Consumer buying behavior refers to the decision-making process and physical activity involved when individuals or groups purchase products or services for personal use.
It is influenced by a myriad of factors, categorized as cultural, social, personal, and psychological:
1. Cultural Factors:
These include culture, subculture, and social class.
Culture affects basic wants and behaviors; subculture includes nationalities, religions, racial groups, and geographic regions; social class is determined by a combination of factors such as income, education, occupation, etc.
2. Social Factors:
Social influences involve reference groups, family, and social roles and status.
The opinions of friends, family, and other groups can significantly impact purchase decisions.
3. Personal Factors:
These encompass age and life-cycle stage, occupation, economic situation, lifestyle, personality, and self-concept.
Personal values, financial situation, and life stage all play roles in what and how people choose to buy.
4. Psychological Factors:
Psychological influences include motivation, perception, learning, beliefs, and attitudes.
These factors shape how consumers interpret information and make choices.
The consumer buying process typically follows several stages: problem recognition, information search, evaluation of alternatives, purchase decision, and post-purchase behavior.
Understanding these stages helps marketers tailor their strategies to effectively influence consumers at each step.
Consumer Buying Process
The consumer buying process is a series of steps that shoppers typically go through before making a purchase decision.
These steps can be summarized as follows:
1. Problem Recognition:
The process begins when a consumer identifies a need or problem that requires satisfaction or solution.
2. Information Search:
The consumer seeks out information about products or services that can fulfil their need.
This search can be internal (recalling past experiences) or external (seeking advice from friends, reviews, or advertising).
3. Evaluation of Alternatives:
The consumer compares different products or services based on criteria such as features, quality, price, and brand reputation to narrow down their choices.
4. Purchase Decision:
After evaluating the options, the consumer decides on the product or service that best meets their needs and makes the purchase.
5. Post-Purchase Behavior:
Following the purchase, the consumer evaluates their satisfaction with the decision.
A positive experience can lead to brand loyalty, while dissatisfaction might lead to returns or negative word-of-mouth.
Consumer Buying Behavior Types
Consumer buying behavior varies based on the type of product, the significance of the purchase, and the level of involvement required.
The main types are:
1. Complex Buying Behavior:
Occurs with high involvement and significant differences between brands.
Consumers engage in this behavior when purchasing expensive, infrequently bought products like cars or homes.
2. Dissonance-Reducing Buying Behavior:
Happens when a consumer is highly involved in a purchase but sees little difference between brands.
To reduce dissonance after the purchase, they might seek reassurance that they made the right choice.
3. Habitual Buying Behavior:
Characterized by low consumer involvement and few significant differences between brands.
Products like household items are often purchased out of habit, without much thought.
4. Variety-Seeking Buying Behavior:
Occurs with low consumer involvement but significant perceived differences between brands.
Consumers may switch brands just for the sake of variety or new experience, often seen in categories like snacks.
Understanding the consumer buying process and the type of buying behavior helps marketers develop more effective strategies by targeting consumers at different stages of their purchase journey and catering to their specific behavior patterns.
Categories that effect Consumer Buying Behavior
Consumer buying behavior is influenced by a mix of factors categorized into four main groups:
1. Cultural Factors:
Broad influences including culture, subculture, and social class that shape consumer preferences and behaviors.
2. Social Factors:
Effects from family, friends, reference groups, and social status that influence buying decisions.
3. Personal Factors:
Individual characteristics such as age, occupation, lifestyle, economic situation, and personality that affect consumer choices.
4. Psychological Factors:
Internal processes like motivation, perception, learning, beliefs, and attitudes that guide how consumers select and evaluate products.