Consumer Behaviour: Stages and Factors

CONSUMER OF BEHAVIOUR
INSIGHT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Evaluating five different stages of consumer decision making process and the factors
influencing the process. ..............................................................................................................1
Evaluation of black box model and how it influences consumer decision making ....................3
Consumer decision making process for one product or service..................................................3
SECTION 2......................................................................................................................................4
Similarities and differences in decision- making process of B2C and B2B................................4
Various market research methods applied for B2C and B2B......................................................5
Justification that market research influence stages of decision- making process........................5
SECTION 3......................................................................................................................................6
Evaluation of factors influencing decision making process........................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Consumer behaviour refers to the study about the individual consumers, groups or the
organisation how they choose, buy, use & dispose the ideas, goods or services for satisfying their
needs and wants. Its is concerned with actions of consumers in market and the motive behind
those actions. It is essential for the organisations to understand the needs and wants of the
consumers for being successful in the market. Companies are require to study the behaviour
about what can drive the actions of consumers towards the particular product or service. This is
done by market research and experiments in the market.
For being successful UNILEVER has to either satisfy the needs and demands of
customers in the best possible ways or to provide something entirely new or unique that adds
value their personality (Piscicelli, Cooper and Fisher, 2015). The present report will cover the
stages of consumer decision making process of and the factors the influencing these decision. It
will be covering the black box model of consumer behaviour and it influence over the marketing
decisions. Study will also be providing the understanding similarities and differences in the
decision making process and marketing research methods that could be applied over business to
consumer concepts and for business to business concept. It will reveal about the consumers
behaviour and its importance for the business.
TASK 1
Evaluating five different stages of consumer decision making process and the factors influencing
the process.
Goal of every marketer is of getting inside head of consumers. Unilever for figuring out
how consumers will be making decisions and it could make decisions for purchasing the
products or services. There are five steps in consumer decision making process recognizing
needs, search process, comparison, products or services selection and evaluating decisions.
Problem Recognition
Decision starts with some kind of problems consumers develops needs or wants which
they require to be satisfied. When consumers find something to be missing out and requires that
to be satisfied for getting back to normal. Unilever determines when these needs are developed
by the target consumers as that is ideal time for advertising about the relevant product. It may
face difficulty in recognising the actual problems that may affect their product solutions (Lim,
Soutar and Lee, 2016).
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Search Process
Unilever makes market research for identifying the product or service that could
effectively satisfy needs and wants of customers. Company uses market research through various
sources like consumer trends in market, interactions with human beings that give the company
actual requirements of the people. Previous experiences are also considered by the company for
knowing the responses in past experiments (Witt, 2016).
Evaluating Alternatives
When the consumers become aware about what is required for satisfying their needs and
wants they begin to search for the best alternative that is available with the best deal. Most
influencing factor driving the decision of consumers is price and nowadays reviews are also
influencing the decisions of consumers. Customers choose alternatives that best satisfy their
needs at reasonable prices.
Selection Stage
After carrying out all the procedures for decision making customers actually decide about
what they will be purchasing and from where. Consumers take the risk of choosing the products
and become definite about the product they will be purchasing. This is influenced by the
previous experiences of the product. Advertising the product effectively may influence the
buying decision of consumers giving a try to new product.
Evaluation Stage
After the purchase Unilever also gets the reviews and feedback of customers regarding
the product. It identifies whether the need of consumers is satisfied or not and whether product is
up-to the required expectations of the consumers or not. It helps the company in modifying the
product or services it is delivering to the customers.
Factor influencing consumer decision making
Psychological factor: In this consumers are motivated by company through various
advertisement and brand promotion, so that they can increase the sales of their products and
services. Also in this consumers buy the goods and services as they are based on their belief,
values and thoughts. This also increase liking of the products in mind of customers (Claiborne
and Sirgy, 2015).
Social factor: In this the purchase decision making of consumer also depends on the income
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