Consumer Behaviour and Insights Report

This report delves into consumer behavior and consumer insights, focusing on a case study of H. Samuel, a large jewelry retailer. It explores the differences between consumer behavior and consumer insights, emphasizing the importance of understanding customer needs and preferences. The report identifies three key marketing decisions requiring urgent attention, proposes research objectives for developing consumer insights, and analyzes a consumer behavior model linking internal and external factors to purchasing decisions. It also includes survey findings, recommendations for improvement, and a conclusion summarizing the impact of socio-cultural and psychological factors on consumer behavior. The research approach used both quantitative and qualitative methods to gather data and analyze consumer perceptions and satisfaction.

Consumer Behaviour
and
Consumer Insights

Table of Contents
INTRODUCTION...........................................................................................................................3
Section A .........................................................................................................................................4
1. Understanding of consumer behaviour and consumer insight. Briefly explain any three
marketing decisions which need an urgent attention of marketing managers of H. Samuel......4
2. Based on the case study, identify and justify any three-research objectives for developing
consumer insight for H. Samuel. ................................................................................................5
3. Analyse and propose a consumer behaviour model that links factors of consumer decision
making to purchasing H. Samuel’s products. Your proposed model should theoretically relate
consumers’ two external and two internal factors with the three research objectives/issues
identified in Qs 2.........................................................................................................................5
3. Research Approach .....................................................................................................................9
SECTION B...................................................................................................................................10
4.Survey findings on each of the three research objectives identified for H Samuel..............10
Findings..........................................................................................................................................10
5. Recommendations.................................................................................................................11
CONCLUSION .............................................................................................................................11

INTRODUCTION
Consumer behaviour and consumer insights are related to each other and yet a bit
different. Consumer behaviour is the study of the purchasing behaviour of consumers, that
includes their buying behaviour like what is in their mind when they select , buy, use and dispose
ideas, goods, and services. This study is done to know the needs and requirements of customers
and to know their feedback on it(Kardes Cronley and Cline 2014). Whereas consumer insight is
the deep study on their behaviour which if conducted successfully has the potential to change
their behaviour and will result in benefiting both the consumer and the seller. It is somewhat
related to the research and development on the consumers interests. The present report is based
on the case study of H. Samuels which is the world's largest specialist jewellers.(Xiang.,
Magnini,and Fesenmaier2015). operating in UK and Ireland with 303 stores running . It has
been known for a fact that to sustain in market, certain strategies should be change and the study
of change in consumer behaviour must be conducted every then and now. The reviews about H.
Samuels are not good and for retaining their customers, study of consumer behaviour and
consumer insights must be done which is conducted in this report. As it requires a deeper insight
into consumer behaviour.
Section A
1. Understanding of consumer behaviour and consumer insight. Briefly explain any three
marketing decisions which need an urgent attention of marketing managers of H. Samuel
Consumer behaviour is the study of the steps that are involved when individuals or
groups select ,purchase, use or dispose of products to satisfy their needs and desires. While
consumer insight focuses on the interpretation of trends in human behaviours which is done to
increase effectiveness of products or services(Oliver 2014). It means collecting information bout
the preferences of customers that allows the businesses to acquire, develop and retain their
customers. As the reviews of H. Samuels are not at all good , they might loose their customers
so there is an urgent need to bring change in the marketing decisions. The marketing managers of
H. Samuels need to give urgent attention to these three decisions:
 Cognitive: cognitive decision-making involves thinking part. It further have three
categories such as -

◦ Deliberate – this style of decision making is a structured process and make decisions
before time so that when time arrives they are ready to take instant actions.
◦ Rational- it is a multi step process for making choices among the alternatives that are
their in the market. The process of rational decision making favours logical thinking.
 Habitual: This type of decision making involves only minimal search(Paul and Rana
2012), consumers don't search for various alternatives before purchasing. These are
routine purchases. These decisions takes place mostly in case of necessity items that they
are habitual of buying.
 Affective: It is a strategic model of choices where rational and emotional process .
Emotional processes of decision making makes you purchase things with which you are
attached emotionally( MacInnis and Folkes 2010.). Then irrespective of whether you
need it or not, you will buy it.
So the marketing managers need to focus on these behaviours of customers before making any
strategies.
2. Based on the case study, identify and justify any three-research objectives for developing
consumer insight for H. Samuel.
According to the case study, it has been concluded that H. Samuels are having problems
with managing and retaining their customers due to the bad services of them or due to the online
reviews , people are spreading bad word of mouths . They are facing problem in attracting them.
For developing consumer insight they have to understand their customers preferences deeply and
work for attaining their wants and requirements( Heinonen 2011). They should deal with the
complaints of customers, their after sale services, deal with the dissatisfaction of customers,
product quality, perception of customer, online perspective, word of mouth , make them brand
loyal etc.(Schmitt 2011) For this the objectives that they can attain for gaining consumer insights
are-
 To analyse H. Samuels customer satisfaction on cultural perception towards emotional
attachment by country differences in U.K.
 To examine brand loyalty of H. Samuels after the purchase of products based on
various complaints from the UK customers
 To evaluate Consumer Ethic and Corporate Social Responsibility of H. Samuels products
to their UK customers.

