Consumer Behavior 1

Consumer Behavior

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Consumer Behavior 2

Introduction

For any organization looking to achieve its goals and be successful in business, it should

consider and understand customer behavior accordingly. Moreover, buyers and companies

provide acquisition decision making systems and cultural, economic, personality and cognitive

considerations influence certain choice-making mechanisms while these processes have stages as

the following: acknowledgement, gathering of details, assessment of alternate assets, purchasing

and post purchasing behavior (Mothersbaugh et al., 2019). In this essay, I will create a model of

end-user behavior for a product, and create a model of an organizational buyer compared with an

individual. I will be using coffee as a product to understand buyer behavior for a product. Then I

will discuss various aspects regarding buyer behavior. After that, I will create a model that

distinguishes between organizational buyer and individual customer.

Consumer Behavior

Customer behavior explains the process of buying product or service stating by looking

for the product he/she wants to buy as a first stage in the buying process, and he/she start

checking for the information to find which one will fulfill his or her needs while considering

other factors such as price and availability of money to spend to acquire the required product

(Trudel, 2019). When a buyer's behavior is analyzed it helps us in understanding what is his

thinking process, what influence his thinking, what is the buying pattern, various factors

affecting his buying for a product. We will discuss the buyer's behavior in more detail to

understand it better.

There are various types of buyer behavior which might influence consumers in their

shopping decisions. complex buying is a type of behavior that is seen when a customer is
Consumer Behavior 3

purchasing something expensive. It includes products like cars, house, expensive paintings etc. A

buyer is fully involved in the process here and he does a lot of research before finalizing his

buying (Godey et al., 2016). Coffee is a normal product so complex buying is not included in

that. Habitual buying is when you buy a product out of a habit. Consumers might develop a habit

of buying coffee due to their tastes and preferences. Habitual buying does not involve much

thinking as the buyer is not buying the product out of habit and not because of his loyalty

towards a brand. If you prefer coffee of a certain brand and pick it every time you go to the store

then it is a habitual buying.

Model for organization buying behaviour vs. an individual consumer

Meaning: Customer buys products for their personal needs and to satisfy their wants.

Organizations buy products for their organizational needs and to satisfy organizational purposes

(Mothersbaugh et al., 2019).

Reselling: An individual does not buy for reselling the product. In an organization, the

product is bought as raw materials for further processing and selling.

Profit earning: There is no such purpose of buying products for earning profits. The

purpose of organizations is to earn a profit.

Quantity: The number of goods purchased by the individual’s customers is usually less

in number. There is a bulk purchase in case of organizational buying as they need it at a large

scale (Godey et al., 2016).

Buying process: Buying process of an individual is quite simple as it does not involve

much thinking. The buying process of organizations is quite complex as they have to check

various aspects before buying (Mothersbaugh et al., 2019).

Knowledge: Individual customers do not have full knowledge of the market.

Organizational buyers have proper knowledge about the right market and price.

Factors: Individual buying is affected by many factors like age, society, social media,

family etc. In organizations, various departments are involved in the decision-making process

and determine various factors for it (Trudel, 2019).

Conclusion

The purchasing behaviors of an individual differ from those of an organization and each

individual and organization has its purchasing decision influences which need to be clearly

understood by business marking to enable them to target right customers and increase their

profits.
Consumer Behavior 5

References

Godey, B., Manthiou, A., Pederzoli, D., Rokka, J., Aiello, G., Donvito, R., & Singh, R. (2016).

Social media marketing efforts of luxury brands: Influence on brand equity and consumer

behavior. Journal of business research, 69(12), 5833-5841.

Mothersbaugh, D. L., Hawkin, D. I., & Kleiser, S. B. (2019). Consumer behavior: Building a

marketing strategy. McGraw-Hill Higher Education.

Trudel, R. (2019). Sustainable consumer behavior. Consumer psychology review, 2(1), 85-96.