Customer Behavior Analysis and its Impact on Marketing Strategies

This report analyzes the integral role of marketing in business, emphasizing how consumer behavior significantly influences marketing strategies. It explores various factors influencing consumer decisions, including the mix of channels, the impact of social media, and individual influences on the purchase decision process. The report also examines how marketers can understand these influences to enhance their strategies, focusing on the 7Ps marketing mix. Ultimately, the goal is to motivate, delight, and retain customers, thereby increasing corporate profitability and customer satisfaction. The study highlights the importance of understanding consumer needs and preferences to innovate and maintain competitiveness in the market, emphasizing that companies should leverage consumer behavior insights to develop effective marketing approaches.

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Customer Behavior
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Executive Summary

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This report shows analyses how marketing is an integral part of a company. For most products
and services to be visible marketing has to be on the top notch so as to help sell the products to
the intended target market. However, consumer behavior is a great determinant of any marketing
choise and peoples behavior largely influence the type of marketing done. The study of
consumer behaviors not only helps the company to know the direction of its products but also
determine the key determining factors while producing what the customer prefers. The consumer
is influenced by his tendencies, priorities and attitude due to the importance of understanding and
purchasing of consumers. This paper contains, in addition to the factors that influence and
interfere with consumer behavior, the variables of each factor to make it visible the likelihood of
using the same motivate, delight and retain customers in order to increase corporate budget
profitability and increase satisfaction through consumers
Contents

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Executive Summary.......................................................................................................................2
Introduction....................................................................................................................................3
1) Factors That Influence the Consumer Behavior....................................................................3
1) The mix of channels.................................................................................................................3
The impact of social media..........................................................................................................4
2)How individual influences impact on the consumer purchase decision process...................7
3) Marketers Understanding of Individual Influences based on Consumer Decision Making
.......................................................................................................................................................10
7Ps Marketing mix...................................................................................................................11
Conclusion....................................................................................................................................16
References.....................................................................................................................................17
Introduction
Consumption is an integral part in any business. There are various factors that affect consumer
behavior. Consumers can be broadly classified as the actions and decisions that influence the

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behavior of a purchasing consumer. Marketers help to analyze what drives consumers to choose
a particular product with respect to others. Most of the processes of selection is highly based on
reasoning and emotions. (Armstrong, Kotler, and Brennan, 2015).
Companies use the customer’s preferences to make marketing strategies and among the factors
that influence the customer’s behavior is economic conditions, personal preferences, purchasing
power, group influence and marketing campaigns.
1) Factors That Influence the Consumer Behavior
The mix of channels.
Have you ever wondered what elements influence the moment a person makes a purchase? If
you want more people to buy your products or services, then, first of all, you need to fully
understand the way in which consumers make their purchasing decisions (Baker, 2014).Making
the right decision is a priority. For this reason, when consumers are about to purchase a product
or service, they tend to inquire into different channels, in order to make the best decision. The
most common methods for gathering information about a product or service tend to be the
following:
Conversation with a person who has previously purchased the product or service.
Website of the brand or business.
Direct conversations with a representative or vendor of the company or brand.

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Fundamental factors
With countless brands competing for the attention of consumers, quality has become the most
influential factor in the purchasing decision process. Following this, the second most important
factor, to determine the final decision of a consumer, is that the product or service in question
has a competitive price (Cantallops, and Salvi, 2014). Finally, the reputation of the seller or
brand is positioned as the third of these fundamental factors.
The impact of social media
Undoubtedly, social platforms have become a vital resource of social proof for consumers. In
these, users share from videos, images and product reviews to their opinions about them.
For this reason, social networks have become a key factor influencing consumers' purchasing
decisions. Then, you are ready some statistics of the average partner with respect to the users:
More than 80% are influenced directly by their friends.
More than 30% respond to offers published by a brand if they are shared on social networks.
Almost 40% interact with the visual content of a brand through social platforms.
Today, globalization accelerates the movement of people, goods, ideas and services, violating
social and geographical boundaries. The evolution of technology is the creation of a new
economy, where the old laws are not applied, forcing everyone to change the way we behave as
consumers. The formation of a new era in terms of the size, speed and direction of the flow, the

