buyer decision process – effects
what happens when people decide to buy a house
When we think about the buyer decision process we tend to view the 3 time zones of the buyer decision process from the perspective of the buyer and in particular value for the buyer – however – when a customer enters the buyer decision process this creates a chain of value creating activities for the producer and society.
For many people home ownership is a seminal product – it marks a new beginning – a new stage in a person’s [or couple’s] life – the major investment in most people’s lives – therefore, buying a home is a high involvement purchase and the search and selection could be described as extensive. Furthermore, in our everyday conversations and in the media we generally discuss the financial and emotional benefits of home ownership with the homeowner[s] in mind.
When people buy a home people either buy 1] an established home or 2] a new home. In this activity we will explore buying a new home and this involves entering a contract with a home builder. This means that the first time-zone of the buyer decision process is about searching for a design, searching for a builder and getting the best perceived value of money.
From a builder’s perspective, building a home is a type of aggregate product – with an aggregate of goods, services, ideas, experiences, people, and place components – some would say that the builder is providing a service, bringing together 100’s of goods from many suppliers and many services from independent sub-contractors. However, to the home buyer this service, provided by the builder, is a means to an end – a material finished product – and from a homeowner’s perspective the home is a material finished product which provides non-material service to those that live in the home – including safety, shelter, self-esteem, and belonging.
Whilst it is easy to think about home ownership from a consumer perspective, as marketing practitioners we should also consider the impact on the economy and society. Consider all of the people employed in the construction of a home.
When the need has been recognised, the search may begin online – looking for designs and would likely involve a visit to a display centre and communication with the staff at the display centre.