Consumer Behavior of the Hiperbaric Company-Samples for Students

Question: Discuss about the Consumer Behavior of the Hiperbaric Company. Answer: Introduction The objective of this report is to discuss and analyze the consumer behavior of Hiperbaric. The importance of the consumer behavior on the performance of the company has a huge place since the decision of the decision of the customers to purchase from a particular company depends on their product quality and their loyalty towards the customers. The food processing industry is a very challenging industry where the number of challengers is increasing in a short period. The reputation of the organization Hiperbaric has helped them to hold the top place in the industry. In this paper, the topic of discussion will be to discuss the two segments of small food processing and large food processing companies, defining the customer segments of those two companies, making a buyer behavior analysis of the company, the organizational buying behavior of Hiperbaric, analyzing the large and small food procession companies, defining the customer relationship management analysis and linking with the o rganization and many more things to be precise. Brief overview of the company Hiperbaric is a Spanish organization with Andres Hernando as the commercial director of the company. The company was founded in the year 1999 (Hiperbaric.com, 2017). The organization has a 70% market sharte in the current scenario in food processing industry. He pointed out that Hiperbaric has been one of the main people who has seen the rise of the company. He also said that the company was a small one with just 4 sales people within the organization. They wanted to expand in order to digitally expand their business areas. Their revenues are very low and the resources are limited as well. The commercial director had approached the management that they should try to expand their business by linking themselves with the social media platforms through which they could connect with their customers even more. The experts had advised them with the prospect of opening a new YouTube, Facebook or Linkedin profiles. They have identified the fact there are new entrants in the industry who are t rying to snatch away the market share of Hiperbaric (Hiperbaric.com, 2017). SWOT Analysis It is very essential indeed to assess the various aspects of the Hiperbaric organizations strengths, weaknesses, opportunities and threats. Strengths Hiperbaric is one of the most popular companies in the high pressure food making industry and they have a good reputation all over the world as well. They have a lot of varieties of products under their belt. This helps them to get the customer base all the time. They are able to provide a broad portfolio of the HPP equipments to the food processing companies. Weaknesses Their market share is falling because of the new entrants in the market for a potential market competition. They have a very few number of employees that will affect their sales program all over the world and reach their customers properly. The amount of investment that has to be made in the different programs for the company are also a matter of concern for the company. They do not have a proper communicative technology through which they can consult with the end customers. Opportunities They can keep their eyes on developing the RD technologies so that they can gain a technological advancement. This will help them to retain their leadership position in the industry. They can try to collaborate with various other organizations and research organizations so that they can keep their systems updated with the new RD technologies. They can try several strategic growth initiatives like the expansion in many countries and others. They should also focus on entering into new business segments. Threats A number of various new entrants are approaching the market so they have to stay alert about this increasing market competition. The substitutes in HPP business market can also be threat to their business. The decreasing of market share is a great threat. This high market competition is a great potential threat to the company. Customer analysis It is a matter of utmost concern for the company and management to satisfy the customers from their end by delivering the quality products and services. They have to increase their services in a big way because it will surely likely to reflect on the sales figures of the company. Many experts have suggested different ways on how to improve the branding, product quality and service networks of the company. One of the major ways to contact the customers is to build a strategy based on complete technological devices and this would help to attract the different kinds of people like the customers, scientists, researchers, public administrators and the distributors of the products. The scientists are considered to be the experts in the food processing technology. The target customers can be reached if they decide to increase their busget along with their sales team. They have to be contacted at any cost because it is of huge importance to know about their needs from the organization. They need to increase their sales team because the commercial director of the company had addressed that their entire sales team has been engaged in attending major events all over the world. Difference between two customer segments There are generally two groups of customers addressed under the customer segmentation of the company. One is the small business group and the other is the businessmen from a corporation (Bernus, Ripoll and Panea 2012). The relationship with the customers is extremely important and this has to be a major part in the context. The customer segments have to be connected by the technical support. The other customers that could be identified in this context are the teachers and scientists, public administrators and the distributors. The teachers and scientists are the experts in using the technologies in the high pressure food processing. The sales team and event budget has to be increased in order to meet with the requirements of those target customers (Armstrong et al. 2015). These customer segments need