Wednesday, December 11, 2019

Service and Relationship Marketing for Customer Behaviour

Question: Discuss about theService and Relationship Marketing for Customer Behaviour and Culture. Answer: According to Lautiainen (2015), customer behaviour can be explained as the manner in which the decision regarding the selection, purchase and use of the products and services is taken by an individual. Various organisations are providing different products and services for the purpose of meeting the needs and expectations of the customers. Customer behaviour determines the decision for the selection and purchase of the product or service. Customer behaviour plays a vital role for a business as performance; success and growth of the business are dependent on the behaviour of its customers. There are different stages through which a customer passes from while making a decision regarding the purchase of the product or service. With the change in the business environment, there has been a change in the manner in which customers are making a decision regarding the purchase of a product or service. Various factors are responsible for the decision taken by the customer and determining the b ehaviour of the customer towards a product or service (Ogbeide, 2015). These factors which determine the customer behaviour include income level, education level, age and gender of the customer, price, and promotional techniques used by the companies; the trend in the market, previous experiences gained by the individual and need of the customers. All these factors help the individual in making a decision regarding the selection and purchase of the product or service which enhances the satisfaction level of the customer. Most important factor among these factors is the previous experiences of the individual as the behaviour of the customer gets affected by the satisfaction level customer have derived from the consumption of the product or service (Musasa, 2014). Businesses need to analyse the behaviour of the customers for analysing the chances of survival and growth of the business. Customer behaviour changes constantly due to which buying decision of the customer changes. The behaviour of every customer is different from others as there are various factors which affect the behaviour of the customers which includes nature of the individual, life style, culture and trend. Customer behaviour is an important aspect for every business and for attracting the customers and creating a positive impact on the customer behaviour, companies are using different techniques. The quality of the products or services and customer behaviour are directly proportional to each other. Customer behaviour helps in determining the purchase decision of the individual. Customer behaviour helps in making predictions regarding the future decisions of the business (Ogbeide, 2015). Culture can be defined as the values, customs, beliefs and behaviour adopted by the different individuals of the society for coping with the world. The culture of every country differs from each other which create an impact on the customer behaviour. Culture plays a vital role for business as it shapes the behaviour of the customer towards the products or services offered. Culture is the sum total of different elements which determine the behaviour of the customer. Elements which sum up the culture are society, attitude, and feelings of the individuals, traditions and language (Speirs, 2011). Cultural aspects of the country create an impact on the choice of the customers and buying decision of the customers. The culture of the customer shapes the perception of the customers, values adopted by the customers and actions of the customers. Wants of the customers are determined on the basis of the culture. Businesses need to analyse the culture of the country for determining the behaviour and thoughts of the customers on which their buying decision is dependent on. It has been analysed that the sale of the product or service at one location is more than the other one. This is due to the differences in the culture of the locations (Durmaz, 2014). Culture sets boundaries for the business to operate within. Culture determines the manner in which individual spends money. Cultural aspects of every country differ from another which creates an impact on the choice and selection process of every individual. Cultural factors are crucial for determining the buying behaviour of the customers. Culture set the preference or the buying pattern among the customers (Akpan John, 2016). Business needs to analyse the culture of different locations for enhancing the customer base and enhancing the performance of the business. The culture of the location is an important element which ensures the satisfaction level of the customers from the products or services offered. The culture of every country is dynamic as changes are taking place in the values, beliefs and behaviour adopted by the society. The manner in which a product or service is marketed is determined by the culture of the country. The behaviour of the customer is regulated by the cul ture of the place. Cultural analysis needs to be done for analysing the behaviour of the customers (Spiers, et. al., 2014). Service encounter can be explained as the transactional interactions between two persons in which one is engaged in providing service or product to another person. Service encounter is the medium for the exchange of the products and services. Service encounter includes tangible as well as intangible products or services which have the potential to create an impact on the satisfaction level of the customers. It forms a base for the interaction between the service provider and customer (Singh, 2013). Service encounter can be pre core or post core as customers may need assistance before the purchase of goods or services for gaining information related to the product or after the purchase of the goods or services for issues faced by them. It is vital for a business to develop healthy relationships with the customers. Service encounter creates a huge impact on the experience gained by the customers. The satisfaction level of a customer depends on the treatment customer gets from the servi ce provider during the exchange of the service or product. Perception of the customers towards the service is dependent on the service encounter. Chances of success of the business can be determined with the help of the positive service encounter (Larsson, 2009). In this competitive world, the role of service encounter in the service and product management industry is increasing. Increasing competition has motivated companies to enhance the quality of the services or products. This provides a competitive advantage to the companies as well as builds a healthy and positive relationship between the service provider and customers. This enhanced quality of the products or services has developed loyalty among the customers. The quality of service is judged by the customers on the basis of the service encounters. The quality of the services rendered to the customers acts as a customer retention tool. Service encounter is also termed as Moment of truth (Wang Hsu, 2012). The quality of the services forms a base for the expansion of the customer base and gaining the trust of the customers. Service encounter helps in focusing on the quality offered to the customers for the attainment of the desired goals. Measurement of the satisfaction level of the cu stomers helps in analysing the response of the customer towards the products or services offered. Type of relationship between the service provider and service receiver is determined by the effectiveness of service encounter. When a customer feels that it is valued by the service provider, then it feels satisfied and trust is generated among both the parties towards each other (Singh, 2013). References Akpan John, S., 2016, The Influence Of Cultural Factors On Consumer Buying Behaviour (A Case Study Of Pork), British Journal of Marketing Studies, Vol.4, No.6, pp.44-57. Durmaz, Y., 2014, The Influence of Cultural Factors on Consumer Buying Behaviour and an Application in Turkey, Global Journal of Management and Business Research: E Marketing, Volume 14, Issue 1. Larsson, L. I. O. P., 2009, Service Work and Employee Experience of the Service Encounter, Faculty of Economic Sciences, Communication and IT Working Life Science. Lautiainen, T., 2015, Factors affecting consumers buying decision in the selection of a coffee brand, Saimaa University of Applied Sciences. Musasa, T., 2014, Customer Service And Its Impact On Consumer Purchasing Behaviour At Supermarkets In The Greater Area Of Ethekwini., Durban University of Technology. Ogbeide, O. A., 2015, Consumer behaviour in product acquisition: Literature review, Research Gate. Singh, S., 2013, Positive Service Encounter: A Tool for Customer Loyalty in Retail, Journal of Business Theory and Practice, Vol. 1, No. 2. Speirs, S. C., 2011, The Impact of Culture on Consumer Behaviour Across the Caribbean, The University of the West Indies. Spiers, S., Gundala, R. R. Singh, M., 2014, Culture and Consumer BehaviorA Study of Trinidad Tobago and Jamaica, International Journal of Marketing Studies; Vol. 6, No. 4. Wang, C. H. Hsu, L. C., 2012, How do Service Encounters Impact on Relationship Benefits, International Business Research, Vol. 5, No. 1.

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