Analysis of Consumer Behaviour and Insight for Marketers

This report delves into the intricacies of consumer behavior and provides valuable insights into the consumer decision-making process. It begins by analyzing the stages consumers go through when making purchasing decisions, highlighting the importance of understanding these stages for marketers. The report then contrasts and compares the decision-making operations of B2B and B2C business organizations, emphasizing the key differences in approach and communication. Furthermore, it explores various market research methods, equipping marketers with the tools to better understand consumer behavior. The report also analyzes how marketers can influence different stages of the decision-making process to maximize their effectiveness. The report uses Verdant Leisure and The Herbal Shop as case studies to demonstrate real-world applications of these concepts. The report concludes by highlighting the importance of consumer insights for building and maintaining strong customer relationships, achieving company goals, and enhancing brand image, ultimately contributing to long-term growth and sustainability.

Consumer
Behaviour and Insight

TABLE OF CONTENTS
LO1..................................................................................................................................................3
P1 Analysis of stages of consumer decision making journey......................................................3
P2 Importance for marketer to understand consumer decision making process.........................4
LO2..................................................................................................................................................5
P3 Contrasting and Comparing the Key Differences Between the Decision Making Operations
of B2B and B2C Business Organisations....................................................................................5
P4 Different Approaches and Methods of Conducting Market Research...................................7
LO 3.................................................................................................................................................9
P5 Analysing How Marketers CanInfluence Different Stages of Decision Making Process......9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

LO1
P1 Analysis of stages of consumer decision making journey
Consumer decision making is a complex process because it included various steps that
are performed by individual to select best possible alternative from range of option in order to
get maximum value. Preference and taste of customers or people keeps on changing due to
various factors so firm needs to effective identified recent trends and innovation to meets
customers requirements (Ciriolo, 2016). There are several stages that are used by consumer
while taking decision to make purchased of specific products and services of verdant leisure can
be illustrated as follows:
Problem recognition: The first stage of consumer decision making is unsatisfied needs or
wants of individual which motivates to search various alternative options that are available for
satisfaction of customer’s requirements. Most of the people are feeling that there are not able to
have fun and enjoyment or busy with their personal life so it have increased demand in tourism
and hospitality industry. People want a place where they can spend their leisure time, having fun
and entertainment for relaxation and reduce their mental stress. Therefore verdant leisure
manager by identified key problem have planned to provide best services to customers to live
and have fun.
Search process: After completion of first stage consumer moves to second stage in which it
search various alternative option or different destination, hotels can satisfy its requirements. Due
to digitalisation and innovation in technologies most of the customer makes use of search engine
to gather various information to take correct decision for selecting specific products and services
(Shim and Taylor, 2019). Verdant leisure has provide various detail of facilities, prices and
services that are available in company so that customers can easily compared and take right
decision to select it for spending their leisure time. Feedback, comment, likes and share or
ratings are some of the other medium that helps people to know about previous experience of
customers.
Evaluation of alternative option: At this stage customer compared price, quality of products or
services, facilities and infrastructure, location of resort, hotels so that they can have best services
in specific amount of money. Official website of verdant leisure have provide this ease and
comfort to people by uploading several images or information regarding prices of particular
services so that guest can make right choice in order to fulfil its requirements.
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Selection stages: After evaluation of various or several alternative consumer plans to select
specific company products and services to have fun and enjoyment. Various advertisement and
information on official websites have motivated number of customers to prefer services of
verdant leisure as compared to other competitors in market. Email, promotion offers and
qualitative services helps in building and maintaining strong relationship with customers thus
contributed in long term growth and success of firm.
Evaluation of decision: It is last stage at which customers after receiving services of company
evaluates or review whether it has meet their expectation or not. Thus it can be stated that it is
most important stage for firm as it contributed towards retention of customer satisfaction and
loyalty for continuous growth and sustainability (Marmor-Lavie and Stout, 2016). Manager of
verdant leisure takes feedback from customers in order to know key areas where they lack so that
they can improve in order to provide better experienced in future. Therefore, feedback, effective
resolution of grievance and problem faced by customers and qualitative services has lead to
customers loyalty and increase in brand image of firm.