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economic shift of wealth today is in progress, is unprecedented in modern history. This change, I
think we saw it coming, but it was quite a shock when it came and in your vacuum there are
more surprises that continuity and the target audience is the whole population around the world.
At present, influence is identified with the name of the crisis (Chaffey, and Ellis-Chadwick,
2016.). Thus, more and more people want to have a minimum of improvement in living and
consumption conditions. All this in orbit about the drive of consumer behavior, this interference
is our attention. We present the research What are the factors that influence the behavior of
consumers by adopting the method of bibliographic research, selecting authors, with theories in
the segment, the most relevant and relevant references in the world today. The study of each of
the factors, cultural, social, psychological and personal, we can give us to understand what
affects and moves, consumer behavior.
In a detailed analysis of the behavior of individual consumers, you can orient the best strategies
for launching a product, add services, innovation, stand, get markets or the best form of attack in
disclosing a product or service, so with it, regardless of the relationship, gives meaning to the
work of specialists marketing, showing the exchange between the company and customers in
order to meet the needs of both.To survive, we need to innovate and innovate, you need to know
the consumer. Thus, companies should gain their competitiveness from studying consumer
behavior to continue existing ones. (Champniss, and Dimitriu, 2017).
The decision-making process of the organizational buyer is generally the same as the decision-
making process for purchasing by a large consumer. The difference may be that in some cases,
the organizational buyer has to overcome several more stages. When making an ordinary
purchase, he misses some stages or changes their sequence.

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Useful in developing a marketing strategy can be an understanding of the process of consumer
search. How many consumers search, and with what specific sources consult at the same time -
this information is necessary in the development of a pricing strategy, promotion and
distribution. As for the sources of information that consumers use, the market operator must
carefully identify them, and then determine their comparative information value. It is necessary
to find out how consumers first learned about the product, what other information is available,
what importance is attached to each of the sources used, etc. In a practical sense, the firm should
develop such a marketing mix that its product is known to the consumer and included in the
number of options considered.
2)How individual influences impact on the consumer purchase decision process
It is also necessary to understand the decision rules applied by the buyer at the stage of pre-
purchase evaluation of options, as their result is the choice of the consumer. This understanding
shows what actions should be avoided in order not to change the rules of a positive decision,
helps to preserve and facilitate the further application of this rule by the consumer, makes it
possible, if necessary, to change the rules, while influencing the final result. Important here can
be a way to organize and present information about the characteristics of the product, its key
properties, the degree of their relative importance, etc (Claiborne, and Sirgy, 2015).
As already noted, not always the preference or even the intention of buying leads to the actual
acquisition of the goods. The implementation of the intention can be strongly influenced by the
factors of the situation, which for the most part are not amenable to the influence of market
actors. The decision of the consumer to change, postpone, or reject the purchase options may
also depend on the perceived.

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In this case, the factors that cause a sense of risk must be taken into account in advance. So,
providing the buyer with the necessary information, it is possible to reduce the impact of
perceived risk associated with the uncertainty of alternatives and the consequences of the choice.
However, the problem of consumer preservation becomes decisive in the marketing strategy. To
this end, various tools such as database marketing, personal selling, demand stimulation,
emphasis on additional services, etc. can be used for this. Thus, understanding the needs of the
organizational consumer and the process of organizational procurement can be the basis for
successful industry marketing (Zhao, and Zhu, 2014).
Why marketing research is required and how their results can help business marketing research is
one of the indispensable tools for estimating the supply-demand ratio. More ... Based on
marketing research, the company can make management decisions that can increase profits and
reduce the risks of possible losses. Carrying out a marketing research can be recommended: for
making key marketing decisions; to assess the effectiveness of the activity; to solve problems.
More about the research ... The object of marketing research can be: goods; the market as a
whole; consumers, partners, competitors; advertising. Order marketing research ... For marketing
research it is better to use the services of a third-party organization to exclude personal interest
and subjectivity of specialists. Where to order a study? A well-considered marketing strategy of
the company is the opportunity to improve the quality of sales and to prevent possible risks.
As a result of the research, the incorrect layout of the goods and violation of the price policy
were revealed. With the help of the collected information, the research client was able to
organize the control of the distributors. As a result of the research, it becomes possible to
determine effective ways of conducting competition and ways to enter new markets, and also to

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carry out segmentation-the selection of market niches and target markets for a particular
company (Hunt, 2018). Consumer research is a key type of research that allows us to determine
the full range of factors that consumers are guided by when choosing a product. Individuals,
families, households (B2C) and organizations (B2B) can serve as research objects. In the course
of the study, the motivation of consumer behavior, supply of goods, processes and conditions for
satisfying consumer requests are analyzed. The purpose of the consumer market research is the
segmentation of consumers, the possibility of forming an offer for each segment that satisfies the
consumer as much as possible, which in the end can not but affect the growth in sales.
Also, the sales structure of the products was changed: two separate units were created to work
with different segments of customers - dealers and end users. Study of the goods. In the course of
the study, the conformity of goods available in the market to the needs and requirements of
consumers is determined, and competitiveness is assessed. Study of the goods allows you to get
the most valuable information from the customer's point of view about the consumer properties
of the goods and the data to form a successful advertising campaign (Juster, 2015). As a result of
the research, the company gets the opportunity to develop its own assortment of goods or
services in accordance with the requirements of customers, increase their competitiveness,
identify the main lines of activity. Advertising research includes preliminary testing, comparison
of actual results with expected ones, evaluation of exposure duration. The results of the research
make it possible to make decisions on the activation of the advertising campaign, to search for
new means of influencing the buyer. All methods of marketing research can be divided into
qualitative and quantitative. Quantitative, or statistical, methods are used to study the habits of
consumers, their relationship to the product, the image of the company, the reaction to
advertising. Information in this case is expressed quantitatively, it is received for a limited

