The study of consumer behaviour helps marketers and experts to recognize and forecast and predict the purchase behaviour of the consumers while they are purchasing a product. The study of consumer behaviour helps the marketers not only to understand and consider what consumer's purchase, but helps to understand why they purchase and needs and wants of consumers.
2. Several facets of consumer behavior exist, such as:
• How a consumer feels about certain brands, products, or services
• What motivates a consumer to pick one product over another and why
• What factors in a consumer's everyday environment affect buying
decisions or brand perceptions and why
• How consumers make decisions in groups or when they are alone
WHAT IS CONSUMER
BEHAVIOUR?
consumer behavior is a psychologically-based study of how individuals
make buying decisions; what motivates them to make a purchase
3. Why is Consumer
Behavior important
to Business ?
76%
80%
of consumers expect
companies to
understand their needs
and expectations
organizations that lead in
customer experience out
performed laggards on
S&P 500 index by
4. IMPORTANCEOFCONSUMER
BEHAVIOUR Importance of
Consumer Behaviour
• Consumer Differention
• Retention of Consumers
• Design Relevant marketing campaign
• Predicting Market Trend
• Competition
• Innovate New Products
• Stay Relevant in the Market
• Improve Customer Service
6. Case Studies
Importance of Consumer Behaviour
Some of the interesting case
studies to understand the
Importance of consumer
behaviour
7. Number Fever:
The Pepsi
Contest That
Became a Deadly
Fiasco
Decades ago, a marketing stunt
promised Philippine soda drinkers a
chance at a million pesos. But an
error at a bottling plant led to
600,000 winners—and to lawsuits,
rioting, and even deaths.
PEPSI349NUMBERFEVERSCANDAL
8. In 1992, Pepsi ran a marketing
Campaign called Number Fever to
boost sales.This campaign soon
turned into National Riot
PEPSI349NUMBERFEVERSCANDAL
Pepsi was worried about losing
Market Share in the Philippines so
they decided to launch this
campaign. Classic lottery Gimmick.
Man with lucky number on his bottle
cap gets a million pesos
The only mistake was
this lucky number (349)
was accidently printed
over 800,000 caps.
9. When Pepsi realised that what they
had done, it was too late. They now
owned the winners a combined total
of over $10 Billion. Thousands upon
Thousands of Filipinos demanded
their money and took to the streets
as the campaign soon turned into
violent riot.
PEPSI349NUMBERFEVERSCANDAL
Pepsi refused to give those people
many and many people turned
violent, destroying many of their
trucks and even kill a few people.
Soon, Pepsi recieved thousands of
Lawsuits.
It took almost 15 years
to dissolve all cases and
end the dispute,
resulting in millions of
dollars lost
10. When they started, they needed a low budget
way to increase brand awareness out there.They
choose a very simple route.They just went to
every single trash can in London and fillled with
empty Red Bull cans.
This created a perception that
there was massive demand
for this unkown product,and the rest is history
Genius
Marketing By
Red Bull
Today,this Bull is dominating it's niche, is the brand
leader in sector,and number one for top of head
recognition. Whoever thought up this idea deserves
Medal
11. DETTOL
Vs
SAVLON
Many startups now a days feel frustrated why their
product is not a success inspite of solving the burning
problem of the consumers .
A SMALL ST ORY OF DET T OL AND
SAVLON IN INDIA DURING EARLY
1990'S
12. Savlon's tagline was "healing without
hurting". It hoped for a mega success.
The result was completely different . The
Savlon launch bombed.
Dettol came up with a counter punchline
"it hurts when it works" & consumer
believe Dettol.
In early 1990's Dettol was a household
name, the most dominant brand in
Indian market. However it is used to
have a pungent smell & caused
burning sensation. As a child, can
recall feeling scared even with the
mention of Dettol applied on wound.
Savlon got rid of these 2 issues when
launched , it had good smell & no
burning sensation. It had solved
these 2 major problems and as per
research was a better germ killer
than Dettol.
DETTOLVSSAVLON
BRANDMARKETINGAND
CONSUMERBEHAVIOUR
14. What “Mach” are we at now with Gillette? They
keep adding blades and go from MachX to
MachX+1 every few months as if the physics
of sound doesn’t matter, isn’t it?
GILLETTECASESTUDY
15. • Gillette makes the Guard razor, which
accounts for two of every three razor now
sold in India
• But in 2002, its predecessor the Vector was a
massive flop after intense focus grouping with
MIT students rather than India residents
• 'A-ha moment': Developers quickly learned to
better understand the exploding market
GILLETTECASESTUDY
16. GILLETTECASESTUDY
Gillette did the market research,
so what went wrong?
Here’s the catch –
they didn’t do the market research in India!
Gillette tested the product with Indian Students in
MIT and hence missed one crucial insight about
shaving habits in India. A large part of Indian men
don’t have access to running water while shaving,
so unclogging the Vector razor isn’t possible.
Yeah, a rather face-palm moment for Gillette
marketers, for sure.
17. Gillette did the market research,
so what went wrong?
When Gillette launched its Vector razor
in India, however, things weren’t
moving at such a high velocity. Gillette
did some market research before
launching this razor. They found out
that Indian men had longer and thicker
hair than Americans. So, they included a
plastic piece that could slide down in
order to unclog the razor while shaving.
Vector was launched but didn’t do well.
GILLETTECASESTUDY
18. The next time Gillette focussed on the Indian market,
they did things the right way. 20 people from their
headquarters spent 3,000 hours with more than 1,000
consumers in their homes. The result – Gillette Guard,
one of the bestsellers in India. It consisted of just a
single blade, to deliver safety rather than a smooth
shave, focussing on what Indian men really needed.
THAT is the power of doing market research the right
way!
GILLETTECASESTUDY
