This study focuses on consumer group behaviour and their influences in the decision-making process. It explores the importance of culture and group dynamics. Recommendations are provided for improving consumer satisfaction.
Contribute Materials
Your contribution can guide someone’s learning journey. Share your
documents today.
Running Head: Consumer Group and Behaviour 0 Coca -cola Consumer Behavior Student name 6/1/2019
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
Decision Making Procedure and Suggestions1 Contents Introduction:...............................................................................................................................2 Influences of the group:.............................................................................................................2 Importance of culture:................................................................................................................3 Group Identifiers and Role of Group Dynamics:.......................................................................3 Group Decision Making Process:...............................................................................................4 Recommendations:.....................................................................................................................5 Conclusion:................................................................................................................................5
Decision Making Procedure and Suggestions2 Introduction: Coca-Cola Company is one of the popular companies which provide non- alcoholic beverages to consumers. It is not only the manufacturer of cold drinks but also does its marketing and retailing. It previously sells only syrup and gives its syrup to various bottlers for selling purpose. It is sold in the market as a medicine as it contains soda and their belief is that soda can cure many diseases of the patients. Its name is derived from its two ingredients that are coca leaves as well as kola nuts. It is formed in the year 1886 but makes the formula in the year 1892. The formula is created by Frank M. Robinson(About Us Coco-Cola History, 2018). It is the largest and popular company which is famous also in the United States. It was succeeded in capturing the interest of customers because of its innovation and creativity. Its advertisement is conducted by various celebrities for its promotion. Company’s mission is to refresh the people, inspiring towards happiness and for creating value to customers. It also makes the product different from the competitors exist in the market. Its vision is to satisfy the needs of society effectively(Mission, Vision & Values, 2018). Consumer Behaviour is a set of behaviour which shows how consumers take a purchase decision. Here, the focus is given on consumer group behaviour and their influences which drive them to take a decision regarding the purchase of the product. Influences of the group: Influences which impact on a group selected basically are stated as follows: i.Geographical concentration: It focuses on the particularly middle and urban class segment. ii.Gender: It makes its product for both segment females and men(Noel, 2017). iii.Family: It satisfies the needs of families by providing its soft drink in various sizes from small 500 ml to big 2L so to satisfy them appropriately. iv.Age group: It gives preference to the youth population in which age group ranges from 15-25 years although it makes a product for everyone but particularly attention on them.
Decision Making Procedure and Suggestions3 v.Lifestyle: Each member of the group lives in different lifestyles so; it makes the product in an innovative way to satisfy the needs of busy people and for the hi-tech generation which uses mobile phones(Solomon, Rusell- Bennett, & Previte, 2012). vi.Personality: It makes its product as a brand by promoting it on a large scale so to attract the attention of society successfully. vii.Psychological Influence: It happens when perception and sensation work together to influence the buyers. In the case of this product, red colour is used for eye-catching, the taste of the product somewhat different as it has made a unique formula which catches the sensation of customers and moreover advertising is done in a repetitive way so, to remembers the customer every time whenever a purchase is done. viii.Attitude: It changes the mentality of people by showcasing the brand effectiveness on the consumer. It does through by giving happiness to group members thereby reducing the burden and tension in the targeted group(Mallaiah & Ramana, 2018). ix.Occupation: There is no specific occupation selected but mainly targeted on students and also on members of the family. x.Sociological Influence: It happens whenever a consumer makes the choice of the brand on the basis of their preferences. Each customer is different, as they are living a different lifestyle, so their likes are also different. In order to cope with this situation, it makes the product in various varieties like introducing low calorie, caffeine free and juices so to satisfy the requirements of the customers well. Importance of culture: Culture plays an important role in buying any goods and services. So, it is very much important which is to be kept in mind by organizations to be fulfilled for the survival of the business. It includes norms, beliefs, and perception which direct the behaviour of an individual in a group.It is just like following the same tradition or values which is run by their heritage(Ghosh, Ghosh, & Ghosh, 2016). The company understands the value of culture to customers as by providing its goods on a cricket match as this sport is very much popular and famous in the lives of people basically for cricket lovers. It is available at various places such as at musical concerts, food festivals and also in various festivals such as Eid. It makes the attitude in the mind of customers that whenever they eat food, at watching the movie they need coke to enhance their experience.
