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Chapter1

Introduction
1.1 Background of study
In the making of this paper about analyzing consumer market and Buyer behavior is
base on the aim of marketing that is to meet and satisfy target costumers need and
wants. But knowing customers is never simple. Customers may state their needs and
wants but act. Otherwise they may not be in touch with their deeper motivations. They
may responds to influences that change their mind at the last minute.
Nevertheless, marketers must study their target customers wants, perception,
preferences and shopping and buying behavior such study will provide clues for
developing new products, product features, prices, channels, message, and other
marketing- mix elements. So thats why we wrote the paper about Analyzing
Consumer Markets and Buyer Behavior
1.2 Purpose
The purpose of writting this topic is for:
1. To know the model of consumen behavior
2. To know the main factor that influence the consumen behavior
3. To be able to explain the process of buying
1.3 Problem Formulation
1. How to analyze the consumer market and consumer behavior
2. what is the main factor that influence the consumer behavior
3. how is the buying process happen

Chapter2
1

Discussion

2.1 Analyzing Consumer Market and Consumer Behavior


Consumer Market is a market where the buyer is an invidiual that buy a product
for their own use or they rent it for other. Consumen behavior is a process that
include purchasing ,or using goods and service.
Model of Consumen Behavior
in Earlier times marketers could understand consumer through daily experiences
of selling to them. But with the growth in the size of companies and markets has
removed many marketing managers from direct contact with customers.
Managers should pay attention to this things:
1.
2.
3.
4.
5.
6.
7.

Who constitutes the market ?


What does the market buy ?
Why does the market buy ?
Who Participates in the buying ?
How does the market buy?
When does the market buy?
Where does the market buy?

Occupant
Objects
Objectives
Organization
Operation
Occasion
Outlet

The point of undertanding the buyer is the stimulus response model. Marketing
and evironmental stimuli enter the buyers consciousness. The buyers
Characteristic and decision process lead to certain purchase decision the
marketers task is to undertand what happen in the buyers consciousness
between the arrival of outside stimuli and the buyers purchase decisions.
The marketing strategist needs to appreciate that consumer approach the
purchase of different goods in different ways. The approaches taken have been
thoroughly investigated and a number of situations have been identified. Four
main purchase situations are considered here:

Habitual Purchase

Is a purchase situation that happen because frequently using/ buying


goods that are the same for along time than it became habits and its hard
to turn to something new.

Impulse buying
Is a purchase situation that happen because of emotional friction in the
mind of customer. This happen frequently where the price of goods is
substanial relative to the purchasers resource.

Limited decision making


Is a purchase situation that happen because lack of knowledge of the
goods but it also needed in your life.

Complex buying decisions


Is a purchase situation that happen because the implication that consumer
actually pass through all the stages in buying a product or service. In
actual fact, of course, as we have seen in the case of habitual purchase ,
this is not necessarily the case. However it is a useful framework from
within which to view the purchase of many of the more expesive types of
durable products and services.

2.2 Major Factors Influencing Buying Behavior


There are four major factor that influence buying behavior , there are:

Cultural Factors

Cultural factors take the biggest influencing factor in the consumer


behavior. In this factor there are culture, sub culture and social class.
o Culture .
Culture is the most fundamental determinant of a persons wants
and behavior. That is because culture have been planted in child
when they are still litle by their family friend and the
environtment around them so a child that were born in asia and
born from usa had so many different perspective in the culture.
o Subculture
Each culture consist of smaller subcultures that provide more
specific identification and socialization for its member. Many
subcultures make up important market segments, and marketers
often design products and marketing programs tailored to their
needs . subcultures include nationalities, religions ,racial groups,
and geographical regions.
o Social Class
Basiccally all human societies exhibit social stratification.
Stratification sometimes takes the form of a caste systems where
the members of different castes are reared for certain roles and
cannot change their caste member. Social classes are relatively
homogeneous and enduring divisions in a society, wich are
hierarchically ordered and whose members share similiar values,
interests, and behavior. Social classes not only showed by income
but there are also other indicator that shows people social classes
suchass their work , education, and house. Social classes are
differ by fashion , how they speak, job preference and many
more.
There are characteristic of 7 major social classes.
Upper uppers ( less than 1%)
Are the social elite who live on inherited wealth and have

