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ABSTRACT
Consumer behavior is a behavior where the consumer will go through intellectual
processes to analyze their needs and demands in their everyday life, discover the
methods to solve their needs and demands and deciding their conclusions to make
purchases whether the product meet their demands or not. The information and the
benefits, the products will give to the consumers really influence their choices.
Products with good attributes and confident characteristics will give a satisfying
value. Thus, creating a chain of buying for the product once it has gained the
customer’s trust. It started with the intention of the customer, follows by the
decision-making purchase and consuming the goods, and then the post purchase
where it will gives the marketers the feedbacks whether the product is a success or
not (Panipatu & Meena, 2013). Customer behavior is studied by the way the
consumer consumes products based on the roles of the customer as a user, payer and
buyer.( P. Sudarshan &N.Sunil,2016) In this market industry, consumers or buyers
do play an important part in every business because they are the integral part to make
sure the business flops or not. Every business planning will refer to the trend of the
consumer behavior every year or every time a new condition happened. The
consumer behavior will evolve as the time and technology passes.
As the pandemic COVID-19 hits the whole world, it affected the market industry
as a whole. Consumer behavior will be adjusted according to the pandemic condition
where safety and hygiene are the most important things the customer will look upon
to. Every business also has to adjust according to the new trend of the consumer
behavior to survive in this pandemic condition.
Keywords
consumers, consumer behaviors, COVID-19, Malaysia
this somehow
helps the businessmen or large gatherings at public places. By
businesswomen to continue their doing this, at least it could help to
business without any interruptions. This reduce or flatten the curve of pandemic
is due to the high demand from the cases. Furthermore, the consumer will
consumer on the online platform. do online shopping when their needs out
According to Kim, R. Y., (2020), of stock or just to fulfil their boredom at
around 46% of respondents have home such as buy for decoration at the
planned to reduce spending on room, tools for gardening, and others.
physically shopping during the Moreover, the consumer has started to
pandemic. However, there is always a adapt to online shopping as they found
high demand in essential products such out that it is more convenient and
as groceries and household supplies. But economical. Apart from that, online
in order for them to get all of those shopping offers greater flexibility in
things, they have considered shifting the terms of time, location, and product
physical to online shopping which is varieties. (Mohammad Waliul Hasanat
37% after conducted the surveys to et al., 2020).
consumers. Plus, Gabriel, H. L., & Due to the number of lives that
Christina, M. C. H., (2020) also stated have been taken by the corona virus,
that there are also has an increment in people started to follow the rule and
numbers of audiences downloaded becoming more aware of the situation.
mobile applications. As we all know, in Even though some of the people still
Malaysia there are many platforms that rebelling, majority of the residents in
consumers can use to online shopping. Malaysia are adapting well with the new
For example, Shopee, Lazada, rule that have been set up. Many
Instagram, Twitter, and others. Hence, countries also are impressed by
what they need to do just shopping at Malaysian’s patience and consideration
those platforms and waits for the to decrease the amount of corona virus
products to be delivered to their house. victims.
Based on The Edge Markets (2020), Furthermore, some study also has
they reported that Shopee Malaysia has been done to analyse the attitude of
observed new shopping habits which is Malaysians toward the Covid-19
e-commerce had become more relevant situation. The study was done by giving
in customer daily lives as them spending an online survey to 4850 Malaysians.
an average of 20 percent more time on From the survey, 83.4% of participants
that platform a week, showing a avoided going to crowded places, 87.8%
growing dependence on e-commerce. of participants practiced proper hand
Next, one of the reasons why hygiene and 51.2% of participants
consumers start to go on online wearing face mask when going out. This
shopping because it provides a relatively percentage is the result gotten before
safe way to shop during the pandemic movement control order started (Arina
seasons. Some people may have anxiety Anis Azlan etc al.,2020). From the
over the virus increases and to avoid result, it shows that even before
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government started the strict rule, more During Covid 19 outbreak, people are
than half of Malaysia residents already spending a lot of time at home than
aware of the situation and taking good usual because they are prohibited to go
care of their health safety. out and do their daily life routine like
Besides, by starting the movement usual. Having much time without doing
control order, the number of people anything can make someone feel boring
taking precautions increases as they are and lifeless so one of the ways to keep
now understanding more about the them actively engaged and occupied is
danger of corona virus. Also, decreasing by doing something that they love.