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Decision Making Procedure and Suggestions4 Group Identifiers and Role of Group Dynamics: Group Identifiers get recognition due to the use of new technology, as it serves as a guide for the marketer’s decision making for selecting the target market effectively. It is applied to identifying the correct market segment. It gets its scope due to the human resource marketing concept. With the help of this, personal details of consumer received successfully so to increase the personal knowledge of the customer. It is a good concept for getting the data effectively(Zimmerman & Blythe, 2013). Group Dynamics is considered as when two or more people came forward to achieve individual and collective goals(Forsyth, 2018).In terms of consumer behaviour concept, it is said when the consumer makes a purchase with the advice of the reference groups in order to get information about the product correctly. It is a basic principle which is performed by all consumers to be surer about the product by offering suggestions of the other people regarding this(Franz, 2012). It is used for solving the problem in a team efficiently to be in an innovative and productive manner. It is concerned with attitudinal and behavioural patterns in a group. It focuses on basically how groups formed, their structure and which process followed in their functioning. Thereare3typesofgroups:PrimaryandSecondary;FormalandInformal; Membership and Symbolic. The primary group is the one where regular interaction takes place in the group members, while the secondary group is the one where communication does not happen regularly. A formal group is the one when there is no relation exists between group members whereas Informal is created due to relation. A membership group is created out of connection basis while Symbolic is created without any membership but out of affection(What Is a Consumer Group ?, 2019). Consumers take the help of the reference group and opinion leader for the decision of a product or service. Opinion Leader guides the individual by giving an opinion about a product if they wanted. This leader is given importance because of its knowledge. Group Decision Making Process: The process relating to purchase by any rational customer: a.Need Recognition: It is a process which is generally started with the identification of need of the targeted group. This product is purchased only when there is want because
Decision Making Procedure and Suggestions5 drinking a soft drink is not happens regularly but when a person feels thirsty and wants such a drink which is cold and refreshing. Coca-Cola satisfies the self-esteem needs of the person therefore; it can be achieved only when previous level needs relating to basic, safety and social motives are satisfied well(Maslow, 2019). b.Information search: It is important for every business to gather information as by these opportunities and threats can be well known easily, in order to survive for a longest time in the future. It can be gathered through various ways by obtaining information from references group, business sources and from other sources whether throughmediaandbyassociations.Itisdonethroughbusinesssourcesby advertisement and packaging meritoriously to fold the attention of customers. c.Evaluation of alternatives: It is done by weighing the advantages and disadvantages of the substitute products available in the market. It is done to make a purchase of the product. A branded product gets an advantage in this regard due to their goodwill and as; it also creates a barrier for the new entrants as it earns the trust of its customers which makes the members loyal towards such brand. It is having competition from the Pepsi as it has a somewhat the same formula so the company has to take successful steps so to compete with the competitor(Ware, 2014). d.Taking purchase decision: It happens when actually consumer make a purchase of the product and not take the product of other competitors which exist in the market. It is the final phase when payment is made by the consumer. e.Post-purchase Behaviour: It happens after the purchase decision to satisfy the needs of consumer effectively by giving after-sales service and hearing the complaints of the customer so to make solutions of the problem to make the consumer loyal towards the brand. After this stage, the evaluation process is done to cater to the needs of group satisfactorily by giving them value for each rupee spent on it. Recommendations: Post-purchase evaluation is done to know whether the consumer is satisfied with the product or not. If a consumer is not satisfied with the product and doing regret of purchasing and thinking of purchasing the other alternatives this will automatically impact on the company as in next time consumer do not purchase its product and also giving advice to family, friends and group members to not to buy such product it is called as post-purchase
Decision Making Procedure and Suggestions6 dissonance. It leads to an increase in the use of the brand and decreases the other brands by adopting alternatives which exist in the market scenario(Armstrong, Abubakar, & Sikayena, 2017). Solutions for this dissonance are: a)Increase the use of the product so that the buyer purchases it more for other uses as well. b)A survey is conducted to obtain information regarding what consumer thinks about the product or company. c)It has to diversify the lines of product in order to compete with the competitor effectively as done by Pepsi by manufacturing food items like Lays. So, it has to launch its food items in the market. d)Making product which is healthier for society as it gives its impact on the health of people because of this people adopts healthy products like using fruit juice. e)It has to develop ways to reduce the consumption of water as it is a limited resource on this planet. f)Provides more service to the customer so that they not shift to other brands available. g)It has to take steps to not to use plastic as it is a harmful material. h)It has to meet the expectations of consumers by avoiding deceptive practices and not to make unsafe products to society. i)Conducting the communication process so to reduce the conflicts of the consumer regarding the product purchased. Developing call centresand using e-mailfor understanding the problem(Sharifi & Esfidan, 2014). j)Product is to be made by keeping in the place of consumers. k)It has to give extra benefits to the buyers along with the basic product. l)Company has to give proper training to employees to deal with this situation. m)It has to evaluate product alternatives available in the market so to develop the product in a different way. n)Changingtheattitudeoftheperson bymeansof showing itsbenefitsin the advertisement. Whenever a consumer is satisfied with the quality of the product they make a repeat purchase and become brand loyal which gives the product in preference over other alternatives and they are ready to pay any money for getting the product(Hamid, 2012).