P2 Importance for marketer to understand consumer decision making process
Marketer are most important individual for firm as it contributed in influencing large
number of customers to make purchase of specific products and services so that firm can earn
maximum profit margin and market share. Therefore it can be stated that marketer need to
effectively understand consumer decision making process for effective satisfaction of customer’s
requirements and achievement of firm goals.
Helps in building and maintaining strong relationship with customers: Marketer of verdant
leisure by mapping pathway of consumer decision making is able to understand needs of
customers in effective manner. Thus, formulate better strategies to satisfy their wants so that they
are motivated to be part of organisation that provides maximum value to end users.
Contribute in effective achievement of goals: Another importance of understanding consumer
decision making process for marketer is that it helps in effective achievement of company goals
(Willis, Ozuem and Ng, 2019). It is able to know the way consumer select or prefer a product or
services of specific enterprise as compared to other competitors thus set better plans to induce
people to choose services so that sales volume and profitability of firm can be increased.
Better satisfaction of customer’s requirements: Consumer decision making process helps
manager to know about taste, preference and keys areas in which its interest lays thus it can
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easily used different tools and techniques for satisfaction of customer’s requirements. Marketer
emphasis on specific services of company which can acts as a motivator for buyer to select
verdant leisure accommodation for spending their leisure time and money.
Enhance brand image: It can be stated that by marketer by understanding path way of
consumer decision making process is able to match services of verdant leisure with their
expectation thus delivered best result or outcome beyond their expectancy for growth and
sustainability of enterprise (Deb, Jain and Deb, 2018). Therefore qualitative services or best
experienced of customers have contributed towards development of strong brand image of firm.
Protect company for future changes: There are several changes in taste and preference of
customers such as use of digital tool to take accurate decision regarding selection of specific
hotels, resort. Therefore consumer decision making path way helps in understanding keys areas
or touch points at which maximum number of individual can be influenced to have services and
products of firm. At the same time manager of verdant leisure is able to know about several
benefits and drawback of technologies that create barrier in increase sales and market share of
organisation.
LO2
P3 Contrasting and Comparing the Key Differences Between the Decision Making
Operations of B2B and B2C Business Organisations.
The decision making process and operations in context of both B2B and B2C business
organisations are quite different and distinguished from one another. B2C businesses
organisations conduct operations with customers from the external markets. For example
Verdant Leisure, which provides the customers accommodation services within the hospitality
industry of UK. On the other hand, B2B business organisations conduct operations with another
business organisation. For example,The Herbal Shop is a B2B business organisation that
provides Verdant Leisure with all the hospitality condiments that their customers require such as
soaps, shampoo, conditioners etc. The main differences in the decision making operations of
both B2B and B2C business organisations are as follows:
Length of Decision Making Operations:
The overall length of the decision making operations in context ofB2B and B2C business
organisations are quite different. The consumers of B2C business organisation being the general
public do not take increased amount of time and also do not conduct significant amount of
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research when conducting decision making operations related to procuring or hiring or buying
the goods and services provided by a B2C business organisation (Nath, Saha and Salehi-Sangari,
2019). For example the customers of Verdant Leisure do not engage in decision making process
for a significant period of time, in order to thoroughly analyse and evaluate whether they are
required to purchase or procure the services of Verdant Leisure, and whether this interaction is
profitable for them or not, instead they simply evaluate the various services that Verdant Leisure
offers to them make basic decisions on whether to conduct financial transaction with the B2C
business organisation or not.
On the other hand, the other business organisations that are the customers of a B2B
business organisation take significant amount of time in their decision making operations, as they
are required to effectively and thoroughly analyse whether financially interacting and procuring
the services of goods of the B2B business organisation is actually profitable for the business
organisation or not. Various other parameters are also required to be analysed and evaluated by
the business organisation, with these also significantly impacting and contributing to the overall
time duration that the customers of B2B business organisations require before choosing to
conduct operations with a B2B business organisation. For example, Verdant Leisure is required
to thoroughly analyse the prices, product quality, brand reputation, supply chain of soaps,
conditioners, shampoos etc., that are provided to them by the B2B business organisation The
Herbal Shop (Rėklaitis andPilelienė, 2019). Only after the leadership and management of
Verdant Leisure have thoroughly analysed the prices, product quality, supply chain operations
and brand reputation of The Herbal Shop in an effective manner and judged that conducting
operations with The Herbal Shop can be productive, healthy and profitable for the Verdant
Leisure in the long run, can they make the decision to engage with the operations and products of
The Herbal Shop. This is why the length of decision making operations of the customers of
business organisations are so drastically different in contexts of B2B and B2C business
organisations such as The Herbal Shop and Verdant Leisure. they are working to provide to their
customers within the hospitality industry.