number of victims can be seen during There are varieties of hobbies to choose
the movement control order. Televisions such as cooking, gardening, decorating,
and websites also act as a medium to reading etc.
give information about the corona virus
and creating awareness to the public. Having hobbies can actually help to
(Muhammad Yousof Ali and Rubina manage time wisely and make someone
Batthi, 2020). become systematized and productive. It
Other than movement restriction, is important to have proper planning and
government also introduced new time management to make sure that the
Standard Operating Procedures (SOPs) things they make go smoothly and
for restaurants, supermarkets, and perfectly. They will be less likely to
workplaces as preventive measures. The spend their time on something
preventive measures include providing unbeneficial or time-wasting activities
body temperature scanner and providing because they already have good hobbies
hand sanitizers. For restaurants and to fill up their free time. Picking up a
supermarkets, customers need to line up good hobby that you are really into it
at least one meter from each other while will help to build and enhance new
waiting to go in, and the number of skills. There is a saying that “practice
people can go in also are limited. makes perfect”. When you spend more
People are seen adapting to this time on hobbies, you will become better
SOPs well and not complaining even at those particular things and activities.
though they need to wait for a long time
because they understand that all this are Finding from research proved that
done to protect them. Also, this might people that engage in doing hobbies
become the new normal for all as the have a good physical and mental health.
corona virus behaviour cannot be For example, gardening is very good for
predicted. the brain not because it is an exercise
Hobby can be defined as a pursuit but research found that the activities that
outside one’s regular occupation are associated with gardening can give
engaged in especially for relaxation. unexpected health benefits to the body.
Choosing a good hobby to fill your According to Nurseries For Mama
leisure time is very tough and crucial owner Muhamad Syafiq Osman, during
because it must be related with your MCO his nursery received high demand
interests or things that you enjoy doing. for hydroponic sets and other gardening
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supplies and tools. Online sales of his after the enforcement of Movement
hydroponic pots went up 10-fold within Control Order (MCO) begun, 91% of
just two weeks of the MCO being consumers started to invest their money
enforced. This is because the in purchasing personal hygiene products
hydroponic method is easier to maintain while 86% of them would love to buy
while the plants also grow at a faster disinfectants, hand sanitizers and also
clip, compared with soil-potted plants. face masks. Also, the study from
The simple action from gardening such Vase.ai with an analysis recorded from
as planting, pulling weeds, and digging 1100 respondents showed that
soils are some of the examples that customers have bought more than once
subtly the action of exercise that help to items where 74% of them are personal
boost stamina and strength. According hygiene items, another 74% of
to a study published in the journal of the consumer bought masks, hand
Public Library of Science found that sanitizers, and disinfectant, 60% of them
being outdoors is very good for health invested in home cleaning items and
as it can reduce the likelihood of almost 50% of them purchased toiletries
vitamin D deficiency in elderly people. and medication. These results showed
Covid-19 happened for a reason as it that the pattern of this behaviors have
can be seen as to be a kick start for been soared up because the consumer
everyone to start practicing good generally have known the most basic
lifestyle especially on the hygiene priorities to adapt and embrace these
perspectives. This is because consumers long-term underlying consequences.
are being exposed to the significant Apart from that, a study reported from
consequences that might happened if New Straits Times has mentioned that
they are not comply with new norm and Malaysia has the highest percentage of
they realized the needs of keeping 76% of people do the hand-washing
environment germ-free to ensure the habits frequently compared to other
chances of being infected can be countries. Because of that, the demand
minimized. Therefore, due to that, of these necessities has increased
consumers are more aware of the exponentially as these items are being
important of self-hygiene, products to used regularly by everyone as frequent
contain the virus from spread easily and as possible and become the most wanted
items for well-being purposes. Not only items by every household. Thus, the
that, it is expected that the trend of transitions of these Malaysian behavior
buying items to maintain hygiene could should be praised because they have the
last for a long-terms because it is responsibilities as society and are deeply
believed that society are more conscious concerned towards themselves and
and stressing out the demands of these others well-being state too.
