Consumer Journal Report

Consumer behavior is quite subjective as a consumer decision-making process is affected by

number of factors. The most substantial personal influences that affect consumers purchase
decisions can be classified in two categories (Hoyer & Macinnis, 2009) that are as follows:
1. Internal Influences
2. External influences
Description of Internal Influences
Internal influences basically come from consumers own lifestyle and way of thinking. These
are consumers personal thoughts, self-concepts, feelings, attitudes, lifestyles, motivation and
memory (Solomon, 2009). These internal influences can also be known as psychological
influences. Internal influences depict the ways through which consumers interact with the
universe around them, identify their feelings, collect and examine information, develop ideas
and beliefs, and take some specific action. These internal influences can also be used by US
car marketers to better understand the specific purchasing behavior of their consumers
(Solomon, 2009).

The above chart shows the importance of those factors which customer considers being very
important for the brand they tend to buy or they prefer. It illustrates that why customer prefer
such brands. Therefore from the results it has been revealed that quality of the product is very
important for the customers when they look for a particular brand to buy. The most important
is price and the value they receive from the purchase of the product. 16% of the respondents
go for the functions of the products and 11% go for the brand image. However 13% of the
total respondents look for appearance of the products.

Personal Needs & Motives
The most substantial internal influence that affects consumers purchase decision is his
personal needs and motives. The need of a consumer can be defined as a lack of something or
the difference between his desired and actual state. Motive is an individuals inner state that
encourages him to satisfy his specific need (Nord, 1980). This could also be understood with
an example like an individual may be hungry or thirsty that is his actual state and he also has
a desire to be well fed that is his desired state. This need would motivate him to discover a
restaurant or hotel to satisfy his need. All needs of consumers are not possible to define but
throughout significant researches consumers needs are classified (Consumer behavior: the
road to Effective policy-making, 2005). By identifying these needs and motives of
consumers, US car marketers can easily influence their consumers purchasing decisions. The
most substantial need identification model that can be used by US car marketers to motivate
their consumers is Maslows Need Theory. This theory is given by Abraham Maslow an
American psychologist.
Understanding of these needs is very essential to direct consumers unfulfilled needs towards
purchase decisions. With this, US Car marketers can identify the consumers different needs
related to purchasing a car (Flipo, 1986). Like, a consumer may purchase car to satisfy his
thirst, whereas other may purchase it for discussion with friends or business class people. As
well, some others may have different reasons to purchase it like students or office going just
want it to get relaxed and some youngsters want it to have fun and get-together at a car shop
with some snacks (Consumer behavior: the road to Effective policy-making, 2005). So, every
consumer has different needs that may be his basic or psychological needs so before selling
car to a target market it is essential to identify the needs of different segments of the target
market (Consumer Behavior: The Basics, n.d.). Identification of consumers different needs
related to purchasing car will significantly assist a car marketer in segmenting its target
market and serving them in the most effective manner.

Attitudes
The next substantial internal influence that affects consumers buying behavior is their own
attitude. Attitude pertains to what an individual feels or thinks about something. It is a
always reflected in individuals acts as well as in their buying patterns. Once a person attitude
is formed it is very hard to change (Dholakia, 2007). If a consumer has some kind of negative
attitude towards a specific product or issue, it will not be easy to change that belief. It is long-
lasting general evaluation of consumers about a product, service or company.
Attitudes inform marketers about their consumers and how well they are established in the
overall market place. Identification of these attitudes can also assist car marketers in knowing
about their consumers and their perceptions with a car seller (Xia, 2010). US car marketers
need to keep in mind that in modern era, consumers are exposed with number of
advertisements and information and they dont remember all of them. However, in this
exposure, if they find something conflicting with their own attitudes is screened easily.


Description of External Influences
Environmental factors also play an important role in consumers decision process. Those
factors are as follows:

Social factors
Consumers wants, learning, motives etc. are influenced by opinion leaders, person's family,
reference groups, social class and culture. All these factors play an important role in
consumers decision process. People mean all human actors who play a part in service
delivery and thus influence the consumers perceptions and attitudes through their own
behaviors and attitudes (Bearden, 1999). People who are effectively involved in service
delivery can help consumers through the decision making process, can reinforce an existing
brand image and increase consumers purchase and re-purchase intentions. In the campaigns
and promotional programs of coke, we can observe a blend of happiness and joy among
people, groups and friends. For example in the above ad, he main targets were students
groups. If a new student is going to join this group, he will definitely attract to coke.

