Consumer Behaviour: Decision-Making Process Analysis at Tesco

This report provides a comprehensive analysis of consumer behaviour and the decision-making process, focusing on Tesco's strategies in both B2B and B2C contexts. It examines the different stages of consumer decision-making, the importance of market maps in understanding consumer behaviour, and a comparison of decision-making processes between B2B and B2C environments. The report also evaluates various market research approaches used to understand decision-making in both sectors, highlighting the key differences and similarities. Furthermore, it delves into the stages marketers use in the B2B and B2C decision-making processes, providing a detailed overview of how companies like Tesco adapt their strategies to effectively target different customer segments and maintain a sustainable approach to meet consumer demands for products like berries.

Consumer Behaviour and
Insight

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Analysis of different stage for the consumer decision making process............................3
P2 Importance of market map to purchase and understand consumer decision-making.......4
TASK 2............................................................................................................................................6
P3 Comparison and contrast between the decision-making process of the B2B and B2C....6
P4 Evaluation of various approaches for the market research that is used to understand the
decision-making process in B2B and B2C.............................................................................7
TASK 3............................................................................................................................................9
P5 Evaluation of different stages used by marketer for decision making process of B2B and
B2C.........................................................................................................................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11
.......................................................................................................................................................12
INTRODUCTION

Consumer behaviour can be defined as a branch for consumers which deals with various
stages from which consumer goes to purchase goods or services from the corporation. The main
agenda to understand consumer behaviour is to study the group of individuals and organisation
that are performing their work in a similar industry. The present report will be based on the
TESCO which is a multi-national British retail organisation. They are the third largest retailer of
the groceries and general merchandise retailer and its headquarter is situated in Hertfordshire.
Along with this the report also highlights on berries which are highly demand by consumers to
perform the work on sustainability basis. This report highlights on various stages of consumer
decision making process and a path the importance of the consumer path to sale their products
and services (Bereznoy, 2019). Further, to understand this effectively the perspective role of
marketing officer is selected for this. Comparison between B2C and B2B to make decision
making process and various approaches or methods to make effective decisions. In the last
different stages for B2C and B2B will be understand by specific examples.
TASK 1
P1 Analysis of different stage for the consumer decision making process
Consumer behaviour refers to the study of how individual of customer's, groups and
organisation to utilize and select those goods and services that is favourable for satisfying needs
and wants of customer's. This refers to the action of the consumers in the market and to
undertake various motives for those actions. Some different stages for consumer's decision
making process is mention as follow:
Need Recognition- This is the first step of the process to make those goods which is conducted
by the organisation to understand the needs of goods. Marketers wants to create an imbalance
between the consumer's present and preferred status. The main agenda to implement imbalance
in the market is to generate the needs for consumer's to buy a product or service (Calder, Isaac
and Malthouse, 2016). In context of TESCO they implement need recognition by generating the
gap between consumer actual need and desired need.
Information search for the product- Another step that is related with this process refers to the
gather and collect the information. In the stage of information search consumer's understand all
the needs which are required to purchase a product. TESCO is operating their business at global
level. Therefore it is mandatory for them to provide all the essential information about their

product. This determines it helps the consumer's to understand all aspects whether positive or
negative about the product.
Evaluation of various alternative- Once the buyer determines all the aspects that are essential
for satisfying their need and want. After that the process to select and buy the best product is
selected by the organisation to make an appropriate deal. Price, value of product, need
satisfaction are some of the factors on which the consumer's select the best product to consume.
In context of TESCO, there are various methods is used by them to promote their product which
is based on the review of the consumer's (Gensler and et. al., 2015).
Consuming the product- Products which are matched with the needs of the consumer's are
selected by them. This statement ensures that TESCO need to manufactures those products that
fulfil the criteria of consumer's needs. It is the responsibility of production department to select
those products which match with the criteria of consumer's needs and wants. Moreover, it is
favourable for TESCO because management is experienced to perform their operations from
more than a century. This aspects assist the organisation to make accurate decision for
completion of their work.
Evaluating purchase decisions- In the present scenario, there are various aspects exist in market
which leads the customer's to post their review about their product. Like, social media and
website of organisation and feedbacks. Management of TESCO is more focused towards the last
stage of evaluating the effectiveness of product. As it leads the organisation to increase their
customer's base through making their product according to the needs of consumer's.
P2 Importance of market map to purchase and understand consumer decision-making
Customer journey map refers to a visual representation of the experience that is shared or
exchanged by the organisation and customer's. The main agenda to implement this in a
corporation is to define the consumer's experience with the particular brand. In context of
TESCO customer's journey map helps the understanding of business from the customer's
perspective (Hofacker, Malthouse and Sultan, 2016). Some importance of the market map are
mention as follow:
Pre-purchase
The activity or form of pre-purchase plays a vital role for the consumer's and the
organisation. In this phase consumer's states that whether they required to purchase the product
or not. In the decision to buy and consumer a product the customer's analysis and evaluated all

