Scope and Application of Consumer Behaviour.ppt

Scope & Application of Consumer Behaviour

1. Scope and Application of
Consumer Behaviour

3. Introduction
Thetermconsumerbehavior,individualbuyer
behavior,end-userbehavior,andconsumer
buyingbehaviorallstandforthesame.
Consumerbehavioristhestudyofhow
individuals,groups,andorganizationsselect
buy,use,anddisposeofgoodsandservices,
ideas,orexperiencestosatisfytheirneedsand
wants.Consumerbehaviormaybedefinedas
thedecisionprocessandphysicalactivity
individualsengageinwhenevaluating,
acquiring,using,ordisposingofgoodsand
services.

4. Introduction

5. Introduction
According to Belch and
Belch“consumerbehavioristheprocess
andactivitiespeopleengageinwhen
searchingfor,selecting,purchasing,
using,evaluatinganddisposingof
productsandservicessoastosatisfy
theirneedsanddesires”.

6. Nature of consumer behaviour
Consumerbehaviorreferstotheactionsand
decisionsmadebyindividualsandhouseholdswhen
purchasinggoodsandservices.Understanding
consumerbehavioriscrucialforbusinessesbecause
itallowsthemtodevelopeffectivemarketing
strategiesandproductsthatmeettheneedsand
preferencesoftheirtargetaudience.Thenatureof
consumerbehaviorismultidisciplinaryandinvolves
variousfactorsthatinfluencethedecision-making
processofconsumers.

7. Nature of consumer behaviour

8. Nature of consumer behaviour
Thesefactorsincludecultural,social,personal,and
psychologicalfactors.Culturalfactorsrefertothe
values,beliefs,andcustomsthatinfluencethe
behaviorofindividualsinaparticularsociety.Social
factorsincludefamily,friends,andothersocial
networksthatinfluenceconsumerbehavior.Personal
factorsincludeage,gender,income,andlifestyle,
whilepsychologicalfactorsrefertotheattitudes,
beliefs,andperceptionsofindividuals.

9. Cultural Factors
Culturalfactorsarethevalues,beliefs,andcustoms
thatinfluencethebehaviorofindividualsinaparticular
society.Culturalfactorscanincludethingslike
language,religion,socialnorms,andevencuisine.
Forexample,insomecultures,itmaybecustomaryto
purchasegoldjewelryasasymbolofwealthand
status.Inothercultures,theuseofcertainproducts
mayberestrictedorprohibitedduetoreligiousbeliefs.

10. Social Factors
Socialfactorsincludefamily,friends,andothersocial
networksthatinfluenceconsumerbehavior.People
oftenmakepurchasingdecisionsbasedonthe
opinionsandrecommendationsofthosearoundthem.
Forexample,apersonmaychoosetopurchasea
productbasedonarecommendationfromafriendor
familymember.

11. Personal Factors
Personalfactorsrefertocharacteristicsthatare
uniquetoanindividual,suchasage,gender,income,
andlifestyle.Thesefactorscaninfluenceaperson’s
purchasingdecisionsinvariousways.Forexample,
youngerconsumersmaybemorelikelytopurchase
trendyorfashionableproducts,whileolderconsumers
mayprioritizedurabilityandquality.

12. Psychological Factors
Psychologicalfactorsrefertotheattitudes,beliefs,
andperceptionsofindividuals.Thesefactorscan
includethingslikemotivation,personality,and
perceptionofrisk.Forexample,apersonmaychoose
topurchaseaparticularproductbecausetheybelieve
itwillmakethemfeelhappierormoreconfident.
Overall,thenatureofconsumerbehavioriscomplexand
influencedbyvariousfactors.Understandingthese
factorscanhelpbusinessesdevelopeffectivemarketing
strategiesandproductsthatmeettheneedsand
preferencesoftheirtargetaudience.

13. SCOPE OF CONSUMER BEHAVIOR
Consumerbehaviorisacrucialaspectofmarketing
thatinvolvesunderstandingtheneeds,preferences,
anddecision-makingprocessesofconsumers.The
scopeofconsumerbehaviorisbroadand
encompassesvariousaspectsofmarketing,suchas
productdevelopment,pricing,promotion,and
distribution.

14. Product Development
Byunderstandingconsumerbehavior,businessescan
developproductsthatmeettheneedsand
preferencesoftheirtargetcustomers.Thisincludes
identifyingthefeaturesandbenefitsthataremost
importanttocustomersanddesigningproductsthat
alignwiththesepreferences.Consumerbehavior
researchcanalsohelpbusinessesidentifygapsinthe
marketandopportunitiesforinnovation.

15. Product Development Strategies -

16. Pricing
Effectivepricingstrategiesrequireanunderstanding
ofconsumerbehavior.Byanalyzingconsumer
behaviordata,businessescanidentifythepricepoints
thataremostlikelytobeacceptedbytheirtarget
audience.Thisincludesconsideringfactorslike
consumerdemographics,purchasinghabits,and
perceptionsofvalue.

17. Promotion
Advertisingandpromotiontechniquesaredeveloped
basedonthebehaviorofthetargetaudience.By
analyzingconsumerbehaviordata,businessescan
identifythemosteffectivecommunicationchannels
andmessagingstrategiesfortheirproducts.This
includesconsideringfactorslikeconsumer
demographics,mediaconsumptionhabits,and
purchasingbehavior.

