In this report, we are going to discus the importance of consumer behavior study, knowledge and understanding to marketers, and how it will have a positive impact on the organization growth and revenue. We are also, going to discuss the definition, types and the basic concepts in consumer behavior. The motives and the affecting factors will also be addressed in this report as well. A summary of the major points will be highlighted about the importance and usefulness of a study of consumer behavior in the marketing activity of any organization, which imposes the need to focus on activities that will lead to it, and one of the most important activities is the marketing research. Table of contents
2.0Basic concepts in consumer behavior2
2.1The definition of consumer behavior2
2.2The types of consumer behavior2
3.0Motives, importance and affecting factors of consumer behavior 3
3.1The motives of consumer behavior3
3.2The importance of consumer behavior4
3.3Factors affecting consumer behavior4
4.0The importance of studying consumer behavior for marketers5 5.0Conclusion5
The behavior of individuals is affected by many factors and their influence varies depending on these factors. There is a clear difference in the behavior of individuals and this is because different people are coming from different countries, regions, races, laws, customs, cultures and other factors.
The study of consumer behavior has been encouraged and conducted by various schools of economic and behavioral. Nowadays, It has become a fundamental and important subject and occupies first place for organizations and as a result of:
• The high number of products in the market and the diversity • The existence of alternative products
• The intensification of competition
• Evolution and diversity of consumer tastes
2. Basic concepts in consumer behavior
Consumer behavior is the study of when, why, how, and where people do or do not buy a product. It blends elements from psychology, sociology, social anthropology and economics. It attempts to understand the buyer decision making process, both individually and in groups. It studies characteristics of individual consumers such as demographics and behavioral variables in an attempt to understand people's wants. It also tries to assess influences on the consumer from groups such as family, friends, reference groups, and society in general. 2.1 The definition of consumer behavior
Before turning to the definition of consumer behavior we must first determine what is meant by the consumer, which is defined as: "The person who buys or has the ability to buy goods and services offered for sale, in order to satisfy the needs and desires, personal or family.”
From this definition we understood that each person is a consumer, and the fundamental motivation for this is to satisfy the needs and desires.
Consumer behavior has got the following definitions:
- This act, which highlighted in the search for consumer use or purchase of goods, services and ideas, which will satisfy the desires or needs, according to its potential purchasing power available.
- All acts and actions of direct and indirect, by the consumers in order to obtain a good or service in a particular place and at a specific time.
- The range of activities related to mental and muscle differentiation, the evaluation process and access to goods, services, ideas and how to use them. 2.2 The types of consumer behavior
There are two different types of consumers: individual consumer and industrial or institutional consumer. The individual consumer is the one that looks for a good or service purchased and used for private or domestic.
The second type of industrial consumers is the consumer, which includes all public and private organizations. These organizations to search and...