aspect that determine whether it is needed to purchase a product or not. Berries are demanded by
customer's at high level. Therefore, with formulation of market map it is for Tesco to develop an
estimate idea for the purchase of product in order to meet with customer's demand. (Shih and Ke,
2014).
Purchase
In the stage of purchase an organisation sale their product to the consumer's. Whereas, the
purchase decision is the evaluation of all advantage that increase the value of their product. This
is the most important factor for the multi-national organisation such as TESCO because it helps
them to interpret all aspects by which it is easy for them to attract more number of customer's to
buy their products. Purchase is a crucial step for Tesco because it leads management to sale their
products in appropriate manner such as to adopt those methods through which organisation
enhances the value of their products.
Receive
Consumer's decision-making is a complex process as it is the final stage for the
organisation and individual in which they exchange their customer's and services. After receiving
and selling the products both the parties analysis the quality of their product. To match with the
demand of customer's Tesco gather berries from wide range of locations. It results that it is easy
for organisation to satisfy demand of customer's in appropriate manner. This determines that if
TESCO products satisfies the needs of customer's then it raise the profits for organisation by
increasing in the sale of their products.
Post purchase
Stage of post product refers that it ensure the customer's whether the product satisfies
their needs or not. Further, it also helps the management of TESCO to analyse the upcoming
demand of their products. It governs that with the post purchase evaluation consumer's analysis
whether to purchase or consumer similar product in the upcoming future or not. This is the last
stage of the consumer decision-making. In context of Tesco and Berries organisation will be
more focused to complete the work as per management process. This results management is able
to complete work in effective manner by ensuring that berry production is sustainable in market.
All the above mention stages leads the consumer's to purchase the products that satisfies
their needs and provides various feedback about the products. Due to this it is also easy for

TESCO to manufacture those products that satisfies needs of the consumer's (Zhang and
Benyoucef, 2016). Further in this stage various steps are mention as follow:
 It enables the customer's and marketer to determine the exact wants or demands of the
consumer's from the product. Further, in this stage needs and wants of consumer's
explained through the map in order to formulate their products according to the market
and buyer expectation.
 Steps of the consumer's mapping also helps the organisation to analyse the market. So
it is easy for them to complete their work in minimum time period by delegating into
specific segments. This activities results, marketing department of TESCO control the
cost to make a product and its results this is easy for them to satisfies needs of
customer's.
 The present market conditions of UK retail industry is very competitive. Therefore,
with the execution of customer's mapping tools. Marketing officer utilise proper tools
and techniques to understand the market. This results in reducing the risk from
operations that is performed by the TESCO (Joy and Li, E. P. H., 2012).
TASK 2
P3 Comparison and contrast between the decision-making process of the B2B and B2C
Their are two types of market are exist in market which is B2B and B2C. In present
scenario majority of the business's implemented this process to purchase and sale their products
or services. Most of the business's operations of TESCO are related with B2C. This determines
the products which are made by them are sold to customer's. In present scenario, TESCO is
operating their business's at global level. Therefore, it is essential for them to increase the
productivity of its operations. Further, in order to implement this effectively marketing team of
TESCO considers various aspects that leads organisation to make favourable results. So the
decision-making process of a B2B organisation is different from B2C. Customer's journey
mapping a business's to make effective decisions to complete their work by making effective
decisions to retain their business's at top position in market (Erevelles, Fukawa and Swayne,
2016).
Basis B2B B2C
Market related decisions Business to Business The B2C (business to

