Consumer Decision-making at the Base of the Pyramid: Synthesis of Literature and an Integrative Framework

2018 ◽  
Vol 18 (3) ◽  
pp. 270-306
Author(s):  
Nanda Choudhury ◽  
Srabanti Mukherjee ◽  
Biplab Datta

As a pioneering effort, this study analyses the consumer decision-making process at the Base of the Pyramid (BoP). This study proposes consumer vulnerability, bounded rationality, locking-in effect and opportunism as major constructs influencing the consumer decision-making process at the BoP. Using a Systematic Literature Review (SLR), this study has integrated the transaction cost perspective into the consumer decision-making process at the BoP, which is a novel contribution to the literature of consumer behaviour. This work has recognised the importance of the retailer and its role in the decision-making process, and adds a new perspective to the study of BoP as well as to consumer behaviour theories. This study will be helpful to businesses while serving the BoP segment by crafting appropriate marketing strategies for this segment.

Author(s):  
Alina Stankevich

In the last years, research investigating consumer behaviour and how their decision-making process has advanced and has become an important topic in the marketing society and literature. To advance the research further, this paper presents an extensive literature review of academic publications in the area of buying decision-making process in marketing and its status. Furthermore, the paper presents latest trends and themes that emerge there. Based on 24 journal articles, reports and marketing books, the core models and theories in this area were evaluated and discussed. Moreover, a framework of “moments that matter” in consumer decision-making process and factors that influence them was elaborated for a possibility to influence consumer behaviour in favour of company’s offers. Furthermore, recommendations for marketers were suggested for deeper understanding the consumer behaviour and their buying strategies to empower marketing campaigns and be a success in the market. The paper also suggests several directions for future research related to buying behaviour.


2019 ◽  
Vol 36 (1) ◽  
pp. 178-188 ◽  
Author(s):  
Nanda Choudhury ◽  
Srabanti Mukherjee ◽  
Biplab Datta

Purpose The purpose of this paper is to examine the factors affecting decision-making at the BoP and propose a framework of the consumer decision-making process at the base of the pyramid (BoP). Design/methodology/approach The qualitative research design was adopted to collect primary data. Data collected through the in-depth semi-structured interviews of the 48 BoP consumers in Kolkata and Kharagpur (India) were subjected to grounded theory analysis for theory development. Findings This study reveals that consumer vulnerability affects the decision-making process and the transaction cost at BoP level. It was observed that the consumers at the BoP make constrained choices due to their vulnerability and try to minimise transaction cost while selecting the retails. The constrained retail choice leads to a limited selection of products and brands. Originality/value This study, for the first time, has investigated the decision-making process for BoP consumers in detail. As a pioneering attempt, it sheds light on some new factors including consumer vulnerability and transaction cost that have an impact on the consumer decision-making process.


Author(s):  
Teresa Sadaba ◽  
Patricia SanMiguel

Little but increasing research has been done about the influence of blogs in the consumer decision-making process. This paper tries to shed some light on this new scenario, analyzing how bloggers are now a key player in the fashion industry, and explaining how they create a closer and more qualified relationship with customers, so they can be more influential. Based on a case study, and considering different approaches to bloggers influence, this article makes it clear that measuring the engagement between bloggers and readers is significant for brands and their marketing strategies with bloggers.


2019 ◽  
Vol 23 (1) ◽  
pp. 82-103 ◽  
Author(s):  
Jill Nash

PurposeThe purpose of this paper is to explore the levels social media (SM) platforms are influencing consumer decision-making process for Generation X and Y consumers in the retail fashion environment.Design/methodology/approachThis study adopts an interpretive, exploratory approach, applying a qualitative design. The research involved eight in-depth interviews and two focus groups in order to gain in-depth insights of two generational cohorts opinions, arguments, motivations and ideas.FindingsThe findings revealed that consumers use a variety of internal and external motivations that influence their behaviours and perceptions of high-street fashion retailers, and these factors are aided and facilitated by the use of SM. However, the research also revealed that SM is not the only source that motivates their consumer decision-making process, and with the proliferation of active users on SM, these platforms are (and will continue to have) an ever more increasing impact on consumer decision-makings. Participants were found to actively use SM to gain inspiration and information regarding high-street fashion retailers, however their final intentions to purchase were not as highly influenced by the content produced as previously expected.Research limitations/implicationsPrior to consumers’ making any decisions they are impacted by various stimuli, however, with the proliferation of active users on SM, the influence these platforms unconsciously have on consumer behaviour is vast. Therefore, suggesting that consumers are not as predictable as traditional consumer decision-making process (CDMP) theory postulates. Although thought processes do appear to exist, consumers now demonstrate a much more complex process, which create multiple layers of motivations where internal and external factors overlap.Practical implicationsThe findings of this study present valuable implications for high-street fashion marketers and are anticipated to enhance and deepen fashion marketers understanding of CDMP when using SM. Thus, they must strive to understand and provide relevant content to consumers’, not only for Generation Y but also Generation X, responding to quickly changing consumer demands and expectations with both of these cohorts. Overall, these findings propose that high-street fashion retailers on SM must understand the complexity of internal and external factors motivating consumers to interact with retailers online and off, and therefore, generating added value for their consumers. This is useful within marketing practises.Social implicationsThis paper gives some clarity and insight into the motivations of consumers in the fashion retail environment, from a digital influential perspective.Originality/valueThe findings concluded that SM has created a consumer that can be impacted at any stage of the decision process and has added to the research regarding unplanned consumer behaviour. Participants behaviours were stimuli-driven and user-controlled. Therefore, this had a larger impact on inspiration as opposed to modifying their behaviours to align exactly with trends or products.


2018 ◽  
Vol 17 (1) ◽  
pp. 131-139 ◽  
Author(s):  
Tomasz Zalega

The discussion presented in this study focuses on consumer behaviour of people aged 65+ in Poland that may be classified as sustainable consumption. The article primarily seeks to offer some insight into sustainable consumption within the consumer decision-making process among Polish seniors. The basis for the conclusions is provided by direct research conducted in the form of a survey questionnaire on a sample of 2,537 people aged 65+ in 2014–2015 in 10 Polish cities f various populations and sizes.


2016 ◽  
Vol 35 (2) ◽  
pp. 292-304 ◽  
Author(s):  
Lauren G. Block ◽  
Punam A. Keller ◽  
Beth Vallen ◽  
Sara Williamson ◽  
Mia M. Birau ◽  
...  

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