Decision Making Process And Factors Affecting It
Decision Making Process are the process to ensure by a consumers that transactions between buyers and seller in a potential market, and purchasing the goods and services. Decision making also can be as an outcome of cognitive processes main to the selection of an action among the several alternatives. (Kurtz & Boone, 2009)
2.1 Consumer Behaviour
Consumer Behaviour is the process through which buyers or consumers make a decision. Marketers can find out the consumer’s attitude and the decisions to purchases that stimulus the needs to prompt sales. Consumer behavior was contains four major types of factors influences the consumer behavior, such as cultural, social, personal and psychological to measure of the ability and willingness to buy goods or services. (en.wikipedia, 2000)
2.1.1 Cultural Influences
Cultural influences are the culture that values, beliefs, preferences, and tastes handed down from one generation to the next by the consumer throughout life.
Culture also is a broad environmental determinant of consumer behavior. For example, ALBION’s allows local managers to run the advertising campaigns tailored to the preferences of customers.
Consumers may also be influences by subcultures. Certainly, subcultures can be separate into ethnicity, nationality, age, rural versus urban location, religion and geographic distribution. For example, consumer will try to use and understand the ALBION Essential Skin Conditioner, to enhance consumer’s knowledge and daily life.
Cultural also can be separate in to six classes: upper-upper, lower-upper, upper-middle, lower-middle, working class and lower class. All the individual’s buying habits are different and reflect to the class in which aspire such as, consumer has enough money to purchases the product from ALBION to fulfill consumer’s needs and wants.
Consumers also belong to multiple social groups, such as family, neighborhood, clubs, and sports teams. So that, the groups will establish norms of behavior by value, attitudes, and behavior that a group deems appropriate for its members. Therefore, consumer wants to learn more about the ALBION Essential Skin Conditioner to enhance consumer’s knowledge and satisfy needs.
2.1.2 Social Influences
Social influences are the factors that a in which a consumer may interact with several individuals and influence of these people constitutes the purchasing process. It contains of family and roles and status in the social influences.
Like other influences, families have norms of expected behavior. There are included four roles of spouses, such as autonomic role, husband-dominant role, wife-dominant role, and syncretic role. However, the consumer usually purchasing merchandise by syncretic role, buying decision made a jointly.
Roles and Status
Roles in each group generally are tied closely to status. It depends on a person’s position and specific buying behavior in necessary merchandise. For example, consumer had followed consumer’s sister and use the product ALBION Essential Skin Conditioner and it useful in daily life too.
2.1.3 Personal Influences
A Consumer’s needs and motives are influences the personal determinants of the consumer behavior to satisfy the need. These include age and life-cycle stage, occupation, economic situation, and lifestyle. A consumer’s personality will influences by the buying behavior.
Age and Lifecycle Stage
Personal influences are playing the roles that depend on a person’s age and the lifecycle stage. The lifecycle stage of a people is also distinct on the age change. For example, consumer will continue to use the product ALBION Essential Skin Conditioner, because consumer’s wants to keep the face look young and beauty.
The occupation of a consumer will influence the buying behaviour. An individual tend to act as opinion leaders for specific goods and services. Yet, consumer will rely own career, support and purchases the products that was sells.
The economic situation also influences the personal influences of a consumer’s buying process. So, consumer will choose and purchases the product ALBION to improve it.
2.1.4 Psychological Influences
Psychological influences are the ways in which a person’s thinking and the pattern buying decisions. Consumer may be influences by the motivation to fulfill the needs and wants, perception of different consumers on different way at looking for a particular issue or situation.
Motivation is the activation of goal-oriented behavior. Motivation can be said to be intrinsic or extrinsic of a consumer toward the goal of satisfy a need. This can be show in the Maslow’s Hierarchy of Needs that contains physiological needs, safety needs, belongingness, esteem needs, and self-actualization. Such as, a consumer will recognize the product ALBION into belongingness, because this product has high quality and it useful in daily life.
