8 IMPORTANCE OF CONSUMER BEHAVIOR STUDY
1. Define product policies
A successful sales of products depend on identifying what you target audience prefer. Therefore, it is the step one importance of studying consumer behavior that it provides the opportunity to determine the policy of the product in accordance with the consumer's wishes and interests. The motivation that drives all businesses is to increase the company's products and sales, and for this, it is most important for any company or business to earn their customers trust. But in order to gain this trust, we need to discover what our customers like and what they prefer.
2. Understand how price affects purchases
By studying consumer behavior, we can find out how the price of the product effects purchasing process of consumers. As long as the price of the product remains low, sales and audience will increase.
After the product goes on sale, the company needs to rethink the price of product. Because updating the price of a product can greatly help to categorize consumers and increase the number of sales.
3. Take advantage of market opportunities
If changes in consumer preferences are identified, there is a good opportunity for products that cannot find new value in the market to re-enter the market in line with consumer preferences.
Changing the packaging, label, and name of products to match the current situation of consumers is a great example of using market opportunities.
4. Creating the marketing kit
With the importance of consumer behavior research, we create the right marketing kit (product, price, promotion, distribution) to use in our business.
Products needs to be valuable, stability of price, positioning intensive and consistent, all of which need to work with the right promotion mechanism.
5. STP-Segmentation, targeting and positioning
We implement policies such as customer segmentation, targeting and distribution by understanding consumer attitudes towards several brands.
Consumer behavior research is important in classifying consumers who are similar in terms of interests, needs or preferences and finally positioning products in the market according to distribution. In addition, in order to create a positive image of a company's product, it is very important to be competitive and outperform them.
6. Understand the different options
The 6th importance of studying consumer behavior is that consumer choices are very diverse in background and change regularly over a period of time. Today's consumers are very savvy and want to maximize the profit they can get from a product or brand.
7. Understanding purchase decision making
The 7th importance of consumer behavior research is that consumers are divided into many roles during the purchase decision process, and being able to identify and study these roles and decision-making steps.
Consumers create many different personas during their purchasing decisions, including innovators, thinkers, aspirants, and experimenters. The stage of making a purchase decision is divided into identifying the need, searching for information related to the need, evaluating multiple options, and making a purchase decision.
8. Customer satisfaction results
The 8th importance of consumer behavior is to understand whether the product meets consumer expectations through consumer satisfaction. If the product is able to exceed the expectations of the customers, then the result of satisfaction is great.
Although there are many different departments and areas in the organization, such as finance, product, marketing, etc., they all work under the same goal of satisfying the needs and interests of the customers.