Consumer Behaviour | LGMW01/02

by Bella Williams March 07, 2016

Consumer Behaviour – Marketing Management

The shift from production orientation to customer orientation has stemmed from realizing the importance of consumers and their inputs towards building a firm ground for a company’s marketing strategies  and brand exercises for itself, its products and its services. In order to cater to consumers effectively, companies need to understand them and their cognitive processes. Consumer behaviour, thus, is the key to understanding the thought processes of consumers in relation to their purchase decisions and buying behaviour, consumption, disposal, consideration sets and brand affinity.

Consumer behaviour is popularly known as the Psychology of Marketing, and derives principles from psychology, sociology, anthropology, economics and marketing. According to the Consumer Psychologist, consumer behaviour can be defined as the study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society. Consumer behaviour is a vast subject in itself, and touches upon various aspects of why consumers behave the way they behave as suggested by experts at ExpertAssignmentHelp

Nature of Consumer Behaviour

  • It is influenced by various factors, namely:
  • Marketing factors such as product design, pricing, place, promotion, positioning, packaging, distribution and storage, and so on
  • Personal factors that include gender, age, income profile and education level
  • Psychological factors such as product perceptions, buying motives and attitudes towards the products and services
  • Social factors like reference groups and social status
  • Cultural factors such as social class, religion, castes and so on
  • Situational factors like time, physical surroundings and social surroundings
  • It is subject to dynamism or constant change; it is not static. Depending on the nature of products and services, the behaviour of consumers is prone to change. For example, a child living in Melbourne would be inclined to opt for bright and colourful Crocs for footwear. The same child would prefer Converse in his teen years, and move on to more trendy footwear as he grows. In his middle years, he may opt for more formal footwear and in his senior years, may select footwear that offer more comfort than style.
  • Consumer behaviour is dependent on the consumer himself, and varies with different consumers and consumer groups. These differences could be due to the nature of the consumers, their cultural inclinations and their lifestyle. For example, a vegan will display different behaviour towards products, services and brands as compared to someone who is more liberal with his dietary choices.
  • It also varies from region to region; people living in mainstream Sydney and Perth would display behaviour that is different from those residing in Ceduna.
  • A good knowledge on consumer behaviour helps marketers devise appropriate strategies and plans with respect to product design, pricing , promotions, placement and distribution and positioning. A proper mix of strategies could translate into purchase decision for the firm’s brands and products.

Black Box Model

A well known theory of Consumer Behaviour, Philip Kotler’s Black Box Model focuses not on what goes on inside the minds of the consumer, but on the relationship between the marketing and environmental stimuli, and the consumer’s response.

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This model is based on the assumption that buyers are rational and their responses are a result of logical and calculated decisions that are concluded after proper identification of the problem. However, in reality, most consumer decisions are not a result of rational decisions or problem awareness. That is if they are not looking for management assignment help

Consumer Decision Making Process

One of the main aspects of focus in Consumer Behaviour is the consumer decision-making process .A buyer decision process can be either simple or complex, depending on the nature of the product and the nature of the purchase. A consumer, who wishes to buy a candy bar from a local Target Australia store, may spend lesser time in deciding which brand he or she wants to purchase, as compared to someone who wishes to purchase a car. The latter will spend time comparing various brands, automobile showrooms, service quality and so on. There are various stages that a consumer goes through while undertaking a purchase.

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Consumer Behaviour is rooted in aspects of buyer needs and motivation. Marketers do not necessarily create new needs, but make consumers aware of their needs. These needs can be innate – biogenic or physiological needs that are primary requirements such as food and shelter, or acquired needs – needs that arise when one acclimatize to their culture and environment. Motivation is the driving force within individuals that compel them to take action. Marketers need to conduct adequate consumer behaviour research, both qualitative and quantitative, to identify what engages and motivates them. A deeper understanding of the consumer buying process, motivational theories, buying roles and needs analysis can also add to the creation of an effective marketing and communications plan.

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