Consumer Insight and Behaviour

CONSUMER INSIGHT
AND BEHAVIOUR

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Explain and evaluate different stages of consumer decision-making for a service or product
offered by company................................................................................................................1
P2 Mention the need of marketers to map an appropriate path of purchase and acknowledging
consumer decision-making.....................................................................................................2
M1 Ways by which marketers responds to decision-making process by applying relevant
concepts and models ..............................................................................................................3
D1 Critically evaluate the models which impact decision-making procedures including
examples and organisational context .....................................................................................5
TASK 2............................................................................................................................................5
P3 Contrast and compare key differences in decision-making process in relation with B2B and
B2C.........................................................................................................................................5
P4 Analyse various approaches to perform market research and how they impacts the
decision-making processes for B2B.......................................................................................6
M2 Carry-out a justified evaluation to show how various factor impacts buying behaviour and
decision making procedures...................................................................................................7
TASK 3............................................................................................................................................8
P5 How marketers impact each stage in decision-making process of B2B and B2C along with
examples.................................................................................................................................8
M3 Critically evaluate how a marketer influence each stage of decision making with reference
to relevant models...................................................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Consumer behaviour is referred to an observational activity which is introduced to
acknowledge the behaviour of customers within marketplace. This activity starts from the
moment a customer enters the market and takes buying decisions till they finally purchase the
product (Bereznoy, 2019). Customer insight is defined as interpretation of trend in behaviour of
consumers so that satisfactory products can be given to them. This will benefits the company in
earning high profits. This assignment is prepared in relation with Marks & Spencer which is a
Britain based retail multinational company, situated in London, UK. Company offers products
like beverages, clothes, household essentials and food to their customers. This report will cover
about stages of decision making and explaining why marketers needs a path to purchase and
acknowledge consumer decision-making. Also, research is carried out to identify decision
making processes like B2B and B2C. At last, the manner in which marketers influence various
stages of decision-making are discussed.
TASK 1
P1 Explain and evaluate different stages of consumer decision-making for a service or product
offered by company
Decision making is defined as an activity of framing decisions in the context of buying
products and services. It gets supported by gathering of data, analysing the effectiveness of
decisions as well as alternatives available in case of failure of decision. For example, by Using
psychological and economic factors, the interest and buying behaviour can be easily identified.
M&S is multinational organisation which is engaged in retail sector (Christopher and
Senthilkumar, 2018). The company decides to launch watches for men and women to increase
their existing market share. It can be successful if gets maximum support by their targeted
customers. The customers can easily influenced towards new products if the features and pricing
are more effective as compared with the other organisations. While making buying decision, the
customers consider several aspects which includes offers, price, quality etc. In addition, with
this, there are several elements which gets involved in decision making process of customers.
Here is the explanation of these elements:
Need/Problem recognition: This stage includes identification of needs and requirements
of customers as their interest and buying behaviours are very much depending on them. For an
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instance, if an individual desire to buy watch with update features with reasonable prices, then
the price, quality, features etc. are first recognised in order to ensure to receive value for money.
It is said that in the present context of M&S, company decides to launch new watches which are
for men and women and for this, it is very essential for the manager to examine the needs and
problems.
Information search: This is the next stage in which the customers makes efforts to
search information about the new product introduced by M&S into the market. For this, the
customers visits different sites to get information about similar products offered by an
organisation and make comparison with the new product of M&S in order to make an effective
buying decision (Fulgoni, 2014). In reference to M&S, it is required by the management team of
the company to examine the needs of customers with the help of information posted on various
sites.
Evaluation of alternatives: This is the third stage of consumer's decision making journey
in which the customers carefully evaluate the all alternatives available in market if they do niy
not want to buy the new product of M&S. The customers make decisions on the basis of features,
price etc. provided by M&S and its rivals and make decision whether to buy M&S’s product or
go for buying other company’s product. For example, price of watches introduced by M&S are
much higher than the same watch product sold by other organisation which makes easy for
customers to decide whether to buy M&S’s product or not. It is also very important for the
management team to examine and evaluate the alternatives so that they can identify their current
position as well as need of customers. Along with this, managers of M&S need to set the price as
well as qualities of the products.
Selection and trial: This step includes selecting products on the basis of their
specification on trial basis. Due to ensuring about getting satisfaction level, the customers first
decide to buy products on trial basis and on the basis of experience, they further decide whether
to buy such product or not. In the present context of M&S, managers of the company provide
trial sessions to their customers so that according to the requirement client can buy their stuff.
Purchase decision: This is the step includes final decision taken for buying products and
services with an expectation of getting maximum level of satisfaction. This decision is made on
the basis of quality, price, features etc. But before this, the customers set budget and accordingly
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