Table of Content
Definition of key terms
2
Introduction
3
Background information
3
Factors influencing the purchase of footwear
4
Personal characteristics
4
Individual circumstances
6
Social environment
7
Components of attitudes influencing behavior
8
Cognitive
8
Affective
9
Conative
10
Conclusion
11
Bibliography
12
Definition of key terms
1. CEO-Chief Executive Officer
2. NIKE-A US based Footwear Company, that manufactures sportswear and other sports apparels
3. ADIDAS-this is a German owned sports and apparel manufacturer. It consists of Reebok sportswear.
Introduction
The PUMA Company has been in existence for a long time now since its launch back in 1924. The company has in the past, experienced unstable market profitability based on it branding; something that prompted its CEO Zeitz to start a restitution campaign aimed at changing the phases of the company to be the choice of many customers. As a marketing manager of the Company and authorized by the company CEO to undertake a survey of the market characteristics of the PUMA products, I undertook a thorough scrutiny of the research of the market environment and characteristics of factors determining customer’s choice and preference in our products and services.
Background information
For the past few years the company has performed poorly in the footwear industry as compared to earlier years, especially the 80s and 90s in the market (Tong & Hawley 2009). While it is true that lifestyles have changed and demand priorities have shifted, the company has often grappled with the issue of customer specifications and attitudes which are in absolute spectrum of diversity. The attitudes can be attributed to a number of factors which shall be thoroughly argued and analyzed in this report. The vitality of human life, preferences shift, character, and attitude influence from other footwear companies have seen a big battle in the global market. However, PUMA has coupled all these qualities leading to a more stable market grasp as compared to earlier years. The research is therefore in tandem to the policy of the company in trying to keep an updated database of information with regard to consumer information for better quality and service delivery to its customers. This information is relevant in reorganization of the production to fit customer needs, thus putting it as a seminal part in the strategy and repositioning of the company’s business.
Factors influencing the purchase of footwear
The market demand and characteristics in the footwear industry has overseen a major influence cast by individual and group traits in purchase of items from the company. Some of the traits have been analyzed below.
Personal characteristics
Personal characteristics range from a wide span of view. Some of them include, individual tastes and preferences, the need or want for a shoe, purpose for purchase, post purchase evaluation and the attractiveness of the product to the client (Pereira 1999). These are some of the unique issues that have been diagnosed by the company in as far as client personal characteristics influence their decisions in consumption of the PUMA products. One’s taste and preference will often determine whether they buy the product or not. Analyst Meeting Final (2005) notes that what one prefers as the most ideal or one that lies within their cognitive conviction as the best determines their take on that particular product. This therefore means that customers are swayed by their preferences and tastes to take on a particular good. On the contrary if the customers are not pleased by a particular design, they will opt to leave the footwear on the shelves rather than take them Nike (Analyst Meeting Final 2005). This therefore is a vital form of information in as far as the market demand and purchase are concerned. The company will therefore need to switch its policies and production mechanism to ensure that it produces variety of designs in order to arrest the large and wide market vested by the variety of demands and specifications.
The issue of want or a need also is seen to be in control of most clients. A need as described by Tong and Hawley (2009) determines how much the product is of pertinence in that particular time, while a want could be just for the fun of it. A need will most of the time be a limiting factor if the product is not found. This therefore dictates the customer buying or consumption rate. Most of the customers of PUMA products are sports personalities and individuals who have been influenced by celebrities using PUMA products especially sports people (Business essays 2012). Therefore consumers who indulge in sports allude to the success of those involved in the sports fraternity and using the PUMA products. Through this, their consumer preferences are connived to follow suit of the celebrities being emulated. In this case the need is compromised as members may buy for the sake of allusion and drawing identity with the personalities (Reebok International Report 2004)
There is also the issue of post purchase evaluation and the purpose of buying the product. Business essays (2012) argues that everything that is bought should be serve a purpose and therefore customers and clients buy footwear with a purpose in mind. PUMA Company manufactures footwear of various backgrounds and purposes. Some of them are used in soccer, athletics crickets, luxury sandals, walking shoes, swimming paddles, and many more other customized footwear (Business essays 2012). This will therefore determine the type and designs that clients choose to buy. The post buying evaluation has also some effects on determining the purchase ability of the client. Some rethink about the overall stand in the functionality and the needs for buying the footwear. The question here is the consequence of the purchase, will it serve the purpose of quenching the need, was it worth the cash, how convenient is the purchase? This forms a part of argument of customers when they want to buy PUMA products.
Individual circumstances
Individual circumstances include the different idiosyncrasies that are reminiscent of the footwear industry. These incorporate the need for customized products for particular individuals. For instance the swimming costumes and shoes for Paralympics personalities need a fresh design both in nature and style so as to fit into their requirements. Such needs like these ones are part and parcel of the factors determining whether a customer adopts PUMA products or chooses products from rival companies such as ADIDAS, NIKE, and others of the like.
The economic situation of power of an individual can also determine the type of products they order for. Those who are rich and economically empowered will have no problem ordering for the best products that are often laced with more different additions rather than ordinary footwear chosen by one of low economic background. It therefore follows that economic muscles if one determine their extent of capital utilization, thus ultimately influencing the choices that they make in as far as footwear is concerned.