to be contacted because it is of utmost importance to understand what they want from the organization and the kind of products that that would be most helpful for them. The need to increase the sales team of the company is very crucial and the commercial director viewed that the entire sales team has been engaged in handling major events all over the world. CRM Framework or Model CRM value chain or the customer relationship management model is one of the most important models that can be associated with the organizations (Kumar and Reinartz 2012). Hiperbaric should also give importance to it since they need to increase their customer base all over the world. Hiperbaric must improve their product quality and expand their services if they really want to be successful in the international market. They have to improve their internal functions and procedures and the external systems as well. This will, in turn, help them to improve their service to the customers on international basis. The CRM model is such a model that is empowered by technology and should be applied in the proceedings of organizations. Hiperbaric should follow this model if they want to build a proper customer base and develop their reputation (Kumar and Reinartz 2012). They have to understand what the customers want and assess their expectations. This way they should try to fulfill their expect ations. The valuable services or products have to be delivered to them. Hiperbaric should aim to increase their market value by both direct marketing and online marketing procedures. They have to improve their sales force as well. The customer service and support process has to be improved so that the communication between customers and manufacturers can be fast and smooth. Thus Hiperbaric would be able to increase their market values (Kumar and Reinartz 2012). Source: (Kumar and Reinartz 2012). Buyer behavior analysis DMU Small DMU Large Customer small Customer large Importance small Importance large Influences small Influence large Problem recognition The key problem here is the fear of meeting the demands of the customer and lagging in the competition. The problem here is the fear that they may not be able to meet the customers requirements and trail behind. The CEO and the top management officials are the key people in the organization. Buyers and users play huge role in the buying process of the products of Hiperbaric. The initiators also have a role to play in this segment. The quality of the products for the products and machinery is the main concern for the customers. The customers are likely to buy the products for its longevity. So, the quality of the products is the main concern for them. The improved machinery used by the competitors is the external influencing. The individual influence is to be the market leader. The rational influence is to use the improved machinery in the organization. The improved machinery used by the competitors is the external influencing. The individual influence is to be the market leader. The rational influence is to use the improved machinery in the organization. General need description The new products and machinery are to be introduced in the market. The new products and machinery are to be introduced in the market. Buyers are the primary users so they are involved in this step. Buyers are the primary users so they are involved in this step. The machineries have to be upgraded by the use of the technological devices. The machineries have to be upgraded by the use of the technological devices. External influence is technical change. Individual influence is to use the improved technology. Rational influence is to effectively upgrade the technology. External influence is technical change. Individual influence is to use the improved technology. Rational influence is to effectively upgrade the technology. Specification The quality of the machinery should be matched with the needs of the customers. The quality of the machinery should be matched with the needs of the customers. The role of the initiators in this segment is to check the machinery utility. The role of the initiators in this segment is to check the machinery utility. External influence is the technological advancement. Individual influence is the more adaptability. Rational influence is to enhance productivity by using technology. External influence is the technological advancement. Individual influence is the more adaptability. Rational influence is to enhance productivity by using technology. Supplier search Online marketing. Online marketing. Deciders. Deciders. Supplier quality. Supplier quality. External influence is the existing customers feedback. Individual influence is matching with personal criterion. Rational influence is the good product quality. External influence is the existing customers feedback. Individual influence is matching with personal criterion. Rational influence is the good product quality. Proposed submission Supplier selection Market distinctiveness Market distinctiveness Initiators Initiators Credit and trustable Credit and trustable External influence is the supplier quality. Individual influence is the unique marketing activities. Rational influence is the preference pattern of customers. External influence is the supplier quality. Individual influence is the unique marketing activities. Rational influence is the preference pattern of customers. Order process specification Analysis of the suppliers Analysis of the suppliers Deciders Deciders Benchmarking Benchmarking External influence is the competitor analysis. Individual influence is the matching with personal criteria. Rational influence is the more effectiveness of the product. External influence is the competitor analysis. Individual influence is the matching with personal criteria. Rational influence is the more effectiveness of the product. Buying behavior analysis Current relationship building capabilities B2B RM Large Small Trust The trust of the customers on the large food processors because they think that the large processors have more resources. The trust on the small processors is not as much as the large processors. Their resources are limited to an extent. Commitment The