Lesson 3: dynamics of purchase behavior

 

Reading:

A person has many needs at any given moment. Some are biological, arising from hunger, thirst, and discomfort. Others are psychological, arising from states of tension, such as the need for entertainment. Most events in our life include both biological and psychological needs. For example, family's visit to the restaurant for a "lovely treat" includes a release of both biological need (hunger) and psychological need for entertainment. A decision to go out for a meal the marketers would call a "buying decision", and they see in it a very complex group activity.

A buying decision may be looked upon as a little play in which several people take part, and each plays a particular role. A person who first suggests the idea of buying something is the Initiator, a person whose views have some weight in making the buying decision is the Influencer, a person who makes a final decision to buy is the Decider, a person who makes an actual purchase is the Buyer, and the person for whom the purchase is made is the User, though very often they may be the same person.

Very often the choice of a destination for the family vacation is a group decision. For example, the suggestion to go on a vacation might come from the oldest child. A friend who just took her family to Las Vegas might recommend it as a vacation spot. The husband might want to go to the mountains in Utah, while the wife wants to go to the beach in California. The final decision is usually taken jointly.

A company needs to identify these roles because they affect product design and advertising. A resort for scuba divers might be aware that males age 25 to 40 are usually the decision-makers concerning selection of the destination, i.e. the particular island or the place on the coast. The marketers might also find that companions of the divers usually produce a great influence concerning the selection of an actual resort hotel to stay in. That is why the marketers should not exclude either party in their advertisements since both play the role of decision-makers. Knowing the main participants and their roles helps the marketer to fine-tune the marketing program.

 

 

Exercises:

1. Find in the text the following topical words and phrases, make sure that you are able to explain in English what they mean, and add them to your working vocabulary:

a state of tension, entertainment, group activity, purchase behavior, to go out for a meal, a vacation.

 

2. Write out from the text the parts of the sentences which contain the following words and phrases and translate them into Russian:

a "lovely treat", a vacation spot, scuba divers, a companion, to fine-tune a program.

 

3. Answer the following questions using the topical words and phrases:

1. How do biological and psychological needs interplay in making a decision to go to the restaurant instead of eating at home?

2. What do they call a person who comes up with an idea to buy smth?

3. What is the function of the Influencer? Do you think it is an important role?

4. Why is it necessary to differentiate between the Decider and the Buyer, the Buyer and the User, if very often they are the same persons?

5. What roles do the people play in the situation of a family vacation described in the text?

6. Why is it necessary for a tourist company to identify these roles?

 

 

LESSON 4: REVIEW EXERCISES

1. Discuss the following concepts and notions:

a reference group, a lifestyle, beliefs, attitudes, the buyer decision process, post purchase behavior, adoption of the new product, family planning, a cultural shift, group dynamics, the Influencer, the Decider, the Buyer, the User, cognitive dissonance.

 

2. Give your definitions of the following topical words and phrases:

an occupation, a self-image, motivation, consumption pioneers, early adopters, early majority, late majority, laggards, the social elite, the new rich, to consume conspicuously, to keep up with the trends, to be on welfare, principle-oriented buyers, status oriented buyers, action-oriented buyers, selective exposure, selective retention, positioning, to affect revenue, a buffet section, a "lovely treat", a companion, a parking lot.

 

3. Choose a topic for Project Work or an Essay from those given below:

1. Choose some American restaurant concept that you would like to work in Moscow. How will cultural and social factors work for or against the success of this restaurant? Arrange a talk show on this issue.

2. Apply the five stages in the buyer decision process to your selection of a destination for your summer vacation.

3. Why is the post purchase stage included in the model of the buying process? Discuss its importance and the possibilities of hospitality industry to make this stage more enjoyable for a guest.

UNIT 5.

MARKETING OF HOSPITALITY SERVICES