Document Type:Essay

Subject Area:Marketing

Document 1

There are five segment consist of this report, which is introduction, explanation of consumer behavior theory, consumer behavior influence on personal consumer behavior, reflection on personal consumer behavior and conclusion. Based on the theory that I would like to use which is reference group influence, the five segments consist of a narrative and several instance. Reference group influence is defined as consumer buying behaviour is influenced and affected by a variety of factors interacting in complex ways. The individual is influenced not only by themselves psychological factors, but also by interactions with other people influence to their opinion, attitude, belief and behavior (Greco 1983, 1). Therefore, marketer view reference group as an essential factors since they influence how consumer make purchasing decision. Reference group influence consumer can be classified in term of three types, consisting of informational influence, utilitarian influence and value-expressive influence. When consumer faced with option, especially they are uninformed; they will seek out information to aid in their decision. At this time, the reference group which is surround consumer is a significant role to influence and assist them. Informational influence related to individual being swayed to behave in certain manner due to behaviors and attitudes of reference group as information for making decision (Selvakumar 2009, 7). Especially when a consumer lacks the information or knowledge of a certain product and the experience of purchasing the item, consumer may perceive the information and recommendation from their reference group. An individual would accept an influence that enhances one’s knowledge and ability to cope with the aspect of the environment.

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Informational influence only functions when the individual inspect the behavior and value of reference group members as potentially useful information and opinion, and also take them into consideration (Yang, Xihao and Huei 2007, 324). Utilitarian influence happens when individuals are expected to comply with the expectations of others so as to receive a reward or punishment, and also there is a motivation to acquire award or prevent punishment (Petina, Prybutok and Xiaoni 2008, 116). This type of influence becomes obvious when an individual’s behavior is visible to other. Also, utilitarian influence is highlighted the fact that neglect certain expectation may lead to subside some of the punishment. For instance, a housewife may be influence by a certain product which can lead her family away from illness and enhance immunity (Selvakumar 2009, 7). Value-expressive influence refers to individual’s motivation to enhance their self-image by associating themselves with positive referents and dissociating themselves from negative regenty.

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Also, extending their positive referents to other consumers who join the group so as to express their own values and belief closely. For example, if others view a certain product as a poor, a consumer may be inclined to dispose of it even though themselves may feel neutral or even positive about it (Selvakumar 2009, 7). With reference to the consumer behavior theory, the purchases that I made were influenced by reference groups including my siblings, peers, marketers and parents. I could bear the consequences of declining to make purchases on the products. My friends also advised me on using shower gel to improve my skin complexion and improve on hydration and shoe pads that would help in protecting my legs. I had to improve my image through buying running shoes, bag to enhance on my outfit, coat for improving on my dress code and keeping warm.

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I made the decisions to boost my self-confidence and my image to people. In case of I want to purchase a house the consumer behavior theory can be use. According to Blythe (2009, 215), consumers perceive different attitude towards various products. Some customers may prefer low quality products as they perceive that items have similar satisfaction as the quality does not matter. On the other hand, other consumers prefer high quality products as they believe they deliver maximum satisfaction and are highly functional. Income levels of consumers differ resulting in low income earners preferring products that they can afford and assume on the effectiveness of their function. Individuals with high income prefer goods that are of good quality to deliver the desired outcomes. Moreover, personality traits affect the consumers buying behavior, that is, individualistic personalities prefer to make decisions on their own while collective people make decisions basing on the reference groups.

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Women prefer some products that men cannot consume in the case of lipstick and few men prefer water bottles (Blythe 2009, 187). In conclusion, consumer purchase decisions are influenced by internal and external factors. Internal elements influencing consumer behavior affect the purchase decisions of individuals while external factors have a moderate influence on the choices made. Differences in the purchase behaviors of a consumer towards different products occur as a result of brand, income, placement of the item, attitude and perception towards certain items.

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