Communication:
The communication of the decision making process in the context of B2B and B2C
business organisations are also quite distinguished and different. When the leadership and senior
management of a B2B business organisation such as The Herbal Shop conducts their decision
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making operations, they are required and encouraged to effectively communicate the details and
consequences of all their decision making operations to their customers which are other business
organisations, in order for the B2B business organisation to have a bilateral productive, healthy
and profitable business relationship with their customers and retain their operations (Liu and
et.al., 2018). For example, should the leadership and management of the Herbal Shop chose to
use different raw materials for manufacturing soaps or shampoos, they are required to effectively
communicate this decision making operations, why the changes need to be made and the
consequences of changes to the raw materials to Verdant Leisure, so that Verdant Leisure can
ensure that the changes to the soaps or shampoo does not have any unforeseen negative impact
on the customer experience that they are working towards providing to their customers.
On the other hand, when the leadership and senior management of aB2C business
organisation conducts decision making operations, the business organisation is not required to
communicate the exact details, reasons and consequences of changes to its customers, instead the
B2C business organisation is only required to simplify the overall interaction process through
which their customers engage and interact with the business organisation. For example, should
Verdant Leisure’s senior management and leadership choose to modify their organisational
policies and rules towards their employees so that better customer service and experience can be
provided to their customers within the hospitality industry, they are not required to communicate
the reasons, details or consequences of such changes to their customers within the hospitality
industry, which is in stark contrast to the decision making operations in context of B2B business
organisations.
P4 Different Approaches and Methods of Conducting Market Research
In the contexts of both B2B and B2C business organisations, there exist various different
approaches and methods of conducting market research, through which marketers and leadership
of the business organisation can better understand and gain insights into the behaviour of their
customers. The different approaches and methods for conducting market research in contexts of
B2B and B2C business organisations are as follows:
Feedbacks and Surveys: B2B and B2C business organisations such as Verdant Leisure can
conduct their market research through making use of created feedbacks and surveys. Both
feedbacks and surveys are primary research techniques through which B2B and B2C business
organisations can effectively procure relevant, valid and reliable data for their market research
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and analysis purposes (Pandey and Mookerjee, 2018). The feedbacks and surveys of B2B and
B2C business organisations can ask their customers details that involve all aspects of their
purchasing behaviours and decision making operations, through which the B2B and B2C
business organisations can effectively analyse and determine the needs, demands, requirements
and preferences of their customers which is a vital aspect of the market research. The customers
can detail their views, beliefs, preferences and even recommend how the B2B and B2C business
organisations can improve their existing business operations through the dedicated surveys and
feedbacks.
Primary Research: Primary research relates to all the research conducted and data procured by a
party themselves for their research purposes. Through primary research and data collection
techniques such as interviews, questionnaires etc., both B2B and B2C business organisations can
effectively procure highly relevant, valid and reliable data that is specific to their business
organisation and target customers, though which they are able to effectively conduct their market
research operations. For example, using primary research, Verdant Leisure can ask their
customers dedicated questionnaires about the customer experience at Verdant Leisure, the
customer service metrics and how these can be effectively improved etc. Using primary research
method allows for B2B and B2C business organisations to conduct market research specifically
for their own operations, with the conclusions of the market research being highly valid and
reliable for the respective B2B and B2C business organisations.
Secondary Research:B2B and B2C business organisations can also make use of secondary
research approach, in which they make use of data that is available in the external environments
such as the internet for their market research purposes. This method uses data that was collected
by researchers for purposes other than to what the B2B and B2C business organisations now
applies it to and hence produces conclusions that can be invalid, unreliable or irrelevant for the
business (Davidaviciene,Pabedinskaite and Davidavicius, 2017). This is much cheaper as
compared to the B2B and B2C business organisations conducting primary research themselves
and if the source of the secondary research is valid and reliable then the B2B and B2C business
organisations can use secondary research approach for conducing market research.
