MARKETING

Marketing Management

Marketing Management

Task 3

Introduction

This task will illustrate the concepts of understanding the customer behavior and how it can increase sales for the managers attending this seminar. The managers must understand how people behave as customers and how market segmentation is done. Further the importance and effect of individual and societal perspective when making a purchase. Moreover, the complete decision making process of customer and significance to understand the process for Toga toys plc.

Discussion

Understanding Customer Behavior - How it can increase our sales

Customer behavior is can be defined as the study of the process through which customer make decisions for the acquisition, consumption, evaluation and disposal of the products or services, including their attitude and perception which influence the purchase decision. Each customer group has their needs and wants which are to be fulfilled. The clear understanding of customers can give the company an edge over the other competitors in the market (Loudon & Bitta, 2002, pp.9).

Understanding the customer behavior has a significant impact on the sales of the company. It enables to better focus the efforts and set directions for the business objectives. The behavior of the customer must be examined to develop the market strategies according to their attitude and perceptions about the company. Understanding customer behavior is not only necessary for the sales but also for the company develop new and innovative products which are to be full filled. This seminar has been divided into five phases each of them explaining the customer behavior and the impact on sales (Loudon & Bitta, 2002, pp.9).

The customers in context

In our daily lives, we are all customers purchasing goods and service constantly. The act of acquiring and consuming is part of daily routine. The occurrence and frequency of the making purchase is such that we often overlook the importance of how the products and services are shaping our lives. It is imperative to conduct research for understanding the customer mind of frame and the context in which they make decisions which directly affects the sales of the company (Loudon & Bitta, 2002, pp.9).

People as customers

The consumers not only purchase goods for their personal consumption but act as a purchaser for others. The toys are for the children ages two to nine; hence it is understood that the purchaser for them can be their parents, grandparents, relatives and their friend's parents. The marketing must be designed in a manner which attracts and appeals children purchasers to buy the toys. For providing superior value to the customers the company must identify how people behave in the role of customer.

Customer behavior and market segmentation

Market segments are required to understand the customer behavior in each of the segments. Market segmentation is the process of identifying segments of customers which are accessible, measurable and profitable. The marketers can segment the market on the basis of aggregate market or small segments (Loudon & Bitta, 2002, pp.9). The concept of viewing markets as aggregate focus on developing same products and offering it to consumers with a single marketing strategy ...