The Industrial Buying Process

The Industrial Buying Process

According to Johnston andBonoma(1981), "No two buying decisions in any given company are

likely to be exactly alike, nor will any two companies follow exactly the same procedures in even highly

similar purchase situations" (p.146). However, there may be many general patterns of interaction and

social behavior that have similarities, even across moderately different purchase situations, according to

these authors.

It is for this reason that the study of the buying process and those involved in it are considered

important for this study. Several researchers in industrial buying behavior (IBB), also known as

organizational buying behavior (OBB), have provided contributions for the mapping of the decision

an industrial product The model takes into account explanatory variables such as the identity of the firm

and the identity of the decision group involved. The information sources obviously play an important

role and are of the main interest for this study. Such marketing communication tools as advertising and

brochures (considered to be "impersonal sources" of information) are more a part of the early stages of

creating awareness and interest. In the latter stages of evaluation, trial and adoption, utilizing such tools

as the writing and presentation of a formal proposal, reports from other users/other firms, as well with

personal contact with dealers and salesmen (personal selling). These are considered to be the

"personal" sources of information for the buyer.

Ozanne, et al., concluded that a wide variety of information sources are encountered in the

industrial adoption process. The authors first discussed these information sources being "first separated

process.

This six-step process is:

1. Problem or need recognition: In this first step of the buying process, the buyer recognizes the

need for a particular product or service, or identifies a problem that can be resolved through the

purchase of a product (or service). In business-to-business settings, the need for a product is often

identified by production or manufacturing engineers and management, rather than by purchasing

agents. For the purchase of newly designed products, raw materials, component parts and services

related to these products, purchasing personnel often play a bigger role in the specification of product

and supplier. It is in this stage that such marketing communication tools are important: "Advertising, as

well as other forms of promotion, can play an important role in this first step of the purchase process.

Often, advertising demonstrates how products or services can solve problems, and by doing so,

it can spark the interest of buyers in solving known, existing problems, or in fulfilling the continual need

for improved efficiency.

2. Search for appropriate solutions: After buyers have identified a problem or need for a

product, there begins a search for appropriate solutions. "The role of advertising in this stage of the

buying process is to position the advertiser as a provider of an attractive solution.. .the goal of the

3. Evaluation of alternative solutions: It is in this stage that Patti, et al., add that buyers are

communicate confidence and reliability.

purchase, on their own terms and in the publications they read.

Purchase implementation: Involves the actual act of placing the order and making arrangements

for shipping, delivery, and payment. "Although advertising can help assure buyers that the supplying

company is skilled and experienced in facilitating purchase implementation, these tasks are usually

placed in the hands of the marketer's personal selling staff.

6. Postpurchase evaluation: After the purchase has been completed, the buying firm then has

the opportunity to test the performance of the product purchased and evaluate it. "Because the early

stages of the 27 buying process involve so many people, the number of people who evaluate a post-

purchase decision must be at least as large. Advertisers need to keep in mind that once a product or

service has been purchased, users — people who perhaps up to this point had little or no influence on

as advertising that shows a commitment to quality, problem solving and customer service. The above

stages demonstrate that, in addition to personal selling, other marketing communication tools, such as

media advertising, are used during all the stages of the buying decision process in industrial markets.

Other research on the buying process has provided a similar series of steps as those provided by Patti, et

al.

The buying process developed by Robinson, Faris, and Wind (1967), referred to as the Buygrid

Framework has been greatly utilized and often cited in IBB research (e.g. Wind & Webster, 1972;

Johnston &Bonoma,1981; Mattson, 1988), making it a major contribution to the understanding of IBB.

The value of the buying decision process developed by Robinson, et al., is that it also includes what

these researchers refer to as "Buy Classes." These three factors are what determine, in each stage of the

buying process, the following: The newness of the problem; the information requirements for that

stage; and the consideration of new alternatives. We will of course focus on the information

requirements.

The Buy Classes, as presented by Robinson, et al., include:

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