items from manufacturing company to Moreover, the trend of these
produce enough stocks for everyone habits majority come from social media
accessibility for now and future influences and exposures that affect the
purposes. Based on the survey decision making of the consumers to
conducted by Vase.ai, it showed that begin purchasing items for own hygiene
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usage. Consumers nowadays are being rate. Thus, Malaysian Government has
exposed to the sharing on social media taken an action in reviewing the new
platform and have tendency to follow price of surgical mask where the new
them as for this case where many people ceiling price has been set at RM 1.50
started to promote disinfectant products, per unit set effective starting on 1st April
hand sanitizers, and face mask through 2020 to make sure there is no
online marketing which it can be manipulation and fraud to occur from
accessed by every single online users to irresponsible sellers. Last but not least,
purchase those products. Hence, that is everyone should see the effect of Covid-
why the product demands have reached 19 crisis in another side point of view
the peak point of buying through this where actually today’s disaster is
pandemic as it is very easy for everyone starting point for Malaysian to reflect
to obtain them at their fingertips. Due to and educate themselves to be someone
the proactive movement measures taken who is more sensitive about hygiene and
from the Malaysian Government in cleaning aspects.
battling with Covid-19, they have Oil price has always been an issue in
worked diligently to spread the the world because the oil and gas sector
awareness of among public of the gives a big impact on the world
importance of healthcare and wellness economy, not only for Malaysia but also
during this crisis such as sharing for major oil producing countries. Our
through online advertisement, education country has been very dependent on the
programs, and social media oil and gas sector as it contributes 20%
communication (Azlan et al, 2020). to the government’s revenue. According
Subsequently, all of these sharing of to OPEC (the organization of the
awareness made the consumers to be petroleum exporting countries) the price
more sensible and alert with current of oil drop from US$17 per barrels to
crisis and try to improve themselves by US$-35 per barrels in 20 April 2020. A
having more attention toward infection rapidly drop of the price cause by a
prevention products as the best strategy world massive quarantine and the
to minimize the risk of infection. reduction consumption of oil in
Thus, it is undeniable that these production and services.
behaviors of consumer tendency in In other good ways, the reduction of
prioritization of products for infection oil price has given a good impact to the
containment to create more clean and consumer. A fall in oil prices have
secure surroundings are the best changes caused a reduction of fuel cost and
that ever happened to our society transport. On 3 April 2020, The
nowadays. However, there is always has Minister of Finance has announced that
a backlash of actions that are not the price for RON97 and RON 95 has
controlled smartly especially due to reduced 8 cent per litre to RM1.30 and
excessive buying by consumers. The RM1.60. For the diesel, the price
issue arises when some customers chose reduces 10 cents to RM1.58 per litre.
to stockpiling items and some of them The lower oil prices indirectly help to
tend to sell them back at higher price increase the consumer disposable
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income and enable them to spend more expensive items when shopping
on other important goods and things. groceries.
Moreover, the transportation services A survey conducted by the
such as e-hailing services and air Department of Statistics (DOS) during
transportation, the decline of oil prices the Movement Control Order (MCO)
makes the price for the ticket cheaper as found that 71.4% of self-employed -
flights need to be operated even if the respondents have savings that sufficient
seats are nearly empty as people remain less than a month, while 82.7% of
homebound due to the coronavirus. private employees have sufficient
Lower oil prices also help to reduce the savings up to two months. The survey
cost of living. In particular, if a also revealed that 78.9% of government-
household owns a car or uses other linked companies (GLC) and 75.2% of
forms of transport that rely on oil. To a multinational companies (MNC)
better extent, all of the price of goods employees have sufficient savings up to
should become cheaper due to the lower four months (Goh, May 2020).
