Marketing Intelligence Report: BMW's Consumer Behavior in UK Market

This report delves into the realm of marketing intelligence, focusing on consumer behavior and its implications for business strategy. It begins by outlining the stages of the purchase decision-making process and explores various theories of buyer behavior, including economic, behaviorist, and cultural approaches. The report then examines factors influencing buyer behavior, such as cultural, social, personal, and psychological influences. It analyzes the relationship between brand loyalty, corporate image, and repeat purchasing, highlighting the importance of these elements for business success. The report also evaluates different market research approaches, including qualitative and quantitative methods, and explores the use of secondary data and customer satisfaction surveys. Furthermore, it covers market size and trends, competitor analyses, and an evaluation of opportunities and threats, providing a comprehensive overview of marketing intelligence principles and their application in the context of BMW and the UK market.

Marketing Intelligence

Table of Contents
Introduction.........................................................................................................................................3
Task 1...................................................................................................................................................3
1.1 Main stages of purchase decision making..............................................................................3
1.2 Theories of buyer’s behavior.......................................................................................................5
1.3 Factor buyer behavior............................................................................................................5
1.4 Relationship between brand loyalty, corporate image and repeat purchasing........................7
Task 2...................................................................................................................................................8
2.1 Evaluation of different types of market research approaches.......................................................8
2.2 Secondary source of data to achieve marketing research objectives............................................9
2.3 Assessing of validity and reliability of market research finding................................................10
2.4 Marketing research plan for customer satisfaction level at M&S...............................................10
4.1 Evaluation techniques of customer response..............................................................................12
4.2 Designing a customer satisfactory survey..................................................................................12
4.3 Review of customer survey........................................................................................................17
Task 3.................................................................................................................................................18
3.1 Market size and trends...............................................................................................................18
3.2 Competitors analyses.................................................................................................................18
3.3 Evaluation of opportunity and threats........................................................................................19
Conclusion..........................................................................................................................................19
REFERENCES..................................................................................................................................21

Introduction
Marketing intelligence is significant marketing strategy planning for a business
organization. It is a systematic process of collection of data from the market analyze it and
make their decisions accordingly. Basically, marketing intelligence used for evaluate market
opportunities which provide long term growth to the company. With the help of effective
business planning a firm can maintain its market share and profitability in the market. The
present report BMW which is one of the large automobile corporation in the United Kingdom
(Babin and Zikmund, 2015). The cited unit is providing a wide variety of good at the higher
quality to its loyal customer. the main aim of the report is to identify new market which helps
to increase their position in the market.
Task 1
1.1 Main stages of purchase decision making
It is essential for a business unit is to evaluate the purchasing process of decision making
process of their customer (Li and Li, 2011). with the help of such process a company can
determine various factors and its influence of consumer decision making. So that the
marketing manager of the cited entity can make their market plan and decision accordingly.
There are following stage of consumer decision making mentioned below:
Problem recognition: It is the first stage of consumer decision making where have to
identity their needs. There are three ways which motivate an individual towards an unfulfilled
need. First, product not performed according to their exaptation and they willing to buy a new
product. Another motivation is an unfulfilled wants and consumer run for such product. Last
way where an individual feel that the new product is much better than their current product
(Gabrielli and Balboni, 2010). Therefore, marketing manager od cited firm required that to
make their product which satisfy such needs in an appropriate manner.
Information search: Once problem can be identified consumer try search information about
their needs and wants. For this, there are various sources of information where an individual
can acquire this information. These are:
Personal source: In this source a customer communicates with their family and friends
regarding their communication.

Commercial source: There are various promotional tools like advertising, sales personal and
other aspects where individual can get the information about their product and services
(Persaud and Azhar, 2012).
Public source: It involves newspapers, TV, radio and other communication tool where a
customer can get the various data relating to their need.
Experimental source: Individual personal information regarding a particular product also be a
part of information search.
These all source of information must be analyzed by BMW in an effective manner so that
they can use these media tools in order to promote their products.
Evaluation of alternatives: This is next stage of consumer decision making where the
consumer required that to find out various alternatives in the market. There are various
factors which influenced in the purchase decisions (Johns and Van Doren, 2010). It involves,
price, brand awareness, product quality and other aspects.
Purchase decision: This is one of the critical stage where an individual make their purchase
decision. For example, if a consumer more aware about a particular brand out of several
brands. The previous stage helps to evaluate these choices of brand and try to analyses the
most attractive offer. On the other hand, there are various elements which need to be
considered by the costumer includes brand, quality, payment type, timing etc. therefore,
BMW required that to careful analyses all these factors which provide long term growth in
the market.
Post purchase evaluation: It is the final stage where a consumer tries to evaluate the actual
performance of their product with their expectations. If there is any gap it creates
dissatisfaction and vice versa.
Figure 1Purchase Decision making process

