Factors Influencing Consumer Behavior, Patterns of Demand and Purchase - Coursework Example

Consumer Behavior Introduction: Consumer behavior research enables better understanding and forecasting not only of the subject of purchases but also of purchasing motives and purchasing frequency (Schiffman, Kanuk 2004). One of the present fundamental presumptions for the consumer behavior research is the fact, that people often buy products not because of their main function but for their subjectively perceived value (Stávková, Stejskal, and Toufarová, 2008). There are a lot of factors influencing consumer by decision-making process. The literature classifies and structures these factors in various ways. From the point of view o the marketing planner, the mix of cultural, social , personal and psychological factors that influence behavior are largely uncontrollable. Given the fact that the influence they exert upon patterns of buying behavior, it would automatically be come essential that as much efforts as possible is put into the creation of an understanding on how these factors interact with each other and ultimately the manner in which they influence purchasing behavior.  Factors influencing Consumer Behavior Cultural Factors   The most fundamental of the four influencing factors and the therefore logically the starting point for any analysis of consumer behavior patterns is the buyer’s set of culture. The factors of culture would include the culture, sub-culture and the social class. Of these it is the culture of the society that typically would be the most fundamental and enduring influence on behavior, given the fact that human behavior is very largely the result of our socialization, initially within the family and then increasingly within a series of other institutions such as schools, friendships groups, clubs and so on (Gilligan and Wilson, 2009). The broad set of values would be influenced in turn by the sub cultures in which one is developed-these would include nationality groups, religious groups, racial groups and geographical areas. Finally the impact of the sub-cultures is ultimately defined by a third set of variables-those of social stratification and in particular those of social classes. The idea here is based on the simple assumption that people within a given particular social class are more similar than those from different social classes and that the tastes and the demands of a group from a particular class would determine the ultimate taste and demand pattern of a given individual.   Psychological factors   These factors deal with the psychological processes that are built into the individual consumer’s system. The important aspect to be noted with respect to these psychological factors is that these factors are interlinked and these interlinkages result in behavior. For example, though perceptions and attitudes are conceptually different in terms of their applications in marketing context, attitudes also contain a perceptual component (Kumar, 2008). The body of consumer behavior views them distinctively to focus on specific applications. This is done to provide conceptual clarity to students of consumer behavior views them distinctively to focus on specific applications; this is done to provide the student of consumer marketing a clear perspective. Personally concepts are important among psychological factors because they pack a brand with emotional appeal to the appropriate target segment of consumers. In most categories, consumers do not just look for functional benefit. They also look for symbolic gains-which are those that consumers perceive as beyond the functional qualities of a brand. These mat be emotional in nature, might remove around self concepts, be associated with brand appeal, or with human traits. The personality for the brand formulated with the personality or reference group principles may be reflected through brand imagery. Brand imagery is strongly associated with perception. As stated earlier this also illustrates the fact that psychological factors are interlinked.   Personal Factors Personal factors are include usage of issues of age and lifecycle, occupation  which would ultimately then determine economic situation, life styles defining individuals, and Personality issues dealing with self image. Where age is concerned one would have to remember that people’s tastes and choices undergo changes and transformations with changing age-these cover food choices, choice in clothing, décor and even recreation.  