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Major Factors Influencing Consumer Behavior

Consumer behavior is influenced by many different factors. Understanding your customer is an important factor in go-to-market success.

This is highlighted very well in the 102 CX Report by Katelyn Morgan, Marketing & Communications Manager, First American Insurance Agency who says,

" It is important to realize that customer expectations constantly change due to outside factors (think pandemic, layoffs, housing crash), and brands need to be agile and accept change to satisfy customer needs."

Here are 5 major factors that influence consumer behavior: 

  • Psychological Factors
  • Social Factors
  • Cultural Factors
  • Personal Factors
  • Economic Factors

1. Psychological Factors

Human psychology is a major determinant of consumer behavior. These factors are difficult to measure but are powerful enough to influence a buying decision.

Some of the important psychological factors are:

psychological-factors

Consumer Behavior Research

Exploring the Depths of Consumer Insights for Strategic Business Growth

In an era where understanding consumer behavior is more than a competitive edge, it’s a survival imperative, NielsenIQ (NIQ) and GfK emerge as pivotal allies. This expertise is essential for businesses in B2C commerce, retail, and beyond, aiming to navigate the complex consumer landscape for informed, strategic decision-making.

Definition and Importance of Consumer Behavior Research

Consumer behavior research is the study of how individuals make decisions to spend their resources on consumption-related items. It involves understanding the what, why, when, and how of consumer purchases. This field is crucial for businesses as it sheds light on consumer preferences, buying patterns, and decision-making processes. By understanding these aspects, companies can tailor their products and marketing strategies effectively, ensuring alignment with consumer needs and market trends, ultimately leading to increased customer satisfaction and loyalty.

Overview of the Impact of Consumer Behavior Research on Marketing Strategies

The insights from consumer behavior research are instrumental in shaping targeted marketing strategies. By understanding consumer motivations and behaviors, businesses can create more relevant and engaging marketing messages, leading to improved customer engagement and retention. This research helps in segmenting the market, identifying potential customers, and understanding the factors that drive consumer decisions. It also aids in predicting future trends, enabling companies to stay ahead of the curve. Effective use of consumer behavior research can lead to the development of products and services that meet the evolving needs of consumers, thereby enhancing brand loyalty and market share.

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Consumer and shopper insights

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Understanding Consumer Behavior

These diverse influences combine to form unique consumer profiles, which businesses must understand to effectively target their marketing efforts..

Factors Influencing Consumer Behavior

Consumer behavior is influenced by a complex interplay of psychological, social, cultural, and personal factors. Psychological factors include perceptions, attitudes, and motivation, which guide consumers’ emotional and cognitive responses. Social factors encompass family, friends, and societal norms that shape buying habits through peer influence and social trends. Cultural factors involve the broader societal beliefs, values, and customs that dictate consumer behavior in a particular region. Personal factors such as age, occupation, lifestyle, and economic status also significantly impact consumer choices. These diverse influences combine to form unique consumer profiles, which businesses must understand to effectively target their marketing efforts.

The Role of Consumer Behavior in Decision Making

Consumer behavior plays a critical role in the decision-making process. It involves understanding how consumers decide upon their needs and wants, choose among products and brands, and determine their purchase methods. This knowledge is vital for businesses to design and position their offerings in a way that resonates with the target audience. Understanding consumer behavior helps in predicting how consumers will respond to marketing messages and product features, enabling businesses to tailor their strategies to meet consumer needs effectively. It also assists in identifying opportunities for new product development and market expansion.

Consumer Behavior Theories and Models

Consumer behavior theories and models provide frameworks for understanding and predicting consumer actions. The Stimulus-Response Model, for instance, illustrates how marketing stimuli and environmental factors influence consumer responses. Maslow’s Hierarchy of Needs explains consumer motivation in terms of fulfilling basic to complex needs. The Theory of Reasoned Action and the Theory of Planned Behavior focus on the relationship between attitudes, intentions, and behaviors. The Consumer Decision Model outlines the cognitive process involving need recognition, information search, evaluation of alternatives, purchase decision, and post-purchase behavior. These models help businesses in developing strategies that align with consumer psychology and behavioral patterns. They also assist in segmenting the market and targeting consumers with personalized marketing approaches, enhancing the effectiveness of marketing campaigns and product offerings.

Research Methods in Consumer Behavior Research

Customer analytics is vital for businesses across various sectors, including FMCG, sales, and e-commerce. It enables companies to create personalized experiences, improve customer engagement, and boost retention, ultimately leading to increased revenue. By understanding consumer behavior through data analysis, businesses can make informed decisions that resonate with their target audience.

Quantitative Research Methods

Quantitative research methods in consumer behavior research involve structured techniques like surveys and questionnaires to collect numerical data. These methods are useful for gauging consumer attitudes, preferences, and behaviors across larger populations. Statistical analysis of this data helps in identifying trends, testing hypotheses, and making generalizations about consumer behavior. Quantitative research is valuable for businesses as it provides measurable and comparable insights that can guide strategic decision-making. It helps in understanding the magnitude of consumer responses to various marketing stimuli and in assessing the potential market size for new products or services.

Qualitative Research Methods

Qualitative research methods in consumer behavior focus on understanding the deeper motivations, thoughts, and feelings of consumers. Techniques like in-depth interviews, focus groups, and observational studies provide rich, detailed insights that are not typically captured through quantitative methods. This approach is crucial for exploring the underlying reasons behind consumer choices, preferences, and attitudes. Qualitative research helps businesses in gaining a deeper understanding of consumer experiences, emotions, and perceptions, which can be invaluable in developing more effective marketing strategies, product designs, and customer service approaches. It allows companies to explore new ideas and concepts with consumers, gaining insights that can lead to innovation and differentiation in the market.

Experimental Research in Consumer Behavior

Experimental research in consumer behavior involves manipulating one or more variables to observe the effect on another variable, typically consumer behavior or attitudes. This method is used to establish cause-and-effect relationships, providing insights into how changes in product features, pricing, or marketing strategies might influence consumer behavior. Controlled experiments, often conducted in laboratory settings or as field experiments, allow researchers to isolate the effects of specific variables. This type of research is particularly valuable for testing new products, pricing strategies, and marketing messages before full-scale implementation. It helps businesses in making informed decisions based on empirical evidence, reducing the risks associated with new initiatives.

Factors Affecting Consumer Behavior

Psychological factors.

Psychological factors play a significant role in shaping consumer behavior. These include individual motivations, perceptions, attitudes, and beliefs. Motivation drives consumers to fulfill their needs and desires, influencing their buying decisions. Perception, how consumers interpret information, can significantly impact their choices, as it shapes their understanding of products and brands. Attitudes and beliefs, formed through experiences and social influences, guide consumer preferences and loyalty. Understanding these psychological factors is crucial for businesses as they influence how consumers view and interact with products and services. By aligning marketing strategies with consumer psychology, businesses can more effectively influence purchasing decisions and build stronger customer relationships.

Social Factors

Social factors significantly influence consumer behavior, encompassing the impact of society, family, and peer groups. Family members and friends can influence buying decisions through recommendations or shared experiences. Social groups, including social networks and communities, also play a role in shaping consumer preferences and behaviors. The influence of social media has become particularly significant, as it not only connects consumers but also serves as a platform for sharing opinions and experiences about products and services. Understanding these social dynamics is important for businesses as they can leverage social influences through targeted marketing strategies, influencer partnerships, and social media campaigns. Recognizing the power of social factors can help businesses in building brand awareness and loyalty among consumer groups.

Cultural Factors

Cultural factors are deeply ingrained elements that influence consumer behavior, including values, beliefs, customs, and traditions. These factors vary across different regions and societies, affecting how consumers perceive and interact with products and services. Cultural influences can determine consumer preferences, buying habits, and brand perceptions. For instance, color symbolism, dietary preferences, and language can all vary significantly between cultures, impacting marketing strategies and product development. Businesses must understand and respect these cultural nuances to effectively cater to diverse consumer markets. Adapting products and marketing messages to align with cultural values and norms can significantly enhance a brand’s appeal and acceptance in different markets.

Personal Factors

Personal factors, including age, gender, occupation, lifestyle, and economic status, also significantly influence consumer behavior. These factors determine individual needs, preferences, and purchasing power. For example, younger consumers may prioritize trendy and innovative products, while older consumers might value functionality and durability. Lifestyle choices, such as health consciousness or environmental awareness, can also drive consumer preferences and choices. Economic factors, such as income and economic conditions, influence consumers’ ability to purchase and their sensitivity to price changes. Understanding these personal factors is crucial for businesses to segment their market effectively and tailor their products and marketing strategies to meet the specific needs of different consumer groups.

Consumer Purchase Decision Making

Stages of the consumer purchase decision-making process.

The consumer purchase decision-making process typically involves several key stages: problem recognition, information search, evaluation of alternatives, purchase decision, and post-purchase behavior.

In the problem recognition stage, consumers identify a need or desire.

During the information search, they seek out information about products or services that can fulfill their need. In the evaluation stage, consumers compare different options based on attributes such as price, quality, and brand reputation.

The purchase decision involves choosing a product and making the purchase. Finally, in the post-purchase stage, consumers evaluate their satisfaction with the purchase, which can influence future buying decisions and brand loyalty.

Understanding these stages is essential for businesses to effectively influence consumers at each step, from raising awareness to ensuring post-purchase satisfaction.

Influences on Consumer Purchase Decisions

Consumer purchase decisions are influenced by a multitude of factors, including product attributes, brand reputation, marketing messages, social influences, and personal preferences. Product features such as quality, price, and usability are key determinants of consumer choices. Brand reputation, built over time through consistent quality and marketing efforts, also significantly impacts purchase decisions. Marketing messages and advertising play a crucial role in shaping consumer perceptions and driving demand. Social influences, including recommendations from family and friends, as well as online reviews and influencer endorsements, can sway consumer decisions. Personal factors such as individual needs, preferences, and financial constraints also play a critical role. Businesses must consider these diverse influences when developing products and crafting marketing strategies to effectively appeal to their target audience.

Impulse Buying Behavior

Impulse buying behavior refers to unplanned purchases made by consumers, often driven by emotional factors rather than rational decision-making. This type of behavior is typically triggered by external stimuli such as attractive product displays, promotional offers, or persuasive sales tactics. Emotional responses, such as excitement or the desire for instant gratification, also play a significant role in impulse buying. Retailers often leverage this behavior by strategically placing impulse items near checkout areas or using limited-time offers to create a sense of urgency. Understanding the triggers of impulse buying can help businesses in designing marketing strategies and store layouts that encourage such purchases, potentially increasing sales and customer engagement.

Online Shopping and Consumer Behavior

Impact of online shopping on consumer behavior.

The rise of online shopping has significantly impacted consumer behavior, offering convenience, a wider selection of products, and often competitive pricing. Online shopping has changed the way consumers research products, compare prices, and make purchasing decisions. The ease of access to a vast array of products and the ability to shop at any time have increased the frequency and diversity of purchases. Online reviews and ratings have also become important factors in the decision-making process, as consumers increasingly rely on the opinions of others. Additionally, the personalized shopping experiences offered by many online retailers, through targeted recommendations and tailored marketing messages, have further influenced consumer buying habits. Understanding these shifts in consumer behavior is crucial for businesses to adapt their strategies for the digital marketplace, ensuring they meet the evolving needs and expectations of online shoppers.

Factors Influencing Online Buying Behavior

Several factors influence online buying behavior, including website usability, product variety, pricing, customer reviews, and the overall shopping experience. A user-friendly website with easy navigation and a seamless checkout process is crucial for attracting and retaining online shoppers. A diverse product range and competitive pricing are also key factors in attracting consumers. Customer reviews and ratings significantly impact purchase decisions, as they provide social proof and reduce perceived risk. The overall shopping experience, including customer service, delivery options, and return policies, also plays a vital role in influencing online buying behavior. Security and privacy concerns are additional considerations, as consumers are increasingly aware of data protection and online fraud. Businesses must address these factors to create a compelling online shopping experience that meets consumer expectations and drives online sales.

Comparison of Online and Offline Consumer Behavior

Online and offline consumer behaviors exhibit distinct differences, influenced by the unique aspects of each shopping environment. Online shopping offers convenience, a broader selection, and often more competitive pricing, leading to different purchasing patterns compared to offline shopping. Consumers tend to spend more time researching and comparing products online, while offline shopping is often driven by immediate needs and sensory experiences. The tactile experience and instant gratification of offline shopping are not replicable online, but the online environment offers personalized recommendations and a wealth of product information. Offline shopping also provides opportunities for personal interaction and immediate problem resolution, which can enhance customer satisfaction. Understanding these differences is crucial for businesses to tailor their strategies for each channel, ensuring a cohesive and complementary shopping experience that meets the needs and preferences of consumers in both online and offline environments.

Consumer Satisfaction and Loyalty

Importance of customer satisfaction in consumer behavior research.

Customer satisfaction is a critical component of consumer behavior research, as it directly impacts repeat purchases and brand loyalty. Satisfied customers are more likely to become repeat buyers, recommend the brand to others, and provide positive reviews. Customer satisfaction is influenced by various factors, including product quality, customer service, and overall shopping experience. Understanding and measuring customer satisfaction helps businesses identify areas for improvement, enhance customer experiences, and build long-term relationships with consumers. High levels of customer satisfaction lead to increased customer loyalty, which is essential for business growth and sustainability.

Factors Influencing Customer Satisfaction

Customer satisfaction is influenced by a range of factors, including product quality, price, service quality, brand image, and customer expectations. Product quality is a primary determinant of satisfaction, as consumers expect products to perform as advertised. Price also plays a role, as consumers evaluate the value they receive relative to the cost. Service quality, encompassing customer service interactions and the overall shopping experience, significantly impacts satisfaction levels. A positive, helpful, and efficient service experience can enhance satisfaction, while negative experiences can lead to dissatisfaction. Brand image, shaped by marketing communications and past experiences, influences consumer expectations and perceptions. Meeting or exceeding these expectations is key to achieving high levels of customer satisfaction. Additionally, personal factors such as individual needs, preferences, and past experiences also influence satisfaction. Businesses must consider these diverse factors to effectively meet consumer needs and enhance satisfaction levels.