1.2 Theories of buyer’s behavior
Consumer behavior is the study of individual or group of people about their choices, attitude,
preferences, experience and other factors. A business organization is try to understand all
these aspects which help to meet its long term goals and objectives in an effective manner.
there are various theories related to consumer behavior help to BMW in order to develop
their products (Kian Chong and et. al., 2010). These are:
Economic man approach: A consumer always tries to follow and behave rational according to
the economic sense. According to this approach consumer having aware about all option
available as an alternative in their purchase decisions.
Behaviorist approach: This is another approach where consumer buying decision effected
from various external environment. The consumer is not aware all external factor and its
impact. Therefore, cited firm required that to make their strategies in a manner which can
influence their potential customer and meet their short and long tern goals and target.
Cultural theory of buying behavior:
This is another approach where a company try to understand cultural aspects of an individual
which influenced buying behavior (Shetach, 2009). An individual culture is a set of values
and attitude of a community. These communities based on consumer profession, education
background, income level etc. Basically, there are three types of category of consumer on the
basis of income, higher level, middle level and lower level. BMW required that to offer their
product according to these income level and set its product price accordingly. For example,
they can provide premium product to the higher level of consumer, economic product to
middle and lower income groups. It helps in increase sales and market share of the company
which leads to increase profitability.
This is another most appropriate approach in order to motivate consumer behavior in an
effective manner (Kitchen and Burgmann, 2010). In this method marketing manager can use
disproportionate effects on the consumer attitude. For example, if an individual demand for a
product or service reduced by 15 percent,
1.3 Factor buyer behavior
Today, consumer is the central focus of marketing for each and every business organization.
To design and develop an appropriate market plan, it is essential for to evaluate consumer

behavior and their needs, attitude, lifestyle. So that they can use their marketing mix
decisions in an appropriate manner. There are various factors which having a large influence
on the buying behavior which are given below:
Cultural factors: This is one of the complex and significant factor for buying behavior and
its purchase decision making. Consumer is the part of society where a set of norms, beliefs,
customs and values. These all elements affects consumer choice of product and services.
Therefore, this is the responsibility of marketing manager to focused on cultural aspects and
design consumer product accordingly (Persaud and Azhar, 2012). For example, the cited
business entity is operating their business in UK, which is mixed culture of Wales, Scotland,
England etc. needs to concentrate each culture elements in an appropriate manner.
Sub-culture: This is a group of person who share common values, beliefs and tradition. It can
be a nation, religion or any other group on the basis of geographic location. In the context of
UK where various religion groups avail. Therefore, BMW needs to concentrate on these sub-
culture and make their product accordingly which provide consistent market growth.
Social factor: These factors can be divided in to following elements:
References group: There are various groups in the society who influenced the decision
making of the consumer behavior (Ravi, 2008). This kind of impact can be varying on
product price, quality, brand etc.
Family: The consumer behavior not only influenced motivation and reference group but also
family groups. There is a person who make their purchase decision
Personal factor: There are various personal elements which having a large impact on buying
behavior. This can be divided in to following parts:
Income group: This is one of the critical factor in the buying behavior of an individual which
related to income level of an individual. There are three types of income level group one is
higher income group who wants premium products, middle level group who needs economic
products (Reza Jalilv andand Samiei, 2012). In the last, lower income group who required
cheap products and services.
Occupation: Profession is another significant factor which affects products and services a
buyer’s purchase. Such groups having different interest in order to buying goods and services

