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RETAIL SHOPPER BEHAVIOUR

UNIT 5

Need for studying consumer behavior

The accurate understanding of


consumer
To consider the external and
internal influences for consumer
purchasing decision

Some important and external and


internal influences are as:
1. Understanding how the need for a product/service
was determined.
2. Understanding how information was required by
the customer.
3. The process of evaluation of various products and
store.
4. The payment process.
5. The post purchase behavior.
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Range of merchandise

en
i
e
nce

ily
m
a
of f of
e
g
Sta e cycle r
lif
me
u
s
con

Factors influencing
customers decision
making

L
o
c
a ti
o
n
al
c
o
nv

c
o
S

of
d Tr
n
av
u
o
el
r
g
ti
k
m
c
a
e
r
b
an
e
l p
a
d
ur hop
di
t
l
s
st
u
c
an
io
c

The customer Decision Making process

t
In

Me
Pr dia
in
AV t &

et
n
er

Search
for

Customer
Need

Store
Store
visits
visits

Information

Fa
Fr mily
ien &
ds

Evaluation
of options

Purchase
decision

s
re
o
St

Classification Shoppers Behavior

1. Blinkered Mode: Narrow-minded


shoppers
2. Magpie Mode: Information saver
and attracted by the display
3. Browser Mode: Rational thinker
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SHOPPER PROFILE ANALYSIS


Demographics - age, income,
gender, tradition, education level, etc.
Geo-Demographic Clusters - the
customer interests, lifestyles,
purchasing behavior, attitudes and
more.

Sales Force Management


Effective sales force management starts with
a qualified sales manager.
Recruitment and selection (Match
candidates with your needs)
Training and development
Motivation
Compensation
Supervision
Performance evaluation
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The Sales force Management


Process
Recruitment
Recruitment
and
and
Selection
Selection

Performance
Performance
Evaluation
Evaluation

Training
Training

Supervision
Supervision

Development
Development

CompenCompensation
sation

Motivation
Motivation
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Complaint s Management
Feedback about the grievances
Complaints allow retailers to interact
with

their

detailed

customers

information

and
about

acquire
their

service and merchandise.

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Types of receiving complaints


Feedback from customers
Feedback from store employees
Customer research

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Features of best practice in complaint


handling are:
Visible measures in place from a
customers perspective
How many people stay with an organisation
based on the complaint process,
Well established processes in managing
complaints
Effective training courses for all staff to

CHALLENGES IN RETAILING
The first challenge facing the organized retail
sector is the competition from unorganized sector.
In retail sector, Automatic approval is not allowed
for foreign investment.
High Taxation
Developed supply chain and integrated IT
management is absent in retail sector.
Lack of trained work force.

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(Continued.)
Low skill level for retailing management.
Fundamental complexity of retailing rapid price changes,
low margins.

Cost of business operations is very high in India.


Online retailing still to pick up in India

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