CONSUMER BEHAVIOUR

Introduction
As we know that The Customer is the King of Market, means the overall performance of any business enterprise depends upon how they satisfy the need and wants of the customer in the market place then the enterprise can became market leader among all competitors. So the field of consumer behavior is a significant way for dealing with consumers in the market place, because when a consumer wants to buy any types of goods or services they are always influenced by their environment, culture, thinking, and by many other aspects which are related to the behavior of consumer and the study of consumer behavior deals with all those factors which are worked as a influencer for consumers.

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Definition
According to AMA; The dynamic interaction of affect
and cognition (knowledge), behavior, and the environment by which human being conduct the exchange aspects of their lives. According to schiffman & kanuck; The term consumer behavior is defined as the behavior that consumers display in searching for, purchasing, using, evaluating and disposing of goods and services that they expect will satisfy their needs According to Dictionary of Marketing; The term consumer behavior refers to the actions of consumers in the market place and the underlying motives for those actions.

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Means the term consumer behavior deals with how individuals make decisions to spend their available resources (i.e. time, money and efforts) on consumption related items. That includes; What they buy? When they buy? Where they buy? How they often buy it? How they evaluate it after the purchase? And the impact of such evaluation on future purchases, and how they dispose of it?
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Importance of the study of consumer behaviour

The importance or application of the study of consumer behavior are as follows: Analyzing market opportunity:- consumer behavior study helps in identifying the unfulfilled needs and wants of consumers- Identifying New Market. Selecting target market:- a review of market opportunities often helps in identifying distinct and unique needs and wants. Product Modification:- consumer behavior can be used to sell products that might not sell easily Deciding Marketing mix.

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Nature of consumer behaviour

Consumer behavior was a relatively new field of study during the second half of the 1960s without a history or research of its own. It is in fact a subset of human behavior and it is often difficult to draw a distinct line between consumer-related behavior and other aspects of human behavior. The discipline of consumer behavior has borrowed heavily from concepts developed in other disciplines of study such as psychology, sociology, social psychology, cultural anthropology and economics.

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Psychology:- is the study of the individual, which includes motivation, perception, attitudes, personality and learning theories. All these factors are critical to an understanding of consumer behavior. Sociology:- is the study of groups. Social psychology:- is a combination of sociology and psychology and studies how an individual operates in a group. Cultural anthropology:- is the study of human being in society. Economics:- an important aspect of the study of economics is the study of how consumers spend their funds, how they evaluate alternatives and how they make decisions to get maximum satisfaction from their purchases.

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Types of Buying Behaviour

The term consumer behavior describes two different kinds of consuming entities.

Personal consumer or personal buying behavior:- personal consumer buys goods and services
for his or her own use, for the use of his/her household, or as a gift for some one. E.g. Shaving Cream, T.V., books etc. The personal consumers is sometimes also referred to as a end user or ultimate customer.

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Organizational/Industrial consumer or buying behavior:- it includes profit or non profit business, different government agencies & industries all of which must buy products, equipment and services in order to run their organizations. Means they buy goods and services for the purpose of further production.
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Factors Influencing Consumer Behaviour

Every human being is a social animal and they always perform their daily activities based on some specific rule and regulations. Means for the purpose of his/her existence in a particular place each individual always influenced by some factors, are those which influence the daily routine of the individual. It means if an individual wants to purchase any product or services from the market place definitely he or she will considered their own culture, society, personality and other personal factors before purchasing the product and services.
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In another words we can say, Those factors which effects the action of consumer behavior in terms of decision making, purchasing activities actual consumption, are called influences of consumer behavior Following are the major factors which comes under factors influencing the consumer behavior.
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CULTURE

SOCIAL Reference

PERSONAL PSYCHOLOGICAL Age and life-cycle

Culture

Group
Cross Culture
Family

stage
Occupatio

Motivation Perception Learning Attitudes &

n
Economic

Subculture
Roles

situation
Lifestyle Personalit

beliefs

and status
Social class
Macro social factors
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y & selfconcept
Micro social factors Personal factors Psychological factors

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Consumer Decision Making Process

DECISION MAKING IS A PROCESS OF SELECTING BEST ALTERNATIVE AMONG A COURSE OF VARIOUS ALTERNATIVES. So the consumer purchase decision process is the stages a buyer passes through in making choices about which products and services to buy.

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Stages of Consumer Decision Making Process.

THERE ARE FOLLOWING FIVE STEPS WHICH INVOLVE IN CONSUMER DECISION MAKING PROCESS 1:-Consumer Behavior problem recognition. 2:-Information search. 3:- Alternative evaluation 4:-Purchase decision. and 5:-Post-purchase behavior.

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Fig:- PROCESS OF CONSUMER DECISION MAKING

PROBLEM RECOGNITION

INFORMATION SEARCH

EVALUATION OF ALTERNATIVES

PURCHASE DECISION

POST PURCHASE BEHAVIOR

PRE PURCHASE PROCESS

PURCHASE PROCESS

POST PURCHASE PROCESS

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OR
Need Recognition Information Search Cultural, Social, Individual and Psychological Factors affect all steps Evaluation of Alternatives Purchase Postpurchase Behavior
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Problem Recognition: Perceiving a Need

The buying process starts with buyers recognizing a problem/need. It occurs when the consumer sees a significant difference between his or her actual and ideal state.. The need can be triggered by internal and external stimuli.

It is a result of an imbalance between actual and desired states.

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So in this stage the marketer needs to identify the circumstances that trigger the particular need/interest in consumer. The marketer should research consumer to find out what kinds of felt needs or problem arose.

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Information Search: Seeking Value

The information search stage clarifies the options open to the consumer and may involve following two steps of information search. 1:- INTERNAL SEARCH. 2:- EXTERNAL SEARCH.
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Internal Search
Scanning ones memory to recall Previous experiences with products or brands. It is often sufficient for frequently purchased products. When past experience or knowledge is inadequate - The risk of making a wrong purchase
decision is high

The cost of gathering information is low.

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External Search
Personal sources, such as friends and family. Public sources, including various productrating organizations such as Consumer Reports. Marketer-dominated sources, such as advertising, company websites, and salespeople

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