Virtual Communities in Purchasing Decisions

Question: Discuss about the Virtual Communities in Purchasing Decisions. Answer: Introduction: Consumer behaviour mainly includes those process and activities that are essentially followed to make different decisions to buy services or goods. Due to this, during the development of the advertisements, advertisers consider consumer behaviour and makes investments to understand the consumer behaviour. This assignment is intended to describe different aspects of the consumer behaviour. The way by which the advertisers utilises the group influences: Users mainly align them against or with various types of groups to which they think as the relevant at their lives. Consumers particularly aspire to buy goods if they observe that buying goods put them into the group to which they want to be included. The main reason behind that is people mainly want to be involved in those groups in which they can find the likely minded people (Nollet and Beaulieu, 2015). For example, a person intends to go to that restaurants or shops where they can get another buyer who is not only the likely minded but also their perception and status is also the same. The main reason behind that is high-class people want to be among the high-class people, or middle-class people want to be among the group of middle-class people. Therefore, the advertiser must advertise these concepts into their advertising. If an advertiser wants to announce a restaurants or shops for the high-class people, then they must mention it somehow during showing advertising to the poten tial customers. Along with that, it is also mandatory to select a proper advertising media so that it can attract the intended target market. Otherwise, it will be very much difficult for the company to attract their target customers. It is seen that there are mainly three different types of reference group influence such as utilitarian influence, informational influence and the value-expressive influence. Through the informational influence, different customers receive information from different professionals who works near the product line and then takes the purchase decision accordingly by comparing it with similar types of goods. On the other hand, by the utilitarian influence, the purchasing of the goods is dependent on the buyer itself (Nollet and Beaulieu, 2015). Therefore, it is mandatory for the marketers to provide extensive and transparent information to customers so that they can be motivated to buy those goods. Along with that, it is also mandatory to express how buying goods and services can increase the image of the customers. This is because; through value-expressed influence, different individuals might feel as well as thinks that purchasing or utilising goods and increase their brand image. Along with that, children also influence their parents to buy different products or services (Leal et al. 2014). For this reason, marketers should influence children via different modes of the marketing channel so that they can change their parents regarding the purchase of the goods or services. It is seen that one parent can affect other parents to make final purchasing decisions. According to the statistics, children spend almost 200 billion dollars annually, whereas they also influence an approximate of 500 billion dollars to purchase different household things. Along with that, the non-wealthy customers also influence wealthy clients. Therefore, marketers must develop their marketing strategy for luxury goods in that way that can distinguish the high-class customers from the non-wealthy customers. Discussion of consumer behaviour: Consumer behaviour is the study of the group, organisations, processes and the individuals that any customer utilises for the selection, utilisation and disposition different services, ideas, products and experiences so that they needs and wants can be satisfied. As stated by Blodgett et al. (2013), organisational buying is one of the processes of decision making by which different formal organisations can establish the need among customers so that they can purchase products as well as services from the company by identifying, evaluating and selecting those products among several alternative suppliers and brands. The consumer buying behaviour is irrational because it does not fit some predictable as well as simple rules that are established by the economists. According to Milliman (2011), irrational behaviour can be described as some behaviour that is out of control, agitated as well as dumb. Consumer buying behaviour is irrational because not all of the human being is consistent with nature and they do not hold the same kind of response as well as perception. Therefore, it is very much difficult to assume the strategy that can motivate all of the customers. This is because; at any point in the decision-making process, variability can be generated and creates irrationality. The main reason behind the irrational behaviour of the consumer is most of the customer do not have the proper knowledge regarding the value of any products or services so that they can compare any product or services with the similar types of goods to buy the best products. Therefore, there is an inevitable uncertainty re garding the brand selection of any customers. However, the organisational buying is rational because there is some strategy that is helpful that can influence any client in particular ways so that they can act in an appropriate ways (Koufaris and Ajit Kambil, 2011). It is seen that if any marketers can convince someone in particular ways so that they can be influenced to take their future decisions regarding purchasing products or services, then it can be said that it is possible to influence the organisational; buying. Therefore, it can be said that organisational buying can be rational. The extent to which marketers should utilise different techniques for encouraging the impulse buying: According to Wood (2012), impulse buying can be defined as the purchasing process without any prior planning as the result of the impulse. In the case of any big business, more than forty percent sales are coming from the impulse buying. Therefore, marketers of any big organisation must encourage the impulse buying because it can highly benefit any company. It has been observed that when any individual planned for the rational buying, then they compare the product or service quality and price of one brand with another. Therefore, there is huge possibility that the customer may not select the particular brand. In most of the cases, rational buying process increases the competition in the market. On the other hand, impulse buying is mainly dependent upon the good mood of any people. If any marketers became successful to grab the good mood of any people, then they may get a huge amount of sales, which is unplanned from the customer's end. Therefore, for facilitating the impulse buying t he only requirement is an emotional attachment with the clients and providing them with some compelling discounts that can motivate customers to buy products or goods without any planning (Phau and Lo, 2014). This is because; here feelings, as well as emotions, play an efficient and decisive role in the decision-making process. For motivating customers to facilitate the impulse buying, marketers, as well as retailers, exploits the impulses by adding it with the basic wants of the customers. For example, a shopper in any supermarket showcase some confectionary items at the checkout places so that it can influence the buyer to trigger the impulse buying. However, impulse buying is not effective in every circumstance, and it is effective in that time when any customer is in a good mood. It is not useful in the time when customers do not have enough money to facilitate impulse buying, so that impulse buying is limited only to the middle-class and high-class people whose monthly disposal income is high (Phau and Lo, 2014). Conclusion: From the above discussion, it is clear that for motivating customers different strategy such as considering group behaviour, impulse buying should be implemented by advertisers is important. This is because; current marketplace becomes very much dynamic and competitive so to achieve competitive advantage effective strategy need to be implemented. Reference list: Blodgett, J. G., Hill, D. J., and Tax, S. S. (2013). The effects of distributive, procedural, and interactional justice on post-complaint behaviour.Journal of Retailing,73(2), pp. 185-210. Koufaris, M., and Ajit Kambil, P. A. L. (2011). 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