Consumer Behaviour 7SSMM 503
Consumer-Product Relationship Report
Professor Kirk Plangger
Done By:
T13877
T07195
T11491
T01146
Report Outline
1. Introduction
2. Method
3. Findings & Discussion
4. Implications
5. Conclusion
6. References
7. Index
8.
Introduction
Do consumers have a connection with their shampoo brand? To find out, we interviewed four individuals on their choices, associations, and purchasing decisions when it came to shampoo. The aim of this research was to learn how consumer-product relationships develop and relate to future purchasing decisions with mundane products less than five pounds. From the interviewers, we discovered how consumers relate to shampoo, their purchasing habits, price
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Our first recommendation is the “Point System”, although consumers tend to buy the same shampoo brand for many years, they are still price sensitive and eager to make use of any potential offers or discounts. We therefore suggest that shampoo marketers respond to this price sensitivity by offering discounts to repeat users. Our final recommendation for shampoo marketing managers is “Brand Ambassadors”, in our interviews we found that our subjects have been using the same brand for years and that most of them started using the brand based on observing a member of their reference group e.g. a family member. We therefore believe that marketers should highlight these two points by using brand ambassadors.
Conclusion Through our interviews we aimed to understand the consumer-product relationship between individuals and their shampoo brand. As a group we were surprised by the level of brand loyalty individuals have towards their shampoo. A successful marketing campaign should therefore not only take into account the consumer decision making process but also the consumer-product relationship. As it is through exploiting and analyzing this relationship that marketers can capture new customers and retain old customers. Marketing managers should not underestimate the power of the consumer-product relationship even for something as mundane and seemingly unimportant as
Consumers are creatures of habit: they buy the same products time and time again, and such is their familiarity with big brands, and the colors and logos that represent them, that they can register a brand they like with barely any conscious thought process. The packaging of consumer products is therefore a crucial vehicle for delivering the brand and the product into our shopping baskets.
There are many factors which can influent consumers make decision whether they purchase the product or not, such as physical environment, perception, personality, lifestyle and culture. Customers will change their mind to not buy a product because of style, color, price or their own idea changed, such as consumers will notice the image of the brand instead of the function of the brand.(Ferrell, 2005).For example, when P&G has just entered in China, its original position of brand “Rejoice” all-in-one shampoo is bring people convenience and flexibility of their hair. Later, P & G in market development found that consumers most need is to establish self-confidence, then from 2000 “Rejoice” reposition its brand to “self-confidence” instead of “convenience and flexibility” for the demand of consumers. (Hartline,2005) Consumers are the focus of the marketplace because whatever merchant do is all attempt to attract their needs and desires. Merchants are not only the people who sell products to consumers, but also should see the investment with a long-term sight. Consumer needs is changeable, maybe sometimes it will affect a firm’s original plan, but firms should always remember that consumers are god. Then a firm probably has a great prospect.
The Moisturizing Black Soap Shampoo is currently placed in the Decline stage of the product life cycle. This stage is always characterized by a shrinking market, something that is observed with the shampoo ("Product Life Cycle Stages", 2017). The product has experienced a consistent decline in the number of sales going by the number of units sold in each quarter. This is something that has led to a decrease in the amount of revenue collected and a loss of market share from 3.8% in 2015 to 2.8% in 2016 (PRODUCT REPORT FOR ALIKAY NATURALS MOISTURIZING BLACK SOAP SHAMPOO, 2017). All these have occurred in a steady manner that gives indication of the general decline of the shampoo. From the survey conducted on the customers of the shampoo,
Price is an important factor in the marketing mix not only because it drives revenue and business sustainability, but also because it acts as a signal of value to consumers. Consumers often use price as a way to gauge quality or exclusivity. Moreover, price can also help segment the market, by customer, product-form, location, time-basis, or price sensitivity. By offering products at different price ranges, a wider range of consumers can
According to Veloutso & Moutinho (2009, p.315) Brand relationship is defined as the continual exchanges between a specified brand and an established customer, where relationship characteristics of love, association, interdependence and loyalty are developed with the brand. However, Keller (2014, p.365) revealed that consumer-brand relationships are the quality of relationship between brands and consumers. As a result, there are many influences that formulate consumer brand relationship. Basically, brand loyalty , brand equity and trust Escalas and Bettman, (2005, p. 379) are the underpinning factors that generates brand relationships. Furthermore, this developing customer brand relationship constitutes a sum of long term experiences with the brand where the brand is the entirety of the customers experiences with the brand. However, supplementing the long term customer brand relationship, brand communications is the major catalyst in relation to enticing both customer and seller in the long term relationship, hence attaining a brand emotional connection. This brand relationship does not only lodge an essential position in the mental period of a brand connection, rather it stimulates greater sales due to customer retention, less price Vulnerability, superior customer loyalty and advanced profit margin.