transportation costs. Generally speaking, In addition, a Department of
lower oil prices are very good for Statistics (DOS) study found that
consumers because it will cost less to Malaysia 's average household spending
fill up your gas tank or to transport the had dropped from RM6,317 a month to
items that you buy at the store. just RM2,813 during the MCO by 55
Corona Virus Disease 2019 (COVID- percent. Curiously, the data gathered
19) has impacted consumer behaviour in indicate that the upper-class, T20
many ways, especially in spending, segment of the nation is spending much
from conspicuous spending to prudent less money than its counterparts of
spending. Due to this COVID-19 middle and lower, M40 and B40
pandemic, federal government has income. (Hakim, April 2020).
implemented Movement Control Order Therefore, Malaysian consumers are
(MCO) and has enforced lockdown now starting to adapt to this whole new
around the country. Because of that, lifestyle and probably continue this new
consumers have been constrained that norm even after government has
minimised the urge to spend. declared that Malaysia is free from
Supermarkets, public markets, COVID-19 pandemic.
grocery stores and convenience stores According to The Straits Time article
that selling everyday necessities are the published on 25 April 2020, stores such
only premises that are allowed to be as Lazada and Qoo10 reported an
operated as usual but limited business overall increase in sales since last
hours. This order has reduced month, with electronics, health, and
consumers spending on other non- beauty products topping Lazada's sales
essential products which automatically categories. From that statement, it is
savings behaviour was nurtured without proclaimed that during Movement
realized by themselves. Moreover, Control Order (MCO), Malaysian
consumers become more price sensitive consumers have changed their shopping
and substitute away from more behavior’s and these have resulted in
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individuals. All of the consumers will be enough supply or not for them to
thought that Covid-19 as a severe threat sustain their life. Hence, due to the
which will cause worries, anxiety, and panic
fear among individuals whether there
buying and stockpiling of food have also affected food banks as
products the food sector is facing donations have decreased. The food
increased demand. Maira, N., et al supply was running out hence the
(2020) stated that as a result of panic donors could not donate the food supply
buying and storing food, the food sector to the food bank or the donors also want
including the food distribution and to save for themselves to sustain their
retailing have been put under strain. life where this is an example that
This has resulted in increased concerns happened in the United Kingdom. Plus,
about food shortages, such as long-life concerns about running out of food also
milk, pasta, rice, and tinned vegetables. means vulnerable populations that
The early stages after the announcement cannot afford to stockpile will be more
of movement restriction order (MCO), worried about the food supply.
as the pandemic has spread throughout Next, the high demand for foodstuffs
Malaysia, all of the consumers became has also affected independent
panic and that is why panic-buying supermarkets. Some of the measures
started. However, Prime Minister Tan have been implemented by these local
Sri Dato Dr. Muhyiddin Yassin had stores include delivering food products
urged the public to stay calm and do not to customers to avoid panic buying,
panic as all of the food supplies will be placing restrictions on the number of
enough for everyone. customers allowed in any given time to
This high demand for food products avoid mass gathering, and limiting
has also impacted the delivery of food product numbers for one customer.
online. This happened because some (Maira, N. et al, 2020).
companies are struggling with bookings During MCO, all Malaysians are
that are excessive, with deliveries advised to stay at home and only the
arriving late or not. However, these head of the family can go out for
services are one of the initiatives to important reason. Schools and
ensure the consumer did not panic Universities were closed and only
buying or hoarding in order to get the workers with acceptance letter can go to
food supply. All of the food delivery work.
services will send the food to the Due to this situation, learning and
consumer and this action was taken teaching process, meetings and
because want to stop the spread of the discussions were all held online. Also,
virus Covid-19 from became worst and most people spending their time
avoid people from doing a mass accessing the internet for social medias,
gathering at certain places. online shopping websites and
In addition, Gabriel, H. L., & entertainment platforms.
Christina, M. C. H., (2020) mentioned By observation, Malaysian
that panic buying and food stockpiling Communication and Multimedia
10
the consumers need to need food supply consumers which is recorded to be 27%.
when necessary and store the food Unfortunately, they are the most
properly to the extent their shelf-life impacted group for this virus
while medical waste needs to dispose consequences whey they try to limit and
properly to prevent from infected with cut all of the expenses with maximum
other individuals. effort in order to survive in this season.
