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A market is designed for buying and selling of products and services. It is a human activity to satisfy the human needs and wants through the exchange process. This means the aim of marketing is to satisfy the potential needs and wants of products and services of the consumer. To do marketing effectively, first we need to understand the likes, dislikes, preferences, taste, process of purchase, consumption patterns, buying power, buying place, quantity etc. of the buyers of that product. Here comes the importance for us to learn the consumer behavior. Let us look at the meaning, importance, types and factors affecting the consumer behavior.
such people. Again within each category also different people prefer different brands. Thus, each consumer is unique. This uniqueness is reflected in the consumption behavior and pattern as well as process of purchase. The knowledge of consumer behavior provides us reasons as to why consumers differ from one another in buying and using products and services. What products and services do we buy, how often do we buy, why do we buy, From where do we buy etc. are the issues which are comes under the subject of consumer behavior. It blends the elements from economics, psychology, sociology and social anthropology. It tries to understand both individual and group decision making process of consumers. Consumer behavior can be defined as those acts of consumers (individuals) directly involved in using, obtaining and disposing of economic goods and services, including decision process that precede and determine the these acts.
3. Social Factors 4. Cultural Factors Psychological Factors: A felt need of something useful is the starting point of a purchase decision process. We all have needs. We hope fulfilling those needs will improve and satisfy our life. Sufficiently pressing needs will direct the person to seek its satisfaction. We call this urgency of the need motive. Therefore, motives are inner states that direct people towards the goal of satisfying a felt need. People take steps or action to reduce the tension created by the want or need. Mr. Abraham Maslow (1908 - 1970) has developed a useful theory of the hierarchy of needs based on tow important assumptions. 1. People are wanting animals whose needs depend on what they already possess. Only these needs that have not been fulfilled can influence human behaviour. A satisfied need is not a motivator. 2. In the order of importance all needs can be ranked from the low biological needs to the higher level psychological needs. Unfulfilled level of need is the motivator behind the individuals behaviour. As soon as one level of need is fulfilled, he moves on to the next higher level of needs. Maslow has classified the needs into five categories. They are: 1. Physiological needs 2. Safety Needs 3. Social Needs 4. Esteem Needs 5. Self Actualization Nees Since no need is ever totally satisfied, there is always overlap amongst the different levels of needs. Also there is always scope for further fulfillment. Physiological Needs: The basic needs or primary needs are food, shelter and clothing. It is the common and the basic need of a human being. He sees to fulfill this need before he goes for higher needs. Once hungry, a person ignores all
other needs until he gets food to satisfy his hunger. Once his Physiological needs are met, he looks for other higher levels of needs and try to fulfill such needs. He tries to fulfill his basic needs of Food, water, air, shelter and sex at this stage. Safety Needs: The second important need is the safety, security and protection from physical unexpected harm which may come in the way as the life progress. To protect oneself from such unexpected harm, he take the necessary steps to face such situations. Saving account, medical insurance, life insurance, health club membership are some of the tools he use to protect himself. Security of: body, employment, resources, morality, health, family health are some of the desires he tries to fulfill at this stage. Social needs: The desire to be accepted by family, individuals and the society (group) comes after fulfilling the physiological and safety needs. To be accepted in the society, he starts to behave in such a way that acceptable to the society in which he live. He change his dress code. Use gadgets to match the status of the group he belongs. He would be interested in obtaining status among the group in which he belong. Friendship, belongingness, family, sexual intimacy are the some of the needs that one desire at this stage. Esteem needs: A sense of accomplishment, achievement and to receive respect from others is the next higher level of need a person desire to fulfill. Status, Prestige, Success, Self Respect, confidence, respect by others and respect of others are some of the desires one look for at this stage. Esteem needs are present in all human beings. But very few work towards to achieve the same in a big way. In this level he not only desire to get acceptance but also have a desire for respect and recognition. He wanted to be an outstanding individual in the crowed. Self-actualization Needs: Maslow defines self-actualization as "The healthy man is primarily motivated by his needs to develop and actualize his fullest potentialities and capacities. What man can be, he must be." He tries to achieve his fullest potential of his capabilities and talents at this stage. Morality, creativity, spontaneity, problem solving, lack of prejudice, acceptance of facts are some of the needs of this stage one seeks for.