HK2011 Buyer Behaviour Group Report on Huawei iMate 20

This report provides a detailed analysis of buyer behavior concerning the Huawei iMate 20, a new phone launch by Huawei in the Australian market. The report begins with an introduction to consumer behavior and its relevance to marketing, followed by an examination of the STP (Segmentation, Targeting, and Positioning) strategy employed for the iMate 20, including demographic and psychographic segmentation. It then explores customer satisfaction factors, such as product quality, pricing, and key features, and delves into the consumer decision-making process. The report further investigates both internal (personal motives, attitudes) and external influences (phone features, social and economic factors) on consumer choices. Finally, it offers recommendations for competitors, such as product differentiation and targeting weaknesses. The report concludes with a summary of the key findings and provides a list of references. The assignment was completed as part of the Holmes Institute HK2011 Buyer Behaviour course.

Running Head: BUYERS BEHAVIOUR 0
BUYERS BEHAVIOUR
Student name
5/22/2019

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Contents
Introduction......................................................................................................................................2
STP strategy.....................................................................................................................................3
Targeting......................................................................................................................................3
Segmentation...............................................................................................................................3
Positioning...................................................................................................................................4
Customer satisfaction.......................................................................................................................4
Decision making process.................................................................................................................5
Consumer influences.......................................................................................................................7
Internal influences.......................................................................................................................7
External influences......................................................................................................................8
Recommendation.............................................................................................................................9
Summary........................................................................................................................................11
References......................................................................................................................................12

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Introduction
Consumer behavior is the analysis of the group of people and individuals and all related
activities along with buying, use and dispose of products and services that include customer’s
metal, emotional, and behavioral reaction that will follow the planned activities. The purpose of
the report is to assess the buyer behaviors and key influencing factors that will affect the
purchasing decision of the customers for a new phone launch by Huawei that is IMate 20. Buyer’
purchasing decision depends on various factors and circumstances. The company can take key
actions in order to influence the purchase of the product through marketing activities (Kaplan,
2015).
Huawei technologies are one of the multinational telecommunications founded and based in
China. The company offers consumer electronics and equipment’s across various nations. The
key products of the brand include smartphones, PC’s tablets, Broadband, and tablets. This model
of phone is the base model of IMate 20 Pro that was a successful model. The products display,
features, and utility are extraordinary. The report will discuss key aspects based on the buyer’s
behavior regarding this model of Huawei (techradar, 2019).

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STP strategy
The key strategy that reflects the buyer behavior regarding the brand and product includes
segmentation, targeting, and positioning strategy for Huawei iMate 20.
Targeting
Market size – For iMate 20, the company will target a wide market area in Australia. This means
that the company will be targeting various nations; this report will consider the Australian market
specifically.
Accessibility – Another aspect that would be considered while targeting the market by iMate 20
would have easy accessibility of product and services to the customers by offline and online
mode. This will also help the company to reach out to the maximum customers through various
mode of the channel (Ang & Rusli, 2018).
Segmentation
 Demographics segmentation – Considering this segmentation the key customer that
would be targeted include young age group that is looking for featured phones. This
would include people of the age group from 16 to 40. The reason being these are the
people who seem to be interested in exploring and comparing the features of the phone
and find utility as the key element in a purchase decision. Moreover, middle-income
group is targeted through this product while observing the pricing strategy of the
company.
 Psychographics segmentation – This segmentation would include the reason for the usage
of the product by the customers. The customer segmentation considering this factor

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would be everyday users for the purpose of entertainment, work, and socializing. The
people more interested in entertainment and office work can be targeted for iMate 20
(Choi, 2015).
Positioning
Functional positioning
There are three major kinds of positioning that are functional, symbolic, and experiential. For
iMate 20, the most appropriate kind of positioning would include functional positioning. This
would include the key qualities and features of the product that would be helpful for the
company to gain competitive advantages. The key features of the products include
 Kirin 980 processor
 Good internal storage that is either 4GB RAM and internal storage of 64GB or another
combination of RAM of GB and internal storage of 128GB, which is expandable too
(Chung & Fiore, 2017). ‘
Customer satisfaction
The key aspect that the customer desires from a phone model would be high quality, good
design, and relative price for the product that would depend on the satisfaction level of the
customer from a particular product. The ways through which iMate 20 is able to satisfy the needs
of customers would include
 Quality of the phone – The Company is attempting to enhance customer satisfaction
through offering high quality products to the customers.

