Every consumer has a different method for making a purchase. Some consumer’s have an intense system for research before making a well thought out decision. Others are impulsive buyers, who makes their decisions on the spot.
Either way, all consumers react to similar factors that help them make a decision We’ve looked into what factors are influencing consumer decision making the most in 2017.
The price must be right
According to the PWC Total Retail Report for 2017, unsurprisingly, those surveyed voted price as the biggest influence. The foundation requirement for any purchase decision by consumers is the product’s price. No matter how badly a consumer wants or needs a product, they cannot buy what they can’t afford. Consumers now have more control over how much they spend, due to the abundance of price comparison sites online. Because of this, companies are forced to keep prices more competitive.
However, affordability can be a matter of perspective. Consumers set budgets for a reason, but these can be easily broken. Provoking emotion from consumers through advertising or targeting a desired personal image can create a ‘need’ from the consumer, which can bypass the barriers of a budget.
Following on from price, those surveyed voted trust as the second biggest influence on decision making. The report highlighted that consumers preferred to shop with retailers they were familiar with, or have past experience with. The report documented that 65% of those who answered described themselves as a ‘loyal shopper who knows the brands and products that they like’.
In accordance with trust is the rise in consumers taking action to minimise security risks online. Consumers are choosing online retailers they trust to minimise any risk. To verify the security of sites, consumers are looking for payment providers like PayPal before they commit to a purchase.
The Amazon Age
Amazon has become a key part of the shopping journey. This influence is now even stronger than before, with 91% of UK PWC respondent’s shopping with the retail giant. Consumers start their decision making journey on Amazon, making the e-commerce site not only for purchasing but a key component of a consumer’s research and decision making journeys.