CONSUMER BEHAVIOR

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Write a paper of no more than 1,050 words to explain how consumer behaviors of the target group affect the development of marketing strategies. In your paper address the following: Identify any negative publicity or consumer perception about flavored cigarettes. Evaluate how you might counter those negative perceptions through the use of strategic marketing methodologies.

Role of Consumer Behavior in Marketing Strategy

Influence of Consumer Behavior

Consumer behavior plays a crucial role in developing a marketing strategy. Consumers have different taste & preferences, attitude and demand that influence a marketing strategy. Marketing strategies like segmentation, targeting and positioning are developed according to the consumer behavior of target group (Peter & Olson, 2008). To satisfy the wants and needs of consumers, it becomes necessary for the marketers to understand consumer behavior.

Consumer behavior in actual sense is an interaction among the target group that share thoughts, feelings, opinions and attitude regarding a particular product or service. There are some key aspects of consumer behavior that influence marketing strategies (Rooney, 2008, May 5). These are as follows:

Purchasing power: Purchasing power of consumers affects the marketing strategies developed by the organizations. Purchasing power of the consumers changes according to the demand and wants of the consumers. For example, Gap Inc uses its Banana Republic Brand for high end consumers, Old Navy for lower end consumers (Peter & Olson, 2008).

Living standards: Living standards and lifestyle of the consumers also influence the development of marketing strategies. Marketing strategies change their approach to suite the living standards the consumers exhibit (Wilson & Gilligan, 2005). The strategies are developed to best fit with the thoughts and feelings of the consumers.

Taste & preferences: Interactions among the members of a target group also influence the taste & preferences regarding a particular product or service. Marketers develop strategies to best

Thoughts and actions: Thoughts and actions of a target group also affect the development of a marketing strategy. Marketers develop their strategy to realize the thoughts and actions of consumers into practice. Marketing strategies are developed to influence the thoughts of the consumers (Peter & Olson, 2008). Changing perspectives of consumers regarding any marketing mix of a product or service results into the changed marketing strategy to fulfill the demand. If consumers of a particular group are more focused towards the product quality rather than product price, it is essential for the marketer to change the strategy (The skills of early-cycle selling, 2005, October). For example, price, packaging, brands, tags, price, promotion and distribution are developed according to the consumer demand.

Additionally, consumers are of different categories that also influence marketing strategies greatly. These are as follows:

Innovators: These types of consumers have high income and self-esteem. To meet the demands of these groups, marketers develop innovative products.

Thinkers: These are influenced by ideals and they are practical people. Marketers develop strategies by following rational decision making.

Believers: These types of buyers are conservative and have modest income. Marketing formulate modest pricing strategies to fulfill the needs of this group.

Achievers: This consumer group focuses over status quo. Marketers develop high priced strategies for this group. For example, Banana Republic Brand of Gap Inc (Peter & Olson, 2008).

Experiences: These are encouraged by self-expression and generally younger people. Marketers develop catchy products for this particular group. For example, i-tunes of Apple Inc.

Strivers: People of this group use to favor trendy products. Marketers develop trendy products to meet the demand of this group.

Makers: This group value to the functional products. Marketers develop functional products for this group.

Survivors: These are the brand loyal consumers. Marketers create value in the product by adding features with a brand. For example, lifetime packages in insurance products & services.

Negative Publicity

Flavored cigarette is the product innovation that has taken place in recent years. It has increased the consumption of tobacco among the adult people. Famous flavored cigarette brands like Camel Exotic Brand, Salem Silver Label and Kool Smooth Fusions have attracted the concern of youth in a short time period (Lewis & Wackowski, 2006). According to the advocates of Public Health, flavored cigarettes have also increased the health risk among the adult group. It is stated by the advocates that tobacco use is indirectly encouraged by these types of flavored cigarettes.

According to the food and drug administration (FDA), flavored cigarettes are also harmful for the health of people as like unflavored cigarettes. It is stated in this negative publicity, that flavored cigarettes is encouraging the smokers to start smoking by masking the bitter taste of tobacco. Adult people are using flavored cigarettes three times more in comparison to the regular smokers of normal cigarettes. It is referred in the statement that illness and death frequency in the U.S among adults is increasing due to the use of flavored cigarettes, so it is useful to ban the flavored cigarettes (Guidance to Industry and FDA Staff: General Questions and Answers on the Ban of Cigarettes that Contain Certain Characterizing Flavors (Edition 2), 2009). It is stated in the comment that younger people assume that flavored cigarettes are not harmful due to which they have increased the use of this product that is influencing their health.

Marketing strategies

To handle the negative publicity, it is essential to use some strategic marketing tools that results into a positive word of mouth to create a positive publicity in the market. In order to counter the negative publicity, I might have used some competent tools. These are as follows:

Positive appeal: Marketing strategy for flavored cigarettes might have done by including a positive appeal in the advertising message for flavored cigarettes (Hansen, 2005, December). By using this strategic tool, I might have countered that negative publicity.

Strategic message content: Message content of the flavored cigarette add might be developed in such a manner that focused over the ingredients of cigarette. The content of a message might have included the statement which stated that flavored cigarette is not harmful.

Counter arguments: Antismoking campaign for the normal cigarette might have also used to counter the negative publicity or comment over the flavored cigarette. This tactic might have enhanced positive market image for the flavored cigarette (Lancaster & Reynolds, 2005). By using this tool, a positive word of mouth for flavored cigarette might have developed.

Campaign development: Campaign plays a crucial role during the time of negative publicity. I might have developed a campaign based on a socially responsible theme. In the message of campaign, social concern of the flavored campaign may have covered in order to create a positive publicity for the innovative product.

Therefore, it can be inferred that by using these strategic marketing tools, I might have encountered the negative publicity posted over the flavored cigarette.

References

Guidance to Industry and FDA Staff: General Questions and Answers on the Ban of Cigarettes that Contain Certain Characterizing Flavors (Edition 2) (2009). Retrieved April 17, 2010 from http://www.fda.gov/TobaccoProducts/ProtectingKidsfromTobacco/FlavoredTobacco/ucm183228.htm

Hansen, T. (2005, December). Perspectives on consumer decision making: An integrated approach. Journal of Consumer Behaviour 4(6), 420.

Lancaster, G. & Reynolds, P. (2005). Management of Marketing. Burlington: Butterworth-Heinemann.

Lewis, M.J & Wackowski, O. (2006). Dealing With an Innovative Industry: A Look at Flavored Cigarettes Promoted by Mainstream Brands. Am J Public Health 96(2), 244–251.

Peter, J. P. & Olson, J. C. (2008). Consumer behaviour and marketing strategy (8th ed.). New York: McGraw-Hill.

Rooney, J. (2008, May 5). As if you didn't know by now, it's about the bottom line for CMOs. Advertising Age 79(18), 3.

The skills of early-cycle selling. (2005, October). Training Magazine 14.

Wilson, R. M. S & Gilligan, C. (2005). Strategic Marketing Management: Planning, Implementation and Control (3^rd ed). Burlington: Butterworth-Heinemann.