Who is a Consumer ?
Any individual who purchases goods and services from the market for his/her end-use is called a consumer. In simpler words a consumer is one who consumes goods and services available in the market. Example - Tom might purchase a tricycle for his son or Mike might buy a shirt for himself. In the above examples, both Tom and Mike are consumers. What is the difference between a consumer and a customer?
Generally, a consumer refers to individuals who buy for themselves or their family (hence the term 'consumerism' in economics and politics), whereas a customer can also mean the retailer or person who buys from the manufacturer, etc. for ultimate sale to others. The one who buys the product is called a customer and the who uses the product is called a consumer.
-A customer is who buys the things but a consumer is the person who finally utilizes it. What do you mean by consumer behaviour?
It is the study of why, how, what, where, and how often do consumers buy and consume different products and services. In other words it refers to the behaviour that consumers display in searching for, purchasing, using evaluating, and disposing of products and services that they expect will satisfy their needs. Definition Of Consumer Behaviour
“The behaviour displayed by Consumers while searching for, purchasing, using, evaluating and disposing of products and services that they expect to satisfy there needs is referred to as consumer behaviour’.
Consumer Buying Steps:
These 5 stages are :
Problem/Need Recognition- This is in general the first stage in which the consumer recognizes that what essentially is the problem or need and hence accordingly a consumer can identify the product or kind of product which would be required by the consumer. Information Search- In information search, the consumer searches about the product which would satisfy the need which has been recognized by the consumer in the stage previous to this one. Evaluation of Alternatives - In this stage, the consumer evaluates the different alternatives which the consumer comes across, when the consumer was searching for information. Generally in the information search the consumer comes across quite a few products and thus now the consumer has to evaluate and understand which product would be properly suited for the consumer. Purchase-After the consumer has evaluated all the options and would be having the intention to buy any product, there could be now only two things which might just change the decision of the consumer of buying the product that is what the other peers of the consumer think of the product and any unforeseen circumstances. Unforeseen circumstances for example in this case could be financial losses which led to not buying of the product. Post Purchase Behavior-After the purchase the consumer might just go through post purchase dissonance in which the consumer feels that buying the other product would be better. But a company should really take care of it, taking care of post purchase dissonance doesn't only spread good words for the product but also increases the chance of frequent repurchase.
Factors Influencing Consumer Behaviour :
Consumer behavior refers to the selection, purchase and consumption of goods and services for the satisfaction of their wants. There are different processes involved in the consumer behavior. Initially the consumer tries to find what commodities he would like to consume, then he selects only those commodities that promise greater utility. After selecting the commodities, the consumer makes an estimate of the available money which he can spend. Lastly, the consumer analyzes the prevailing prices of commodities and takes the decision about the commodities he should consume. Meanwhile, there are various other factors influencing the purchases of consumer such as social, cultural, personal and psychological. The explanation of these factors is given below. 1. Cultural Factors
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