Solved Consumer Behaviour and Insight - Assignment

Consumer Behaviour
and Insight

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Define the stages of the consumer decision making journey for a given product/service.3
P2 Describe why it is important for marketers to map a path to purchase and understand
consumer decision making.....................................................................................................4
TASK 2............................................................................................................................................7
P3. Show a comparison of the key differences of the decision-making process in the context
of B2C and B2B.....................................................................................................................7
P4.Evaluate the different approaches to market research and methods of research used for
understanding the decision-making process in both B2C and B2B contexts.........................9
TASK 3..........................................................................................................................................10
P5. Evaluate how marketers can influence the different stages of the decision-making process
of B2C and B2B...................................................................................................................10
CONCLUSION..............................................................................................................................12
REFERENCES .............................................................................................................................13

INTRODUCTION
Consumer behaviour is an essential part of an organisation as it focus on studying that
how individual customers, groups or the association discard the ideas, goods and services in
order to satisfy their needs and desires. This study helps the marketers to determine that what is
the reasons behind purchasing a particular products and services which will assist them to
produce those products which are highly needed in the marketplace. In this current report the
chosen products of the Ford automotive industry that is Mustang cars. As the automotive
industry is a fast growing business as it deals in designing and manufacturing of the cars. This
file will cover about the understanding and knowledge of the consumer decision making for a
specific product and the appropriate theories and models which have great impact on the
decision-making process. Along with this, this study also focus on defining the concepts of B2B
and B2C business and how the marketers can influence the decision-making of these concepts.
TASK 1
P1 Define the stages of the consumer decision making journey for a given product/service.
Consumer is the most important part of any business as the success and sustainability of
the business depends on it. Consumers decision-making process is related to analyse the
customers needs and the how these needs and wants can be satisfied within a limited period of
time(Brodie and et. al., 2013). This is a very complex procedure as it consist all the steps which
starts from recognition to post-purchase activities. As in this report customers have give their
focus on purchasing the cars due to this customer will go from various stages which are define
underneath:
Consumer decision making stages are as follows :
Pre-Purchase: For making a decision regarding to the purchase of a product a customers
will undergo from various steps which are as follow:
 Need recognition: This is the first stage in which customers will examine that they have
requirement of the product or not. It helps the customers when they feel that they are
missing out something which needs to considered in their decision. It is very essential for
the customers while making the decision regarding the purchase of a car as in this aspect
customer have to invest a huge amount of money.

 Searching and Gathering information: This is the second step in which customers
decision remain in the fluctuation position as because they will focus on gathering more
and more information related to the products so that the best decision can be made up.
For collecting the information regarding to chose a most appropriate car customers can
use various mediums like promotional campaigns, newspapers, magazines, social media
and others(Dessart and et. al., 2015). By using these method they can check the reviews
and feedbacks of the customers which will help them to ascertain the quality and services
of the car.
 Evaluating the alternative: In this step customers will focus on evaluating the different
alternatives which are available in the marketplace. This evaluation will help them to
select a most suitable option which have the capacity to satisfy the needs and demand of
them. Also, in this stage the customers will able to gain higher satisfaction by choosing a
car at lower price with great design and excellent services.
 Purchase: This stage comes after completion of above all steps as this refers to the mind
set of the customers related to the purchase of the product. These steps related to
determine the needs, research completion and decision regarding to the product. Here the
customers will finally determined that what they want to purchase and form where they
want to purchase so that their needs and wants will be fulfilled.
Receive: After purchasing the Mustang car customers will take advantage of its quality
and services.
Post purchase evaluation: This is the final stage which refers to analyse the as that the
products which has been purchased by the customers is able to provide satisfaction and value to
the customers or not. If mustang car will be able to meet the expectations of the customers then
the business of Ford will be able to attain higher profitability and growth in the marketplace.
Thus, all these stages are helpful ion determining the best product for them which have
the capacity to satisfy the needs of them(Dolan and et. al., 2012).
P2 Describe why it is important for marketers to map a path to purchase and understand
consumer decision making.
Consumers is an integral part of the organization as the success and growth of the
business depends on the customers. In order to getting success in the business then it is essential
for the marketers to map and understand the consumers decision-making process and map the