Personal factors
Personal factors are those factors which are unique to the customer. These factors can be age,
sex, Demographics etc. Sometimes we are not the decision maker in the family, and also
there are different reasons to purchase a thing between young and old people. As age
progresses choices also changes. Along with this, economic situation of the buyer also affect
the consumers buying behavior. As far as coke is concerned, it covers all the walks of life.
Childs, young and old people used to refresh themselves by drinking coke. Normally people
used to drink coke as their lifestyle.

Cultural Factors
Cultural factors play an important role in consumer buying behavior. Culture portrays a
customers wants and behavior. Culture of one nation includes values, beliefs, perception and
attitude of the consumers of that nation. As every nation has its own culture so the marketers
should focus on the culture of every nation. Price of the product, promotional programs and
most important the product should be suitable for the target populations culture.

Demonstration of Understanding
With the above discussion it becomes clear that internal/external influences affect consumer
purchasing decisions. For attaining success in this kind of environment, it is essential that the
marketers design their product and marketing related strategies by identifying specific
internal and external influences. U.S. Car marketers can also attain success in US by making
use of above discussed internal and external influences that affects consumers car purchase
decisions (Kotler, 2002).
In regard to the identified external-internal influences and selected target market, US car
marketers can develop or alter their marketing strategy in the following manner that includes
all aspects of a firms marketing mix:

Product
Nowadays consumers do not remain loyal for a product and when it is a disposable product
like car, it becomes more difficult. Consumers want full value from products like car that can
only be delivered by serving them with a high quality product. By identifying
external/internal influences a product according to target market needs can be designed (Clow
& Baack, 2005). The selected target market is students and they belong to school and collage
going students who prefer car drinks with baked goods.
Price
Another significant aspect of Car companies marketing strategy is price as it affects almost
all types of consumers. The US car marketers should serve selected target market with low-
to-mid price car products and services. Students do not have high income and they belong to
different classes. Students purchasing decisions can be directed significantly by considering
their internal and external influences (Gardner & Hil, 1990). According to their influences
they need to be targeted with low to medium range prices.

Place
It is a general attitude and this should be considered by US car marketers at time of
undertaking decisions about the locations of their car showrooms. They should at least start
their operations with 2-3 car showrooms as it makes a positive impression on consumers
attitude and motivates them to experience once specific car showroom (Clow & Baack,
2005).

Promotion
The last substantial aspects of companies marketing strategy that can be altered substantially
by identifying internal/external influences on consumer purchasing decisions is promotional
strategy. For consumer product like car, it is not worth to make extensive use of active
marketing channels like media advertisements (LeGrand & Udell, 2001). Awareness and
promotion of product like car can only be done with extensive passive exposure through its
showrooms (Kotler, 2002).
References

Bearden, W. O., & Netemeyer, R. G. (Eds.). (1999). Handbook of marketing scales: Multi-
item measures for marketing and consumer behavior research. Sage.
Flipo, J. P. (1986). Service firms: interdependence of external and internal marketing
strategies. European journal of Marketing, 20(8), 5-14.
Folkes, V. S. (1988). Recent attribution research in consumer behavior: A review and new
directions. Journal of Consumer Research, 548-565.
Hawkins, D. I., Best, R. J., & Coney, K. A. (1998). Consumer behavior. Irwin.
Nord, W. R., & Peter, J. P. (1980). A behavior modification perspective on marketing. The
Journal of Marketing, 36-47.
Quester, P., Neal, C., Pettigrew, S., Grimmer, M. R., Davis, T., & Hawkins, D. (2007).
Consumer behaviour: Implications for marketing strategy. McGraw-Hill.
Schmidt, J. B., & Spreng, R. A. (1996). A proposed model of external consumer information
search. Journal of the Academy of Marketing Science, 24(3), 246-256.
Solomon, M. R., Polegato, R., & Zaichkowsky, J. L. (2009). Consumer behavior: buying,
having, and being (Vol. 6). Upper Saddle River, NJ: Pearson Prentice Hall.