offered by a business firm. In the context of BMW needs to identify these needs and produce
goods and service according to their choices.
Age and life cycle: The age on an individual also played a significant role in the buying
behavior. The choices of a consumer are change according to the life cycle stage. For
example, young generation spend more money as compare to aged group of people.
Psychological factor: This is another factors which large influence on consumer behavior
which includes:
Motivation: This is related with the level of motivation which influence the behavior of
customer. This element can be easily explained on the Maslow needs theory and motivate to
an individual for the demand of goods and services.
Perception: Consumer perception is another factors which influence the decision making. For
example, there are large number of customer believes that BMW as a premium brand which
influence them to purchase these products.
1.4 Relationship between brand loyalty, corporate image and repeat purchasing
There are various aspects which needs to focused by the company which provide competitive
advantage in the market. These factors are:
Brand loyalty: This is one of the most significant weapon for a company which provide long
term success for a business organization in the market (Tsiotsou and Ratten, 2010). When a
consumer is buy a product for a specific brand repeatedly is called brand loyalty. It is a long
term process a consumer highly satisfied for their product performance.
Corporate image: This is another significant factor for a successful business which related to
the reputation of the company. it having a large significant in the business and long term
success in the market. Therefore, each and every business to provide high quality product and
services to its customer which increase their satisfaction level. This create an ideal image in
the market which.
Repeat purchasing: When a consumer purchase product and services for the same brand
which already consumed is known as repeat purchase. It is sign of brand loyalty where a
consumer feels satisfied of product performance (Tsiotsou and Vlachopoulou, 2011).

The relationship between above three aspects are interlinked with each other which helps in
developing competitive superiority in the market. In the context of M&S, if corporation is
providing high quality product at the affordable price it can increase customer satisfaction. It
leads to increase repeat purchase which is a symbol of brand loyalty. A company is providing
value for money to their stakeholder helps in create and develop good corporate image and
reputation in the market.
Task 2
2.1 Evaluation of different types of market research approaches
Business environment is to complex and uncertain required effective market research which
helps to meet their long term goals. With the help of such research a company can knows
their customer, competitor’s product, external factors which can help to minimize potential
risk.
Qualitative method: This is an approach where researchers required to analyze the perception
and behavioral aspects for a particular product and service. In this method various tools such
as interview, questionnaire, observation and so on. This report is based on qualitative
approach in order to increase performance of BMW in an appropriate manner.
Quantitative method: In this techniques the data has been analyses through statistical tools
which provide actual facts and figure. So that a company can interpret these data and make an
appropriate recommendation for the further improvements.
There are various tools of market research given below:
Market survey: This is one of the most popular approach of market research which provide
appropriate and relevant market information. BMW required that to use questionnaire survey
approach in order to identify customer needs in an effective manner (Tsiotsou and
Vlachopoulou, 2011). Today, customer taste and preference are change over a period of time
which needs to continuous improvement in product accordingly. Cited firm can conduct
online survey with their loyal customers where the can gather various data regarding their
product range, quality, prices etc.
Focus group: This is another approach of primary research by using focus group. In this
approach BMW can select a group of people and asking question about product and its
performance. For example, marketing manager of company can select young generation and

asking about their taste and preferences which help to design their fashionable product to
their customers.
On the basis of above approach BMW can get significant information which help in
developing a new range of fashionable clothing line for their customer at the affordable price.
2.2 Secondary source of data to achieve marketing research objectives
It is another types of data which helps in attaining organizational goals and target in an
effective manner. secondary data includes that information which already collected in a
limited period of time (Wiid,du Preez and Wallström, 2012). In includes published,
unpublished and company data like government and local authority’s data, statistical reports,
census report etc.
Published report: This is one of the major source of secondary data which can be collected
from various sources. These are:
 Government authorities conduct various research which published over a period of
time.
 Various official publication of overseas government.
 Annual and monthly reports trade association, financial institution like banks and
chamber of commerce.
 Monthly published various magazines and journals.
These reports can help BMW to provide various data and information regarding market, so
that they can design their product in an effective manner (Reza Jalilvand and Samiei, 2012).
Unpublished report: Statistical data also can be collected from various unpublished sources
where BMW can use this information in order to improve their position in the market in an
effective manner. It involves:
 Research study conducted by scholars and professionals.
 Business intelligence report carried out by private organisation.
 Statistical data carried out by various government and non-government publications.
With the help of these data BMW can modify their product and marketing mix which helps in
increase sales and profitability of the firm.

