Social Influences and Consumer Behavior

Question: Discuss about the Social Influences and Consumer Behavior. Answer: Introduction In present times, the companies are very much concerned to refer the individual consumer behaviour. It assists them to get information about the thinking of the clients and also provides the idea about how they feel and choose their desired products (Batkoska, Koseska, 2012). The Consumer behaviour is a deep study that refers the processes which are involved when an individual or a group of consumers purchase, select, dispose and use a service, product, experiences, ideas so as to satisfy the desires and needs (Batkoska, Koseska, 2012). The Customers are in a quite tough and difficult spot. The individuals have exposed to the various window of important information with the varieties of the products, various great deal of options and choices is available in the open market all over to impulse their decision to purchase (Mihart, 2012). Here the decision-making and the interpretation differs among individuals and also it is completely influenced by the external as well as the internal consumer behaviour factors, such as attitude, perception and the motivation (Mihart, 2012). In this essay will understand the impact of the social influence on the buying behaviour of the consumers with the organization Commonwealth Bank Australia. The Consumer buying decision process in many ways is influenced such as the psychological influences, situational influences, and the social influences. By carefully knowing about these influences a person involved in the process of buying something can very easily address its hurdles or problems related refer the marketing of the products related to banking to its clients (Mihart, 2012). Among the above-stated influences, the most important influences are the situational influences thus it is significant to carefully understand it at times of difficulty in marketing such service or products. The situational influences on the clients buying behaviour in actual sense is the impermanent situation which impacts that how they perform and behave. The situational factors which affect consumer buying behaviour importantly may vary from the personal and the product factors. These factors include all such kind of factors which are specific to a location and time of observation besides the personal knowledge plus the evocation attributes which used to make a comprehensive and organized effect on the present behaviour (Jose, 2017). The situational factors may also be stated as the basic effects of the situation on the explicit behaviour and the psychological procedures of the consumer. Impact of Social Influence The consumers buying behaviour and the final resulting purchase decision is very strongly affected by the social, cultural psychological and the personal characteristics. A comprehensive understanding refers the influence of the factors is important for marketers of the Commonwealth Bank so as to develop suitable marketing mixes to appeal to the targeted clients (Sutton-Brady, Davis, Jung, 2010). Culture: The culture is the most important factor that not only creates and develops the requirement plus need of the consumer it also, on the other hand, affects the basic gratification of such a need. The opinions, values, needs and the beliefs of the clients or the consumer are definitely shaped by the local culture and situation. It also assists in forming the comprehensive attitude of the consumer refers the purchasing of a specific service and products. The culture in relation to an individual is gratifying so many emotional requirements and also aims to protect the cultural values and beliefs (Nayeem, 2012). It is a significant and very crucial factor when the needs and behaviour of the individual are needed to be known or understood. The monetary concerned or the economic decisions that are to be taken by the consumers are affected and intervened by the culture at times when either acting for an organization or at the time of working as a unique and personal consumer (Nayeem, 2012). I n order to understand the behaviour of a consumer, the Commonwealth Bank must have the comprehensive knowledge of the cultural norms and values. The culture is concerned with the traditional ideas and also with the certain values that are linked to similar ideas (Pires, Stanton, Eckford, 2004). The influence of the culture certainly affects the understanding of the brand, motive, purchasing intention, and attitude of the consumer. However, the culture greatly alters and affects the purchasing behaviour of a consumer plus also the usage habits of the consumer. Various cultures belong to each and every society, which reflects various parts of human behaviour that are learned and accepted by the various groups of human beings and also from the traditional part of their livelihoods and life (Pires, Stanton, Eckford, 2004). The impact of the culture refer the buying behaviour of the customers differs from every nation, thus the marketers are to be careful at the time of analysing the culture of various groups, regions, and nations. The producers cannot make a new product in absence of considering the basic culture of the consumer who lives in a particular place or nation (Sutton-Brady, Davis, Jung, 2010). The Bank will follow the latest culture of the online trading and will launch applications related to the online banking such as the mobile banking, internet banking, and many other applications which help the c onsumer to continue their transaction from the comfort of their own house (Pandey, Jamwal, 2016). Social Class: Yet another factor that has a comprehensive social influence refer the purchasing behaviour is the social factor or social class. The social class is described as the group of more or less homogenous humans who are ranked in comparison with each other refer forming of a social hierarchy. Also in the big groups the identical values, lifestyles, interests and behaviours can be witnessed among the humans of the similar social class (Iyer, Kashyap, 2007). Each and every society consists of some social class that is significant for the marketers as the buying behaviour of the people in the social society or social class is very identical or same. Thus one can change or tailor the acts of the marketing, refer the other social classes (Iyer, Kashyap, 2007). As per some