well known families


Lower uppers (less than 2%)
Are persons who have earned high income or wealth
through exceptional ability in the professions or business.
Upper middles (12%)
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Are the person who possess neither family status nor

unusual wealth.
Middle class (32%)
Are average-pay white and blue collar workers who live

on better side of town and do the proper things


Working class (38%)
The working class consists of average pay blue collar
workers and those who lead a working class lifestyle

whatever their income school background or job.


Upper lowers (9%)
Upper lowers are working, not on welfare , although their

living standard is just above poverty


Lower Lowers (7%)
Lower lowers are on welfare, visibly poverty sticken and
usually out of work or have the dirtiest job
Social classes show distinct product and brand
preferences in such areas as clothing,home furnishings,
leisure activities, and automobiles.

Social Factors
A consumers behavior is also influenced by such social factors as
reference group, family, and social roles and statuses
o Reference Groups
Reference groups consist of all the groups that have a direct or
indirect influence on the person attitudes or behavior. Groups
having a direct influence on a person are called membership
groups. Some are primary groups, such as family friends,
neighbors and coworkers, with wich the person interact fairly
continously. A person also belongs to secondary groups, such as
religious, professional, and trade union groups which tend to be
more formal and require less continuous interaction.
People are highly influenced by the reference groups at least three
different ways, reference group is prepared to face individuals
and new lifestyle, influence lifestyle and personal concept and

create preasure to follow the group habits that influence the


person product and brand choices.
o Family
Family members constitute the most influential primary reference
group.and it also have been an object for research by scientist, we
can distinguish between two families in the buyers life. The
family of orientation consists of ones parents. From parents a
person acquires an orientation toward religion politics and
economics and a sense of personal ambition, selworth , and love.
Even if the buyer no longer interacts very much with parents, the
parents influence on the buyers behavior can be significant. In
countries where parent live with their grown children, their
influence can be substantial. A more direct influence on everyday
buying behavior is ones family of procreation,namely , one
spouse and children.
o Role and status
Role include the activity that are hopefully will be done by
someone. Meanwhile status is the posisition that someone had in
the society. Each of it have role that produce status. The marketer
realize the potension in symbol of status from product and

brands.
Personal factors
A buyers decisions are also influenced by personal characteristics,
notably the buyers age and life cycle stage, occupation , economic
circumstance, lifestyle, and personality and self concept.
o Age and life cycle stage
People buy different goods and services over their lifetime.
Consumption is by the stage of the family life cycle.
o Occupation
A persons occupation also influences his or her consumption
pattern. Blue collar worker will buy work clothes, work shoes,
and bus transportation. A company director will buy expensive
suits, air travel , country club membership, and large car.

Marketers try to identify the occupational groups that have above


average interest in their product and services.
o Economic circumstances
Product choice is greatly affected by ones economic
circumtances. Peoples economic circumstances consist of their
spendable income, savings and assets,debtt, borrowing power,
and attitude toward spending versus saving.
o Lifestyle
A persons lifestyle is persons pattern of living in the world as
expressed in the persons activities, interests, and opinion.
Lifestyle potrays the whole person interacting with his or her
environment.
o Personality and self- concept
Each person has a distinct personality that influence his or her
buying behavior. By personality, we mean the persons
distinguishing psychological characteristics that lead to relatively

consistent and enduring responses to his or her environment.