18. Distribution
Identifyingthebestdistributionchannelsfortheir
productsisanotherkeyaspectofconsumerbehavior.
Byanalyzingconsumerbehaviordata,businessescan
identifythemosteffectivedistributionchannelsfor
theirtargetaudience.Thisincludesconsidering
factorslikeconsumerpurchasinghabits,geographic
location,andonlinebehavior.Overall,thescopeof
consumerbehaviorisbroadandincludesvarious
aspectsofmarketing.Byunderstandingconsumer
behavior,businessescandevelopeffectivestrategies
thatmeettheneedsandpreferencesoftheirtarget
audience,whichcanleadtoincreasedsalesand
profitability.

19. IMPORTANCE OF CONSUMER BEHAVIOUR
Consumerbehaviorisanimportantaspectof
marketingthathelpsbusinessesunderstandtheir
targetcustomers.Bystudyingconsumerbehavior,
businessescanidentifywhatmotivatescustomersto
buytheirproductsorservices,whichcanhelpthem
developeffectivemarketingstrategies.Thereare
severalreasonswhyconsumerbehaviorisimportant
forbusinesses:

20. Understanding Customer Needs
Oneoftheprimaryreasonswhyconsumerbehavioris
importantisbecauseithelpsbusinessesunderstand
theneedsandpreferencesoftheirtargetcustomers.
Byanalyzingconsumerbehaviordata,businessescan
identifythefeaturesandbenefitsthataremost
importanttocustomers,whichcaninformproduct
developmentandmarketingstrategies.

21. Developing Effective Marketing Strategies
Effectivemarketingstrategiesrequirean
understandingofconsumerbehavior.Byanalyzing
consumerbehaviordata,businessescanidentifythe
mosteffectivecommunicationchannelsand
messagingstrategiesfortheirtargetaudience.This
canhelpbusinessesdevelopadvertisingand
promotiontechniquesthatresonatewiththeirtarget
audience,leadingtoincreasedsalesandprofitability.

22. Identifying Opportunities for Growth
Analyzingconsumerbehaviordatacanalsohelp
businessesidentifyopportunitiesforgrowth.By
identifyinggapsinthemarketandunderstanding
consumerneedsandpreferences,businessescan
developinnovativeproductsandservicesthatmeet
theneedsoftheirtargetaudience.Thiscanhelp
businessesstayaheadoftheircompetitorsand
increasetheirmarketshare.

23. Enhancing Customer Satisfaction
Byunderstandingconsumerbehavior,businessescan
alsoenhancecustomersatisfaction.Byidentifyingthe
featuresandbenefitsthataremostimportantto
customers,businessescandevelopproductsand
servicesthatmeettheirneedsandpreferences.This
canleadtoincreasedcustomerloyaltyandpositive
word-of-mouth,whichcanhelpbusinessesattractnew
customersandincreasetheircustomerbase

24. APPLICATION OF CONSUMER BEHAVIOUR
Letstryandfindapplicationofconsumerbehviourby
mostsimplestways:

25. Analyzing market opportunity
Consumerbehaviorstudyhelpinidentifyingthe
unfulfilledneedsandwantsofconsumers.This
requiresexaminingthefriendsandconditions
operatingintheMarketplace,consumer’slifestyle,
incomelevels,andenergyinfluences.Thismayreveal
unsatisfiedneedsandwants.Mosquitorepellents
havebeenmarketedinresponsetoagenuineand
unfulfilledconsumerneed.

26. Selecting the target market
Reviewofmarketopportunitiesoftenhelpsin
identifyingdistrictconsumersegmentswithvery
distinctanduniquewantsandneeds.Identifyingthese
groups,behaveandhowtheymakepurchase
decisionsenablethemarketertodesignandmarket
productsorservicesparticularlysuitedtotheirwants
andneeds.Forexample,pleasesleeprevealedthat
manyexistingandpotentialshampoousersdidnot
wanttobuyshampoofaxpriceatrate60formoreand
wouldratherpreferalowpricepackagecontaining
enoughquantityforoneortwowashers.Thisfinding
LEDcompaniestointroducetheshampoossachet,
whichbecomeagoodseller.

27. Marketing-mix decisions
Onceunsatisfiedneedsandwantsareidentified,the
marketerhastodeterminetherightmixofproduct,
price,distribution,andpromotion.Wheretoo,
consumerbehaviorstudyisveryhelpfulinfinding
answerstotoomanyperplexingquestions.The
factorsofmarketingmixdecisionsare:i)productii)
priceiii)promotioniv)distribution

28. Use in social and nonprofits marketing
Consumerbehaviorstudiesareusefultodesign
marketingstrategiesbysocial,governmental,andnot
forprofitorganizationstomaketheirprogramsmore
effectivesuchasfamilyplanning,awarenessabout
AIDS.
‘Consumerbehavior’isavitalaspectofmarketing
thathelpsbusinessesdevelopeffectivestrategiesto
attractandretaincustomers.Byunderstandingthe
natureandscopeofconsumerbehavior,businesses
canidentifyopportunitiesforgrowthanddevelop
productsandservicesthatmeettheneedsand
preferencesoftheirtargetcustomers.

29. ThankYou