Relationship Between Customer Satisfaction and Loyalty

The relationship between customer satisfaction and loyalty is strong and direct. Satisfied customers are more likely to develop a sense of loyalty to a brand, leading to repeat purchases and positive word-of-mouth recommendations. Loyalty is not just about repeat buying; it also involves an emotional connection and a preference for the brand over competitors. Satisfied customers are also more likely to be forgiving of minor issues and are less sensitive to price changes. Conversely, dissatisfied customers are more likely to switch to competitors and share negative experiences with others. Building customer loyalty requires consistently meeting or exceeding customer expectations, providing high-quality products and services, and maintaining positive customer relationships. Loyal customers are valuable assets to businesses, as they tend to have a higher lifetime value, lower acquisition costs, and can become brand advocates, promoting the brand through their networks.

Consumer Research and Marketing Strategies

Utilizing consumer research to develop effective marketing programs.

Consumer research is a vital tool for developing effective marketing programs. By understanding consumer needs, preferences, and behaviors, businesses can create targeted marketing strategies that resonate with their audience. Consumer research helps in identifying market segments, understanding consumer pain points, and uncovering opportunities for product development or enhancement. It also provides insights into the most effective channels and messages for reaching the target audience. Utilizing consumer research in marketing program development ensures that strategies are data-driven and customer-centric, increasing the likelihood of success. It enables businesses to tailor their marketing efforts to the specific needs and preferences of different consumer segments, improving engagement and response rates. Additionally, ongoing consumer research allows businesses to adapt their marketing strategies in response to changing consumer trends and market conditions, ensuring continued relevance and effectiveness.

Targeting Specific Consumer Segments Based on Research Findings

Targeting specific consumer segments based on research findings is a key strategy for effective marketing. Consumer research provides detailed insights into different consumer groups, including their demographics, psychographics, behaviors, and preferences. By analyzing this data, businesses can identify distinct segments within their target market, each with unique needs and characteristics. Targeting these segments with tailored marketing messages and product offerings increases the relevance and appeal of the brand to each group. For example, a segment characterized by health-conscious consumers would respond more positively to marketing messages emphasizing the health benefits of a product. Segment-specific targeting allows businesses to allocate marketing resources more efficiently, focusing on the most promising segments with the highest potential for conversion and loyalty. It also enhances the customer experience by providing consumers with products and marketing messages that are more closely aligned with their individual needs and preferences.

Adapting Marketing Strategies to Consumer Behavior Trends

Adapting marketing strategies to consumer behavior trends is essential for businesses to stay relevant and competitive. Consumer behavior is constantly evolving, influenced by factors such as technological advancements, cultural shifts, and economic changes. By staying attuned to these trends, businesses can anticipate changes in consumer needs and preferences, and adjust their marketing strategies accordingly. This may involve adopting new marketing channels, such as social media or influencer marketing, to reach consumers where they are most active. It could also mean developing new products or services that align with emerging consumer trends, such as sustainability or personalization. Adapting marketing strategies to consumer behavior trends requires a proactive approach, with ongoing research and analysis to identify emerging patterns. Businesses that successfully adapt to these trends can capture new market opportunities, enhance customer engagement, and maintain a competitive edge.

Case Studies in Consumer Behavior Research

Analysis of real-life examples and their implications.

Real-life case studies in consumer behavior research provide valuable insights into the practical application of theoretical concepts and the effectiveness of different marketing strategies. For example, a case study in the automotive industry might analyze how consumer preferences for eco-friendly vehicles have influenced car manufacturers’ product development and marketing strategies. In the retail sector, a case study could examine the impact of online shopping on brick-and-mortar stores and how these businesses have adapted to the digital era. These case studies offer concrete examples of how businesses have successfully navigated changes in consumer behavior, providing lessons and strategies that can be applied in other contexts. They also highlight the importance of consumer research in identifying market trends, understanding consumer needs, and developing effective marketing strategies. By analyzing real-life examples, businesses can gain a deeper understanding of consumer behavior, learn from the successes and challenges of others, and apply these insights to their own strategies.

Examination of Successful Marketing Campaigns Based on Consumer Behavior Research

Examining successful marketing campaigns that are based on consumer behavior research can provide valuable insights into effective marketing practices. These case studies demonstrate how a deep understanding of consumer needs, preferences, and behaviors can be leveraged to create impactful marketing campaigns. For instance, a campaign that effectively uses consumer data to personalize messages and offers can result in higher engagement and conversion rates. Another example might be a campaign that taps into current consumer trends, such as sustainability or wellness, to resonate with the target audience. Analyzing these successful campaigns can reveal key strategies and tactics that businesses can adopt, such as the use of specific channels, messaging techniques, or promotional offers. These case studies also highlight the importance of data-driven decision-making in marketing, showing how consumer research can inform and guide successful marketing initiatives.

Motivating Consumers and New Product Adoption

Strategies to motivate consumers to adopt new products.

Motivating consumers to adopt new products is a critical challenge for businesses. Effective strategies for encouraging new product adoption include leveraging social proof, offering free trials or samples, and creating educational content. Social proof, such as customer testimonials or influencer endorsements, can reduce perceived risk and increase consumer confidence in trying a new product. Free trials or samples allow consumers to experience the product firsthand, reducing barriers to adoption. Educational content, such as how-to guides or product demonstrations, can help consumers understand the value and benefits of the new product. Additionally, businesses can use targeted marketing campaigns to reach early adopters and innovators who are more likely to try new products and spread the word to others. Creating a sense of urgency or exclusivity around the new product, through limited-time offers or exclusive access, can also motivate consumers to adopt the product more quickly.

Innovations in Consumer Behavior Research for New Product Development

Innovations in consumer behavior research are playing a crucial role in new product development. Advanced analytics and data mining techniques allow businesses to analyze large datasets and uncover deep insights into consumer needs and preferences. Social listening tools enable companies to monitor social media and online conversations, gaining real-time insights into consumer opinions and trends. Virtual reality (VR) and augmented reality (AR) technologies are being used to test consumer reactions to new products in simulated environments, providing valuable feedback before market launch. Behavioral economics principles, such as understanding cognitive biases and decision-making processes, are also being applied to better predict consumer responses to new products. These innovations in consumer behavior research provide businesses with more accurate and comprehensive data, enabling them to develop products that are closely aligned with consumer needs and preferences, increasing the likelihood of market success.

Social Media and Consumer Behavior

Influence of social media on consumer behavior.

Social media has a profound influence on consumer behavior, shaping how consumers discover, research, and share information about products and services. Platforms like Facebook, Instagram, and Twitter serve as important channels for brand communication and engagement. Consumers use social media to seek recommendations, read reviews, and gather opinions from their networks, which significantly influences their purchasing decisions. Brands leverage social media for targeted advertising, influencer partnerships, and content marketing, creating opportunities for direct interaction and engagement with consumers. Social media also facilitates the spread of trends and viral content, quickly influencing consumer preferences and behaviors. The interactive and dynamic nature of social media means that consumer opinions and trends can rapidly change, requiring businesses to be agile and responsive in their social media strategies. Understanding the influence of social media on consumer behavior is essential for businesses to effectively engage with their audience and influence purchasing decisions.

Role of Social Media in Shaping Consumer Perceptions and Purchase Decisions

Recap of the importance of consumer behavior research.

Consumer behavior research is essential for businesses seeking to understand and effectively respond to the evolving needs and preferences of their target audience. It provides valuable insights into why consumers make certain choices, what influences their purchasing decisions, and how they interact with brands. This research is crucial for developing effective marketing strategies, creating products that meet consumer needs, and enhancing the overall customer experience. By staying informed about consumer behavior trends and applying these insights, businesses can improve customer engagement, increase brand loyalty, and drive growth. In today’s competitive marketplace, a deep understanding of consumer behavior is a key differentiator, enabling businesses to create more personalized, relevant, and impactful marketing initiatives.

Future Directions and Emerging Trends in Consumer Behavior Research

The future of consumer behavior research is marked by rapid advancements in technology and data analytics, leading to more sophisticated and nuanced understanding of consumer preferences and behaviors. Emerging trends include the use of artificial intelligence (AI) and machine learning to analyze consumer data, providing deeper and more predictive insights. The integration of biometric data, such as eye tracking and facial recognition, offers new ways to understand consumer responses to marketing stimuli. The growing importance of sustainability and ethical considerations is also influencing consumer behavior, leading to increased demand for eco-friendly and socially responsible products. Additionally, the rise of the experience economy is shifting focus from product features to customer experiences, requiring businesses to create more immersive and engaging customer interactions. Staying abreast of these trends and continuously innovating in consumer behavior research will be crucial for businesses to remain relevant and competitive in the changing market landscape.

How NIQ and GfK Can Help

In the complex world of consumer behavior, NIQ and GfK offer the expertise and tools necessary to navigate this landscape effectively. With comprehensive solutions like:

  • NielsenIQ’s Homescan : Track, diagnose, and analyze consumer behavior from more than 250,000 households across 25 countries.
  • Consumer analytics : Go deeper and create more clarity around shopper behavior with custom surveys and segmentation.
  • Consumption moments : Reveal the true motivations behind customer consumption behavior and usage to guide product innovation and marketing strategy .
  • gfknewron marke t : Create the right opportunities with gfknewron market
  • gfknewron predict : Plan your future using the world’s most comprehensive sales tracking data for Tech & Durables.
  • gfknewron Consumer : Understand your consumers’ behavior to redefine your success

By leveraging these tools, businesses can gain a competitive edge, adapting to market changes and consumer trends with agility and precision.

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OPINION article

Factors affecting impulse buying behavior of consumers.

\nRosa Isabel Rodrigues

  • Instituto Superior de Gestão, Lisbon, Portugal

In recent years, the study of consumer behavior has been marked by significant changes, mainly in decision-making process and consequently in the influences of purchase intention ( Stankevich, 2017 ).

The markets are different and characterized by an increased competition, as well a constant innovation in products and services available and a greater number of companies in the same market. In this scenario it is essential to know the consumer well ( Varadarajan, 2020 ). It is through the analysis of the factors that have a direct impact on consumer behavior that it is possible to innovate and meet their expectations. This research is essential for marketers to be able to improve their campaigns and reach the target audience more effectively ( Ding et al., 2020 ).

Consumer behavior refers to the activities directly involved in obtaining products /services, so it includes the decision-making processes that precede and succeed these actions. Thus, it appears that the advertising message can cause a certain psychological influence that motivates individuals to desire and, consequently, buy a certain product/service ( Wertenbroch et al., 2020 ).

Studies developed by Meena (2018) show that from a young age one begins to have a preference for one product/service over another, as we are confronted with various commercial stimuli that shape our choices. The sales promotion has become one of the most powerful tools to change the perception of buyers and has a significant impact on their purchase decision ( Khan et al., 2019 ). Advertising has a great capacity to influence and persuade, and even the most innocuous, can cause changes in behavior that affect the consumer's purchase intention. Falebita et al. (2020) consider this influence predominantly positive, as shown by about 84.0% of the total number of articles reviewed in the study developed by these authors.

Kumar et al. (2020) add that psychological factors have a strong implication in the purchase decision, as we easily find people who, after having purchased a product/ service, wonder about the reason why they did it. It is essential to understand the mental triggers behind the purchase decision process, which is why consumer psychology is related to marketing strategies ( Ding et al., 2020 ). It is not uncommon for the two areas to use the same models to explain consumer behavior and the reasons that trigger impulse purchases. Consumers are attracted by advertising and the messages it conveys, which is reflected in their behavior and purchase intentions ( Varadarajan, 2020 ).

Impulse buying has been studied from several perspectives, namely: (i) rational processes; (ii) emotional resources; (iii) the cognitive currents arising from the theory of social judgment; (iv) persuasive communication; (v) and the effects of advertising on consumer behavior ( Malter et al., 2020 ).

The causes of impulsive behavior are triggered by an irresistible force to buy and an inability to evaluate its consequences. Despite being aware of the negative effects of buying, there is an enormous desire to immediately satisfy your most pressing needs ( Meena, 2018 ).

The importance of impulse buying in consumer behavior has been studied since the 1940's, since it represents between 40.0 and 80.0% of all purchases. This type of purchase obeys non-rational reasons that are characterized by the sudden appearance and the (in) satisfaction between the act of buying and the results obtained ( Reisch and Zhao, 2017 ). Aragoncillo and Orús (2018) also refer that a considerable percentage of sales comes from purchases that are not planned and do not correspond to the intended products before entering the store.

According to Burton et al. (2018) , impulse purchases occur when there is a sudden and strong emotional desire, which arises from a reactive behavior that is characterized by low cognitive control. This tendency to buy spontaneously and without reflection can be explained by the immediate gratification it provides to the buyer ( Pradhan et al., 2018 ).

Impulsive shopping in addition to having an emotional content can be triggered by several factors, including: the store environment, life satisfaction, self-esteem, and the emotional state of the consumer at that time ( Gogoi and Shillong, 2020 ). We believe that impulse purchases can be stimulated by an unexpected need, by a visual stimulus, a promotional campaign and/or by the decrease of the cognitive capacity to evaluate the advantages and disadvantages of that purchase.

The buying experience increasingly depends on the interaction between the person and the point of sale environment, but it is not just the atmosphere that stimulates the impulsive behavior of the consumer. The sensory and psychological factors associated with the type of products, the knowledge about them and brand loyalty, often end up overlapping the importance attributed to the physical environment ( Platania et al., 2016 ).

The impulse buying causes an emotional lack of control generated by the conflict between the immediate reward and the negative consequences that the purchase can originate, which can trigger compulsive behaviors that can become chronic and pathological ( Pandya and Pandya, 2020 ).

Sohn and Ko (2021) , argue that although all impulse purchases can be considered as unplanned, not all unplanned purchases can be considered impulsive. Unplanned purchases can occur, simply because the consumer needs to purchase a product, but for whatever reason has not been placed on the shopping list in advance. This suggests that unplanned purchases are not necessarily accompanied by the urgent desire that generally characterizes impulse purchases.

The impulse purchases arise from sensory experiences (e.g., store atmosphere, product layout), so purchases made in physical stores tend to be more impulsive than purchases made online. This type of shopping results from the stimulation of the five senses and the internet does not have this capacity, so that online shopping can be less encouraging of impulse purchases than shopping in physical stores ( Moreira et al., 2017 ).

