Buyer Behaviour Assignment Solved

Buyer Behaviour

Table of Contents
INTRODUCTION...........................................................................................................................1
Segmentation, targeting and positioning for the mate 20................................................................1
How the mate 20 satisfies the needs and wants of consumers.........................................................2
Consumer may go through the decision-making process in a purchase of a mobile phone............3
Consumer may be influenced to by the Huawei Mate20:................................................................3
Recommendation for competitors of the mate 20, considering your analysis.................................5
Summary..........................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Buyer behaviour is the study of how a person or a group of purchasers select and analyse
a service as well as product. It attempts to know the decision making process of a buyer while
choosing a service or product out of all the different alternatives available in the marketplace.
There are different factors which play vital role in whole buying process of decision making such
as demographic factors, technological factors, psychological factors, market factors i.e. price,
place, promotion, product etc. Main purpose of this report is to analyse a new mobile phone from
the perspective of a marketer and consumer (Pantano and Priporas, 2016 ). Huawei Mate20 is a
mobile phone which is launch recently. For this, company require to analyse buyer behaviour in
relation to the mate 20. In this report, different points will be covered such as segmentation,
targeting and positioning for the mate 20. Effectiveness of mate20 towards fulfilling needs and
wants of consumer will also included in this report. Influence of Internal and external factor on
consumer decision making will also addressed in this report. At last, recommendation will be
made which is provided to competitors of the mate20, it is also covered in this report.
Segmentation, targeting and positioning for the mate 20
Market segmentation introduces as an effective process of classifying a market of
potential buyers into segments or groups, based on various characteristics. The segments
developed are composed of users who will respond likewise to marketing strategies as well as
who share traits including, similar needs, interests or locations (Gao, Waechter, and Bai, 2015).
According to the recent scenario, mate 20 segmentation, targeting and positioning is required to
analysis the target customer segment for an organisation and to develop services and products
that are attractive to this segment.
Segmentation: It involves dividing population into different groups according to various
characteristics. Segmentation of mate 20 will be divided into different parts such as geographic,
demographic, behavioural and psychographic. Under geographic, segmentation criteria will be
related with region and density. Under demographic, age, gender, life-cycle stage and occupation
is main criteria. In behavioural, personality, user status, degree of loyalty and benefits sought is
major criteria. psychographic factor mainly related with lifestyle and social class of user.
Targeting: It implies selecting particular groups identified as an output of segmentation
to sell products and services. mate 20 targets a segment of customer that want to use
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smartphones and many other technology products or service, but have not high budget to make
such a purchase. Target customer for this product is Males and Females under the age group of
18 to 65. This phone is more suitable for lower, middle and working class people who have
limited budget.
Positioning: It introduces to the selection of 7p's of marketing mix the most appropriate
for the target segment of customers. mate 20 applies mono-segment positioning. They also use
imitative form of positioning by nearly imitating the products or service or market leaders such
as Samsung and Apple (Van Weelden,, Mugge, and Bakker, 2016). The software and electronic
organisation has even attained the nickname “Apple of the East” due to its close imitation of
Apple products and Apple product presentation.
How the mate 20 satisfies the needs and wants of consumers
Huawei Mate 20 is an budget oriented flagship mobile phone which has been launched by
the company. The price of this product is comparatively lesser by £220 than that of its elder
sibling i.e. Huawei Mate 20 Pro. For this product the company have given special consideration
to customer's expectation and tried to fulfil the same in a decent budget. For instance, Mate 20 is
equipped with a battery which can last up to 2 days of normal usage. The performance of this
mobile is further enhanced with Kirin 980 Processor which ensures smooth operations of
gaming, photography and video playback. Considering the current usage of smartphones, it can
be said that these are amongst the two most crucial features which a customers expects and can
be a major turning point in decision making process (Ahmed, Gull, and Rafiq, 2015). The major
section of phone buyers in the country prefer to fulfil their requirement in the budget friendly
manner. Therefore it can be said that this phone is people who wish to avail some premium
feature of Mate 20 Pro and does not wish to pay a whopping £899.99.
Therefore it can be said that this phone carries all the essential features including a
beautiful looking mobile, large screen, extraordinary camera and segment leading battery life.
All these features are sufficient to cater requirement of large section of phone buyers in the
country which have been fulfilled by Huawei in a pocket friendly manner.
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Consumer may go through the decision-making process in a purchase of a
mobile phone
Consumer decision-making process consist of certain steps including, need recognition,
information search, evaluation of alternatives, purchase and post-purchase behaviour (Bilgihan,
Kandampully, and Zhang, 2016). This process is most essential for marketers because they have
to know these phase in order to plan and design their marketing mix properly.
Need recognition: In this stage, marketers analyse the needs of the different consumers
on the basis of their working and the age group in which they falls.
Information search: This is about identification of the information belongs to different
age group of individuals. For ex., Business professionals need phone having huge amount of
space. So, this will help to focus on that category of phones only.
Evaluation of alternatives: This will includes about the focus on the different
alternatives available with organisation. For ex., For business professional the models available
includes mate 20 etc.
Purchase and post-purchase behaviour: This is about providence of the better service to
the customers after purchase of the phone. This will help to build trust and ensure they receive
genuine products.
Consumer may be influenced to by the Huawei Mate20:
Internal Influence
Internal influence of customer to Huawei mate20 may be due to the need of an update or
just a desire to stay updated with the latest gadgets. Lifestyle of a person also plays a vital role in
making such decision. A tech savvy person might not think twice before buying just for sake of a
minor update on the other hand a person who is alien to the tech might think a lot before buying
the latest mate 20.
