New Products Management and Consumer Purchasing Agents - Essay Example

The decision to sell this product at a low price was aimed to attract new customers and motivate them to buy this shampoo. This situation shows that each customer is a unique individual, marketing managers must think in terms of groups of "average consumers" or prototypes that comprise a more or less homogeneous market segment. Products and services must be developed that appeal to a mass of individuals. Common wants and needs that pertain to the social, regional, educational, economic, psychological, national, or other group interests of a market segment must be recognized and translated into profitable opportunities. I am satisfied with this new product and I am going to buy it again and recommend it to my friends.

In general, point-of-purchase (POP) decisions are influenced by the spontaneous desire to try a new product. POP is most effective where products can be differentiated, where demand is expanding, where hidden product qualities cannot be identified at the time of purchase, and where favorable company images or strong emotional buying motives exist. The purchasing process and the related acts of accumulation and consumption are means of achieving goals both of the purchaser and those he represents. The acts of accumulation and consumption indicate the differences between consumers and purchasers and between consumption and buying. Both industrial purchasing agents and "consumer purchasing agents" are essentially engaged in solving problems (Boone and Kurtz 2002).

Another product selected for analysis is a new anti-aging crème by Clinique. The product is advertised by many local specialty shops and cosmetic departments through in-store ads and personal selling. This POP campaign annoys me because I do not use this brand and do not need this product. I suppose that this example shows that considerable confusion exists over the meaning of consumer wants and needs. In a most restricted sense, needs refer to things we cannot do without, items that are indispensable to life. Food, shelter, air, and water are needs in this absolute sense. For marketing purposes, however, this definition is much too narrow. Buyers are not inept or irrational in making purchases, particularly household purchases.

Consumers have become quite professional in some areas of consumption. Veritable purchasing agents, often plan their purchases, especially of high-priced durable goods such as automobiles and washers and dryers. Information is important to them about the advantages and limitations of various types of items. I did not buy this product and will not recommend it to other people. This example shows that buyer behavior is also concerned with ways of reducing perceived risk. Two types of uncertainty inhere in product decisions. First, products may not be as functional or durable, or perform as well, as anticipated. Second, there is the risk of unfavorable product reflection on one's self-image. Product risk is a function of the degree of product knowledge, the price of the product, product visibility, and the social significance of products and their newness (Crawford 2003).
In many cases, the POP campaign is ineffective and does not meet the needs and wants o manufacturers. However, for many products such as television, stereophonic components, and air conditioners, it should be noted that even given the technical information, consumers do not have the background necessary to interpret the data and make the wisest purchasing decisions. Purchase responses are shaped by communications which, in part, are controlled by the seller in the form of advertising and selling. But seller-dominated market communications do not furnish all the information necessary to satisfy the curiosity and needs of buyers. Moreover, advertising and selling may not be fully trusted. Both often fail to furnish the credibility or authoritative information that consumers need.

Buyer behavior includes reactions to marketing measures. A reaction may be influenced by opinions and preferences which, in fact, shape consumption. Both opinions and preferences are acquired and not inherited-they must be learned. The household that shapes the learning of tastes and preferences is a very influential force in personal consumption. I would not recommend executives to spend their budget on POP because on first being subjected to products, individuals may not like them. Gradually, through contact, use, experience, and the effect of information, they may grow to accept and like the shapes, textures, designs, and products that were previously rejected. This part of the buying process is concerned with learning. As a result of experience, customers have preconceived notions or attitudes that shape their view of reality and hence their decisions (Fill, 2006).

For example, experience with brands that meet expectations results in future purchasing actions, since learning takes place. Reinforcement, which is part of the learning process, encourages repetition and perhaps an automatic response purchased by habit. Whether purchases result depends on customer perception of expected satisfaction from available alternatives. At the ultimate point of contact (perhaps in retail stores), customer forces and corporate forces meet. Here is the purchase-decision-nexus that links the external customer and his environment with the internal corporate environment (Kotler and Armstrong, 2005). Through customer purchasing action, buyer goals are realized and market opportunity is translated into corporate goals.  

Such research recognizes that consumption units possess properties of their own that affect the relationships between purchasing antecedents and consequences.

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