To understand consumer behavior we first must know what it means. According to the MKTG3 text, consumer behavior describes how consumers make purchase decisions and how they use and dispose of the purchased goods or services. The consumers are the people that make your business profitable and thus knowing how to appeal to your certain target market is crucial.
Generally, there are three broad consumer buying decisions categories. They include routine response behavior, limited decision making, and extensive decision making. Nike, as a company, falls into the routine response behavior because of its popularity and satisfaction worldwide. Consumers tend to not put forth much time or involvement in order to buy Nike products. They know what they are buying(the best sports products in the world) from past experiences and low risk (socially, financially, and psychologically).
Nike Football biggest rival: Under Armour |
There are also other factors that influence consumer buying decisions: cultural, social, individual, and psychological.
- Cultural factors are the biggest influence in decision making. Nike understands that culture is dynamic because of it global popularity. They understand culture divides into many subcultures and social classes therefore strategizing how to target each respective group. The downside with Nike is that are a lot of people that culturally find Nike socially irresponsible for its manufacturing process internationally, thus having consumers buy from other competitors.
- Socially, Nike does well because of its popularity in the world and how it is viewed as fashionable and cool, so people love wearing Nike proudly. Here is the link for Nike's direct fashion for NYC
- NIKE NYC FASHION
- Individually, males and females, of all ages, accept what Nike has to offer because its vast array of products for all. Nowadays, people tend to view Nike as sporty and active which is a lifestyle most people around the world strive for. To become healthy and slim.
men advertising |
women advertising |
- Psychologically, Nike is regarded as the best sportswear company in the world, thus having consumers stimuli activated to engage buying Nike product. Consumers perception recognizes that Nike is an acceptable brand to purchase. Most Nike consumers have selective retention because of their constant Nike purchases while knowing that the product was made unethically in other countries. Consumers usually do not CARE!
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