Individual & Business Customer Buying Behavior

INDIVIDUAL & BUSINESS CUSTOMER BUYING BEHAVIOR

Individual Buying Behavior

Individual customer and business entity behaviors are significantly different than each other when it comes to a buying decision. Individuals are mainly affected by personal and psychological factors while business entities buying decisions are based on the needs for generating turnover, effective competition and financial budget and resources. The only intersection reflects both parties are satisfying the need.

To reflect an individual behavior, I would like to give an example from my decision on buying a new electric guitar. I formed a rock band mainly playing heavily influenced music. And my current guitar was not up to that particular genre of music. Because I believed the band would be successful, I decided to make an investment on a new instrument. After the need is identified I was looking out and searching what types and prices of new and second hand guitars are available in the city where I live.

There are some top manufacturers and brands in the world; also most of them have distributers in Turkey. Manufacturing guitars is a special work and it needs highly skillful craftsmanship. This is what differ the top brands from the other mass production companies. I come up with a short list of brands after searching the prices, models, and features of some guitars. I've done my search mainly on web sites and magazines. Read the professional and user reviews, listened to sound examples, watched you tube videos and see how the instrument sounds and performs under real circumstances. And I also searched the artists and guitar players whom I like are using what types of instruments and what are their rigs look like. I made the short the listed based on the outcomes of my search and these influential factors. Then I searched if these models are available and what payment methods and terms are offered by the distributers/dealers.

I ended up with a model which has set of features I like, has the closest sound in my mind and used by many of the artists I like. And after some bargaining with the dealer and comparing the international prices I agreed on payment terms. The dealer also offered me free after sales service for setting up the instrument for a lifetime and some small tools for free of charge that complement the product.

Business Customer Buying Behavior

On the other hand some different factors are involved in the buying decision of the business entities. Although the generation of the need is the starting point for both business customer and individual customer, the purpose of the buying decision is different. The company's major motive is to generate trade, volume and turnover resulting revenue and in return optimizing profit. And the purchase is the input for the business entity to generate