Consumers always base their decisions on price. The price of an item is important as it can influence consumers to purchase the product or not. If a product is out of their price range most people aren’t likely to purchase the product unless
Simplified brand loyalty describes a status in which consumers determine their selves in; out of it they become committed to a brand. Thereby they continue purchasing products or services of a specific brand. At this point consumers rather spent more money on a product of a specific brand than buying from multiple suppliers within the same category. Mainly brand loyalty is a result of consumer’s behavior, which is enforced through a company’s measurements regarding branding. Branding is a process that a company runs through in order to establish a new brand. The ambition here is to strengthen a unique name and image for a product in
Throughout the dissection there were many opportunities and weaknesses to uncover. Strong consumer loyalty is an important strength that can help increase word-of-mouth of the brand. Many people look for information for new brands online through websites, reviews,
The main target market for the company is people of 15 and over years of the age, who represent healthy and luxurious lifestyle, and appreciate high quality product. Such people are mostly representatives of business who loves take care of their health and body: regular work out in gym, yoga, SPA, aroma therapies etc. Those people demonstrate elegant style in everything, starting from a coffee what they drink and finishing a shampoo or hand lotion what they use. Bright example of such group of customers can be those who prefer Starbucks coffee to Tim Horton’s one.
The team gathered a wealth of information about the products strengths and weaknesses, but lacked important consumerbrand relationship information. Supplementing the Consumer Insight Team research with the Usage and Attitude Study provided a well rounded customer understanding.
Consumers should know their consuming behaviour before purchasing a product. The purpose of this portfolio is to review and evaluate my own consuming behaviour distributed over three categories. Firstly, I will review on my philosophical assumptions and to discuss about my beliefs on the importance of advertising and marketing. Secondly, I will identify a consumer behaviour that I have done recently and to analysis what type of decision maker I am. Finally, I will examine how do I express my complaints to the organisation and my dissatisfaction. These three categories are formed by different worksheets. This portfolio is designed to help and understand how to take advantages from my consumer behaviour when purchasing
Studies in consumer behavior focus on consumer psychology to determine how people reason, feel and think; and choose between alternative products, brands and sellers (Gummesson, 2012). While consumers purchasing decisions are often influenced by culture, family and environmental factors, consumer knowledge is of great significance in informing decisions and in making actual purchases (Gummesson, 2015). The Consumer
The research in consumer behavior and psychology shows that the brand related information determines the probability if the customer will select a particular brand (Mitchell 100). Companies have learned to play with the psychology and emotions of consumers and have succeeded in attracting even those consumers that were not motivated by the traditional advertisements. Companies these days are focusing on the basic psychological principles to understand how to plan and execute the advertisement.
The term “Brand Loyalty” also called as “Customer Loyalty” has been in the business industry since a very long time as a model to be used in conducting business. But it wasn’t until the mid to late 1900’s that the term was actually given its due importance by making it a vital part of advertising and marketing. The concept of marketing evolved substantially from being focused on sales of a product to having Customer satisfaction to be its focal point. Studies further revealed that there was a positive correlation between customer satisfaction and Brand Loyalty.