The exposure of one to products of the company can also determine or influence their decisions of whether to buy the product or not (Pereira 1999). Exposure here ranges from the type of information ones has about a particular product and the earlier contact with the product. If one for example has had a bad encounter or had negative reports about the product then the likelihood that they will buy such a product is limited as to one who has had positive encounter. Age and sex also play a lot of influence in purchase of the products in this company. While young people have quite a number of reasons and specifications before buying products, the older people advance fewer reasons for purchase. Ladies also have a lot of preferences and unique specifications before buying products (Pereira 1999)
Social environment
The social environment has been one of the core factors leading to a major influence in decision making is the purchase of footwear from the PUMA brands (Business essays, 2012). In the recent market analysis reports carried out, there have been major issues brought about by the social environment. Some of them are: social class, celebrity euphoria, lifestyle change, needs of the time and overall social trends in society and the globe. There have been reports on the social class to be the most influential one in terms of footwear in the market during the 90s and late 80s Business essays (2012) notes that PUMA products went low during this period due to the stand of the branding undertaken by the company. The company products were designated for the whole all social classes. Some members of the high class thus tainted the PUMA as cheap and of poor quality only fit for the poor in society who could not afford quality footwear. This was detrimental in the product offered by the company with overseen downward projections in profit generated in the company.
The situation was however to change with the advent and adoption of new policy. The change in market demands and lifestyle changes have overseen increased demand of PUMA products. This for instance, the rise of soccer as the best world sport and the indulgence of iconic players with PUMA products have overseen a wide market for the company. Footwear especially sport oriented designs have taken different angulations in preference as most people have been swept by the move. The celebrity indulgence and embrace of PUMA products has also led to a rise in the need use of footwear from this huge footwear manufacturing company (Marketing & logistics, 2004). Prospects from this type of influence have therefore led to a better and improved market demand for their goods.
There is also the issue of group and family influence on the choice that customers and clients make as to pertaining to the type and nature of footwear purchased. MBA notes world (2012) notes that family relations and groups conglomerations have a bigger decision on the choice of things to buy in any particular saying. Therefore the footwear from PUMA has also been viewed from the angling caused or based on by different groups. For instance teenagers have their own specifications of the nature and style they prefer as compared to other groups.
Components of attitudes influencing behavior
Cognitive
MBA notes world (2012) advances that some of the cognitive factors determining client behaviors include beliefs, attitudes, perception, learning and motivation. These characterize most of the buying and selling of PUMA products. The peoples’ belief about a particular trait is part and parcel of the reasons for the adoption of a particular product or service. Attitudes of a product are also shaped by the information people have about a particular product. Most of PUMA products have been known to be of quality branding and productions. Therefore most clients will have a higher affinity to a brand that established itself in the production and manufacture of sportswear and footwear. Reports indicate that PUMA has ridden on good attitudes from the customers who continue to use their products. This has appositive feedback I the overall functioning of the company as the company is able to boost production from the large database of clients all over the globe. Haque, Rahman, and Khatibi (2010) note that attitude is necessary in winning the trust of customers. This is developed through a number of ways, such as maintenance of quality and professionalism in production of goods.
Another factor of cognitive factor is the learning factor, which may be coupled with motivation for the adoption of particular goods. Learning is realized through sensitization of the public about the advantages of the product and the muse of quality time to win the trust of the buyers. It has been proven that that after a short time the clients or customers will automatically learn about the product and seize it. The learn-ability is a quality of cognitive factors which continue to influence the extent to which customers choose products and services (Ormrod 1999). Motivation can also be seen to be playing a big role in influencing the choice made by consumers in as far as product consumption is concerned. Ormrod (1999) argues that consumers should be well motivated through a number of forums like award of extra bonuses to the goods purchased and discounts given to them for motivating them to use products from a particular company. If this is done, consumers’ behavior will be changed and shifted to adopt products from that company. This will therefore augur well for business transactions for the company in question.
Affective
Affective factors include those that touch on the social effects posted by the company’s products on the consumers. Factors like the attitudes on a product and the emotional attachment to that particular product play a big role in determining the customers’ efforts of buying it (Business essays 2012).The attitudes are developed through indulgence in products over a long time. PUMA’s products have been in existence for a long time since 1924. This therefore means that the company products have curved themselves a very good competitive advantage in footwear industry. A similar attitude construction has been developed by the same company for all these years it has been in operation. Therefore attitudes are shaped by the feedbacks that are given by clients and customers that have had prior experience with the products. This therefore leads to a number of constructions in emotional attachment to the products. Tong and Hawley (2009) note that when a customer forms an attachment with a product, it is very hard to operate outside its precincts thus he or she contributes to others buying the same from the company. This is so as members of the public continu4e to see them use the product thus confining in the importance and reasons for use by the people involved.
Conative
These factors involve the mental processes that make customers and clients want to do something. It is therefore involving the urges derived from emulations from other people, the natural curiosity to try the product and the attractiveness of the product from the company (Marketing & logistics 2004). This therefore draws another point to note especially in trying to win market for the products at hand. It entirely highlights the needs of packaging of products in a highly attractive way so as to utilize the conative nature of human mind. When a product is well packaged and presented, the customers will have a higher affinity towards acquiring it thus increasing the market for the product.
The natural curiosity of man is also reminiscent of these factor(s).New products will often trigger a reaction of want and embrace from the population. The advent and introduction of new designs and footwear in the PUMA Company will therefore form another demand. It will therefore influence the choice of buyers who will in most cases want to try new products at the expense of the old ones.
Conclusion
Customer and client specifications should be put as a priory in the design and marketing of products from a company (Haque, Rahman & Khatibi, 2010). This will ensure that the products designed and manufactured are as per the market requirements of the time. Therefore the company will be able to reap result due to increase in the extent of meeting customer needs. The result will be translated into an increased demand and profitability. PUMA for instance in its structural policy and branding adopted a new version advanced by its CEO. This marketing strategy was to oversee a massive shift in, priorities and demand in the once castigated product of the PUMA footwear as one designed for the poor who could not afford quality footwear. The embrace of the idea is therefore part and parcel of the reasons for the growth increase in profitability of the company’s production business. The cognitive, social and personal factors should therefore be factored in for one to ensure proper maximization and optimal development in industry.
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