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Apple Buyer Behavior Analysis Model

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Apple Buyer Behavior Analysis Model

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1

Written Assignment Unit 2

Model of buyer behavior for APPLE

Student Name

Department of Business Administration, University of the People

BUS 5112-01 Marketing Management

Dr. Pragya Harsha

September 14, 2022


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There are two primary roles related to consumption - buyers and consumers. Buyers

are involved with consumption by making decisions about spending their resources, like time

and money. Consumers are involved in consumption specifically regarding the buying of

goods and services. Their behavior revolves around decision making regarding these

purchases. This includes why they buy specific products, where they buy them, what they

buy, when they buy it, how often they buy it and how often they use it. This paper discusses

Apple and the buyer behavior model created for them. It will also include a model for

individual buyers and organizational buyers.

What is buyer behavior?

Buyer behavior refers to the mental and social processes people go through before and

after making a purchasing decision. This includes deciding what to purchase, why they're

buying it, where they buy it, when they buy it and how often they buy it. Additionally, buyer

behavior refers to the actions people take when using products and services; this includes

how often they use something they've purchased.

Consumer behavior is the way an individual behaves while obtaining and using goods

and services. This process involves making decisions and being influenced by personal

factors and environmental factors. Leon G. Schiffman and Leslie Kanuk state that consumer

behavior is defined as “the behavior consumers display as they search for, purchase, use,

evaluate, and dispose of products, services and ideas they expect will satisfy their needs.”

Factors of APPLE buyer behavior

SHIHAOZHAO stated that Apple determined their marketing strategies based on

customer behavior (2016). The article states that purchasing behaviors are influenced by

basic needs— the most basic of these being psychological needs. Additionally, the article

states that Apple's buyer behavior is influenced by models or factors related to customer
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behavior. Maslow’s Hierarchy of Needs theory divides human needs into five categories. The

first category is self-actualization, which is the highest need of all. This need is preceded by

basic needs like safety, socialization and esteem. SHIHAOZHAO stated that understanding

Apple's marketing strategy is necessary during the process.

Cultural factors

Apple culture focuses on creation; their company belongs to a multi-culture in

America. Customers with a cultural background factor are a part of a specific cultural

environment. This includes American culture, which is considered a multi-culture due to its

freedom and creativity perspectives. Shihaozhao claims the brand new creation was the

reason for its large market share (2016).

Psychological factors

Apple takes into account the psychology of their customers when making marketing

decisions. Their marketing strategy uses the following four aspects of mental health to

influence customer behavior: motivation, sensation, perception, memory, learning and

beliefs. (SHIHAOZHAO, 2016).

Model of buyer behavior for Apple

Figure 1
Apple Buyer Behavior Model

The Environment Buyer’s Black Box Buyer’s Responses


Marketing Stimuli Other Buyer’s Characteristics Buying attitudes and preferences
Product Economic Buyer’s Decision Process Purchase behavior: what the buyers buys,
Price Technological when, where, and how much.
Place Social Brand and Company relationship behavior
Promotion Cultural

The buyer’s black box is divided into two sections. The first section is the consumer’s

environment, also known as the buyer's world. This includes big events like cultural events or
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technological advances. Political forces like laws or economic shifts are also considered

environmental stimuli. In addition to these outside forces, marketers consider four Ps when

creating marketing strategies: product, price, place and promotion. When it comes to buying a

product, a buyer’s characteristics play a large role in how they perceive stimuli and react to

them. Additionally, a buyer’s decision-making process can also influence their behavior.

After that, we will discuss the buyer decision making process.

Consumer vs Organizational Buying Processes

 The Consumer Buying Process

Buying goods is a personal experience. Consumers buy things for their own personal

use, or they can buy gifts for others. Consumers rarely purchase large quantities; instead, they

typically purchase small quantities that correspond to their immediate needs. The decision-

maker in these cases is usually the purchaser (Harris, 2016).