transaction is a complex
process. In order to deal with
this it is necessary for the firm
to segment the market into
small size. So it is easy for
them to approach more
number of potential
customer's.
customer) is a wider concept
that covers more market area
to sale their products. In this it
is essential for them to operate
their business's at global level.
TESCO is operating their
business at global level in
order to increase the sale of
their products.
Requirement of identification Organisation that operates
their business's in B2B
industry. Management focuses
on the formulation of effective
strategies which leads them to
complete their work in
accurate manner.
Corporation such as TESCO is
operating their business's in the
Business to customer market.
Therefore it is important for
them to predict the needs of
customer's by using effective
tools and techniques.
Decision of purchasing The decisions to purchase the
products from other business's
is a complex task. In order to
consider the purchase
decisions various business's
forms are considered such as
prices, products and goodwill
of the organisation to sale their
product.
It involves less time there are
various factors present in the
market. This emphasis on
various factors that are related
with the purchasing decision of
consumer's. This determines
various aspects need to be
focused by TESCO to satisfy
the needs of customer's.
P4 Evaluation of various approaches for the market research that is used to understand the
decision-making process in B2B and B2C
Retail industry among the overall world is very competitive due to this it is necessary for
them to engage their work in market situation. Therefore, it is important for TESCO to complete
the research in effective manner. This would helps them to perform their operations according to

the customer's needs. This activity results it is easy for customer's to purchase those products
which are manufactured according to market segment and customer's demands (Lazell, 2016).
Both of the business's factors conduct research to complete their work in effectively manner.
Therefore the approaches within customer's are mention as follow:
Market research approach in B2B- Transactions that take place between the business's to
business's is determined by the organisation to engage all aspects which aids the firm to hold top
position in market. The business's will focus on several resources such as time, cost and raw-
materials in order to increase their business's size. The secondary research is selected by most of
the organisation to understand the overall market conditions. Both form of the business's focuses
on the market research for increasing the sale of their product.
Recorded data in public- Business to business transaction are most of the task that is essential to
perform by the organisation that is operating their business's B2B industry. It determines that it is
essential for the marketing team to undertakes all aspect that are related with in business's
industry. In the process of gathering the data organisation focuses on collecting the information
from all the public departments. Moreover, this process ensures that the data which is collected
by the organisation involves all aspects which leads the firm to make effective decisions
(Fulgoni, 2014). This results, decisions which are taken by management engage employee's to
increase their trade activities with in the business's.
Public and private agencies- Organisation need to register themselves before entering and
starting a business into a particular country. Moreover, all industries focused on various policies
which is managed and controlled by them to ensure the interest of local organisation. This helps
them to perform their work at global level. In this the firm needs to engage all organisation to
register themselves by undertaking all related and relevant facts to operate and expand their
business's at global level.
Market research approach for business's to customer's approach- Primary research is the main
source of the business's. With the implementation of the primary research it is easy for
organisation to increasing the productivity of their business's. This determines it increases the
efficiency of their product by taking feedback directly from the consumer's. Primary research is
essential for the organisation because it leads them to gather fresh and updated data to complete
their project in effective manner. Their are various sources are present in the market for

