A report on 205LON Consumer Behaviour- Individual work on Millennials’ Consumer Behaviour Analysis

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205LON Consumer Behaviour


Nowadays, the way of purchasing is changing due to the changes in the needs and desires of customers and changes in the way of companies’ customers’ motivation policies. Due to the drastic growth in compaction, companies try to increase customer loyalty and repeat purchasing through the positive influence of customer’s buying behavior. Schroeder (2014) says that companies consider the living style, living behavior and social status of people as a main target to motivate them towards their products. These policies are basically used by the manufacturers of luxury goods because of the limited target market. Chevalier & Lu (2011) describe the policy of luxury product manufacturers which is based on post-purchase satisfaction and value of money that is used to motivate the customers to purchase their luxury items. As a result, they ensure the regular sales and growth in their niche customer base.  

Brand Background

To attain the requirements of this paper, this paper luxury product brand is selected that is known as “Louis Vuitton (LV)”. This brand is selected because it focuses on the customer loyalty and repeat purchasing to ensure the regular sales of its products throughout the year. Features and characteristics of LV brand give glamorous image to products and safeguard to traditions used in target societies but its man-made products look as a luxury that makes LV more valuable fashion brand in the world market. 

Motivation to influence repeat-purchase and build customer loyalty  

Consumer buying behavior is influenced by the desires and needs of customers. This statement is supported by a theory of Maslow that is known as hierarchy of needs (Haksever & Render, 2013, p. 42). This theory introduces five important areas related to the human needs that are experienced by an individual and that motivate to make purchasing decisions. This theory also states that customers’ motivation for fulfilling desires encourages them for gathering complete information about the desirable products and contacting to other consumers to know about their experiences. As per this theory, the awareness of customers about a particular product and post purchase satisfaction are some factors which increase the chances of repurchasing that is also supported by Lambin & Schuiling (2012). 

It means repurchasing decision of customer reflects the customers’ satisfaction in the term of value for money, product’s benefits or product’s features otherwise, the issues related to product’s performance or bad experience of customers may not encourage for making repeat purchasing. Therefore, it can be stated that repeat purchasing are an important term for the companies. In this context, LV uses the value proposition policies (Dennis, 2012) to offer quality product at restorable price to target customers that does not only help in addressing their desires but also allow LV to enhance their satisfaction level. This strategy focus on following factors:

Information about customers

Information about needs, and 

Relative price 

For example, LV includes flight-tracking system and features related to city guide in its custom watch that has android based characteristic also. This watch is different from other competitors’ watch. Hence, this product will motivate customers for making buying decision. 


As a result, customer feels unique experience that is a main factor to develop loyal customers and results repeat purchasing.     

LV also uses brand reputation strategy through the latest design and best talent with traditional product’s concept for motivating customers to make a decision for purchasing LV luxury product brand (Johnston, 2012). On the other hand, LV uses aggressive marketing of its luxury products which conveys the message related to product’s authenticity and their traditional values for customers with innovative ideas. 


In the similar manner, the aggressive marketing also enhances the customer awareness related to products such as limited edition of collections that help to hold the customer with products long-time and encourage them to wait for new products. Such relationship impacts positively on customer’s view towards product (Balloon Art International, LLC, 2011) that converts them into loyal customer and increases the possibilities of repeat purchase. Customer behavior data analysis reveals the similar fact about the product-based motivation of customers because 28 respondents from 37 say that they make a purchase decision after self-motivation that can be the result of aggressive marketing and promotion. 


Perception to influence repeat purchase and build customer loyalty

Consumer buying behavior gives importance to perception of individual towards a particular product in the regard of buying decisions. It means positive perception will increase the chance of first-time purchase and repeat-purchase otherwise negative perception for a product will restrict consumers by making purchase decisions. Owusua & Aniforib (2013) says that there is a perception of customers that high price product means high quality and good features. Due to this perception, most customers show their loyalty towards the high price brands. In this context, LV uses high price or premium prices for its products to target such perception of its clients. Venkatesh, Thong & Xu (2012) present different thought about customer’s perception with the help of customer perception theory that says high demand of products, luxury word with product brand and special features of products develops positive perception that results growth in customer loyalty and repeat-purchase. 


