Research Methods in Marketing

Introduction

         Humans (consumers) are motivated by their needs.  Therefore, certain motivators, as ascribed in Abraham Maslow’s,  Hierarchy of Needs theory, which articulates that a person must fulfill their physiological needs first before other needs can be met, predicate consumer behavior.  Maslow’s humanistic psychology theory interprets these needs into categorical order of importance in a hierarchical pyramid.  The physiological needs, such as food, shelter, and clothing is the first priority of needs to be fulfilled before the next order of needs can be met, respectively.  The next order of needs are safety (security of employment, health, resources, property, body, and family), love and belonging (family and friendship), esteem (achievement, respect of others and from others, confidence, achievement, and self-esteem), and finally, self-actualization (fulfillment and personal growth).  These needs motivate consumer purchases, and consumer buying behavior, and each of these needs will postulate what consumers will purchase, in order to fulfill the needs as described in Maslow’s theory.

            The humanistic psychology approach is implemented into consumer behaviorism, for it is a direct route into understanding why people (consumers) purchase certain items.  Maslow’s theory is the foundation for marketing practices, aiding a marketer into understanding consumerism on a humanistic level.  Moreover, to fulfill these needs in the hierarchical pyramid, a consumer goes through a sequence of buying decisions, either internal or external or both, as described in the Consumer Behavior Model.  The first step includes need recognition/problem, then, searching for information to find a solution to the problem/need, evaluate options, decision to purchase from the information gathered, and options assembled, and finally, post purchase attitudes and behaviors.  Therefore, Maslow’s theory accentuates the different needs that people (consumers) have that will determine their purchases, and buying behavior.  Further, the Consumer Behavior Model integrates those needs into a consumer purchasing process that will ultimately fulfill specific needs of consumers. 

Research Objectives

          The problem presented to the Focus Study Group was of consumer process in purchasing a big- ticket item.  The purpose of this consumer behavioral case study is to understand and discover consumers purchasing behavior and process when purchasing higher education.  This research study could aid university administrators in knowing and understanding the important factors in students (consumers) pursuit of higher education.  This study will use the Consumer Behavior Model, integrated with humanistic psychology in consumerism, to gain knowledge in consumer behavior and attitudes toward purchasing higher education. 

Focus Group Selection of Respondents

           In order to assess the needs of consumers and consumer behaviors for a big-ticket purchase item, higher education, qualitative research, using a structured focus group of three respondents, will be applied.  For the purpose of this study, both male and female college students, who are between the ages of 21 to 30 years old, in their senior year of their Bachelors degree program, will be used. 

Questions for Respondents in Accordance to the Consumer Behavior Model:

1)  Need recognition/problem

ü      In your decision to attend a university, what needs do you think could be fulfilled after receiving your degree?

 2)  Information search

ü      When deciding on the right option for a university that best suited your needs, how did you conduct your university search?

3)  Evaluation of Options

ü      In selecting a university to attend, what were the main contributing factors in choosing a university that best suited your overall goals or needs?

4)  Purchase Decision

ü      What was the number one factor that made you decide on the university where you will receive your degree?

5)  Post Purchase Behavior

ü      In evaluating your decision to attend university, and now that you are a senior in  your degree program, what are some of the factors, if any, that is giving you buyers’ remorse?

Answers from Respondents:

Questions for  Respondents                                        Answers from Respondents

In your decision to attend a university,                          higher-paying job and prestige           what needs do you think could be fulfilled after receiving your degree? When deciding on the right option for a                         online and campus tours university that best suited your needs, how did you conduct your university search? In selecting a university to attend, what                          program and tuition/housing costs were the main contributing factors in choosing a university that best suited your overall goals or needs? What was the number one factor that made you              diverse student body decide on the university where you will receive your degree? In evaluating your decision to attend university,             student loan payback, with and now that you are a senior in  your degree                  high interest rates program, what are some of the factors, if any, that is giving you buyers’ remorse?

