GALILEO UNIVERSITY

Bachelor of Science in Marketing Technology and Management

Course: Consumer Behavior
Lic.
Day:

Rehearsal
“Factors affecting consumer behavior”

Student:

Delivery date:

FACTORS AFFECTING CONSUMER BEHAVIOR

INTRODUCTION
Consumer behavior is the study of how consumers make purchasing decisions,
from product research through purchase and final use. Marketers analyze these
patterns to help businesses better understand their customers and improve their
marketing strategy. Examples of behavior include purchase frequency, urgency,
purchase method, and previous experiences with competitors. The pandemic has
affected consumer behavior, leading them to limit their spending and adopt online
shopping. Concern for the environment has also taken hold, leading to an increase
in social awareness in purchasing decisions. Companies are transforming their
strategies to meet the demands of conscious consumers.
In addition to the study of individual purchasing decisions, consumer behavior also
focuses on the impact of external factors, such as culture, subculture, personality,
motivation, perception, and attitudes, on purchasing decisions. Consumer behavior
also addresses topics such as market research, market segmentation and brand
positioning.

DEVELOPMENT
As it has been well described, the main objective of all major brands is to find a
way for the consumer to acquire the products or services they offer, through this
objective the theory of consumer behavior is taken into account, which is an
analysis where the understanding of people's decision-making is reflected, the
results of this study are those that allow the implementation of the most successful
marketing strategies in order to predict the actions of the behaviors in that period.
When it comes to explaining consumer behavior, it refers to the entire process that
a person goes through in order to satisfy their needs. Consumer behavior is a
study that helps companies understand how consumers make purchasing
decisions. The theory of consumer behavior is based on the importance of knowing
consumers in order to design appropriate marketing strategies. These factors can
be internal, such as consumer needs and perceptions, or external, such as the
company, reputation and advertising. Understanding consumer behavior allows
you to differentiate consumers, improve retention, implement relevant marketing
strategies, and improve market prediction. Some of the 10 factors that drive
consumer behavior are personality, perception, motivations, culture, society,
economy, technology, environment, law and ethics.

Understanding how your target market reacts to various stimuli is essential to

creating marketing campaigns tailored to the needs and values of those
consumers. Therefore, it is essential that you know how your target market
behaves so that you can create effective marketing campaigns tailored to those
needs and values.
Consumer behavior has changed due to the arrival of new technologies, and it is
important to know some of their characteristics in order to adapt to their needs and
preferences. Consumers are looking for fast and reliable solutions, they compare
brands before making a purchase decision, they prefer personalized options, they
avoid overwhelming advertising and they tend towards social responsibility. In
addition, consumer behavior models, such as the economic model, allow us to
better understand how consumers make purchasing decisions and how they can
be influenced by external factors such as their purchasing power. By knowing
these characteristics and models, companies can create more effective sales
strategies and ensure favorable results.

The characteristics of current consumer behavior are described, which have

changed due to the influence of new technologies. Six characteristics are
mentioned: they look for solutions to their needs, they want to be fast and reliable,
they compare brands, they prefer personalized options, they avoid advertising and
they have a tendency toward social responsibility. It is important to take these
characteristics into account to define an effective sales strategy.

Three common models of consumer behavior are based on and used to analyze
purchasing behavior: the economic model, the learning model, and the sociological
model. The economic model focuses on the purchasing power of the consumer
and its influence on their purchasing decision. The learning model is based on the
basic human needs that drive purchasing and the advertising strategy. The
sociological model considers education and social factors as predominant in
consumer behavior. The idea is to correctly analyze each model to improve
decision-making in terms of marketing and sales strategies.

Importance of knowing consumer behavior

For a marketing strategy to work properly, it is important to know the behavior of

consumers, because everyone has a different purchasing behavior. It allows you to
differentiate your consumers: detecting the type of consumer behavior allows you
to better identify needs and design a specific strategy for each one. It facilitates
consumer loyalty: we all like to listen to ourselves and we stick with brands that
support us at all times, from the moment we start the purchase until we finish it.