path to purchase as it is directly related to the profit of the business. As the customers is the vital
part of the marketing environment so it is essential for the business to recognize the reasons
which have greatly influences consumers and the nature of the decision making process of them.
There are defined four factors which helps the business in identifying the consumers behavior
and the decision making journey:
Pre-purchase : This is foremost element as in this customers will focus on taking
decision regarding that where there is need to buy a product so that an effective decision can be
made up by collecting all the informative data or information related to the products(Fulgoni,
2014).
Purchase: This second phase the customers will make decision regarding to the purchase
the products after analyzing all the aspects of the products that how much the products will give
them the satisfaction and the value to them. In this stage, the marketers will give their major
focus on marketing the products so that they will be able to attract a range of customers in their
products.
Receive: The customers here finally get the products in their hands and take advantage of
it. At this stage customers automatically become loyal towards the company's products if they
will satisfy from the quality of the product.
Post purchase: In this step customers will identify that the products which they have
purchased is able to meet from their expectations or not if not then they will decide that it will
not be purchased any more in the future.
All these above mentioned stages provides the detailed information about that a customers will
purchase a product only when the product is undergone form all these stages. As because by
considering all the stages a marketer will be able to meet the requirements of the customers.
Marketers can also attain the support through this path which have been mentioned beneath:
 This path will help the marketers to know about the needs and wants of the customers
which enables them to produce the products accordingly so that they will be able to meet
the expectations of the consumers easily(Erevelles, Fukawa and Swayne, 2016).
 It also help the marketers in evaluating the customers and market segments in the small
groups as per the similarity of their wants and expectations so that they can control their
operations cost and meet the requirements of the consumers.

 This will also support the marketers to utilize the proper tools and techniques to analyses
the behavior of the customers so that the products can be produced accordingly and
higher success can be attained easily.
Evaluate how marketers are responding to the decision-making process with the help of models
Here are defined an effective model of assessing the consumer behavior which helps the
marketers to understand the actions of the consumers and the various factors which can impact
on the decision making process related to of the consumers(Gao and Bai, 2014).
Economic view or model: This model pertains that while purchasing a product
customers stay rational as at this time they are focusing on evaluating each and every alternative
which are available in the marketplace. While choosing the most relevant option or taking the
decision regarding to select a suitable option customers give their focus on the cost and benefit of
the product. This will also help the marketers to understand that customers will stay loyal
towards the products only when they will receiver the higher quality products at reasonable
price.
Cognitive view: This will assist the marketers that customers will take the decision
regarding to purchase the products according to their interest and ascertaining the market
demand of the products. Also, by using this model marketers can also analyze that customers is
aware for collecting the information related to the product so it is essential for them to make an
effective brand value in the marketplace in order to attain higher success.
Passive view: This step of the model snatch the attention of marketers in using the
various tools and techniques like promotional activities and effectively advertisement so that the
interest of the customers can be attained towards the products(Ha and Janda, 2012).
Emotional view: This step of the model depicts that a customer is more emotional driven
rather than the practical. Due to which they give their more focus on purchasing those products
form which they are emotionally attached without considering that they have the need of that
products or not.
Hence, it can be stated that the above explained model will help the marketer in making
an effective decision regarding to produce an effective products so that the customers demand
and needs can be accomplished.

TASK 2
P3. Show a comparison of the key differences of the decision-making process in the context of
B2C and B2B
B2B and B2C, these both are wider concept of the marketing which contains various
activities within which helps the business in getting higher success in the marketplace. In this
aspect B2B is that business condition when an association make its commercial transactions with
another business form. Whereas, B2C is a concept in which business is offering various products
and services to the customers.
Difference between B2B and B2C model of the marketing is mentioned below:
Basis B2B B2C
Buying decision In this formation the decision
related to purchase the product
of another association after
considering various factors like
its price, brand value of the
business and demand of the
product in the marketplace so
that the business can operate all
the activities easily with great
efficiency and succession.
In this aspect the decision is
formulated in a prevailing
manner as the products of this
business association is
directly delivered to the
customers which helps the
business to take an effective
and speedy decision.
Decision related to the
Marketing strategy
At this level the business will
give their major focus on
marketing their mustang car to
other associations by using their
personal contacts.
As the products at this level is
directly delivered to the
customers due to which the
main focus of the company on
offering higher quality of
products and using different
advertising methods like
online marketing, social
media and other.
Decision related to market The business of B2B is concern This business is operating this

size about small markets rather than
the large markets. For this, they
are focussing on identifying the
similar requirements of the
customers so that they can
easily fulfil their targets.
business activities to earn
higher level of profit due to
which they are more concern
for covering a huge
marketplace within a short
period of time.
Decision making process in B2B and B2C:
The decision making process in the both formation like B2B and B2C is different. As the
B2B model is more complex rather than the B2C model as while taking the decision it include
various employees within in which all employees are specialised in their own tract. Whereas in
the marketing model of B2C the decision-making process can be done with the help of one or
more than one individual(Joy and Li, 2012). Here are described several points which will help
the marketers to better understand about this concept:
 The decision-making process of B2B is more convoluted as compare to the B2C as
because in the decision making process of B2C manager consider the questionnaire
which is more beneficial as it is lower cost and less time approach of market research.
And in the B2B managers utilise the secondary approach which is not able to give
effectively results.
 Other, the decision making process B2B is more easy as because it takes decisions by
considering some of the people from the marketplace like 20 respondents. Whereas, the
B2C contains higher time in taking decision as because it consider various respondents
due to which their decision might delay sometimes.
 The business will form their decision after interviewing with their customer asking
several questions such as :
1. Are the consumers aware of the new Mustang Car?
2. Which factors inspire them to purchase the car?
3. What should be the reasonable price of the Car that customer is ready to pay?
These factors helps both the business in forming their decision.
Example:

Automotive industry which deals in B2B business form is Ford. In the business of B2B the
decision making process is more complex as while taking decision regarding the business the
business have to consider its another business with whom the firm is trading in the market as
each of the business have their own criteria decided to deal with other firm some of these may
focus on the quality, some may on the raw materials prices and some may on the services
rendered by other business association. Whereas the Business which is Operating their operation
in B2C that is apple always forms decision taking their customers choices tastes and preferences,
their purchasing power etc. so the decision making process within the Apple that is B2C
company are always for the benefits of their potential customers(Lazell, 2016).
P4.Evaluate the different approaches to market research and methods of research used for
understanding the decision-making process in both B2C and B2B contexts.
There are several approaches or method of the market research which is helpful for the
business to sustain their position for a longer period of time. These both markets B2B and B2C
are different from each other in every way so the research from these aspects are also differ
which are described below:
Market Research approach in B2B:
The companies which are included in the B2B category are using the secondary research
approach in which the data is already used by the another researcher. In order to formulate
effective decisions the company will gather the information from different sources:
Public records: The business which is related to the cars will focus on collecting the
information from the public record of other business associations so that the decision regarding
to trade with another businesses effectively.
Government and non-government agencies: This is another resource of gather the
secondary information which enables the B2B business to collect all the informative information
or data through the government and non-government agencies(Lockshin and Corsi, 2012).
Some advantage to the B2B market by using secondary research are:
 With the help of secondary data business does not have to waste their much time and cost
in collecting the information. .
 It provide most effective data which is easily accessible.

In this the business will use the public records as because it provide more relevant
information to the business about the customers demand and needs so that the business will be
able to meet the requirements of the customers.
Market research approach in B2C:
Companies which are comes under the B2C category are focusing on collecting their data
with the help of primary research method. This method is most useful for them as it helps them
to collect fresh data about customers demands and expectation from the company. Company can
use various resources to collect the information which are as follow:
Questionnaire: This is the most relevant method in which business will focus on
collecting the data by asking the questions related to the products pricing, design, quality,
features so that they will be able to produce accordingly(Moser, 2015).
Observation method : In this method, the company will hire a observer who will be able
to continuously update them about the market and customers situations so that they will be able
to come up with the best decisions.
Some advantage to B2C by the using Primary research are :
 The collected data from this method is first hand data and is more relevant data.
 This method is very significant as it helpful for the business in finding best solution for
their problems.
Hence, business will adopt the questionnaire for collect the information regarding to the
determine that which features, price and value their customer wants in the new car.
TASK 3
P5. Evaluate how marketers can influence the different stages of the decision-making process of
B2C and B2B
Marketers plays a very crucial role in the business as they are performing all those
activities which are related to the buying behavior of customers. Here are defined the factors by
which marketers can impact on the decision-making of B2B and B2C:
Perception: Marketers need to be focus on establish a positive perception among the
customers for their products. As customer always purchase those products which has the capacity
to satisfy their needs and wants. For choosing an appropriate product they always consider the
information which they have received.

Marketing campaigns: In order to attract a range of customers marketers needs to adopt
effective advertising medium so that they will be able lead the positive impact on the customers
mind.
Economic conditions: This is an important factor which great influence the customers
buying behavior so in this aspect marketers needs to decide an effective price of their products.
They should decide that price which is reasonable for the customers and business as well.
Hence, it can be stated all these factors plays a crucial role in effecting the buying
behavior of customers.
Behavioral theory: This theory also reflects the factors which have great impact on the
buying behavior of the consumers. It is very helpful for the business as by considering this
theory they can identify about the interaction of the customers with environment and the
products which are available in the marketplace so that the business will be able to identify about
the customers needs.
Cognitive learning: This theory is very helpful for the business as it helps the marketers
to influence the customers decision making process as with the help of this model they can
determine the mindset and mentality of the consumers as well as association. This will enable the
business to produce lead the direct impact on the customers mind so that it will directly impact
on the customers decision regarding to the product choice(Paul and Rana, 2012).

CONCLUSION
From the above file, it can be concluded that the customers behaviour plays a vital role in
the business as it is represent all those actions of the consumers which they conduct while
purchasing the products. The different stage of the consumer decision-making process has been
described in this file. Along with this various marketing models and research approaches which
are linked to these models have been defined. At last, the several factors which have direct
impact on the buying behaviour of the consumers have also been considered.

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