3. Analyse and propose a consumer behaviour model that links factors of consumer decision
making to purchasing H. Samuel’s products. Your proposed model should theoretically
relate consumers’ two external and two internal factors with the three research
objectives/issues identified in Qs 2.
Consumer behaviour theories
as per Schiffman and Wisenblit, the theory of reason of action (TRA) integrate the cognitive,
conative, affective factors . This theory propose that TRA is a attitude of consumer that affects
their purchasing behaviour considering internal and external factors(Chamlertwat and et.al
2012). As the consumers of H. Samuel measures the act of their buying behaviour towards the
purchase of their jewellery , if they are not able to satisfy their customers then the customers may
go to some other alternative, and they will loose their customers.
Consumer decision making model
this model is portrays that the output decision process of h. samuels consumers decision
making model , during and after their purchasing of jewellery. The consumer goes through
various stages for making a decision to but something . And the learning concepts behind this
model are:
 motive: it is often described as either general or specific goals behind purchasing of an
article.
 Evoked sets: the product or service is consumed for assessing the ability to satisfy hi or
her needs.
 Decision mediators: the buyers psychological norms are used for assessing purchase
alternatives.
 Predispositions: a prejudiced preference towards a specific brand in the evoked set
expressed as an attitude towards them.
 Inhibitors: the external environmental forces(Chamlertwat and et.al 2012.), say for
instance scarce resources like financial or time etc. which restrict the consumer to buy the
thing he wants.
 Satisfaction: in this post purchase behaviour is evaluated as it will tell whether the
customer is satisfied with the services he is getting. The post purchase behaviour decides
that whether he will purchase it again or not(Brodie, Ilic, and Hollebee 2013). It depicts
the satisfaction level of customers. The below figures will show the consumer decisions

model , they have unique similarity of process and distinctiveness that will use in
analysing H. Samuel's consumers decision making when making purchase on their
product.

1.
input consumer decision making model
the process through which consumer makes a decision to buy is based on three external
stimuli namely., input, process and output. H. Samuels consumers learnt about their premium
jewellery from various sources of communication and that is related with and is influenced by
the response of sociocultural factors associated with external factors.
2. consumer decision making process
decision making process is based on how the consumers makes decision keeping in mind
all the psychological influences with internal factors(Jansson Marell and Nordlund 2010), which
determines the decision process of consumers (need, information search, assessment of
alternatives)
the decision making process involves the following steps:
 Need Recognition: the first and foremost step is the need generation, when the need
arises then the customer will think of buying something.
 Information search: then after the need is recognised then the buyer will collect the
information from various sources as from where to purchase or collect information about
the product.
 Evaluation: this stage is influenced by internal and external factors believed to motivate
purchase.
 Purchase : after gaining the information the buyer in this stage will purchase the product
 Post Purchase Behaviour: this stage decides whether the customer will return or not. It
measures the satisfaction level of customers and these are often measured as the level that

the customer expected and the actual thing that he has got. If it is matched he will
purchase again and it not he will not purchase again and may spread bad word of mouth.
Output Decision Making
it is revolves around purchase, consumption and post purchase evaluation. Purchase is
considered to be the most significant aspect as they increases sales(Darley Blankson and Luethge
2010). After they have purchased the jewellery if they are satisfied with the qualities and other
aspects of jewellery they will buy it again and if they have felt the '' value for money'' gives them
the opportunity to buy again.
According to the case-let the consumers of H. Samuels makes decision on their routine
behaviour with cognitive view and make decisions based on all the three decision-making when
they are about to make purchase of their preferable products.
Proposed decision model

Two internal factors:
1. Perception
It is identified as communication sources which
Samuels consumers can select, classify and understands messages, decode if from the
sources in associating the product with a specified awareness(Durante Griskevicius and L201).
The
process of perception consist of the union of five organs,:
Sound-Ears
Sights-Eyes
Smells-Nose
Taste-Mouth
Textures-Skin
These all leads to Exposure – Attention – Interpretation
the unionism of sight, texture attracts the customer to buy jewellery of Samuels and expected to
appeal to consumers loyalty (satisfaction) to

