known brands irrespective of its price. There was no systematic process followed by customer C and he was more inclined towards information search. He checked all cereal brands and their unique selling proposition. The customer finally purchased that product which was good for health. Assess how consumers determine value Product value is determined through analyzing hidden customer demand. This kind of demand is closely associated with product offerings. It can be stated that a customer finds a product to be valuable only when it is able to address customer expectations. For instance a healthy cereal product should be able to meet all health standards. Value of a product is also determined through comparing its price with other brands. This kind of comparison builds a perception that high prices indicate better quality. Mostly it is common consumer perception that good quality product means it is of high price. On the other hand, low quality food products are indicated by low prices. This form of correlation between quality and price plays a major role while making purchase decision. Brand name or identification can also be stated as a central component in terms of assessing product value. There are many customers who prefer to purchase branded products due to its image and wide base of loyal customers. Peer relationships can also be regarded as a factor which adds value to purchases (Deshpande, 2009). I have observed that one of the customers went to shopkeeper and queried about a particular brand. He found it more valuable to purchase this branded product in comparison to other cereals. On the contrary, there was another customer who was continuously comparing prices of cereals. She purchased high priced product and this clearly reflects that her product purchase value is associated with price. Contrast how consumers progressed through the process of consumer perception The grocery store I went to has wide range of visitors belonging to all income groups. This is simply because this store comprises of high value, moderate value and low price cereals. A large base of branded and unbranded products helps to attract customers to this grocery store outlet. While I was observing different customers purchasing specific products I came across two customers possessing opposite behavioral patterns. One of them was continuously arguing with a sales person saying that her friend did not have a good experience with a significant cereal brand. This kind of perception made the customer rigid towards that brand. She was ready to purchase any other brand’s product of high value in spite of sales person convincing that her requirement could be well addressed by that particular brand. There was another customer who seemed to belong to middle income group. He visited all cereal aisles but did not opt for any branded items. This is mainly because he has perceived that branded items always has high price range. Though there were branded food products at low prices but he deliberately purchased unbranded cereals. Analyze how different manufacturers motivated consumers There were cereal products of different manufacturers displayed in this retail store outlet. In United States, people are more health conscious and they prefer to consume such products which are nutritious or healthy. It can be stated that manufacturers utilize this factor within their product advertisement. For instance, Kellogg’s displaying their breakfast cereals highlights more of nutritional content in their product line. They have separate packaging for their children customers and adults so as to attract specific target segment. Some of the breakfast cereal manufacturers focus on value addition in food products. For instance, addition of chocolate, strawberry, other fruit content within the product. There are cereal manufacturers in this store who highlight their brand by showing their large base of loyal customers (Bettman and Zins, 2007). Some manufacturers even outline ingredient contents and usage of certain nutritional food content for good health of customers. In this grocery store I even observed promotional offers so as to influence customers for bulk purchase. References Alba, J.W., and Hutchinson, J.W. (2008). Dimensions of consumer expertise. Journal of Consumer Research, 20(3), pp. 323-356. Bettman, J. R., and Zins, M.A. (2007). Constructive processes in consumer choice. Journal of Consumer Research, 25(3), pp. 119-149. Deshpande, R. (2009). Situational ethnicity and consumer behavior. Journal of Consumer Research, 19(4), pp. 199-267. Read More