Therefore, they spend the less where
generally most of their money are being
FUTURE PREDICTIONS invested in groceries. Not only that, this
In these uncertain times, we are group comes from an age between 45
going to witness many transitions of years old and above where they have
consumer behavior and how the had to experience jobs being suspended,
conditions of living with pandemic virus unemployed temporarily or permanently
would influence their life for now and and many other issues. Next group is the
later. Most of the consumers have group who stays calm and carry on
already plan their expectation, try to live which is around 26%. Most of them are
with the new norm and some people not really impacted by these changes
might not be able to cope with all these and did not change their spending habits
exponential changes and perhaps some where they would still buy the usual
groups take time to recover from the things like they have always done.
aftermath of the pandemic. So, the However, they are concerned with the
question is what happens next? In what stockpile and panic buying came from
way consumers are going to invest their the first group as they believed that
money after all of these? those selfish habits would bring
First, let’s take a look for new negative side effects and very unethical.
customer segments that have emerged Then, the last customer segment is
during the crisis. The largest percentage group of people who hibernate and will
which is 35% of the consumers come spend when necessary with the
from group of people that are not so percentage of 11%. It can be said that
concerned about current situation but this group is very concern about this
they are still worried about their crisis but they took a really good
families. That means, they tried to save strategies to handle with it. They
more money and emergency items and believed that during this season, they
then stockpile them as they are need to slow down their spending,
pessimistic about the long-terms effect shopping less frequently and track their
because they believed the worst will record regularly. Also, they seem
happen. These people are the one who optimistic about the future and already
started the issue of panic buying where plan out how things will happen.
they bought large amount of item Now, we are going to predict
especially groceries unusually due to what is going to happen later for these
sudden fears that the products will run customer segment and how they are
out of stock or price rise will happen. going to react during post Covid-19. To
Next consumer segment is cut-deep list some of the customer segments that
14
will appear after this crisis are get to members. Also, they might come from
normal group, cautiously extravagant least educated background, likely not
group, stay frugal group, keep cutting working type, and always struggle even
group and back with a bang group. First before pandemic attacks. Thus, they will
of all, let’s focus on “get to normal” keep cutting their spending to
consumers segments. For them, they just maximum, change their product usage,
have to live their normal life back and budgeting their buying and will go out
do not expect much that this crisis can for groceries shopping once a month.
bring so much changes in their daily Lastly, there is a group that would be
routine. However, maybe some of them back with a bang which means they are
will change their spending habits such very optimistic and ready to spend in
as changing brands, try to cut some essential and non-essential goods.
expenses if necessary just for a In addition, the consumers are
precaution purposes. Next, the also predicted to invest their money to a
cautiously extravagant group are the one company or services that they think did
who still not feel secured and are afraid good things for society during the crisis.
the period of economic contraction will They would help and contribute for
happen where they observe that some domestic and local company to grow
business might have less demand, and back again rather than buying imported
start to generate less money. Due to that, goods from other countries.
companies start to cut some costs by Furthermore, the consumers are
laying off their employees and maybe expected to change their behavior and
some of the impacted customers come money on activities and leisure,
from these situations where they vacations and holiday, meals from
become unemployed due to companies restaurant and clothing and footwear
have stop growing. These types of group after the crisis is over. Travelling has
come from middle to high income the highest vote among people (44%) as
background where do not struggle much the activities they would reflect and
with financial aspects. Next group is change because they have fears with
stay frugal group where they still cannot being infected. Not only that, majority
comprehend with these changes and of consumers strongly agrees with the
only prioritizing their financial on idea that the things they trust most
something that they really need. should be reassessed and that other
Basically, they will try to get on their things will not be taken for granted.
feet back and will struggle to keep Meanwhile, more than a quarter claim
things back to normal by limiting their that they pay more attention to what
spending and change product they invest and what is the consideration
preferences. Then, the group of keep needed to take in an account. In our
cutting is very impacted even though post-crisis world, perhaps, will we see
after the Covid-19 season. Majority of consumers becoming more aware of the
these consumers come from relatively consequences of their choices?
small income group and have a lot of
commitment such as a family with many
15
CONCLUSION /columnists/2020/06/597236/cov
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