Consumer Decision Making Process and Factors

The assignment discusses the consumer decision-making process, which involves understanding the needs and expectations of consumers. It highlights five levels of consumer decision-making: extensive problem-solving, limited problem-solving, routine response behavior, and two other levels. Additionally, it identifies six factors that influence decision-making, including personal factors, purchasing power, cultural factors, and others. This information is essential for businesses to develop effective marketing strategies and provide suitable products to consumers.

Consumer Behaviour
and Insight

INTRODUCTION
Consumer behaviour and insight is the process which describes the interpretations of the
trends that changes from time to time in the human demeanour with the motive of accelerative
the quality of the product and services available in the market for the use of costumers. It is
considered as to be the non obvious interpretation of the consumer demeanour which if changes
will definitely result in creating mutual benefit for the organisation and for customers as well.
The present document is supported to the midget business administration and to demonstrate the
requirements effectively Unicorn Grocery is selected which is a grocery store in UK. The
organisations works with the assistance of flat administration artifact to run their business
operations effectively. The report will explicate the determination devising procedure and
various models of the decision making process. It will also explain the flat and components that
determinant the determination devising. In last, the mapping out of determination devising
procedure will be explained in context of the organisation and further it will involve the
importance of mapping.
Consumer decision making
User determination devising is the procedure that is adopted by the consumers to
formulate a effective decision while choosing appropriate products or services for their use in the
marketplace. The user conclusion devising depends on the needs and requirements of the
different customers. This process is considered as very important part as it helps a customer in
buying suitable products for their consumption from the wider range of alternative in the
marketplace. This process also changes on the basis of different opinions of people fro a specific
commodity or service in the marketplace (Bereznoy, 2019).
Models of consumer decision making
The user conclusion devising exist of some important models which are characterized as follows:
 Economic Model: This model in the user decision-making describes the foundation on
which a assumption is made that a consumer is a coherent respective and is meant to take
coherent judgement. This is made on the basis of the general behaviour of the consumer
which is to evaluate and analyse the benefits of the products and services before making