Researches developed by Aragoncillo and Orús (2018) reveal that 40.0% of consumers spend more money than planned, in physical stores compared to 25.0% in online purchases. This situation can be explained by the fact that consumers must wait for the product to be delivered when they buy online and this time interval may make impulse purchases unfeasible.

Following the logic of Platania et al. (2017) we consider that impulse buying takes socially accepted behavior to the extreme, which makes it difficult to distinguish between normal consumption and pathological consumption. As such, we believe that compulsive buying behavior does not depend only on a single variable, but rather on a combination of sociodemographic, emotional, sensory, genetic, psychological, social, and cultural factors. Personality traits also have an important role in impulse buying. Impulsive buyers have low levels of self-esteem, high levels of anxiety, depression and negative mood and a strong tendency to develop obsessive-compulsive disorders. However, it appears that the degree of uncertainty derived from the pandemic that hit the world and the consequent economic crisis, seems to have changed people's behavior toward a more planned and informed consumption ( Sheth, 2020 ).

Author Contributions

All authors listed have made a substantial, direct and intellectual contribution to the work, and approved it for publication.

Conflict of Interest

The authors declare that the research was conducted in the absence of any commercial or financial relationships that could be construed as a potential conflict of interest.

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Keywords: consumer behavior, purchase intention, impulse purchase, emotional influences, marketing strategies

Citation: Rodrigues RI, Lopes P and Varela M (2021) Factors Affecting Impulse Buying Behavior of Consumers. Front. Psychol. 12:697080. doi: 10.3389/fpsyg.2021.697080

Received: 19 April 2021; Accepted: 10 May 2021; Published: 02 June 2021.

Reviewed by:

Copyright © 2021 Rodrigues, Lopes and Varela. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY) . The use, distribution or reproduction in other forums is permitted, provided the original author(s) and the copyright owner(s) are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.

*Correspondence: Rosa Isabel Rodrigues, rosa.rodrigues@isg.pt

Disclaimer: All claims expressed in this article are solely those of the authors and do not necessarily represent those of their affiliated organizations, or those of the publisher, the editors and the reviewers. Any product that may be evaluated in this article or claim that may be made by its manufacturer is not guaranteed or endorsed by the publisher.

case study on factors influencing consumer behaviour

Perspectives on Consumer Behaviour

Theoretical Aspects and Practical Applications

  • © 2020
  • Włodzimierz Sroka 0

WSB University, Dąbrowa Górnicza, Poland

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  • Discusses the theoretical and legal aspects of consumer behaviour
  • Analyses organisations’ strategies to influence consumer behaviour
  • Provides case studies

Part of the book series: Contributions to Management Science (MANAGEMENT SC.)

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About this book

This book explores key factors associated with consumer behaviour, from both a theoretical and practical perspective. It particularly focuses on the consumer in the 21st century – educated and conscious, but also impatient, disloyal and capricious. The book is divided into three main parts: the first part discusses the theoretical and legal aspects of consumers’ behaviour, analysing the government's role in regulating consumer behaviour and the role of the European Union. The second part then examines organisational strategies, such as omni-channel retailing and branding products. And lastly, the third part describes consumer behaviours in the context of individual products and services, from coffee to energy.

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Review and Outlook: “Rethinking Consumer Theory!” Suggestions at the Founding Workshop of the Bamberg Group

Introduction: consumer theory today is unthinkable without headstrong and unorthodox pioneers.

case study on factors influencing consumer behaviour

Consumer Behavior Research Methods

  • Consumer behaviour in EU countries
  • Sustainable food choices
  • Customer utility research
  • Omni-channel retailing
  • Behavioural profiles of costumers
  • Determinants of purchasing decisions
  • Case studies

Table of contents (15 chapters)

Front matter, economic and legal aspects of sustainable consumer behaviour, current aspects of consumer behaviour in central european countries.

  • Naďa Hazuchová, Jana Stávková, Agnieszka Siedlecka, Ľudmila Nagyová

Willingness to Reduce Food Choice in Favour of Sustainable Alternatives: The Role of Government and Consumer Behaviour

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Harmonised Protection of Consumer Behaviour: The Holistic Comparative Message About Its Effectiveness and Efficiency from Legislative and Judicial Perspectives

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Understanding the Cross-cultural Specifics of Consumer Behaviour

Multidimensional analysis of consumer behaviour on the european digital market.

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The Black Box of Consumer Behaviour and Brand Value Perception: Case Study of the Slovak Republic

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Analysis of Consumer Behaviour in the Networked Environment: Case Study of the Slovak Republic

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Sustainable Consumption Behaviour in Poland Through a PLS-SEM Model

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Factors Influencing Consumer Behaviour Across Products and Services

Coffee consumer segmentation: implications for producers and sellers.

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Identification of the Reasons Why Individual Consumers Purchase Dietary Supplements

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The Behavioural Profiles of Energy Consumers: Comparison of the Decision Tree Method and the Logit Model

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How Much Might a Beer Cost in a Fancy Resort? A Possible Replication of Thaler’s Well-Known Experiment

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Consumer Behaviour: Implications for Business Strategy

Omni-channel retailing strategy and research agenda.

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How Marketing Shapes the Behaviour of Culture Participants

  • Magdalena Sobocińska

Determinants of Purchasing Decisions of Restaurant Consumers: A Case Study Analysis

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Consumer Behaviour and Private Donations: The Effect of Marketing Communication and the Reputation of Non-profit Organisations

  • Jarmila Šebestová, Dana Šebestová

Editors and Affiliations

Włodzimierz Sroka

About the editor

Włodzimierz Sroka  is an Associate Professor at the Management Department of WSB University in Dąbrowa Górnicza, Poland, and an Extraordinary Professor at North-West University, South Africa. He specialises in theoretical and practical issues relating to the management and strategic management, and is the author of numerous scientific papers on strategic alliances, network organisations, competition, strategy, company restructuring, marketing, CSR and business ethics, as well as innovations and entrepreneurship published in both Polish and international journals.

Bibliographic Information

Book Title : Perspectives on Consumer Behaviour

Book Subtitle : Theoretical Aspects and Practical Applications

Editors : Włodzimierz Sroka

Series Title : Contributions to Management Science

DOI : https://doi.org/10.1007/978-3-030-47380-8

Publisher : Springer Cham

eBook Packages : Business and Management , Business and Management (R0)

Copyright Information : Springer Nature Switzerland AG 2020

Hardcover ISBN : 978-3-030-47379-2 Published: 27 June 2020

Softcover ISBN : 978-3-030-47382-2 Published: 27 June 2021

eBook ISBN : 978-3-030-47380-8 Published: 26 June 2020

Series ISSN : 1431-1941

Series E-ISSN : 2197-716X

Edition Number : 1

Number of Pages : XX, 338

Number of Illustrations : 8 b/w illustrations, 30 illustrations in colour

Topics : Consumer Behavior , Branding , Market Research/Competitive Intelligence

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27 Citations

Factors affecting consumer-buying motivations: an empirical study in the behavioral economics perspective, factors that influence consumer behavior in the purchase of durable household products, a theoretical perspective of consumers information search behaviour and role of psychological variables, factors influencing consumer behaviour, consumer behaviour factors and contemporary trends on the luxury goods market, factors affecting consumer buying behaviour and decision making process towards fmcg products, examining factors affecting consumers ' attitude and purchase intention with special reference to electronic durable goods, a comprehensive review of impulse purchase process and various factors affecting it, impact of celebrities on the buying behaviour of consumers, elasticity of consumer demand on pork meat in the slovak republic., 5 references, a woman's place: an analysis of the roles portrayed by women in magazine advertisements, a comparison of housewife decision making in two social classes, dimensions of marital roles in consumer decision making, related papers.

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The goods on consumer behavior

Research by consumer psychologists aims to promote consumers’ well-being in sustainability, health, and money management

Vol. 52 No. 4

  • Applied Psychology
  • Marketing and Advertising

people walking on a city sidewalk in front of clothing storefront

People’s decisions about how to spend their money can have a huge impact on their own lives and on the planet. Credit card debt, climate change, plastic pollution, dietary choices—all these and more, to some extent, depend on companies’ decisions about what to sell and consumers’ decisions about what to buy.

That’s why some consumer psychologists and researchers in related fields, like marketing and business, are interested in tackling these social issues through the lens of consumerism. Consumer researchers are working to understand how and why consumers make beneficial choices in areas including sustainability, health, and financial well-being. They’re also studying how to convince companies of the value of improving their supply chains or offering customers healthier, more responsible choices.

“Good, responsible scholars are trying to think about not only what is good for individuals but also what is good for society,” said Lynn Kahle, PhD, a consumer psychologist and director of the sports marketing program at Pace University in New York City.

Sustainable consumption

One big challenge facing society is switching over to a more ecologically sustainable way of life. Making sustainable choices can be a tough sell for consumers, said Katherine White, PhD, a consumer psychologist at the Sauder School of Business at the University of British Columbia in Canada. “It’s this really interesting trade-off between some kind of cost to the self in order to do something for others,” White said. (A trade-off not dissimilar to many of the public health interventions enacted during the COVID-19 pandemic.) The potential benefits of individual sustainable behaviors—recycling, choosing reusable goods, installing solar panels, eating less meat—are fuzzy and in the future, White said, and the status quo is largely set up to enable less-sustainable choices. But to tackle problems like climate change and environmental degradation, both systems and individuals will have to change, she said. “It’s probably the most challenging behavior-change question of our time.”

When consumer psychologists first began studying sustainable behavior in the 1970s, their focus was largely on how to identify consumers who were already prone to go green, said Remi Trudel, PhD, an associate professor of marketing at Boston University’s Questrom School of Business. Over time, though, researchers have begun to focus on how to influence more people. “The biggest question is, how do we nudge people into behaving more sustainably?” Trudel said.

In a 2019 review, White and her colleagues organized research on the topic into a framework they call SHIFT ( Journal of Marketing , Vol. 83, No. 3, 2019 ). SHIFT stands for social influence, habit formation, individual self, feelings and cognition, and tangibility—each a key factor in whether a consumer makes green (or not-so-green) choices. Social influence is one of the most powerful tools available, White said. For example, a study in California led by New York University Stern School of Business associate professor of marketing Bryan Bollinger, PhD, found that every installation of solar panels on a home in a given ZIP code increased the likelihood of another install by 0.78 percentage points ( Marketing Science , Vol. 31, No. 6, 2012 ).

Habits refer to everyday behaviors, like getting coffee every morning in a disposable cup rather than bringing one’s own mug, White said. Any way to make the greener choice easier can help break unsustainable habits, she said. Individual self refers to what resonates with any given person. It’s relatively easy to connect with individuals who already care about sustainability, White said. But sometimes advertisers, marketers, and companies need to work a little harder to link a person’s preexisting values to sustainability.

For example, religious and cultural values can play a role in how people approach environmental values, said Elizabeth Minton, PhD, an associate professor of marketing at the University of Wyoming. “Western consumers view what’s important as sustaining the family unit, sustaining the community, and sustaining the loved ones,” Minton said. Framing sustainability—protecting the environment—as a way to protect family and community, then, becomes a way for marketers to encourage demand for sustainable products.

Research into feelings and cognition has found complex patterns. Some research suggests that while negative emotions such as guilt can prompt environmentally friendly actions, guilt should be deployed with care. For example, after the United Kingdom instituted a policy of charging a small sum for disposable plastic grocery bags, mass communications researcher Sidharth Muralidharan, PhD, of Southern Methodist University, conducted an online survey that found that women who reported high guilt over forgetting to carry reusable bags were more likely to carry them more consistently, but men with high levels of guilt weren’t, suggesting women were more susceptible to “green guilt” than men. In a follow-up experiment, Muralidharan and his colleagues exposed consumers to guilt-inducing advertisements based around either saving the environment or saving money by carrying reusable bags. They found that the environment-based ads were less effective at inducing guilt than the savings-based ads ( Journal of Advertising Research , Vol. 58, No. 3, 2018 ). In other words, guilt must be directed toward an effective target—which is not always related to sustainability—to work.

Finally, tangibility in the SHIFT framework refers to the need to link an action to real consequences, given that the outcome of any behavior is uncertain, White said. Focusing on the near-term benefits of sustainability, such as preventing current environmental degradation, can help, according to research led by Audhesh Paswan, PhD, a professor of marketing at the University of North Texas ( Journal of Consumer Marketing , Vol. 34, No. 5, 2017 ).

One big question is how younger generations of consumers will approach sustainable consumption. Gen Z—the colloquial term for anyone born between the late 1990s and around 2010—tends to hold consumer brands to high standards, said Brent Coker, PhD, a lecturer in marketing at the University of Melbourne. They’re savvy to marketing strategies and don’t like empty platitudes, he said, which can lead to anger at brands they perceive as doing social (or environmental) harm. However, social media marketing can lead to impulse purchasing in Gen Z, according to research by marketing lecturer Elmira Djafavora, PhD, of Northumbria University Newcastle ( Journal of Retailing and Consumer Services , Vol. 59, 2021), which could feed overconsumption.

Promoting health

Another area where consumers might need to put aside their immediate impulses for long-term benefits is when making health choices. As with sustainability, consumers may well be aware that a choice—such as buying a sugary beverage—isn’t in their ultimate best interest, but still make that choice nonetheless.

“We know that incentives and information don’t always work as well as we would hope them to,” said Leslie John, PhD, who has a doctorate in behavioral decision research and is an associate professor at Harvard Business School. “What I’ve been trying to do is use insights from psychology to make these tools much more effective at actually changing behavior.”

In one study, John and her colleagues explored whether putting warning labels on sugary beverages discourages their purchase. In a real cafeteria setting, the researchers tested three different types of warning labels: One label simply listed the caloric content of the soda. Another read, “Warning: Drinking beverages with added sugar(s) contributes to obesity, diabetes, and tooth decay.” A third label contained the same text but with accompanying images of an obese abdomen, a person self-injecting insulin, and rotten teeth. The researchers found that only the graphic warnings had a statistically significant impact, reducing the share of sugary beverages purchased from 21.4% to 18.2% ( Psychological Science , Vol. 29, No. 8, 2018 ). At the same time, in a result that could incentivize firms as well as policymakers, the study also showed that the warning labels didn’t reduce drink sales overall, as consumers chose to buy bottled water instead.