large food processors are more committed to the customers. The commitment to the small food processors is not as per the large ones. Long term perspective The large food processors will have a good run in the long term perspective since they have more resources. The small processors may not survive on a long term perspective because of the lack of faith of the customers. Communication The large food processors are more likely to communicate with the customers. The small food processors have limited ways to communicate with the customers. Customer Service Large food processors should provide better customer service always. Small food processors have limited customer base and their customer services are limited too. Mutual Benefits The mutual benefits of the large food processors are very high. The mutual benefits of the small processors are very low. CRM Value chain Supporting conditions Leadership and Culture The leaders motivate the employees to improve the production rates of the organization and thus securing a competitive organizational culture. Data information and technology The technology has to be improved and the data about their services have to be collected by implying that technology. People The key people who are associated with this organizations success are the internal and external stakeholders, the suppliers and the distributors. Processes The manufacturing process has to go through several stages. Hiperbaric should look to apply powerful strategies. Stages Customer portfolio analysis Hiperbaric should analyze the customer portfolios properly so that they can value their customers according to their importance to the organization. Customer intimacy It is important they develop a good and intimate relationship with the customers so that the both sides can be benefitted. Network development They should build a wide network along the entire operational areas that will cater to their reaching to customers and solve their problems. Value proposition development They should develop a strong value proposition development that will be helpful for Hiperbaric to develop their strategies. Manage the lifecycle The product lifecycle has to be managed properly by using the 4 Ps of marketing. This would give them an added benefit in the competitive market. Buyer behavior analysis influence Buyers are the key people in influencing the buyer behavior. The users can share their feedbacks to the buyers about the product and this will influence them to buy those products from the company. The initiators will help to identify the needs of buying the things from the company. The buyers have to be introduced with the machinery in the market to improve the communication between them and the marketing and sales team of the organization. If the machinery provided by Hiperbaric proves to be a successful one in the long run, it will be helpful for them to buy it and this will profit the company. Thus, it is very useful for the company to maintain a good reputation in preparing good equipments for the company. They can try to use the improved technology within the organization that will attract more customers towards them. Buyers are the primary users of the product so they should be informed about the quality inventories of the product. This will imprint a good impression on the bu yers minds. Relationship analysis Analysis of: Requirements Relationship needs According to the six components of relationship with the customers, the first is the customer market. According to this theory, customers are the main stakeholders in the organization. Thus, it is the key responsibility of the organizations to enhance the loyalty of the existing customers and to increase the customer retention. The next aspect is influence market. This refers to the influence being created by the customers on their known ones. Customers give feedback to their friends and relatives after having access to any products or services. Thus, the responsibility of the organization is to provide the effective service to their customers. The next aspect is the referral market. This refers to the generation of positive word of mouth from the customers by providing effective customer service. The more will be the positive word of mouth, the more will be the referrals by the customer to their known ones. Moreover, in the customer relationship, the taste and preference pattern of the customers should be effectively determined. The more effective will be the determination of the customer data, the more will be effectiveness in the customer relationship. In the relationship marketing of the customers, it should also be considered that the promotional activities of the organization should be target market oriented. Preferred relationship type The first segment of small business organization should be attracted by taking a holistic approach due to the reason that in the case of the small business organization; the entire buying process is being looked after by the chief of the organization. Thus, he should be well aware about the effectiveness, cost and other aspects about the product to be sold. The second segment consists of the large business organization. In this case, the concerned officials should be communicated individually such as, discussing the cost factor with the finance department and the effectiveness of the machinery with the manufacturing department. Inter Organizational relationships References Armstrong, G., Kotler, P., Harker, M. and Brennan, R., 2015.Marketing: an introduction. Pearson Education. Bernus, A., Ripoll, G. and Panea, B., 2012. Consumer segmentation based on convenience orientation and attitudes towards quality attributes of lamb meat.Food Quality and Preference,26(2), pp.211-220. Eggers, J.P., 2012. All experience is not created equal: learning, adapting, and focusing in product portfolio management.Strategic Management Journal,33(3), pp.315-335. Hiperbaric.com. (2017). High Pressure Processing for Food Beverage - Hiperbaric. [online] Available at: https://www.hiperbaric.com/en/ [Accessed 17 Aug. 2017]. Kumar, V. and Reinartz, W., 2012.Customer relationship management: Concept, strategy, and tools. 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