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 Power for the price – Considering the reviews from the customers, the customer finds the
phone price worth paying for the phone and for its features. The pricing of the product is
not too high as compared to some of its competitors like Samsung and Apple who are
asking for quite a high price for such features.
 Key Features of iMate 20 – There battery life that is 4000 MAH batter, which is quite
high in comparison to its key competitors. This is one of the features of iMate 20 that the
customers would consider while making a purchasing decision and would be responsible
to enhance the satisfaction level among the customers.
 For the customers to target who are buying iMate 20 for entertainment purpose would
consider camera features of the phone while making a purchase decision. The camera
quality of this model was popular for versatile stills and the pictures and video camera of
the model. This feature of the phone would also increase the customer satisfaction level
(Safari et al., 2016).
Decision making process

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Figure 1: (Source: (netmera, 2019)
From the above graph, it can be said that for the purchase decision of the customer for mobile
phones the key stages would initiate from recognizing the need or desire of the customer. This
would include that if the customers were in need of purchasing the product or developing the
purpose to purchase. Marketers play a major role in this stage as an effective marketing
campaign could influence or mold the needs of the customer.
Another stage includes a search of information regarding the product and other alternatives
available in the market. In this stage, the availability strategy of the company would affect the
purchasing decision. The third stage would include evaluation of the alternatives searched in the
previous stage. Afterward, the company makes a purchase decision, therefore, all the activities
by the marketer in previous stages would reflect in this stage. Lastly, the post purchase behavior
of the customer that would include getting after sales services, for instance receiving an update

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of the delivery of the product by the companies would enhance the experience of the customers
(netmera, 2019).
Consumer influences
Internal influences
Internal influences are the factors of the customer or their personal internal factor that would
influence the purchase of iMate 20. These would include two major categories
 Personal motives and needs
These are the needs or purpose of the customer that would affect the purchase. In case the
customer previous model of current phone is not in proper working mode, or a customer
is willing to update phone model due to degradation of previous technology. These needs
would influence a customer to purchase goods (Sharma & Gautam, 2017). However, a
marketer can put efforts to influence the needs of the customer through the position of the
product. For instance, iMate 20 could offer customers the exchange offer where they can
pay less for the exchange of the old phone. The motives could be different for all
customers like those that some would be buying a phone for entertainment purpose,
interested in clicking pictures, or purchasing for business related purpose (Pappas, 2016).
 Attitudes
The attitude of customer towards a brand that is Huawei or iMate phone range would
influence. This would include the way a customer perceives the phone that is either
through its features, or price, or looks, design, color, etc. these are the personal believes
of the customer which would influence the purchase. This would also include the buying

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pattern of the customer (Finne, 2017). It has been observed that some customer is
purchasing the phones at a rapid rate that is they purchase phone but sell that and
purchase another one very quickly. This would influence the purchase of iMate 20.
However, some customers change their phones only in the case of any damage or loss, or
inability of the phone to work appropriately. This will also influence the purchase of
iMate 20 (Chung & Fiore, 2017).
External influences
 Phones features and qualities
One of the major factors that would influence the purchasing decision of the customer for
iMate 20 would be the key features and physical appearance to the product that will
attract the customer. At the stage of the alternative evaluation in the buyer decision-
making process, this factor stands a major role while influencing. As already discussed in
previous sections regarding the key feature of iMate 20, it included a versatile video
camera, extra-long battery life and quality, and price worth’s phone. This would majorly
influence the decision of the customers (Mohd & Sasmita, 2015).
 Social factors
Social factors that will influence the purchase of iMate 20 include family of the customer,
reference groups, status and role of influencer. This would also integrate the cultural
aspect for instance; in some of the culture, the elder of the family generally make the
purchase decision. However, on the other hand, children in the family influence the
purchase of the product (Kumar et al., 2018). The design, features observed by children
would influence the purchase of iMate 20 phones for their parents. Another factor is the