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
Decision Making Procedure and Suggestions7 Conclusion: In conclusion, it can be concluded that Coca-Cola has a good brand value which targets its product to the youth generation. Here, the study emphasizes on the behaviour of the consumer and in order to know influences of them and on how rational consumer comes to the buying decision by firstly identify needs, gathering of information, evaluation of options available, purchasing of product and finally, post-purchase evaluation stage. As nowadays, the buyer cannot influence the consumer to buy his product as today more varieties are available which gives choice to the buyers and results into consumer as a king. Therefore, the focus is given on providing satisfaction to them so that they do not buy goods from other companies. In this, a study on consumer behaviour In order to survive in the marketplace successfully it has to follow the recommendations given so to make the customer loyalty towards the brand and also does its word- of- promotion so that new customers also join the company.
Decision Making Procedure and Suggestions8 Bibliography About Us Coco-Cola History. (2018). Retrieved from world of coco-cola: https://www.worldofcoca-cola.com/about-us/coca-cola-history/ Mission, Vision & Values. (2018). Retrieved from Coco-Cola Company: https://www.coca- colacompany.com/our-company/mission-vision-values What Is a Consumer Group ?(2019). Retrieved from Chron: https://smallbusiness.chron.com/consumer-group-66872.html Armstrong, A., Abubakar, N.-J., & Sikayena, I. (2017). Investigating into factors accounting for cognitive dissonance ( Post purchase regrets).International Journal of Multidisciplinary Research and Development, 4(3), 229-239. Forsyth, D. R. (2018).Group Dynamics.Education. Franz, T. M. (2012).Group Dynamics and Team Interventions: Understanding and Improving Team Interventions.WILEY. Ghosh, M. M., Ghosh, A., & Ghosh, M. (2016). Impact and Influence of Culture on Brands in Indian Market.Jornal of Business and Management, 18(7), 54-60. Hamid, M. A. (2012). An Investigation of the Relationship between Unplanned Buying and Post-purchase Regret.International Journal of Marketing Studies, 4(4), 106-120. Mallaiah, G., & Ramana, D. (2018). Consumer Attitude and Behaviour towards Soft Drinks. International Journal of Emerging Research in Management & Technology, 7(1), 86- 93. Maslow, A. H. (2019).A Theory of Human Motivation.GENERAL PRESS. Noel, H. (2017).Basics Marketing 01: Consumer Behaviour.Bloomsbury Publishing. Sharifi, S. S., & Esfidan, M. R. (2014). The impacts of relationship marketing on cognitive dissonance, satisfaction and loyalty.International Journal of Retail & Distribution Management, 42(6), 553-575. Solomon, M., Rusell- Bennett, R., & Previte, J. (2012).Consumer Behaviour.Pearson.
Decision Making Procedure and Suggestions9 Ware, E. O. (2014). Investigate the Benefit of Total Quality Management as Competive Advantage in Corporate Institution: A Case Study of Coca-Cola Bottling Company Ghanma Ltd.Research Journal of Finance and Accounting, 5(23), 97-99. Zimmerman, A., & Blythe, J. (2013).Business to Business Marketing Management: A Global Perspective.Routledge.