Question

Q1. Describe and discuss the cultural, social, personal, and psychological factors that influence the purchase of the product/service. (Amazon-Ecommerce)

Answer 1

Cultural factor :- when a person comes from a particular community he is influenced by his own particular community .

The cultural factors influencing the purchase of product and services are as follows:-

1) Culture - consumer behaviour have strong influence on cultural factors . Cultural factors are basically consist of basic values, needs, wants, perceptions, choice and behaviour are observed and learned by people near them or family members.

2) Subculture/culturalsubgroup- In cultural group there are many subcultural group exixts. These groups have the same sets of values and beliefs. These group can consist of different caste, religion, geographies and nationalities.

3) Social Class- every culture/ society/ groups/ around the globe as form of social class.. this social class are generally determined by factors such as the occupation family background, education and residence location and also mainly by income.

Social Factors:- humans are social beings as they live around many people who influence there purchasing behaviour . Human try to copy other humans and want to be socially accepted in the society. Their purchasing behaviour is influenced by people around them friends or family members.

1) Family - A person develops there personal choice of purchasing the product and services from his childhood by watching own family . Purchasing products and continues to purchase the same product even when they grow up.

2) Reference Group- reference group is form of people that have a comman buying behaviour and by that they influence other people to purchase the particular product or services.

3) Status and Role- the person purchasing behaviour is highly influenced by his status for example- if the person owns a business then he is in high position so he will be influenced by high status people around him and a person who is a manager in a company he will buy according to his status and on the other hand staff of the same company or an employee will have different purchasing influence.

Personal Factors:- Personal factor are based on a person own personal choice.this factors differs from person to person according to their personal choices.

Some of the personal factors are as follows:-

1) Income- the ability of influence is generally based on income because higher income give higher purchasing power . When the person have higher income he have more opportunity for the consumer to spend on luxurious product, but low income group or middle income group spend there income just on there basic needs such as , food and clothes.

2) Age - Age is the highest influencing factor in purchasing behaviour . The purchase choice differs from age to age , for example- youth, middle aged or old people . Every age have totally different purchasing behaviour, for example- teenagers will buy clothes , gadgets and beauty product . Middle aged are focus on house property or vehicle for the family.

3) Occupation - A person will purchase products and services according to his/her profession. For example - a mechanic would buy clothes( active wears) according to his profession and a teacher will buy clothes according to his profession (formal wear).

Psychological Factors- ​​​​​​ psychological factors are strenuous to measure but powerful enough to influence person purchasing behaviour

Some of the importance psychological factors are as follows :-

1) Motivation - the person has to be motivated enough to influence the purchasing behaviour of the other person.. a person need such as social needs , basic need, esteem needs . The basic needs and security needs have higher place all above the other needs thats why security and a basic need have power to motivate consumer to purchase products and services.

2) Learning - when person buys a product or services he/she will get to learn more about the product and service. Learning consists of skill and knowledge . Skills can be gained through practice and knowledge can be only gained by experience . Consumer will apply his own knowledge and skill to find satisfaction and solution from the product that he buys.

3) Perception - perception is a process where consumer collects information about product and tries to make a meaningful image about a particular product or service . For example - consumer sees advertisement , promotion , customer reviews, social media, feedback etc.