“They’re still buying something; they’re just buying something healthier,” John said of the consumers in the study.

Food-labeling research often lands at the intersection of politics and science. Christina Roberto, PhD, the director of the Psychology of Eating and Consumer Health (PEACH) Lab at the University of Pennsylvania’s Perelman School of Medicine, focuses her research on what she calls “strategic science,” which means that she collaborates with policymakers to develop research questions. For example, in 2018, the Philadelphia Department of Public Health approached Roberto for insights on what kind of label they could use to educate consumers about foods high in salt. Roberto and her colleagues tested a variety of label options for the department, including a saltshaker inside a triangle as required on New York City menus, and a traffic light option with red representing high-salt items. The saltshaker performed the worst in tests of consumer understanding of the symbols, while the traffic light was the clearest. Unfortunately, the traffic light was a legal no-go, Roberto said, because the interpretation of which items got the red light could easily be challenged by food companies in court.

The researchers were also able to show in their data that putting text that read “sodium warning” next to the saltshaker symbol significantly boosted consumer understanding of the label. “We basically said, ‘Look, if you have to compromise and you have to use the saltshaker triangle, at least get the words ‘sodium warning’ next to it,’” she said.

That labeling strategy went into effect in September 2019 in Philadelphia restaurant chains with 15 or more locations. Boosting the potential effectiveness of the warning was a win, Roberto said, because if Philadelphia had used New York’s symbol without changes, that symbol likely would have become the standard for any other cities or states planning to institute sodium warning labels. Now, she said, there is an existing label with a stronger evidence base that new cities can choose to adopt in the future.

Money matters

Consumer psychologists are also tackling big-picture issues in the realm of money management, an area of great interest since many Americans are in precarious financial positions. According to a Congressional Research Service report, unemployment was elevated throughout 2020, peaking at 14.8% in April ( Unemployment Rates During the COVID-19 Pandemic: In Brief, 2021 ). Savings rates rose sharply, however, hitting 33% of people’s disposable incomes that same month as Americans halted their spending. As of February 2021, the savings rate had declined to 13.6% ( Bureau of Economic Analysis , 2020 ).

Researchers tackle consumer spending and saving in multiple ways. One strategy is to study what types of spending make people happiest. On that front, the research is clear: Buying experiences generally makes people happier than buying stuff. Experiential consumption also seems to trigger a greater sense of gratitude than material consumption, and it can even make people more generous to others in lab-based economic games, according to research led by psychologist Jesse Walker, PhD, an assistant professor of marketing at The Ohio State University ( Emotion , Vol. 16, No. 8, 2016 ).

“This is kind of cool because it suggests that these social benefits of experiential consumption don’t just apply to the consumers themselves but to those around them as well,” said Amit Kumar, PhD, a psychologist and assistant professor of marketing at the University of Texas at Austin’s McCombs School of Business, who coauthored that research.

Experiential consumption seems to make people happier because it strengthens social ties, Kumar said. People tend to bond over conversations about their trips to Italy more than they do about that new furniture set they bought at Ikea. That’s an important thing to know when weighing how to spend your hard-earned money, Kumar said.

But there can be a dark side to the glow of experiential purchases. People are more willing to go into debt for experiential purchases than for material purchases, according to research by Eesha Sharma, PhD, an associate professor of business administration at Dartmouth’s Tuck School of Business ( Journal of Consumer Research , Vol. 44, No. 5, 2018 ). This seems to be because experiences are often time-dependent, Sharma said. If you decide to delay the purchase of a dining room table from July until December, it doesn’t feel like you’ve missed out on owning the table. If you delay your summer beach trip from July until December? Well, then you’ve missed summer vacation altogether.

In general, consumers tend to maintain positive illusions about their own money management, said Emily Garbinsky, PhD, a psychologist and assistant professor of marketing at the University of Notre Dame. Garbinsky is researching ways to “gently shatter” these illusions at the point at which people make savings decisions, perhaps during the use of banking apps. There is evidence from other research that software nudges can boost real-world savings. For example, a field experiment using TurboTax’s free edition led by Duke University professor of psychology and behavioral economics Dan Ariely, PhD, nudged low- and middle-income tax filers to save a portion of their tax refunds. Compared with a control group that received no messaging, the taxpayers who were presented a message about the importance of emergency savings and given choices of ways to save their refund increased deposits to their savings accounts by 50% ( Behavioral Science & Policy , Vol. 3, No. 2, 2017 ).

Garbinsky’s work also zeroes in on how emotions affect money management decisions. She and her colleagues have found, for example, that couples who share bank accounts are more likely to make utilitarian purchases than hedonic ones, in contrast with couples who keep separate bank accounts ( Journal of Consumer Psychology , Vol. 29, No. 3, 2019 ). These results held in both lab and field experiments, as well as in analyses of real banking transactions. Other research under review suggests that couples who pool finances may have more relationship satisfaction, though the findings are correlational.

Often, consumer researchers study single decisions, such as how much money people save or how much debt they’re willing to take on—but money decisions don’t occur in a vacuum, Sharma said. If you’re borrowing money to save more for retirement, for example, it might look beneficial from a savings perspective but disastrous from a debt perspective.

“It’s really important for future research to look at multiple financial decisions together,” she said. “Research that integrates multiple financial decisions, looks at trade-offs, looks at decisions over time, will lead to a more nuanced and better understanding of these choices.” 

Further reading

Communicating sustainability for the green economy Kahle, L. R., & Gurel-Atay, E. (Eds.), Routledge, 2014

How psychological insights can inform food policies to address unhealthy eating habits Roberto, C. A., American Psychologist , 2020

Sustainable consumer behavior Trudel, R., Consumer Psychology Review , 2019

The elusive green consumer White, K., et al., Harvard Business Review , July/August 2019

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A study on factors limiting online shopping behaviour of consumers

Rajagiri Management Journal

ISSN : 0972-9968

Article publication date: 4 March 2021

Issue publication date: 12 April 2021

This study aims to investigate consumer behaviour towards online shopping, which further examines various factors limiting consumers for online shopping behaviour. The purpose of the research was to find out the problems that consumers face during their shopping through online stores.

Design/methodology/approach

A quantitative research method was adopted for this research in which a survey was conducted among the users of online shopping sites.

As per the results total six factors came out from the study that restrains consumers to buy from online sites – fear of bank transaction and faith, traditional shopping more convenient than online shopping, reputation and services provided, experience, insecurity and insufficient product information and lack of trust.

Research limitations/implications

This study is beneficial for e-tailers involved in e-commerce activities that may be customer-to-customer or customer-to-the business. Managerial implications are suggested for improving marketing strategies for generating consumer trust in online shopping.

Originality/value

In contrast to previous research, this study aims to focus on identifying those factors that restrict consumers from online shopping.

  • Online shopping

Daroch, B. , Nagrath, G. and Gupta, A. (2021), "A study on factors limiting online shopping behaviour of consumers", Rajagiri Management Journal , Vol. 15 No. 1, pp. 39-52. https://doi.org/10.1108/RAMJ-07-2020-0038

Emerald Publishing Limited

Copyright © 2020, Bindia Daroch, Gitika Nagrath and Ashutosh Gupta.

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Introduction

Today, people are living in the digital environment. Earlier, internet was used as the source for information sharing, but now life is somewhat impossible without it. Everything is linked with the World Wide Web, whether it is business, social interaction or shopping. Moreover, the changed lifestyle of individuals has changed their way of doing things from traditional to the digital way in which shopping is also being shifted to online shopping.

Online shopping is the process of purchasing goods directly from a seller without any intermediary, or it can be referred to as the activity of buying and selling goods over the internet. Online shopping deals provide the customer with a variety of products and services, wherein customers can compare them with deals of other intermediaries also and choose one of the best deals for them ( Sivanesan, 2017 ).

As per Statista-The Statistics Portal, the digital population worldwide as of April 2020 is almost 4.57 billion people who are active internet users, and 3.81 billion are social media users. In terms of internet usage, China, India and the USA are ahead of all other countries ( Clement, 2020 ).

The number of consumers buying online and the amount of time people spend online has risen ( Monsuwe et al. , 2004 ). It has become more popular among customers to buy online, as it is handier and time-saving ( Huseynov and Yildirim, 2016 ; Mittal, 2013 ). Convenience, fun and quickness are the prominent factors that have increased the consumer’s interest in online shopping ( Lennon et al. , 2008 ). Moreover, busy lifestyles and long working hours also make online shopping a convenient and time-saving solution over traditional shopping. Consumers have the comfort of shopping from home, reduced traveling time and cost and easy payment ( Akroush and Al-Debei, 2015 ). Furthermore, price comparisons can be easily done while shopping through online mode ( Aziz and Wahid, 2018 ; Martin et al. , 2015 ). According to another study, the main influencing factors for online shopping are availability, low prices, promotions, comparisons, customer service, user friendly, time and variety to choose from ( Jadhav and Khanna, 2016 ). Moreover, website design and features also encourage shoppers to shop on a particular website that excite them to make the purchase.

Online retailers have started giving plenty of offers that have increased the online traffic to much extent. Regularly online giants like Amazon, Flipkart, AliExpress, etc. are advertising huge discounts and offers that are luring a large number of customers to shop from their websites. Companies like Nykaa, MakeMyTrip, Snapdeal, Jabong, etc. are offering attractive promotional deals that are enticing the customers.

Despite so many advantages, some customers may feel online shopping risky and not trustworthy. The research proposed that there is a strong relationship between trust and loyalty, and most often, customers trust brands far more than a retailer selling that brand ( Bilgihan, 2016 ; Chaturvedi et al. , 2016 ). In the case of online shopping, there is no face-to-face interaction between seller and buyer, which makes it non-socialize, and the buyer is sometimes unable to develop the trust ( George et al. , 2015 ). Trust in the e-commerce retailer is crucial to convert potential customer to actual customer. However, the internet provides unlimited products and services, but along with those unlimited services, there is perceived risk in digital shopping such as mobile application shopping, catalogue or mail order ( Tsiakis, 2012 ; Forsythe et al. , 2006 ; Aziz and Wahid, 2018 ).

Literature review

A marketer has to look for different approaches to sell their products and in the current scenario, e-commerce has become the popular way of selling the goods. Whether it is durable or non-durable, everything is available from A to Z on websites. Some websites are specifically designed for specific product categories only, and some are selling everything.

The prominent factors like detailed information, comfort and relaxed shopping, less time consumption and easy price comparison influence consumers towards online shopping ( Agift et al. , 2014 ). Furthermore, factors like variety, quick service and discounted prices, feedback from previous customers make customers prefer online shopping over traditional shopping ( Jayasubramanian et al. , 2015 ). It is more preferred by youth, as during festival and holiday season online retailers give ample offers and discounts, which increases the online traffic to a great extent ( Karthikeyan, 2016 ). Moreover, services like free shipping, cash on delivery, exchange and returns are also luring customers towards online purchases.

More and more people are preferring online shopping over traditional shopping because of their ease and comfort. A customer may have both positive and negative experiences while using an online medium for their purchase. Some of the past studies have shown that although there are so many benefits still some customers do not prefer online as their basic medium of shopping.

While making online purchase, customers cannot see, touch, feel, smell or try the products that they want to purchase ( Katawetawaraks and Wang, 2011 ; Al-Debei et al. , 2015 ), due to which product is difficult to examine, and it becomes hard for customers to make purchase decision. In addition, some products are required to be tried like apparels and shoes, but in case of online shopping, it is not possible to examine and feel the goods and assess its quality before making a purchase due to which customers are hesitant to buy ( Katawetawaraks and Wang, 2011 ; Comegys et al. , 2009 ). Alam and Elaasi (2016) in their study found product quality is the main factor, which worries consumer to make online purchase. Moreover, some customers have reported fake products and imitated items in their delivered orders ( Jun and Jaafar, 2011 ). A low quality of merchandise never generates consumer trust on online vendor. A consumer’s lack of trust on the online vendor is the most common reason to avoid e-commerce transactions ( Lee and Turban, 2001 ). Fear of online theft and non-reliability is another reason to escape from online shopping ( Karthikeyan, 2016 ). Likewise, there is a risk of incorrect information on the website, which may lead to a wrong purchase, or in some cases, the information is incomplete for the customer to make a purchase decision ( Liu and Guo, 2008 ). Moreover, in some cases, the return and exchange policies are also not clear on the website. According to Wei et al. (2010) , the reliability and credibility of e-retailer have direct impact on consumer decision with regards to online shopping.

Limbu et al. (2011) revealed that when it comes to online retailers, some websites provide very little information about their companies and sellers, due to which consumers feel insecure to purchase from these sites. According to other research, consumers are hesitant, due to scams and feel anxious to share their personal information with online vendors ( Miyazaki and Fernandez, 2001 ; Limbu et al. , 2011 ). Online buyers expect websites to provide secure payment and maintain privacy. Consumers avoid online purchases because of the various risks involved with it and do not find internet shopping secured ( Cheung and Lee, 2003 ; George et al. , 2015 ; Banerjee et al. , 2010 ). Consumers perceive the internet as an unsecured channel to share their personal information like emails, phone and mailing address, debit card or credit card numbers, etc. because of the possibility of misuse of that information by other vendors or any other person ( Lim and Yazdanifard, 2014 ; Kumar, 2016 ; Alam and Yasin, 2010 ; Nazir et al. , 2012 ). Some sites make it vital and important to share personal details of shoppers before shopping, due to which people abandon their shopping carts (Yazdanifard and Godwin, 2011). About 75% of online shoppers leave their shopping carts before they make their final decision to purchase or sometimes just before making the payments ( Cho et al. , 2006 ; Gong et al. , 2013 ).

Moreover, some of the customers who have used online shopping confronted with issues like damaged products and fake deliveries, delivery problems or products not received ( Karthikeyan, 2016 ; Kuriachan, 2014 ). Sometimes consumers face problems while making the return or exchange the product that they have purchased from online vendors ( Liang and Lai, 2002 ), as some sites gave an option of picking from where it was delivered, but some online retailers do not give such services to consumer and consumer him/herself has to courier the product for return or exchange, which becomes inopportune. Furthermore, shoppers had also faced issues with unnecessary delays ( Muthumani et al. , 2017 ). Sometimes, slow websites, improper navigations or fear of viruses may drop the customer’s willingness to purchase from online stores ( Katawetawaraks and Wang, 2011 ). As per an empirical study done by Liang and Lai (2002) , design of the e-store or website navigation has an impact on the purchase decision of the consumer. An online shopping experience that a consumer may have and consumer skills that consumers may use while purchasing such as website knowledge, product knowledge or functioning of online shopping influences consumer behaviour ( Laudon and Traver, 2009 ).

