Consumer Behaviour Nestle

Topics: Decision making, Cognition, Decision theory Pages: 7 (1846 words) Published: October 17, 2011
NESTLE: Allen’s Confectionary

Select an issue or product that relates to consumer and organizational behavior. The issue that has been selected is that when wanting to indulge in a sweet treat, it is difficult because a majority of products on the market are high in sugar, preservatives, colorings etc. A product line that has changed its products to suit the demand for a healthier option is Nestle, who have reduced sugar, fat and artificial colors in their product lines.

Pick a marketing concept from Chapter four and apply it to the product. Consumer behavior in relation to the decision making process to purchase a product.

1. Identifying (What questions)
What is consumer behavior?

What is the decision making process?

What can influence the decision making process?

2. Reflection /Questioning (How & Why questions)
How do internal factors influence consumer’s decision-making process in purchasing an Allen’s Confectionary product?

How does the time and place influence the likelihood of making a purchase?

How are consumer’s relationships with other people influential in their decision to purchase an Allen’s product?

3. Relate issue to wider context, use an example and references What are the government legislations on marketing confectionary products to children?

4. Applying (what have we learnt and how can we apply this new knowledge?) ???
Not sure what we’re meant to write here…. What do we say we’ve learnt about? The product or our topic?

Step One: Identifying
* What is consumer behavior?
Consumer behavior is defined as “the dynamic interaction of affect and cognition, behavior and the environment, by which human beings conduct the exchange of aspects of their lives.”

* What is the consumer decision-making process?
The consumer decision-making process is the process by which individuals select from several choices, products, brands or ideas. It can involve complex cognitive or mental activity, a simple learned response, or an uninvolved and uninformed choice that may even appear to be stochastic or probabilistic (occurring by chance).

The decision making process involves a series of five steps: problem recognition, the information search, an evaluation of alternatives, a product choice and a post purchase evaluation.

* The problem recognition stage is a process that occurs when a consumer sees a significant difference between his or her current state of affairs and a desired or ideal state, and initiates the decision-making process.

For our example, the problem is that we are craving confectionary but are dissatisfied with eating full sugar products that are packed with high levels of sugar and artificial colors. We desire a healthier alternative to satisfy our longing for confectionary.

* The information search is where a consumer searches for appropriate information to make a reasonable decision.

For our example, we found information via television advertisements from the company “Brand Power”. They show a commercial for Allen’s 25% reduced sugar lollies. It advises that the new line of reduced sugar lollies not only have 25% less sugar, but they have no artificial sweeteners, colors or flavors as well.

By comparing nutritional information on packets in the supermarket is another way of gathering information for us easily.

* The evaluation of alternatives is where the consumer identifies a small number of products in which they are interested in and will weigh up the pros and cons of the products, before using a evaluative criteria to make a final decision. An evaluative criteria is used to compare product alternatives,

For our evaluation of the alternatives, it would between Allen’s snakes and Natural Confectionary snakes. Our evaluative criteria would weigh up things such as the amount of sugar per serving, the weight of the product and the...
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