A Case Study of Milk PDF

CONSUMER BEHAVIOR RESEARCH ON FAST MOVING GOODS. CASE STUDY OF
MILK
TABLE OF CONTENTS
1.0 PURPOSE OF THE STUDY........................................................................................2
1.1 REVIEW OF LITERATURE.........................................................................................2
1.1.1 Consumer Attitude..............................................................................................2
1.1.2 Consumer’s Perceptions....................................................................................3
1.1.3 Consumer’s Motivation......................................................................................3
1.1.4 Group and individual differences......................................................................4
1.1.5 Culture and Consumer Behaviors.....................................................................4
2.0 DEVELOPMENT OF SURVEY INSTRUMENTS........................................................5
3.0 ADMINISTRATION PROCESSES..............................................................................5
4.0 DATA ANALYSIS........................................................................................................6
5.0 KEY FINDINGS...........................................................................................................6
5.1 Consumer Behavior and Culture..........................................................................6
5.2 Group and Individual differences.........................................................................7
5.3 Consumer Attitude, Perception and Consumer Behavior.................................7
5.4 Family and Life Style.............................................................................................7
5.6 Motivation and Consumer Behavior....................................................................8
5.7 Other factors..............................................................................................................8
6.0 Conclusion.................................................................................................................8
REFERENCES..................................................................................................................9
APPENDICES.................................................................................................................10

1.0 PURPOSE OF THE STUDY
Consumer behavior entails the study of how consumers apply their external stimuli
senses in making decisions on the goods and services they wish to purchase.
Consumer behavior is becoming relevant in today’s marketing due to numerous
products and services which proves as a dilemma for the consumers. The psychology
that builds up the consumers thoughts, feelings and reasoning translate to buying
decisions about goods and services they wish to consume.
Today’s marketing pegs on the study of the consumers buying behavior due to
increasing factors influencing their decision making. In today’s marketing, businesses
selling products and services to the customers ought to understand their customers’
culture, social groups, family and lifestyles, consumer attitudes and motivational factors.
When a business understands this issue, they must develop a market plan in order to
meet the needs and wants of their customers (Philip T. Kotler, 2014).
The purpose of this research is to determine the effects of consumer behavior in the
purchasing patterns of fast moving goods a case study of milk. The research sought to
determine the major consumer buying behavior in relation to perception, attitudes,
Group and individual differences, Family, and lifestyle, culture and motivation.
1.1 REVIEW OF LITERATURE
1.1.1 Consumer Attitude
Consumer attitude determines their choice of a product to consume. The attitude is
formed either through learning, direct or indirect experience on the product by
consuming the product or indirectly through receiving information from the external
source. Attitudes refer to what an individual feel about something. Attitudes are exposed
on how an individual reacts to products and services offered for sale based on their
beliefs and values. Attitudes are hard to overcome once an individual form towards a
product or service (Frank Kardes, 2015). However, according to Sally Dibb (2013)
increased advertising and promotional activities can change an attitude once formed.
The consumer's attitudes towards advertisements, websites activities, brands, products,
stores, company and so forth are often obtained through learning and emotional
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reactions and tend to persist over time. Marketers can try to influence emotions by
instilling positive emotions to the consumers as a way of affecting their attitudes. The
strength of the attitude moderates the influence of attitudes on thoughts and behavior to
the extent that a consumer evaluates a product positively.
1.1.2 Consumer’s Perceptions
Perception is the response that individuals develop to an external stimulus using their
five ordinary senses. Consumers usually determine the external stimuli using their
senses and knowledge which in turn affect their buying decisions. Some of the
perceptions are about the physical properties affecting the marketing decisions of
businesses. These characteristics relate to size, color, smell, touch and pitch which is a
key to sensory marketing. According to Frederick J Gravetter (2017) many companies
appeal to consumers perception of marketing stimuli through these ordinary senses.
