Questions- This assessment will cover following questions:
- What are the factors affecting consumer behaviour and helps to encourage new customers?
- Evaluate the implications for understanding customers and influencing new shoppers in the shopping environment.
- Examine the implications for shopper marketing and how it helps to understand the customers behaviour.
Consumer purchasing behaviour is a aspect which can be measure by using various market research and information which is related with the influence of internal and external factors taking place in the company. This is related with factors which is affecting the companies which are part of changing behaviour of consumers with context to various factors prevailing in the environment (Badgaiyan and Verma, 2015). The sector chosen in this report is the fashion industry which is growing with a very tremendous speed in recent times as trends are changing which is posing impact on positive outcomes of this industry. This report is based on Burberry company which is a fashion house and its headquarters are present in London. They deal in accessories, clothing, fragrances cosmetics and sunglasses which help in fulfilment of various fashion requirement of their customers.
Current Macro Influence on Consumer Shopper Behaviour
Development of an understanding of various external environmental factors is very important for development of strategies and practises which can help in serving the customers in a more appropriate manner. There are many factors which are present in the external market such as cultural norms, social factors, family values and many such factors which posses a impact on purchasing behaviour of consumers. Internal factors which posses a influence on customers also includes factors such as family role, social norms, structure of households and various groups which affect the purchasing decision of a individual. Industry selected in this report is the fashion industry which is a industry which has been growing with a rapid speed (Bellini, Cardinali and Grandi, 2017).
culture norms: Culture norms are those which consist of various factors such as experience belief, attitude, religion. spatial relations and many other such factors which posses a impact on the overall buying behaviour of a particular customer. Culture is a way in which a person is living their life and this is related to what a particular person is doping in order to satisfy their requirements and demands. Every consumer is majorly affected by four factors which are cultural, personal , social and psychological as discussed
Social norms these are regarded as representations which can collectively affect individual perception with regards to a particular group and this can be viewed as cultural product which is representing basic knowledge related to what other are doing and they feel that what should be done. This factor explains influence of various factors which are affecting the decision making of a consumer whether directly or may be indirectly. It can be reference groups, family & social roles.
Impact of family values and reference groups consumer tribes: Reference groups can be defined as collection of more than two people who are interacting with each other to achieve their goals of individual & groups. Reference group is a very important aspect which is related with the idea of having a effect on the overall behaviour of a consumer as this helps in shaping of values is a special or general way this basically refers in determine various purchase decisions or the consumption patterns (Sangroya and Nayak, , 2017).
Social roles this is related with the position of individual in their family, workplace, country, friends group etc. all this are according to social status and role of that particular person. A social role can be defined as a set of activities and attitudes which a individual is having. Personal factors includes age, lifestyle of a person,, occupation, various economic circumstances, which change with time and have a effect on buying behaviour and decision making characteristics of a consumer.
Pre-decision making on consumer purchase and post purchase: there are many factors which affect the pre decision making or the behaviour before a person is willing to make a purchase such factors includes brand of the product, variations in a particular product which they are willing to purchase, quality of the product and lastly various types of available alternatives with the consumer which they can purchase. Based on the gender, age of the consumer, education level, price of product, risk associated with product, a particular option is selected by a consumer based on outcomes of these above mentioned attributes (Saluja, 2016).
Pre purchase behaviour of a consumer is also related to some steps such as specific: which is related to finding a particular solution with context to a particular problem.
Ongoing: In this consumers do their research for a particular point of time to make a decision to buy or not to buy a particular product.
Incidental: this is related to observation is taking place incidentally or naturally it is taking place in the incidental research. This information can be extracted from internal or external sources such as internal sources is related to the consumer itself when he is recalling information with the help of memories and their personal experience.
External sources includes information which is related to interpersonal communication with various factors present in the external environment which includes family, friends, marketing people and also various advertising which is used by them in recalling of information which is selected by them.
Also Read:- Consumer Behaviour and Decision Making Journey
Post purchase behaviour: This is related to experience and activities which is taking place after a product is being purchased by a individual. This behaviour is related to the dissonance which is experienced by a consumer post purchase or after they have made a purchase. Sometimes a consumer might regret on the decision which they made of purchasing a product. This mainly happens because of large availability of alternatives, other alternatives seeming to be better and more attractive (Ramya and Mohamed Ali, 2016). All such factors lead to a situation of dissatisfaction on the decision took by the consumer with regarded to their purchase. Such stage has to be solved by the shopkeepers and taken care that they do not occur and if they occur then it can be minimized by them this results into repeated purchase otherwise a consumer might not purchase the product again in future.
Many times there are instance when because of the post purchase dissonance which is being experienced by a consumer, there is exchange or return of product which takes place. Seller can reduce this dissonance by highlighting various benefits and attractive features of the product so that dissatisfaction level can be reduced or minimized (Popadynets Shults and Barna, 2017).
Influence of micro factors in consumer behaviour
There are many factors which are possessing impact on the buying behaviour of a consumer which are related with the micro aspect and these are playing role in having a affect on how a consumer will be decisioning their choices. There is a issue which Burberry is facing in terms of very uncertain demands and changes in trends which are taking place in the female fashion industry and is having a effect on how a company is able to focus on their future strategies or launches of their products.
Perception and learning perception is refereed to as separate sensation which is related to how a information is organized, interpreted and then it is experience by a person. How a particular information is interpreted is influenced by the available knowledge and experience of a consumer. This is also regarded as a top-down processing.
attitude & intention, intention is a mental state which is representing a sense of commitment used in carrying of a action in the future (Nishanov and Ahunjonov, 2016). It involves various mental activities which are planning by a consumer.
personality traits there are many traits which re related top a particular consumer and are used by them in making or not making purchase. Such traits include openness, extraversion, Agreeableness, conscientiousness and neuroticism all these factors posses a impact on how a customer is able to decide their behavioural and then make a final decision which can be negative or positive depending upon how these factors have influences the costumer.
Above mentioned are some of tools which Burberry uses in order to solve this issue of uncertain demands and preferences of their target