Consumer Behaviour Essay Example | Topics and Well Written Essays - 1750 words

Consumer Behaviour - Essay Example While the youth and children are the primary decision makers on certain categories of products, among the adults the decision rests with the one who contributes the maximum towards household expenses. Based on these factors Starbucks is advised to cater to the discerning consumers products and service that would make them feel distinguished. Table of Contents 1. Introduction 1 2. Motivation & Benefit 2.1 Theory of Planned Behavior 1 2.2 Self-identity 1 2.3 Uniqueness Theory 2 2.4 Scarcity and attractiveness 3 2.5 Organic coffee and its impact 3 2.5 Customer preferences 4 2.6 Physical environment 4 2.7 Recommendations for Starbucks 5 3. Family Life Cycle and Family Decision-Making 5 3.1 Family Life Cycle 5 3.2 Stages in FLC and choices 7 3.3 Family decision-making 8 References 10 1. Introduction Starbucks is an upscale, recognized coffee brand enjoying competitive advantage. They have 17,000 stores in 49 countries and their greatest strength is their strong brand image and a considera ble market share. The UK coffee market, according to a study by Mintel in 2010, is expected to grow and is forecast to be worth GBP976 Million by 2015 (PR Newswire, 2010). On an average adults consume about two cups of coffee per day and Starbucks has less than 1% of the global market share (Kotha & Glassman 2003). Competition being intense, Starbucks needs to understand the motivation and benefits that consumers seek. 2. Motivation & Benefit 2.1 Theory of Planned Behavior Consumer behavior is associated with idealized people and communicates information about consumers (Smith, Terry, Manstead, Louis, Kotterman & Wolfs, 2008). It communicates their personal values and their self-identity. The Theory of Planned Behavior (TPB) suggests that behavioral decisions are not spontaneous but the result of a reasoned process in which behavior is influenced, even if indirectly, by attitudes, norms and perceptions of control over the behavior (Smith et al. 2008). The attitudes, norms and the pe rception of control over behavior influence behavior through their impact on behavioral intention. Food choices including the intention of consuming environmentally friendly products are all influenced by the TPB. 2.2 Self-identity People buy a product for the value they can deliver. The purpose, the product and the person interact to shape consumer behavior and any changes on any of these could impact consumer behavior (Ratneshwar, Shocker, Cotte and Srivastava (1999). How the product or service contributes to their self-identity and well being influences consumer behavior. The teenagers, for instance, like to be seen at trendy places. To them the social experience and the perceived brand value hold importance (Lockyer 2009). Self-identity is the extent to which the individual sees him- or herself as a typical consumer of a product, and may play a role in the context of the consumer (Smith et al. 2008). Self-identity, an important determinant of behavior, reflects the label people use to describe themselves. To boost their self identity consumers can consume food and also consume food at places that would help distinguish them. Self-identity predicts intentions to consume fair trade products and unique products. 2.3 Uniqueness Theory Food can either be consumed publicly or privately. Consumers like to experience goods and services that will distinguish them from others. Hence advertising should be unique in its appeal to the coffee consumers.