Colour of the product influence the attention of the consumer and strongly link them to
their decision to purchase a product. Color plays an essential role in the marketing
process of goods. Moreover, the color of the uniform worn by the service marketers and
staffs in retail stores affects the purchasing decisions of the consumers. Marketers also
consider consumers preference on the taste of their products and how it affects their
purchasing decisions (Nairne, 2014). According to Shukla (2008) it is essential for
marketers to taste food and beverages products carefully before introducing them to the
market. The smell also contributes to the consumer purchasing pattern for specific
products. Several research from companies research shows that scent influences
consumers in their purchase of laundry and home consumption products (Gordon
Foxall, 2008).
The Touch stimuli appeal to the size, texture, and closeness of the products being
marketed. Studies show that consumers often wish to taste or try products before they
buy them. When consumers get a chance to test the products and services it positively
influences their perceptions.
1.1.3 Consumer’s Motivation
Motivation is the force that impels an individual behavior change towards an object.
Consumers are motivated to process information and generate suppositions which often
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seek out to affirm whether the information is right or wrong (Gordon Foxall, 2008).The
motivation state of the consumers drives the people to identify and purchase products
and services that fulfill their desires or needs. The fulfillment of those needs and desires
motivates individuals to continue purchasing goods and services that fulfill those needs.
Personal needs and wants becomes a motivator only when they are not satisfied.
Individual motivational level affects the purchasing decisions for products. The
motivational levels vary from low to high depending on the purchases to be made. Other
influences affecting motivation levels include familiarity with the purchase, status factors
and the cost of the purchase. Motivational levels change widely among individuals and
are influenced by external factors such as social values, beliefs about brands, and
personal values (Perrone, 2016).
1.1.4 Group and individual differences
Consumers associations with reference groups, individuals, and social influence compel
the individual’s consumption behavior. According to Charles W. Lamb, (2011)
individuals compare themselves with a particular reference group for guidance in
developing their attitudes, knowledge, and behavior.
1.1.5 Culture and Consumer Behaviors
Culture is a shared set of practices or beliefs among a group of people in a place and a
particular time (Wright, 2006). Culture is essential in determining the consumer
behaviors of individuals. Culture explains the variation in the sale of products in specific
regions as compared to other areas. Apart from purchasing decisions, culture also
affects the usage and disposal of products by individuals. Consumers examine how
members of other cultures use the same products, or fulfill the same needs with
different products, to find more efficient, cost-effective options in the marketplace. (Sally
Dibb, 2013)
1.1.6 Family and lifestyle
Family and lifestyle play an essential role in the consumers buying decisions. Its
influence on the consumer purchasing behavior remains throughout the lives of
individuals as they grow to be independent on their own. Each family has its own
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motives, beliefs, and predisposition to the decision process which influences other
family members. According to Wayne D. Hoyer, (2018) socialization process that takes
place in a family helps develops tastes, preferences, shopping styles, and consumption
patterns for the members involved. Background factors such as age, sex, social class
and so forth affect the consumers buying behavior. Moreover, media, family members,
teachers, and peers also act as socializing agents key to changing the consumer’s
behaviors (Frank Kardes, 2015)
2.0 DEVELOPMENT OF SURVEY INSTRUMENTS
A survey research technique is appropriate for this research since it involves sampling
of the interviewed behavior of respondents observed and describing them in some way.
Survey is the most popular method of generating primary data in research methods
(William G. Zikmund, 2010). Survey provides primary data from a representative sample
population which its findings can be allude to the entire population.
More specifically, surveys obtain information that helps assess the consumer
knowledge and responsiveness of products, varieties, or problems and to measure their
attitudes and feelings. Moreover, it describes the consumer buying behavior which
includes the brand usage, purchasing patterns and characteristic features of
demographic population and lifestyle (Shukla, 2008).
Consumer behavior characteristics questionnaires were formulated about all the specific
consumer behavior’s. The survey questionnaires were formulated using the internet
monkey survey online questionnaire instrument. Primary data is relevant in this study to
determine the psychological factors that influence the buying decisions among the
consumers. The research questionnaires covered on the aspects of culture, attitude,
group and individual differences, family, and lifestyle, perception and motivation. All this
questionnaire was posted on monkey online survey to solicit information from the
various respondents on their purchasing behavior on milk products.