Psychological factors
A persons buying choice are further influenced by four major
psychological factors motivation, perception, learning, and beliefs and
attitudes.
o Motivation
A person has many needs at any given time. Some needs are
biogenic.they arise from physiological states of tension such as
hunger, thirst, discomfort, and this could happen if there are motif
because motif is the one that push the people to do things.
Psychologists have developed theories of human motivation ,
three of the best are sigmund freud , abraham maslow, frederick
herzberg.
o Perceptions
Perceptions is defined as the process by which an individual
selects, organizes, and interprets information inputs to create a
meaningful picture of the world. Perception depends not only on

physical stimuli but also on the stimuli relation to the surrounding


fields.
o Learning
When people act, they learn . learning describeed changees in an
individuals behavior arising from experiences. Most human
behavior is learned. Learning theorists say that a persons
learning is produced through the interplay of drives,
stimuli,cues,responses, and reinforcement.
o Beliefs and attitudes
A belief is a descriptive thought that a person holds about
something. These beliefs may be based on knowledge,opinion, or
faith. They may or maynot carry an emotional charge.
An attitude describes a persons enduring favorable or
unfavorable cognitive evaluations, emotional feelings and action
tendencies toward some object or idea. People have attitudes
toward almost everything : religion , politics, clothes, music,
food, and so on
We can now appreciate the many forces acting on consumer behavior
because the consumer choice is a result of the complex interplay of cultural, social,
personal, and psychological factors

2.3 The Consumer Decision Process


Begin with the consumers recognize of their need or problem may stem from an internal
desire or some external influence like as advertising. Examples like if you were hungry
of course you wanting some food to eat and when you the external influence or
advertising will change your perception of a need or serve as a reminder.
After they recognize their desire, the consumer engages in a search for information.
After they get information, the consumer evaluates possibilities. Will he continue to buy
the product or not.
2.3.1 Types of Buying Behavior
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Things above of making decision have varies with the type of buying decision. There
are big differences between buying pen, wallet, and bike. Their need, desire, and budget
are likely to involve participants. There are four types of consumer buying behavior
based on the degree of buyer involvement and the degree of differences among brands.
The type are described in the following table.

Four Types of Buying Behavior


HIGH INVOLVEMENT LOW INVOLVEMENT

Significant Differences between Brands Complex buying behavior

Variety-seeking buying
behavior

Few differences between Brands

Dissonance-reducing

Habitual buying behavior

Buying behavior

Source: Kotler Philip, Marketing Management pages 224

The involvement represent the level of importance or interest generated by product or a


decision. It is based on the situation or the product decision at hand is influenced by the
persons need or motives.

COMPLESX BUYING BEHAVIOR consumers are highly involved when the product is
expensive. Complex buying behavior define as buying scenarios that are characterized
by high levels of consumer involvement in purchase decision; with significant amount
of perceived differences between brands in the product category. The marketer of high-

involvement product must understand the information-gathering and evaluation


behavior of high-involvement consumers. Because typically the consumer does not
know much about the product category and has much to learn.

DISSONANCE-REDUCING BUYING BEHAVIOR. Sometimes the consumer is


highly involved in a purchase but sees little difference in the brands. High involvement
is again based on the fact that the purchase is expensive, infrequent, and fairly quickly
because brand differences are not pronounced. The buyer may respond primarily to a
good price or to purchase convenience. For example, carpet buying is a consider most
carpet brands in a given price range to be the same. After the purchase, the consumer
might experience dissonance that stem from noticing certain disquieting features of the
carpet or hearing favorable things about other carpet. The consumer will be alert to
information that might justify his or her decision.

HABITUAL BUYING BEHAVIOR refers to situations where a consumer has low


involvement in a purchase, and is perceiving very few significant differences between
brand in a given product category. So many product fit into this scenario. Most of them
are everyday use products and commodities, such as toilet paper, salt, and black pepper.
There is the very little consumer involvement in this category. Typically a consumer
will go to the store and take the random brand. If the consumer grabs the same brand
repeatedly, this is almost always habitual buying, not brand loyality.

VARIETY-SEEKING BUYING BEHAVIOR refers to situations where there is low


consumer involvement, but the consumer perceiving significant differences between the
brand switching. There is no real brand loyality. Common variety seeking types or
products are cookies and crackers. Consumers may already have few beliefs about
crackers. However most consumers will buy a particular brand with little evaluation
before the purchase. In fact in product categories such as crackers, evaluation tends to
happen during consumption of the product. Beliefs and attitudes will come during the

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experience of eating them, or using them at parties. The next time the consumer is ready
to buy they will sometimes buy the same brand if the experience was favorable.
However, they may also pick another brand purely out of boredom or to just try
something new.all of this happens for the sake of variety rather than any negative beliefs
or attitudes about the cracker brand. The marketing strategy might differ for the market
leader versus the competitors trying to grab market shade. Leaders should encourage
habitual buying dominating shelf space and keeping shelves stocked, running frequent
reminder advertising.

