Consumer and organizational buying behaviour

Outline the five stages in the buyer decision making process.

What do you see as the differences between Starbucks and Costa coffee shops?

Why have coffee bars been popular in the UK? (see text book 146/7 case 7)

What is meant by the evoked set? illustrate your answer using coffee bars.


What groups influence peoples' decision to go to a coffee bar?


Which individuals and groups are likely to influence peoples choice of
-mortgage

-mobile phone

-newspaper

-Car

Explain the difference between habitual and variety seeking buyer behaviour

Explain the difference between high and low involvement purchases


easyJet and Thomas Cook
Travellers booking their package holidays with Thomas Cook could soon find themselves sat
on an easyJet plane, as a report flags up a groundbreaking tie-up between the two firms.
Crisis-torn Thomas Cook has reportedly signed a deal to book thousands of seats on the
budget airline's flights.
The UK's second-biggest travel company - which is struggling with its debt burden - will use
the easyJet seats as part of its package holidays for next summer, the Sunday Times said.

The tie-up, which could be announced this week, will cover about 80,000 trips, representing 3
per cent of Thomas Cook's capacity. The group, which was recently forced to turn to its
banks for an additional 200million of loans, has scaled back the size of its own airline in the
past year as it moves to slash costs. While it is thought to be the first time that easyJet has
sold seats wholesale to another company, Thomas Cook has regularly worked with other
airlines, such as Monarch.
The group was plunged into crisis in November after it turned to its lenders for help, sparking
fears of a collapse, and recently appointed former Premier Farnell boss Harriet Green to lead
its turnaround as its chief executive. Thomas Cook has so far sold part of its aircraft fleet,
five Spanish hotels and its Indian arm as part of the strategy to reduce its 1 billion debt.
Read more: http://www.thisismoney.co.uk/money/news/article-2200617/Thomas-Cook-buy-
thousands-seats-easyJet.html#ixzz269fJBy6k



Traditionally easyJet has sold to what type of customers?

What are the different buy phases in organizational buyer behaviour (see fig 5.1 Jobber &Ellis-
Chadwick P158)



Complete the table below to contrast individual and Thomas Cook's buying of airline seats
Contrasting easyJet customers
Individual Thomas Cook
Number of units (seats)



Buying complexity/ role of the
people involved(DMU)




Choice criteria (what are the
buyers looking for)





Tailoring of service to specific
requirements





Relationship with customer





Level of pricing negotiations





Derived demand (yes or no?)









Relate Levitt's level of product model to easyJet (core need/expected/augmented/potential)












Possible exam questions

Explain the five different stages a buyer may go through, illustrate your answer


Explain how buying by individual consumers and organizations may differ, illustrating your answer

Explain the four different levels of products/services using Levitt's model. Why is it said that
augmented products/services become expected