TLDR;
This video provides a comprehensive overview of consumer behaviour, explaining its meaning, the difference between customers and consumers, its importance for businesses, and the various factors that influence it. Understanding consumer behaviour is crucial for tailoring marketing strategies, achieving marketing goals, improving distribution networks, and ultimately gaining a competitive advantage.
- Consumer behaviour involves understanding the psychology, motivations, preferences, and habits of consumers.
- Businesses can use consumer behaviour insights to tailor marketing strategies and improve customer satisfaction.
- Factors influencing consumer behaviour include psychological, social, cultural, personal, and economic factors.
Introduction to Consumer Behaviour [0:01]
The video introduces the concept of consumer behaviour as a multi-dimensional field that studies how individuals, groups, and organisations make decisions when purchasing and using products and services. It emphasises the importance of understanding the psychology, motivations, preferences, and habits of consumers. Research in consumer behaviour provides valuable insights into why consumers act the way they do and how their behaviour can be influenced.
Meaning and Concept of Consumer Behaviour [0:22]
Consumer behaviour is defined as the study of how individuals, groups, or organisations make decisions and take action when buying and using products and services. It involves understanding the psychology, motivations, preferences, and habits of consumers. Two examples are given to illustrate this concept: choosing a smartphone and planning a vacation. These decisions are influenced by factors such as brand reputation, price, features, personal preferences, past experiences, and recommendations from others.
Customer vs Consumer [1:44]
The video clarifies the distinction between a customer and a consumer. A customer is someone who purchases a product or service, engaging in a transaction by exchanging money for goods or services. A consumer, on the other hand, is the person who uses or consumes the product or service, regardless of whether they made the purchase. For example, a parent buying a toy is the customer, while the child playing with the toy is the consumer.
Importance of Understanding Consumer Behaviour [2:15]
Understanding consumer behaviour is crucial for businesses and marketers for several reasons. It aligns with a customer-centric approach, helping businesses tailor their products, services, and marketing strategies to meet the specific needs and desires of their target audience, which enhances customer satisfaction and loyalty. It also helps achieve marketing goals by enabling companies to develop effective campaigns that resonate with their target market, leading to increased sales and brand loyalty. Furthermore, it improves the performance of the entire distribution network by providing valuable insights to dealers and salespeople, enabling them to enhance their selling techniques and improve customer satisfaction.
More Benefits of Studying Consumer Behaviour [3:37]
Studying consumer behaviour allows businesses to develop more relevant marketing programmes by tailoring messages, advertising channels, and promotional offers to match the preferences, values, and lifestyles of their target consumers. It also enables businesses to adjust their marketing programmes over time by monitoring changes in consumer preferences and behaviours, helping them stay ahead of the competition. Additionally, it allows businesses to predict market trends by analysing consumer data and trends, identify Emerging Market opportunities, and position themselves to capitalise on them.
Competitive Advantages Through Consumer Behaviour [4:47]
Consumer behaviour helps businesses differentiate their target audience by segmenting consumers based on their preferences, demographics, and behaviour, allowing them to develop targeted marketing campaigns. It is also crucial for customer retention, enabling businesses to implement strategies to Foster long-term relationships through personalised offers and excellent customer service. By studying consumer behaviour, businesses gain a competitive advantage, identify unmet needs, develop Innovative products, and position themselves as leaders in their industry. Consumer behaviour research also aids in developing new products by understanding consumer preferences and identifying gaps in the market.
Dynamic Nature of the Market [6:21]
Consumer behaviour research recognises the dynamic nature of the market, acknowledging that consumer preferences and behaviours evolve over time. Businesses that stay attuned to these changes can adapt their strategies and remain relevant in an ever-changing Marketplace. By continuously monitoring and analysing consumer behaviour, businesses can proactively respond to Market shifts and consumer demands, ensuring their long-term sustainability.
Factors Influencing Consumer Behaviour [6:45]
Several factors influence consumer behaviour, including psychological, social, cultural, personal, and economic factors. Psychological factors such as motivation, perception, learning, attitudes, and beliefs influence how consumers perceive and respond to marketing messages. Social factors, including family, reference groups, roles, and status, significantly impact purchasing decisions. Cultural factors, such as culture, subculture, and social class, influence consumers' values, beliefs, preferences, and buying habits. Personal factors like age, income, occupation, and lifestyle affect consumer behaviour, while economic factors, including personal income, Consumer Credit, and economic conditions, significantly influence purchasing power and spending habits.
Conclusion [9:18]
The video concludes by summarising the key points discussed, emphasising that consumer behaviour is a complex field. By studying and analysing it, businesses can gain valuable insights into their target audience, improve marketing strategies, and Foster long-term customer relationships. The importance of understanding and adapting to the various dimensions of consumer behaviour is reiterated for achieving long-term success.