Arlene

B. Daro EDH 130 HW 3

2014-55735 January 29, 2017

Consumer behavior looks into the buying tendencies of the different goods and services of the
consumers. This helps us understand why or why not a consumer chooses to buy the good or
service. This depends on various factors, and two of these are the social and cultural factors.

Human beings are social animals. We talk and discuss with other people regarding various issues
to reach better solutions, decisions, and ideas. Social factors play an essential role in influencing
the buying decisions of consumers, according to Management Study Guide (n.d.). We live in a
society, and it is important for individuals to follow the rules and regulations of society. People
are affected by what the people around him/her are consuming. They would really ask those
people who have tried the product or service if it was worth what theyre paying for.

Meanwhile, the cultural factors focus on a set of values and ideologies of a certain community or
groups of individuals. It is the culture of an individual which dictates the way he/she behaves
(Management Study Guide, n.d.). There is really a value

According to Cabiao (2013), there are 4 trends in Filipino consumer behavior as reported by
Kantar Worldpanel. These four factors are beauty, hygiene, health, and convenience.

Beauty. Filipinos like to look good. We care about our looks, and 72% of them specifically stated
that they would like to improve their hair color and their complexion. True to this report, their
purchase of hair conditioners went up to 12.6% and 6.3% in hand and body lotions from June
2009 to June 2013, as stated in Cabiaos article. Also, Filipinos are inclined to achieving a fair
complexion. As a result, there was a 10% increase in the purchase of whitening products from
2011 to 2013.

Hygiene. According to the article by Cabiao (2013), Filipinos care more about their hygiene due
to the increased widespread of diseases. It is reported that the purchase of hand sanitizers went
up to 19%, and the purchase of wet tissues went up to 9% from June 2009 to June 2013.

Health. Filipinos are now choosing the healthier lifestyle as shown in their food product choices
(Cabiao, 2013). The sales in cereals went up to 17%, yoghurt/cultured milk to 9%, canned
vegetables to 6%, and biscuits to 6%. Also, there was an increase in the sales of soy milk (20%),
bottled water (12%), energy/sports drink (10%), and powdered milk (6%) (Cabiao, 2013).
Products made with fresh, natural, and/or organic ingredients appeal strongly with Filipino
consumers (Marketing-Interactive.com, n.d.). Based on the 2015 Nielsen Global Corporate
Sustainability Report, 74% of Filipinos say that this factor has a heavy influence in their purchase
decision (Marketing-Interactive.com, n.d.). According to a report by Tayao-Juego (2016),
consumers make it a point to read the labels and ingredients first before making a purchase.

Convenience. It is not a big surprise that Filipinos want a lifestyle on the go. We want food,
beverage, and cooking choices to be fast, easy, and convenient. This is why we resort to fast
foods, and ready-to-drink/eat food choices. In line with this, there is an increase in the purchase
of ready-to-drink chocolate drinks (21%), ready-to-drink coffee (17%), ready-to-drink
energy/sports drink (11%), instant noodles (9%), instant pasta (7%), and canned meat (7%)
(Cabiao, 2013).

According to Rappler.com (2013), there are more factors that influence Filipinos decision to buy.
It is stated in the report that based from a Nielsen online survey Filipino consumers are more
likely to stick to brands they know and buy products if these are accompanied by freebies. Based
from the survey, about 76% of Filipino respondents are more likely to buy products that come
with free gifts/freebies. Stuart Jamieson, the managing director at Nielsen Philippines explained
that The allure of good product promotions is strongest in developing countries such as the
Philippines where practicality and creativeness are needed in order to stretch the budget. It is
true that we may be ready to spend, but we still look out for the best deals and promos. Also,
Filipinos are loyal to brands. Around 77% of Filipino respondents said that they usually have
preferred brands and types before buying (Rappler.com, 2013). In addition to the two factors
mentioned earlier, survey results showed that advertising strongly influences Filipino
respondents preference for a brand (Rappler.com, 2013). Online sources are the most
influential platforms on how consumers get information about the products they choose to buy.
Lastly, advertising influences Filipinos preference for a brand. Based from the survey,
respondents from the Philippines, which is around 78%, admitted that commercials increased
their brand preference. Also, around 73% of Filipino respondents agreed that the image created
by advertising had an impact in their decision to buy a product. In another report, Jamieson
stated that Filipino consumers dont just avail products and services immediately. They are
checking labels before buying, they are looking at web sites for information on business and
manufacturing practices, and they are paying closer attention to public opinion on specific brands
in the news or on social media (Marketing-Interactive.com, n.d.).

The last factor I would like to discuss is the environment. Ones environment plays a great role in
ones decisions. The environment is where culture and society thrives. According to Marketing-
Interactive.com (n.d.), commitment to social value (62%) and the consumers community (60%)
play an important role in the ability to pick and decide. Also, people are more willing to spend
money for those products and services which are environmentally friendly and for a cause. 60%
of consumers said that environmentally friendly packing heavily influences their purchase
decision (Marketing-Interactive.com, n.d.). It is not only true here in the Philippines but also
globally. In 2014, 65% of the total sales of consumer goods measured globally were caused by
brands who has commitment to social and/or environmental value (Marketing-Interactive.com,
n.d.).

With all the research I have done, I can say that the most important factor for me is the
environment because it is everything that is around me as a consumer. In a way, I am happy that
my fellow countrymen are leaning towards buying products which are for a cause and are good
for the environment. Also, they are not just buying impulsively. They check the information
available and the labels. This might be a small act, but when gathered it can make a change, and
I believe that it is possible.
Sources:

Cabiao, C. (2013, Sept 7). 4 Factors explain Filipino buying behavior. Retrieved from
http://www.rappler.com/business/38219-4-factors-explain-filipino-buying-behavior

Management Study Guide. (n.d.). Cultural Factors affecting Consumer Behaviour. Retrieved
from http://www.managementstudyguide.com/cultural-factors-affecting-consumer-
behaviour.htm

Management Study Guide. (n.d.). Social Factors affecting Consumer Behaviour. Retrieved from
http://www.managementstudyguide.com/social-factors-affecting-consumer-behaviour.htm

Marketing-Interactive.com. (n.d.). Filipinos among the most socially-conscious consumers in the
world. Retrieved from http://www.marketing-interactive.com/filipinos-among-socially-
conscious-consumers-world/

Rappler.com (2013, Jul 2). 4 Factors that influence Filipinos decision to buy. Retrieved from
http://www.rappler.com/business/features/32721-what-influences-filipinos-decision-to-buy-
products

Tayao-Juego, A. (2016, Oct 28). Consumers becoming healthier, greener, more family-oriented.
Retrieved from https://business.inquirer.net/217675/consumers-becoming-healthier-greener-
more-family-oriented