Importance of Consumer Behavior in Business
If any business wants to get competitive advantage, then it must know about consumer behavior,
without knowing the consumer behavior no industry can get success and fails to achieve its goals. Consumer buying behavior is the sum of human attitude, his preferences and his buying intensions for any product when he is in market. To know about the consumer behavior it is important to do different searches for example the recognition of human needs and wants through assessment. After knowing the need, the information is needed that what type of product can satisfy consumer. Evaluation is important to know about buying decisions of consumers.
As in the case of JC Penny departmental store in America, always focus on consumer behavior. JC Penny is successful marketing company because it is a spot for Hispanics. Their focus is on trendy fashions because they have identified their customers. JC Penny has arranged an expensive world cup campaign for full week, where the display of trendy cloths takes place. The purpose of this campaign is to get competitive advantage. Lyris Leos (Director multicultural marketing) of JC Penny has said in a speech that they are powerful and successful because of Latina. As she takes steps to repositioning the brand name to the customers, she is conscious about brand image and always an attention seeker to know about consumers changing behaviors. According to Leos, to know consumer behavior is most important than anything else, we are trying to find out more about trends of our customers because new trends or fashion mean new clothes which means more sales of our store. Latina know the strategies that how to attract consumers towards trendy fashions. PC Jenny believes, keep fighting and good fighting with other brands. They know how to connect strategies with events (Zmuda, 2014).
Market trends should be continued to predict because if there are no predictions there will be no growth and success and no competitive advantage. As in the case of JC Penny; they are trendy and they are get success, their sales are increasing day by day just because they are predicting trendy consumer’s behavior. First to predict the behavior and then to make product according to the customer need is necessary for competitive firm. All successful people make predictions before New Year; Example: Mario Batali a famous chef he told that he believes one must be trendy, and there should be multi options menu in restaurants (Walters, 2015). So, the business should be efficiently predicted.
Many companies failed because they do not know about the consumer behavior. For Example, Dell and Apple, Dell fails to launch its smart android phones but apple predicted the consumer behavior and get market competitive advantage (Reed, 2013).
References:
- Reed, B. (2013, Febrary 6). Dell’s decade. Retrieved Febrary 23, 2016, from https://bgr.com/2013/02/06/dell-product-failure-analysis-320449/
- Walters, N. (2015, December 15). successful people. Retrieved Feburary 23, 2016, from https://www.businessinsider.com/successful-people-predict-the-trends-for-2016-2015-12
- Zmuda, N. (2014, June 9). J.C. Penney Aims Marketing Squarely at Latinas. Retrieved Feburary 23, 2016, from https://adage.com/article/cmo-strategy/j-c-penney-aims-marketing-squarely-latinas/293602/