7) Consumer Perception and Behaviour about the Brand
Consumer behavior is the study of how individuals, groups, and collective entities choose, purchase, utilize, and discard ideas, goods, or services to satisfy needs and wants.
An understanding of the target audience’s influences, psychological process, and the stages of a consumer’s purchase decision process are critical to achieving organizational sales and marketing objectives translating to success. (Zoeller 's, 2016)
A consumer’s buying behavior is influenced by cultural, social, personal and psychological factors. Cultural factors have the broadest and deepest influence for consumers when making a purchase.
Cultural Factors
Each culture consists of smaller subcultures with distinct
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Product is the essential part of the market without which there is no existence of market. Product should be produce according to the wants, needs and desire of the customers to increase the product effectiveness of the business. Organic food demand is increasing nowadays which increase the productivity of the products and profitability of the business. The main part of organic food is packaging material, which represents the material protects and preserves organic food on its way from producer to the consumer. Packaging material is not only a means of organic food preservation but by its aesthetic and marketing impacts it also contributes to improve the production, distribution and transport (Rehber & Turhan, …show more content…
Mostly in Australia Woolworth is considered as the one of the organic food distributer. There are various systems and channels to distribute the organic food as the producer has the multi-layered connection with other business functions on farms, primarily with sale and production. The success of distribution depends on phases through which organic food passes on its way from a producer to a consumer, as well as on the number of mediators in each of the individual phases (Rehber & Turhan,
The organic natural food industry is flourishing as many products are developing with more appetizing recipes. Numerous local community shoppers are petitioning the highest safety and quality foods on the market. Consumers pursue steps every day to get healthier searching for a cleaner, organic type of food solution. This healthier trend requires a devoted company that has vision to commit to the well-being of people and the environment. One company that is a fervent leader for healthy organic products is the Whole Foods Market. Whole Foods Market is an American grocery chain featuring organic and natural foods; foods free of artificial preservatives, colors, flavors, sweeteners, and hydrogenated fats. It is the United States' first certified organic grocer, which means it guarantees, to National Organic Program standards, organic credibility of assorted foods from the time they reach stores until the food is in a shopping
With the world’s population continuing to increase, the demand for food is higher than ever. This increase in food demand also calls for more efficient ways of growing and providing the food. Two methods that are very controversial are the organic and conventional method. While many people support the organic method because of its known benefits, others feel that it is an over inflated industry that cheats consumers out of their money. But recently many studies have disproved those critics. These studies prove that Organic food is a better choice than conventional because it is better for the environment, avoids the use of chemicals, and is generally more beneficial.
The demand for organic food is thriving. Today’s societies are more concerned about the quality of food they are consuming. The factors that influence ones want for organic food includes health, weight control, and fitness (Lockie, Lyons, Lawrence & Mummery, 2002). Whole Foods Market has all the potential and merchandise which fulfills the needs of society and will do well in the future. The growth in the U.S. organic food market is expected to develop up to 14% by 2018 (Daniells, 2014). As a result, revenue of Whole Foods may exceed in the United States.
Of all the analyzed factors, the problem in the industry is availability of cheap and plenty non-organic foods. While organic foods emphasize on health, it does not provide alternative of cheap foods. Majority of the population, perhaps due to the information they have at hand, consumers prefer buying depending on economies of scale rather than observing their health. For example, a large family will prefer large amount of food, which are cheaper as compared to the same amount of organic food but at double or triple price. Therefore, even competitors of WFM face the same problem of alternative non organic food in the market that come cheap and
Thirty years later, organic farming was in high demand, but suffered developing pains. Although there was agreements being made, there was no regulations put forth towards organic farming. Fast forwarding to present time, many consumers are starting to purchase organic food products even making it a trend. Written in Inouye, Alena, and McCauley’s 2006 article “Organic Farming Should Be Pursued”, “organic farming is gaining in popularity due to Americans ' increasing concern about food safety and environmental protection.” This quote assumes the reasoning behind the sudden popularity in organic farming is society’s attraction towards the idea of a cleaner food industry and environment. The article also mentions, “As a result, sales of organic foods in the United States have increased by more than 20 percent every year since 1996, reaching $7.8 billion in 2000.”(Inouye, Alena, McCauley) The fact that popularity towards organic farming grows at a rate of 20 percent every single year further proves how its movement has such an impact towards the consumers of
This report aims to provide a mix review of theories and personal case study. I will apply two consumer behaviour theories in relation to my own purchase decisions.
