Understand Consumer Behaviour Towards DAIRY FOOD Marketing Essay

Consumer tendencies is the analysis of why, when, where, and exactly how people do or do not buy products. It mixes elements from sociology, psychology, economic and communal anthropology. It endeavors to understand the buyer decision making process, both in teams and singularly. It studies characteristics of individual consumers such as behavioral and demographics parameters in an attempt to understand people's wishes and needs. In addition, it tries to determine influences on the consumer from organizations such as friends, family, guide groups, and contemporary society generally. Consumer habit is inspired by: demographics, psychographics (lifestyle), personality, drive, perceptions, knowledge, beliefs, attitudes and emotions. Consumer behavior concern with consumer need and consumer actions in the direction of satisfying needs and wants leads to his / her behavior of every individual be based upon thinking process.

Consumers with similar earnings and socio-demographic characteristic, facing similar relative prices, and outfitted with similar information, have a tendency to choose similar baskets of goods ( Connor, 1991). There is much research on dairy products that show that socio-economic factors and consumer's demographic factors have a major impact on their usage of milk products (e. g. Bogue and Ritson, 2006; Armstrong et al. , 2005; Valli and Traill, 2005; Tendero and Bernabeu, 2005; Vermeir and Verbeke, 2006; Viaene and Gellynck, 1997; Kotler, 1997). In addition, cultural diversity may offer an important influence on consumption (Valli and Traill, 2005). You will discover large dissimilarities in the grade of life indications between metropolitan and rural areas (Sengul and Sengul, 2006). Also there are dissimilarities among the urban and rural populations in terms of their socio-economic and demographic characteristics.

Customer behavior analysis is based on consumer buying patterns, with the customer participating in the three distinctive roles of individual, payer and buyer. Romance marketing is an influential advantage for customer action analysis as it has a keen desire for the re-discovery of the true interpretation of marketing through the re-affirmation of the value of the customer or buyer. A greater importance is also located on consumer retention, customer romantic relationship management, personalization, customization and one-to-one marketing. Interpersonal functions can be grouped into social choice and welfare functions.

The idea that customers like one product or one service over another is not new. The capability to identify and measure the elements of such choice decisions with any exactness and trustworthiness has only just lately become available.

Research into this area of consumer action has brought understanding to some of the major problems with standard client satisfaction research. Most of all, we've come to realize that high client satisfaction will not assure continued customer choice.

CONSUMER BEHAVIOUR

CULTURAL FACTORS:

Culture

Sub-Culture

Social Class

SOCIAL FACTORS:

Reference Group

Family

Role and Status

PSYCHOLOGICAL FACTORS:

Motivation

Perception

Learning

Attitudes

Beliefs

PERSONAL FACTORS:

Age and Life-Cycle

Occupation

Economic Situation

Lifestyle

Personality

Figure 1. 2 Factors influencing Consumer Behavior

Consumer habit is defined advertisement the mental and psychological process along with the physical activities of the folks who purchase/consume goods and services to satisfy their particular needs and wants. Consumer is the most crucial person to the marketing consultancy because the marketing expert takes in to factor on the liking and disliking of the buyer and he produces the products and services consequently.

Consumer habit is important for the three persons.

For consumer

As a consumer most of enough time will spend amount of time in the marketplace and a lot on decision making that what things to buy and how to buy and getting together with and conferencing with different kinds of peoples and friends with different kinds of good and services.

For maker

Consumer action is also important for producer because producer design and manufacture different types of product and services keeping because the wants and needs of consumer.

For scientist

The understanding of consumer habit is also important for scientists, if the scientist is doing work for profitable business or non profitable corporation.

One of the benefits of consumer behavior can be seen when looking at advertisers and how they advertise by keeping the consumers at heart. Advertisers spend big money to keep individuals and sets of individuals (marketplaces) considering their products. To succeed, they have to know very well what makes customers behave the way they are doing.

The advertiser's goal is to get enough relevant market data to build up accurate profiles of clients that is actually to get the common ground and icons for communication. This involves the study of consumer patterns, the mental and mental process and the physical activities of individuals who purchase and use goods and services to meet particular needs and needs. Along with the tendencies of organizational customers (people who choose the products and services for use in business and government). The primary objective of advertising is to reach potential customers and affect their awareness, behaviour and buying behavior. This can be done efficiently only through knowing the consumer preferences, action towards various stimuli i. e. consumer patterns.