purchases in the market. The economic model is considered to be very unrealistic because
people are constricted with the skills and present value that may not let them to be
rational all the time while constructing decision-making.
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 Passive Model: The passive model defines the decision-making by the consumers on the
terms of promotional activities carried out by the business organisation and the consumer
is required to respond for a product or services on the basis of advertisements and the
offers proposed by the marketing teams. It is also considered to be unrealistic as users
examine the given information in the promotional activities before making purchase
decision (Calder, Isaac and Malthouse, 2016).
 Cognitive Model: The cognitive framework is the best model of user decision-making
because it describes the decision-making procedure on the fundament of the needs and
requirements of the consumers and not because of any rational thinking or on the
foundation of promotional activity conducted in the marketplace.
 Emotional Model: This hypothesis leads to the supposition that the devour's decision-
making is purely commenced on the basis of their emotional perspective towards a
product or service. It defines the decision-making process on the basis of impulsive
reaction of the consumers when they connect with the product or services immediately.
This impulsive attitude does not allow them to analyse the usefulness of their purchase
and creates a negative or positive impact for the product after the use.
Decision-making process for a specific product or service
The determination devising procedure can be defined as the procedure of devising
selection to buy goods or service with the assistance of conducting proper analysis of collecting
information, evaluating decisions and determining the various secondary existing in the
marketplace. The demeanour of consumers can be known with the assistance of the economical
and scientific discipline factors. The determination devising procedure is considered to be very
convoluted in creation because it commences from the horizontal of determining the needs and
requisite till to the post buy appraisal (Gensler and et. al., 2015). As, the chosen organisation is
the unicorn grocery which is a midget business concern administration of UK that deals in
providing the grocery items in the local market. The user decision-making process consists of
some important steps which are defined as follows:
 Need/ Problem recognition: The decision-making activity commences on the basis of
occurring of a demand or a problem in the mind of the consumer. The consumer
demeanour and perception that changes on the basis of the marketing trends leads the
consumers to believe that they are in shortage of something and it encourages the
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consumers to purchase the required product from the market to accomplish their needs.
For example, a consumer finds a need of buying grocery products for daily livelihood.
 Information search: The decision making process as well depend on the research carried
out by the user to analyse a product or services they are likely to purchase from the
market. To gather this information effectively the consumers take help of personal as well
as commercial sources available in the market to sort a applicable decision making. In
this measure consumer will investigate about the factors like price, quality and
specifications of grocery products presented by the Unicorn Grocery in the market. This
evaluation is done with the assistance of their relatives and friends who have already
utilised the goods of the grocery store or on the basis of commercial adds that the
organisation displays for selling purposes (Hofacker, Malthouse and Sultan, 2016).
 Evaluation of alternatives: After the accumulation of the needed information the user
comes in the need to start analysing the secondary products present in the market and
making comparison with the selected products which helps them in constructing a
impressive decision making. This measure will sort the consumers to assess the grocery
products of the different stores and their prices with the products of the Unicorn Grocery.
 Selection and trial: After performing all the necessary activities here the time arrives for
making a selection of a particular items for trail purposes. In this step a consumer can
purchase the goods from the Unicorn Grocery in little amount or can take the products
for use for a set time period to sort an judgement in context of the upcoming use of the
product in future.
 Purchase decision: This is the step which concludes to the consumer determination for a
particular good that the merchandise will meet the inevitably and postulate of the user in
efficacious mode. The purchase determination devising is concerned with the selection of
the goods, brand name, trader and abstraction of the item to be purchased. In this step the
user will buy the items from the Unicorn Grocery store after deciding the cost, attribute
and dependability of the desired commodities.
 Post-purchase evaluation: This is the last phase of decision making procedure which
consist the assessment of trade good and services after they are purchased by the devour.
This last stage of the process is well-advised to be the most crucial part of the consumer
determination devising procedure as, it has a direct effect on the future judgment
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fashioning of the users. The products of Unicorn Grocery will result in fulfilling the
necessity of the users then the client will become the loyal customer base for the
organisation and will also lead in increasing the reliability of the company in the market.
Importance of mapping a path to purchase and understand consumer decision-making
The mapping a way to buy exist with the different transmission by which the user passes
by during the time of constructing a buying procedure for a specific merchandise or service in
the market. This procedure can be described as journey representation of a individual and the
journey is started with the help of a investigation procedure that is processed before constructing
a determination devising procedure.
For instance:
The consumer is required to build a map for making purchase of the needed grocery
products and the map will consider the following factors generated with the help of research like
need of the product, information related to the business organisation, analysis of the secondary
products and then leading to the formation of final decision of purchasing the required products.
There are several essential steps concerned in mapping a path to purchase which are defined as
follows:
 It help the user in structuring a custom-made occurrence in the judgement fashioning
procedure.
 It also aid in determinant the fault-finding points of the particular commodity for the
clients.
 The course of action to buy help the devour in starring towards the buying of the good
and services in proper way.
User determination devising procedure can be represented as the procedure through
which a user goes during the time of buying the products or services in the marketplace (Zhang
and Benyoucef, 2016). The Unicorn Grocery is required to interpret the needs of consumers in
impressive way to draw in their decision making towards the products and services provided by
the organisation in the market. Some essential points that will help in knowing the consumer
decision-making are explained as follows:
 The actual perceptive of decision making of the consumers will assist the Unicorn
Grocery in intensifying their items sales in market with full effectiveness.
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 Acknowledging the requirements of consumers and their expectations from the
organisation products will assist in encouraging the products of Unicorn Grocery in
market with the support of their customers and increasing their sales by mouth publicity.
Levels of consumer decision-making
The consumer decision-making process leads the costumer in building a effective
decision for purchasing a particular product or service in the market. The level involved in the
consumer decision making are defined as follows:
Extensive Problem Solving: This level helps the consumer in determining the reliability
of the products they are planning to buy and it will fulfil the requirement in proper ways or not.
This level aid the user in constructing a decision towards the needed products and services after
examining the secondary products present in the market.
Limited Problem Solving: This level of limited problem solving assist the users in
executing a generic investigation for the particular product or service that will fulfil the needed
criteria from a chosen group of products in the market by the consumers.
Routine Response Behaviour: In this level the consumer grasp a really low engagement
with the products and the user selects any unspecific item that will satisfy the requisite need of
the consumer at that particular time (Shih and Ke, 2014).
Factors that influence decision-making
The factors that influence the decision making of the consumers depends on the basis of
changing trends of the market and it leads in changing the human behaviour. The factors that has
a impact on the decision-making are defined below:
Personal factors: These components are related with the sexuality, age, demographics,
etc. of consumers. The personal factors influences the decision making of consumer with the
ever-changing trends of the market which has a direct impact on the personal factors of an
individual.
Purchasing power: This component has a very primary role in determine the judgement
of the costumers. The customer analyse their purchasing power before forming decision making
process to buy a particular product or services.
Cultural factors: These components enforces a great influential ability on the consumer
determination devising procedure. The cultural factors are related with the cultural and social
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environmental components. The cultural elements are custom, faith, belief and ethical motive
and determine a user decision making process.
CONCLUSION
As per the above information it can be terminated that to construct a effective buying
decision a consumer is required to construct a effective decision making process that will include
proper analysis of the products and services and their secondary products as well. It can also be
said that the organisation is required to evaluate the inevitably and postulate of the devours to
propose suitable products to the consumers.
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