Company report: There are various information within the organization such as annual report,
balance sheet, trading and P&L accounts etc. (Foropon and McLachlin, 2013). M& S can
analyse and evaluate historical data with current report and try to improve in the near future
by using various marketing strategies.
2.3 Assessing of validity and reliability of market research finding
The data which collected form primary and secondary approaches must be presented in an
appropriate way. Such data should be accurate and meet their requirements in an appropriate
manner which can be relied. BMW required that these data must follow ethical manner and
with the approval of related parties. They need to identify sources which create an ideal
image in the public. Further, there are primary and secondary data to be used which satisfy
research aims and objectives. The secondary data collecting through various sources such as
online books and journals, articles which provide the opinion of authors can be biased. It also
need for future research to understand more depth of the study in order to minimize research
gap in an appropriate manner.
2.4 Marketing research plan for customer satisfaction level at M&S
Marketing research is a systematic exercise which required a careful and effective plan. With
the help of such planning the cited firm can solve their issue in an effective manner. These
stages involve:
Identify problem: This is the first stage of marketing research where a company required to
identity key issue which needs to be analyzed by the proposed report. In the context of BMW,
the major issue the customer satisfaction level required to increase in the near future.
Defining research objectives: In this stage researcher set aims and objectives of their study
that what they want to achieve with this report (Heizer and et.al., 2011). According to the
given problem the aim and objectives of their proposed study is given below:
Aim: “To analyzing the customer satisfaction level and its relation with brand image of the
company.”
Objectives: There are following objectives of the research are mentioned below:
 To evaluate customer satisfaction level.
 To determine brand image in the market.
 To build relationship between brand image and customer satisfaction.

Planning research design: This is one of the critical stage of research report where a company
need to design research in an effective manner. there are two types of research design like
descriptive, qualitative, quantitate etc. In this correct study the report should be qualitative
which provide an appropriate solution for their problem.
Planning the sample: In this approach BMW required that to plan their sample size which can
be 100 customers through random sampling. They also required to choose people which
represent all demographic population (Johnston, 2005).
Data collection: Once research design stage is completed the next step come in to the picture.
In this stage research needs to use data collection approach which can be primary research,
secondary research or both. In the primary research there are various tool must be selected by
the cited firm. For example, for proposed research they can chose questionnaire survey
through their loyal customers. Analyze these data in an effective manner which provide them
an appropriate finding of their research.
Formulating conclusion and preparing presentation: This is final stage of the report where
researcher required that to make a suitable conclusion on the basis of their finding and
present these data in an effective manner (Tsimonis and Dimitriadis, 2014).

Task 3
3.1 Smartphones market size trend within UK
It is essential for a business organization is to analyses the market and its size and scope
which helps to forecast the actual demand for their product. This case is based on BMW
which is one of the leading smartphone producer in the world. they provide innovative and
technologically advanced products to their customers. This case is related to the Automotive
market in the context of UK. According to the higher authority data the market size of
Automobile in the country is growing by approx. 4 percent which is quite large as compare to
other European countries. The total size of will be 33.5 million cars in road which is more
than expected which is quite large. This size is overtaking by other growing vehicle in other
countries. On the other hand, there are other experts believes that UK will be the most
valuable market for automotive which is quite large as compare to other countries Germany,
France, Netherland etc. As per the market data, in 2016 2,692,786 unit sold as compare to
2015 which is quite good as compare to last year. It shows that UK market is growing at
consistent rate which provide a good opportunity for BMW to use this market and increase its
market share.
3.2 Competitors analyses of BMW
BMW which is one of the most valuable luxury car manufacturer at the global level. but in
last few years their profitability and market share growing down which required to analyze
their competitors in an effective manner. for this, BMW can use Porter five force model
which provide an appropriate evaluation.
Competitive rivalry: It includes those competitors who already in the market which provide
a tough competition to BMW. There are two major factor like high aggressiveness and low
switching cost can leads to decrease sales of BMW product. For example, Mercedes Benz,
Jaguar etc., Mercedes Benz two major competitor where product price is quite low and their
marketing and promotional campaign are aggressive. As a result, Apple must compete with
them and also need to invest more in advertising and try to cut their product price.
Bargaining Power of buyer: This is another factor which related to the customers and its
income level. due to globalization the standard of living and disposable income of consumer
is growing which provide a golden opportunity in front of BMW. On the other hand, there are