The Buying Decision Process by Jorge Toka

MAY 2017

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How consumers make buying desicion? On this issue we shall learn how runs the mind of the clients before the buying decision.

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A World For Sale EDITORIAL - JORGE TOCA

In the prehistory the needs were so far away from the currently trends. The human being was happy just with food, roof and sex. Likewise, the stress carried out the mammut haunt chance to get food and a comfortable coat. But currently, the stress manufactures paralyzed people most of the time and the needs, with crowded tummy, are in the next galaxy away from those primitive desires as we said in the start. Every day we are receiving inputs. It is estimated that about ten thousands messages come inside us each 24 hours. The costumer developes a process through which the buy is carried out. And one of this ten thousands signals could be the spark which light the bonfire of that process. By that, we need to break the perception barrier to promote the start of the purchase getting the attention of the prospect buyer. And we can reach this aim with impacting messages that attract the client´s attention in the need rising. So the world is always changing and the marketing evolution must change too. With the new techs is more easy to collect info of the clients experience. But that requires more efforts to be the best in the competitive jungle of the market. In account of this globalized world a bad experience could be a disaster running like a gunpowder throughout The Earth. Therefore we have to achieve follow the customer during the buying decision process specially after the same purchase to have knowledge about the feelings of the clients after testing our service/product. This info give us the posibility of improve our firms. The beginning and the ending of the decision process are the two crucial points where we have to struggle to show that we are the best option to fill this need that moves the customer to buy. In the to times the communication is essential so, again, the sword is the word. Let´s go to discover this amazing process. We hope you enjoy it.

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The Behaviour Of The Customer

FNowadays, the philosophy of the marketing runs

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this study of the behaviour because is the source

to fill the gaps that cause the unfulfilled of the purchasers more quickly and efficiently than the key competitors. For that purpose, is mandatory required to identify these unmet needs.

First of all, we need to know what is buyers

Furthemore we can develope a more relevant

behaviour. And that is the set of procedures that

marketing programme; have knowledge about the

a customer developes to make the purchase. In

market trends; adjust our marketing to the market

addition, includes the use of these needs or

changes; guess the way of the market to anticipate

services.

to the costumer needs; we can create new

When we think about the behaviour of the

products or services; offer relevant competitive

tourist consumer, we have to bear in mind

advantages; focus the company strengths to the

cultural, economic, social and personal factors. Summarizing, we find: environmental factors, buyer´s factors and buyer´s responses factors. In the environmental factors we find aspects like: Environmental estimuli (demographics, cultural/social, historic, economic, legal, geographic, political, technological and competitive). Market estimuli (companies, customers, suppliers, publics and intermediaries). Marketing efforts (product, price, promotion, place, people and publics). To analize the consumer factors we´ve to consider a variety of elements; these are the nationality, ethnicity, religion, age, gender, life cycle, occupation, economic, lyfestyle, personality, self-concept and psychological characteristics. These last ones are more relevant cause are in the core of the purchase: the mind.

Valdes Peninsula, Argentina

By that we´ll observe the motivation, the

correct aim and so on. Furthermore, all of this

perception, the learning, the beliefs and the

information not is useful to the company alone. The

attitudes of the customer.

intemediaries can develope their work in the

In respect of the buyer´s response, we have the

correct way.

timing, amount and location of the purchase.

Now, we´re going to put the focus in the tourist

Furthermore, the promotion, service, price and

market. Obviously the motivation to buy a cell

product choice. All of these items are the

phone is not the same as travel to Peninsula Valdés

ingredients of the response of the customers.

