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Unit 37: Consumer Behaviour and Insight

Assignment Brief

Unit 37: Consumer Behaviour and Insight

Purpose of this assessment

The assessment is designed to test students’ knowledge and understanding of the consumer’s decision-making processes, from needs recognition through research, the evaluation of alternatives, purchase and post-purchase evaluation. Is expected that students will be able to explore the underpinning theories and frameworks, and to relate these to real-world examples. An important part of marketing is to understand the processes behind how a consumer decides to purchase a product and service.

Scenario 1

You have been appointed as the new marketing associate for a company of your choice. The marketing manager is in the process of compiling an annual marketing report for the London strategic business unit and needs you to provide an informative overview of the trends in consumer behaviour for your target market in the consumer sector.

Task 1

The report will have to be based on one chosen organisation only. The organisation should trade in both B2C and B2B sectors.

The report must have three sections:

Section 1: Map of ‘Path to Purchase’ of the product/service

  1. Evaluate (with a rationale of the selected product/service) the five different stages of the consumer’s decision-making process and analyse the factors that influence that process. Use a B2C context.

  2. Evaluate the black box model of consumer behaviour. Explain how it influences marketing decisions.

  3. Map out the consumer’s decision-making process for one product or service. Use B2C context for a chosen organisation.

Section 2: Research and Data in Consumer Behaviour

  1. Compare the similarities and differences of the decision-making process (purchase decision-making) of B2C and B2B, with reference to the chosen organisation.

  2. Evaluate the different market research methods that could be applied to a B2C and a B2B context. Use examples relevant to a chosen organisation.

  3. Justify how market research can influence the stages of customer/consumer’s decisionmaking process, supported by examples. You can use both B2C and B2B contexts. Use relevant to a chosen organisation examples.

Section 3: Influence on the decision-making process

Evaluate a minimum of 2 factors that influence the decision-making process (you must include two of the following: personality, motivation, learning and perception, cultures and sub-cultures, using the appropriate theoretical models). Illustrate your evaluation using specific examples of promotional activities of your chosen company. This provides evidence for ALL LEARNING OUTCOMES Word count: 2000-2500 words. Students will not be penalised for exceeding this count.

Submission Format

Task 1: BUSINESS REPORT This should be written in a concise, formal business style using single spacing and font size 12. You are required to make use of headings, paragraphs, subsections and illustrations as appropriate and all work must be supported with research and referenced using the Harvard referencing system. Please also provide a bibliography using the Harvard referencing system. The recommended word limit is 2,000–2,500 words, although you will not be penalised for exceeding the total word limit.

Formative assignment

Discussion Forum Activity Watch the following video: https://www.ted.com/talks/reed_hastings_how_netflix_changed_entertainment_and_wh ere_it_s_headed/transcript During week five you will be asked to see the following video before coming to class. Then, as a group you are expected to conduct independent research and present a 500- word essay-type answer to the following questions:

  1. What aspects of Netflix organisational culture strike you as unique?

  2. Why is Netflix able to produce good quality entertainment that generate high viewership (e.g. Orange is the New Black)? How do they collect and utilise data to understand consumer behaviour?

  3. Illustrate with examples how new technologies influence consumer behaviour, with specific reference to Netflix organic development from a small DVD rental company to a global streaming, content creating, and entertainment organisation. How do they differ from their main competitors?

You will be given a total of 2 hours to answer the questions as a group, followed by a class discussion with your peers. After the class, you will need to submit your work in an online discussion forum where your lecturer give you feedback. Please note that non-submission of formative work will lead to a classification of an ATRISK student, which might jeopardise the submission of summative work and subsequent progression of your studies. Word count: 500 words maximum per post This formative task is designed to test understanding of LO1 and introduce students to concepts that related to LO2

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Sample Answer

Apple Inc.: Consumer Behaviour and Insight Report

Section 1: Map of ‘Path to Purchase’ of the Product/Service

Five Stages of the Consumer Decision-Making Process

The consumer decision-making process typically consists of five stages: need recognition, information search, evaluation of alternatives, purchase decision, and post-purchase behaviour (Schiffman and Kanuk, 2014). For Apple’s iPhone, these stages are particularly evident:

  • Need Recognition: Consumers recognise the need for a new smartphone, often triggered by outdated technology or desire for the latest features. Social influence and lifestyle factors play a significant role here. For instance, iPhone advertising emphasises innovation and status, which motivates consumers to upgrade.