1. 2 CONSUMER PERCEPTIONS, Behaviour AND MOTIVES TOWARDS Dairy PRODUCT

1. 2. 1 Consumer Perceptions

As a consumer, decision making is a very important factor as good decision making will see the Prosper but poor decision making may cost it a lot. In the fact, consumer perceptions impact all the decision of consumer. Belief is a process where individuals organize and interpret their sensory impressions in order to give meaning with their environment. The belief is important in the analysis of consumer behavior because people or consumer behavior is dependant on their belief of what the truth is, not on certainty itself.

A number of factors operate to shape and sometimes distort conception. These factors can reside in the perceiver, in the thing or aim for being perceived, or in the context of the problem where the perception is made.

Factor in the perceiver

Attitudes

Motives

Interests

Experience

Expectations

Factor in the situation

Time

Work setting

Social setting

Factors in the mark

Novelty

Motion

Sounds

Size

Background

Proximity

Similarity

PERCEPTIONS

Figure 1. 3 Factors that affect perceptions. Perceptions and Individual Decision Making, Corporation Behavior (Fifth Release)

When a person looks at a goal and endeavors to interpret what she or he perceives, that interpretation is heavily influenced by the non-public characteristic of the individual perceiver. Personal quality that affect notion add a person's behaviour, personality, motives, pursuits past activities and expectations. Feature of the prospective being observed can affect what is perceived. Loud people will be seen in an organization than the calm ones. For example of the dairy product is the milk product with an increase of benefit and advertising are more likely to be seen in consumer brain than the low deals. So, too, are really attractive or unattractive individuals. Because goals are not looked at in isolation, the relationship of a goal to its background also affects perceptions.

Based on research by Grunert et al. (2000) brought up that consumer conception of dairy product quality was seen as a four major sizes, hedonic, health-related, convenience related and process related. The info of the product itself rather than the physiological properties of the product influenced consumer acceptance of dairy product. Watanabe et al. (1997) categorised consumer characteristics of milk consumption and suggested that men, middle-aged people, and folks with no calcium mineral concerns preferred soda pop and alcoholic beverages. People with relatively stronger health concerns consumed more dairy food. Hsu and Kao (2001) assessed product capabilities and demographic factors that influenced purchases of smooth milk products in Taiwan using consumer survey data. Their end result revealed that larger households acquisitions more fluid milk products. Homeowners with higher income and household purchasers with higher educational levels tended to lessen buys of flavoured milk products.

1. 2. 2 Consumer Attitudes

As a consumer, each folks has a multitude of attitudes towards products, services, adverts, direct email, the internet, and retail stores. Within the context of consumer habit, an gratitude of prevailing attitudes has considerable tactical merit. To access the heart and soul of what's driving consumers' habit; attitude research has been used to study an array of strategic marketing questions. For instance, attitude research is frequently undertaken to find out whether consumers will accept a suggested new-product idea, to gauge why a firm's market hasn't reacted more favorably to its new promotional theme, or to learn how focus on customers are likely to respond to a proposed change in the firm's product packaging design.

1. 2. 1. 1 The Attitude-Toward-Object Model

The frame of mind towards subject model is particularly suitable for measuring attitudes towards a product or service category or specific brands. Corresponding to this model, the consumer's attitude toward a product or specific brands of a product is a function of the occurrence and analysis of certain product-specific beliefs and attributes. In other words, consumers generally have favorable attitudes towards those brands that they believe have an satisfactory level of qualities that they examine as positive, plus they have unfavorable attitudes towards those brands they feel don't have an adequate degree of desired capabilities or have way too many negative or undesired characteristics.

Conducting consumer frame of mind research with children, especially gauging their behaviour towards products and brands can be an ongoing challenge. What are needed are new and effective way of measuring strategies that allow children expressing their attitudes toward brands.

1. 2. 1. 2 The Attitudes-Toward-Behavior Model

The attitude toward action model is the individual's frame of mind toward behaving or operating regarding an object as opposed to the attitude toward the object itself. The selling point of the frame of mind toward action model is the fact that it seems to correspond slightly more meticulously to actual habit than will the attitude toward subject model.

1. 2. 1. 3 Theory of Reasoned Action Model

The theory of reasoned action posits that each behaviors are influenced by behavioral motives where behavioral motives are a function of a person's frame of mind toward the patterns and subjective norms bordering the performance of the patterns. This theory would stand for a comprehensive integration of the attitude components. The model was created to provide a better understanding of how consumer preference behavior is developed and, correspondingly, to provide the means to accurately predict consumer inclination behavior. Amount 1. 3 provides an summary of customer preference habit formation from the idea of reasoned action point of view.

