Consumer Decision-Making: Aldi's Marketing Strategies

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Topic - Consumer Behaviour Additional
Assessment
MKT510 – Customer Behaviour
Assessment item – 4 Additional Assignment
Student Name –
Student ID –
Brand – ALDI
Submission Date -
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Table of Contents
Introduction......................................................................................................................................3
Individual difference influence factors and their influence on consumer decision-making............4
a. What factors and theories are involved in the process of perception? How might an
understanding of how perception operates assist marketing managers in achieving marketing
objectives?...................................................................................................................................4
b. Name the four principles of perceptual organization and explain why marketers need to
know about them..........................................................................................................................6
c. How does personality affect the use of services and compliant behaviour?............................7
d. Why do marketers seek to create brand personalities? When is this effective?......................8
e. Why is rehearsal important for consumer memory? How can marketers encourage this?......9
f. What is information overload, and how can it be avoided?...................................................10
g. What is consumer involvement? Why is it important to marketers?.....................................11
h. What are central and peripheral routes to persuasion? Why is it important to marketers?...12
i. Define the three components of attitude.................................................................................13
j. Outline the components of the theory of planned behaviour..................................................14
k. Why might attitudes not affect behaviour?............................................................................16
Recommendations..........................................................................................................................17
Conclusion.....................................................................................................................................19
References......................................................................................................................................20
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Introduction
In this report it describes that consumer behaviour is the screening of how particular customers,
teams, groups or organization choose, buy, utilize and determine the ideas, information,
products, and services to complete the needs and desire. It defines the reactions of the consumers
in the marketplace and defines motives towards their actions. In this report, it describes that
ALDI brand group is Germany grocery store chain in the retail food industry. It describes various
influences of customer behaviour on consumer decision making, describes consumer’s
perceptions, principles of perceptual organization, consumer attitudes, and components of
planned behaviour and explains the recommendations for improving marketing strategies.
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Individual difference influence factors and their influence on consumer decision-making
a. What factors and theories are involved in the process of perception? How might an
understanding of how perception operates assist marketing managers in achieving
marketing objectives?
1) Perceiver: Perception major factor is perception, i.e. perceiver which consists of some
characteristics such as attitude, interests, experience, motives, expectation etc. Attitude affects
the perception of the perceiver. When the customer visits the mall, and his perception is that all
the items are expensive. This attitude effect is next to purchasing from that particular mall.
Interest creates a positive effect on them, and the behaviour of the consumer is interesting
towards the product or item. Experience increases the demands towards particular and makes
standard perception. Motive simulates the individual and exerts pressure on the consumer.
Sometimes the expectation is destroying the perception. The consumer wants to see what it
expects.
2) Situation: These factors influence the individual to make interactions with the perceiver and
the target. Situation belongs to the time, social aspects and work setting. The time may help to
change the perception of an individual. For example, a customer visits supermarket ALDI, that
person monthly visit and purchase all grocery item from there. Purchaser visits with his family;
this will increase its purchase due to the demand of every family member.
3) Target: Target is observed by perception and this perception created by physical
characteristics. Attractive product and shop attract more customers. As the ALDI supermarket
always give the best shape to achieve more targets from its customer. It consists of proximity,
background, size, novelty etc. Consumer makes their perception by the target characteristics also.
Theories of Perception
Self-perception theory-It describes the method in which an individual has a lack of attitudes and
emotional response. This perception will be developed by observation by behaviour and
conclude their experience.
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Cognitive Perception theory-This theory describes the aspects of knowledge and assumption
regarding experience. This perception will be developed by the unique description of product or
services.
Marketing manager understands the level of perception, so manager creates strategy according to
the consumer perception. The manager can’t create the situation, but it will create a target by its
approach on the object. Target will be created by the marketing manager, and it will design
according to the perception of the consumer. The implication of the method will be implemented
according to the behaviour of the consumer. Attract a considerable number of consumers
towards a particular brand or shop. It must recognize perception theories and process. The
marketing mix helps the manager, and it will be helpful to maintain good consumer behaviour.
Marketing objectives are achieved after follows the consumer will perceive all the perception.
Objectives are to understand the perception of the consumer and provide services according to
the expectation without involves in the loss (Chibok , 2013)
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b. Name the four principles of perceptual organization and explain why marketers need to
know about them.
1. Figure-Ground: The basic principle of perceptual organization is to perceive objects is stand
out in unique place from its general background. The observed object selectively influences the
perceptual organization. Customer recognizes only a single thing of an object, and the situation
may vary. This is the perceptual organization will be impacted quickly.
2. Perceptual Grouping: It is a tendency to combine all the stimuli and convert into a
considerable pattern. It's done on some basis like:
Closure: This process fills all the gaps between the process and acts like that there are no one
exists. ALDI concern about its competitor but fill they are not able to perceive what the factor
responsible for falling them down is.
Continuity: In this process, the only a continuous pattern will be recognized.
Proximity: In this process, the group of stimulus will recognize the whole pattern. For example:
When a customer took service from ALDI supermarket for once. They will be understood that
ALDI provides excellent quality of services to its consumer.
Similarity: In this process similar group easily perceive the popular group. For example, the
product of ALDI is expensive due to its excellent quality.
3. Perceptual Constancy: It is easily perceived that standard object has the same colour, size
shape and its brightness. It is the same available in every market in the world.
4. Perceptual Context: This principle gives the meaning of objects, smile stimuli, events,
situation and the environment. ALDI sales rate is higher than others. By this, it will be perceived
that the number of consumer rate is more (Wagemans,2016).
Marketers need to know about the perception organization because consumer makes perception
according to the visualization of item or product. Marketers implement the strategy based
according to consumer expectation and the previous experience.
