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MGMT 3480 (3)
Lecture

Various stages of buying process.docx

4 Pages
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Department
Management
Course Code
MGMT 3480
Professor
Steve Foran

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Various stages of buying process: 1. Needs and problem recognition: This is the first step for a consumer in buying process. In this step consumer comes to a decision of needs and wants. Needs are the primary desires of a consumer. For example, medicine, basic food etc. Wants are the second level of desires. These are the products that enhance the lifestyle of consumers. For example, car, air condition etc. In this step consumers decide what they want and need. They recognize their desires and ability to fulfill that. Every consumer has certain amount of budget to execute their expectation and according that they limit their desires. Consumer looks for the product that will provide expected benefit. Sometimes, customers become confuse between alternatives and problems arise. In this step they encounter problems and solve them according to the needs and budget. (Webstar and Yoram, April 1974, "A General Model for Understanding Organizational Buying Behavior") 2. Product specification: This is a unique step in buying process. Companies normally focus in this step through specifying different products for different consumers. For example, for T-shirt we have small size as well as XL and XXL sizes for different segment of consumer. After recognizing consumer’s needs and wants, they want unique specific product for them. Some businesses are specialized in this genre. For instance, jewelry business makes ornaments by recognizing consumer’s specifications and unique ideas. They make exclusive orders to maintain the uniqueness of the business. Each consumer has their own preference and taste and according to that they search for specific kind of product to get the maximum benefit. There are several reasons behind product specification. First of all, it separates the potential consumers and focuses on their needs and wants. Second of all, it gives manufacturing companies flexibility to design their product according specific market segment. Finally, product specification adds value to the brand by attracting all ages of consumers. (Wind and Webstar, 1972, “On the Study of Industrial Buying Behavior: Current Practices and Future Trends") 3. Research for information: Customer decision process is the central focus of marketing. In this step marketing people research for customer buying behavior. For example, how customer’s behavior pattern changes, product locations and appearances, product reviews and available information in the market about the product etc. Consumer research for the benefits and advantages of their expected product. Sometimes some unique features make product more attractive and appealing than others. When people are buying any product they are spending their earnings. So, it is not only their duty but also their right to research about the product before spending money. There are many substitute goods which are very similar and appeal the same market segment. So to remove any kind of confusion consumer’s research is the best way to maximize the benefit while minimizing the cost. (Sheth and Jagdish, 1974, "Organizational Buying Behavior: Past Performance and future expectations") 4. Deciding on visitation: Consumer uses different ways to re
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