Attitude toward the tendencies is thought as the individual's positive or negative emotions about performing behavior. Subjective norm is thought as an individual's belief of whether people important to the average person think the patterns should be performed.

In order to comprehend preference habit it is need to look for the performance or functional demands involved in the purchase, the desired emotive benefits, and the subjective norms consumers use to determine their desire to have one dairy product or brand over another. The primary assumption of the style of the customer inclination formation is that folks make considered buys. In some cases the thought may be minimal or little and the purchase behavior almost habitual. From another period of thought (incubation) may be considerable and each component of the factor process carefully examined.

Belief that the patterns causes certain outcomes

Attitude toward

The behavior

Evaluation of the Outcomes

Preference Behavior

Intention to buy milk

Beliefs that specific referents think I will or should not perform the behavior

Subjective contrast norm

Motivation to adhere to the specific referents

Figure 1. 3 Basic Structural Model of Customer Choice Formation

Source: Adapted from Icek Ajzen and Martin Fishbein, Understanding Behaviour and Predicting Social Behavior (Upper Saddle River, NJ: Prentice Hall, 1980), 84.

The important contribution of the reasoned action model is the realization that consumers make use of the model in all purchase experiences of dairy to a smaller or greater level. Of identical importance is the realization that the components used to produce a preference decision are also the ones utilized by a consumer to judge the performance success of the dairy product or service purchased and the business in charge of them. Therefore, as the components of preference on milk brand change, the elements influencing satisfaction change consequently. The relationship is powerful and fluid therefore static or predetermined satisfaction analytic deals often miss the most crucial elements of choice and can create a phony sense of security for companies who feel that since their client satisfaction ratings are high they need to subsequently have relatively dedicated customers.

The theory of reasoned action assumes a outcome for the action taken. People choose some product, someone, or some service because they determined the thing was best aligned with company's performance and emotive requirements as judged through our comparative norms. People measure the performance in light of how well the product, person or service fits their preference prospects.

(www. icrsurvey. com/. . . /Customer%20Preference%20Formation_1205. doc)

1. 2. 3 Consumer Motivation

Motivation is one of the important factors that can impact the consumer behavior. Desire is the procedures that take into account an individual's strength, way and persistence of work towards attaining an objective. The famous theory in the introduction of motivation concepts is the Abraham Maslow's hierarchy of needs.

HIRARCHY OF NEEDS THEORY

It is probably safe to state that the most well-known theory of drive is Abraham Maslow's hierarchy of needs. The hypothesized that within every human being there exists a hierarchy of five needs. These needs are

Physiological: includes thirst, intimacy, shelter, cravings for food and other.

Safety: includes security from physical, security and emotional harm.

Social: includes belongingness, popularity, affection and friendship.

Esteem: includes interior esteem factors and external esteem factors

Internal esteem factors: autonomy, achievement and self-respect.

External esteem factors: acknowledgement, position and attention.

Self- actualization: the drive to achieving one's potential and self-fulfillment.

Need 3: Sociable Need

Need 1: Physiological Need

Need 2: Basic safety Need

Need 4: Esteem Need

Need 5: Home Actualization

Figure 1. 2. 3 Maslow Hierarchy of Needs Model

From the number 1. 2. 3 as each one of these needs becomes considerably satisfied, the next need becomes dominating. In conditions of the figure 1. 2. 3, the individual moves the steps of the hierarchy. From your standpoint of desire, the idea would say that although no need is ever fully gratified, a substantially satisfied need no much longer motivates. So, if the buyer wants to inspire someone, matching to Maslow, the buyer need to understand what level of the hierarchy that consumer happens to be on and focus on satisfying the needs at or above that level.

While customers have different motivations for eating the things they do, all consumers have motivations that guide these to want, and buy certain goods or services. Some motivations for usage could include the need for position, social popularity, security or individuality while other motivations are unconscious and can be employed by marketers to hook consumers into buying something they never knew they always sought.

Beyond more psychological appeals there may be the real and tangible style of needs proposed by Abraham Maslow in his Hierarchy of Needs pyramid. Maslow's theory reveals that most consumer motivations can be attributed to where they land on the pyramid of needs he developed. The lower level on Maslow's pyramid starts with basic "physiological needs" (dinking fluids, eating, sleeping, etc. ), and climbs completely to the highest level on the pyramid to the "dependence on beauty" (as cited in Lindquist & Sirgy, 2003, p. 250-251). Maslow believed a person migrated through each degree of need sequentially. Quite simply, after the needs in a single category were achieved completely, a person would progress to the next most immediate category, and his or her purchasing motivations would change because of this of the new category to which she or he would become a part of (as cited in Lindquist & Sirgy, 2003, p. 250-251).