(Argentina) to enjoy with the whale watching. By

With the analysis of the customer conducts we

that, we´ll analyse the tourist motivations that are

reach valious information that is the crux of the

the reasons why the tourist want to do a travel like

question.

a way to satisfy a latent need. The types of

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correct aim and so on. Furthermore, all of this information not is useful to the company alone. The intemediaries can develope their work in the correct way. Now, we´re going to put the focus in the tourist market. Obviously the motivation to buy a cell phone is not the same as travel to Peninsula Valdés (Argentina) to enjoy with the whale watching. By that, we´ll analyse the tourist motivations that are

"Human behavior flows from three main sources: desire, emotion, and knowledge", Plato.

the reasons why the tourist want to do a travel like a way to satisfy a latent need. The types of

Needs For Action

come back to haunt, we are feeling cognitive

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arousal that come from external signals which

arousal. At last, we find the environmental trigger the need.

We´ve talked about the motivations but, as we said before, these motivations are caused by unmet needs. The needs, we could say, are the hole that require been filled and we achieve this with the motivations that carry us to feel good when it is full. The human being has two main needs: innate and acquired. The first ones are located inside our heads and are considered like primary motives. These are the need for food, water, air, clothing, shelter and sex. When we attend to the

The needs have different levels of the hierarchy. For example, if you be thirsty, you are not going to think about a holidays in the Caribbean islands.So, the aim of the innate needs are to maintain us alive, therefore, a company of food or clothes should have, theoretically, more success like other that sells tri-spinner despite of the one euro cost. There are sundries theories to explain this hierarchy scale but all speak about the same or so. We can summarize in the following pyramid:

environment or the culture around us, we are speaking about acquired needs. These meet the requirements for self-esteem, prestige, learning, affection or power. The arousal of motives is rooted in our brain and you can´t start a fire without a spark. We have to know which kind of spark need each client. When we are hungry or freezing we are meeting with physiological arousal. If we are daydreaming (with a travel to Bora-Bora maybe) and thinking all the time in ourself in a better way we are talking about emotional arousal. Instead,when a personal achievement or eventful thinkings bring us memories that

"A champion needs a motivation above and beyond winning", Pat Riley (former NBA coach & player).

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"Five in every ten people ensure that they are the half". This phrase of "Les Luthiers" (comic theatre company) is fun but is also true. However, numbers can not explain the human behaviour. So, if you learn to create the need, you will be able to sell ice cubes to the inuits. San Cristobal Oriel, Granada (Spain)

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Consumer Buying Process EDITING OFFICE

The purchase is not an isolate act. There is path before and after the procurement of a product or a service. Is important to the marketers to have knowledge, again the knowledge, about the customer mental way to get incomes. That way has been studied by the experts and this determine that there are six step in the consumer buying process. All these stages will be itemized below: Stage 1: Problem Recognition. This is the moment when the prospective customer feel himself far away from the desire place where he or she wants to be. The need

Some brands have the customer buying process at the four step before the shop opening.

has been created so, the buying process has

Stage 2: Information Search.

started.

The buyer need a solution to the problem and

What can we do as marketers? Well, is crucial to be present from the beginning and in each step is possible to apply some action. For instance, at the moment is really necessary to promote this “problem”, share the testimonials of what your service (like tourist professionals) can provide. We try to put the customer stranger from the desired comfortable place.

starts to search info about the travels that take he or she to the deserve place. Right now we need hard company efforts to show that our service is the most efficiently, the most reliable… We have the best service of the market. To achieve this goal we need to position our brand in the top of the competition. But, it is another history. Stage 3: Evaluation of Alternatives. The client is going to do in depth research between the differents market offers. We´ve to provide the process and to this, we are going to bet all red. We can encourage to check our competitor prices out and we, probably, gain the client´s confident. It could be the beginning of a beatiful friendship. Stage 4: Purchase Decision. Despite the buyers decision is taken, the purchase has not yet been carried out and the deal can go down. Again, we can shift a threat

The unboxing is an important source of information. With in an opportunity sending mails, posts or the new tech, the prospective customer can check the anything that remind to the customer that your service is the solution. desire product out seatting in the coach at home.

