Phases of Customer Decision Making Journey for Coffee Plant Cafe Product
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This study explains the phases of customer decision making journey for Coffee Plant Cafe product. It also discusses the importance of mapping the path to purchase and comprehending customer decision making for marketers.
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Consumer Behaviour and Insight 1
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Table of Contents INTRODUCTION...........................................................................................................................2 LO1..................................................................................................................................................2 P1- Phases of customer decision making journey for Coffee Plant Cafe product..................2 P2- Importance of mapping path to purchase & comprehend customer decision making for marketers................................................................................................................................4 M1- Evaluation base on marketers respond to decision making process...............................5 LO2..................................................................................................................................................5 P3- Compare differences of decision making act in context of B2B and B2C......................5 P4- Approaches and methods of market research & investigation for comprehending decision making act in B2B and B2C context......................................................................................7 M2- Factors influence decision making and purchasing behaviour of buyers.......................8 LO3..................................................................................................................................................9 P5- Ways through which marketers could influence different phases of consumer decision making procedure of business to business and B2C..............................................................9 M3- Critical analysis base on influence of marketers in context of decision making procedure stages......................................................................................................................................9 CONCLUSION..............................................................................................................................10 REFERENCES..............................................................................................................................11 2
INTRODUCTION Consumer behaviour can be described as study of how groups of people and individual customers chose, purchase, utilize and disposes products, services and ideas in order to satisfy their demands and needs. This term can consider as action take by a buyer in marketplace and underlying purpose for those acts. The current assignment will be based on Coffee Plant Cafe, which falls under list of SMEs in the UK. This study will explain phases of customer decision making journey for given services or product. It will define the importance of path mapping to purchase and comprehend customer decision making for marketers. Furthermore, this report will clarify differences of decision making act in context of B2B and B2C. It will justify varied approaches in regard to market investigation and methods of research utilized for comprehending decision making act in both business to business and B2C. This assignment will explain influence of marketers in context of different phases of decision making procedure of B2B & B2C. LO1 P1- Phases of customer decision making journey for Coffee Plant Cafe product Consumer decision making can consider as procedure that is utilized by target market to identify what his or her necessities & needs are, collect key info of goods and services, and find alternatives to chosen items offerings and taking last judgment about a buy (Song and Tso, 2020). This journey or process can be distinguish into key six phases that are mentioned below- Stage 1- Need reorganization- It is the first stage of customer decision making journey where Coffee Plant cafe consumer recognize his or her needs relate to organic coffee and vegan food beverages offer by firm. Before taking judgment in context of product purchase, buyer first recognizes their needs or necessities in life, which is really very essential to know (Shim, Shin and Kwak, 2018). For example, in recent time, due to health issues people are determining needs of food items within his or her life as it help keeping body fit and healthy forever. Stage 2- Data research According to second phase, after recognizing needs consumers drive towards next step where he or she efforts to gather data and key information about needed product or service and that is organic Coffee & vegan food products (Qazzafi, 2019). There are varied sources and techniques accessible in the world, which can customer use to collect data and then take decision 3
to purchase goods or not. It include organizational website, social media pages and family member who have info about recognise needs such as vegan items and organic coffee. Stage 3- Alternative evaluation According to this stage, after identifying needs and collecting data about Coffee Plant Cafe famous organic Coffee and vegan foods products, customers then evaluate and find out alternative options in market (Hamilton and et.al., 2019). Furthermore, in order to take right decision in context of products consumers need to examine and observe all accessible chances and alternatives options, which is actually very essential to do. After trying and finding right goods, consumer could take better and valuable judgment for themselves. Stage 4- Selection and Trail- After keeping set of selection in mind consumer makes first trail of organic Coffee and vegan food items. Target customers of chosen company according to this phase could buy different goods or really utilize items individual for some time to develop a belief and create attitude toward organic