 The Organization Buying Process

Organizations typically focus on the long term when making purchases. This means

they often buy large quantities of raw materials to create finished products. These finished

products are then sold to consumers. Alternatively, these same organizations may instead

resell whole manufactured products. In either case, these large purchases are made due to

company policies or because of manufacturing requirements— not because of personal need

(Harris, 2016).
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References

Consumer Markets and Consumer Buyer Behavior. (n.d.). Retrieved from

[Link]

%20of%20Marketing%2014th%20Edition%20-%20Kotler%20and%20Amstrong

%20(2012)/Chapter%205%20-%20Consumer%20Markets%20and%20Consumer

%20Buyer%[Link]

Harris, Brad. “The Difference between Consumer vs Organisational Buying.” One of the

UK's First HubSpot Partner Agencies, Struto, 4 May 2020,

[Link]

IDC Research Inc. 2015, Smartphone Vendor Market Share, 2015 Q2, IDC Research Inc,

retrieved 16 Sept 2020, [Link]

Zhao, S. H. (2016, July 31). How could Apple gets a success-an analysis of customer

behavior. Retrieved from

[Link]

success-an-analysis-of-customer-behavior/

Common questions

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Cultural and environmental factors interact by shaping consumer perceptions and preferences, where cultural influences like creativity align with Apple's innovative brand image, while environmental factors such as technological advancements drive product updates and releases. This interplay ensures Apple's marketing strategies remain relevant and appealing, accommodating shifts in consumer expectations and market conditions .

'Buyers' are individuals who make decisions regarding resource allocation for purchasing, whereas 'consumers' engage in the use of goods and services. For Apple, this distinction means tailoring marketing efforts towards engaging not only those who make purchasing decisions but also those who influence the product's reputation and repeat use, ensuring sustained interest and market penetration .

Apple integrates Maslow's Hierarchy of Needs by addressing both basic and advanced needs through its products. Basic needs include psychological safety and aesthetic appeal, while higher needs such as self-actualization are met through offering innovative and status-enhancing products. This approach ensures that Apple products fulfill a wide range of consumer desires, from functional to aspirational, enhancing customer loyalty and market share .

Apple's marketing strategies are significantly influenced by psychological factors such as motivation, sensation, perception, memory, learning, and beliefs. These aspects contribute to understanding customer behavior and tailoring marketing initiatives. For instance, Apple considers how motivation and sensation drive consumers' interests and align their products with customer perceptions and beliefs, ensuring their marketing effectively resonates with target audiences .

The consumer buying process is a personal experience focused on purchasing small quantities for immediate use or gifting, with decisions typically made by the purchaser. In contrast, the organizational buying process involves purchasing large quantities for manufacturing or resale, driven by company policies and long-term needs rather than personal urgencies .

Understanding buyer behavior allows Apple to tailor its marketing strategy to align closely with customer needs and preferences. By analyzing factors like psychological influences and cultural context, Apple can enhance its product appeal, optimize pricing, and choose strategic locations and promotional tactics that resonate with its target audience, leading to higher engagement and sales efficiency .

The 'buyer’s black box' refers to the internal processes affecting consumer decision-making. It includes the consumer's environment, composed of external stimuli and personal characteristics. In Apple's context, it functions by filtering marketing stimuli—like product and promotion—through buyers' personal characteristics and decision processes, leading to responses such as purchasing attitudes and behaviors. This model helps in predicting how consumers will engage with Apple's products .

Environmental stimuli, including cultural events, technological changes, and economic shifts, significantly impact the buyer decision-making process by affecting how buyers perceive and react to products. These stimuli, combined with marketing elements—product, price, place, and promotion—shape consumer attitudes and preferences, guiding not only what they purchase but also when and how they do so .

Motivation and perception play crucial roles in shaping Apple's brand and company relationship behaviors by aligning product offerings with customer aspirations and identity perceptions. Motivational drivers persuade consumers towards purchase decisions, while perception shapes how consumers perceive Apple's branding and quality. This alignment fosters a strong brand relationship, encouraging customer loyalty and repeat purchases .

Apple's buyer behavior model is influenced by cultural factors, evident in their emphasis on creativity and innovation, which are hallmarks of American multi-culture. This cultural alignment helps Apple capture a significant market share by resonating with consumers who value these traits. Apple's exploration of cultural diversity enables the brand to create products that appeal to a broad spectrum of cultural backgrounds .

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