collecting the primary data. So some sources that is used by the TESCO and other B2C
organisation are mention as follow: Tele-phone depth interviews- The in-depth interviews refers to the qualitative data
collection method in which interviewer and interviewee communicate with each other on
phone or through face to face. Further in this scenario it is essential for organisation to
transact all information by a reliable method (Lim, 2016). Further it is important for
TESCO to undertakes various aspects that increases performance of organisation.
 Sampling method- Their are two methods exist in the organisation by which it is
essential for them to complete their work by collecting the data. Probability and non-
probability are two methods by which organisation collects essential information.
Further, in this task probability method is selected by marketing team of TESCO to
complete their work it helps them to draw meaningful conclusion form the data.
In the last to gather the meaningful and essential information this is important for the
organisation to follow essential principle for completing their work in effective manner. So the
marketing team of TESCO follow Pareto principle. This was developed by a well-known
economist which is known as Vilfredo Pareto. Principle that are developed by Pareto states that
most of the consequences are raised from 20% causes. It determines that most of the business's
activities that is performed by organisation relates creates imbalance between the input and
outputs of the organisation (Cockayne, 2016). This principle is also known as Pareto rule that is
80/20.
TASK 3
P5 Evaluation of different stages used by marketer for decision making process of B2B and B2C
Marketing department of an organisation organises various key factors that leads
management to complete their work in appropriate manner. The key factor to engage more
number of customer's by influencing them to make effective decisions. Their are various factors
are present in organisation that leads the organisation to make effective decisions for completion
of their work with more efficiency and effectiveness. Their are various factors that impacts on
consumer decision-making process are included mention as follow:
Behavioural theory- The main aim to implement behavioural theory is to understand
individual or human behaviour to analyse and understand aspect that is impacting on business.

Along with this management also determines those areas. This helps to make specific decision
for performing their work effectively in both cases whether b2b and b2c.
In the context of B2B organisation is more focused to understand behaviour of all
stakeholders such as supplier, whole-seller and retailer to understand their business's in proper
manner. It result with behavioural theory it is easy for management to fulfil needs of customer's
in proper manner.
From the perspective of B2C, management of Tesco understand behaviour of buyers due
to which long term results will be achieved by considering and formulating products as per
market needs and consumer behaviour.
Cognitive theory- Buyers are the crucial part for large organisation such as Tesco
because it helps them to complete the work in appropriate manner. On the other side,
management is also focused to perform their task in easy manner.
With in context of B2B, management will be more focused to perform work on
management basis. With the cognitive theory it is easy for management for gathering new
information to manage task in proper manner.
Within B2C, perspective all the information is easily get to manage data for performing
their work according to collected data which is used for storing information for a longer period
of time.
Economic factor- The most important aspect of the organisation relates with various
factors that leads them to complete their work in most effective manner. This factor is the
foundation for the purchase decisions for each individual that work with the intention to purchase
a product in effective manner.
Patterns of buying behaviour- Most of the consumer's prefers those products which
leads them to enhance their performance by understanding purchasing behaviour of the
consumer's. This undertakes impacts through which organisation ensure the profitability of
organisation by increasing their customer's base (Japee, 2015).
Functional factor- Marketing team of TESCO essentially complete their work by
analysing various factor that leads them to deal with various needs of the customer's. Moreover ,
this factor is more important to make effective decisions through focusing on buying decisions fo
the consumer's.

Personal factor- In the personal factor majority of the decisions are based on age,
occupation, lifestyle and economical status of the organisation. This is the major area that is
essential for the organisation to understand impact on the buying decisions of the organisation.
Social culture- TESCO is operating their business at global level, therefore it is
important for them to understand all factors to complete their work in minimum time period.
TESCO understand this factor by determining value in their products.
Leaders plays an crucial role in the organisation which leads them to increase their performance
of the organisation. For this the undertakes various factors such as enhancing the productivity of
employee's through motivating them. In order to motivate the workforce management provides
monetary and non-monetary benefits to them. Moreover, due to Brexit the economic conditions
of UK is average (Nagengast and et. al., 2014). Therefore, it is mandatory for TESCO to make
effective strategy due to which it is easy for them to overcome from the negative impacts of the
bad economic conditions. It results the organisational profitability will be increased in effective
manner.
CONCLUSION
In the end by the above mention report it is concluded that marketing plays an essential
role in the organisation. Their are various stages such as need recognition, evaluating the
alternative, are present in the market that works as a bridge between the customer's and
organisation. On other side it is mandatory for organisation to develop a path for better
understanding about the organisational product and service. Along with the comparison and
contrasting of the B2B and B2C customer's. In the last various approaches in context of
consumer decision making is written that helps to understand the market conditions in proper
manner.

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