Customer behavior can be defined as the process used by organizations, individuals and groups, to select, buy or use particular products or services to satisfy their needs and the impact it has on the society (Wikipedia, consumer behavior). Every product in the market is given a different value by an individual user based on the need it satisfies and also the level of the want. For example a person may put choosing a car as just for a means of transport from point A to point B but for another individual a car is not only used as a mode of transport but also as a means of his lifestyle. Many marketers use these difference of needs in consumers to create different marketing campaigns to attract consumers that use their products.
Consumer is the real asset of any organziation. There are a number of factors that affect on consumer’s buying. Every organziation keeps an eye on those factors and always try to minimize them or have a good impact on its consumer purchase. These factors can be of any type, social, non-socil, cultural and religious factors. In this respect, marketers and producers are forced to conduct intensive market research in order to identify the various external factors that are likely to influence the decision making process or buying behavior of consumers in regards to a particular product. Like other products, tesco sales are also highly affected by these external factors, the paper focus on those internal and mainly focus on external factors of consumer purchase. Later sections focus on personal, cultural and psychological factors of Tesco purchase. Tesco Consumer’s purchasing is highly affected by these social and non-social factors, the paper discusses these factors in its later parts.
Why do people shop? How do situational factors influence the decision to purchase certain items? The act of purchase is affected by many factors: mood, time pressures, or even a person’s disposition towards shopping. Time can be seen, as an important factor because it often determines how much effort and search a consumer will put into making a purchasing decision. A person’s mood can be affected by the degree of pleasure or arousal that is present in the store’s atmosphere. Most people tend to base a purchase decision towards a specific occasion; or even the way an individual may feel at a specific point in time can also play a big role in what we feel like purchasing. These factors may cause one to decide more carefully on a purchase. Marketers like to use segmentation strategies when advertising to let buyers know their product will meet a specific need one may be looking towards. Overall, many consumers’ purchase decisions are greatly affected by groups or social settings. The presence of other people around often has a positive influence on one’s purchasing behavior. Consumers look for different product attributes depending on they intend to use their purchase.
During the recent visit at the Fresh Food People Store, it has been understood that the company provides a great selection of organic food products for the environmentally conscious consumers. The company is a well-known retailer and several numbers of stores are there throughout Australia. Since its establishment, the food is enriched with highest nutrition value. Now the company has applied for listing on the Australian Stock Exchange. All the stores are located different parts of the country including larger towns and major cities of Australia and thus, the company is facing a huge demand of organic products among the regular consumers. Managing inventory effectively for ensuring highest on-shelf availability at their store is the main objective
A. Consumer behavior comprises all the consumer decisions and activities connected with choosing, buying, using, and disposing of goods and services.
To effectively sell a product or service, organizations have to really know how customers behave, regarding to what they buy. The study
Mooij, M.de. (2004). Consumer Behavior and Culture, Sage Publications, Page 102, Page 119, Page 274, Page 275
The research on consumer behavior assists the organization recognize and forecast the purchase behavior of the consumers while they are purchasing a product. Thus, the study of consumer behavior helps the marketers not only to understand what consumer's purchase, but helps to understand why they purchase it (Kumar, 2004). There are a lot of elements which can influence the purchase decision of consumers such as social influences, cultural influences, psychological factors and personal factors (Super Professeur, 2011). Understanding these factors helps the company to market the product on right time to the right consumers in order to generate more profits. On the other hand, if the marketers fail to understand these components that might influence consumers, they will fail to convince the consumers to purchase that product or will fail to meet the demands of consumers. However, consumer behavior is one of the stimulating and challenging areas in marketing studies being a human activity focused on the products and services. Thus understanding the behavior of the consumers is a great challenge. Moreover, it is not easy to get a full picture of consumer behavior as customers make plenty of different buying decision every day and they usually do not know exactly what influences their purchase. In short, basing on all
Kulikovski and Agolli (2010) discovered that organic food is generally looked upon as a substitute to conventional food for consumers who are concerned about food safety and quality. On the other hand health, ethical concern, price premium and trust in labeling do not have any significant influence on those who purchase organic food. Moreover, consumers believe that