Section 1
Research on consumer behaviour could be realized through comprehensive and practical interactions with purchasing scenarios related to varying products. The different product offerings and relevant value proposition associated with the products have been considered as the sole drivers for consumers making actual purchases. The following section illustrates eight distinct purchase scenarios which involve the different product categories such as accessories, food, electronics and clothing.
The disparity in product types is indicative of variable purchase situations and is predictably useful for determining the various aspects of customer behaviour alongside the response of customers to variable purchase situations and underlying factors which influence the purchase decision.
The French Salon Sale:
The purchase experience at The French Salon Sale is characterized by the accessibility of fashion products of various brands which are globally reputed. I was able to notice the distinct categories of clothing from distinctly renowned brands which were marked by the official logo or trademark of the brands thereby making it easy for customers to recognize the specific products that they want to purchase.
The notable brands that could be noticed in the French Salon Sale include DKNY, L.K. Bennett, Paul Smith and Victoria Beckham hold a distinct competitive advantage in the domain of apparel. The interior ambience of the store as well as the availability of time for rounding on the final choice for clothing could be considered as profound situational variables which influence the purchase decisions made by me.
The in-store promotional aspects such as point of purchase displays accounted for the explicit attractive potential of the store. Therefore I observed that the point of purchase displays was the most plausible situational variable that affected my decision.
Monsoon Accessorize:
The primary objective which I could highlight for validating this purchase scenario was to acquire a watch since Monsoon Accessorize has the reputation of one of the leading accessories stories in London. The store also provides a varying assortment of products such as gifts and vanity bags. Apart from the congested atmospherics of the store, the limitations in the context of situational variables could be noticed in the space of the store that could be a major influence on the purchasing behaviour of customers.
I claim that the colour of the store as well as conditions of the pricing schema assumed for the product packaging accounted for a notable influence on my purchasing behaviour. The minimal crowd at the point of time when I visited the store also served as a promising situational variable that can be notably identified in the purchase scenario.
Versace:
I visited the Versace store for buying a suitable perfume and since the organization has a cognizable reputation in the domain of apparel and perfumes. The preceding element referring to a dominant brand image was a considerable impact on my decision to visit the store. The store’s ambience was combined with appropriate scent in the store reflecting on the positive impact which the atmospherics rendered on my mind. I also reflected on a deterring factor which includes the sticker on a product that I selected. Even though this could not be accounted as a situational variable, it should be considered for obtaining viable insights into the viability of the purchase.
Gift Food:
The Gift Food supermarket is considered in this purchase scenario and my selection was based on the underlying preference for purchasing a gift for my friend. The store offered an attractive discount of 20% on its products and I was able to find just the right thing I needed to gift my friend i.e. a combinational package of a wine bottle, a bouquet and two artistically designed mugs.
The profound situational variables that could be brought into account for impinging a notable effect on my purchase decision include the store’s point of sale promotional displays depicting the discounts as well as distinct product categories. The provision of the limited crowd in the store despite the discounts offered on the products also contributed to the surety of my purchase decision. The store also maintained an amiable smell in the store ambience with implications towards resulting in the positive direction of customer purchase behaviour.
Nicky Clarke:
I intended to purchase a hairdryer and thereby I selected Nicky Clarke since the store offers explicitly performing grooming products of various reputed brands. The product packaging that was observed in the hairdryer I selected for purchasing was complemented by the in-store promotional displays depicting the discount rates anointed to individual products.
The store’s atmospherics were supported by the provision of music and a breezy fragrance which was helpful for me to browse through the various products placed on display in the store. This factor could be assumed as one of the most reliable factors for drawing customer behaviour in favour of the store.
The Colour Cargo:
Colour Cargo provides a wide assortment of cosmetic products for the grooming of nails and lips. I was able to capitalize on the favourable atmospherics of the store for reaching a credible purchase decision. Apart from the situational variable of in-store promotional displays of discount offerings on the products, the aspect of colour noticed in the store’s design and layout was a cognizable influence on my purchasing decision in this scenario.