Coffee which is good for health. This stage of customer decision making journey assures buyers what he or she needs to purchase and then consider it as trail base. Stage 5- Purchase decision- Accordant to this phase of overall journey, when buyers believe that organic Coffee offer is the best suggestion to their needs, they can make decision to actual buy. It includes taking goods choice, selection Coffee Plant cafe shop and deciding time and amount of buy. After conducting a lot of efforts to gather data and evaluate alternatives finally a buyer reach at final decision in context of purchase exchange of money. Furthermore, it could base on assessment of experiences, advertisement and emotions as well. Stage 6- Post Purchase decision- It is one of the most essential stages of customer decision making journey because it caters valuable info about satisfactory level of target market. At this phase, buyers reassure that his or her choice or selection is appropriate and match actual needs, which is really very essential. For example, consumer by conducting small investigation and communicating with those buyers who has permanent customer of Coffee Plant Cafe obtains full pledge about organic coffee quality and benefits for themselves. 4
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P2- Importance of mapping path to purchase & comprehend customer decision making for marketers Marketersaretheonewhohaveappropriateknowledgeandunderstandingabout marketing and development of advertisement tactics in effective manner. The marketer of Coffee Plant Cafe is accountable for conducting varied techniques and practices at workplace in order to increase profitability and productivity of venture even better than other small medium size businesses. Importance- Mapping path to purchase is one of the most important act of marketer which is really very essential to conduct within chosen cafe because is assist marketing team to tell and understand journey of target market and their experienced with management across all touch point. The overall concept support marketers in order to develop tailored experienced, thereby catering excellent manner of measuring promotion effectiveness (Berman, 2020). For instance, when marketer map path to purchase he or she can understand consumer behaviour in systematic manner. Furthermore, development and creation of map consist of path to buyer purchase is highly essential because of different reasons for example the main reason to develop this concept is that with excellent payback, firm should be enable to deliver better optimized and suitable experience to target market. Path mapping to purchase is essential for marketers to develop as it allow them to produce and offer organic Coffee according to buyer needs and expectations. This concept permit marketer to understand overall expectations of target market in context of coffee and vegan food items in systematic and effective manner (Kooli and et.al., 2019). It benefits company in term of increasing customer base and gaining attention of new buyers and retain existing one for longer period of time. It is a key technique which visualizes experience of interacting with firm from buyer point of view. Map path to purchase is also important for marketers because it forces them to consider at how coffee lovers really experience firm versus how management think they do. Along with the importance of mapping path to purchase, understanding consumer’s decision making process is also essential for marketers because it help them to produce and promote products of Coffee Plant Cafe in influencing manner. By comprehending overall process in effective manner, marketers could attract potential buyer by reaching at each step of 5
this concept which is easy and beneficial too. It can be analysed that understanding of this term is important because it consider as key to determining marketing opportunities & challenges as well. Comprehending customer decision making act allow marketers to align promotion attempts with phase buyer undertake to chose what he or she should buy. Through this procedure they can support people feel excellent and experience good things before and after purchase of organic coffee and vegan items (Lynch and Barnes, 2020). By understanding overall concept marketers could attract and retain existing target market for longer which in return increase profitability and generate revenues even better. It assist marketer of chosen SME to comprehend what makes their customers to purchase its products or services. It permit them to identify what people like the most and avoid to include in Coffee. The entire process could done in systematic manner when marketer can reach at all six stages of consumer decision making which is actually very essential and beneficial as well in different terms for example it help to influence buyer and gain his or her attention towards organic coffee offer by Coffee Plant Cafe while operate its small venture in the United Kingdom. All phases of above term could definitely guide them to communicate to buyer. M1- Evaluation base on marketers respond to decision making process Coffee Plant cafe is small venture company who has operated its business with few people who are able to serve organic coffee to potential buyers. The marketer of firm effectively responding to overall decision making procedure of consumer by reach at each phase defines through EBK model. For example, need recognition is the first step of chosen concept where marketer can respond by providing all information to customer via developing official website where info about organic coffee and vegan items has been mentioned earlier. They can respond information search as second step through similar one. LO2 P3- Compare differences of decision making act in context of B2B and B2C Business to consumer (B2C) term refers to direct sales from a company to a specific group of buyer. It is a form of transaction where a venture directly sells its goods and services to consumers. Most organizations that sell directly to target market could refer to as B2C firms. Business to business (B2B) can be defined as act of transaction between two companies, such as one including a product manufactures and a retailer or wholesaler who sell products and services to people who are interested in purchase. 6
