Discuss about the impact on consumer behavior in Australia……………..
Consumers do take some steps whenever they intend to purchase a particular product in the market; the steps taken are commonly referred to us buying behavior. Consumers do behave differently under different situations when making the decision to buy a product. The study of how consumers behave has been of importance to several companies in developing their marketing strategies for their products or services (Zhang, et al, 2010). Consumers buying behavior is important to firms for the following reasons; it will determine the direction the firm should take when marketing its products, and also help the firm to come up with products that will help in satisfying needs of their clients (Sharma,et al, 2010). The analysis of consumer behavior will make companies make the exact products that the consumers need at the right time. Consumer theory of behavior will also provide us with knowledge that will help in designing the best marketing plan.
FACTORS THAT INFLUENCE CONSUMERS BUYING BEHAVIOR
A buyer who wants to purchase a product will be affected by two factors namely, psychological and social factors. Our company should therefore consider these factors when developing an appropriate marketing strategy for the market we target. (NetMBA, n.d).
Motive; this refers to any driving force within an individual that will orient his or her activities towards accomplishing his or her wants and objectives. The action that an individual will take is determined by a series of motives (Booi-Chem, 2011). If our company can identify motives of the buyers then we can develop a better marketing strategy for our products. Hence the motive of buyers will influence the decision of the buyer to purchase our products.
Perceptions; Perception refers to the way that people selects organize and interpret information inputs so as to come up with a meaning. For an example our buyers can choose the kind of information they would like to know, capture it and interpret it in a certain way. Perceptions in this case will affect buyer’s decision on purchasing our products as they will perceive our products in any given way which can be either positive or negative.
Learning and knowledge; through the process of learning, the behavior of a person will change. The shifts in an individual behavior are as a result by new information acquired or ideas gained by the individual (Krishna, Vilakshan, 2011). This will therefore means that to change consumers’ behavior about our product, there will be a need for us to give them new information or ideas about our.
Attitudes; This is positive or negative feelings about a particular product. Individual’s attitudes can be as a result of past and current experiences and through interaction with other people in the society. The attitudes of buyers towards our products will influence how successful our marketing strategy will be.
Personality; this is an individual traits and character that make him or her different from others. Personality of a person can be inherited or can be as a result of personal experience. Our products should therefore be designed in such a way that they recognize personalities of individuals within our target market.
Lifestyle; these are the various way of life that individuals exhibits in their lives. Lifestyle may be determined by a number of factors such as educational background, social status, and the level of income the individual receives (Todd, et al, 2011). The lifestyle of buyers will determine which product they will buy and fro which particular firm.
Opinion leaders; Opinion leaders such as spokespeople, advisors or celebrities has influence on the buyers behavior. Our company, on a regular basis pays opinion leaders to market our products. The opinion leaders will always influence a buyer’s behavior in a positive way hence increase the sales of its products (Christopher, et al, 2010).
Family influences; any given family has an influence on its members buying decision. Since the family is the most important group that all people identify themselves with, it will have a considerable effect of its members buying behavior.
Reference groups; any particular person can identify himself or herself with a certain caliber of people in the society to such an extent that he or she adopts some values, attitude, or behaviors of the members of that caliber. (Chaar, Lee, 2011). The groups might consist of families, friends, institutions, religions, or professional bodies. Our company always gets the reference groups to certify our products and communicate its approval to their respective members. The extent to which these groups will affect the buying of a product will be determined by individual’s engagement with the group, his or her contributions and the level of engagement with the group.
Social status; it refers to any grouping of individuals who share some common characteristics. The criteria of a social grouping may be based on occupation, income, education, religion, status, wealth, race and ethnic groups.
Culture; culture is a range of norms that are acceptable to a specific class of individuals who share a common background .Culture can determine the kind of products that buyers will purchase based on their tradition. It will also determine the type of food people eat, cloths to wear and also where they reside.
BUYING DECISION PROCESS
The sociological and psychological factors will affect the buyer behavior and subsequently it will affect the buying decision process. When a consumer decides to purchase a product, he or she will have to consider the following; the need of the product, available substitutes, consideration of the substitutes, decision to buy, and after purchase scenario (Booi-Chem, 2011). Our company will need to know the decision the consumer will like to make and how they make those decisions. If we want consumers to consider buying our products, we may require informing any reference person, opinion leaders, social groups, or families to influence the buyer decision.
The buying decision for a product is influenced by both psychological and social factors. These factors will impact on the buyers buying process. The knowledge of these factors is very essential for our company’s marketing strategy. Our company will try to influence these factors so as to influence consumer’s buying process in away that favors our product sales.
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Krishna,C, Vilakshan, (2011). Determinants of consumers buying behavior. An empirical study of private label brands in apparel retail. The Journal of management. 8(2), 43-56.
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