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c. How does personality affect the use of services and compliant behaviour?
Personality affects the use of service because it shows that how much aware and concern about
the service. Service provider always respects the feedback of consumer, but it may consider
when a consumer provides its input professionally. Some customer is very aggressive so that
service providers mistreat them. The complaint is healthy because it gives direction for the
correction. The consumer maintains its behaviour towards complaint because the service
provider accepts its mistakes and understands the expectation of its customer. After
understanding their need, it will be followed. Complaint behaviour defines the channel used by
the consumer and the effect of personality convert into right perspective or vice versa
(Berry,2013).
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d. Why do marketers seek to create brand personalities? When is this effective?
Brand personality is an individual or group of individual who promotes the brand equity and
describe the attitude of the brand in the market. It is also a factor marketing campaign so that
marketers always seek to create brand personality according to the brand. It will help create an
effective brand in the eyes of the public. People get attracted if a famous character or cinema
celebrity will use the same brand. ALDI supermarket involves various personalities to promote
its supermarket in the marketplace. It will be useful when a specific brand goes for campaigning,
advertisement, print media or social media. It will be helpful when the brand rate falls, and the
brand hired a celebrity due to this reason it may attract a new customer.
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e. Why is rehearsal important for consumer memory? How can marketers encourage this?
Memory rehearsal is important for consumer memory because repetition in mind includes
repeating information and it will be processed and stored in the memory. It involves in consumer
behaviour because like actors rehearse their lines for better performance like the same consumer
rehearse its behaviour and understand the value of material and learn how to behave as a
consumer. Rehearsal includes the information of material and as consumer knowledge
contributes an important part in purchasing. It enhances the level of understanding and
memorizes the material. Consumer memory stores the perception of each object which they
already had seen before or listened about it. The memory stores the information, brand
awareness, brand equality etc. This rehearsal will impact on consumer understanding and helps
them to behave the good personality having a great attitude in service provider and other
consumers.
Marketers have the power to understand the psychology of consumer so that their main aim is to
create the strategy which attracts the customer on their brand. Marketer encourages the consumer
to start rehearsal like giving a workshop regarding their brand. In which they provide
information about the product and its service, taught them how to maintain the long term service
with them only. Marketers have strong communication with the consumer by which they analyze
what the expectation of the consumer .A recent study says that nowadays rehearsal is converted
into advertisement and most of the marketers always think further which enhance the sales rate
of the organization (Farook, 2016).
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f. What is information overload, and how can it be avoided?
Information overloaded can be defined when a consumer has a vast amount of knowledge for a
specific object and it will because of distortion in decision making. If the source will not be
reliable, the information is useless and cause irrational choice behaviour. It creates confusion in
between perception and target. If information is collected by the experience or the quality of
choice, then it considers as favourable information. ALDI supermarket provides information
about the products, tools and brands information.
The consumer can access the knowledge by internet, online sources, the experience of other
customers etc. By the help of this, it creates a good relationship between the product and the
consumer. Consumer behaviour is directly proportional to the information overloaded. If an
individual is having more information regarding a particular product, it will create
misunderstanding due to confusion. Information overloaded will be avoided by keeping things as
more uncomplicated as in which collected data should be accessible to understand. The
information must be relevant according to the service or product which will be implemented by
the consumer. Gather supporting and balanced information (Gasimova, 2015).
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g. What is consumer involvement? Why is it important to marketers?
Consumer involvement is a condition which encourages the consumers for purchase, or the
benefits a consumer places on product and services. There are various types of levels of presence
a consumer which helps in the decision-making process and various factors that affect that
involvement. In this process, it identifies with the help of products and services offers,
customer’s consumptions arrangements and consumers perceptions towards the products. It is a
process of physical as well as metal whereas the consumers put into when they purchase
particular products.
Consumer involvement is important for the marketers because their presence and involvement
show how the greater numbers of target market describe to the purchase of products and services.
It is related both the interest which includes high involvement and low involvement. Marketers
gain the chances of customer’s perceptions of purchase conditions. It includes high involvement
and low involvement. It shows that when customers show their high involvement towards
particular products then in these situations marketers need to give the information towards the
products. In the other hand, if marketers face with both the situations whereas customers show
high and low involvement, they deal with both the factors separately by taking the opportunities
and in the marketing mix (Sung, 2017).
For example- Previous records of ALDI company analysis describe that consumer behaviour
helps to improve its marketing strategies.
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h. What are central and peripheral routes to persuasion? Why is it important to
marketers?
Central routes to persuasion mean in this cognitive pathway which affects the attitudes going
direct by rational mindset, affected attitude with proofs and logic. For example- some retailers
said that their products have proven that it is more effective. The peripheral route to persuasion
means that when customers influenced and persuaded by something other views, reviews rather
than the message passed. In this type of persuasion customers attitudes are changing by the
rational mind and appeal to desire-ness. For example - come retailers said that customers who
buy their products are happy and impressed. When making attitudes towards the brand, it is
essential to determine that there are various types of customers who show their different interest
in the products. It includes high and low involvement. Different consumer’s mindset has shown
various routes of the process of ineffective connective with various types of consumers. These
routes are central and peripheral routes (Petty, 2016).
These routes are important to the marketers because it attracts to them; it affords them the
capabilities to consider and determine what factors of significance to target. It helps the
marketers to determine the beliefs towards the outcomes of the purchase decision, how these
beliefs are investigated. How motivated consumers are observing with other peoples thoughts.
For example- Some company’s customers show their high involvement, and it shows peripheral
routes towards their products. It also affects marketers and consumers (Shrum, 2012).
Figure 1: Consuming blog
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