Consumer Behavior Analysis at The Sunsilk - Case Study Example

 With reference to a brand how consumer decision process is influenced by many factors Consumer is the person who buys a product for its own use. If a person purchases a good or service and it is consumed by either that person or his family such an individual is called a consumer in its entirety. Similarly, consumer behavior is the action taken by purchasing and consuming the product.   CONSUMER BEHAVIOR According to Kotler (2010), consumer behavior is an enigma for marketers all over the world. Countless number of strategies and approaches has been designed by marketers to understand the reasons behind why buyers choose a certain product over another similar product. However, a concrete model or method describing consumer behavior which guarantees a positive response from the buyer in the form of purchases or repeated purchases is yet to be formed. A marketing expert says even consumers themselves do not know what factors influence them towards making a certain buying decision. Broadly it can be said that consumer purchases are influenced strongly by cultural, social, personal and psychological characteristics. Let’s illustrate the workings behind consumer behavior with the help of a consumer brand, namely Sunsilk. Sunsilk is a hair care brand with its main focus on catering to women consumers. It ranks as one of the leading hair care brands selling its shampoos, conditioners and other hair care products in more than 60 countries worldwide.   BUYER DECISION PROCESS Making an actual purchase is a small part of the whole buyer decision process which is divided into five stages: Need recognition This is the first stage of the buyer decision process in which the consumer recognizes a problem or need. The need for something is triggered by either internal stimuli such as the feelings of hunger, thirst or warmth, while external stimuli may set off a need through an advertisement or discussion. (Kotler 2010) A marketer looking to promote Sunsilk should find out what consumers’ need is regarding hair care and how it can be taken care of. By conducting a research the marketer discovers that there is a potential number of women who want a shampoo which would be effective against dandruff. Hence, a need has been noted and now the marketer has to devise a method to lead the consumer to this particular product. Information search At this stage the consumer becomes conscious of its need and searches for information regarding a product that would satisfy the need or problem. This information can be obtained from personal, commercial or public sources. At this level, the person starts paying more attention to its surrounding depending on the urgency of the problem. With more information the consumer’s awareness and knowledge of the available brands increases, so the marketer of Sunsilk must design the marketing mix that makes the prospective consumers aware about the existence of such a shampoo and knowledgeable familiar with its features of reducing and preventing dandruff. For this it should use the sources effectively by putting up advertisements in women’s magazines or setting up demonstrations and free trials in malls where the prospective buyers can view and use the shampoo on their hair. Evaluation of alternatives This is the third stage of the buyer decision process in which the consumer considers the alternatives available to him in the form of different choices between similar products. Each consumer would have its own unique evaluation criteria according to which a particular brand would be chosen among the ones to available to him. (Sandhusen 2000) A consumer might notice that it is not only Sunsilk which is providing an antidandruff shampoo there are many other brands offering the same type of shampoo. For this purpose marketers should analyze the factors upon which the consumers evaluate the differences between the brands. Purchase decision After the consumer has ranked the different available alternatives in order of preference he will choose the preferred brand and make the purchase. Two factors play an important role in this purchase: attitudes of others and the unexpected situational factors. If the price of the competitor’s brand has gone down so it is likely that the consumer would choose that shampoo or, if a friend expresses his dislike over the use of Sunsilk then the consumer may change his choice. Postpurchase behavior This is the final stage of the buyer decision process in which the consumer expresses his satisfaction or dissatisfaction with the use of the product. If the marketer of Sunsilk has successfully sold its product another bigger test awaits him. After using the shampoo if the consumer experiences any type of skin allergy, then the producer has been unsuccessful in meeting the consumer’s expectations. Hence the consumer will not make a repeated purchase and may even prevent his friends from purchasing the product, in this case, the shampoo. In such a situation the marketer must find a way to change the consumers’ perspective by either modifying the product i.e. review the chemicals that were used in the shampoo and change the one that was resulting in the allergy. Also, if the consumers are not using the product in the first place the marketer can launch its advertising campaign in such a way that it will attract attention from the consumers who will recognize the need to use the product. Therefore it is the marketer’s job to either satisfy the consumer’s need by recognizing it or make the consumer realize its own need through advertising or creating awareness that such a product is available in the market. For a consumer to use a new product it has to go through an adoption process. It is the process in which in the consumer initially hears or finds out about a product. (Kotler 2010) If a consumer finds out about Sunsilk being an alternative brand for hair care products, this means that the consumer has gained awareness about a new product but it is not necessary that he will have complete information about it. Depending on the consumer’s interest she will seek information and evaluate whether the product is worth trying or not. Initially she will want to try the shampoo in a small amount so rather than buying a bottle she will prefer to purchase a sachet of it. After using it for the first couple of times, she notices that the shampoo has fulfilled her expectations of making her hair soft and silky so now she will adopt the product by consuming the shampoo at a regular rate. FACTORS AFFECTING CONSUMER BEHAVIOR Often consumers themselves do not know what influences their purchases but the marketers have established a number of factors that play a strong role in influencing the consumers while making purchase decisions. However, it must be noted that the marketer