Gucci Guilty:
Gucci has a promising reputation in the domain of cosmetics and apparel which allows it the opportunity of holding a formidable brand presence in the market. One of the promising factors which drew the majority of my attention towards the Gucci Guilty perfume was the discount offered on the products alongside the aesthetically appealing product packaging. The situational variables which played a significant role in the purchase scenario refer to promotional deals offered on the nail and lip grooming cosmetic products, the smell of the store and the minimal crowd in the store.
Cartier Perfume:
I also engaged in another purchase scenario wherein I purchased a Cartier Perfume that was dictated primarily due to the brand reputation of Cartier. Furthermore, the situational variables such as time and conditions of the purchase reflecting on the promotional discounts offered for the perfumes and other cosmetic products as well as the affable atmospherics of the store were also effectively involved in modifying my personal purchase decision. One of the notable inferences that could be drawn from this purchase scenario is the impact rendered by the identity of a brand on the purchase decision.
Summary:
The notable objectives of the report presented below are directed towards the determination of promising differences in the purchase scenarios in which personal engagement was required for this activity. The evaluation would be largely directed towards the review of potential factors which were observed during the purchase scenarios. Consumer behaviour research can be influenced to a substantial extent through the implications of identifying notable factors observed at the time of purchase.
The factors are necessarily observed in the situational, demographic and psychological variables which indicate that customer behaviour is subject to their impact in varying scenarios. The other notable highlights that could be observed in the report refer to the utilization of a suitable decision-making model for validating purchase decisions.
Introduction:
The concerns of business organizations, retailers, manufacturers and marketers for increasing revenue potential are addressed by the investment of considerable proportions of money. However, it is essential to note that every customer visiting a particular supermarket, thrift store or speciality store is not bound to make a purchase and hence their preferences could lead either to conversion into an actual customer purchase decision or the customer could prefer not to make a purchase. As per Kristofferson & White, purchasing is considered as a formidable influence on the improvement of the economy and living standards of the resident population. The complexities in human behaviour are accountable for profound ambiguities in the decision making approaches followed by an organization (Kristofferson & White, 2015).
The profound inferences that can be drawn from the consumer behaviour research direct towards the impact of demographic and psychological variables on customer purchase decisions. Reflection on practical purchase scenarios alongside estimation of the appropriate decision-making models that could accomplish specific objectives about customer behaviour alongside presenting the perspective of customers on the understanding of situational, psychological and demographic variables in the context of practical purchase decisions. The report also presents a cognizable interpretation of applying the rational decision-making model in the selected purchase scenarios by referring to the four underlying phases in the decision-making model.
An interpretation of the rational decision-making model and its impact on personal purchase decisions could be evaluated as a promising source of information for future research on customer behaviour alongside the varying sources of information that could enable viable purchase decisions.
Section 2
Situational variable analysis:
The activity requires the involvement of two purchasing situations and the Gift Food store experience and the French Salon Sale. The individual purchasing experiences were related to distinct products such as wine in the case of the former and clothing in the latter. The difference among the nature of products is further complemented by the presence of certain formidable factors which dictate the purchase decision. According to Akincilar & Dagdeviren (2014), the varying products which could be noted in the context of the review of purchasing decisions thereby reflecting on increased attractiveness of the store also have a substantial relation to the effect of variability in customer decisions. One of the foremost aspects noted in the case of the purchase situations is observed in the store layout which is evident in the case of the French Salon Sale.
The store layout has a cognizable impact on the psychology of a customer which could draw positive recommendations for improving the chances of actual customer purchases. Store layout can be easily accounted as a notable situational influence on customers and their decisions about the products. The French Salon Sale store exhibits cognizable features of space in its massive store which helps accommodate varying product lines offered by reputed brands in the apparel industry such as Victoria Beckham, DKNY and L.K. Bennett. The expanse of the store’s space reflects on the flexibility that can be facilitated to customers for selecting the products from their favourite brands. The influence of situational variables in the context of a specific purchase decision is largely dependent on the three profound pillars of time, conditions and place (Al-oqla, et al., 2015).