Maslow separated the five needs into lower and higher requests. Safeness and Physiological needs were described as lower order sociable and needs, esteem and self-actualization as higher-order needs. The differentiation between your two purchases was made on the idea that lower-order needs are mostly satisfied externally (by things such as pay, union contracts and tenure) whereas higher-order needs satisfied internally (within the individual).

Unfulfilled Needs, Needs, and Desires

Tension

Learning

Drive

Behavior

Goal or Need Fulfillment

Cognitive

Processes

Tension Reduction

Figure 1. 4 Model of Motivation Process

Source: From Jeffrey F. Dugree et al. "Observations: Translating Ideals into Product Desires, "Journal of Advertising Research, 36, 6, (November 1996)

The figure above is reveals a style of the motivational process. It portrays inspiration as circumstances of need-induced anxiety that "drives" the individual to engage in tendencies that he or she believes will meet the need and so reduce the stress. Whether gratification is in fact achieved depends on the plan of action pursued. The specific goals that consumers wish to achieve and the foundation of action they take to attain these goals are determined based on their thinking processes (cognition) and prior learning. Therefore, marketers must view determination as the make that induces utilization and through use experiences, the procedure of consumer learning.

1. 3 RESEARCH PROPOSAL

1. 3. 1 The Factors Affecting Consumer Tendencies towards Dairy Product

Consumer behavior buys are inspired by psychological, social, cultural, and personal characteristics. It is difficult for marketers to control such as factors nonetheless they should take these into account because it does provide marketers with a guide.

1. 3. 1. 1 Cultural Factors

Cultural factors are divided into three categories

1. Culture

Culture is the group of basic values desires perceptions and patterns learned by a member of culture from family and other important groups. The culture is the essential cause of a person's behavior and would like. Every companies or culture has a culture, and social affects on buying habit. For instance, among this specific family was believed that fresh milk gets the highest nourishing value among all sorts of milk.

2. Subculture

Each culture consists of smaller sub ethnicities a group of people with share ideals. Sub-cultures can include religions, nationalities, racial categories and geographical parts. Many sub culture constitute important market section. For example, folks from one country only accept one taste of milk, it is basic milk. So the people is only going to buy plain dairy and don't want to choose other dairy flavor.

3. Sociable class

Every modern culture has cultural classes are relatively long term and purchased divisions in a modern culture whose members share similar patterns, value and pursuits. For example, high class people who really very matter about their health especially their body form will only buy low fat milk rather than other types of dairy.

Cultural factors profound impact on consumer behavior. The professional of product needs to understand the role played out by the buyer's culture, subculture and public class.

(http://tutor2u. net/business/marketing/buying_cultural_factors. asp)

1. 3. 1. 2 Sociable Factors

A habit of consumer is also affected by sociable factors including the family, social roles, status and consumer small group. The sociable factors can affect the reactions of consumer. The social factors are divided into three categories

1. Recommendations group

Reference group are the behavior of someone's is effect by many small groups. Groups which have a primary or indirect effect in the forming of a person's behavior and attitudes. Some are main communities includes friends, neighbours and family. Some are secondary groups includes professional association, trade unions and spiritual group. For example, an individual may choose a preferred milk brand predicated on their group research. Recommendations by the group can also called mouth to oral cavity advertising. The research group may validate the knowledge faced by the customer.

2. Family

Family people can affect buyer action easily. The family is the most crucial consumer buying organization society. Parents make up the orientation of family; a person acquires an orientation toward politics, economics, religions and a sense of love, self-worth and personal ambition. The family has a primary or indirect effect on each day buying action.

Consumers are damaged and affected by the presence of a member of family. For example, the parents normally make a decision what dairy product they need to purchase but the children can make a decision what the taste is.

3. Role and status

A person belongs to many family, groups, organizations and golf clubs. The position of any person in each group can be defined in terms of both status and role. Position reflects the general respects given to role by the world. A Role comprises of the activities people are anticipated to perform based on the persons around them.

People often choose products that show their status in the culture. Apart from that, consumers are also affected by their role they play and the status they maintain in the population. For example, a general manager's role and status will definitely change from the role and position of your clerk. Bearing this at heart, the needs of customers also change.