Differences- Decision making process of consumers in context of business to business B2C is quite different. For example, in business to customers, buyer can takes judgement and select product by directly communicating and coordinating directly to chosen, in regard to take information about its organic coffee and services (Zhang and Du, 2020). People can gather important information without conducting hard attempt with this term as it allow them to take decision after analysing everything without communicating with any mediator. While in business to business term, customers could not be able to gather data about product in which he or she is interested as it limited their research because goods could sell via company to company. There are key elements and basis are available that can be used to define differences between B2B and B2C concepts. For example, the market size of business to customers is much biggest than other term as its market areas is rely on goods, while business to business concept market size is much smaller as it restrict firms in context of communicating and interacting to target market, which is really essential to do. More differences between both terms can define via other element and that is consumer relation. For instance, business to business concentrate on developing personal connection that drive its sales and profits margin even better and for longer period of time. It gives a lot of benefits to Coffee Plant cafe, it also provide chance to prove what type of venture ethics, values and morals firm keep close to its heart (Rudawska, 2019). This capability to connect and communicate with target consumers permit company to separate its venture and products from rivals as well as develop its brand. While, B2C focus is quite different from business to business as it only concentrates on quality of services or products which enable them to directly gain attention of buyers and give opportunity to influence them in effective and influencing manner. B2B is different because it connect on shareholder to other one effectively and conduct communication act between both of them, It help to build strong and effective connection between wholesales and products manufacturers which is quite beneficial in several terms like increase sales level and ability to sell items quickly without taking too much time. In context of business to consumer, this act is not possible because companies who follow B2C concept could full focuses on target consumers who are interested in purchase of organic Coffee and vegan food products in form of beverage. 7
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In business to business, decision to purchase goods has commercial purposes so sale needs longer consideration duration, a rational analysis and ongoing assistance by seller, while business to consumer sales is mostly less rational and base on impulse. The overall procedure is shorter in period and individual in judgement making. Decision making in B2B is maintain open communication which is not acceptable in concept of business to consumers P4- Approaches and methods of market research & investigation for comprehending decision making act in B2B and B2C context Market research can define as key procedure of collecting data and examining feasibility of new service or item, furthermore it a process of gathering information about specific thing throughinvestigationconductbymarketingteamdirectwithconsumers(Heinonenand Medberg, 2018). In the world of business, there are different forms and methods of market research available which Coffee Plant Cafe marketer could use to gather info and understand overall concept of decision making relate to business to consumers and B2B. Personal interview- It is one of the most common and useful approach of market research where marketers and marketing teams conduct personal interview with target market to know more about their needs and how to take decision in context of business to consumer form. This method is quite beneficial for company in term of increasing its knowledge and understanding about decision making process and stages relate to buyer (Heath and et.al., 2018). And in form of manufacturing products and developing marketing context that influence buyer to purchase and choose. It can do when skilled and talented workers to chosen department conduct personal interview or interaction with people who give them appropriate data. Telephone- Along with above one, marketer of Coffee Plant Cafe could use this method as well to conduct effective and systematic market investigation as it also helps them to understand who consumer could take decision to purchase product direct from chosen brand or to mediator. For example, marketer can communicate and effective interact to target market via using technology such as smart mobile phones through which he or her conduct effective communication practices as it help them to know how people decide to buy a thing and via which sources they gather data about specific goods. Mail inquiry- 8
