Marketing Intelligence

Main stages of the purchase decision – making process

We have been purchasing things to fulfil our demands or needs for long time in our lives. It is right to say that all of us have been customers right from our birth as we have been acquiring things via our parents or elders. The purchase process is something that everyone encounters in its daily life. There is no one who can say that he never purchased anything in his whole life. Every customer might have gone through the same process that we are unaware of that but have been following it unconsciously. The purchase decisions may vary from person to person that is because of the different needs of each customers (Flekel, 2013). It is possible that you are looking to buy a smartphone but at the same time your friend will be looking for a Phablet for himself. That is because both of you might have different requirements or wants.  The whole buying process is called the purchase decision making process. There are main five steps in this process. The following process may be slightly different for business and the consumer, however at the core both the processes are at the same level. We will be considering the consumer buying process here and it has the following stages:

  1. Need Recognition
  2. Search for Product Information
  3. Product Evaluation
  4. Product Choice and Evaluation
  5. Post purchase Use and Evaluation of Product

Need Recognition

The first step in the consumer buying process is the need recognition when the consumer starts feeling to lack of something in its daily life or in routine life. Let us say that someone is having problem in communicating with the people, so the will try to find out the ways that he could easily communicate with them. In order to eradicate this problem he will start looking for solution that would help in keep in communication with the people.

Search for Product Information

The second phase in the purchase decision process is to look for the information and find out that what will be best solution of the problem that the consumer is facing. There are different mediums that the customers may use one of the most used medium is the search engine (Raymond, n.d.). On the other hand, the people also look for the suggestions from their family and friends. While looking for the best solution the consumer in this case will find out that he needs a mobile phone that will help in communicating with the people.

Product Evaluation

Once the consumer has gathered the information regarding the solution to his problem that what can be the best product that could solve his problem. In this case the consumer is clear that he needs a mobile phone, so the next thing that the consumer will do is to find out the mobile phone that will fulfil his requirements and the price budget as well (Riley, 2012). The consumer will choose the mobile phone that will fulfil its requirements and that is affordable for him as well.

Product Choice and Evaluation

In this phase the consumer is aware of his choice that he is going to buy, however he also looks for the ways that he is going to make the purchase (ATLSKILLZ, 2008). The consumer will also look for the information that from where he should buy the mobile phone. Either he should visit the phone store or order online. In this he will again look for the information over the internet and from different resources like his friends or broachers.

Post Purchase use and Evaluation of Product

This phase in the purchase process is considered to be the feedback of the customer. The consumer usually looks over his choice of the product that either the product is at him wanted it to be or not. In order words the consumer analysis his own choice of purchase. If the consumer has a negative feedback over his purchase then it is considered to be the remorse and the company works a lot in order to remove the customer remorse.

1.2 – Explain theories of buyer behavior in terms of individual and markets

The behavior of the buyer keeps on varying depending upon his depends and wants. There are times that the consumers are looking for the products that could be used for the short time because they will not be using the same product after sometime. In this regard, the consumer will not bother to spend more money on buying the product from a famous brand. However, he will look for the product with the cheapest price in the market. In this section it is important to discuss the different types of the buyers that exist in both categories, the ultimate or individual buyer and the business buyer.


Individual Buying Behavior Situation

There are four types of situations in which the individual buyer is involved while conducting a purchase.

  1. Complex Buying Behavior
  2. Reducing Buying Behavior
  3. Habitual Buying Behavior
  4. Variety Seeking Buying Behavior

  1. Complex Buying Behavior

This type of behavior is mostly exhibited by the customers who are well aware about the products and other alternate products available in the market. The customers know very well about the trends in the market and which brand is offering the better products.

  1. Reducing Buying Behavior

In this buying behavior, the customers in interested in marking the purchase however he is not well aware about the other brands that are offering the same product. In this case, the customer may miss the best product and purchase the other one.

  1. Habitual Buying Behavior

When the consumer is less concerned about making a purchase from the specific company and there is also very less difference between the other products of other companies in the market.

  1. Variety Seeking Buying Behavior

The consumer when less involved in making the purchase but has a lot of information about the same product from the other brands as well. It is most commonly found in the purchase of low priced products.

Business Buying Behavior Situations

It is wrong to say that only the consumers are involved in the buying process, the businesses are also having the buying process as when they need to produce some products in order to offer them to their customers. Most of the companies are mostly involved in the buying behavior. There are also different situations that are

  1. Straight re-buy
  2. Modified re-buy
  3. New-Task
  4. System Selling

  1. Straight re-buy

The behavior is exhibited by the company when it orders its routine product from the seller without any modifications in it. For example, the company is buying Bluetooth module and orders again without any changes in it.

  1. Modified re-buy

When the business order the old product to the seller with some new modifications in it, then it is called the modified re-buy behavior of the business.