studies, it is also described as stated that any social belief or perception of the brand or the retailer plays a significant role in the decision to purchase a commodity and also the basic behaviour of the consumers. On the other hand, the social class has got a big influence refer the purchasing behaviour and habits of the consumers. Many times, when we listen about the social class, at the same it associates something to the monetary or the income level. The social class refers to that place at which one stands in the local social society (Rossiter, 2012). This is a true fact that all individuals with different social classes have various consumption desires and patterns. The social class basically is a 3 tiered approach which consists of the upper class, middle and the lower class. All individuals who belong to the similar class mostly do have the similar lifestyle and attitudes, dress sense and similar neighbourhood, habits etc (Rossiter, 2012). Nevertheless, it is true to say that the buying behaviour of the consumer does alter with the social class. A lower class consumer shall pay more attention and interest to those thinks which are low cost, while on the other hand, the high-class consumers shall focus on buying commodities which are more attracting and shall not at all care about the price of that commodity (Williams, 2002). The lower class consumer at times do also compromise in quality as they are unable to pay more for that kind of commodity while on the other hand the high-class consumer shall not at all compromise as far as the quality of the commodity is concerned no matter whatever price for that he or she has to pay. Hence, the Commonwealth bank keeping in mind the different social classes will focus on the launch of the different products which suits the different class of the consumers and benefits them as per their requirement (Williams, 2002). The different applications are also launched by the banks which will act as per the consumer requirement such as for the higher class the different privilege accounts and applications are provided by the bank which will help the consumers in fulfilling their normal requirements of the banking transactions through such accounts. The Consumer Behaviour and Social Influences: The marketing strategy of the Commonwealth Bank at the priority has to understand the social and the cultural factors which may influence customer behaviour in that particular market. This plays an important role in the perceptions, habits, behaviour and the consumer expectations (Lindridge, Dibb, 2003). Commonwealth Bank from the years of its existence has grown its reputation where the organization is classified as the priority of the consumer service. The bank establishes the mission statement where the consumers feel as their individual needs are attended and at the point will reach the level of self-actualization. The steady assurance and achievement of Commonwealth Bank in the precedent support the beliefs of satisfying the consumer's needs. The social influences in a great way affect the banking sector (Lindridge, Dibb, 2003). The Bank for its success and understanding the consumer behaviour must study the culture of the area where the bank is going operational. The locations where there is no culture of using the banks for their financial transactions will lead to the low income for the organization. Hence, the bank shall understand the cultural and the social needs of the consumers and thus focus on such strategies which attract the consumers and helps them in taking the de cision as per their needs and related to the services and the products of the organization. Marketing Strategies and the Consumer Behaviour: Such social factors are to be implemented by the marketing segment of the organization for enhancing the sale and the growth of the organization. At the time applying the marketing strategies, the organization must keep in mind the cultural and social background of the consumers in the area (Burchell, Rettie, Patel, 2012). The marketing strategies 4ps will develop the great knowledge about the social influences on the consumer behaviour of the organization. Product: The marketing strategies of the Bank the focus is to be on the product services which are provided by the bank. The products which are supplied in the market by the organization are intangible, perishable and heterogeneous (Burchell, Rettie, Patel, 2012). The products customization is to be completed as per the consumer requirement. Hence, care and caution are to be applied while designing the consumer services. Place: The location where Commonwealth Bank is located of prompt importance. It has to be the prime area where the vision of the bank is clear to all class of the consumer and is within the reach of the consumer to perform their financial transaction (Burchell, Rettie, Patel, 2012). Promotions: for consumer attractions, the organization must focus on the promotional strategies. The company from time to time may launch certain schemes and loyalty programs which may attract the consumer (Burchell, Rettie, Patel, 2012). Such promotional strategies must focus on the factors related to the social influences such as the culture and the class of the consumers. Process: Process is one of the significant factors in the process of delivering services. It is the organization responsibility for ensuring that similar and the required services are delivered to the consumers (Burchell, Rettie, Patel, 2012). Conclusion: Hence, to conclude the great understanding and the identification of the related social factors that influences the consumer decision process in the purchasing of the products gives the opportunities to the companies for developing such strategies, marketing campaigns and marketing messages for the understanding the needs and the thinking of the targeted consumers and hence better understanding the consumers needs with the result of increasing the sales and achieving the organisation objectives. Social influences are such factors which result from time, considerations and the location which in turn puts up the impact on the consumer buying decision process. The situational factors do also affect the consumer's action in the phase of the purchasing behaviour plus it can also extend, abbreviate or even cease procedure of the buying (Akhter, 2007). 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