increase trust and reduce dissatisfaction. Perception is mainly focused on two utmost importance
emotions through understanding of personality : ego-focused and other focused emotions, these
are controlled by biased stimuli and connected with psychological influence(Vinerean and et.al
2013). Different customers have different perceptions . Same product have different value for
different customers. Their sentiments related to the product played a major role in purchasing
them.
2. Ethical Issues/ Customer’s Social Responsibility
The behaviour of consumer impact the decision base in purchasing the product
and it has risen the ethical concern has increased obligatory by the consumers who are making
purchases. The business should incorporate social responsibility at every stages of psychological
influences the decisions of satisfying the demands for the improvement of health of targeted
consumers and society(Olbrich and Holsing 2011), and they can achieve the business goals and
earn profits and achieve targets. The corporate social responsibility includes activities done for
the betterment of the society . And following ethical code of conduct. Corporate responsibility
have always played a major role in improving the image of the company in front of customers ,
societies, stakeholders.
After studying in detail about the consumer behaviours of H. Samuels it has been
understood that the objectives of the research that has been mentioned previously in relation to
external and internal factors facing Samuels under the new management(Koller Floh and
Zauner2011). The factors relates are:
External:
Product: the jewellery of Samuels is branded as a premium and their diamonds have 72 cuts and
sparkle more than the other brands.
Culture: the customers are attracted by the strategies that are followed by the marketing
managers and these involves segmenting targeting and positioning. On the origins of individual
norms in developing products for satisfying the internal and external factors.
With this issues of corporate social; responsibility should be taken care of as to create awareness
within the consumers and to provide some benefit to the society.
Post purchase behaviour

This stage depicts the customers reflection on the experiences that they have gathered
from using their products./ consumption act as feedback that influence the future purchase
decisions of buying of certain products. After the Samuels jewellery has been used by the
customers, if they felt good after wearing it or they didn't get any skin reactions and the quality is
good and if they get praised for the jewellery they will buy from that shop only.
3. Research Approach
Research approach has been defined as the process of solving the problems analytically
by researching and the resulting outcomes will be used by them for the problem solving. The
research has helped to identify three objective of H. Samuels that they need to consider for
consumer insight. Quantitate approach(Mick and et.al 2012) , with both explanatory and
exploratory research has been conducted. the researcher has used non probability sample to
select 10 unbiased random males and females . At the primary stage data is gathered by websites
journals, questionnaires . Quantitate study involves data collection on the purchase of jewellery
by consumer insight (gender, behaviour, perception)
the descriptive research has been used I organising data for evaluation to concentrate in
understanding the qualitative enquiry limits. it examines the socio factors and psychological
factors in making the decision of purchase. It has been studied that what is the thinking of the
customers behind the purchasing of these premium jewellery and what they thin before gifting it
to others, and what are their behaviour after they have consumed the jewellery and their after
sales services experiences. Whether the sales person attends them properly or they are neglecting
them and avoiding them once the payment has been received. All the factors are to be considered
for managing and retaining the customers( Griskevicius and Kenrick2013). As customer
retention is more important . They become business laggards and are the most loyal customers.
Primary data collection was done by questionnaires , it contains several questions regarding their
products and their services. How well trained is their staff and how new is their design, whether
the quality is up to mark or not.
SECTION B
4.Survey findings on each of the three research objectives identified for H Samuel.
The data was gathered with the support of designed questionnaires, analysis and
interpretation is done by analysing the answers given by the respondents. To examine the loyalty

of customer surveys has been conducted and the level of dissatisfaction has been measured. It
has been found out that the customers face more dissatisfaction while purchasing online and the
staff members after they have purchased does not treat them well. They does not pay attention to
the customers if they have any sort of problem or issue. The main objectives of them is
customer satisfaction and keeping in mind the beliefs of their cultures and values. Second
objective is to attain brand loyal customers these can be achieved if the customer is getting full
satisfaction and they are considered as permanent customers. They did not search for any other
alternatives . Third and most important objective is to be ethical and incorporate social
responsibility(Arts, Frambach and Bijmolt 2011). This is important as it will help the company to
get its reputation back. As it has been decreased a lot after the reviews given by the customers.
Findings
According to Verhagen and van 2011 , cultural impact perception and cognition in
diverse factors like social psychological influence, values and beliefs. The socio cultural factors
affects a lot on the purchasing behaviour of the consumer. The consumer behaviour model
played an crucial role in the purchasing behaviour and the companies are in great need to
understand the perspective of the customer. Their insight is very necessary. The consumer
model is founded on the grounds that the consumer purchase decision is based on seven points,
namely., the need must be recognised by the consumer , it must be followed by the search of
information both intrinsically and extrinsically. Then the alternative products will be evaluated
by them , then they will decide whether to purchase it or not, after purchasing it and consumed it
will conduct a post purchase decision as to whether they are satisfied or dissatisfied with the
product or service. In contrast there are those who favour Fishbein Ajzen Behavioural intentions
model . The outcome of this model is based on subjective norms on behaviour intentions and
attitudes
The consumer behaviour theories are based on psychology . These domains are economic
man, psychodynamic, behaviourist, cognitive and humanistic.
5. Recommendations
H. Samuels should change their marketing strategies and highlight their incorporation of
corporate social responsibility . They should showcase their ethical concerns as it will help
increasing their value in the eyes of shareholders and customers. It will increase the customer