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number of questions, but from a large number of respondents. The survey is used to obtain
reliable data based on a statistical sample that determines the composition of the respondents
(Hunt, 2018). Polls can be in the form of interviews, questionnaires, or conducted in a telephone
or online format in several stages: the creation of a research hypothesis - a questionnaire;
creation of a sample - the base of respondents; interviewing - personal interviews, telephone
interviews, postal surveys; data processing - obtaining, using statistical procedures, the
percentage characteristics of different consumer groups and determining the main factors
affecting their behavior; writing a report. Qualitative methods involve obtaining information
from a small group of people on a wide range of issues. Such information cannot be measured or
analyzed quantitatively, but it allows deeper penetration into the motives of consumer behavior
(Xiang,and Fesenmaier, 2015). Qualitative methods are used in the formation of marketing
concepts, testing of goods or services, before quantitative research to create hypotheses, which
then need to be checked "in the field". The main types of qualitative research are: Focus groups -
a technique in which people's points of view are identified through a group discussion conducted
by a moderator in a pre-prepared scenario. Usually 6-10 people take part in such a discussion, it
lasts one and a half to two hours. In-depth interview, conducted one-on-one with the interviewee
for one and a half to two hours. The interviewer conducts a survey on a pre-compiled manual.
But this interview is quite free. Expert assessments (Delphi method, brainstorming, devil's
advocate, etc.) make it possible to get information about possible ways of market development
relatively quickly, to reveal the weak and strong sides of the company. On the basis of qualitative
research reports are also compiled with a complex analysis of the results obtained and with
recommendations (Justin, 2015). The report can be presented in various formats, from brief to
detailed, depending on the objectives of the study and the prospects for its further use. How

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much is the service The cost of marketing research is determined by a number of factors. First of
all, these are the objectives of the study, its scope and methods.
3) Marketers Understanding of Individual Influences based on Consumer Decision Making
Sale will never take place if the buyer does not decide to make a purchase. Therefore, it is
necessary to create favorable conditions for making a purchasing decision. For example, if
someone sells goods for the office, he will not succeed if the buyers do not place orders for his
goods. Unfortunately, too often trainings, useful in other ways, neglect the study of the buyer and
his behavior.
Importance of the interaction between the buying and selling processes
It must be remembered that the interaction of the processes of buying and selling is a self-
replicating process in which the needs of one (the buyer) become the goal of the other (the
seller). Of course, there is also a reverse direction of the process: buyers who want to purchase
the right product often depend very much on the competence of the sellers, and sometimes it is
necessary to fine-tune the goods. For example, the automotive industry is highly dependent on
innovation and product improvement in the industries that supply electronics(Li, Linn, and
Muehlegger, 2014).Many small companies, lower in business level, often develop special
products for large companies. This is part of the process by which companies expand, and
products are more widely distributed.
7Ps Marketing mix
These Ps helps the company to define and review the issues that affect services and products in
marketing and helps to create frameworks in digital marketing mix

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Products/ Services
It tries to answer the question how to develop products and services in marketing when targeting
a specific clientele.
Prices
This is how to change the model of pricing and how to ensure that the prices are acceptable to
the market and cover the cost of production plus the margin
Place and access
This are the distribution options for products either in mobile stores, digital and online platforms
and physical stores.
Promotion
It answers the question of how to substitute with owned and paid channels of the media.
Physical evidence
This is how to reassure customers , example is through impressive buildings , a great online
presence and well trained staff.
People
Answers the question who are the people targeted and where are the gaps in the skills

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Partners
Are there any chance to have new partners and are the existing partners being managed well?
Any marketing inspires the demand of consumers. The impact of consumer demand or its
shortcoming was too obvious in the 1970s, 1980s and 1990s, when rising unemployment "killed"
or "knelt down" many firms.
The shopping process involves the consumer making decisions hundreds of times a year. When
shopping for a home, you need to make a choice from many different brands and variations of
similar products. The choice is often made arbitrarily, and when purchasing most branded goods,
the perceived advertising image of the product exerts a major influence on it. Consumers during
the daily shopping should make many decisions, so it is not surprising that they cannot give
enough time to evaluate each of them.
The system of values
Numbers do not measure these values. This is best seen from people's attitude toward politics.
Some may think that the National Health Service is a vital component of taking care of the
nation, while the other can be convinced that firms that have free money should also do so.
These relationships are formed as a result of life experience, as well as under the influence of
education, society and culture. This is also true for the relationship of a person to a commodity -
what one seems to be important, for another the banality.