2.3.2 Buyer Decision Makin Process Against New Product

A new product is good or service that considered new by potential buyer. Sometimes a
product that circulated in the market it is been a long time , here consumer can make
decision are they accept/adopt. Adopting process is mental process that already pass by
someone. Begin with introduction to accept the product.
Steps of adopt process:
1.

Recognizing
Consumer became aware of the new product, but less information of the new

product.
2. Interested
Consumer became interested to searching information about the new product.
3. Evaluation
Consumer have to consider is the new product make sense to buy or not
4. Testing
Consumer do a test of the new product it self in small scale to increase the
estimated the product value
5. Adopt
Consumer decide to use the new product

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2.3.3 Role of Buyer

For many products, it is easy to indentify the buyer.. men normallu choose their
shaving equipment, and woman choose their pantyhose. Other products involve a
decision making unit consisting of more than one person. Consider the selection of a
family auto mobile. The teenage son may suggested buying a new car. A friend might
advise the family on the kind of car to buy. The husband might choose the make. The
wife might have definite desires regarding the cars size and interior. The husband might
make the financial offer. The wife might use car more often than her husband.
We can differ 5th role they playing in decision buying from the story above:
1. Initiator
A person who first suggests the idea of buying the particular product or service.
2. Influencer
A person whose view or advice to influence the decision.
3. Decider
A person who decides on any component of a buying decision: whether to buy,
what to buy, how to buy, or where to buy.
4. Buyer
The person who makes the actual purchase.
5. User
A person who consumes or uses the product or service.

2.3.4 Stages in the Buying Decision Process

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Process of buying begin when the buyer recognize a problem or needs, which
can be external or internal things. Marketing need to identify the condition could trigger
the need. Marketing can identify the common stimulus can arouse interest in something.
There are five stages of buying: Need Recognize, Informaation search, Evaluation of
alternatives, Purchase decision, Postpurchase behavior.

Stages showing us that the consumer need to pass five stage when buying
product, actually people not always pass all the stages. The consumer can skip the stage
or they can turn over the stages. For examples, some women buying some brands
toothpaste that she usually he bought will directly to the decision making (buy the
toothpaste). But when we will use the stages of buying decision will use all the stages.

Five-Sttafe Model of the Buying Process

Need
recognition

Information
search

Evaluation of
alternatives

Purchase
decision

Postpurchase
behavior

1. Need Recognizing
Buying process begin when the consumer recognizing the problem he or she
facing or what they need. A need it self can be external or internal. For example,

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one of a general need of everyone; hungry, thrist, and sex. All of them bassed on
need and other example is when a women see the advertising and she became
aroussed of something.
Marketer need to recognizing situation that can trigger someoen need. With they
colecting information from consumers, marketer can recognizing which the most
stimulate interest. Then marketer can arrange strategy can stimulate interest of
consumer.
2. Information search
Consumers are aroused by their need pushed to searching more informations.
There are 2 level of aroused/stimulate:
1. Strenghening attention (just sensitive to product information)
2. Searching information in actively (consumer trying to get information)

Sources of informations consumer classified in four group:


1.
2.
3.
4.

Personal source (family, friend,dll.)


Advertising source
Public source (mass media)
Experience source

In indentification information source, company have to ask to consumer where


are they hearing that brand at the first time. It will help company in prepare the
effective comunication.

3. Evaluation of Alternatives
Some basic concepts will help us understanding the evaluation alternative
process:
1. Consumer trying to fullfill their need.
2. Consumer searching benefit form product solution.
3. Consumer looked at each product as a set of attributes with different
abilities.