As per Decrop, the purchasing experience in the French Salon sale was prominently indicative of the influence of the store’s lighting schema which acts as a soothing element for the customer’s psyche and lighting is considered as the most profound visible entity in the store’s layout. It is also imperative to consider the psychological effect rendered by the lighting in the French Salon Sale store which is imperatively noticed in the provision of overhead lighting for specific collections (Decrop, 2017). The overhead lighting is focused on products rather than maintaining a uniform lighting intensity throughout the store’s complete space. Different implications of the in-store promotional aspects implemented by the store’s management reflect on the situational influence delivered on the customer behaviour. The arrangement of various products available in the store in distinct categories alongside the specific categorization of the different brands is a flexible opportunity for customers to scout through the product ranges of their favourite brands.
However, in-store promotional approaches can be considered as the major situational variable that is capable of influencing the behaviour of customers. According to Hackett, In-store promotional efforts implemented by the store direct towards the specific measures for point of sale displays which depict the discounts provided for particular products alongside informing customers about the new arrivals. These in-store displays are helpful for customers to demarcate the old products from the new arrivals alongside reaching cognizable decisions especially about product purchases (Hackett, 2015). It is necessary to observe that the purchase decisions of a customer are dependent on motivation which is guided by the factors of satisfaction and value. The factors which guide the motivation of customers could not be brought under the control of either the marketer or the customer and hence the necessity of determining the intensity of situational factors and their impact on purchasing decisions.
The critical reflection on the case of the French Salon Sale refers to the requirement of evaluating formidable factors which impinge reasonable impact on the purchase decisions of customers and the three profound aspects that can alter the customer decision making approaches. Three factors of time, conditions and the place are formidable situational influences on customer behaviour and can be considered as essential inclusions in the atmospherics of a store alongside ensuring a reliable association with consumer behaviour research studies (Kenrick, Saad & Griskevicius, 2013). An apprehension of the basic factors involved in a store’s atmospherics would help present plausible conclusions about the significance of situational variables on customer purchasing behaviour as well as determining their implications in the practical purchase scenario considered for this activity report.
Time can be flexibly considered as the most significant situational factor that affects the behaviour of a customer and determine the feasibility of a real purchase decision. As per Kristofferson & White, the limitations of time could be observed in the life of every individual and hence a shopping visit could result in accomplishing actual purchase situations only if the customer has the plausible amount of time for reviewing the products, their pricing and quality. Furthermore, the availability of time is associated with beneficial outcomes such as consideration of reasonable alternatives for the required products (Kristofferson & White, 2015). Therefore, restrictions on the available time for shopping could lead to formidable setbacks in case of opportunities to research the products and determine their applicability for the individual. The other factors that are present in the store at the time of the purchase and are considered responsible for impinging profound impact on the purchasing decision of a customer include point of purchase displays, smell, colour scheme, music, promotional deals, availability of space and depletion of the stock.
Point of purchase displays could not only be held accountable for marketing benefits but also act as reliable entities that can be used for attracting customer attention as well as motivating them for a purchase. The point of purchase displays are also capable of delivering cognizable outcomes in the case of products belonging to popular brands and in the case of the French Salon Sale, the impact of these displays can be profoundly observed. The displays are generally placed at the ends of the aisles in a store and are capable of facilitating increment in purchases of a particular brand as compared to the sales which the product would have been able to garner without displays (Levin & Nolan, 2013). The colour scheme observed in the store layout can be very well considered as an influential factor on the customer purchase decision. Colour settings within stores have distinct implications for varying cultures which requires an unprecedented emphasis on colours and their specific meanings for different cultures.
Estimation of the specific colour setting for a store is dependent on the nature of the product facilitated in the store as well as target customer segments identified for the store’s product offerings. Music and smells can be assumed as profound elements which could be integrated into the situational environment for the store that would provide apt prospects for directing customer purchasing behaviour towards the store’s benefits (Liu, Zhang & Zhang, 2014). These factors have a prolific impact on the mood of customers while it also contributes to the involvement of customers with the store environment for longer times to find plausible products of their choice. The inappropriate smell could lead to customers leaving the stores on an unprecedented basis leading to negative trends in customer purchasing behaviour.
