Is it a monetary decision to purchase?
Tags: Purchasing Power, Startup Lessons, Business, Monetary Policy, Startup Marketing

INTRODUCE:

Every brand out there should be mindful that ‘Purchasing is not just a monetary decision,’ the crux of the matter is. Most of us have a misunderstanding that the buying of customers totally revolves around the commodity price. That is not the truth, however. For a few more valuable and appealing variables, clients compromise on the price. While predicting the actions of the consumer can seem uncertain and challenging, it is also necessary for each seller to put themselves on the market.

Why is predicting customers a big challenge?

The important fact one needs to understand is that not every customer looks only at the price, they react and respond differently based on the factors that segregate them into different categories. In today’s world customers’ purchase decision has evolved into a multi-faceted domain. Long gone are the days when customers were confined only by the price. It might seemingly be bizarre, and illogical to analyze the buyers but customer’s buying pattern and habits can easily perplex the sellers since a considerable quantity of customers are emotion-driven and biased when it comes to purchasing.

Significant factors that influence purchasing

Here are some factors that extend to all facets of studying customer behaviour.

Packaging

The popularity of your brand

The psychology

Social status

Economic status

Packaging

The packaging is the first and foremost factor customers notice.” First impression is the best impression”. It is highly important to concentrate on this as this is a great opportunity to allure consumers as well as an unfortunate one to lose consumers. The following need to be ensured while designing the package:

Eco-friendly packages:‘Organic’ is the word of the age. Awareness regarding an eco-friendly environment has tremendously increased for the past few years. Modern consumers are always fascinated by brands who use reusable packages and recyclable materials to make an eco-friendly, organic, and green package for their product.

The popularity of your brand

Though consumers usually consider the price of the product, they do give cognizance to other factors which make sure the product is durable and of good quality and prefer high-quality products to cheaper products. Though the price has always been the topmost consideration it’s not the only factor in consideration. There are secondary factors that impact the buying pattern.

The familiarity of your brand matters a lot. People trust the brands they have heard a lot of and are ready to compromise on the cost as they believe a well-known brand guarantees good quality. An established brand name entices people as it simplifies the process of buying products. It narrows down the choice and decreases the decision making time. People desire branded products.

Brands that have been out there since time immemorial impress the buyers. It induces trust since they believe that a product couldn’t have survived these many years if it wasn’t of good quality. A standard brand name builds credence and assures reliability among customers. It makes them strongly believe the product is of good quality. Not all consumers notice factors like packaging and cost. The brand name is an invincible factor when you want to treat your buyers in a hospitable manner.

Social and economic status

Consumer choices are likely to be inclined towards the products their family has been using for a long period as their lifestyle, habits, and customs have shaped the way they perceive these products. For example: If the person has been habitually using the product since childhood, he or she will be inclined to buy the same brand without realizing the fact that their families have influenced them to use the particular brand. This is another case where the person doesn’t consider only the price.

Consumers are also influenced by reference groups. Consumers often consider peer reviews or reviews of their neighbours and friends to be more valid and reliable. They are ready to spend on the product their friend has been using for a long time and finds to be of good quality.

Another important factor is the status and role of consumers. For example, an ordinary subordinate of a company buys less expensive goods whereas the manager of the same company buys more expensive goods. The economic condition of the consumer has a considerable impact on purchasing. Apart from the individual income of the consumer, the family’s income and the dependents in the family also greatly enhance the buying pattern.

CONCLUSION

Though the cost of the product is the most influential factor there are a lot of other factors that have a huge impact on the purchasing decision. Nowadays modern consumers are more concerned about reusable and hassle-free packaging. Your brand can have a huge impact on your product’s consumption. Consumers are ready to neglect the cost when it comes to a popular brand.