From the various findings and viewpoints of the previous researchers, the present study identifies the complications online shoppers face during online transactions, as shown in Figure 1 . Consumers do not have faith, and there is lack of confidence on online retailers due to incomplete information on website related to product and service, which they wish to purchase. Buyers are hesitant due to fear of online theft of their personal and financial information, which makes them feel there will be insecure transaction and uncertain errors may occur while making online payment. Some shoppers are reluctant due to the little internet knowledge. Furthermore, as per the study done by Nikhashem et al. (2011), consumers unwilling to use internet for their shopping prefer traditional mode of shopping, as it gives roaming experience and involves outgoing activity.

Several studies have been conducted earlier that identify the factors influencing consumer towards online shopping but few have concluded the factors that restricts the consumers from online shopping. The current study is concerned with the factors that may lead to hesitation by the customer to purchase from e-retailers. This knowledge will be useful for online retailers to develop customer driven strategies and to add more value product and services and further will change their ways of promoting and advertising the goods and enhance services for customers.

Research methodology

This study aimed to find out the problems that are generally faced by a customer during online purchase and the relevant factors due to which customers do not prefer online shopping. Descriptive research design has been used for the study. Descriptive research studies are those that are concerned with describing the characteristics of a particular individual or group. This study targets the population drawn from customers who have purchased from online stores. Most of the respondents participated were post graduate students and and educators. The total population size was indefinite and the sample size used for the study was 158. A total of 170 questionnaires were distributed among various online users, out of which 12 questionnaires were received with incomplete responses and were excluded from the analysis. The respondents were selected based on the convenient sampling technique. The primary data were collected from Surveys with the help of self-administered questionnaires. The close-ended questionnaire was used for data collection so as to reduce the non-response rate and errors. The questionnaire consists of two different sections, in which the first section consists of the introductory questions that gives the details of socio-economic profile of the consumers as well as their behaviour towards usage of internet, time spent on the Web, shopping sites preferred while making the purchase, and the second section consist of the questions related to the research question. To investigate the factors restraining consumer purchase, five-point Likert scale with response ranges from “Strongly agree” to “Strongly disagree”, with following equivalencies, “strongly disagree” = 1, “disagree” = 2, “neutral” = 3, “agree” = 4 and “strongly agree” = 5 was used in the questionnaire with total of 28 items. After collecting the data, it was manually recorded on the Excel sheet. For analysis socio-economic profile descriptive statistics was used and factors analysis was performed on SPSS for factor reduction.

Data analysis and interpretation

The primary data collected from the questionnaires was completely quantified and analysed by using Statistical Package for Social Science (SPSS) version 20. This statistical program enables accuracy and makes it relatively easy to interpret data. A descriptive and inferential analysis was performed. Table 1 represents the results of socio-economic status of the respondents along with some introductory questions related to usage of internet, shopping sites used by the respondents, amount of money spent by the respondents and products mostly purchased through online shopping sites.

According to the results, most (68.4%) of the respondents were belonging to the age between 21 and 30 years followed by respondents who were below the age of 20 years (16.4%) and the elderly people above 50 were very few (2.6%) only. Most of the respondents who participated in the study were females (65.8)% who shop online as compared to males (34.2%). The respondents who participated in the study were students (71.5%), and some of them were private as well as government employees. As per the results, most (50.5%) of the people having income below INR15,000 per month who spend on e-commerce websites. The results also showed that most of the respondents (30.9%) spent less than 5 h per week on internet, but up to (30.3%) spend 6–10 h per week on internet either on online shopping or social media. Majority (97.5%) of them have shopped through online websites and had both positive and negative experiences, whereas 38% of the people shopped 2–5 times and 36.7% shopped more than ten times. Very few people (12%), shopped only once. Most of the respondents spent between INR1,000–INR5,000 for online shopping, and few have spent more than INR5,000 also.

As per the results, the most visited online shopping sites was amazon.com (71.5%), followed by flipkart.com (53.2%). Few respondents have also visited other e-commerce sites like eBay, makemytrip.com and myntra.com. Most (46.2%) of the time people purchase apparels followed by electronics and daily need items from the ecommerce platform. Some of the respondents have purchased books as well as cosmetics, and some were preferring online sites for travel tickets, movie tickets, hotel bookings and payments also.

Factor analysis

To explore the factors that restrict consumers from using e-commerce websites factor analysis was done, as shown in Table 3 . A total of 28 items were used to find out the factors that may restrain consumers to buy from online shopping sites, and the results were six factors. The Kaiser–Meyer–Olkin (KMO) measure, as shown in Table 2 , in this study was 0.862 (>0.60), which states that values are adequate, and factor analysis can be proceeded. The Bartlett’s test of sphericity is related to the significance of the study and the significant value is 0.000 (<0.05) as shown in Table 2 .

The analysis produced six factors with eigenvalue more than 1, and factor loadings that exceeded 0.30. Moreover, reliability test of the scale was performed through Cronbach’s α test. The range of Cronbach’s α test came out to be between 0.747 and 0.825, as shown in Table 3 , which means ( α > 0.7) the high level of internal consistency of the items used in survey ( Table 4 ).

Factor 1 – The results revealed that the “fear of bank transaction and faith” was the most significant factor, with 29.431% of the total variance and higher eigenvalue, i.e. 8.241. The six statements loaded on Factor 1 highly correlate with each other. The analysis shows that some people do not prefer online shopping because they are scared to pay online through credit or debit cards, and they do not have faith over online vendors.

Factor 2 – “Traditional shopping is convenient than online shopping” has emerged as a second factor which explicates 9.958% of total variance. It has five statements and clearly specifies that most of the people prefer traditional shopping than online shopping because online shopping is complex and time-consuming.

Factor 3 – Third crucial factor emerged in the factor analysis was “reputation and service provided”. It was found that 7.013% of variations described for the factor. Five statements have been found on this factor, all of which were interlinked. It clearly depicts that people only buy from reputed online stores after comparing prices and who provide guarantee or warrantee on goods.

Factor 4 – “Experience” was another vital factor, with 4.640% of the total variance. It has three statements that clearly specifies that people do not go for online shopping due to lack of knowledge and their past experience was not good and some online stores do not provide EMI facilities.

Factor 5 – Fifth important factor arisen in the factor analysis was “Insecurity and Insufficient Product Information” with 4.251% of the total variance, and it has laden five statements, which were closely intertwined. This factor explored that online shopping is not secure as traditional shopping. The information of products provided on online stores is not sufficient to make the buying decision.

Factor 6 – “Lack of trust” occurred as the last factor of the study, which clarifies 3.920% of the total variance. It has four statements that clearly state that some people hesitate to give their personal information, as they believe online shopping is risky than traditional shopping. Without touching the product, people hesitate to shop from online stores.

The study aimed to determine the problems faced by consumers during online purchase. The result showed that most of the respondents have both positive and negative experience while shopping online. There were many problems or issues that consumer’s face while using e-commerce platform. Total six factors came out from the study that limits consumers to buy from online sites like fear of bank transaction and no faith, traditional shopping more convenient than online shopping, reputation and services provided, experience, insecurity and insufficient product information and lack of trust.

The research might be useful for the e-tailers to plan out future strategies so as to serve customer as per their needs and generate customer loyalty. As per the investigation done by Casalo et al. (2008) , there is strong relationship between reputation and satisfaction, which further is linked to customer loyalty. If the online retailer has built his brand name, or image of the company, the customer is more likely to prefer that retailer as compared to new entrant. The online retailer that seeks less information from customers are more preferred as compared to those require complete personal information ( Lawler, 2003 ).

Online retailers can adopt various strategies to persuade those who hesitate to shop online such that retailer need to find those negative aspects to solve the problems of customers so that non-online shopper or irregular online consumer may become regular customer. An online vendor has to pay attention to product quality, variety, design and brands they are offering. Firstly, the retailer must enhance product quality so as to generate consumer trust. For this, they can provide complete seller information and history of the seller, which will preferably enhance consumer trust towards that seller.

Furthermore, they can adopt marketing strategies such as user-friendly and secure website, which can enhance customers’ shopping experience and easy product search and proper navigation system on website. Moreover, complete product and service information such as feature and usage information, description and dimensions of items can help consumer decide which product to purchase. The experience can be enhanced by adding more pictures, product videos and three-dimensional (3D), images which will further help consumer in the decision-making process. Moreover, user-friendly payment systems like cash on deliveries, return and exchange facilities as per customer needs, fast and speedy deliveries, etc. ( Chaturvedi et al. , 2016 ; Muthumani et al. , 2017 ) will also enhance the probability of purchase from e-commerce platform. Customers are concerned about not sharing their financial details on any website ( Roman, 2007 ; Limbu et al. , 2011 ). Online retailers can ensure payment security by offering numerous payment options such as cash on delivery, delivery after inspection, Google Pay or Paytm or other payment gateways, etc. so as to increase consumer trust towards website, and customer will not hesitate for financial transaction during shopping. Customers can trust any website depending upon its privacy policy, so retailers can provide customers with transparent security policy, privacy policy and secure transaction server so that customers will not feel anxious while making online payments ( Pan and Zinkhan, 2006 ). Moreover, customers not only purchase basic goods from the online stores but also heed augmented level of goods. Therefore, if vendors can provide quick and necessary support, answer all their queries within 24-hour service availability, customers may find it convenient to buy from those websites ( Martin et al. , 2015 ). Sellers must ensure to provide products and services that are suitable for internet. Retailers can consider risk lessening strategies such as easy return and exchange policies to influence consumers ( Bianchi and Andrews, 2012 ). Furthermore, sellers can offer after-sales services as given by traditional shoppers to attract more customers and generate unique shopping experience.

Although nowadays, most of the vendors do give plenty of offers in form of discounts, gifts and cashbacks, but most of them are as per the needs of e-retailers and not customers. Beside this, trust needs to be generated in the customer’s mind, which can be done by modifying privacy and security policies. By adopting such practices, the marketer can generate customers’ interest towards online shopping.

Conceptual framework of the study

Socioeconomic status of respondents

Variables Frequency (%)
Gender Male 100 34.2
Female 52 65.8
Age
Below 20 25 16.4
21–30 104 68.4
31–40 15 9.9
41–50 4 2.6
Above 50 4 2.6
Occupation
Government employee 2 1.3
Private employee 23 15.2
Self employed 14 9.3
Student 108 71.5
Other 4 2.6
Income (per month)
Less than 15,000 53 50.5
15,001–30,000 17 16.2
30,001–60,000 23 21.9
Above 60,000 12 11.4
Hours spent by respondents on the internet per week
Less than 5 h 47 30.9
6–10 h 46 30.3
11–15 h 22 14.5
More than 15 h 37 24.3
No. of times respondents shopped online
Once 19 12
2–5 times 60 38
6–10 times 21 13.3
More than 10 19 36.7
Highest amount spent by respondents on online shopping
Less than INR500 9 5.7
INR500–INR1,000 38 24.1
INR1,000–INR5,000 69 43.7
More than INR5,000 42 26.6
E-commerce sites mostly preferred
Flipkart 84 53.2
eBay 14 8.9
Amazon 113 71.5
MakeMyTrip 20 12.7
Other 23 14.6
Products purchased by respondents
Daily need items 52 32.9
Apparels 73 46.2
Travel tickets 29 18.4
Movie tickets 46 29.1
Books 34 21.5
Electronics 68 43
Other 10 6.3

KMO and Bartlett’s test

KMO measure of sampling adequacy 0.862
Bartlett’s test of sphericity Approximate 1,812.156
df 378
Sig 0.000

Cronbach’s α

Research variables Cronbach’s
Fear of bank transaction and no faith 0.747
Traditional shopping is convenient than online shopping 0.797
Reputation and service provided 0.825
Bad experience 0.816
Insecurity and insufficient product information 0.784
Lack of trust 0.760
Factors Name of the factor Statements Eigenvalue % of variance Loadings
1 Fear of bank transaction and faith − The fact that only those with a credit card or bank account can shop on the internet is a drawback 29.431 0.789
−While shopping online, I hesitate to give my credit card number 0.642
−I do not prefer online shopping because of lack of trust over vendors 8.241 0.601
−I do not prefer to buy online because of bad returning policy 0.580
−The fear of wrong product delivery stops me to buy through online 0.552
−I do not prefer to purchase from online stores if they do not provide cash on delivery facilities 0.394
2 Traditional shopping is convenient than online shopping − I think shopping on the internet takes lot of time 2.788 9.958 0.713
−Online shopping is complex as compared to traditional shopping 0.706
−It is more difficult to shop on the internet 0.698
−I believe online shopping cannot overtake the traditional shopping 0.658
−I prefer traditional shopping than online shopping 0.614
3 Reputation and service provided −I prefer to purchase from reputed online websites 1.964 7.013 0.775
−I generally prefer to buy after comparing prices with all other websites 0.732
−I prefer to purchase online if website is secure and genuine 0.726
−I prefer those websites only that deliver the goods as soon as possible 0.638
−If there is no guarantee and warrantee of the product, I will never prefer to buy through online stores 0.550
4 Experience −I do not prefer to purchase from online stores if they do not provide every month instalment (EMI) facilities 1.299 4.640 0.776
−I hesitate to shop online because my past experience was not good 0.663
−I do not prefer to buy online because of little knowledge of internet 0.606
5 Insecurity and insufficient product information −I will not prefer online shopping if the description of products shown on the online websites are not accurate 1.190 4.251 0.665
−I will not prefer online shopping if online prices are high 0.614
−The information given about the products and services on the internet is not sufficient to make purchase 0.548
−If variety of goods available on the online stores are less, I will not prefer online shopping 0.539
−Online shopping is not secure as traditional shopping 0.416
6 Lack of trust − I hesitate to give my personal information on online websites 1.098 3.920 0.552
−Without touching products, it is difficult to make buying decision 0.521
−Shopping online is risky 0.511
−I would be frustrated about what to do if I am dissatisfied with a purchase made from the internet 0.488

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Lim , P.L. and Yazdanifard , R. ( 2014 ), “ Does gender play a role in online consumer behavior? ”, Global Journal of Management and Business Research , Vol. 14 No. 7 , pp. 48 - 56 , available at: https://journalofbusiness.org/index.php/GJMBR/article/view/1570

Limbu , Y.B. , Wolf , M. and Lunsford , D.L. ( 2011 ), “ Consumers’ perceptions of online ethics and its effects on satisfaction and loyalty ”, Journal of Research in Interactive Marketing , Vol. 5 No. 1 , pp. 71 - 89 , doi: 10.1108/17505931111121534 .