3.0 ADMINISTRATION PROCESSES
The research questions formulated through the online monkey survey instrument was
shared using a web link to the specific respondents who frequently purchase milk for
consumption. The research adopted a purposive sampling of the identified respondents
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in order to get accurate results on the objective of the research. Online questionnaire
collection tool is appropriate for a survey as it offers a real-time response from the
respondents (Kothari, 2007). Furthermore, it builds confidence in the respondents to
give genuine feelings, thoughts, and perceptions about the questions being interviewed.
4.0 DATA ANALYSIS
The primary data was collected through the online monkey and analyzed. The data
analysis was classified for each questionnaire and attached in the appendices. The
analyzed data was presented in charts and tables for analysis of findings.
5.0 KEY FINDINGS
The primary data collected through the online monkey survey was analyzed using
descriptive statistics. The research questions for each characteristic was analyzed and
the following findings made:
The total response rate 43.75% female and 56.25% male. This means that the gender
difference could have little impact on the results of this study. Moreover, the response
rate was 100% with 17 respondents answering the questionnaires. The respondents
who responded to the questionnaires age bracket consisted of 25-34 being the majority
at 76.47% and 35-44 at 5.88% while the age of 18-24 had 17.85% of the respondents.
Personal information on educational level revealed that most respondents were
university graduates with bachelor’s degree.
5.1 Consumer Behavior and Culture
The respondents had varied responses to the effects of cultural factors on their
consumption behavior. Most respondents at 35.29% agreed that their societal, cultural
factors affect their milk buying behavior through a significant number of them also
strongly disagreed while the rest at 17.65% were neutral and disagreed. The
respondents agreed at 35.29% that their social traditions and beliefs affect their milk
buying patterns while 29.41% of the respondents disagreed. The results, therefore,
indicate that cultural belief and traditions are still a debatable factor affecting
consumption patterns in this century. The questions on the effect of religion on milk
buying patterns had a high percentage of disagreement by the respondents. The
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conclusion on whether religion affects milk buying behavior is a strong disagreement.
The research also found out that respondents purchase milk as a necessity for
consumption and not a luxury.
5.2 Group and Individual differences
Respondents at 47.06% strongly disagreed that their milk purchasing behavior is
affected by friends. They agreed that they have experience in the milk brands in the
market and doesn’t rely on friends to change their milk brands. The respondents at
41.18% agreed that before they purchase new milk brands, they usually ask their family
and friends. The respondents concurrently agreed that they usually obtain information
from friends and family before buying milk brands on the market. However, 36.29% of
respondents disagreed that their friends do not dictate their buying decision on new milk
brands in the market.
5.3 Consumer Attitude, Perception and Consumer Behavior
The respondents all agreed that they often change product consumption if they had a
bad experience with the previous milk product brands. Respondents at 47.06% agreed
that the only buy milk brands that fit their personality. The response that the advertising
technique affects consumers buying decisions collected varies response from the
individuals who responded to the survey. The respondents at 41.18% and 35.29%
strongly agreed and agreed respectively that before they purchase milk products, they
pay close attention to the packaging colors, the smell of the product and the taste.
However, 17.64% of the respondents disagreed on this issue. The respondents also
agreed that the agents selling products at retailers and stores influence their buying
decisions although a significant number were also neutral about the same.
5.4 Family and Life Style
The respondents agreed that their family influences most of their buying behavior at
41.18% and 29.41%. ‘My family composition affects my purchasing behavior,’ obtained
52.94% agreement from the respondents. Few individuals at 17.66% disagreed with the
question meaning that family composition and household patterns affect the
consumption patterns of individual and families. Response to the discussion of brands
usage with the family members obtained a high agreement response of 47.06%. This
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means that families affect the purchase of milk brands by consumers. The questions on
the influence of children on the buying decisions of individual consumers obtain varied
responses hence difficult to know its effect on consumer behavior.