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"Your most unhappy customers are your greatest source of learning", Bill Gates. Stage 5: Purchase. We maybe are in the fateful step of the process cause on the middle of the same sale we can lose our purchaser. Nowadays we buy the tourist services using our cell phones or computers so we have to check our buying process out. We will achieve to know if has many clicks, complicate

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instructions, if the load time is too slow… We need facilitate to the maximum our deal. Stage 6: Post-Purchase Evaluation. We are in luck! The sell has been done and we are in the last step where the client is going to verify our service and, obviously, we achieve a veredict. This stage is relevant by two reasons: The first one is the posibility of improve our service in the weak points and we´ll be proud of our merits. Therefore, is important ask the clients about their feelings through satisfaction enquiries or offering new service to analize if a new deal occurs. The second one is the junction with the searching step where the customers are seeking for services information and read the opinion of the past client.

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The consumer buying process is like a theater performance where are so many actors. During the process, they appearing on scene to build, like bricks in a wall, the complex structure of the selling. We shall list them: The Initiator: is the person who first proposes the idea of purchasing the product/service. The influencer: who bias the choice with his/her opinion. The decider: someone who determine all aspect about the process; what, how, where, when, and so on, to buy. The buyer: the one who makes the purchase. The approver: who allows the draft.

All the roles are relevants, but maybe the influencer is the key piece.

The user: the person who enjoys really the product/service.

But is interesting to us to differentiate each one

Obviously, most of the time, sundries roles are

to perform one or another action depending on

developed by the same person.

the feature.

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We have discussed the non-commercial actors but, what about the commercial ones? When we think about the tourist commercial agents taking part in the buying decision process, we find the following ones: Mass media (including new techs), we need it to funnel our message to reach the prospect customer in the first steps of the buying process. Travel agents, whose main function is to sell the wholesalers (touroperators) products to the final client. Global Distribution Systems, are huge databases of tourist service providers to retailers companies use.

"The essential is invisible to your eyes", Antoine de Saint-Exúpery.

Advertising and Marketing Impact On Customer Experience EDITING OFFICE

Amadeus is one of the most relevant GDS Booking offices, is a distribution alternative channel between the tourist service providers with the GDS. At last, we find the restaurants, hotels, guides and airlines which make possible to produce the service.

your company and has a bad experience with our marketing or ads. Your hard endeavour goes to the dogs. Therefore we need to put focus on the coming next topics. Message: we need to cook a impeccable text with a clear and concise ideas. This is because the messaging is the first impact of the marketing experience in the customer. If we send a wrong message maybe we miss a lot of

Nowadays we have a lot of channels to funnel

customer and don´t reach any new one. The

our messages. In the new-tech era, the

customer wants to be reflected in your brand

challenge to the marketers is to assure a nice

message cause it is a signal that means a

customer experience during the use of those

product/service required to satisfy the unfulfilled

tools. That is so relevant cause the brand

needs. Therefore a well built message

awareness begins with the first thought which

customized for each clients if it is possible (we

arrives to customer mind, so imagine if choose

can use the database to do that) is going to

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With a correct message sending in the right moment and abide by the offers and all reflected in the text, we could gain the loyalty of our customer, to maintain and, why not, to increase the brand awareness. greate a good customer experience that mean

Grow up the loyalty: the marketers should

get to develop engagement and loyalty needed

develop an outline with a clear aimed loyalty

to create a long term realationship.

program that reach to create a positive

Funnel by the right channel: most of the 70% of

customer experience. This program should

the marketers say that the e-mail is the better

contain the accomplishments, the structures

way to deliver our message. But it could be a

and the values that we want to deliver to the

threat in account of the spam. By that is quite

customers. Again, the patterns and the

important to have knowledge about our

behaviour of the customers are so relevant to

customers behaviour not only in the buying

give shape to our loyalty program. To achieve

decision process but also in the preferences to

this goal it would be useful to create, with

receive e-mails. The inbox of our customer

tailored messaging and special offers, fans that

could be an oppportunity and a threat too. So

spread our message through their experiences.

we need to take care about the timing and frequency to get a nice customer experience and explain convincingly they about the useful of receive our info newsletters. Be honest: your message is like a non-written contract and if you broke it the damage to your brand awareness could be irreversible. Sometimes, in large companies, not is possible to ensure that your statements are going to be meet. In these cases we must to be active in the customers listening to have knowledge about the impacts of our messages.

