Consumer markets and consumer buyer behavior. Market analysis Contents

Consumer markets and consumer buyer behavior. Market analysis


Contents:

1. 
   What is Consumer Behavior in Marketing?
   
2. 
   Definition of Consumer Behavior
   
3. 
   Factor affecting Consumer Behavior
   
4. 
   Consumer Behavior Models
   
5. 
   Market analysis – the definition
   

What is Consumer Behavior in Marketing?
In marketing, understanding consumer behavior has become very important for businesses. Consumer behavior refers to the study which analyzes how consumers make decisions about their wants, needs, buying or act with respect to a product, service or organization. It is very critical to understand the behavior of consumers to analyze the behavior of potential consumers towards a new product or service. It is also very useful for companies to identify opportunities which have not yet been met.
An example in the aspect of consumer behavior is the change in eating habits which drastically increased the demand for gluten-free products. Businesses which have identified this market gap have produced gluten-free products and have tapped this market aspect as well.
On the other side, those companies which failed in monitoring consumer behavior could not manage to fill this void in the marketplace and were left behind. Understanding the behavior of consumers allows pro-active companies to increase their market share through anticipating the shift within the consumer choice.


Definition of Consumer Behavior
Consumer behavior can be defined as the study of psychological, physical and social actions when individuals buy, use and dispose of products, services, ideas, and practices. In other words, consumer behavior is the study of how consumers will make their buying decision and what those factors which support or influence these decisions.
According to marketers, by understanding the compelling reason for which a consumer buys a particular product or service over the other, it becomes easier to identify which product is in demand and which is obsolete so that marketing strategies can be designed accordingly.