  1. New-Task

When the business orders something from a company for the first time then this behavior is called the new task buying behavior of the company.

  1. System Selling

There are times when the business needs to buy the whole solution from a company without involving its own efforts in it, it is called the system selling.

Maslow’s Theory

There are different factors that urge the buying behavior of the consumer. There are times when even the customers are also not clear that why they are going to buy the product. They may buy the product and announce as if they like the product or they want it. However while in deeper meaning it might show that the consumer has bought the product in order to minimize his inferiority. The buying behavior of the human beings are being shaped because of different subconscious motives.

1.3 -Explain the factors that affect buyer behavior

We have gone through the different stages that are involved in the buyer purchase process. There are different factors that are also involved when the buyer makes a purchase. We have gone through the stages that the consumers goes through, however there are also some factors that play their role in the consumer buyer behavior. These factors are

  1. Cultural Factors
  2. Social Factors
  3. Personal Factors
  4. Psychological Factors


  1. Cultural Factors

Culture is something that cannot be denied in terms of marketing. The culture has a strong influence on the people living within it. It becomes their identity and the people have to think and live according to their culture. There are different cultural factors involved that effect the buyer’s behavior that are

  1. Culture
  2. Sub culture
  3. Social Class

The consumer’s wants and needs are determined with the help of the culture of the country they are living in. The culture can be used as the driving force in order to find out what can be the requirements of the people living in some specific region or country.

In every culture there is also a sub culture that divides the consumers based on their races, religions their life styles etc. The marketers are mostly aware of this distribution of the cultures are consider it while designing new products.

The third cultural factor is the social class that exhibit a different buying behavior for the marketers. The social class is not based on the wealth only but their life style and education as well.

  1. Social Factors

There are different social factors as well that affect the buying behavior of the customer that are:

  1. Reference Groups
  2. Family
  3. Roles and Status

The reference groups has a great impact on the needs and wants of the consumer because they impose their identity on the consumer (Tintin, 2014). In this way the consumer’s needs are developed according to the requirements of the reference groups.

The marketers also need to know the family influence on the buying behavior of the consumer. They should be aware of the role of the members in the family and then the product accordingly. If the product is mostly concerned with the buying behavior of the men, then they will be targeting men in their marketing campaign.

The role and status of the person also play a major role in the buying behavior of the consumer. The people who are having more status in the society, will be making purchases accordingly.

  1. Personal Factors

The personal factors are also a cause that can affect the buying behavior of the consumer. The personal factors are

  1. Age
  2. Occupation
  3. Economic Situation
  4. Life Style
  5. Personality

The buying behavior of the consumers keep on changing depending upon their ages. It is usual to see that the young consumers are mostly attracted towards the charming and shining products, on the other hand adults and mature are attracted towards sober products.

The occupation of the person also has impact on his buying behavior as an executive will always try to purchase some suits (Perreau, The 4 factors influencing consumer behavior, 2014).

The economic condition of the consumer will always define his buying behavior, the person with the low saving will always go for less expensive products.

The life style of the consumer also determines his buying behavior, the consumer who is social and wants to stay in the people will surely spend more on his clothing and parties.

The personality of the people will not be same all the time, it may keep on changing time to time, place to place and hence the buying behavior will.

  1. Psychological Factors

There are different psychological factors as well that are having impact on the buying behavior of the persons that are

  1. Motivation
  2. Perception
  3. Beliefs and Attitudes

The buyer’s behavior is affected with the level of motivation of his needs. The needs that are more pressing will become the motivation for the buyer.

The buyer’s behavior is also affect from how it perceives the information that is presented by the marketers.

On the other hand the belief and attitude towards a product or a brand also affect the buying behavior of the customer.

1.4 – Evaluate the relationship between brand loyalties, corporate image and repeat purchasing

The brand loyalty is the broader concept that is produced with the trust of the customer that he puts in with the help of products and services that it is offering to its customers. However the brand loyalty, corporate image and the repeat purchasing are linked to the buying behavior of the consumer. They have different implications so it will be better to define them and show their relationship.

The brand loyalty means that how the consumers like to purchase the products from the same brand again and again and not purchasing the products of same genera from the other manufacturers. This brand loyalty is produced when the customers are satisfied with the products and services of the company.

On the other corporate image is something related to that how the corporation is presenting itself to the customers with the introduction of its products and services (Marketing, n.d.). The organizations build their image when they come into communication with the customers.

Thirdly the repeat purchase is done by the customers when they like to purchase the products from the same company they did last time. It also refers to the brand loyalty.

The three concepts are interlinked with each other. The brand loyalty is generated by the customers with the organization, when the customers are satisfied with the products and services of the company. In the same way, the repeated purchases are done by the customers when they have good interaction. If the company has a good corporate image then it will let the customers repeat purchasing.


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