As per McClelland, et al, the purchase scenario of the Gift and Food store also indicate the involvement of the situational factors when reviewed from a critical perspective. One of the prominent advantages that could be reasonably associated with the purchase scenario considered in the case of the Gift and Food Store is the product quality and impeccable packaging of the selected product (McClelland, et al., 2015). The implementation of point of purchase displays depicting the prolific discounts offered by the store provides substantial impetus to the direction of customer purchasing behaviour in the positive direction towards actual purchases apart from fulfilling the basic objective of communicating the product’s information to customers. Information is a notable source of motivation for customers to reach plausible purchase decisions which can be accessed from the point of purchase displays provided in the store.
Apart from these factors, the impact of smell and the store’s atmospherics such as music and lighting could also be estimated as the foremost impacts on customer psychology. Therefore, it is not sufficient to consider the impact of situational variables alone while psychological and demographic variables are also capable of impinging a profound effect on the decisions made by customers (Pechmann, 2015).
Psychological variables:
Psychological variables have been widely referred to in the literature about the domain of business management with a prolific impact on customer behaviour. The contemporary marketing approaches are directed towards persuading customers after attracting them to convert potential customers into actual ones (Pham, 2013). The necessary impact rendered by the psychological variables could be understood through an illustration of the underlying factors in psychology that affect customer purchase decisions. References to the impact of psychological variables on consumer buying behaviour are complemented with the indications of cultural, social and personal factors.
The psychological variables which are noticed in renowned business management literature refer to the specific motivation, perception, learning and personal beliefs and attitudes for individual customers. Motivation can be generically defined as the urge to complete a particular task based on accomplishing rewards or a goal. The motivation for purchasing a specific product can be observed in the acquisition of benefits such as prestige, self-esteem, convenience and social status. One of the prominent theories which can be related to the motivation aspect in psychological variables is Maslow’s hierarchy of needs in which the individual needs of individuals are taken into consideration for validating a purchase decision (RodríGuez, MartıNez & Herrera, 2013).
The needs could be arranged in an ascending order starting from physiological needs, safety needs, belongingness, esteem and self-actualization and fulfilment of a particular need is indicative of the necessity to fulfil the type of needs that are superior to the need level satisfied by the customer. The efficiency of the theory proposed by Abraham Maslow is reflective of flexibility in determining the specific needs of customers and thereby implementing relevant measures to promote motivation among customers for purchasing (Schmitt, 2013). Perception is accounted as another contributor to the psychological variables which affect customer purchase behaviour and is definitively described as the awareness of an individual about their immediate environment which leads to the proliferation of an appropriate sensing process thereby improving the feasibility of purchase decisions made by customers.
The notable aspects related to perception require the involvement of sources that can facilitate comprehensive information about the purchase setting. Perception is generally availed through senses which allow the customers to evaluate their certain needs, values and expectations that would contribute to the formulation of approaches for selection, organization and interpretation of the information facilitated to the customer.
Learning is another profound psychological factor that affects the purchase decisions of customers and it is generally acquired from experiences and the impact of learning on perception is also imperatively observed in business management literature. The learning theory is accountable for rendering credible outcomes since it can be used for developing demand for specific products on the ground of strong motivating forces identified for self as well as acquired from competitors (Thein & Chang, 2014). The notable classifications of learning aspect reflect on the experiential learning and conceptual learning among which the former is associated with behavioural changes due to experiences while conceptual learning refers to indirect learning experiences of an individual.
Psychological variables also include beliefs and attitudes of an individual customer that can affect the purchasing behaviour. Beliefs of a person can be described as the illustrative notion held by an individual related to a specific object or individual. Attitude can be defined as the consistent approach for cognitive reasoning, action tendencies and emotional feelings for a particular idea or an object (Yazdani-Chamzini, 2014). Therefore it can be apprehended that beliefs and attitudes of an individual towards a particular product can be effectively considered as highly influential factors for the purchasing decisions of customers.