The term inquiry means an action of asking for data or information that is useful and beneficial for marketer in term of understanding consumer decision making and influencing buyer to purchase products direct to Coffee Plant Cafe. Marketing team of chosen company can use this approach and technique to gather information about buyer decision making act and how they decide to purchase coffee exchange of fix amount. Via mail, marketer can ask few questions directly to target market which enable to them to know what customer like and prefer. It is one of simples’ forms of market investigation. Hall test- It is a quantitative market investigation method that chosen firm marketer can use when he or she consider it as suitable approach in term of understanding overall concept of consumer decision making. It include inviting people or buyer into a decided location either office place or conferences hall by marketers. It also includes selecting a venue in easily available location where marketer conduct investigation directs to customers. The best thing about hall test is that it gives marketing team opportunity to present respondents with stimuli such as promotions. It allows them to know more about how people chose and select appropriate goods or services for themselves. Focus group discussion- This approach brings together carefully chosen consumers or group of buyer who Coffee Plant Cafe target as market segment. Marketers with this method invite people from similar experience, belief and backgrounds together in order to conduct discussion act about product purchase decision. It is the type of qualitative research where key questions marketing can ask to customers about his or her perception attitudes, opinion, beliefs and preferences. It allow marketer to completely understand overall decision taking procedure of buyer and know more about how people look company services and products. M2- Factors influence decision making and purchasing behaviour of buyers There are different factors or elements are accessible in the business world that could influence and impact decision making of consumers and his or her buying nature either in positive or negative manner. For example, technology advancement is one of the external factors that influence in positively in term of strengthening power of consumers to take decision about purchase organic Coffee of firm by taking information via useful technologies use at home or in the office area. On the other hand, personal factor influence in negative manner in form of 9
restricts people to do not purchase coffee too much as it affect health and blood pressure in human body in some cases. LO3 P5- Ways through which marketers could influence different phases of consumer decision making procedure of business to business and B2C Marketers of Coffee Plant cafe has successfully and effectively influences six differences stages of decision making procedure, they could affect by reaching at each phase and then afterwardimpacteachstageproperlyandexcellently.For instance,whenmarketerscan influence people at first stage where consumers attempt to recognize his or needs, they can by creating web-based and social media page affect behaviour of buyer to take decision to purchase organiccoffeeandveganfooditems.Inabovetwosourcesmarketerscanmentionall information requires to be referenced in deliberate way that purchaser can get effectively and distinguish need of TUI administrations. After that they could influence second phase by embeddings data about services and approaches to gather information. It can mindful individuals about things and impact their psyche to think about it. Furthermore, marketer of chosen company can influence decision making procedure of consumers and its third stage by sharing individual audits of existing explorers or gathering of its customers through site as it offer affirmation to individual about reliability and services quality of firm. Presently with respect to fourth stage, advertiser can impact individuals by giving application framework to individuals whom the person can use to adjust look at in or check time. It can give them more worth added administrations like instalment strategy. Finally marketer can do their job by taking input of target market and return them in form of providing valuable and satisfactory products and services, which is quite beneficial in term of increasing profitability and sales level even better than other small size coffee shops. Marketing team effectively contributes in whole concept by impacting each phase and driving attention of new buyers in successful way. It is conceivable in light of the fact that they reach at each stage for instance, when individuals assemble information about Coffee Plant cafe management and services. Advertiser can impact them by refreshing all information pages, records and locales in setting of offers that firm give to individuals. Moreover, they can impact finally organize by create viable special substance that guarantee every purchaser about accepting quality items and convenience administration. 10
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M3- Critical analysis base on influence of marketers in context of decision making procedure stages From above discussion, through EBK model six key stages of customer decision making process has been discussed where marketers by using effective tools and actions influence each phase in systematic manner. For example, in second stage he or she can support or affect overall process of data collection by developing social media page where consumer can collect info about and take decision to purchase organic coffee from Coffee plant cafe. It defines the influence of buyer decision in positive manner. While without updating pages or sites, marketers would not influence for longer term. CONCLUSION From above analysis, it has been concluded that Coffee Plant Cafee and its marketing team by considering and understanding overall journey of consumer decision making has take effective act which enable them to influence & attract target market towards its organic Coffee. By mapping a path, marketers have totally understood how a customer has take decision to purchase and choose a specific good or service. By summing up above discussion it has been analysed that business to business and B2 customers are quite different from each other as it influence judgment of buyer for purchasing coffee from Coffee Plant Cafe. Furthermore, it has been identified that by using focus group discussion, mail inquiry telephone and hall test approaches of market research, marketers has gained valuable and useful data which he or she has effectively used to collect information about consumers and its preferences as well. It has been determined that by understanding and using key elements marketing team has successfully reach and then influence five phases of customer decision making. 11
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