Product tailored for a teenager like a video game would obviously find fewer benefactors in the upper age segment. A person’s occupation has its impact on the services and goods required and bought by a given individual. Blue collar workers tend to buy more rugged work clothes, whereas white-collar workers buy more business suits-a person’s economic situation would have an obvious impact on choice of product thereby helping in market segmentation- a well off man would want to buy a Porsche while an average Joe would look for a Chevy. The creation of an understanding on these would then automatically then mean measurement of major AIO dimensions. Each person’s distinct personality influences his or her buying behavior. Personality refers to the unique psychological characteristics that lead to relatively consistent and lasting responses to one’s own environment Application of Consumer behavior study in marketing  Consumer behavior study is defined as the investigation into the behavior patterns defining persons, factions, or associations and the procedures that are used by them in a bid to select, protect, utilize, and dispose of products, and services so that they are able to work toward the satisfaction of their requirements and the effect of these endeavors show on the customer and the society. The idea essentially therefore remains that an investigation into behaviors and buying patterns would be able to help researchers directly and companies indirectly in understanding target audiences, thereby fulfilling requirements better, working toward the expansion of their consumer base. The aim of the study of consumer behavior is to help the organization understand patterns of demand and purchase, by creation of an outlook on the manner in which consumers reasoning and selection processes that would ultimately guide the purchasing pattern. This aspect of the investigation in marketing research would also then focus on the why and the how of the influences on the customer in terms of his ultimate choice. These could range from culture to family and signs, along with media. The fact that a consumer behavior research would just focus on influence would also then mean that some amount of focus would have to be given o limitations defining buying behavior. This where the divisions of class and social strata are important in the context of consumer buying behavior, and in the context of arriving at decisions on target audience. This would have manifestations therefore in multiple products from a single stable. An example would be the well known L’Oreal brand which caters to the upper middle rung cradle with the L’Oreal brand while coming up with Garnier to cater to the mid-level segments. Each would be prices differently and would cater top its won segment in the market. Moreover one also has to understand the fact that much of the research on consumer buying behavior and its relevant influences have focused on the patterns that aid the creation of demand (Kurtz, McKenzie and Snow, 2009). The manner in which a customer finds motivation to buy a given product would then mean that the strategies defining decision making are different between products that differ in their level of importance or interest that they entail for the consumer. It also has to be understood that the manner in which a given marketeering team is able to adapt and effect improvements in their marketing campaigns would ultimately be determined by a study of consumer motivation and influences.   The most oft repeated and used version of the application fo consumer styudy behavior is the formulation of marketing strategy.The idea is the usage of information from the study of consumer behavior and utilization of this in better formulation and application of marketing campaigns. An example would be the adaptation of food advertising in accordance with the fact that consumers are more receptive to food advertising when they are hungry. This would then mean that snack advertisements are scheduled for late afternoons. It was a study on the factors influencing consumer behavior that one Kotler propounded his famous consumer market leaders, secondary users and the crowd theory. Given the fact that it is through the creation of this understanding that new products are usually initially adopted by a few consumers and only spread later, and then only gradually, to the rest of the population, we learn that companies that introduce new products must be well financed so that they can stay afloat until their products become a commercial success and it is important to please initial customers, since they will in turn influence many subsequent customers’ brand choices. Last but not least, the study of consumer behavior is ideally aimed at make us better consumers. Common sense suggests, for example, that if you buy a 64 liquid ounce bottle of laundry detergent, you should pay less per ounce than if you bought two 32 ounce bottles. In practice, however, you often pay a size premium by buying the larger quantity. In other words, in this case, knowing this fact will sensitize you to the need to check the unit cost labels to determine if you are really getting a bargain. Reference: Schiffman L.G., Kanuk L. (2004). Nákupní chování (Purchasing behaviour). Computer Press, Brno; ISBN 80-251-0094-4. Stávková, J., Stejskal, L., and Toufarová, Z., (2008). ‘Factors influencing consumer behaviour’. Agric. Econ. – Czech. 54(6). Pp276-284 Gilligan, C., and Wilson, R. M. S., (2009). Strategic Marketing Planning. Butterworth Heinenaman. Pp202 Levitt, T, 2004, Marketing Myopia, pub, Harvard Business Review, Vol. 82 No.7/8, pp138-149 Kumar, R., (2008). Conceptual Issues in Consumer Behavior The Indian Context. A1 Books. Pp3-5 Kurtz, D. L., McKenzie, H. F.,  and Snow, K., (2009). Contemporary Marketing. CengageBrai. p131 Read More