📗 Chapter 5: Understanding Buyer’s Behavior
Why this chapter is important:
You learn how and why customers decide to buy.
Helps you design better products, promotions, and pricing based on what buyers like.
Connects with previous chapters like:
o Segmentation: Know who to target.
o Market Environment: Understand external factors.
o Marketing Info: Collect data about customer behavior.
✅ Questions & Simple Answers with Real Examples
1. What is buyer behavior? Explain buying process with example of laptop.
Buyer behavior means how people make decisions about what to buy, when, from where, and why.
Buying process (Laptop example):
1. Need recognition – My old laptop is slow.
2. Information search – I check online reviews or ask friends.
3. Evaluation of alternatives – Compare Dell, HP, Mac.
4. Purchase decision – Choose based on budget & features.
5. Post-purchase behavior – Am I happy or regret the decision?
🧴 Example (Beauty Parlor): A bride checks local salons, compares bridal packages, and books your
parlor because you have good reviews and a free mehendi offer.
🥒 Example (Pickle Business): A health-conscious person sees your ad for oil-free pickle on Facebook,
compares with others, and buys yours due to natural ingredients.
2. What is organizational buying? How is it different from consumer buying?
Organizational buying means companies buying products/services for business use, not personal.
Difference:
Point Consumer Buying Organizational Buying
Purpose Personal use Business use
Quantity Small Large (bulk)
Point Consumer Buying Organizational Buying
Decision Time Quick Slow, formal process
🧴 Example: A hotel in Dhangadhi buys 20 pickle jars monthly from you to serve to guests =
organizational buying.
3. Explain post-purchase behavior.
It refers to the customer’s feeling after buying.
Satisfied? They return or recommend.
Unsatisfied? They may complain or never return.
🧴 Parlor Example: A customer got a facial but didn’t see results. If you don’t handle it well, she won't
return. But if you give her a free touch-up, she becomes loyal.
4. Economic determinants of consumer behavior:
Economic factors that influence buying:
1. Income – Higher income = more spending.
2. Prices – Cheaper products attract more people.
3. Savings – If people want to save, they spend less.
4. Credit – Easy installment = more sales.
🥒 Example: During inflation, people may buy smaller pickle jars (Rs. 50 instead of Rs. 120).
5. Two psychological determinants of buyer behavior:
1. Perception – How a person sees a brand.
2. Attitude – If they believe natural is better, they prefer your preservative-free pickles.
6. How does learning and motivation influence buying?
Learning – If a person learns that your facial gives glowing skin, they come again.
Motivation – A bride wants to look beautiful, so she books makeup and spa combo.
7. Nature of organizational buying behavior:
Involves many decision makers.
Focus on price, quality, quantity.
Process is formal and longer.
🧴 Example: A wedding planner asks for 10 parlor appointments. They care about timely service and
good price.
8. Difficulties in studying buyer behavior:
Every customer is different.
Behavior changes with trends, mood, or budget.
External influences like family, friends, or social media.
9. What is consumer behavior?
It is how a person chooses, buys, uses, and reacts to products or services.
10. Who are consumers?
Anyone who buys or uses your product/service.
🥒 Pickle buyers.
💇 Parlor clients.
11. Importance of understanding buyer’s behavior in Nepalese market:
Nepalese buyers prefer value for money.
Word-of-mouth and trust are strong factors.
Knowing this helps you make better offers and ads.
12. Four characteristics of organizational buyer:
1. Bulk buying
2. Focus on business needs
3. Formal process
4. Relationship matters
13. Who is a buyer?
Anyone who takes decision to buy a product or service.
✅ Summary Table
Topic Real Life Example
Buying behavior Bride checking 3 parlors before booking yours
Organizational buying Hotel buying 30 jars monthly
Post-purchase Free fix if facial didn’t work
Economic factor Offering Rs. 50 mini pickles in low-income areas
Learning Customer tells friends about your parlor’s great service
Motivation Bride books premium package to look special