Introduction
It is important to understand the consumer behaviour of any organization before starting a service or launching a product. If the organization does not analyze the response of customers to a specific product, the organization can face losses. Understanding the concepts and theories related to consumer behaviour can aid organizations in the marketing of services and products. Studying consumer behavior can also help in other aspects. Consumer behavior includes the perception of the customer towards fashion ads, changes in technology, changes in living standards, and other factors. Understanding these factors plays an important role because the marketing of products and services is dependent on these factors. That’s why consumer behaviour is considered an effective tool for different organizations to meet their aims and objectives.
The essay aims to understand the importance of knowledge and research on consumer behaviours by discussing its importance for marketing organizations and governmental and political organizations with the help of examples.
Discussion
Consumer behaviour is defined as “the dynamic interaction of affect and cognition, behaviour, and the environment by which human beings conduct the exchange aspects of their lives.” Customer behavior includes the feelings and thoughts that individuals experience in the consumption process, along with their actions. It also involves several things in the environment that affect these actions, feelings, and thoughts of people. These factors include price information, blogs, the appearance of the product, advertisements, comments from other customers and many more. It is essential to identify that the definition of consumer behaviour is dynamic that includes exchanges as well as interactions (Solomon et al., 2012).
Buyers are at the centre of advertising since all the endeavours of advertisers are coordinated towards them. To succeed in the showcasing endeavours, understanding the purchasers, what’s more, what drives them all in all, and their utilization conduct specifically turns out to be essential. The discipline of behaviours of consumers clarifies distinctive variables that lie underneath consumer behaviours (East, 2007).
Some people believe that knowledge and research on consumer behaviour are just needed for business and marketing organizations. However, the application of research on consumer behaviour is vast and used in different fields such as anthropology, governmental organizations, health organization, educational organizations and many more. It is associated with a large number of positives in businesses as well as in other aspects of the society. It is therefore recommended by many experts and professionals to use this approach before launching products and services and starting projects and campaigns to get maximum benefits and profits. To explain the uses and importance of data and research on consumer behaviour, two examples have been discussed below: marketing organizations and governmental and political organizations.
Importance Of Consumer Behaviour For Marketing Organizations
It is essential for a marketing organization to understand and study consumer behaviour. It is considered significant for them to know customers as groups or individuals to sell and dispose of their products.
Concerning the viewpoint of a marketer, they expect that the fundamental reason for marketing is to pitch products and ventures to more individuals so that profit can be increased. Previously, marketers were successful in achieving their goals. Be that as it may, today, as buyers are more mindful about the utilization of items and other data related to the product, it is difficult to offer or draw in the client to purchase the item. Therefore, marketing organizations have to do proper research to understand these factors and convince the customer to buy the product or service (Evans et al., 2007).
The study of consumer behaviours can aid marketing organizations in forecasting and recognizing the behaviour of consumers related to the purchasing of a product. It will help them to understand what customers buy and why they buy it. Besides this, other questions, such as why, how and where they purchased these products. Therefore, marketers will become able to understand every stage of the consumption process, including behaviour before purchasing, behaviour during purchasing, and behaviour after purchasing. A large number of studies in the past have shown that the behaviour of each customer is different towards the product. Customers buy the product for different reasons (East, 2007).
The marketing of all products and services revolves around the behaviour of customers and how they will respond to these products and services. Studying consumer behavior is important to understand what customers want to buy and what services and products are available in the market to satisfy their needs. Therefore, the behaviour of consumers is considered necessary for the salesperson or team to become completely aware of the requirements of the customer. It will help them to communicate the advantages of certain products and services to consumers. Besides this, in this way, the salesperson will be able to sell products that are most closely related to their needs. Analyzing the behaviour of consumers is an important part of marketing strategies because it helps marketing organizations understand what strategies will influence customers most to purchase their products and services. Marketing strategy is one of the significant uses of the study of consumer behaviour. It plays an important role in making the marketing campaigns better. For instance, by understanding that people can receive the content of advertisements well if they feel hungry, an organization can schedule advertisements for snacks or any food item in the afternoon.
Research and study on consumer behaviour will help marketing organizations to understand the preferences and tastes of their customer, so they can meet the customer demand and also enhance their level of satisfaction. According to Yau & You (2014), “The change in consumer behaviour affected by these factors should be carefully monitored. Marketers need to carefully understand the consumer’s interest in the products by breaking down the targeted consumers into demographics, like age, occupation, and location.”
The strategy for the disposition of products differs transversely from item to item. A portion of the elements that prompt shoppers to dispose of an item incorporate mental attributes, situational factors or the inborn variables of the product. The psychological attributes incorporate state of mind, temperament, feeling, inner social voice, social class, observation and so forth. Situational factors, such as direness, useful utility, reliability, and so on, as well as natural factors, can prompt a buyer’s choice to dispose of an item. For instance, previously, the demand for personal computers was high, but due to advancements in technology, people now prefer to use laptops, tablets and mobile phones. It is important to understand the thinking and requirements of products to increase product sales and earn a significant profit.
