The Psychology And Motivation Behind Consumer Decisions

People, as consumers, make decisions every day. To make a good market plan, it is necessary to understand the psychology and motivation behind consumer decisions. Usually, decision making is classified into three â€Å"buckets† which are cognitive, habitual, and affective (Solomon P38) . Based on their unique individual features, different market strategies are come up with to promote a new product which is a hotel booking application called HomeOnTheGo. It is a cybermediary product which filters and organizes the online hotel and lodging information so that travelers can identify and evaluate a place more efficiently. The potential competitors are TripAdvisor, Expedia, Booking.com, Airbnb, and etc. The marketing plan is inspired by the†¦show more content†¦Coupon on TV commercial would be a common sale promotion way which will be also used here. The price difference with coupon will increase the ideal state so that consumer will have opportunity recognition. Beside T V commercials, sweepstakes will be put on twitter and facebook, the winner will get free booking code which can be applied in the HomeOnTheGo website or application. This strategy was used by Ford Company, and the result is many consumer requested more info about Ford’s product (Solomon, P71). The second step is information search. Customer reviews are a key driver of satisfaction and loyalty. The survey mentioned in book said half of the respondents who bought an item from a major web site remember seeing other buyers’ reviews (Solomon, P74). However, some consumers don’t have urge to write reviews. Therefore, we think a review reward plan would be a good strategy to encourage consumer to write more reviews. A chart will also be given for consumers to know their personal preference when they register into the app or website. This kind of long tail strategy was used by many famous cybermediary such as amazon. The third step is evaluation of alternatives. When the potential consumer search hotel info online, they will choose some cybermediaries such as Expedia and booking.com to compare different deals’ price, location or rating stars. How to add our app into their evoked set even the consideration set is a huge challenge