Title: Personal Factors affecting Consumer Behavior
Consumer behavior helps us understand the buying tendencies and spending patterns of consumers. Not at all individual would prefer to buy similar product. Consumer behavior deals with as to why and why not an individual purchase particular products and services. Personal factors play an important role in affecting consumer buying behavior.
The occupation of an individual plays a significant role in influencing his/her buying decision. An individual’s nature of job has a direct influence on the products and brands he picks for himself/herself. Tim was working with an organization as Chief Executive Office while Jack, Tim’s friend now a retired professor went to a nearby school as a part time faculty. Tim always looked for premium brands which would go with his designation whereas Jack preferred brands which were not very expensive. Tim was really conscious about the clothes he wore, the perfume he used, the watch he wore whereas Jack never really bothered about all this.
That is the important of one’s designation. As a CEO of an organization, it was really essential for Tim to wear something really elegant and unique for others to look up to him. A CEO or for that matter a senior professional can never afford to wear cheap labels and local brand to work.
An individual’s designation and his nature of work influence his buying decision. You would never find a low level worker purchasing business suits, ties for himself. An individual working on the shop floor can’t afford to wear premium brands everyday to work.
College goers and students would prefer casuals as compared to professionals who would be more interested in buying formal shirts and trousers.
Age and human lifecycle also influence the buying behaviour of consumers. Teenagers would be more interested in buying bright and loud colours as compared to a middle aged or elderly individual who would prefer decent and subtle design. A bachelor would prefer spending lavishly on items like beer, bikes, music, clothes, parties, clubs and so on. A young single would hardly be interested in buying a house, property, insurance policies, gold etc. An individual who has a family, on the other hand would be more interested in buying something which would benefit his family and make their future secure.
3. Economic Condition
The buying tendency of an individual is directly proportional to his income/earnings per month. How much an individual brings home decides how much he spends and on which products?
Individual with high income would buy expensive and premium products as compared to individuals from middle and lower income group who would spend mostly on necessary items. You would hardly find an individual from a low income group spending money on designer clothes and watches. He would be more interested in buying grocery items or products necessary for his survival.
Lifestyle, a term proposed by Austrian psychologist Alfred Adler in 1929. Refers to the way an individual stays in the society. It is really important for some people to wear branded clothes whereas some individuals are really not brand conscious. An individual staying in posh locality needs to maintain his status and image. An individual’s lifestyle is something to do with his style, attitude perception, his local relations and immediate surroundings.
An individual’s personality also affects his buying behaviour. Every individual has his/her own characteristic personality traits which reflect in his/her buying behaviour. A fitness freak would always look for fitness equipment whereas a music lover would happily spend on musical instruments, CDs, concert, musical shows etc.
Hidayaton Binti Abdul Halim