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University of the People

Master in Business Administration

BUS 5112 Marketing Management

Dr. Alam Mahfooz

Due April 20, 2022

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Model of Buyer Behavior.

A consumer/buyer behavior refers to the process that occurs when a consumer selects,

buys, and consumes goods and services for the satisfaction of their needs and wants (Hasret

Aktas, 2020). To begin with, the consumer finds the goods which he/she wants to consume and

then they select the goods which fulfilled their need. Later the consumer checks the availability

of enough money to spend on the goods or services and lastly takes a look at the price to make a

sound decision. There are lots of factors that affect the purchase of the buyer like social, cultural,

demographic, psychological, and personality (Sheth, 2011). It should be that the buyer can be

both individuals and organizations and they need to purchase items to accomplish their daily

tasks. Here, exists a large difference in the way how organizations purchase their goods and

services. Understanding this is the first step in targeting both the organizational and consumer

market.

Model of buyer behavior for goods or services

In addition to understanding the needs of your customers, one needs to understand the

motivation behind a purchase and how to influence the buyer into the buying process.

Understanding your customers will help you to develop and distribute your product, as well as

get the right price point and develop successful promotional activities that are going to keep your

goods and products above the rest.

Model of Buyer Behavior

Both businesses and consumers exhibit patterns of buying behavior. The business model

is less open to debate as your business customers will almost certainly have some formalized

process of buying in place. Your work is to understand the process and match your marketing
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activities to the different stages of the process. In the end, the customer will receive the right

kind of contact at the right time. This model is important for anyone making marketing decisions

(John A. Howard, 2012). It forces the marketer to consider the whole buying process rather than

just the purchase decision. This model implies that the customers pass through all stages in every

purchase.

However, in more routine purchases, customers often skip or reverse some of the stages

depending on the consumer and his or her environment. For instance, a person buying a favorite

hotdog would recognize the need to feed and go right to the purchase decision, skipping

information search and evaluation. However, the model is very useful when it comes to

understanding any purchase that requires some thought and deliberation.

An excited and anxious customer often gets caught by his urge to acquire a certain

product in much hurry compared to a customer that is relaxed and patient (Peter S.H. Leeflang,

2013). The former always finds himself making a quick decision if the product in dire urge is at

hand. In this case, the processes of search are not looked into. however, for the customers who
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are not controlled by their urges and other behaviors, then the process of information search

begins.

The following are sources where a customer can obtain information for unbiased decision

making:

i. Experiential sources: which involves handling, examining, and using the product.

ii. Personal sources: These include referrals from family, friends, and neighbors.

iii. Public sources: newspapers, radio, television, consumer organizations; specialist

magazines

iv. Commercial sources: advertising; salespeople; retailers; dealers; packaging; point-of-sale

displays (John A. Howard, 2012)

Nevertheless, the impact of these sources of information will vary by product and by

customer. In the evaluation stage, the customer must choose between the alternative brands,

products, and services. An important determinant of the extent of evaluation is whether the

customer develops the feeling of being part of the end product and involved in the decision-

making.

Model for Organizational buyer versus individual buyer

The analysis that will be shown below consists of a model for an organizational buyer vs an

individual buyer. The difference and reality are clearly stated:

Organization Buyer Individual Buyer

 Organizations purchase goods to use in  Individual consumers purchase goods and

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their continuing operations and to sell to services for their personal use.

consumers.

 Organizations generally purchase goods  Individuals consumers buy limited or retail

in greater volumes and are driven by quantities for their personal use.

customer demand and the need for

manufacturing materials.

 Organizations also purchase more raw  Individuals don't have the tools or knowledge

materials, such as office utensils, to put those raw materials to use as a product.

beverages, electrical appliances, wood,

steel, and other items used in

manufacturing.

 It is much harder to entice an  Individual Consumers, on the other hand, are

organization to buy a non-needed driven by need and by want. It is possible to

product, especially when dealing with entice a consumer to purchase something he

purchasing department that is does not need through effective marketing or

accountable for what it spends. peer pressure which in the end proves effective.

Conclusion

In conclusion, consumers undergo an organizational or individual process before making

a quality decision regarding a purchase of a product or service. As the process begins, the buyer

has a right to withdraw at any stage in the buying process. The six-stage process represents the

steps people undergo when they make a conscious effort to learn about the options and select a

product (Hasret Aktas, 2020). Individual consumers buy goods and services for ultimate use or to
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satisfy their basic needs while organizations buy goods and services for their business needs.

Their buying purpose of them is to earn profit by using and reselling the goods and services.

However, in the end, the buying process is always observed.

References.

Hasret Aktas, G. S. (2020). Consumer Behavior Models. Peter Lang GmbH, Internationaler

Verlag der Wissenschaften.

John A. Howard, J. N. (2012). The Theory of Buyer Behavior. Wiley.

Peter S.H. Leeflang, D. R. (2013). Building Models for Marketing Decisions. Springer Science &

Business Media.

Sheth, J. N. (2011). Models of Buyer Behavior: Conceptual, Quantitative, and Empirica.

Marketing Classics Press.