Liu , C. and Guo , Y. ( 2008 ), “ Validating the end-user computing satisfaction instrument for online shopping systems ”, Journal of Organizational and End User Computing , Vol. 20 No. 4 , pp. 74 - 96 , available at: www.igi-global.com/article/journal-organizational-end-user-computing/3849

Martin , J. , Mortimer , G. and Andrews , L. ( 2015 ), “ Re-examining online customer experience to include purchase frequency and perceived risk ”, Journal of Retailing and Consumer Services , Vol. 25 , pp. 81 - 95 , doi: 10.1016/j.jretconser.2015.03.008 .

Mittal , A. ( 2013 ), “ E-commerce: it’s impact on consumer behavior ”, Global Journal of Management and Business Studies , Vol. 3 No. 2 , pp. 131 - 138 , available at: www.ripublication.com/gjmbs_spl/gjmbsv3n2spl_09.pdf

Miyazaki , A.D. and Fernandez , A. ( 2001 ), “ Consumer perceptions of privacy and security risks for online shopping ”, Journal of Consumer Affairs , Vol. 35 No. 1 , pp. 27 - 44 , doi: 10.1111/j.1745-6606.2001.tb00101.x .

Monsuwe , T.P.Y. , Dellaert , B.G.C. and Ruyter , K.D. ( 2004 ), “ What drives consumers to shop online? A literature review ”, International Journal of Service Industry Management , Vol. 15 No. 1 , pp. 102 - 121 , doi: 10.1108/09564230410523358 .

Muthumani , A. , Lavanya , V. and Mahalakshmi , R. ( 2017 ), “ Problems faced by customers on online shopping in Virudhunagar district ”, International Journal of Science Technology and Management (IJSTM) , Vol. 6 No. 2 , pp. 152 - 159 , available at: www.ijstm.com/images/short_pdf/1486214600_S184_IJSTM.pdf .

Nazir , S. , Tayyab , A. , Sajid , A. , Ur Rashid , H. and Javed , I. ( 2012 ), “ How online shopping is affecting consumers buying behavior in Pakistan? ”, International Journal of Computer Science Issues (IJCSI) , Vol. 9 No. 3 , p. 486 .

Nikhashem , S.R. , Yasmin , F. , Haque , A. and Khatibi , A. ( 2011 ), “ Study on customer perception towards online-ticketing in Malaysia ”, In Proceedings For 2011 International Research Conference and Colloquium , Vol. 1 , No. 1 , pp. 320 - 338 .

Pan , Y. and Zinkhan , G.M. ( 2006 ), “ Exploring the impact of online privacy disclosures on consumer trust ”, Journal of Retailing , Vol. 82 No. 4 , pp. 331 - 338 , doi: 10.1016/j.jretai.2006.08.006 .

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Sivanesan ( 2017 ), “ A study on problems faced by customers in online shopping with special reference to Kanyakumari district ”, International Journal of Research in Management and Business Studies , Vol. 4 No. 3 , pp. 22 - 25 , available at: http://ijrmbs.com/vol4issue3SPL1/sivanesan.pdf

Tsiakis , T. ( 2012 ), “ Consumers’ issues and concerns of perceived risk of information security in online framework. The marketing strategies ”, Procedia – Social and Behavioral Sciences , Vol. 62 No. 24 , pp. 1265 - 1270 , doi: 10.1016/j.sbspro.2012.09.216 .

Wei , L.H. , Osman , M.A. , Zakaria , N. and Bo , T. ( 2010 ), “ Adoption of e-commerce online shopping in Malaysia ”, In 2010 IEEE 7th International Conference on E-Business Engineering , IEEE , pp. 140 - 143 .

Yazdanifard , R. and Godwin , N.W. ( 2011 ), “ Challenges faced by customers: Highlighting E-shopping problems ”, Paper presented at international Conference on Economics, Business and Marketing Management (CEBMM 2011) , Shanghai, China , available at: http://www.researchgate.net/profile/Assc_Prof_Dr_Rashad_Yazdanifard/publication/268507745_Challenges_faced_by_customers_Highlighting_E-shopping_problems/links/546d4ade0cf26e95bc3cb0a1/Challenges-faced-by-customers-Highlighting-E-shopping-problems.pdf ( accessed 20 March 2020 ).

Further reading

Grabner-Kräuter , S. and Kaluscha , E.A. ( 2003 ), “ Empirical research in on-line trust: a review and critical assessment ”, International Journal of Human-Computer Studies , Vol. 58 No. 6 , pp. 783 - 812 .

Nurfajrinah , M.A. , Nurhadi , Z.F. and Ramdhani , M.A. ( 2017 ), “ Meaning of online shopping for indie model ”, The Social Sciences , Vol. 12 No. 4 , pp. 737 - 742 , available at: https://medwelljournals.com/abstract/?doi=sscience.2017.737.742

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3.2 Factors That Influence Consumer Buying Behavior

Learning outcomes.

By the end of this section, you will be able to:

  • 1 List and describe the cultural factors that influence consumer buying behavior.
  • 2 Explain the social factors that impact consumer buying behavior.
  • 3 Discuss the personal factors that influence consumer buying behavior.
  • 4 Describe the psychological factors that influence consumer buying behavior.
  • 5 Explain situational factors that impact consumer buying behavior.

Cultural Factors That Influence Consumer Buying Behavior

Why people buy isn’t always a straightforward question. Think about the last time you bought a car, a bike, or other item. Why did you buy that specific make and model? Was it because its sleek style made you feel good about yourself? Perhaps you bought a particular brand because someone in your family bought the same brand. These are just a couple of examples of some of the factors that influence consumer buying behavior. Let’s examine some others.

Cultural factors comprise a set of values or ideologies of a particular community or group of individuals. These can include culture, subcultures, social class, and gender as outlined in Figure 3.4 .

Culture refers to the values, ideas, and attitudes that are learned and shared among members of a group. Human behavior is largely learned. When you were a child, you learned basic values, perceptions, wants, and behaviors from your family and other external influences like the schools and churches you attended. Consider how these values and attitudes have shaped your buying behavior. For example, in a traditional Hindu wedding in India, a bride may wear red lehenga to the wedding, whereas Christian brides typically wear white. In India, widows are expected to wear white, whereas widows in the United States and other parts of the world generally wear more somber colors to a funeral. 2

A subculture is a group of people, such as environmentalists or bodybuilders, who share a set of values. Ethnic and racial groups share the language, food, and culture of their heritage. Other subcultures, like the biker culture, which revolves around a dedication to motorcycles, are united by shared experiences. The Amish subculture is known for its conservative beliefs and reluctance to adapt to modern technology. Think about what subculture(s) you may belong to and how they influence your buying behavior. For example, hip-hop music has long been associated with fashion, particularly sneakers. Run DMC’s 1986 hit “My Adidas” led to the first endorsement deal between a fashion brand and a musical act, setting the stage for lucrative partnerships spanning the decades since—Master P with Converse , Jay-Z and 50 Cent with Reebok , Missy Elliott and Big Sean with Adidas , and Drake with Nike .

Link to Learning

Failures and inspirations.

Cultural factors play a major role in determining how best to market to consumers. There are numerous examples of company efforts that failed because they did not reflect an understanding of the culture in a particular market. Watch this CNBC video on why Starbucks failed in Australia and read this article about how Coca-Cola and PepsiCo failed when they first moved into the Chinese market.

Also check out this CNBC video about why 7-Eleven failed in Indonesia.

Failures are always important because they come with learned knowledge, and if you understand the WHY behind the failure, the learning can lead to shifts in strategy and possible success. Read the inspiring story behind Run DMC ’s revolutionary market deal with Adidas and how it opened the door for current artists like 50 Cent, Jay-Z, and Puffy.

For more success stories, check out these videos about numerous companies that got it right . Examples include stories from Rihanna’s Fenty beauty line, Adobe ’s “When I See Black” ad, Bumble ’s “Find Me on Bumble” campaign, and many more!

Your social class is also an important influence on your buying behavior. Sociologists base definitions of social class on several different factors, including income, occupation, and education. While there is disagreement on the number of social classes defined by income in the United States, many sociologists suggest five social classes: upper class, upper-middle class, lower-middle class, working class, and the economically disadvantaged. 3 Income is largely defined by disposable income (the money you have left to spend or save after taxes are deducted), but its influence goes beyond just dollars, euros, yen, etc. For example, a lower-middle-class individual might focus primarily on price when considering a product, whereas an upper-middle-class person might consider product quality and features before price. However, you also can be influenced by a social class to which you don’t belong but by which you want to be accepted. Have you ever spent money you really didn’t have on brand name running shoes or a designer purse because that’s what your friends have?

Finally, your gender plays an important role in your buying behavior. People of different genders not only want different products as a result of their upbringing and socialization, but they approach shopping itself with different motives, perspectives, and considerations. While it’s always dangerous to stereotype, those who identify as male typically follow a utilitarian, more logic-based approach when shopping. They want a quick, effortless shopping experience. Those who identify as female, on the other hand, make decisions on a more emotional level. Zappos considers these different motives and provides different layouts on their landing pages for different genders. While the “male” version focuses on providing clear navigation by product categories, the “female” version aims to sell on emotion. 4

Behind the Gender Differences

Gender differences lead to different buying behaviors. Read this article about one such example, Birchbox , a hair care and skin care subscription service. For even more information, check out this article about the reasons for the differences , which include purpose, experience, brain make-up, and more. Interesting reads!

You can also watch this Gaby Barrios TED Talk. Barrios is a marketing expert who speaks about how targeting consumers based on gender is bad for business.

This humorous video from The Checkout, a TV show about consumer affairs, discusses gender marketing packaging decisions and their impact on your wallet.

Another video about fashion brands focuses on how their parent companies leverage gender strategies.

Careers In Marketing

Women in marketing.

Let’s look at gender from another angle—women advancing in marketing. Part of a series about jobs in marketing , this article examines equity in the world of marketing. Findings include data on gender balance and inequality, and guidance on ways to improve.

For an inspirational moment, be sure to read these heartwarming stories about six mothers of great marketers .

Social Factors That Influence Consumer Buying Behavior

Social factors are those factors that are prevalent in the society where the consumer lives. Every society is composed of individuals who have different preferences and behaviors, and these individuals influence the personal preferences of others in the society. Humans are social individuals, and the influences of people’s family, reference groups, and roles and status (refer to Figure 3.5 ) have a huge impact on their buying behavior.

Let’s first consider the influence of family . It is generally believed that most people pass through two families: a family of orientation (i.e., the family to which you were born or with whom you grew up) and a family of procreation (the family formed through marriage or cohabitation, including your spouse, partner, and/or children). Consider first the family of orientation. When you were growing up, whether or not you recognized it, you likely developed some degree of buying behavior through watching adult members of your household and probably tend to buy the same products or services as you grow older. Was your father a die-hard Chevy driver? If so, the chances are good that you’ll probably at least consider buying a Chevy, too. Now consider the influence that your spouse, partner, and/or children have on your buying behavior. You may want that Chevy pickup because that’s what your father drove, but your spouse or partner may subtly (or perhaps not so subtly) sway you toward a Chevy crossover SUV because it’s more practical with kids to transport to school, sports, and other activities.

Reference groups are those groups with which you like to be associated. These can be formal groups, such as members of a country club, church, or professional group, or informal groups of friends or acquaintances. These groups serve as role models and inspirations, and they influence what types of products you buy and which brands you choose. Reference groups are characterized by having opinion leaders—people who influence others. These opinion leaders aren’t necessarily higher-income or better educated, but others view them as having more expertise in a particular area. For example, a teenage girl may look to the opinion leader in her reference group of friends for fashion guidance, or a college student might aspire to getting an advanced degree from the same university as an admired professor. Social media influencers also play a role here. Consider the influence that celebrities like Kendall Jenner (with more than 217 million Instagram followers) 5 or Leo Messi (with over 310 million Instagram followers) 6 have on individuals.

All people assume different roles and status depending upon the groups, clubs, family, or organizations to which they belong. For example, a working mother who is taking classes at the local community college assumes three roles at varying times—that of an employee, a mother, and a student. Her buying decisions will be influenced by each of these roles at different times. When she is shopping for clothing, her purchases may be influenced by any or all of these roles—professional attire for the office, casual clothes for classes, or yoga pants for home.

Personal Factors That Impact Consumer Buying Behavior

Personal factors, such as your occupation, age and life cycle stage, economic situation, lifestyle, and personality and self-concept also play a major role in your buying behavior (refer to Figure 3.6 ). Let’s examine each of these in more detail.

Age is a major factor that influences buying behavior because consumer needs and wants change with age. Your buying habits as a teenager or twentysomething are likely to be vastly different from your buying habits in middle age and beyond. Consider the four generational cohorts currently comprising the consumer market:

  • Baby boomers (born between 1946 and 1964) are currently in their 60s and 70s. This generational cohort is approximately 70 million people strong in the United States and accounts for $2.6 trillion in buying power, 7 so you can imagine its impact on the consumer market. What types of products would you expect baby boomers to buy? Key categories for this group of buyers include pharmacy and health care products, household goods and appliances, wine, books (both digital and physical), cosmetics, and skin care products. 8
  • Generation X (born between 1965 and 1979/80) are currently in their 40s and 50s. This cohort is approximately 65 million strong 9 and generally has more spending power than younger generational cohorts because they’re at or reaching the peak of their careers, and many Gen Xers are dual-income families. 10 This makes them an optimal target for higher-end brands and convenience-related goods, like made-to-order or prepared meals from the grocery store.
  • Generation Y , also known as Millennials , (born between 1981 and 1994/96) are currently in their 20s and 30s. This cohort is the largest generation group in the United States, with an estimated population of 72 million. 11 One interesting aspect of Millennial buying is that they shop sustainably. They shop for brands that produce items with natural ingredients and ethical production lines and sustainable goods in every sector, such as food, household cleaning products, linens, and clothes. 12
  • Generation Z , also known as Zoomers , (born between 1997 and 2012) are currently in their teens to early 20s, and they are just starting to have an economic impact on the consumer market. Although over 67 million strong, 13 many Zoomers are still in school and living with their parents, and their discretionary spending is limited.

