Scribd
Upload
384 views4 pages

Consumer Behaviour Assignment

Understanding consumer behavior is essential for marketers to develop effective marketing strategies. There are four major implications: 1) Informing marketing strategies to provide superior customer value. 2) Guiding market segmentation to meet the needs of specific consumer groups. 3) Directing product positioning to match desired consumer benefits. 4) Informing marketing research on purchase decisions and promotional messages. Key elements to understand consumer decision making include psychology, sociology, social anthropology, and economics. Culture influences consumer patterns and decisions, and can be divided into subcultures based on nationality, religion, race, age, sex, occupation, social class, and geography. Religious and ethnic groups impact choices through regional differences, brand loyalty, and religious beliefs

Uploaded by

Dhiraj Pandey
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
384 views4 pages

Consumer Behaviour Assignment

Understanding consumer behavior is essential for marketers to develop effective marketing strategies. There are four major implications: 1) Informing marketing strategies to provide superior customer value. 2) Guiding market segmentation to meet the needs of specific consumer groups. 3) Directing product positioning to match desired consumer benefits. 4) Informing marketing research on purchase decisions and promotional messages. Key elements to understand consumer decision making include psychology, sociology, social anthropology, and economics. Culture influences consumer patterns and decisions, and can be divided into subcultures based on nationality, religion, race, age, sex, occupation, social class, and geography. Religious and ethnic groups impact choices through regional differences, brand loyalty, and religious beliefs

Uploaded by

Dhiraj Pandey
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 4

CONSUMER BEHAVIOUR

Q1: What are the four major marketing implications to understand Consumer Behavior?

Ans1: The four major marketing implications to understand Consumer Behavior are as follows:

 MARKETING STRATEGIES: Understanding the consumer behavior is the basic for


marketing strategy formulation. Consumer’s reaction to this strategy determines the
organization success or failure. In this competitive environment Organizations can
survive only by offering more customer value - difference between all the benefits
derived from a total product and all the costs of acquiring those benefits - than
competitors. Providing superior customer value requires the organization to do a better
job of anticipating and reacting to the customer needs than the competitor. Marketing
strategy is basically the answer to the question: How will company provide superior
customer value to its target market? The answer to this question requires formulation of
marketing - mix – product, price, place and promotion- strategies. The right combination
of these elements meets customer expectation and provides customer value.

 MARKET SEGMENTATION: The most important marketing decision a firm makes is


the selection of one or more segments to focus their marketing effort. Marketers do not
create segments but they find it in the market place. Market segmentation is the study of
market place in order to discover viable group of consumers who are homogeneous in
their approach in selecting and using goods or services. Since market segment has unique
needs, a firm that develops a product focusing solely on the needs of that segment will be
able to meet the target group desire and provides more customer value than competitor.

 PRODUCT POSITIONING: Product positioning is placing the product, service,


company, or shop in the mind of consumer or target group. Through positioning
marketers seek the right fit between a product and desired customer benefits. The right
positioning means understanding the consumer perception process in general and
perception of company‘s product in particular. For example, Samsung brand is perceived
as premium brand by few customers and value-driven brand by others in the market, but
marketer must find out what makes their target market to perceive differently and
position it accordingly.
 MARKETING RESEARCH: Studying consumer behaviour enables marketing
researchers to predict how consumers will react to promotional messages and to
understand why they make the purchase decision they do. Marketers realized that if they
know more about the consumer decision making criteria, they can design marketing
strategies and promotional messages that will influence consumers more effectively. The
importance of consumer behaviour made marketers to think of a separate branch in
marketing research - Consumer research, to deal exclusively for consumer related issues.
The current focus of consumer research is on study of underlying needs and motives in
taking purchase decisions, consumer learning process and attitude formation process.

Q2: What essential elements are required to understand consumer Decision Making?

Ans 2: The essential elements are required to understand consumer Decision Making are as
follows:

 Psychology: Psychology has contributed lot to the marketers to understand the buyers. It
explains how consumers learn about a product and the way they can recall from the
memory, and the development of buying habits. The buyer behavior depends upon the
relative strength of the three elements in the personal ability. Motivational research has
been involved in investigating motives of consumer behavior so as to develop suitable
marketing implications accordingly. This approach has been used to generate idea for
developing design, features, advertising and other promotional techniques.

 Sociology: According to this theory the individual decision and behaviour are quite often
influenced by the family and the society. He gets influenced by it and in turn also
influences it in its path of development. He plays many roles as a part of formal and
informal associations or organizations i.e., as a family member, employee of a firm,
member of professional forum, and as an active member of an informal cultural
organization. Hence he is largely influenced by the group in which he is a member. For
example, the decision may be made by one, actual buying may be done by another, and
the product is used by yet another member of the family. Here, a mother takes a decision
to buy a tiny cycle for her child, the cycle is purchased by the father and the user is the
child.

 Social Anthropology: It explores the development of core beliefs, values and customs
that individuals inherits from their parents and grandparents. Marketers subscribing to
this idea believe that people give more honest responses in their natural environment than
during traditional focus group studies.
 Economics: It is the study of how consumers spend their funds, how they evaluate
alternatives and how they make decisions.

Q3: Define culture and explain its characteristics?

Ans3: Culture is that complex whole which includes knowledge, belief, art, law, morals, customs
and any other capabilities and habits acquired by humans as members of society. Culture
influences the pattern of living, of consumption, of decision-making by individuals. Culture is
acquired. It can be acquired from the family, from the region or from all that has been around us
while we were growing up and learning the ways of the world. Culture forms a boundary within
which an individual thinks and acts.

Culture can be divided into subcultures. A subculture is an identifiable distinct, cultural


group, which, while following the dominant cultural values of the overall society also has its
own belief, values and customs that set them apart from other members of the same society. Sub-
culture categories are:

 Nationality: Indian, Srilanka, Pakistan ,


 Religion: Hinduism, Islam
 Race: Asian, black, white
 Age: young, middle aged, elderly
 Sex: Male, Female
 Occupation: Farmer, teacher, business
 Social class: upper, middle, lower
 Geographic regions: South India, North-eastern India

Q4: How do religious and ethnic groups influence consumer behavior decisions?

Ans 4: The three major aspects of culture that have important effects on consumer behavior are
regional, ethnic, and religious differences. Firstly, consumption patterns may differ in various
regions of India and the world, and marketing strategy can sometimes be tailored specifically to
these regions. Secondly, our country has a number of different ethnic groups, and population
trends will dramatically alter the demographic profile of the country in the next 50 years. The
very diverse Asian American subculture is described as young and having higher socioeconomic
status, placing strong value on the family and the group, and being strongly brand loyal. In spite
of its diversity, marketing strategies can be developed for this group. Finally, religious beliefs
and values can influence consumer. Many marketers are now becoming multicultural in their
marketing activities by trying to appeal to a variety of cultures at the same time. Although the
diversity of the Indian melting pot may be unique, there are many important ethnic groups in
other areas of the world.

Q5: Describe the marketing implications of the cross cultural influences.

Ans5: Cross-cultural marketing is defined as ―the effort to determine to what extent the
consumers of two or more nations are similar or different. This will facilitate marketers to
understand the psychological, social and cultural aspects of foreign consumers they wish to
target, so as to design effective marketing strategies for each of the specific national markets
involved.

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy