consumer behavior in the apparel industry.pptx

consumer behavior in the apparel industry

1. Consumer behaviour The study of how consumers . Select Purchase Use Dispose of goods and services in the process of satisfying their personal and household needs and wants The subject of human behaviour that is concerned with the decisions and acts of individuals in purchasing and using products. 5

2. Consumer buying behaviour The study of how individuals, groups and organization select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and wants. The subject of human behaviour that is concerned with the decisions and acts of individuals in purchasing and using products. 6

3. The accelerated rate of new product development The consumer movement Public policy considerations Environmental concerns The opening of national markets throughout the world Consumer behaviour involves Exposure to the media Browsing Influencing others Being influenced by others Complaining about and returning products Factors contributed to the growing interest in consumer behaviour 7

4. The Buyer Decision Process The buyer decision process, also known as the consumer decision-making process, consists of five stages. This process guides consumers through their purchasing journey, from recognizing a need to assessing satisfaction after the purchase . 8

5. Characteristics affecting consumer behavior Maslow’s Hierarchy of need Maslow's Hierarchy of Needs is a psychological theory dividing human needs. It helps marketers understand consumer behavior , design effective marketing strategies, and improve competitiveness and profitability. 9

6. Factors important to understanding consumer markets and consumer behaviour: The size of the consumer market. Changes in consumer shopping habits and purchase decisions. Emphasis on consumer-oriented marketing. The design of effective marketing strategy. The Nature of Consumer Behavior and Decision Making 10

7. Types of Consumer Choices Six Generic Consumer Behaviour Choices: 1 Product 2 Brand 3 Shopping area 4 Store type 5 Store 6 Non-store source ( catalogs , PC, & TV shopping) 11

8. 20 Types of buyer behavior Buyer behavior is always determined by how involved a client is in their decision to buy a product or service and how risky it is. The higher the product price, the higher the risk, the higher the customer’s involvement in purchase decisions. Based on these determinants, four types of consumer buyer behavior are distinguished:

9. 1. Complex buying behavior This type is also called extensive. The customer is highly involved in the buying process and thorough research before the purchase due to the high degree of economic or psychological risk. Examples of this type of buying behavior include purchasing expensive goods or services such as a house, a car, an education course, etc. 21

10. 2. Dissonance-reducing buying behavior This type of buying behavior involves extensive involvement due to high prices or frequent purchases, leading to difficulty in brand selection and fear of regret, (hence the term 'dissonance‘). Customers often buy goods based on convenience or budget without much research, such as choosing a waffle maker from a few available brands, reducing dissonance and allowing them to make informed decisions. 21

11. 3. Habitual buying behavior This type of consumer buying behavior is characterized by low involvement in a purchase decision. A client sees no significant difference among brands and buys habitual goods over a long period. An example of habitual buying behavior is purchasing everyday products. 21

12. 4. Variety seeking behavior In this case, a customer switches among brands for the sake of variety or curiosity, not dissatisfaction, demonstrating a low level of involvement. For example, they may buy soap without putting much thought into it. Next time, they will choose another brand to change the scent. 21

13. Factors Influencing Consumer Buying Behaviour 14

14. Cultural Factors Cultural factors play a significant role in influencing consumer buying behaviour. These factors include: Social Class The social class is not just determined by the income but also other factors such as the occupation, family background, education, and residence location. Culture Basic values, needs, wants, preferences, perceptions, and behaviours that are observed and learned by a consumer from their family and other. Subculture The subcultural groups share the same set of beliefs and values. Subcultures can consist of people from different religion, caste, geographies, and nationalities. 15

15. 2 Family Decisions may be influenced by family members' preferences, opinions, and purchasing habits. 1 Reference Groups Individuals often make purchasing decisions based on the influence of reference groups, such as family, friends, colleagues, or social media influencers . 3 Roles and Status People may buy products or brands to reflect their social status or conform to societal expectations. 2. Social Class Consumers from different social classes exhibit varying purchasing behaviours, preferences, and priorities based on their socioeconomic status. 16

16. 3. Personal Factor Occupation Interests, values, opinions, and activities, influence buying behaviour. The type of work a person does can affect their purchasing decisions. Reflects a person’s consistent response to his or her environment. Different age groups have distinct preferences and needs. Elderly, teenager Age Lifestyle Personality Note : Factors such as gender, income level, education, and family size play a role in consumer behaviour. For example, higher income levels may lead to greater spending power and different purchasing preferences. 17

17. 1 Add items to cart 2 Add promos (if any) 3 Proceed to checkout 4 Put your shipping details 5 Place order! 4. Psychological factors Motivated individuals are more likely to engage in buying behaviour. Motivation Consumer perception of products, brands, and marketing messages. how individuals interpret and make sense of information. Perception Past experiences, knowledge, and exposure to information. Learning processes such as conditioning and reinforcement. Learning Consumer attitudes and beliefs towards products, brands, and shopping experiences. Attitudes/Beliefs 18

18. Personal income Family income Income expectation Liquid assets Government policy The level of personal income determines purchasing power and influences buying decisions The remaining income after meeting basic necessities can be used for purchasing shopping, luxury, and durable goods. Interests, values, opinions, and activities, influence buying behaviour. It easily convertible into cash, it lead to increased spending on luxury items, while less liquid assets reduce spending on these items. Shape the economic, social, and environmental landscape, thereby impacting consumer perceptions, preferences, and behaviors in the marketplace. 19 5. Economical Factor

19. 21