Marketing in Practice

Marketing to the ages.

Knowing how to speak to your target market is critical. Knowing how to frame your message to a Baby Boomer versus a Gen Xer is what makes marketers successful. Want to know how to speak to each group? Check out these articles about marketing to different age demographics and generational marketing .

Learn from real-world examples of how age-agnostic marketing can work.

Have you ever seen a commercial or advertisement that pulls on your heartstrings because it gets you reminiscing? Nostalgia is an impactful tool in marketing because it gives a feeling of meaning and comfort. Check out this online blog to learn more about the impact of nostalgia in marketing.

Likewise, your life cycle stage has a major influence on your buying habits. Consider the different buying choices you would make as a single person who is renting an apartment in an urban area versus the choices you would make as a homeowner in the suburbs with children. It should be noted, though, that age and life cycle stage can often be poor predictors of buying behavior. For example, some 40-year-olds are just starting their families, while others are sending their kids off to college. Still other 40-year-olds are single (or single again). Some 70-year-olds may fit the stereotype of a retired person with a fixed income; others are still active or perhaps still working, with plenty of disposable income.

Your economic situation (income) is a huge influence on your buying behavior. Higher income typically means higher disposable income, and that disposable income gives consumers more opportunity to spend on high-end products. Conversely, lower-income and middle-income consumers spend most of their income on basic needs such as groceries and clothing.

Your occupation is also a significant factor in your buying behavior because you tend to purchase things that are appropriate to your profession. For instance, a blue-collar worker is less likely to buy professional attire like business suits, whereas attorneys, accountants, and other white-collar workers may favor suits or business casual work clothes. There are even companies that specialize in work clothes for certain types of workers, such as health care professionals who buy scrubs or construction workers who buy steel-toed boots.

Your lifestyle reflects your attitudes and values. What do you consider to be your lifestyle? Do you strive to live an active, healthy lifestyle? If so, your purchasing decisions may focus on healthier food alternatives instead of fast food. Do you consider yourself to be a soccer parent? You may (perhaps reluctantly) forgo that sports car for a minivan in order to transport your kids to youth sporting events or other activities.

Your personality and self-concept are also important factors influencing your buying behavior. Personality is the characteristic patterns of thoughts, feelings, and behaviors that make a person unique. It’s believed that personality arises from within the individual and remains fairly consistent throughout life. 14 Some examples of the many personality traits people might have include things like self-confidence, individualism, extroversion, introversion, aggression, or competitiveness. Your personality greatly influences what you buy as well as when and how you use or consume products and services.

Perhaps even more importantly, as consumers, people tend to buy not only products they need but also those products or services that they perceive as being consistent with their “self-concept.” In other words, they generally want the products they buy to match or blend in with who they think they are. 15

Psychological Factors That Influence Consumer Buying Behavior

Your buying choices are further influenced by several major psychological factors, including motivation, perception, learning, feelings, beliefs, and attitudes (refer to Figure 3.7 ).

Let’s first consider how motivation affects your buying behavior. Motivation is the process that initiates, guides, and maintains goal-oriented behaviors. It’s the driving force behind your actions. One of the most widely known motivation theories is Maslow’s hierarchy of needs (see Figure 3.8 ).

Abraham Maslow asserted that all individuals have five needs, arranged from the most basic lower-level deficiency needs to the highest-level growth needs. As Figure 3.8 shows, physiological needs are at the most basic level and include things like adequate food, water, and shelter. Think about how marketers may try to appeal to consumers based on physiological needs. For example, Snickers ran a very successful ad campaign based on the slogan “You’re not you when you’re hungry.”

The second level is safety and security, the need to be safe from physical and psychological harm. Once again, consider just a few successful marketing campaigns that have focused on safety—“You’re in Good Hands with Allstate ” and Lysol ’s “Practice Healthy Habits” campaign with its tagline “What It Takes to Protect.”

The third level is belonging, or social needs. This level includes things like the need for emotional attachments, friendship, love, or belonging to community or church groups.

Esteem, the fourth level, includes such needs as recognition from others, taking pride in your education or work, awards, and/or prestige.

The highest level is self-actualization, which involves self-development and seeking challenges. For example, Nike ’s “Find Your Greatness” campaign was intended to spark greatness in ordinary people, not just professional athletes.

Examples of Maslow’s Five Needs

Check out this Snickers' “You’re not you when you’re hungry” commercial, which appeals to basic human physiological needs.

This Lysol “What It Takes to Protect” commercial appeals to the human needs for safety and security.

Consider this public service announcement (PSA) from the Ad Council that is dedicated to fostering a more welcoming nation where everyone can belong. How does it appeal to the human need for community and belonging?

One awesome esteem level example to check out is this one from Dove . Dove launched a campaign to boost female self-esteem and to celebrate female beauty in all shapes and sizes. The company also created “confidence-boosting boards” on Pinterest. The boards include self-esteem activities so girls and their parents can share words of encouragement.

Check out one of Nike’s commercials from the “Find Your Greatness” campaign. How does it appeal to the human need for self-actualization?

Maslow asserted that people strive to satisfy their most basic needs before directing their behavior toward satisfying higher-level needs, so it stands to reason that consumer buying behavior would follow this model. For example, you’d first have to fulfill your needs for food and shelter before you might consider putting money away for retirement or purchasing a home security system.

Maslow and Marketing

Understanding Maslow’s hierarchy of needs will help you be an effective and impressive marketer. You’re going to see this model in many of your business courses, not just marketing, so take the time to learn about it. Check out this brief video that may help you understand how to use Maslow’s hierarchy of needs in marketing. Learn about why Maslow’s hierarchy of needs matters.

Perception is the way in which people identify, organize, and interpret sensory information. It’s another variable in consumer buying behavior because the perceptions you have about a business or its products or services have a dramatic effect on your buying behavior. What makes perception even more complex is that consumers can form different perceptions of the same stimulus because of three perceptual processes: selective attention, selective distortion, and selective retention. Let’s take a closer look.

Every day, you’re bombarded with marketing messages from TV commercials, magazine and newspaper ads, billboards, and social media ads. As of 2021, it was estimated that the average person encounters between 6,000 and 10,000 ads every single day. 16 It stands to reason that you can’t possibly pay attention to all of the competing stimuli surrounding you, so you’ll pay attention to only those stimuli that you consider relevant to your wants and needs at the time and screen out the rest. That’s the process known as selective attention .

When Bombarding Backfires

Bombarding consumers with marketing messages can cause more harm than good. According to this article from Marketing Dive , bombarding people with ads would negatively impact a brand. This article from the Advertising Association shares data that indicates bombardment and intrusiveness negatively impact perceptions of advertising.

How can you combat the issue? Quantcast outlines ways to avoid ad bombardment.

It’s about Ability

Your personal brand will be a significant factor when it comes to finding a job. What does your personal brand say today? What is your marketing story? Is it what you want it to be? If not, what will you do to change it? The end-of-chapter content includes various ways to explore your personal brand to help you prepare for your job search.

How are you going to stand out among other candidates? What can you do with your résumé? According to Jason Shen’s TED Talk, you should highlight your abilities and not your experience. He speaks to potential and how you can make yourself more attractive to potential employers by telling a story in a compelling way.

According to the American Marketing Association (AMA) , you need to know yourself well. Self-knowledge will help you know the kind of work environment you perform best in and what kind of work you enjoy most. The AMA is a great place to learn how to stand out as a marketing job applicant , target companies, prepare your best résumé, and have a successful interview.

Check out these sources on how to stand out and ways you can beat the competition:

  • Freemanleonard : “How Marketers and Creatives Can Stand Out in Today’s Competitive Job Market”
  • Recruiter.com : “13 Tried-and-True Creative Tactics Candidates Have Used to Stand Out in Interviews”
  • Acadium : “Launch Your Digital Marketing Career: How to Stand Out as a Candidate”
  • Indeed : “8 Marketing Interview Questions to Expect”
  • Entrepreneur : “Building Your Brand Is How You Will Stand Out When Applying for a Job”
  • Smart Insights : “7 Tactics to Help You Stand Out as a Marketer and Get Better Jobs”
  • 24 Seven : “10 Tips to Ace Your Next Marketing Job Interview”

If you want to go the extra mile in making yourself stand out, reach out to current marketers and ask them questions. You can find hundreds, even thousands, of current marketers on LinkedIn . Try targeting people from companies you’re interested in or would like to learn more about. Look for specific people who are doing jobs that interest you. Going to an interview armed with information is incredibly powerful and will speak volumes to your interviewer. Be sure to find a way to work your completed research into the interview conversation because it will speak to your drive, curiosity, and ambition—all traits every interviewer wants to hear about. This will also be another way you can stand out from others interviewing for the job. Questions you could ask current marketers in preparation for an interview include (but by no means are limited to):

  • What about you stood out in your interview process that made your current company hire you?
  • Can you tell me about examples of people you’ve interviewed and why they stood out to you?
  • How have candidates stood out when they spoke about their abilities in a job interview scenario?
  • What are your thoughts on candidates sharing a college project with you as a way to demonstrate abilities?
  • What advice do you have for me?

Be creative with your questions! Look online for other questions you could ask. Have fun!

Even the stimuli that people notice don’t always come across in the way in which the marketers intended. Selective distortion is the tendency of people to interpret information in a way that fits their preconceived notions. This was demonstrated years ago when PepsiCo launched its Pepsi Challenge blind taste test commercials. Participants were presented with two colas in unmarked plastic cups and asked to taste both colas and choose the one they liked better. Then the tester would lift a small screen to reveal the brand the participants preferred. In TV commercials that aired for years, Pepsi showed the stunned reactions of loyal Coca-Cola drinkers who had chosen Pepsi over Coke in the test. One grandmother in a commercial said, “I can’t believe it. I’ve never had a Pepsi in my life, but it must be better!” 17

People also tend to forget much of what they learn and to retain information that supports their preconceived attitudes and beliefs. That’s the power of selective retention , a bias by which you’re more likely to remember messages that are closely related to your interests, values, and beliefs rather than those that are contrary to those values and beliefs.

Beliefs, feelings, and attitudes also play an important role in consumer buying behavior. Beliefs are consumer perceptions of how a product or brand performs relative to different attributes. These beliefs are generally formed through personal experience, advertising, and conversations with others, and they play a vital role because they can be either positive or negative. You can even hold both positive and negative beliefs about the same thing. For example, you may believe that coffee is good for you because it helps you focus and stay alert, but you may also worry about the effect of coffee on your health and the way it stains your teeth. Human beliefs aren’t always accurate and can change according to the situation.

Consumer attitudes are a composite of a consumer’s beliefs, feelings, and behavioral intentions toward a product or service (see Figure 3.9 ).

We’ve already talked about beliefs, so let’s focus for a moment on affect, or feeling. Consumers often have certain feelings toward brands, products, or services. Sometimes these feelings are based on people’s beliefs, such as a vegetarian who can’t stand the thought of eating a hamburger, but you may also have feelings that are relatively independent of your beliefs. For example, someone who has strong environmentalist beliefs may object to clearing forests to make way for a housing development but may have positive feelings toward Christmas trees because they subconsciously associate these trees with the experience that they had at Christmas as a child.

The behavioral intention aspect of an attitude is what you as a consumer plan to do—buy the brand or not buy the brand. As with affect, this is sometimes a logical consequence of your beliefs but may sometimes reflect other circumstances. Consider a consumer who doesn’t particularly like a restaurant but will go there because it’s an after-class gathering spot with her friends. 18

Learning is still another important factor in consumer buying behavior. The fact is that consumer behavior is learned, and much of what you buy is based on your previous experiences with particular brands. This is commonly known as the Law of Effect , which asserts that, if an action is followed by a pleasant consequence, you’re likely to repeat it; if the action is followed by an unpleasant consequence, you’re less likely to repeat it. For example, let’s say you buy an Apple iPhone . If your experience with the iPhone is positive, you’ll probably be more inclined to buy another Apple product when you’re looking for a tablet or wearable. On the other hand, if you’ve had a not-so-positive experience with your iPhone, you’re likely to look at other brands when considering purchasing other devices.

Lessons in Psychology

Psychology is a big part of marketing. Insight into your customers’ thinking will allow you to create marketing messages and stories that better speak to their needs. Learning, the process where customers acquire information they can apply to future purchases, is a foundational concept in marketing. Learn about the various types of learning and how they can impact marketing strategies from this Forbes article .

Situational Factors That Impact Consumer Buying Behavior

Situational factors influencing consumers are external (refer to Figure 3.10 ). These factors play an important role in how consumers experience a product and how these consumers’ opinions are formed.

Environmental factors such as music, lighting, ambient noise, and even smells can either discourage or encourage a consumer’s purchase decision. For example, researchers conducted a study on the effect of lighting on consumer purchases in a grocery store. They lit half the store with traditional fluorescent lighting and the other half of the building with LED lighting. Researchers conducted the study over 21 weeks and discovered that consumers bought 25 percent more products on the LED-lit side of the store. 19

Spatial factors also play a role. The way a product is displayed may make it seem desirable, but a crowded store or a long line at the cash register can suddenly make that same product seem less desirable. Think about it: Have you ever seen a long line to check out at the cash register and put the product you intended to buy back on the shelf because it simply wasn’t worth it to waste your time standing in line?

The Marketing in Practice feature box shows how sound and smell can affect consumers.

Abercrombie & Fitch

As consumers, people usually don’t think twice about what a store smells or sounds like, the way it makes them feel or think, or what it makes them do. But Abercrombie & Fitch (A&F) thinks about it a lot (see Figure 3.11 ).