The huge screen and a good battery backup providing a lot of people a good motivation to buy
the smart device, packed with the latest android of the device will give a lot to the buyers with
right mindset.
Attitude and the mindset of a buyer also play a vital role when it comes to buying a new product.
The attitude of a customer is governed by the reputation of the company and the past experiences
of the customer. Once the attitude of the customer is set it is very difficult to change it. Hence
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careful marketing and advertising to avoid any unwanted exposure should be a priority as only
that over time can result in change in customer’s attitude.
External Influence
There are several external factors that influence an individual in buying or purchasing a product.
These factors include culture, subculture, social class, reference groups, family influences etc.
Some of the external factors that influence individuals to buy Huwaei mate 20 are given below-
Culture- Culture is defined as the taboos, traditions, attitude and values of society in which
an individual lives (San-Martín, Prodanova, and Jiménez, 2015). Cultural influences are high in
communicating messages to people. There are several brands that uses colours, symbols,
languages and message sources which reflect culture. Huwaei Mate20 can be sold by using
cultural advertisements.
Social class- The social class is defined as hierarchical arrangement of society into different
divisions and each division reflects social standard or status. This is an essential determinant of
the buying behaviour of an individual because this affects consumption patterns, media patterns,
lifestyle, and interest of consumers and activities of people. Income also plays an important role
in buying behaviour of a person. Every individual has different aspects regarding product and
brand purchases, interests in pursuit of several leisure time and media consumption patterns of
all people is different. In context of Huwaei Mate20, this phone is made for high class people
(Rangaswamy, 2015). It has a high value in market and it has been guaranteed that this is android
phone is having advanced features and technology.
Reference groups- Reference groups are defined as the group of people that impacts attitude
and behaviour of an individual. A person use such groups for learning beliefs and behaviours,
attitudes and adapt these in daily life. The marketers of Huwaei mate 20 can identify reference
group members by conducting an appropriate research (Iqbal and Lodhi, 2015). This research
may include questions related to involvement level of respondent towards this phone, level of
knowledge, social standard of groups, ability of influencing other people and inclination for
adopting new phones.
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Recommendation for competitors of the mate 20, considering your analysis.
 The Mate 20 is designed to compete with flagship phones of all market compertators
including Samsung, Apple and One Plus. The good built quality and the three back
cameras provide great upside, but like everything there are some downsides.
 First let us start with their 4k full Hd display with could have been much better, the
screen is not nearly not brighter enough and the colours are not up to the mark. The
competitors in this segment offers much better display quality.
 Now coming to the security features, the phone lacks the trendy depth sensing face
unlock feature. Though the phone comes with the face unlock but it is not enough when
we are competing with the best of the best in the market.
 More over the phone is not water resistant, thought it is claimed that it is splash resistant
but no official water resistant rating is available.
 Coming to the selfie camera, the phone lacks a autofocus and the general performance of
both the front and the back camera is average, which is not good enough for the segment
it is competing in. Same goes for the speakers in the phone.
 Moreover with all the new devices, it lacks a screen integrated figure print scanner the
Mate20 still has a classic one on the rear on the phone.
 Leaving these out, Hawai Mate 20 is a great device and with the right marketing and
correct proving can do wonders in the market.
Summary
From the above report, it has been analysed that when a new product is launched in a market
it is very important for the company to do effective market research for estimating the profit this
product will make for the company. It is very important for the company to know and analyse
demands and needs of the customers before launching any product in market. In case of mobile
phones, the first step is to use the STP method i.e. segmenting, targeting and positioning. There
are external as well as internal factors that influence a person to buy a product such as culture,
reference groups, social class, attitude, belief, mindset etc. The companies have to undergo
research for getting better results in marketplace.
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REFERENCES
Books and Journals
Pantano, E. and Priporas, C.V., 2016. The effect of mobile retailing on consumers' purchasing
experiences: A dynamic perspective. Computers in human behavior, 61, pp.548-555.
Gao, L., Waechter, K.A. and Bai, X., 2015. Understanding consumers’ continuance intention
towards mobile purchase: A theoretical framework and empirical study–A case of China.
Computers in Human Behavior, 53, pp.249-262.
Van Weelden, E., Mugge, R. and Bakker, C., 2016. Paving the way towards circular
consumption: exploring consumer acceptance of refurbished mobile phones in the Dutch market.
Journal of Cleaner Production, 113, pp.743-754.
Ahmed, Z., Gull, M. and Rafiq, U., 2015. Factors affecting consumer switching behavior:
Mobile phone market in Manchester-United kingdom. International Journal of Scientific and
Research Publications, 5(7), pp.1-7.
Bilgihan, A., Kandampully, J. and Zhang, T., 2016. Towards a unified customer experience in
online shopping environments: Antecedents and outcomes. International Journal of Quality and
Service Sciences, 8(1), pp.102-119.
San-Martín, S., Prodanova, J. and Jiménez, N., 2015. The impact of age in the generation of
satisfaction and WOM in mobile shopping. Journal of Retailing and Consumer Services, 23,
pp.1-8.
Rangaswamy, E., 2015. A Study on the Critical Success Factors of iPad Focusing on the Buyer
Behaviour and Involvement. Amity Global Business Review, 10.
Iqbal, S. and Lodhi, S., 2015. The impacts of guerrilla marketing on consumers’ buying
behavior: a case of beverage industry of Karachi. The International Journal of Business &
Management, 3(11), pp.120-130.
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