Demographic variables:
The demographic variables are noted in the social and cultural aspects of an individual or the geographical location where the concerned individual is a resident. Culture can be observed as an inherent aspect of society and therefore it is indicative of the social practices, beliefs and norms that affect the living standards of the resident population thereby causing major pitfalls for customer purchasing decisions.
Culture is a prolific indicator of the demographic aspect in the context of customer purchasing behaviour and could imply potential disparities among customers in different jurisdictions. Culture is a notable demographic variable that also provides viable insights into the effect generated from sub-cultures in the case of customer purchasing behaviour. Subcultures can be identified as the specific segments in the dominant culture wherein the associated individuals are known to be practising cultural traditions and beliefs that differ from mainstream culture (Liu, Zhang & Zhang, 2014). Social class is a notable contributor to the demographic variable which is determined on the ground of social status, economic status and the educational competencies of an individual.
Therefore, the concerns for the social class as an influential demographic variable could be validated on the grounds of financial privileges accessible to varying societal levels since individuals from higher social classes could be able to access products with premium pricing while individuals in the lower social class would have to adjust with the bare necessities. On the contrary, social status has been mired in ambiguities due to the observation of financially affluent individuals in the lower strata of the societal structure.
Section 3
Decision making model:
A rational decision-making model is implemented for making reasonable product purchasing decisions with particular references to the stage-wise evaluation of steps that could facilitate viable contributions to the decision making processes. The classical model is explicitly associated with distinct steps that assist in the formulation of credible solutions for purchasing distinct products (Kristofferson & White, 2015).
The rational decision-making model can be associated with certain essential characteristics such as clarity of objectives and situation as well as possible alternatives. Furthermore, the standards of weights and predefined criteria are associated with the rational decision-making model that implies plausible references to the precision of decision outcomes.
Benchmarking enables customers to view the quality of a product or service offering from a comparative perspective leading to the identification of the favourable aspects of the product alongside the pitfalls in product design. The decision-making process in the classical model is profoundly associated with characteristic features that validate the authenticity and efficiency of purchase decisions.
As per Akincilar & Dagdeviren, one of the profound features associated with the rational decision-making model reflects on lack of bias in the identification of problems, the anticipation of existing and possible consequences of the purchase decisions, competence for analysis of comprehensive information and scouting available alternatives for improving the outcomes of the desired results in purchase scenarios (Akincilar & Dagdeviren, 2014). From a critical point of view, it is essential to notice that errors are imperative in the case of the rational decision-making model. Some of the common errors that are associated with decision making refer to procrastination of decisions, inability to identify the primary cause for the issue and indecisiveness that contribute to profound insufficiencies in customer purchase decisions.
Procrastination serves major roadblock for the realization of feasible purchase decisions since the wastage of time on superfluous activities leads to the inefficiency of purchase decisions. The weakness of not being able to determine the primary cause of the problem faced by the individual that would be solved by purchasing the product is a notable concern for consumers while implementing rational decision-making models for framing relevant purchasing decisions.
The distinct methods that could be functional in analysing information could not be effective in all scenarios thereby leading to ambiguities for customers to make purchasing decisions (Al-oqla, et al., 2015). However, rational decision making could provide advantageous implications especially in terms of problem definition; identification of benchmark for fabricating decisions and involving the alternatives that could endow positive consequences in the long run or for contingency purchase situations wherein situational variables could play a significant role.
Conclusion:
The report described the significance of psychological, situational and demographic variables in customer decision making in the context of two practical purchasing scenarios. The situational variables such as time, place and conditions as well as psychological variables such as motivation, perception, learning and beliefs as well as personal attitude facilitate substantial advantage to customers for framing relevant decisions that would be sustainable.
The report also emphasized the rational decision-making model and its underlying component stages that would help determine the available opportunities and inputs for customers to frame productive purchasing decisions.
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