In this context, LV promotes its products with the word such as “luxury strategy” and customer perception theory defines “Luxury” word as a factor to create a positive perception of the product. It means the luxury word helps LV to create its attractive brand image among the customers which drive customer buying decisions (UNClOSET, 2017). On the other hand, highest price brand of LV products stimulates customers to purchase luxury brand and feel unique experience. For this company uses the unique design of products to enhance customer’s stimulation. 


To increase the attraction of customers, it uses social media platform to increase customer awareness through the live streaming of fashion shows, product items and review of customers to create a brand image and encourage customers’ for making buying decisions (Talkwalker Inc., 2018). The analysis of collected data from customer buying behavior survey in the context of a question depict that 24 respondents say that after sales satisfaction is a factor that motivate them to purchase LV products while 15 respondents in another questions answered that do not care about high price of LV product that reflects their positive perception towards LV products which may increase repeat purchasing and increase customer loyalty. It means positive perception of customers for LV products is a factor to improve customer loyalty and repeat purchase.  

LV uses Attitude to influence repeat-purchase and build customer loyalty

For an organization, the repeat-purchase and build customer loyalty are the most important factors that are driven from the attitude of customers. In this context, functional theory cited by Zhang & Kim (2013) reflects towards the role of attitude of the customers towards their purchase decisions. As per this theory, customers’ attitudes influence various psychological functions because it is a function utilitarian and social adjustive. Due to this, it does not depend on any other factors but it influences cognition and decision making behavior. Because of this reason, the marketers, manufacturers and producers targets attitude of customers for making effective and emotional relationship between their offers and target customers that positively impacts on the long-term survival of the product brand in target marketplace(Zhang & Kim, 2013). This theory also facilitates the organizations in making an accurate prediction of customer’s attitude towards features or performance of a product.    

Hartmann & Apaolaza-Ibáñez (2012) define attitude as a factor that plays a role in accepting or rejecting a product. Attitude of a person is influence by the experience, opinion, other’s view etc. For example, if attitude of customer is positive due to good experience, the product purchase decision by customers may be made in favor of product that will increase repeat purchase activity and improve customer loyalty. Otherwise, negative attitude will restrict the customers by making purchase decisions and repeat purchase may not take place in future. 

In the views of Kim (2011), the customer loyalty can be measured through attitude of customers because attitude will reflect the purchasing willingness of customers. This is because of the direct relationship between customer loyalty and customer attitude. It means repeat purchase reflects the positive attitude of customers which will positively impacts on customer loyalty. Kardes, Cronley & Cline (2014) define influence of attitude on customer loyalty with the help of customers in motivation and buying behaviors. They say that motivation of customers helps an individual to make a product purchase decision that is derived from customer attitude, which is influenced by marketers through marketing and promotional activities. To promote customer attitude towards luxury items and goods, LV uses celebrities to promote its products in public (Anderson, 2012) through their statement and experience that positively influences perception of their followers.

As a result, they show their positive attitude towards product promoted by their hero or icon. Further, the promotion of luxury product by celebrities helps an individual in the formation of familiar attitude towards the products. As a result, they make purchase decisions regular basis because they want to show their attitude as similar as their hero or celebrities. In this regard, survey data reflect that 26 respondents from 37 say that other’s view help them to develop attitude towards LV product. 

Personality to influence repeat-purchase and build customer loyalty 

According to Fournier, Breazeale & Fetscherin (2012), the theory of consumer-brand personality discusses about archetype that plays an important role in consumer decisions and, it can be recognized immediately because of its subconsciously familiar nature. In this context, the benefits to customers, offers on products, communication strategy, identity and experience of customers are some elements which help a product brand to develop archetype characteristics. 

Another similar theory is cited by Kardes, Cronley & Cline (2014) is customer-personality theory that describes the benefits of “Brand Asset Valuator” which helps companies to address the features of the brand as well as process which facilitate to improve the recognition of product in future. Hence, personality of brand influences customer loyalty and repeat purchasing in recognizing manner. LV applies personality theory with the help of product’s functional characteristics for introducing and selling its brand in a competitive market. For instance, LV uses good looking, style and durability of leather products to target young age customers to increase customer loyalty and repeat purchasing. In the similar sense, 27 respondents from 37 say that LV products help in changing personality of customers.   


