Factors Influencing Customers Buying Behaviour of Retail Products

EXPLORING THE FACTORS INFLUENCING CUSTOMERS
BUYING BEHAVIOURS OF RETAIL PRODUCTS: A STUDY OF
MARKS AND SPENCER GROUP PLC
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ABSTRACT
Purpose: The main purpose of conducting the present study is to analyse the factors
influencing customers buying behavior of retail products. There are different factors that have
influenced buying behaviour of consumers towards that brand. These are personal factor, social
factor, physiological factor and many others.
Methodology: In this there are different types of research methods are applied for
collecting as well as analysing data systematically. The present study has carried out qualitative
secondary piece of data that does not deal with numerical and statistical piece of information.
This study has only considered secondary type of information data for addressing each question
of the research in effective and efficient manner.
Results and findings: Main findings of this research is changing buying behaviour of the
customers helped Marks and Spencer in increment of customer as well as improving their
profitability. Customer buying behaviour is significant for a company in attainment of
competitive advantages within minimum time and in successful manner.
Conclusion and recommendations: It is concluded that consumer buying behaviour is
important and significant for M&S in improvement of their brand image and goodwill in
marketplace as well as in customer’s mind. It is concluded that research aim and objectives are
accomplished through the research questions.
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ACKNOWLEDGEMENTS
I would like to express my superior thanks of gratitude to my tutor for their support and
guidance in completing each activity of the dissertation in successful manner.
I would also like to expand my special thanks to my friends and families for their
appropriate guidance in accomplishing research aim and objectives successfully.
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Contents
ABSTRACT....................................................................................................................................2
ACKNOWLEDGEMENTS.............................................................................................................3
Contents...........................................................................................................................................4
CHAPTER 1: INTRODUCTION....................................................................................................6
1.1 Background Context..............................................................................................................6
1.2 Problem Statement.................................................................................................................7
1.3 Rationale of research.............................................................................................................7
1.4 Research questions.................................................................................................................8
1.5 Research aim and objectives..................................................................................................8
1.6 Snapshot of methodology......................................................................................................8
1.7 Structure of research..............................................................................................................9
LITERATURE REVIEW..............................................................................................................10
What are the factors influencing customers buying behaviours of retail products?..................10
What is the impact/roles of effective advertising on customers buying behaviors?..................12
CHAPTER 3: METHODOLOGY.................................................................................................19
3.1 Introduction..........................................................................................................................19
3.2 Research Philosophy............................................................................................................19
3.3 Research design/strategy.....................................................................................................19
3.4 Research approach...............................................................................................................20
3.5 Data collection.....................................................................................................................20
3.6 Data analysis techniques......................................................................................................21
3.7 Ethical consideration...........................................................................................................21
3.8 Conclusion of chapter..........................................................................................................21
Chapter 4 – Findings & Analysis...................................................................................................22
Introduction................................................................................................................................22
Theme 1: The factors influencing customers buying behaviours of retail products..................22
Theme 2: The impact/roles of effective advertising on customers buying behaviours.............24
Theme 3: The factors determining the choice of products........................................................27
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Theme 4: The various pricing strategies which determine the customer’s choices...................29
Conclusion.................................................................................................................................31
Chapter 5........................................................................................................................................32
5.1 Introduction..........................................................................................................................32
5.2 Review of research objectives.............................................................................................33
5.3 Major findings.....................................................................................................................33
5.4 Practical and theoretical implication of findings.............................................................33
5.5 Recommendation for future research...................................................................................34
5.6 Limitations...........................................................................................................................34
5.7 Recommendation.................................................................................................................35
5.8 Conclusion...........................................................................................................................36
REFERENCES..............................................................................................................................37
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CHAPTER 1: INTRODUCTION
1.1 Background Context
Customer buying behaviour introduces to the action taken by customers before purchasing
a services or products. There are four types of consumer behavior that are habitual buying
behavior, dissonance-reducing buying behavior, variety-seeking behavior and complex buying
behavior. Along with this, consumer buying behaviour refers to the study of individuals, groups,
or companies an all the activities linked with the purchase and use of products and services
(Boca, 2021). There are different factors that influencing customers buying behaviors towards
retail products. These are psychological, social, cultural, personal and economic. These are main
factors that have direct influence on buying behaviour of consumers towards particular product
or services. In this, advertisement is one of the main factors that influence on consumer buying
behaviour. Advertising is a promotional strategy used by business organisation for creating brand
awareness in the customers’ mind to take buying decision.