"The thing about hip-hop today is it's smart, it's insightful. The way they can communicate a complex message in a very short space is remarkable",Â Barack Obama.

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Public Relations Psychosocial Impact

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"Public relations are a key component of any operation in this day of instant communications and rightly inquisitive citizens", Alvin Adams.

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In the movie "Thanks For Smoking" we can observe the power of the Public Relations including defending a position based in a sensitive issue like smoking Actually we live in a time or environmental

To build corporation awareness: with special

change and complexity where the companies

events and media placements we can release a

have had to shift their strategies to adapt those

new product or to retrieve an existing one with

to the new age. Sometimes not only to be

this PR maneuvering.

competitive but to survival also. The key of the

To create interest: whether the PR get to

success, as we now, is the brand awareness so, if

placement an article written about the product,

our company is not trustworthy we are going to

or with our info becoming part of another one, it

dive by deep deep troubles. Public opinion is a

could be the rising of a desire to try it.

powerful weapon that can runs in two ways.

To provide info: the PR can gain knowledge

And, in the wrong way, it impact in the

about the product through newsletter,

interprise revenues being afected by issues like

websites, collateral materials and with articles.

strikes, products recalls, memos from

To simulate demand: releasing in the press an

constituents or boycotts. The business

article informing about the huge levels of

awareness is getting by acts and not by what

demand of our enterprise, more often than not

one says. So weÂ´re going to analize and identify

it will produce results.

the firms public relations impact.

To reinforce the brand: is important to maintain

First of all we need to know what are the

the relationship in a good way with the main

objectives that search the public relations.

hearing to help in the building of the image of

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the company. This is quite useful in the times of

philanthropy. Depending on the specific case, it

shortage.

will be use one or other tool.

The PR have advantages over other promotion

The PR use the events and trade fair to generate

channels. For instance, is considered a reliable

“the photo”. The experts says that an article

figure; demands less space and time to show

about our brand is remembered from four to six

the product and furthermore offers more info

times more than a advertising. Furthermore, the

about it; spreads a single story to many locations

customer can see the ads like an undeserved

and is more cheap.

publicity. However with the article we get the

There are too many tools to carry out the PR in

famous quote: “it have been told on TV”, and

the market landscape like: media relations,

that is Word of Lord.

media tours, newsletters, special events,

And at last, the PR can be the monitoring of the

speaking engagements, sponsorships,

clients feedback and manage an awareness

employee and community relations and

brand crisis with left hand.

Post-Purchase Process And The Loyalty Chance

And the most important detail of the postpurchase phase, is the possibility of to create the customer loyalty.

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When the buying has been done, the process don´t be finished furthermore, maybe we could promote future purchases. The post-purchase is the last step of the buying process and is when the customers take aware about the decision. As lesser is the distance between the previous need and the real feeling, greeter benefits gets the company. If the client is satisfied with the

A good post-purchase experience is a magnet

product, there is no problem. But if the feelings are bad, with a tension or anxiety, the buyers most likely is going to question if the decision was the correct one. This situation is calling “Cognitive Dissonance”. The enterprises have the chance of introduce a warranty offering money back to scort the client to a good predisposition for the post-purchase stage.

"Success is the result of perfection, hard work, learning from failure, loyalty, and persistence", Colin Powell.