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reference group whose perception would also influence the purchase of iMate 20. In case
an individual reference group is higher income group they would also influence the
product positioning status symbol and in case of middle income group the influence
would be more towards functionality phone. This could be the reason that iMate 20 is
targeting middle-income group customer segment (Gong & Yi, 2018).
 Economic factors
The key economic factors include the income level of the customers and purchasing
power too, which would influence the purchase of iMate 20. For instance, the income of
the households in the nation increases then the influence to purchase technical or
entertainment product would also increase (Chung, 2015).
Recommendation
Key recommendations for competitors of the iMate 20
 Differentiation strategy – The competitors can be considered product and price
differentiation strategy to gain an advantage. This would include a model with higher and
better technology use and various models with different prices according to features and
technology used in the model. This would able the competitors to target different income
groups as compared to iMate 20.
 Dust and water resistance – The key weakness observe in iMate 20 models was that the
product was not dust or water resistance, which can be considered by the key competitors
of the company and target the customer while positioning through the safety of the
product. This would help the competitors to gain competitive advantage by using their
strengths to target customers where iMate 20 lag.

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 Higher screen resolution – Another major feature that is not been considered by iMate 20
would lower screen resolution, which the key competitors can take advantage by
integrating high-resolution screen. This would also let the buyers target the customer
especially at the stage of evaluation of alternatives in the purchase decision-making
process by buyers.

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Summary
From the discussion of buyer behavior, key highlights were that Huawei technologies are one of
the multinational telecommunications founded and based in China. The report included key
influencing factors that affected the purchasing decision of the customers for a new phone launch
by Huawei that is iMate 20. For iMate 20, the company will target a wide market area in
Australia and easy accessibility of product and services to the customers by offline and online
mode. For iMate 20, the most appropriate kind of positioning would include functional
positioning.
The ways through which iMate 20 is able to satisfy the needs of customers would include power
for the price, quality of the phone, and key features of iMate 20. it can be said that for the
purchase decision of the customer for mobile phones the key stages would initiate from
recognizing the need or desire of the customer and ends at post purchase behavior. Internal
influences would include two major categories personal motives and needs and Attitudes of
customer towards a brand that is Huawei or iMate phone range. External influences included
social factors, phones features and qualities, and economic factors.

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References
Ang, C. & Rusli, H., 2018. The Impact of Marketing Mix 4Ps and Consumer Behavior toward
Purchase Decision of Adidas Products. iBuss Management, 6(2).
Choi, M.G., 2015. The effects of CSR on customer satisfaction and loyalty in China: the
moderating role of corporate image. Journal of Economics, Business and Management, 3(5),
pp.542-47. Available at: http://www.joebm.com/papers/243-M10014.pdf.
Chung, T.L., 2015. The role of listening in e-contact center customer relationship management.
Journal of services marketing, 29(1), pp.49-58.
Chung, J.E. & Fiore, A.M., 2017. The Effects of Shopping Motivation and an Experiential
Marketing Approach on Consumer Responses toward Small Apparel Retailers. Fashion, Industry
and Education, 15(2), p.11.
Finne, A., 2017. Communication-in-use: customer-integrated marketing communication.
European Journal of Marketing, 51(3), p.445.
Gong, T. & Yi, Y., 2018. The effect of service quality on customer satisfaction, loyalty, and
happiness in five Asian countries. Psychology & Marketing, p.472.
Kaplan, B., 2015. Marketing Strategies For The Generation “C” Consumer Behavior: An
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Value in Economics, Finance, and Marketing, pp.463-75. Available at: https://www.igi-
global.com/chapter/marketing-strategies-for-the-generation-c-consumer-behavior/121375.

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Kumar, V., Harmeling, C.M. & Palmatier, R.W., 2018. Customer Engagement Marketing. In
Customer Engagement Marketing, pp.1-27.
Mohd, N. & Sasmita, J., 2015. Young consumers’ insights on brand equity: Effects of brand
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Distribution Management, 43(3), pp.276-92.
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[Online] Available at: https://www.netmera.com/wp-content/uploads/2015/10/E-Book_Effects-
of-Mobile-Marketing-on-Consumer-Decision-Making-Process.pdf.
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behaviour. Journal of Retailing and Consumer Services, 29, p.92.
Safari, N., Safari, N. & Montazer, G.A., 2016. Customer lifetime value determination based on
RFM model. Marketing Intelligence & Planning, p.446.
Sharma, V. & Gautam, V., 2017. The mediating role of customer relationship on the social
media marketing and purchase intention relationship with special reference to luxury fashion
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techradar, 2019. huawei-mate-20. [Online] Available at:
https://www.techradar.com/au/reviews/huawei-mate-20.