5.6 Motivation and Consumer Behavior
The respondents commented on the factors that influence their motives to buy milk
products and brands. The motivational levels of the respondents according to the
findings were factors ranging from social values, beliefs about brands, pricing and
personal values. The respondents felt that milk is an essential commodity that is
frequently consumed and therefore the motives for purchasing is inevitable. Other
influences affecting motivation levels include familiarity with the purchase, status factors
and the cost of the purchase.
The respondent was asked about factors that motivates them to search for milk brands
before purchasing them. The response was varied with the following response; quality,
health and safety, taste and preference, need to know understand the other milk
brands, influence by friends and product quality and taste.
5.7 Other factors
The respondents was asked to comment on other factors that could affect their milk
buying patterns. The survey found out that apart from the key factors analyzed above
about culture, attitude, motivation, perception, group and individual influence and
culture, there are other eminent issues that affect consumers buying behavior.
The responses were; previous experience of the milk brand, the benefits of the product,
the suitability of the product to their needs, price variation among similar product, quality
of the products, age, level of income, price, cultural belief yellow branded milk is good,
size of the product, family and culture and retailing stores.
6.0 Conclusion
Understanding consumer buying behavior is essential in today's marketing. The study
on fast goods moving product milk consumer buying patterns revealed that, though milk
is an essential commodity for consumption, several factors affect the decision to
purchase the different brands of milk. The study discussed several factors that affect the
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consumer behavior and carried out the research using monkey survey to understand
the consumer purchasing behavior for fast moving goods-milk. The factors identified
include consumer attitudes, groups and individual influences, cultural and social factors,
family and lifestyle, motivation and consumer perception. The respondents agreed that
they usually obtain information from friends and family before buying milk brands in the
market but doesn’t dictate their buying decision on new milk brands in the market. The
research also concluded that motivational levels of the respondents vary about their
consumption levels. The findings of this research found out the values, beliefs about
brands, pricing, and personal values to affect motives of consumers to buy milk brands
in the market. The respondents felt that milk is an essential commodity that is frequently
consumed and therefore the motives for purchasing is inevitable.
The research concludes that product consumption of faulty issues or previous bad
experience tends to affect the consumer behavior of future purchase. Previous bad
experience with milk products can significantly affect consumption. The research also
concludes that advertising technique affects consumers buying decisions. Furthermore,
consumers pay attention to the packaging colors, the smell of the product and the taste
which eventual affect their consumption patterns.
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Charles W. Lamb, J. F. H. C. M., 2011. Marketing. 11th ed. USA: Adventure work press.
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Frederick J Gravetter, L.-A. B. F., 2017. Research Methods for the Behavioral
Sciences. 6th ed. chicago: Cengage learning.
Gordon Foxall, R. E. G. S. B., 2008. Consumer Psychology for Marketing. 2nd ed. USA:
Pearson Education.
Kothari, C., 2007. Research Methodology Methods and Techniques. 2nd ed. India:
Prentice Hall.
Nairne, J. S., 2014. Psychology. 6th ed. Australia: south west-Cengage learning.
Perrone, H., 2016. Consumers' quality choices during demand peaks. International
Journal of Industrial Organization, Volume 44, pp. 154-162.
Philip T. Kotler, G. A., 2014. Principles of Marketing. s.l.:Pearson .
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Sally Dibb, D. L. S., 2013. Marketing Essentials. 2nd ed. Chicago: Pearson Education.
Shukla, P., 2008. Essentials of marketing research. India: Ventus publishing Vps.
Wayne D. Hoyer, D. J. M. R. P., 2018. Consumer behaviour 7th Edition. Australia:
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William G. Zikmund, B. J. B., 2010. Essential of Marketing. USA: South western
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Wright, R., 2006. Consumer Behaviour. 1st ed. India: Prentice Hall.
APPENDICES
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