Consumer behaviour models
Javier Ramirez
Liberty University
BUSI 520: Strategic Marketing Management
Muriel Wilson
January 23, 2022
Consumer behaviour models
A consumer behaviour model is a tool that businesses use to understand how
consumers make decisions. There are a number of different consumer behaviour models
that you can use to understand your customers. We’ll go through these models below.
The AIDA model
This is a popular marketing model that stands for Attention, Interest, Desire and
Action. This model can be used to understand how consumers make decisions about
products and services by looking at the different stages they go through in the decision-
making process. Here is a simple example of the 4 steps of the AIDA model:
Attention — The consumer sees an ad for a new product on social media.
Interest — The consumer clicks on the ad and reads more about the product.
Desire — The consumer likes what they see.
Action — The consumer buys the product.
This AIDA model can be used to understand how customers interact with your
marketing campaigns. It can also be used to improve your marketing strategy by ensuring
that each stage of the customer’s journey is taken into account.
For example, a potential customer who is at the ‘Desire’ stage is more likely to be
interested in special offers and discounts than one who is at the ‘Attention’ stage. You can
discover marketing fundamentals to improve your customer journey with Left Bank’s Master
Digital Marketing Strategy.
The customer lifecycle
Another consumer behaviour model you can use is the customer lifecycle. This model
looks at the different stages that a customer goes through when they are interacting with
your business. These stages include things like awareness, consideration, purchase and
loyalty. By understanding how customers interact with your business at each stage, you can
make sure that you are providing them with the right information and support.
Awareness — The consumer becomes aware of your product or service.
Consideration — The consumer starts to research your product or service.
Purchase — The consumer buys your product or service.
Loyalty — The consumer continues to use your product or service.
In this context, it’s important to understand how digital marketing efforts can
influence purchase/customer behaviour, as this will help you to make the most of your
marketing campaigns. For example, it’s worth considering how customer loyalty can be
improved by using things like online customer reviews and online exclusives for members.
The purchase funnel
This is a model that businesses use to understand how customers make decisions
about products and services. This model looks at the different stages that a customer goes
through when they are considering a purchase. These stages include things like awareness,
interest, evaluation and purchase.
Awareness — The consumer becomes aware of your product or service.
Interest — The consumer starts to research your product or service.
Evaluation — The consumer compares your product or service to others on the
market.
Purchase — The consumer buys your product or service.
As you can see, there are a number of different consumer behaviour models that you
can use to understand your customers. By using these models, you can make sure that you
are providing your customers with the right information and support at each stage of their
journey.
How to develop a customer insight strategy
If you want to really understand your customers, you need to develop a customer
insight strategy. This involves using a combination of qualitative and quantitative methods
to collect data about your customers. Qualitative methods include things like focus groups
and surveys. An example of a quantitative method would be the analysis of customer
behaviour data.
Once you have collected this information, you need to analyse it to look for trends and
patterns. You can then use this information to improve your marketing strategy. This
includes anything from developing new marketing campaigns to improving the customer
journey.
It’s important to consider digitisation and the consumer journey as you develop your
customer insight strategy — staying up to date with new technology will ensure that you
stay relevant and visible to your target audience over time.
When you develop a customer insight strategy, there are a few things that you need
to do:
1. Collect data about your customers. Use qualitative and quantitative
methods like focus groups, surveys and customer behaviour data.
2. Analyse the data to look for trends and patterns. This will help you
understand what your customers want and need from your business.
3. Use the information to improve your marketing strategy. You need to
make sure you are meeting the needs of your customers. You will see that there
are similarities and differences between consumers and e-consumers, which are important
to address in your online and offline strategy.
4. Regularly review your strategy. As your business grows and changes, so too
will your target market. Make sure to regularly review your customer insight strategy to
ensure that it is still relevant and effective.
By following these steps, you can develop a customer insight strategy that will help
you to understand your customers and make sure that you are meeting their needs.
Understanding your customers is essential if you want to be successful in business.
There are a number of methods you can use to understand how customers make decisions
about products and services. By using these methods, you can make sure that you are
providing your customers with the right information and support at each stage of their
consumer journey. This will help you to improve your marketing strategy and make sure
that you are meeting the needs of your customers, which will in turn improve your bottom
line.