The company has its own line of men’s fragrances called “Fierce,” which is sprayed liberally in stores to give off what the company describes as a “lifestyle . . . packed with confidence and a bold, masculine attitude.” A&F knows who it wants in its stores, and by associating its fragrance with its stores, it creates a self-fulfilling prophecy for its male clientele who, by wanting to smell like A&F, will be like the models and sales staff in the store.

A&F also plays loud club music throughout its stores, attracting young people who can withstand loud music longer, while older customers may run from it. It’s just another way that A&F is enabling its stores to maintain a more youthful clientele and a “fresher” image. 20

Watch this video on Abercrombie & Fitch’s brand transformation for further insight on how A&F has positioned its retail brand Hollister as a global iconic teen brand and modernized the A&F brand to focus on young millennial consumers.

The social situation of shopping is another situational factor. Did you know that you’re more likely to stop to look at certain products when you’re in the company of a friend as opposed to a parent? The social aspect can even alter the price you’re willing to pay. You might be more inclined to purchase a more expensive product when you’re with a colleague or potential partner than you would if you’re with a friend or spouse. 21

The goal of your shopping trip is yet another situational factor. If you go to a store to look for a birthday present for your mother, your purpose is totally different than if you’re casually shopping for a new pair of shoes. The reason for shopping dictates the kinds of products customers are willing to interact with at that time and may cause them to bypass certain products they would normally interact with on another shopping trip. This is even true at the grocery store. You’ll interact with products differently if you’re on your weekly shopping trip versus simply going into the store because you’re out of milk.

Much like the purpose of your shopping trip, timing also influences your consumer behavior. If you’re in a rush because it’s Christmas Eve and you haven’t bought a present for your best friend yet, you’ll interact with fewer products than if you have hours to shop. Even if two people are looking for the same type of product, the one in a rush will probably end up with the most accessible product, whereas the leisurely consumer has time to weigh the price and quality of offerings.

Finally, your mood influences your buying behavior. Someone who is feeling sad or stressed interacts differently with products than a happy, relaxed shopper. The same can be said for someone who’s fatigued versus someone who’s full of energy.

Situational Factors

There are many examples where companies use situational factors in their marketing approaches. Here are several online sites and specific articles:

  • Westin and the White Tea Signature Scent
  • The Aroma Trace : “Best Examples of Olfactory Marketing in Companies”
  • Sync Originals : “10 Brands That Made Music Part of Their Marketing DNA”
  • Omnify : “8 Simple Lighting Techniques That Boost Retail Sales”
  • Science News : “Does Background Noise Make Consumers Buy More Innovative Products?”
  • Journal of the Academy of Marketing Science : “Sounds Like a Healthy Retail Atmosphere Strategy: Effects of Ambient Music and Background Noise on Food Sales”

Knowledge Check

It’s time to check your knowledge on the concepts presented in this section. Refer to the Answer Key at the end of the book for feedback.

  • Psychological factors
  • Social factors
  • Situational factors
  • Personal factors
  • Social class
  • Personality
  • Physiological
  • Safety/security
  • Self-esteem
  • cognitive dissonance
  • selective attention
  • selective retention
  • selective distortion
  • predispositions
  • behavioral intentions
  • preconceived notions
  • attributions

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Factors Influencing Consumer Buying Behaviour: A Case Study Factors Influencing Consumer Buying Behaviour: A Case Study

Profile image of Swapnil sharma

Globally, the term, 'marketing' is not a new phenomenon. It has become the focal point of any business. No commodities can move from a production point to a consumption point without putting the marketing machinery at work. The consumers aim at attaining optimum consumer surplus, be it durables or non-durables, while making such purchases to satisfy their wants. Conversely, the marketers do constantly strive for maximization of profit margin for their survival and growth in the long run. These twin paradoxical ends (producers and consumers) must reach a compromise at a point entailing a profitable and satisfactory exchange of goods. For this reason, the marketers do continually rely on research studies about the dynamic consumer behaviour to position their product planning and development strategies to meet the requirements efficiently. There are innumerous factors inducing their buying behavior of consumers even in brand preferences of durables. This complex consumer buying behaviour does, therefore, necessitate a critical investigation by the researchers in every nook and corner of the world. In India, many studies have been undertaken by various researchers on varied products in fits and starts. Abstract-Globally, the term, 'marketing' is not a new phenomenon. It has become the focal point of any business. No commodities can move from a production point to a consumption point without putting the marketing machinery at work. The consumers aim at attaining optimum consumer surplus, be it durables or non-durables, while making such purchases to satisfy their wants. Conversely, the marketers do constantly strive for maximization of profit margin for their survival and growth in the long run. These twin paradoxical ends (producers and consumers) must reach a compromise at a point entailing a profitable and satisfactory exchange of goods. For this reason, the marketers do continually rely on research studies about the dynamic consumer behaviour to position their product planning and development strategies to meet the requirements efficiently. There are innumerous factors inducing their buying behavior of consumers even in brand preferences of durables. This complex consumer buying behaviour does, therefore, necessitate a critical investigation by the researchers in every nook and corner of the world. In India, many studies have been undertaken by various researchers on varied products in fits and starts. Focus of this paper is to analyze the consumer buying behaviour of the selected durable goods in Nagaland, to examine the factors inducing the buying behaviour of the consumers, and to suggest appropriate measures to the marketers for designing a right marketing mix to match the tastes and preferences of consumers in the State.

Related Papers

case study on factors influencing consumer behaviour

VANAJA VADAKEPAT

Purpose – Globalization has brought apparent transformations to the UAE market. Shift in market trends due to a growing multicultural population induces marketers to update their marketing strategies. Focusing on the purchase behavior and level of satisfaction of consumers coming from different regions, the purpose of this paper is to examine the influence of multi-cultural consumers in the buying behaviour in the Abu Dhabi market for durable and non-durable consumer products. Design/methodology/approach – The sampling frame to examine the impact of heterogeneous culture in a geocentric market comprised 300 consumers belonging to different nationalities working in the UAE. Satisfaction Index, Kendall's Coefficient of Concordance and Kruskal –Wallis test were used to test hypotheses constructed from literature. Findings – The three hypotheses formulated to test inter-cultural differences revealed the influence of multi-culture on consumers' buying behaviour. This paper recommends that by optimizing the utility of well-advanced digital media in the Emirates, marketers can customize strategies by which to penetrate culturally segmented niches. Originality/value – Global marketing is emerging in the Arab markets, assuming that global culture will bring about a paradigm shift from homogenous to heterogeneous buying habits. Exploring the influence of multicultural consumerism, the study illustrates the divergent demands of Abu Dhabi consumers.

G. K. Deshmukh

In a globalised economy, markets are characterized by competition. The fast innovations of technologies are intensifying the intensity of competition and is becoming challenge for every business. In the past few years, due to competition, continuously company margins are considerably declining. According to Philip Kotler (2003), in hyper competition, power is clearly shifting to consumers who are increasingly telling what product features they want, what communication they will tolerate, what incentives they expect and what price they will pay. It is high time for marketers to study, understand and predict consumer behaviour in order to survive, sustain and grow in this highly competitive and volatile market. In fact, consumer behaviour is the process whereby individuals decide whether, what, when, where, how and from whom to purchase goods and services (Walter and Paul, 1970). As a field of study, consumer behaviour focuses upon consumer activities (Blackwell, Miniard, Engel, 2001). Moreover, the scholars of human behaviour are highly concerned to study the consumer behaviour in order to gain deeper insights into why individuals are involved in certain consumption related behaviour and interested to know what internal and external factors influences them in their consumption related decisions. Zikmund (2001) is of opinion that human behavior of any kind (B) is a function (f) of the interaction between the person (P) and the environment (E)–that is B= f (P,E). According to Zikmund, consumer behaviour is the function of personal factors (age and stages of life cycle, occupation, economic situation, life style, personality, psychology etc.) and environmental factors (culture, subculture, social class, reference groups, family, role and status).

IAEME Publication

Marketing scenario changes its face from time to time. Companies try to increase their sales through advertisements, particularly, television advertisements. The theme, message and language used in advertisements are giving new blood to the traditional way of taking buying decisions. Through such advertisements, companies try to position the brand in the minds of the target audience through which they wish to build their brand image. Television advertisement together presents a lethal combination and has become an integral part of modern society. The present study focuses on identifying the influence and Impact of television advertisements on buying decisions of consumer durable goods. This study was carried out by using a questionnaire and the collected data were analyzed by using simple statistical tools like percentage analysis and Regression

Bright1 Opara , Gideon C. Uboegbulam

This study is set out to examine the impact of children on family purchase decision, with respect to purchase of durable goods in Nigeria. The significant of this study has to do with the fact that children's role in purchase decision making attract little or no attention in most developing countries. The primary data for this study was sourced from structured and semi-structured research questionnaire, and the sample size of 300 was drawn from study population generated from three ethnic groups of Hausa, Ibo, and Yoruba in Nigeria. Analysis of Variance (ANOVA) statistical tool was used to test the hypotheses in the Statistical Packages for Social Sciences (SPSS) version 17. The result revealed that children had the least influence at the Purchase decision stage, relative influence at need recognition stage, and had the most influence on family purchase decision making for durable goods at the information search stage. This study result showed that children influence family purchase decision making for durable goods in Nigeria, and that the degree of the children's influence although not significant, vary at different stages. The knowledge from this research will help to develop appropriate marketing strategies that will identify the family member who play what role and at what stage in family purchase decision making. Adopting specific target marketing strategies for each category of the family member will facilitate achieving the desired marketing result.

farook basha

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Comprehending the consumer behavior toward sustainable apparel.

case study on factors influencing consumer behaviour

1. Introduction

2. materials and methods, 2.1. data sources, 2.2. selection process, inclusion and exclusion criteria.

  • Explored the psychological, social, or environmental drivers of sustainable fashion consumption.
  • Addressed technological advancements, such as AI, influencing consumer engagement with sustainable fashion.
  • Analyzed behavioral factors in relation to eco-friendly and ethical fashion purchasing decisions.
  • Ethical fashion choices, eco-consciousness, and sustainable clothing practices.
  • The role of consumer education and awareness in promoting sustainable apparel consumption.
  • Studies published between the years 2013 and 2023 to ensure recent developments in sustainable fashion and consumer behavior are considered.
  • Studies published in English to maintain consistency in language comprehension and analysis.
  • Research aimed primarily at business models, supply chain management, or organizational behavior without a specific focus on consumer behavior related to sustainable fashion.
  • Research projects and studies focusing on general fashion trends without integrating sustainable fashion elements or consumer behavior analysis towards sustainability.
  • Non-consumer-focused studies, such as material development, addressing manufacturing processes, supply chain operations, or retail logistics, unless they directly examine their impact on consumer sustainable behavior.

3. Review Findings and Discussion

3.1. theoretical analysis, research type analysis, 3.2. content analysis, 3.2.1. consumer attitude, 3.2.2. consumer purchase, 3.2.3. consumer knowledge, 3.2.4. consumer preference, 3.2.5. consumer influence, 3.2.6. overlapped themes, 4. conclusions and future recommendations, 5. study limitation, author contributions, conflicts of interest.

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Click here to enlarge figure

Stage 1:
Materials
Stage 2:
Textile and Apparel Production
Stage 3:
Retail
Stage 4:
Usage
Stage 5:
Disposal
Water usageEnergy use, e.g., knittingPackingWater and energy used for washing clothesDonation/selling as secondhand clothes
Pesticide lands to harvest cottonWater useTransporting goodsLaundry detergent and its containerRecycling
Genetic modificationUse of chemicalsRetailers working conditionsEnergy usage for steaming/ironingLandfill disposal
Animal welfareWastes and sewageMaintaining goods under different circumstances
Using chemicals in human-made fabricDyeing process
Harvesting process and using specialized trucksLabor work condition
TheoryArticlesThemes
Theory of Planned Behavior (TPB)24 articlesConsumer Attitude
Consumer Purchase
Consumer Knowledge
Consumer influence
The theory of Reasoned Action (TRA)13 articlesConsumer Attitude
Consumer Purchase
Consumer Knowledge
Generational Cohort Theory2 articlesConsumer Knowledge
Consumer Purchasing Behavior—Second-hand clothing
Behavioral Reasoning Theory (BRT)2 articlesConsumer Purchase
Consumer Attitude
Consumer Influence
Attitude-Behavior-Context (ABC) model1 articleConsumer Purchase
Consumer Attitude
The Social Cognitive Theory (SCT)1 articleConsumer Knowledge
Consumer Influence
Corporate Social Responsibility Theory1 articleConsumer Attitude
Consumer Knowledge
The Elaboration Likelihood Model2 articlesConsumer Purchase
Consumer Influence
Consumer Attitudes
The Unified Theory of Acceptance and
Use of Technology (UTAUT) Model
1 articleConsumer Preference
Color Theory1 articleConsumer Influence
Psychological Ownership Theory1 articleConsumer Purchase
Consumer Perceived Value (CPV) Theory1 articleConsumer Attitude
The Value-Belief-Norm (VBN) Theory1 articleConsumer Purchase
The Knowledge-Attitude-Behavior (KAB) Model1 articleConsumer Purchase
Consumer Attitude
Andreoni’s Theory of Warm Glow1 articleConsumer Purchase
Theory of Consumption Value1 articleConsumer Knowledge
Theory of Perceived Value2 articlesConsumer Knowledge
Consumer Attitude
The statements, opinions and data contained in all publications are solely those of the individual author(s) and contributor(s) and not of MDPI and/or the editor(s). MDPI and/or the editor(s) disclaim responsibility for any injury to people or property resulting from any ideas, methods, instructions or products referred to in the content.

Share and Cite

Balasubramanian, M.; Sheykhmaleki, P. Comprehending the Consumer Behavior toward Sustainable Apparel. Sustainability 2024 , 16 , 8026. https://doi.org/10.3390/su16188026

Balasubramanian M, Sheykhmaleki P. Comprehending the Consumer Behavior toward Sustainable Apparel. Sustainability . 2024; 16(18):8026. https://doi.org/10.3390/su16188026

Balasubramanian, Mahendran, and Pariya Sheykhmaleki. 2024. "Comprehending the Consumer Behavior toward Sustainable Apparel" Sustainability 16, no. 18: 8026. https://doi.org/10.3390/su16188026

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