Consumer Behaviour in B2B and B2C Markets

Running head: CONSUMER BEHAVIOUR
CONSUMER BEHAVIOUR
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Part: B2B target niche market
Ace Yewt is an electric vehicle manufacturing company of Australia, which aims at
minimizing the energy consumption and environmental impact from the operation and usage
activities of the vehicles. In this section, the discussion will highlight the consumer behaviour
of the chosen target market. The chosen B2B target market for the electric vehicle
manufacturing company of Australia is Industry segment. The industry buyers can be
regarded as the target niche market of Ace Yewt as the company specializes in offering
transportation services to home nurses, aged-care service providers and Pathology
transportation requirements (health care industry), caterers or catering businesses (food
industry), small and medium business and governmental agencies. B2B segment is
considered to be complex in regards with the buying process due to the availability of
numerous touch points. However, the understanding of the complexity of target market will
allow the business to construct the marketing strategies on the base of flexibility to respond to
each of the touch points. This sector will stress on evaluating the consumer behaviour of the
chosen target market for Ace Yewt by using different consumer behaviour theories and
models.
Buyer decision making models and processes
The buyer decision making process includes the steps like problem recognition, information
search, Assessment of alternatives, Trail and selection, purchase decision and post purchase
behaviour (Baker and Saren 2016). In accordance with the industry segment of B2B business,
the first step of problem recognition will comprise of the step of developing understanding
regarding transportation problem. The transportation need of the businesses operating in
health care industry, food sector and governmental institution will mark the first targeting
aspect of the electric vehicle-manufacturing company, Ace Yewt. The second step, which
will proceed the process of buyer decision making is information search, which majorly will
be concentrated on the information availability in the public domain regarding industry based

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vehicle companies (Martinez-Legaz and Soubeyran 2016). The following steps of evaluating
the alternatives will clearly determine the selection priorities of the industry buyers. The
priorities may be based on the factor of services associated with the vehicle company, on the
basis of environmental impact (environmental and sustainability policies of businesses) and
pricing structures (Hamilton et al. 2019). The next step will deduce the most significant
priority with the association of quality and service flexibility. The following step will execute
the selection decision. The last step reflects the post-purchase decision, which will be based
on the service offerings of the electric vehicle-manufacturing company, Ace Yewt. The buyer
decision process will reflect a comprehensive picture of the consumer priority and deciding
patterns of the industry buyers. According to the strategic importance of the industry buyers,
the consumer priority will be equipped through, ‘high strategy and low spend’ approach. The
‘high strategy’ factors reflects the feature of irreplaceability, based on the priority of using an
energy efficient vehicle, which can in return decrease the overall transportation cost due to
the ‘minimum or zero’ utilization of non-renewable energy sources (ace-ev.com.au 2019).
The priority of sustainable operational process and product offering also acts as a contributor
in the process of ‘high strategy approach’. The low spend approach depicts the concept of
lower energy usage, decreasing the overall cost of transportation. Business buyers are majorly
rational buyers, rationality can develop the understanding of consumer behaviour of the
consumers (Milfont and Markowitz 2016). The identification of the priorities and needs by
the electric vehicle manufacturing company, through the decision making process will
contribute towards the understanding of rational motivation of the health care industry, food
sector and governmental institutions. Although, B2B buyers are majorly concentrated on the
rational motivational factors, but emotional motivation also act as an influencer for shaping
consumer behaviour. The levels of consumer buying decision can be determined by the
specific industry needs. In this case, the level of consumer buying behaviour will be Limited
Problem Solving criteria, as the industry buyers will undergo a broad search of the product

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based on the transportation needs (Hall 2017). The consumer behaviour of the transportation
needs can be influenced by creating a competitive advantage of the product and service
offering for the electric vehicle-manufacturing company. The model, which best suits the
chosen target market for Ace Yewt is Economic model or view. This model is known for
reflecting the rationale of buying decision. This model depicts that the consumers are rational
and evaluate options in regards with the transportation needs of the consumer. As per this
model, consumers assess the advantages and disadvantages of a product or/and service
offering.
Customer motivation
In accordance with the Maslow Theory of motivation, the motivational needs of industry
buyers can be divided in various segments. Understanding the priority of the identified needs
and the motivating factors associated with selecting a product or service offering can
contribute majorly to the understanding of consumer behaviour for B2B market (Aagerup and