There has got to be a reason the customer has chosen BMW over Toyota - it's not just the ad.

Marketing is a discipline that requires an understanding of the thoughts and emotions of customers when making buying decisions, as well as the factors that influence their choices. Consumer behaviour is a critical area of study which talks about how individuals react in response to products and services on offer or use, as well as what influences their purchase decisions including economic, psychological, and social factors.

Understanding why your customers buy certain products provides valuable insights into if or why they would choose one product over another, how they would respond to marketing strategies, and threads and patterns in their buying decisions. If an individual chooses Coca-Cola over Pepsi, this study area helps the business owners understand why Coca-Cola is the preferred option. This knowledge is crucial for businesses aiming to tailor their offerings, enhance customer satisfaction, and drive growth, and as such, to be successful in this field, markers must do the necessary research to get a deep understanding of what drives their customers' behaviours.

An individual who is looking to buy a high-end flagship smartphone is going to be influenced by different factors from another person who is researching a budget phone. Studying these types of behaviours can help marketers position their products for the right audience, as well as understand the types of things that can affect buying decisions.

Consumer behaviour can be broadly categorized into several types, each reflecting different aspects of decision-making:

If a customer is going to be spending a lot of money on a product, he is most likely going to take the time to research the specifications, the alternatives, the liabilities and risks, as well as actively participate in the product acquisition process. Such customers who are highly involved in a purchase and perceive significant differences among brands are known as Complex Buyers. This type of behaviour is common with high-involvement, infrequent purchases like cars or homes.

This type of behaviour is associated with customers who are highly involved in the purchase of an item, but find few differences among the brands. For instance, if a customer is going to be buying a flagship smartphone, each performing brand may have the same device specifications, cameras, CPU performance, and software versions, which might present the customer with a strong sense of conflict. This often happens with expensive items like electronics, where post-purchase dissonance can occur.

Habitual buyers purchase a product regularly, have low involvement, and perceive minimal differences between brands. They are usually not emotionally attached to the brand and make these decisions out of habit, such as purchasing groceries or household consumables.

These types of customers "snack" on products. Although they are less involved, they often seek variety and new experiences. A customer may decide to try a different brand of toilet paper, not because he was dissatisfied with the former, but because he wants to try out something new. This type of behaviour often relates to products like personal care items where brand switching is common.

In the product market, some things are considered “essential” and then there are others that are “desirable.” The distinction between these necessities and desires is fundamental to understanding consumer behaviour.

To a customer, needs are essential elements that have a specific benefit, and these can be influenced by social, psychological, or physiological factors. It is important to understand that needs are not essentially universal to different people. One person may consider a laptop a need while another would opt for a smartphone for the same purpose. 

Wants, on the other hand, are desires shaped by culture, personality, social status, or lifestyle. They are not absolutely “essential” to the customer but they enhance the quality of life, such as luxury items or brand-name clothing. The customer will always “want” something.

So, what drives the customer’s buying decisions?

Needs, and wants. Both of these drive the customer’s buying decision.

Consumers will often prioritize their needs, but their wants also significantly influence their purchasing decisions. Effective marketing strategies must address both needs and wants by highlighting how a product or service fulfils essential requirements while also providing additional benefits or satisfaction.

The internet and social media in recent times have brought a fundamental change in customer’s buying behaviour. Customers now have access to vast amounts of information online, making them more informed and discerning. There’s also influencer marketing and online reviews, where customers trust recommendations from peers and influencers.

In light of this change, a proper understanding of the evolving preferences and expectations of modern consumers is crucial for developing marketing strategies that resonate and drive growth. Embracing digital innovation, personalization, transparency, and community engagement can, and will position brands for success in this changing marketplace.

All customers change. Consumer dynamics is all about the patterns, changes, and factors that influence consumer behaviour over time. This school of thought encompasses how consumers make purchasing decisions, interact with brands, and adapt to changes in the marketplace. To meet the customer needs and anticipate trends, an understanding of consumer dynamics is essential.

Here are 5 steps to mastering consumer dynamics:

The importance of market research cannot be overemphasized. This helps to gather insights into consumer preferences, behaviours, and demographics. Using online surveys, focus groups, and data analysis can help to build a comprehensive profile of your target audience.

This talks about your brand. If the customers like what you sell to them then they need to be sure they’ll get the same product if they come the second time. Clearly articulate what makes your products or services stand out from competitors and focus on the benefits and value you provide to customers.

Develop a content calendar focusing on the things that address your audience's pain points and interests. Leverage storytelling to connect emotionally with your audience and create memorable brand experiences.

Stay updated on emerging trends and shifts in consumer behaviour. This includes monitoring industry reports, social media trends, and technological advancements.

The easiest way to know if I like milky doughnuts is to simply ask me. Establish channels for receiving and acting on customer feedback and then use this information to make continuous improvements to your products, services, and customer interactions.

Is it worth pursuing a career in marketing? The answer to that question isn’t “black and white” but for those who pursue it, the rewards can be significant.

A career in marketing offers diverse opportunities for those interested in consumer behaviour. There are roles ranging from market research analysts to digital marketing specialists, each focusing on different aspects of understanding and influencing consumer decisions. Some key areas include market research, brand management, digital marketing, and advertising and promotions. The Fundamentals of Digital Marketing course offered by Google is also a fantastic resource to get a marketing enthusiast up to speed.

To pursue a career in marketing, one should focus on developing analytical skills, creativity, and an understanding of consumer psychology. Educational backgrounds in business, marketing, or psychology, along with practical experience and staying abreast of industry developments, can pave the way to a successful career in this dynamic field.

Understanding consumer behaviour not only improves business success but also offers a fulfilling career for those passionate about shaping and interpreting consumer decisions.