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In modern society, status and wealth are often measured by the material property of a person.
This can have a major impact on the purchases of some people. Others have a statement that his
neighbors, colleagues and others have some kind of product, can trigger a backlash. In many
sales situations, it is necessary to determine the client's value system and conduct small
preliminary studies.
- for retail or wholesale This level of purchases is particularly important, because retail
distribution networks sell a huge amount of consumer goods. In recent years, wholesale trade has
changed. This is mainly due to the "washing away" of the borders between the wholesale and
retail sale of many goods, for example, electrical goods, the assortment of DIY stores, furniture
and food products in connection with the development of suburban shops, supermarkets and
stores selling at reduced prices.
A significant change , associated with the increase in the size of retail outlets, was the
development of "purchasing committees". This is a group of buyers who consist of specialists in
different goods, gathering together once a week in order to analyze and discuss what goods
should be purchased for the store. However, in many cases, the committee discusses only pre-
screened goods, during which most of them were rejected. The importance of procurement
committees lies in the professionalism that they make in the process of retail purchases.
Manufacturers offering their products to such organizations can no longer rely solely on sales
experience (Priluck, 2017). They must back up their offers with facts and technical information,
and develop companion advertising and promotion campaigns. Purchases - purchase of industrial
goods As already emphasized, the purchase of manufactured goods is a complex process
involving different people from different professions, including engineers, designers, managers

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of enterprises and buyers. This is sometimes called "selling down the line," meaning that many
people who occupy different positions in the organization participate in the sale. The purchase of
manufactured goods is a very professional business that relies heavily on special reserves; while
often using tests, testing and finalizing the product in cooperation with the manufacturer. This
may include: Assistance in solving problems. Cost and price analysis. Help in solving problems
is the interaction between the buyer and the seller, in which the technologies of the two
companies are combined to solve the problems of the buyer company. The cost analysis and
prices help the buyer to make difficult purchasing decisions, for example when installing new
equipment or starting a new production. If a company is going to spend thousands of pounds
sterling on new equipment, it should be sure that it fully understands all the costs and benefits. In
this case, sales personnel, sales managers, designers and development engineers, along with the
client, can work for weeks or months to ensure that the most accurate equipment evaluation is
performed (Schmidt, Spann,and Zeithammer, 2014.). This is especially true for electronics,
where the installation and integration of computerized systems is not only expensive, but also
potentially risky. This is especially true for electronics, where the installation and integration of
computerized systems is not only expensive, but also potentially risky, as far as the whole
production process or important information is concerned. Supply - ensuring government
supplies Government - large buyers of a variety of goods, from goods for schools and hospitals
to military equipment. These purchases involve not only the central government, but also local
authorities, as well as many other government departments. Very often, supplies for the state are
based on strict specifications, and a decision on the supplier is made through a competitive
tender (Zeugner-Roth, Žabkar, and Diamantopoulos, 2015). From this it follows that the
organization should monitor its business areas of interest to know when to hold tenders, and to

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be sure that its products meet the requirements of the government. Of course, so do not get all the
goods. Often, the supply resembles the purchase of industrial goods, when the emphasis is placed
on the benefits of the goods. Given the current state of the economy, the emphasis on cost
savings and government spending cuts, ideally, any commodity should enable government
departments to realize that they are saving. Sources of supplies selecting a reliable and effective
A source of supply is one of the key decisions in the procurement of industrial goods. It is
necessary: a) Make sure that the materials of the required quality are purchased at an affordable
price, and the delivery is reliable. This is important for: production, maintenance and
maintenance, management purposes, for example for the office. B) The choice of source of
supply involves close cooperation with suppliers developing materials and components in the
early stages of development. The importance of this is increasing. Sales management and sales
personnel should understand that the true purpose of marketing industrial products is to influence
the buyer's decision to ensure the advantage of his company's products over competitors'
products (Tomczak, and Kuss, 2018). To do this, it is necessary:
a) Clearly understand the requirements and technology of the client's business.
b) Know the details of their products, their quality and economic efficiency.
Conclusion
The last point is important, because it is the basis for successful inclusion of goods in supply and
effective negotiations. Competent selection of suppliers is the most important duty that takes
precedence over others when purchasing for an organization. This relationship between the buyer
and the seller can be represented in the form of a simple model:

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