There are various factors which influence the buying behaviour of customers. They
generally buy the products by determining their features, benefits and drawbacks (Varah and et.
al., 2021). In order to gain success, it is important to influence the buying behaviour of customer
of retail products. Customers are the key ingredients for the success of business, it is necessary
for company to attract and retain consumers in order to improve the performance and
profitability of business. The buying behaviour of consumers can be influenced by providing
them relevant information about the product and its quality so that they can make purchase
decision in effective and efficient manner (Wojciechowska-Solis and Barska, 2021). There are
few factors which influence the buying decision of customer such as economic factor, functional
factor, personal factor, marketing mix factor, social factor, cultural factors, psychological factors
and various other factors.
Within this research, Marks and Spencer is a major British multinational company with
headquarters in London, England, UK. M&S was founded in 1884 by Michael Marks and
Thomas Spencer. Company is specialising in selling clothing, food products and home products.
M&S clearly knows the importance of promotion and gives special attention to all the activities
related to promotion or advertisement. They do advertisement through electronic media, social
media etc. They advertise their brand through different channels in the television, they promote
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their brand by making celebrities their product's brand ambassador. They are associating with the
other marketing brand to promote their products (BUI, NGUYEN and KHUC, 2021). They keep
advertising on various media posts, portals and sites. Along with this, all these are effective ways
of advertisement that change the buying behaviour of the customers towards the brand.
Therefore, changing buying behaviour of customers is important part for M&S because it helps
them in attaining competitive advantages successfully. There are various advantages of changing
consumer buying behaviour that are consumer differentiation, retention of consumers, design
relevant marketing program, predicating market trend, innovate new products, stay relevant in
the market, improve customer services, helps in increasing business profitability and many
others.
1.2 Problem Statement
Todays, it is a biggest problem for companies how to change consumer buying behaviour.
Changing consumer buying behaviour is a biggest task because some time this create conflict
among employees, reduce customer loyalty and many others. This is a major problem that direct
impacts over the business performance and profitability of an organisation (Sarah and et. al.,
2021). In order to overcome this problem, there will be a requirement of using available sources
that are books, articles, publication research, magazines and many others. These sources are used
for literature review that helps researcher in identifying the ways for changing consumer buying
behaviour towards the brand. Therefore, with the help of present research, problems that faced
by companies can be resolved in effective and within minimum time period.
1.3 Rationale of research
Main rationale behind conducting this research is to identify the effective ways of changing
consumer buying behaviour along with its importance to the M&S. Main motivation behind
selecting current topic is to determine the significance of changing consumer buying behaviour
for the growth and success of company. Current research is important for various stakeholders
that are M&S, customers, students and researchers (Fernandes and et. al., 2021). For researchers
present research helps them in improving their research skills that are data collection, time
management, presentation, decision making and many others. All these arte main skills and helps
researchers in attaining its personal and professional goals. For students, this research is
important for them by enhancing their understanding regarding the factors influencing customers
buying behavior of retail products. For M&S, this research is essential for them by providing
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information regarding the effective ways through which they can easily change consumer buying
behaviour towards the brand. Therefore, all these are main stakeholders that would be benefited
from the current research.
Another rationale behind conducting this research is to fulfil the research gap. Within this
research main gap is that there was lack of information regarding the factors along with their
influence on customers buying behavior towards retail products. In previous studies, there was
lots of data available about the benefits of consumer buying behaviour for an organisation
(GILITWALA and NAG, 2021). This is a main gap and for addressing this, secondary sources
are used for literature review. Therefore, present investigation is significant in fluffing the
research gap as well as achieving research aim and objectives in successful manner.
1.4 Research questions
 What are the factors influencing customers buying behaviors of retail products?
 What is the impact/roles of effective advertising on customers buying behaviors?
 What are the factors determining the choice of products?
 What are the various pricing strategies which determine the customers choices?
1.5 Research aim and objectives
Research aim:
The aim of the current research is “To analyse the factors influencing customers buying
behavior of retail products”: A study of Marks and Spencer group plc
Research objectives:
 To analyse the factors and the impact of effective advertising on customers buying
behavior
 To understand the importance of customers buying behaviours for different organizations
 To determine the different strategies that organizations can use to develop effective
advertisements
 To determine the influence of customer buying behaviors on organisations
1.6 Snapshot of methodology
Methodology is the process of collecting accurate information regarding the topic. There
are various types of research methodologies that are useful in gathering in-depth information
regarding the factors influencing customers buying behavior of retail products. These are
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