My name is Vu Mai An, student from class FB4B in Faculty of International Education in FTU. This is my assignment for the case study on Holiday decision-making, which is related to the lecture about Consumer Behavior. Consumer Behaviors (or Consumer Buying Behaviors) are the decision processes and acts of ultimate consumers/ end users involved in buying and using product. Due to the customer is part of the marketing environment, it is very important for marketers to understand the more personal and specific influences affecting consumers and the nature of the decision-making processes through which they go.
However, a case study on holiday decision-making likely focuses on some current customers and how it is different from traditional perspective. The purpose of my assignment is to identify the similarities and differences between holiday decision-making and traditional problem-solving model of consumer decision-making. From that, some useful lessons could be drawn for manager marketing and promoting holidays. My report has 3 main parts: 1. The similarities and differences between holiday decision-making and traditional problem-solving model of consumer decision-making. . The comparison between the information search process in the case study and the search process that consumers might follow for one other product category. 3. Some lessons for managers marketing and promoting holidays. To finish this assignment, I am so grateful Mr. Huy, who provided me knowledge and guided me wholeheartedly. * The similarities and differences between holiday decision-making and traditional problem-solving model of consumer decision-making.
Almost types of decision making process are affected by a number of other more complex influences, some of these relate to the wider marketing environment in which the decision is being made. Others, however, relate to the individual purchaser and therefore they will consider those influences emanating from within the individual such as personality, attitudes and learning. After researching and surveying numbers of customers, it can be found that holiday decision-making is clearly different from former marketing concepts.
In traditional models, consumers are believed to be rational problem-solvers and logically and structurally making decision. Meanwhile in this case study, there are 27 interviewed Belgian households generally reported as adaptable and opportunistic decision makers. To be more specific, it responded to be an on-going process which was uncertainly fixed serial stages. In other way, all occurred desires no longer affect problem recognition and solution of customer needs, however, it still involve with a number of issues such as personal habits (holidaymakers).
Moreover, following one of the interviewees in case study, it can not be denied that there are some problems have to be taken into consideration before a real information search process could be start. For instance, transportation, activities, organization, daydreaming, nostalgia and anticipation, etc might limit customer’s final decisions. Where psychological needs are involved, the problem recognition may be a slow dawning or may lead to a sudden impulse, when the consumer, realizing that the current position or feeling is not the desired one, decides to do something to change it through a purchase (Bruner and Pomazal, 1988).
On the other hand, in traditional views, these above issues seem to be slightly observed and worry about. Customers still follow 5 structured and sequential stages in decision-making process without the internal or external factors that whether they make the decision or not. Another difference mentioned customer behaviors also differ in terms of cognition and emotion. It is no doubt that traditional marketers have a belief in consumers would much rationally approach decision making process; while in the case of holiday decision-making, they basically depend on a wide range of momentary moods and emotional impacts.
As described in the case study, consumers can suddenly fall in love with an idea of going on a holiday, which creates customer’s approaches to an unforeseen holiday plan. That means there is a huge powerful influence of emotional issues on customers’ initial desires, different from above traditional views, which is reasonable to assume that customers should be seen cognitive and purposeful. In the traditional decision making, model of feel-learn-do is observed to be important whereas the feel-learn-do and feel-do-learn sequence appear more vital in the holiday decision making.
Contrary to the holiday decision making, in traditional consumer decision making, the consumer plans sequentially before making the purchase. They discover a need, conduct information search, evaluates the alternatives and decides to purchase a chosen product. The traditional consumers are observed to be optimistic, idealistic and realistic right from the need recognition stage till this stage of purchase. Also, in the traditional perspective, the post purchase cognitive dissonance experienced by a consumer was found to be directly proportional to the risk or value involved with the product. The comparison between the information search process in the case study and the search process that consumers might follow for one other product category. The information search phase in the holiday decision model was found to be unstructured unlike the traditional decision making model. In holiday decision making, information collection was identified to be an ongoing process that still continues even after the holiday has been booked. Information is gathered during and after the holiday experience owing to cognitive dissonance, prolonged involvement/hedonic consumption.