Importance Of Consumer Behaviour For Governmental And Political Organizations
Different governmental organizations use the data on consumer behaviour to identify their lifestyle, their needs, and demands related to different services. Many governmental organizations rely on data related to consumer behaviour to evaluate their services and to assess whether their policies and programs are effective in meeting the needs of citizens. Governmental organizations in developed countries, especially organizations related to health and education, use studies on consumer behaviour to evaluate their performance. For instance, in 2015, an educational ministry in the United States of America used the approach of determining consumer behaviour regarding their educational services. It made them aware that the quality of education in rural areas or underprivileged areas was inferior compared to that of major states and cities.
Through this approach, they improved their educational system and tried to increase access to educational facilities across less-privileged areas of the United States of America. In several countries around the world, governmental organizations started a poll to identify the major needs of people. For instance, in 2014, the government of Pakistan identified through research on people’s needs that people in rural areas did not have access to roads, which was a major concern for these people to transport their goods to other cities or villages. Similarly, there are several other fields where governments use this approach to identify loopholes in their system to improve their services.
Besides this, research and studies on consumer behaviour help the government identify the needs of its people, which can help governmental organizations spend money on projects or programs that meet the needs of people. It will increase people’s satisfaction level and enhance their quality of life. If governmental organizations spend a large amount of money on projects that have been initiated without even determining the needs of people, then these projects will not yield fruitful outcomes. It is a common situation in underdeveloped countries where governments do not rely on consumer behaviour in any aspect of life. As a result, people are unable to fulfil their needs.
In the same way, a large number of political and non-political organizations use this approach. Non-political organizations such as UNICEF, WHO and other local and international organizations use this approach. For instance, the WHO identify the needs of people in a particular region by conducting prior research or assessment. According to De Pelsmacker et al. (2005), it is a fundamental step of any program and policy, and it is always considered necessary to make the policy and program effective and create a positive influence on people.
It is also important to note that consumer behaviours are not just associated with the processes related to financial transactions. However, it also includes several processes that include no financial transactions. Several non-governmental organizations and governmental organizations are involved in the campaigning of various social issues such as child labour, education for girls, AIDS awareness, safe water drinking, processes that are environmentally friendly and so on. In these cases, no financial transactions have occurred. There is a changed attitude, or adoption of new practices, and behaviour is also referred to as consumption. It is believed that consumption cannot only happen when money changes hands, but it is important that individuals replace their old beliefs, attitudes, practices, and values for a good social life (Ritch et al., 2009).
Conclusion
Buyers are at the centre of advertising since all the endeavours of advertisers are coordinated towards them. To succeed in the showcasing endeavours, understanding the purchasers, what’s more, what drives them all in all, and their utilization conduct specifically turns out to be essential. The discipline of consumer behaviour clarifies distinctive variables that lie underneath consumer behaviours. Besides this, the behaviour of the consumer is also affected. To be correct, shopper conduct can be characterized as a discipline that incorporates all procedures associated with obtaining, utilizing and disposing of services or products. As a discipline, it is additionally bothered about the consequences of such securing, utilization, and transfer.
Concepts and theories related to consumer behaviours are very important for marketing organizations. It will help administrators and managers of different organizations to assess the demands and needs of the customer and cater for these needs by developing products and services accordingly. It is considered very important for the accomplishment of goals for specific organizations. “The study of consumer behaviour helps them analyze different factors that influence the buying decision of consumers. If the marketers failed to understand these factors, they would not meet their targets” (Pelsmacker et al., 2005). The marketing of all products and services revolves around the behaviour of customers and how they will respond to these products and services. Studying consumer behavior is important to understand what customers want to buy and what services and products are available in the market to satisfy their needs.
References
De Pelsmacker, P., Janssens, W., Sterckx, E., & Mielants, C. (2005). Consumer preferences for the marketing of ethically campaigns. International marketing review, 22(5), 512-530.
East, R. (2007). Consumer behavior: Advances and applications in marketing. Prentice Hall.
Evans, M., Jamal, A., & Foxall, G. (2006). Consumer behavior. John Wiley and Sons Ltd.
Ritch, E., Brennan, C., & MacLeod, C. (2009). Plastic bag politics: modifying consumer behavior for sustainable development. International Journal of Consumer Studies, 33(2), 168-174.
Solomon, M., Russell-Bennett, R., & Previte, J. (2012). Consumer behaviour. Pearson Higher Education AU.
Yau, O. H., & You, H. (2014). Consumer behavior in China: Customer satisfaction and cultural values. Taylor & Francis.