Lifestyle of Customers and its influence on repeat-purchase and customer loyalty 

Lifestyle of customer impacts directly on their desires and needs. Due to this, companies target customers’ lifestyle through their marketing activities. In similar sense, the lifestyle hierarchy based consumer theory introduced by Lazer (1963) depicts that the markets use psychological segmentation to target their customers due to the direct link between social class and lifestyles of people (Lawson and Todd, 2002, p. 296). 

According to lifestyle hierarchy theory defined by Kahle & Valette-Florence (2014), the purchasing decision of a customer depends on culture and society, group and individual expectations and values, lifestyle patterns and values, purchase decisions and market reactions of consumers. In supportive manner, Mosca (2016) says that desires of customers to improve social class status drive the perception of customers towards the consumption of luxury product brand. If they meet such product in the market, they definitely go for purchasing. It means the demand for any product depends on the need for customers to make changes in customers’ social class. It means variation between customer desires and characteristics of a product brand affects the decision making process. As a result, customer may not go to buy the product. 

Another theory citied by Wedel & Kamakura (2012) defines that companies track activities, interests, opinions (AIO) of customers for exploring their motives, desires, perception towards the products and their attitudes. As per the theory of AIO, a customer will go for repeat buying, if perception and attitudes are positive towards the product and repeat buying decision encourages customers to become loyal towards that particular product brand. On the other hand, Gbadamosi (2016) says that the positive opinion of customers is reflected repeat buying decisions and result in customer loyalty.

In similar manner, LV brand targets perception and opinion of customers towards lifestyle improvement. For this, it uses psychographics which facilitates to determine reasons that motivate a customer to make a purchase decision for a particular product brand. LV uses lifestyle based products’ catalog which helps the visitors on website to know they can make improvement in their lifestyle with the help of LV luxury products without making changes in their social values and traditions. Customer service section of LV website also facilitates them to know about how a customer can maintain their luxurious life through existing product brand. Similar fact is also reflected from customer behavior data analysis because 15 respondents from 37 say that LV product influence their prestige in societies therefore; they can pay a high price. 



Above discussion explores the need for effective product related policies and strategies that focus on customer’s satisfaction and make them loyal towards the brand for increasing repeat sales. In this context, following is some recommendations for LV to achieve its objective in the competitive marketplace. 


Maintain High Price Range 

Brand of LV has developed a common view in public that the high price means the product has high quality and customer will get more after paying more. As a result, it will help the company to retain its position in the market. Further, the high price for LV product brand will help the customers to get post-purchase satisfaction because they will feel satisfaction in the term of value for money. As a result, the regular performance of brand in the sense of luxury item will influence the psychology of customers that will result in repeat purchasing and developing a loyal customer base (Meehan, et al, 2011). But the bad impression of any product brand may affect customer loyalty and repeat purchasing. LV can track the purchasing behavior of target customers with the help of Search Engine Optimization. 


Give Unique Experience to customers and Give reason to Proud Them on their Decision

The regular focus on the improvement in customer’s social profile through new luxury quality items may help the company to develop loyal customers. This is because the quality goods will give a unique experience to target customers and they will feel pride after purchasing because of fewer availability of similar product brand for other members in societies (Ayanso & Lertwachara, 2014). As a result, customers of LV will feel special that will impacts positively on repeat purchasing. To achieve this objective, LV can engage the target customer in the product development process. As a result, company may address customers’ needs properly which will amplify customer loyalty.   


Transfer Benefits to Customers on Repeat Sales

Transfer of some benefits of the product to customers on second or repeat purchasing will also encourage them for repeat purchase (Kimura, 2017). LV can achieve this objective through some social media based referral program which positively impacts on promotion as well as its demand. This program will also help to associate new customers with brand and help in holding existing customers. As a result, LV will see dramatic growth in a loyal customer base as well as the repeat purchasing. 

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