If you are looking for brand loyalty, the Consumer Report will be very useful. It
makes it easier to implement relevant strategies: by basing them on your behavior,
you will have a greater chance of having favorable results for your company;
otherwise, they are more likely to fail.
Improve market forecasting: Market trends change all the time; analyzing
consumer behavior will allow you to know the current trend and evaluate whether
or not it is possible to launch the product you had in mind with confidence.

Types of Consumer Behavior: These are four common types of consumer

behavior, including complex, impulsive, habitual, and comparative behavior. Each
is characterized by a different approach to purchasing decision making and can
influence how consumers evaluate and purchase products and services. It is
important to understand these behavioral patterns in order to improve marketing
strategy and achieve greater effectiveness in satisfying consumer needs and
preferences.

The factors that influence consumer behavior are: lifestyle, culture, motivation, age,
personality and brand perception. Each of these factors can affect how the
consumer perceives and acts in relation to the products and services they
purchase. It is important to take these factors into account when creating a
marketing strategy to target the right audience.

External factors that influence consumer purchasing include product quality, price,
ratings from other consumers, and easy-to-navigate sites. Product quality is a
priority for consumers and companies must meet customer expectations. Price is
an important factor that can affect the purchasing decision depending on the type
of consumer. Ratings from other consumers have become more important with the
popularity of the internet and social media. Finally, online consumers value
browsing sites that allow them to make quick and hassle-free purchases.

The buyer's journey consists of three key stages: discovery, consideration and
decision. During the discovery stage, the consumer recognizes a need or problem
and searches for information on how to solve it. In the consideration stage,
evaluate the best options and narrow the list down to five options. Finally, in the
decision stage, the purchase decision is affected by the quality of the information
and their interactions with the brand. After the purchase, the consumer evaluates
whether his need was satisfied and whether the product or service was to his
liking.

Practical cases of purchasing behavior

In purchasing behavior, there are several situations that, as defined above, are
internal and external. In two practical cases of purchasing behavior, the roles of the
people involved in the purchasing process are described. When purchasing
bedroom furniture, the user is the student, the mother is the one who decides and
the father is the buyer. When buying chocolate, the mother is the initiator, the child
is the predominant one and the father is the buyer.

Among the types of purchasing behavior that were observed were: Complex
purchases for bedroom furniture, due to its high cost, risk, and self-expression. And
the search for variety in chocolate purchases, with little consumer involvement but
with significant differences between brands.

While searching for information, the student and his parents are looking for
furniture for their apartment. They have identified the need for a desk for the
bedroom and a new bed due to concentration problems and contractures. They
have searched for information on different furniture brands through personal and
business sources, and have identified a subset of brands "Roble", "Pico", "Sur",
and "Patagonia" that meet their price and quality requirements. It still fits evaluating
and searching for information before making a purchasing decision.

The family evaluated two furniture brands, Roble and Pico, before making a
purchasing decision. Roble had sturdier and more detailed furniture, but it was also
more expensive. The family was hesitant because of the perceived risk of
purchasing an unknown brand. However, after meeting a friend's mother who had
an untouched Roble piece of furniture after 10 years, the family finally decided to
purchase the Roble furniture.

The student is very satisfied with the Oak furniture he purchased and thinks it
matches his room well. The desk and bed drawers meet your expectations and are
problem-free. In the future, you will likely purchase Roble furniture products when
you need them.

CONCLUSIONS

Consumer perception of the quality and price of a product influences their

purchasing behavior, with previous experiences and social references playing an
important role in purchasing decisions.

Consumer behavior models are valuable tools for understanding and predicting
buyer behavior. These models consider psychological, social, cultural and personal
factors that influence an individual's purchasing decision.

The application of consumer behavior insights is useful to companies when making

strategic decisions, such as market segmentation, product design, and promotion
and advertising planning. They can also help improve customer satisfaction and
increase brand loyalty.