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Each Apple release is a real pilgrimage to the next company store When we gain the loyalty of a buyer, and repeat

often see like a facility that could be the spark

with our product, we are making money or, at

that begins the purchase. To the company is an

last, saving it cause there are no more cheap

advantage too cause the money is going to

clients. Is estimated that is ten times expensive

fluctuate in times of shortage. That is a good

to obtain new purchasers by that is so

idea to tourist companies cause they have hard

important to lead they to a loyalty relationship

times during the year.

with us.

Your clients deserve a good customer service:

There are eight main ways to get this loyalty.

this aspect is so delicate, if the customer is

Keep communication channels: with this action

unhappy with this service, he/she is going to

we are more time in the customer mind and to

leave our firm.

know the offers or new products through

Personal contact: the new techs are an amazing

emails, social networks, etc.

tool but through the human contact we reach a

Give gifts: the buyers apreciate so much the

warm and friendly service.

perks and is useful to bring it to the most faithful

Offer a head start: if we sell experiences like

ones, they feel unique and predispose to a new

travelling, maybe we could offer a child free

purchase. Furthermore the new buyers are

with four adults trip. Is a good option to initiate a

going to be encouraged to reach this privileged

loyalty program.

situation.

Smile is the redemption song: it is validated that

Sundries ways of payment: interprises like the

the increase of the incomes is directly involved

tourist ones have seasonal incomes most of the

with the marketers smile.

time. One solution to this threat is to offer

We need to believe: if our customers feel that

payment facility for instance, paying a little

your product is the best of the world, they are

amount each month in the low season, the

going to trust in your company like in God, by

costumer don´t need to pay a big receipt. It is

that, we have to work hard on this stage.

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Total Quality Management

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"Quality is not an act, it is a habit". Aristotle The Total Quality Management has a successor: the Quality Management Systems. The concepts of the TQM system are included in the new one but both need the same answer: the customer experience.

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"Quality is never an accident. It is always the result of intelligent effort", John Ruskin. The Total Quality Management is defined like

The Total Quality Management is defined like

the way to ensure a long-term success sailing in

the boat of the customer happiness. This

productive maintenance involves all the

infrastructure of the enterprise from the

errands-boy to the general manager or main

shareholder.

With the develope of the TQM, the customers

can enjoy a continuous improvement of the

services that they can choose. Is a guarantee to

them if are trying to make a purchase with a

new company to know the use of this system.

The enterprises gets a lot of benefits for TQM.

The customers are the focus of this

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Bibliography https://es.slideshare.net/hmaida/el-comportamiento-delconsumidor-turistico http://www2.unwto.org/es/tourism4development2017 https://rua.ua.es/dspace/bitstream/10045/16114/3/Tema%203.pdf http://www.tourismtheories.org http://www.huffingtonpost.com/siva-yenneti/the-customerbuying-process_b_9276432.html http://www.inboundcycle.com/blog-de-inboundmarketing/bid/194223/qui-n-interviene-en-el-proceso-de-decisin-de-una-compra http://www.misterbackstage.com/tourist-promotion-andcommercial-agents-a-species-apart-tribute/ https://rua.ua.es/dspace/bitstream/10045/16114/9/Tema%209.pdf http://www.misterbackstage.com/tourist-promotion-andcommercial-agents-a-species-apart-tribute/ http://andrytours.blogspot.com.es/2013/07/que-son-los-crscomputer-reservation.html Docs brought in by Mr. Reyes to performance the task. This task has been performanced by Jorge Fernández Toca 1ºGIAT-A

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Index Editorial-Page 2 The Behaviour Of The Customer-Page 3 Needs For Action-Page 4 Consumer Buying Process-Page 6 Stakeholders Involved In The Buying Process-Page7 Advertising and Marketing Impact On Customer Experience-Page 8 Public Relations Psychosocial Impact-Page 10 Post-Purchase Process And The Loyalty Chance-Page 11 Total Quality Management-Page 13 Bibliography-Page 14 Index-Page 15