Understanding Consumer Behaviour

Today, companies face their toughest competition ever. Moving from a product-and-sales philosophy to a holistic philosophy, however, gives them better chance of outperforming the competition. Marketers must connect with customers - informing, engaging and maybe even energising them in the process. Customer-centered companies are adepts at building relationships, not just products; they are also skilled in market engineering, not just product engineering.

Topic Outcomes

At this end of this topic, students will be able to answer these following questions:

1. What are the customer value, satisfaction and loyalty and how do companies deliver them?

2. What is the lifetime value of customers and how can marketers maximise it?

3. How can companies attract and retain the right customers and cultivate strong customer relationships?

4. What are the pros and cons of database marketing? 

The aim of marketing is to meet and satisfy target customers' needs and wants better than competitors. Marketers must have a thorough understanding of how consumers think, feel and act offer clear value to each and every target consumer. Successful marketing requires that companies fully connect with their customers. Adopting a holistic marketing orientation means understanding customers - gaining a 360-degree view of both their daily lives and the changes that occur during their lifetimes so the right products are always marketed to the right customers in the right way.

Topic Outcomes

After the end of this topic, students will be able to answer these fooling questions:

1. How do consumer characteristics influence buying behaviour?

2. What major psychological processes influence consumer responses to the marketing program?

3. How do consumers make purchasing decisions?

4. In what ways do consumers stray from a deliberative rational decision process?

Business organisations do not only sell, they also buy vast quantities of raw materials, manufactured components, plants and equipment, supplies and business services. To create and capture value, sellers need to understand these organisations' needs, resources, policies and buying procedures. This chapter will discuss some of the crucial similarities and differences for marketing in business markets.

Topic Outcomes

At the end of this topic, students will be able to answer these following questions:

1. What is the business market, and how does it differ from the consumer market?

2. What buying situations do organisational buyers face?

3. How do business buyers make their decisions?

4. How can companies build strong relationships with business customers?

5. How do institutional buyers and government agencies do their buying?