Factors Affecting Customer Behaviour- Personal and Psychological

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Factors Affecting CustomerBehaviour- PERSONALandPSYCHOLOGICAL


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INTRODUCTION

Consumer Buying Behavior refers to the buying behavior ofthe ultimate consumer.

Consumer Behavior helps us understand the buyingtendencies and spending patterns of consumers

The determinants of Customer Buying Behavior are

Cultural

Social

Personal psychological


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PERSONAL FACTORS

Personal factors may also affect consumer behavior.

Some of the important factors that influence personal buyingbehavior are:

Age and stage in the life cycle

Occupation Economic circumstances

Lifestyle

Personality and self concept


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1)Age and stage in the life cycle

Age and life-cycle have potential impact on the consumerbuying behavior.

Consumers change the purchase of goods and services overtime

Peoples taste in recreation, clothes etc

Family life-cycle consists of different stages such young

singles, married couples, unmarried couples etc which helpmarketers to develop appropriate products for each stage.


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2)Occupation

An individuals nature of job has a direct influence on the

products and brands he picks for himself/herself.

Eg: a marketing manager of an organization will try topurchase business suits, whereas a low level worker in thesame organization will purchase lower cost clothes

A company can specialize its products for certain occupationalgroups

Eg: computer software


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3)Economic circumstances

Product choice is greatly affected by ones economic

circumstances.

Economic circumstances-spendable income, savings andassets, debts, borrowing power, attitudes towards spendingversus savings.

Individuals with high income would buy expensive andpremium products as compared to individuals from middle andlower income group who would spend mostly on necessaryitems.


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4) Lifestyle

Lifestyle refers to the way a person lives in a society and isexpressed by the things in his/her surroundings. It is

determined by customer interests, opinions, activities.

some people to wear branded clothes whereas someindividuals are really not brand conscious. An individualstaying in a posh locality needs to maintain his status andimage.


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5) Personality and self concept

An individuals personality also affects his buying behavior

Every individual has his/her own characteristic personalitytraits which reflect in his/her buying behavior.

A fitness freak would always look for fitness equipmentswhereas a music lover would happily spend on musicalinstruments, CDs, concerts, musical shows etc.


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PSYCHOLOGICAL FACTORS

A persons buying choice are influenced by four major

psychological factors

Motivation

Perception

Learning , and

Belief and Attitudes


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1) MOTIVATON

Motivation is defined as the drive to satisfy a need.

a need becomes a motive when it is most urgent to lead theindividual to seek satisfaction.

Psychologists have developed theories of human motivation Freuds theory of motivation

Maslows theory of motivation

Herzbergs theory of motivation


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Freuds theory of motivation

According to Freud the psychological forces that help informing a persons behavior are unconscious. Thus a person

cannot fully understand hid/her own motivation

Eg: buying a laptop the reason said may be to work whiletravelling but deeper level it is to impress others still in deeperit helps to feel smarter.


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Maslows theory of motivation

Explains why people are driven by particular needs atparticular time

Why people spend considerable time and energy on personalsafety and another pursuing the high opinion of others.

Helps marketers to understand how various product fit intotheir plan, goals and lives of potential customers.


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Perception

What an individual thinks about a particular product or serviceis his/her perception towards the same

There are three different processes which lead to difference inperception:

Selective Attention - Selective attention refers to the processwhere individuals pay attention to information that is of use tothem or their immediate family members.

Selective Distortion - Consumers tend to perceive information ina way which would be in line to their existing thoughts and

beliefs. Selective Retention - Consumers remember information which

would be useful to them, rest all they forget in due course oftime.


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Learning

Learning is defined as changes in an individuals behaviourarising from experience.

If the experience with the product is generally positive, thelikelihood of repeat purchase is increased.

a negative experience will not result in repeat purchase but ina negative attitude.

Advertising and sales promotions can aid consumer learning


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Belief and Attitudes

Client has specific beliefs and attitudes towards differentproducts. Because such beliefs and attitudes shape the brand

image and affect consumer buying behavior so traders areinterested in them. Marketers can change beliefs and attitudesof customers with special campaigns in this regard.


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THANK YOU

Factors Affecting Customer Behaviour- Personal and Psychological

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