The meaning of perception is that a person attributes to incoming stimuli gathered through the five senses such as sight, sound, smell, taste and touch. Anyway, perception also can be separate in to two types of factors, characteristics of the physical object and unique characteristics of the individual. Characteristics of the physical object can be such as size, color, weight, and shape of every consumer. However, unique characteristics of an individual are included the experiences with similar product and basic motivations and expectations too. For instance, consumer likes to use the product, because of the experiences and knowledge.
Learning are describes the changes of a consumer’s behavior and knowledge or skill that acquired of the consumer. It will engaging consumer in new knowledge and new behavior encourage change in customer’s experiences. For instance, before use the product, the consumer will try to learning the methods of use and learn more about the details of the product to enhance the knowledge in everything.
2.2 Types of Buying-Decision Behavior
There contains four types of buying-Decision Behavior, such as complex buying behavior, dissonance-reducing buying behavior, habitual buying behavior and variety-seeking buying behavior.
In a few of them, complex buying behavior is the most importance in the buying-decision behavior. In this case, consumers undertake in the situation when consumer highly involved in an exchange process and perceive significant differences among the different brands. The involvement of consumer due to the product is expensive, risky, purchase frequently and highly self-expressive. In addition, seller needs to stimulate consumer’s needs and try to satisfying and to develop effective marketing communication strategies.
2.3 The Buyer Decision Process
Formation of a Criteria List
Evaluation of Alternatives
Figure 1 The Buyer Decision Process
This model is important for everyone making decisions. Consumer passes through six stages: need recognition, information search, formation of a criteria list, evaluation of alternatives, purchase decision and post-purchase behavior. Based on Figure 1.
Stage 1: Need Recognition
Buyer will recognize a problem or need before consumer purchase a goods or product. These kinds of problem will receive all the time. Consumer must find out the problem and how does consumers can solve the problem. For instance, whose skin care product may run out and consumer want to try a new product in different brands such as ALBION, KOSE, L’Oreal, and other.
Stage 2: Information Search
Consumers can view for the information that is related to consumer’s needs. When a consumer wants to discovers a problem, consumer will try to search more information about the product consumer’s need. There have a lot of alternative to search the information through internet websites, magazines, friends, or among other. Through collective the information, the consumer will learn more about the products, brands, and features and characteristics. Such as, consumer will learn and understand more about the products after do the stage 2 information searches.
Stage 3: Formation of a Criteria List
After the information search, consumers will know the product’s details and consumer will list down all the criteria about the product will purchase. Anyway, consumers look for the problem-solving benefits from the product too to fulfill consumer needs. For example, consumers are forming a list of product into criteria list such as ALBION, OKSE, L’Oreal, Shiseido, and other.
Stage 4: Evaluation of Alternatives
In this stage, consumers try to solve the problem and ultimately fulfill consumer needs. Thus, the consumer looks the product’s benefits and attributes of the products. In case, consumer will evaluation the entire product and in various brands and do some comparison the entire product in the criteria list. Such as, the customer was evaluating the products and feel that ALBION is a good or best choice compare with other brands.
Stage 5: Purchase Decision
To actually implement the buying decision, a consumer need to decide to buy the product has been chosen on the criteria list. Anyway, consumer has three ways these decisions can be made: simultaneously, item first-outlet second, and outlet first-item second. Of course, once the brand and outlet have been decided, the consumer moves on to the exchange process. Consumer can order merchandise by mail, telephone, computer or fax machine. For instance, customers try to make a good decision and purchase the product ABLION to fulfil the needs and also enhance the knowledge too.
Stage 6: Post-Purchase Behavior
Post-purchase behavior is the last process of Buyer Decision Process that after the consumer purchases and used the product. By the way, consumer also will face any problem about the product has been purchase: Feeling of satisfaction and feelings of dissatisfaction. In such a case, the consumer would simply purchase the product because of it was satisfy consumer needs. In other word, if the product not suit to consumer, consumer is not likely to consume the product and try to use the second alternatives of the product in criteria list to fulfil the needs. For example, if the consumer is likely to use the product, consumer will continue to purchase and become a permanent customer for the product ALBION.
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