  • Information Search: Consumers seek information through online reviews, Apple’s website, social media, or friends. Apple leverages its App Store, product pages, and keynote events to provide comprehensive information, influencing perceptions and preferences.

  • Evaluation of Alternatives: Consumers compare Apple devices with competitors such as Samsung or Google Pixel. Factors include brand reputation, ecosystem compatibility, perceived quality, and price. Apple’s premium positioning and design aesthetics influence the evaluation stage strongly.

  • Purchase Decision: Consumers decide to purchase the iPhone either online via Apple.com, through Apple Stores, or authorised retailers. Exclusive offers, trade-in options, and financing plans help convert intent into purchase.

  • Post-Purchase Behaviour: After purchase, consumers evaluate satisfaction, share reviews, and provide brand advocacy. Apple’s customer service, warranty, and ecosystem integration reinforce loyalty.

Black Box Model of Consumer Behaviour

The black box model highlights that marketers cannot directly observe consumer decision-making processes. The model consists of inputs (marketing stimuli, environmental factors), the black box (consumer characteristics and decision-making process), and outputs (purchase and post-purchase behaviour) (Kotler et al., 2019). Apple uses this model by analysing sales data, customer feedback, and online behaviour to predict purchase patterns and refine marketing strategies. For example, data collected from Apple ID accounts and iCloud usage helps tailor recommendations and promotional campaigns.

Mapping Apple iPhone Consumer Decision Process

A simplified path-to-purchase map:

  1. Awareness of new iPhone model through ads and media.

  2. Online research, reviews, and social influence.

  3. Comparison with competitors.

  4. Purchase through Apple Store or online.

  5. Engagement with ecosystem, warranty, and AppleCare services.

Section 2: Research and Data in Consumer Behaviour

B2C vs B2B Decision-Making

Apple operates in both B2C (iPhones for consumers) and B2B (iPads and Macs for businesses) markets. B2C decisions are typically faster, driven by personal preference, emotion, and social influence. B2B decisions involve multiple stakeholders, require longer evaluation, and prioritise cost-benefit analysis, functionality, and ROI. For example, a company purchasing iPads for employees evaluates total cost, device management, and integration with business software. Despite differences, both contexts benefit from Apple’s strong brand reputation and ecosystem integration.

Market Research Methods for B2C and B2B

  • B2C: Surveys, focus groups, online behavioural analytics, and social media listening. Apple utilises consumer data from the App Store, Genius Bar interactions, and feedback surveys to monitor preferences.

  • B2B: Industry reports, direct interviews, business expos, and pilot testing. Apple’s enterprise solutions team engages with businesses to understand operational needs and integration challenges.

Influence of Market Research on Consumer Decisions

Market research informs all stages of the consumer decision process. For example, Apple’s research identified a growing interest in larger screens, which led to the launch of iPhone Plus models. In B2B, understanding corporate security concerns influenced the promotion of device management solutions. Consumer insights guide product design, pricing, promotion, and distribution strategies, enhancing decision-making and satisfaction.

Section 3: Influence on the Decision-Making Process

Factors Influencing Consumer Behaviour

  • Motivation: Maslow’s hierarchy of needs explains that iPhone consumers are motivated by self-esteem and social status (Maslow, 1943). Apple’s advertising emphasises innovation, lifestyle, and social recognition, influencing purchase motivation.

  • Culture and Subcultures: Hofstede’s cultural dimensions affect marketing globally. Apple adapts its campaigns for different cultural contexts. In collectivist markets like Japan, emphasis is placed on harmony and design aesthetics, whereas in individualist markets like the US, innovation and personal achievement are highlighted.

Promotional campaigns such as “Shot on iPhone” leverage both motivation and cultural values by showcasing creativity, achievement, and community engagement.

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Social recognition and product quality are key motivators.

They collect behavioural data online, in stores, and through surveys to guide product development.

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