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LO 3
P5 Analysing How Marketers CanInfluence Different Stages of Decision Making Process
The consumer decision making process at both B2B and B2C business organisations is
made up of 4 stages- awareness, research, booking and post stay stages. The marketers of B2B
and B2C business organisations such as Verdant Leisure can effectively influence the decision
making process at all stages in the following manner:
Awareness Stage: This is the first stage of the consumer decision making process of businesses
operating in hospitality industry such as Verdant Leisure. At this stage, consumers become aware
of their need to go on a vacation or a holiday which requires them to make a decision. At this
stage the marketers of Verdant Leisure can offer and provide to their customerswith brochures
and marketing content of their hospitality establishments in order to attract the customers to
engage and conduct financial transactions with Verdant Leisure.
Research Stage: At this stage, the customers research the tourism destination and
accommodation preferences at the destination (Zhang and Du, 2020). The marketers of Verdant
Leisure can run their marketing content by the customers providing them all the information
about the location of their hospitality establishments, the various services provided, the price of
services etc., in order to effectively influence their decision to engage and interact with the
operations and services of Verdant Leisure.
Booking and Stay Stage: During booking and stay stages, the marketers of Verdant Leisure can
provide their customers with various packaged deals, discounts and vouchers for specialised
services such as complementary breakfasts, in an attempt to attract the customers to conduct
financial transaction with the hospitality business organisation and increase their customer
satisfaction metrics of staying at the hospitality establishments of Verdant Leisure.
Post Stay Stage: The post stay stage refers to the stage when customer has finished their stay at
the establishments of Verdant Leisure and is a vital stage that marketers can influence. During
the post stay stage, the marketers of Verdant Leisure can try to increase their brand value and
reputation amongst their customers by providing them with effective customer service
(Rudawska, 2019). The marketers of Verdant Leisure can also provide them special membership,
VIP points, special future packaged deals, in hopes of gaining their customer’s long term loyalty.
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CONCLUSION
Through the findings of this report, it can effectively be concluded that consumer
behaviour and insight has an immense impact on the operational and financial performance of
both B2B and B2C business organisations and heavily impact their success within the
operational industries. This report analyses the phases of consumer decision making journey and
analyses the importance of marketers towards mapping a path to purchase and inherently
understanding the behaviour of their customers. The report also evaluates the key differences in
the decision making process of both B2B and B2C business organisations. Further the report also
assesses the various methods and approaches of conducting market research for B2B and B2C
business organisations. Finally, the report determines how marketers of both B2B and B2C
business organisations can influence the various phases of the decision making process towards
increased performance and success of the business organisation.
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REFERENCES
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B2B AND B2C COMMUNICATION. Transformations in business & economics.16(1).
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Insights for Customer Relationship Management. In 2018 8th International Conference
on Cloud Computing, Data Science & Engineering (Confluence) (pp. 758-764). IEEE.
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corporate brands in B2B vs. B2C markets. Industrial Marketing Management.71.
pp.147-159.
Marmor-Lavie, G. and Stout, P. A., 2016. Consumers’ insights about spirituality in
advertising. Journal of Media and Religion, 15(4). pp.169-185.
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model of antecedents behind usage of social media for travel planning. Journal of
Business & Industrial Marketing.
Pandey, S.K. and Mookerjee, A., 2018. Assessing the role of emotions in B2B decision making:
an exploratory study. Journal of Indian Business Research.
Rėklaitis, K. and Pilelienė, L., 2019. Principle differences between B2B and B2C marketing
communication processes. Management of Organizations: Systematic Research.81(1).
pp.73-86.
Rudawska, E., 2019. Sustainable marketing strategy in food and drink industry: a comparative
analysis of B2B and B2C SMEs operating in Europe. Journal of Business & Industrial
Marketing.
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Insights. IT Professional, 21(5). pp.48-56.
Willis, M., Ozuem, W. and Ng, R., 2019. Enhancing Online Brand Relationship Performance:
Insights and Reflections. Harnessing Omni-Channel Marketing Strategies for Fashion
and Luxury Brands, p.129.
Willis, P., 2018. B2B Versus B2C Communication. The International Encyclopedia of Strategic
Communication, pp.1-10.
Zhang, J. and Du, M., 2020. Utilization and effectiveness of social media message strategy: how
B2B brands differ from B2C brands. Journal of Business & Industrial Marketing.
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