cannot have total control over these causes. Cultural Factors Culture is the set of basic values and perceptions that are shared by a group of people, these behaviors are learned from one’s family or other established institutions. Every group has its own unique culture around which the member of that society learns to live and develop. It is the marketer’s job to study the culture and its shifts in order to discover new products that might become the need for people over a period of time. As people gained awareness regarding the importance of health and fitness a huge industry was born catering to this new need. Similarly as marketers at Sunsilk spotted a growing concern over self grooming, especially among women, it introduced its various hair care products to fill that demand. (Shah 2010) Subculture is a smaller group of people within a bigger culture who are united in their life experiences and situations. Mostly subcultures are formed on geographic, racial and religious grounds which constitute of important market segments. With respect to each subculture the marketer often designs or modifies its products to meet their demand. The marketer, when marketing the product, considers the qualities or traits that dominate the particular subculture and uses that to promote its product effectively. In an area where focus is on straight, silky hair than lots of volume there Sunsilk’s marketing team should promote those products whose use results in straight hair as there would be a market for such hair care products. Therefore it is important to know about the group’s characteristics before launching or promoting a good or service. Social class is a feature of every society present in a relatively permanent order, members share similar values, interests and behaviors therefore they are grouped together. It is a misconception that social class is characterized by income only, whereas this is not true. Apart from income, occupation and education are also important determinants. Social classes depict similar choices in clothing, automobiles, leisure activities, etc. (Shah 2010) Marketers further subdivide social classes into lowers, working class, middle class and uppers. As for Sunsilk its focus has been mostly working class and middle class, as they make up for the most populous segment of the market. Its wide range of products is suitably priced attracting millions of consumers worldwide. Social factors Groups and social networks have direct influence over the choices people make; therefore its power cannot be undermined by the marketers. People are often influenced by reference groups to which they do not belong which results in aspirations and hopes. Marketers expose the individuals to new lifestyles, behaviors and attitudes that in turn affect the consumer’s choice when making buying decisions. Mostly marketers employ the use of opinion leaders who because of their charismatic personality, famous profile or special skills possess more power of influencing people. For this reason celebrities and other famous people are appointed brand ambassadors as marketers are aware of their mass appeal. Over the years Sunsilk has also featured many beautiful models and celebrities such as Madonna, Shakira and Marilyn Monroe to promote their products in countless advertisements and attract young girls and women. In today’s world social networks are an effective means to promote products on and build interactive customers relationships. Instead of using the conventional one way commercial method of advertisements, marketers are using these networks to forge interaction with their consumers. Sunsilk India, in keeping up with this trend, has launched a social networking site called Gang of Girls which provides its users with expert advice regarding hair care needs and fashion, in addition to other interesting activities such as blogs, games and quizzes. (Sunsilk 2008) Family members can strongly influence behavior as they are perceived to be the most important when it comes to buying decisions. This is the reason why marketers consider the roles and relationships between family members when marketing their products. Buying roles change as consumers evolve over time. A recent study says that where, before parents or siblings have been providing advices on what to buy and what not to, with time that role tends to be filled by a person’s spouse. If the buying decision of a particular product is influenced by the wife then the marketers will try to target the women in their advertisement. Roles and status are the person’s position in a group. A role consists of the activities that the person is expected to perform such as at home a person is expected to fulfill the role of a son, brother or father depending on the people around him. Each role gives the person a status which reflects the society perception towards that role. (Kotler 2010) People mostly choose products according to their roles and status. A working woman would buy the kind of clothing that reflects her role and status. Therefore it is these roles and status that the marketer should focus on. Hence Sunsilk has invariably featured women from all walks of life in their advertisements and promotional campaigns to cater to a huge market of beauty conscious women. Personal Factors Age and lifecycle stage play an important part in the changing patterns of consumer behavior over lifetime. Marketers often classify their target markets in terms of age and lifecycle stage and develop marketing strategies according to them. As a person grows in terms of age its lifecycle stage also progresses resulting in demand for different goods and services. Traditionally life cycle stages progressed from “single” to “married” to “married with children” or “single parents”. Nowadays there are alternative stages as well such as “unmarried couples”, “childless couples” or “adoptive couples”. No matter what the lifecycle stage is marketer develop their products according to the needs and demands of each. However, marketers should not let this segmentation be interpreted as stereotyping as this might send a negative message and offend the consumers rather than catch their attention. (Kotler 2010) Sunsilk with its hair care products caters to almost all the stages of lifecycle as basic need of a shampoo and conditioner stays to some extent constant throughout the consumer’s life. Nevertheless keeping up with the trend in hair dying it can introduce similar products which would cater to higher age groups. Occupation highly affects what goods or services are bought and what are not. As income is directly related to occupation so it widely categorizes what products are within the purchasing power of a consumer. Depending on the person’s occupation marketers market such products in which the potential consumer may show some or any