Cultural factors include culture, subculture and social classes which have important influence in the consumer buying behavior. The traditional or cultural breakfast of Pakistani consumers includes paratha’s served with eggs, milk or tea. But now, the westernization of eating habits of Pakistani Customers supports the growth of breakfast cereals. Kellogg’s breakfast mates is the product which can succeed in Pakistan and its does not have any threat from its sub-culture. the mothers find it convenient and easy to serve ready to eat breakfast cereals to her children.
Keeping in mind the culture, we are advertising our product for all age groups because our product is for everybody’s use. Our company is mainly concentrating on upper and middle class.
Social factors include reference groups, family, social roles and statuses. Kellogg’s main target market focus is on children and young adults and their families. Social factors such as friends and family affect buying behaviour in such way that if a family purchases our product and if they liked it so they will influence their choice to other people and after that, they may become a regular consumer of Breakfast mates. Kellogg’s Breakfast mates is a product which is affordable for every class of the market either quality conscious or price conscious excluding lower lowers and upper lowers.
Consumer buying behavior can be influenced by people’s occupation. Life style of consumers can have large impact on consumer buying behavior. Like for example, if we go to the store mostly , the older generation people go for low cost, but more quantity products. They don’t care about quality. They go for the product which satisfies their need only. But if we talk about young generation, they does not care about the price. They always go for quality
Perception about the product
Different people have different perceptions. Perception means that how the people receive the data and how they use it. In our case the perception can be varied according to culture. our product is made up of corn. So some people might believe that it is and healthy product.
CONSUMER BUYING PROCESS:
1. Need recognition: The research we conducted shows that it’s agreed worldwide that breakfast is the most important meal of the day for both kids and adults and ready to eat cereals are one of the best choices available for a nutritious and low fat breakfast.
2. Information search: mostly friends and family members are major sources of information. And then advertising, packaging and displays are the commercial sources which helps people to purchase Breakfast mates.
3. Evaluating alternatives: When the consumer looks for breakfast cereals, he or she might compare Kellogg’s Breakfast mates with other competing brands. This is where social and psychological factors play a vital role in selecting our Breakfast mates and where our marketing activity can be judged that how we used these factors.
4. Purchase Decision: This is the step in which the consumer will actually buy our product. Situational factors might happen that the salesperson drive his choice to the consumer.
5. Postpurchase behavior: This determines the future of company, as in this, the consumer observes whether the product satisfies his need or not.
Business Buying Situations
1. Straight Rebuy: straight buy in our company will involve routine and repetitive purchases like monthly set orders of paper and other important office supplies within the company.
2. Modified rebuy: modified rebuy will include the straight rebuy products but it can be modified when different competitors offers a change in price for a similar product like order of raw materials (wheat, sugar, corn, honey,salt and other raw materials.)
3. New buy: New buy will involve the products and services we never purchased before, like new security systems (cctv) inside the factory for better control measures.
The Buying Center
1. Initiators: Our maintenance and Engineering department are the initiators, if they feel the need to make improvements or need for purchasing more products they suggests the idea of buying a particular product or service.
2. Users: Users of different products come under this category. Like our R&D and Engineering department who evaluate the performance of the product after purchase. They also act as initiators
3. Influencers: Technical experts play the role of influencers at Kellogg’s who draw the specifications of the products. They generally influence the buying decision.
4. Deciders: Our Purchase executive works as the decider. It has the both formal and informal power to make the choice which product to buy.
5. Approver: Finance department of Kellogg’s works as approver. It authorizes the actions of deciders.
6. Buyers: They choose among the best suppliers and negotiate the purchase.
7. Gatekeepers: Secretaries and technology personell acts as gatekeepers. They control the flow of information among everyone within the buying center.
Of concern to business Marketers:
‘ Who are the major decision participants?
Division head and upper management of kellogg’s.
‘ What decisions do they influence?
Almost all managerial decisions.
‘ What evaluation criteria do we use?
Product quality and service, Price and Efficiency of the product.
Kellogg’s breakfast mates Suppliers:
Kellogg’s does not sell its breakfast cereals directly to consumers. It uses intermediaries like wholesalers, supermarkets and stores. Transportation and storage processes occur between all stages of the supply chain.
Electronic Market places:
How Kellogg’s breakfast mates look for suppliers?
-by auction sites like (olx.com.pk).
-or suppliers can register online at our website.
Researching Customer Value:
‘ Kellogg’s does a yearly customer value research using focus group discussions, and direct surveys.
‘ Customer satisfaction surveys are also used for ratings.
‘ To measure the Kellogg’s performance, benchmarking of competitor performance is also used.
Buyer Supplier Relationships:
Kellogg’s have to maintain good relationships with its suppliers ( wheat, grain, corn), since there are only a handful of quality suppliers. If there is no supply there will be no sale. We build strong and trusted relationships with our suppliers by providing transparent and clear policies and guidelines.