In fact, information seeking process of customers directly leads them to displays of products, usually through advertisements on print media like newspapers, magazines, leaflets or mass media such as television, the Internet or radio. Each type of products is distinguished with different types of information search but they are all found by customers through the same searching process. In comparison with a decision-making process of a perfume, it is no well-defined stage. The consumers have to think more carefully and spend much time because of complicated impacts.
Moreover, it may be easier to evaluate a kind of perfume than choosing a tour. Because of the fact that holiday is a service that largely extends in terms of financial ability and offering contents that requires customers be careful when making final decisions. Obviously, customers also put less effort in collecting all aspects of product information since a perfume is considered formed goods (fixed product). They will search for brand name, kind of scent, shape of perfume bottle, etc depending on the purpose for using.
In contrast, holiday includes many types of services (non-fixed product), which makes customers feel difficult to measure its value to them, therefore, it is a little bit hard to make a final decision for a holiday trip. Additionally, as reported in case study, a man (Vincent – M, 26, friend party) showed that he is typically interested in unplanned decisions. His preference to flexible travelling schedules and surprising trip has strongly indicates that young respondents’ behavior tend to be casual.
Their search of information mostly based on pleasures, previous experiences and collected accidentally and passively rather than evaluated external data. It mentions that information search process for a perfume is more structured, more detailed and well-followed by customers than that of holiday plan. * Some lessons for managers marketing and promoting holidays. The implications of the finding presented in the case study of consumer behavior and holiday showed clearly a prime strong perspective of consumer behavior research, especially in consumer decision making process.
As can be seen from overall, it is significantly different from traditional views in terms of decision making approach, information seeking process as well as post-purchase evaluation. Managers marketing and promoting holidays should understand all the customer behaviors in order to focus on the points which attract them easily, satisfy their needs and also offer the best services. As regards holiday services – tourism field, the traditional perspective has no longer great application on its customers.
Instead of that, managers should flexibly re-design and orient their tours and services similarly based on the findings in the case study. For example, tour contents should be advertised with more photos, entertaining services by mass media such as television, brochure, etc in order to provoke people’s attracted feelings and interests. Nowadays, online advertisements provide a great deal of useful tools to approach customers easier with full of information than that of traditional advertisements.
In addition, the holiday duration is also better enjoyed if there are more diverse options of accommodations, transportations and activities. Each tourism company should have own style and brand depending on customers’ demands by using different names the holiday such as honeymoon, family moment, self-discovery, etc. since it would stimulate consumer desires for purchasing. Moreover, some sales promotions should be offered at the end of every vacation experience. For the old and loyalty customers, managers need to create a collect-point-card or a service program which could take care of them almost time.
This leads to strong relationships and beliefs of customers in companies. All of marketing jobs mentioned above are possible suggestions that marketers are recognizing and make use of customer moods and emotions. If marketing has huge impression on users, it can increase possibility of purchasing. When the customers search for a tour, they always concern about schedule due to their occupation, lifestyle and other issues related to time, avoiding from overlapping works.
Therefore, tour duration and timing should be convenient and easy to be arranged. For instance, the lengths of tour is offered by different levels and available holiday packages should be increased not only in special occasions but also other regular time periods of the year. * Conclusion In overall, it is true that all the survey results and some analysis of case study have showed significant changes in customer behavior that marketers need to know carefully.
Based on the satisfying comparative study, it can be summarized that holiday decision making process evidently varies from the traditional consumer decision making. Holiday decision making is highly focused on opportunities, adaptability and emotions to a very large extent. Marketers should creates new marketing strategies concentrating on consuming habits, also be formed and implementing in order to achieve higher order goals and improve selling product.