1. 3. 1. 3 Personal Factors

A tendencies of consumer also affected by personal characteristics such as the buyer's age group and life-cycle stage, economic situation, profession, personality and self-concept, and lifestyle.

The personal factors are divided into

1. Age and Life pattern stage

Age and Life-Cycle Level are people change the services and goods they buy over their lifetimes. Tastes in dairy product are often age related. The types of milk people buy change throughout their lifetimes. As people get older and mature, their desires change. The make up of family circuit also change their patterns. For instance, when one person was a kid, he always wines chocolate milk. But as he increases older, his choice in chocolate dairy change becomes low fat plain dairy or yogurt.

2. Occupation

A consumer action can influence by the profession. The occupation of the person affects the services and goods bought. The university student need more dairy with high-nutritional for increase their brain quality. The marketers will identify the occupational groups that have an above average involvement in their products and services. For example, blue collar personnel would buy cheaper milk brand whereas professionals will choose to buy more expensive milk brand.

3. Economic Situation

The monetary situation will strongly and greatly influence the consumer behavior of product choice. Economy also impact to the producer of something. If the financial indicators indicate a recession, manufacturer can take steps to redesign, re-price and reposition of the products.

A person with higher purchasing vitality will be more willing to invest on famous cheese whereby, someone with middle class will choose local cheese, that offer better worth.

4. Lifestyle

People coming from the same social school, subcultures and even job may have quite different way of life. Life style is a person's pattern of living, understanding these makes involves calculating consumer's major activities, interests, and opinions sizes. Life style catches something more than the person's personality. The life-style strategy can help the internet entrepreneur gain a knowledge of changing consumer principles and their buying behavior. Individuals who always take in and wear branded products might always want to consume only famous dairy brand comparing to the people who consume dairy despite their famous brand.

5. Personality and self applied concepts

Personality and Self applied Concepts each person's distinct personality influence his buying action. Personality and self principles refers to the initial mental health characteristics that lead to lasting replies and relatively constant to one's own environment.

1. 3. 1. 4 Psychological Factors

A consumer buying habit or choice are also inspired by emotional factors included desire, learning, belief and beliefs.

1. Motivation

A motive is a need that is sufficiently pressing to lead the person to seek satisfaction of the necessity. Motivation is dependant on Maslow's hierarchy of Needs. Matching to Maslow, a consumer attempts to satisfy the most crucial need first, which is known as the success needs or the mental needs. Once the important need is satisfied, it ceases to do something as a motivator and the person will subsequently make an effort to satisfy the next important need, known as protection needs. Foundation on Maslow theory, it is stated that a person should meet their basic and physiological needs like food, shelter, and clothes. It can be put on milk as well whereby a person with low income will think how to consume food which can fulfill their body need such as rice before they consume dairy which is nutritious but cannot satisfy their appetite.

2. Perception

A perception of any consumer will influence their buying habit. The belief will impact a person functions is inspired of the problem. Two different people in the same situation with the same desire may take action quite differently because they perceive the situation in different ways. Perception is the process where people organize, go for and interpret information to create a significant picture of the world.

3. Learning

Learning is the change in individual's behavior brought on by information and experience. The practical need for learning theory of marketers is they can build demand for something by associating it with strong drives, using motivating cues, and also to the same drives as competition and providing similar cues because potential buyers will transfer devotion to similar brands then to dissimilar ones. Or it may design its brand to appeal to a new group of drives and provide strong cue inducements to change (discrimination).

4. Perception and Attitudes

Beliefs and attitudes can influence a person's buying behavior. Beliefs and behaviour is individual learns attitude trough experience, acting, learning and interaction with other people. A perception is a explanation that a folks have about something. Consumer's behaviour toward firm and its products greatly affect the success of the firm's online marketing strategy. Marketers are always interested with the people's beliefs about specific products and services. People have attitudes regarding politics, clothes, food, music, religious beliefs, and almost anything else. An frame of mind describes someone's relatively consistent thoughts, assessments, and tendencies toward on thing or idea. Attitudes put people into a image of brain of preference or disliking things, moving toward or far away from them.

Based on study (Morrison, 2002) frame of mind describes a person's relatively consistent evaluations consistent evaluations, feelings and tendencies toward and subject or an idea.

(Morrison, Alastair M, Ph. D. , Hospitality and Travel Marketing, 3rd Release, Thompson Learning, USA)

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