(KMBNMK01) Unit-2 Consumers as individuals and in the social context

Consumers as individuals and in the social context

Consumers can be understood in two ways: as individuals and as part of a larger social context.

• Consumers as Individuals: This perspective focuses on a person’s personal needs, wants, and decisions when they buy something. For example, if you buy a new phone, your choice might be based on factors like the features you need, how it looks, or your budget. These are personal reasons, and they vary from person to person.
• Consumers in the Social Context: Here, consumers are influenced by society and the people around them. For example, you might buy a specific phone because your friends have it or because it’s popular on social media. Social factors like family, friends, culture, and social trends can all shape what people buy.

Consumer Perception

Consumer perception is simply how people view or feel about a product, brand, or service. It’s not just about what the product actually is but more about how it appears to the person buying it.

Example: Imagine two brands of bottled water, Brand A and Brand B. Both might be very similar in quality, but if Brand A has fancy packaging and is advertised as "pure mountain spring water," consumers might perceive it as higher quality or more refreshing. Even if both bottles contain similar water, the way people see and feel about Brand A makes them more likely to buy it. This perception can be influenced by advertising, word of mouth, packaging, or even past experiences.

Consumer Learning & Knowledge,

Consumer learning and knowledge refer to the way people learn about products and develop an understanding based on experience, information, or advice, which then shapes their future buying decisions.

• Consumer Learning: This is about how people gain new information or experiences that influence what they buy. Over time, they learn what they like, which brands work best, or which products to avoid. Example: Suppose you buy a specific brand of shoes that turns out to be very comfortable and lasts a long time. You "learn" that this brand is reliable, so you’re more likely to buy from them again in the future.
• Consumer Knowledge: This is the information a person has about different products or brands based on their past experiences, research, or recommendations. Example: If a friend tells you a certain smartphone has a long-lasting battery, you add that to your knowledge about phones. Next time you’re shopping for a phone, that knowledge helps guide your decision since you now know something about the brand’s battery life.

In short, consumer learning and knowledge build up over time and make people wiser in their choices.

Consumer Attitude Formation & Change

Consumer attitude formation and change refer to how people develop feelings or opinions about products, brands, or services, and how those feelings can shift over time.

• Attitude Formation: When consumers first encounter a product or brand, they form an opinion based on what they see, hear, or experience. This initial impression can be positive, negative, or neutral and is influenced by things like ads, reviews, or other people’s opinions. Example: If you see an advertisement for a new snack that looks delicious and healthy, you might develop a positive attitude toward it, even before trying it.
• Attitude Change: Consumer attitudes can change over time as people gather more information or have new experiences with the product. If their first impression doesn’t match their experience, their attitude might shift. Example: Suppose you try the new snack, and it tastes bad or doesn’t meet your expectations. Your positive attitude might change to a negative one, making you less likely to buy it again. Similarly, if the brand later improves the product and you hear good feedback, you might be willing to give it another try, leading to a more positive attitude.

In simple terms, consumers’ opinions about products can be built and reshaped based on new information, experiences, and influences.

Reference Groups

Reference groups are groups of people that influence someone’s choices, behaviors, or opinions, often without the person realizing it. These groups can be friends, family, colleagues, celebrities, or even social media influencers. People look to these groups to get ideas on what’s "right" or "trendy. Example: Imagine you’re thinking about buying a new phone. You notice that most of your friends have a particular brand, so you start thinking that brand must be good. Even if you haven’t tried it yourself, your friends' choices make you more likely to buy the same brand.

In short, reference groups are like guides that affect what we buy, wear, or believe is cool just by setting examples.

Family Gender & Age Influences

Family, gender, and age influence how people make buying decisions by shaping their preferences, needs, and choices.

• Family Influence: Family members have a big impact on what people buy because they often share products or have similar buying habits. Parents, for example, can influence their children’s brand choices, while children can sometimes convince parents to buy certain items. Example: If a family has a tradition of buying a certain brand of cereal, everyone in the family might keep buying that brand, even when they grow up.
• Gender Influence: Gender can play a role in influencing preferences, as companies often market products based on traditional ideas of what men and women might like. While these stereotypes are changing, some brands still target products specifically for one gender. Example: Fragrances or personal care products are often marketed as "for men" or "for women," influencing people to choose the products that match their gender identity.
• Age Influence: People’s needs and tastes change as they grow older, affecting what they choose to buy. Younger people might look for trendy or budget-friendly products, while older consumers might prioritize quality or durability. Example: A teenager might prefer the latest sneakers to stay fashionable, while an older adult might choose comfortable, supportive shoes.

In simple terms, family, gender, and age influence our buying habits by shaping what we prefer, what we need, and what we believe suits us best.

Culture and Social Mobility 

Culture and social mobility both influence people’s choices and behaviors, including what they buy and how they live.

• Culture: Culture is the set of shared values, traditions, and beliefs that people in a particular group or society have. It influences their daily habits, preferences, and what they consider important. Since culture shapes how people think and act, it also affects what they buy and how they use products. Example: In some cultures, tea is very important, so people buy tea and tea-related products more often. In others, coffee is more popular, so coffee-related products are in higher demand.
• Social Mobility: Social mobility is the ability of people to move up or down in their social or economic status. When people move up socially, they often change their buying habits to match their new lifestyle, buying products that align with their new status  Example: If someone gets a high-paying job and moves into a higher income bracket, they might start buying more luxury brands or expensive items to match their new lifestyle. Similarly, someone moving to a different social group might adopt new habits to fit in with that group.

In simple terms, culture sets the overall trends and values in society, while social mobility allows individuals to change their habits as their social or economic status changes.

Unit -1: Introduction to Consumer Behavior & Consumer Decision Making