Consumer Behavior Theories: A Case Report on Telstra's Customer Attitudes and Switching Behaviors

Running Head: CONSUMER BEAVIOUR THEORIES
Consumer Behavior Theories
Name of the Student
Name of the University
Author Note

1CONSUMER BEHAVIOUR THEORIES
Table of Contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................2
Overview of the Company.......................................................................................................2
What is consumer decision-making.........................................................................................3
The target market of Telstra....................................................................................................4
The social factors affecting the decision making of the customers.........................................4
The environmental factors affecting the decision making of the product...............................5
Influence of the individual factors on customers’ buying decisions.......................................7
Influence of the individual difference factors on the consumer behavior...............................9
Recommendation...........................................................................................................................10
Conclusion.....................................................................................................................................12
Reference.......................................................................................................................................13

2CONSUMER BEHAVIOUR THEORIES
Introduction
The purpose of this report is to revise and consolidate the assessments 1-3 into a single
written CB case report. It will be based on the feedback received in the previous assessments. As
I have been asked by the Chief Marketing Officer to evaluate the customer attitudes and
switching behaviors having used the consumer behavior theories and research. Hence the report
will provide an innovative sustainable marketing solution for the Telstra company. It will be
designed to benefit both the customers and the providers. It will begin with the social factors and
their influence on the consumer decision –making and brand switching. It will also talk about the
environmental factors, the individual differences and recommend for improvement and conclude
finally with an overview.
Discussion
Overview of the Company
Telstra is a famous technology and telecommunication company which offers a full range
of services related to communication and competes in the entire telecommunication markets. In
the entire country of Australia, the company provides almost 17.7 million retail mobile services
and almost 4.9 million retail fixed voice services along with around 3.6 million retail fixed
broadband services. The company is dedicated to the service of people and believes that the more
connected people are with each other, the more opportunities they receive. Hence, their aim is to
create an amazingly connected future, every-day. They establish technology and the content
solutions which are easy to use and simple along with including the fastest and largest mobile
network around Australia. The company strives to serve and understand their potential customers
more than anyone else having offered a digital content along with a digital connection. The brand

3CONSUMER BEHAVIOUR THEORIES
is present in almost 20 countries. Since it holds the position of being the leading
telecommunication and information service company, it is also proud to help the customers in
order to improve the way they are connected with the rest of the world. The company deals in the
telecommunication industry and was founded in the year 1975. The headquarters of the company
is located in Melbourne, Australia. Andy Pen is the CEO of the company and the company’s
major products are Fixed line, internet, data, mobile telephony, network services, pay TV and
others. As per the reports of 2017, the total revenues of the company are $ 42.1 billion. The
company employs 32,000 people and it has 150 subsidiaries (Telstra - Our company 2018).
However, there is news that the company has been struggling with the market value which
declined substantially.
What is consumer decision-making
The consumer behavior must be understood by every industry in order to secure the long
–term success and the survival of the company. The consumer decision-making is the most
important factor for the marketing management and the marketing concept (Alshurideh, 2016).
The marketers are suggested to hold the ability to determine the requirements and demands of
the target market and tailor the product or service according to that. It can help the company to
gain the competitive advantage over the market rivals (Bradford et al., 2017). A cognitive model
in this respect suggests that the individuals should focus on the process by which they can extract
as much information as possible. In this cognitive view, the consumers look around for the
information of selected brands which can fulfill all of the requirements. It can be said that the
consumer decision making process is determined by the quality of the service in the service
industries like the telecommunication industries (Chang et al., 2015). In the Australian context,
the important factors that decide the buying decisions of the customers are the data speed, service