To analysis a customer buying behavior can be describe as a critical and important task for any marketing department. Company over the world have spent millions of dollars to analysis such data in order to make tuff marketing decision on how to capture all customer.
There are several factors that will determine a consumer buying behavior, allow me to use my personal experience to illustrate my point. Pepsi a recognized brand around the world as used social and culture factors as a based to influence their customer buying behavior. I think there module is one of the best module practice by company around the world hence why they dominate the market over coco cola in Jamaica. Pepsi have used a very important module that is working, they advertise and market the brand specifically for the geographical location for the market that they are penetrating. In their marketing strategy, Culture and social factors play an important roles in what they do hence decision is make based on the types of customer they have, i.e what happen in the market in Honduras don’t necessary will work in Jamaica. Everybody behavior are different based on these elements. These can affect the customer buying power in a negative and positive based on how you position your products. Service, ideas, experience.
Unlike other company best buy co, go a little further by putting there customer in two categories to describe them. One as an angel (the good customers) and the other as a devils (the bad customer)
There angels and the devils approach as place best buy in a negative light due to public pressure, many person have stay away from best buy who were consider to be the devil customer. It is said in customer service that one bad customer can cause the company 10 new customer and this is what happen to best buy. Brands such as DELL face difficulties from some customer because of the devils. Customer was complaining that even thou they are difficulties there money was just as important as the customer who were called angels.
This behavior by Best Buy gave their competitors and opportunities to reach out to these customer who was upset with their approach. Walmart and other company see it as on opportunities to invest heavily in electronics category because now they were getting customer that they didn’t have to do much marketing for. I honestly think this approach will affect Best buy in the future to come because of how they have categories there customer. Based on Kotler and Keller there are used several that influence these customer buying decision such as social, culture and personal factors to name a few.
Roles and Status in Kotler and Keller 2012 pg. 154 also give us another idea of how a person can see there self by the groups they fall in
SWOT of the angles and Devils classification
Strengthens : leader in electronics
Weakness : There devils customer labelling cost them many customer and prospective customer.
Opportunities : Get new customer from the upper class and give the opportunities to open stores around the world based on the increase in profit.
Threats : Give their competitors a perfect opportunities to come in the market and capture there devil customer and prospective customer who are related to these devil customer who hold some sort of grudge
In concluding, many times company are guilty of stigmatize there customer by putting them in category based on their purchasing abilities, social groups, their behavior and also there culture back ground. I honestly think such categorization is dangerous and can break any organization if not properly executed because sales that you lose today you can’t get it back tomorrow and every customer is as important as the other customer.
Marketing Management 14 edition Kotler and Keller pg. 151-155
Angels and devils by grace Wilkinson September 22 2014