Case Study The buyer decision
The buyer decision process consists of flee stages: need recognition, information search, evaluation of alternatives, purchase decision, and post purchase behavior. Need recognition- the buyer recognizes a problem or need. The need can be triggered by internal stimuli or external stimuli. To start with, Propose began selling cars under its own name in the sass and sass; the company sold very few models creating an Image of exclusivity.
Propose owners where drawn to them for many seasons, one of those reasons was that the car was very challenging to drive, which kept most people away. Since its early days, Propose has appealed to a very narrow segment of financially successful people. These are achievers who see themselves as entrepreneurial, even if they work for a corporation. They set very high goals for themselves and then work doggedly to meet them. They buy Porches because the car mirrors their self-image; It stands for the things owners like to see In themselves and their lives.
Propose Is a car to be enjoyed, not Just used.
Most Propose buyers are to moved by Information but by feelings. They develop a personal relationship with their cars, one that has more to do with the way the car sounds, vibrates, and feels. People buy Porches because they enjoy driving. A Propose customer has been influenced by external factors, such as friends, family, social groups or advertising.
They believe that they can purchase a Propose, and that the Propose brand identity will In effect help them express themselves. Where a Toyota customer might recognize the need for transportation, a Propose customer experiences the need to express ones self.
Information search- A potential Propose customer Is likely going to go straight to the dealerships and choose a high end car for himself. They may gather information from personal sources such as friends, family or groups of the same social status.
They are informed and educated people who may utilize commercial sources such as the internet and dealer websites or public sources such as Car and Driver to perform research. Evaluation of Alternatives – A Propose customer will look at his options for buying a Propose and quickly narrow down his options to make a purchase decision.
Although price is quite often the main Factor in the selection of a vehicle, it is a factor for a different reason considering the purchasing power of a potential Propose customer. While a typical consumer may only consider vehicles under $50,000, a potential Propose customer might not consider anything under $50,000. Purchase Decision – A potential Propose customer will make their purchase decision based on the attitudes of others.
The people In the social groups of Propose customer may Influence the purchase decision.
A Propose customer is not likely to experience unexpected situational factors such as a poor economy affecting their purchasing power. With these factors in mind they will choose the most preferred brand. Post purchase Behavior – Most major purchases result in cognitive dissonance. Propose customers discomfort should be limited, as they were not forced to give up features or “benefits” due to the economic Knockout Factors experienced Day ten typical consumer.
As Persons makes a Nell equal product it will most likely live up to consumers’ expectations and be perceived as a high performance product. . The decision process of traditional Propose customer vs.. A Cayenne or Ephemera The overall decision process of a Cayenne or Ephemera versus that of a traditional Propose customer is nearly identical.
Like the decision process off traditional Propose customer: * The brand and choice is based on external stimuli – Family, friends and colleagues of the same social status as well as advertising. * The Information Search will be similar – Personal, Experiential and Commercial sources. * Evaluation of Alternatives – Same major Knockout Factor, a Propose customer will not even consider “cheap”.
Purchase Decision- Because the social groups of a Cayenne or Ephemera customer are the same, the attitudes will be the same and will influence similar purchase decisions. Situational factors considered by Cayenne or Ephemera customers are similar and not limiting.
Although the Need Recognition step of the decision process is similar, there is a different Underlying Need for a Cayenne or Ephemera customer. Not only does a Cayenne or Ephemera customer experience the need to express one’s self, they also have the underlying need to transport more than two people at a time 3. Propose
Loses Identity through the ass’s and ass’s Starting in the early ass’s Propose attempted to gain a larger market share by offering lower priced more affordable vehicles. Although the lower priced cars were a sales success as far as numbers sold, traditional Propose customers balked at the subpart performing vehicles. Propose, a vehicle that was once exclusively for affluent car enthusiasts, was now being outperformed by less expensive Ionians and Toasts. Effectively what Propose did was destroy the ability of Porches’ very profitable affluent market niche to identify with the Propose brand.
They damaged brand identity, and entered into an entirely different market segment: Low cost sports cars. The strategy was a failure. In order to recover they needed to evaluate their value proposition: Low Price – In order for this to have worked they would have needed a low cost structure. They didn’t have it, and were decades behind Toyota and other competitors. High Quality Exclusive – This is the route that they reverted to. Porches brand and following of affluent, highly profitable customers identify this way.
This also shields Propose from the vast majority of competition. 5.
Why Propose must stay high brow: the Self-concept In order to match the personalities of their customers, it is imperative that Propose portrays a brand identity of sophistication and exclusivity. Propose customers must be able to identify with the Propose brand, they cannot if Propose repeats the ass’s and introduces inexpensive cars that anybody can own. Although Propose has introduced new products, these new products portray a consistent brand personality and do not weaken the brand. Propose customers want to be perceived as confident, dominant and exclusive and so should the Propose brand.