Comparative analysis of customer behaviour models
2016
Viksne, K., University of Latvia, Riga (Latvia) | Salkovska, J., University of Latvia, Riga (Latvia) | Gaitniece, E., University of Latvia, Riga (Latvia) | Puke, I., University of Latvia, Riga (Latvia)
In marketing theory, various models strive to explain customer behaviour. They vary one from another lot. However, since customers in different product markets behave differently, the need to understand various customer behaviour models arises, and the following problem emerges – number of situations where inappropriate behaviour models are chosen for practical usage significantly increases. Therefore, the aim of the paper is – by identifying and evaluating most typical customer behaviour models, to understand how they differ from one another and explain better and more appropriate usage practice for different models. To achieve the aim, the authors have defined following tasks for paper: 1) to identify the essence and content of most popular customer behaviour model; 2) to assess strengths and weaknesses of each model by conducting expert interviews; 3) to determine practical application opportunities for each identified model; 4) to draw conclusions and make recommendations for practical usage of those models. Results show that classic five-stage model is most popular customer behaviour model in both - theory and practice. There are many attempts to provide improved versions of the model, yet they all are incomplete. Some critics and suggestions for alternative models are useful when dealing with specific products and markets. There are specific models created for such situations. These models, however, do not explain customer behaviour in other markets. Therefore, despite the critics addressed towards the classic five-stage model, it is still appropriate to use it in practice, and it works the best in conjugation with other market/product-level specified models.
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