interest at all. (Perner) Sunsilk’s mass appeal has been beautiful and manageable hair just by washing them. For this reason it is a compelling choice for working women or mothers who have less time to tend to themselves. Economic situation affects product choice through the changing trends in economic factors such as interest rates, savings and personal incomes. If economic indicators predict an impending recession so, the marketers need to review their pricing strategy by reducing the prices of their products. Whereas, sales promotions are used by marketers to promote their products which are already available in the market in order to diminish their potential loss in case the economy takes a downward turn. (Shah 2010) In the times of economic prosperity, marketers can alter their marketing mix by incorporating a luxurious image for their products and charging high prices for it. It is during this time that most innovation takes place in the form of new goods and services as it is generally observed that people are better off and in search of wider variety of products to choose from. By following the ups and downs in the economic cycle, Sunsilk can add more products to its portfolio of hair care such as serums and many other revitalizing products. Lifestyle is a person’s pattern of living expressed by one’s social class, interests, personality and opinions. People having different lifestyles require different products therefore lifestyle is a key concept in understanding the consumer’s buying behavior. Marketers promote their products in such a way that the consumers are led to believe that they are not just making a purchase but actually investing in a whole lifestyle and its values (BMW Marketer). Mostly such approach is taken for high end consumer brands which are targeted at affluent urbanities. On the other hand, lifestyle is not always characterized by income; other components also take part in it such as a person’s hobbies, work, activities, and interests in food, fashion, family and recreation. Sunsilk also caters to a lifestyle of people who are conscious of their image in terms of personal grooming and style. Therefore marketers should promote this feature in their promotions and advertisements. Personality is the person’s unique characteristics which are formed through one’s interaction with the environment; it also includes a person’s experiences and attitude towards life and others in general. A person’s personality is seen as relatively consistent over a prolonged period of time. As people have personalities marketers also strive to create personalities for their brands so that consumers will choose brands with personalities matching theirs. Sunsilk gave its brand the tagline of “Life Can’t Wait” as part of its advertisement campaign in 2008. The philosophy behind this message is for the girls to make affirmative choices in order to acquire power over their lives. This strategy of marketers of incorporating self image in their brands helps in achieving their goal of consumer social responsibility as well. Psychological Factors Motivation is a need or drive that compels the person to pursue his goal and thereby attain satisfaction. Many buying decisions undertaken by the consumers have a hidden motive behind their purchases. For instance a middle aged woman buying Sunsilk shampoo says that she is using the shampoo so that she can have silky, manageable hair. Whereas, at a deeper level, she may be trying to impress others by flaunting her beautiful hair. Many companies for that reason employ teams of psychologists to try to unravel the workings of a consumer’s mind. In this way, motivation researchers use techniques to reveal hidden emotions and attitudes towards different brands and buying situations. The purpose of doing so is to develop better marketing strategies. (Sandhusen 2000) Perception is the process through which people interpret and organize information to create sense out of it. Though perceptions are of three types: selective attention, selective distortion and selective retention. Selective attention is when consumers pay attention to the information that is most presented to them, so the marketers have to work very hard to grab the attention of the consumers as there is such a heavy influx of advertisements around them. On the other hand, selective distortion is the tendency of people to interpret new information according to their preconceived notions. For instance if they have a bad image associated with a product any new advertisements will reinforce that bad image. (Kotler 2010) At the last we have selective retention according to which consumers tend to remember the good points of one brand only and disregard all others. This usually happens for products which enjoy strong brand loyalty from its regular consumers. Learning is the process through which an individual’s behavior changes with experience. According to Mason, factors such as drive, stimuli, responses, reinforcement and cues play an important role in learning. A person will have the drive to have dandruff free hair so this will result in the person taking notice of the stimuli around him in the form of different alternatives available. Then by following the subtle cues the person will respond in making the purchase i.e. buying Sunsilk’s antidandruff shampoo. If the shampoo fulfills its promise of reducing dandruff then the person’s response will be reinforced and so the next time he has to purchase a hair care product he will consider Sunsilk’s products definitely. References 1. Kotler, Philip, Armstrong and Gary 2010, Principles of marketing, 13th edition, Dorling Kindersley, India 2. Principles of marketing slides, viewed on November 28, 2010, http://www89.homepage.villanova.edu/edward.schmitt/ppt/ppt.html 3. Psychographic factors affecting consumer behavior, viewed on November 28, 2010, http://www.knowthis.com/principles-of-marketing-tutorials/consumer-buying-behavior/external-influences-psychological/ 4. Factors affecting consumer behavior, viewed on November, 28, 2010, http://ezinearticles.com/?Factors-Affecting-Consumer-Behavior&id=4602848 5. Sunsilk, viewed on November 28, 2010, http://www.unilever.pk/brands/personalcarebrands/sunsilk.aspx 6. Cultural factors affecting consumer behavior, viewed on November 28, 2010, http://www.knowthis.com/principles-of-marketing-tutorials/consumer-buying-behavior/external-influences-culture/ 7. Sandhusen, R L 2000, Marketing, 3rd edition, Barron’s 8. Consumer behavior, viewed on November 29, 2010, http://www.consumerpsychologist.com/ 9. Consumer behavior, viewed on November 29, 2010, http://www.referenceforbusiness.com/management/Comp-De/Consumer-Behavior.html 10. Factors affecting consumer behavior, viewed on November 29, 2010, http://www.referenceforbusiness.com/management/Comp-De/Consumer-Behavior.html Read More