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There are five basic concept for marketer in rating consumer alternatives:
1. The properties of the product, what are the special characteristics and
consumer attention to products or services.
2. Marketers pay more attention to the importance of the characteristics of the
product rather than the projection characteristics of the product.
3. Consumer confidence towards the brand salient characteristics.
4. The function of expediency, namely how consumers expect satisfaction
derived from products with alternative levels different each day
5. What are the procedures carried out consumer assessment of the many
characteristics of the goods.
Attributes that are in demand by buyers vary menuruk products such as Camera,
Hotel, Mouthwashes, tires, etc. Consumers will look for attributes that are useful
in accordance with what he wanted.
4.

Purchase Decision
There are two factors that influence purchasing decisions, but both of these
factors can be between purchase intent and purchase decision, namely:
1.The attitude of others.
The extent to which the attitude of others will reduce the preferred alternative
will depend on two things: the intensity of the negative attitude of other people
towards alternative preferred by consumers and consumer motivation to obey
others.
2.Factor unanticipated situations
That may arise and change purchase intent. The consumer's decision to modify,
delay, or avoid a decision is influenced by the risk that in feel.

5.

Postpurchase Behavior

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After purchase a product the consumer will feel satisfied or not. Marketer's job
is to monitor the satisfaction post-purchase, post-purchase action, and the use of
post-purchase product.
1. Satisfaction post purchase
Consumers form their expectation based on messages received from the seller,
friends, and other information sources. If sellers exaggerate the benefits of a
product,

consumersss

will

experience

the

unreachable

expectations

(disconfirmed expectation) that will causse dissatisfaction. The greater the gap
between the expectationss of the performance of the larger consumer
disscontent. The degree of satisfaction of interest of post purchase shows that the
seller must mention the correct product excellence describe the performance of
the product. Post purchase satisfactions levels showed that the sales would have
to mention what sort of actual product performance. So consumer will be
satisfied or not fooled.
2. Pospurchase Action
The costumer will act if not satisfied, they may discard or return the product.
They may be looking for information that confrims the value of the product is
high. They may take action to file a complaint as a public company. You need to
do is purchase post marketers must maintain effective communication with the
buyer and provie that incease satisfaction such as cosultancy services etc.

3. Pospurchase Usse and Disposal


Here the marketers should know what is made by the buyer against its product
and provide a solution so that the product can remain useful in the optimum
time. If consumers throw away product, marketers need to know how they get
rid of it especially if such product could damage the environment. Public
attention to the problem of the increasingly large recycling and concern over tthe
environment as well as consumer complaints.

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Chapter 3
Closing

A. Conclusions

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The increasing needs of the greater will be the current marketing information caused
by the onset of global marketing, the emphasis is onthe wishes of the buyer, and a
tendency to nonprice competition. To

carry

out

theresponsibilities

of

the analysis, planning, implementation and control of marketingmanagers require a


marketing information system.
Factors that affect the behavior of purchase:
Cultural factors
Social factors
Personal factors
Psychological factors
After buying consumer products would feelsatisfied or not satisfied. The task was
monitoring marketers post purchasesatisfaction post actions, purchases, andproduct usa
ge of post purchase.
B. Suggestions
In this era

of

globalization of

from one party tothe

other

marketing is

notmore

party with

the

marketing environment quickly changed

with

a war

of information

purpose

of sale. The

the presence

of these

changes then needproper marketing information will be greatlyneeded. Therefore we


wish this paper can helpthe younger generation to be able totroubleshoot problems that
occur in the environment of marketing.

References

Kotler Philip, Gary Amstrong, Marketing an Introduction.

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Tanner Dwyer. 2008. Busisness Marketin.

William O. Bearden, Thomas N. Ingram, Raymond W. LaForge


McGraw-Hill/Irwin, 2004. Marketing

Proctor Tony, 2000. Straategic Marketin. London

Stantion William J., Michael J. Etzel, Bruce J. Walker, 1991.


Fundamentalss of Marketing. United State of America

Kotler Philip, Swee Hoong Ang, Ssiew Meng Leong, Chin Tiong Tan,
1996. Marketing Management. Singapore

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