Data Analysis and its Relation to Maslow’s Hierarchy of Needs and Consumer Behavior Model

           Students who are in their last year toward their Bachelors degree were used for this focus group study.  They were chosen for their similar characteristics for the topic being explored, which is purchasing higher education.  The author chose open-ended questions that would veer away from a simple yes or no answer, in order to understand more clearly, consumer behavior and attitudes, in purchasing big- ticket items, in particular, higher education.  Key concepts from the focus group includes post-graduate needs fulfillment, university search, choosing the best university for fulfillment of needs, choosing the university (purchase), and buyer remorse for purchasing higher education (post purchase).  The answers that were chosen from the respondents were unanimous answers, or the top answers voiced. 

            

1)  Need/Problem Recognition

Maslow stated that after physiological needs that people (consumers) will want to fulfill their safety needs, such as employment and/or gaining resources.  The moderator asked the first question, based on the Consumer Behavior Model’s, recognition of need/problem.  The need for attending a university was expressed as getting a higher paying job, along with prestige.  Therefore, the respondents have a safety need of attaining better employment, which will pay higher than a non -college educated person.  Moreover, the respondent’s answers indicated that there is a great need for attending college, in order to obtain a high-paying career, and along with the higher paying career comes prestige, which in turn, will help to fulfill safety needs, such as better employment, resources, property, etc, indicated in Maslow’s theory, which will help catapult the respondents into self-actualization. 

2)  Information Search

The second question that was asked of the respondents was based on the Consumer Behavior Model’s second point in the consumer purchasing process, information search, in which people (consumers) gather information to find a solution to the problem presented.  The consumers concluded that they used external sources, such as researching schools online, as well as utilizing campus tours, before making their final selection on school choice.  Therefore, not only did they see a need for attending a university, to earn a degree, but also they wanted to make the right choice of school, that suited their needs.  Thus, they researched several schools by internet and in person (campus tours), to make the right decision for them, which would ultimately fulfill their belonging needs, as described in Maslow’s theory, for attending a university would give these respondents a sense of belonging, which will lead them to esteem, of self and from others.

3)   Evaluation of Options

The third question asked of the respondents was of the Consumer Behavior Model’s point, evaluation of options, in which a consumer evaluates the specifics from the information, gathered from the information search process.  In this study, the question posed led to specifics, the specific answers were program and tuition and housing costs, when asked what were the main factors in choosing a university from all the universities they researched.  Maslow’s theory can be examined in their answer choices for their need for esteem, in that choosing the right university with the appropriate program would fulfill their need for achievement, which in turn, will provide them with confidence, as well as guide them to self-actualization. 

4)  Purchase Decision

The fourth question in the study asked the respondents about their purchase decision, as described in the Consumer Behavior Model process as once all relevant information is gathered, as well as specifics, and a definite solution given for the problem, then a purchase will be implemented.  The question asked the respondents to give a specific answer in why they chose the university in which they will earn their degree.  The majority indicated that they chose the university for its diverse student body.  This is a unique answer because the need to attend a university that has students from all different cultures was their number one priority.  This answer relates to Maslow’s theory in that love and belonging, such as friendship, or creating friendships, especially making, and/or having friends from different cultures and backgrounds, was the main reason for purchasing and attending the university, where they will earn their degree.

5)  Post Purchase Behavior

The fifth question that was asked to the respondents is based from the Consumer Behavior Model’s final step in the consumer purchasing process, post purchase behavior; in that, consumers evaluate their purchase, whether good or bad.  This study asked the participants about buyers’ remorse, and if they had any remorse for their purchase of higher education, their answer was student loan payback with high interest rates.  These students may feel intimated by the amount of debt that they accrued for their purchase of higher education, which will revert to safety needs in Maslow’s theory, the need for resources. 

Conclusion

                  The study findings concluded that even though, throughout the purchasing process, from problem/need recognition, up until purchase, the respondents saw a need for higher education because it would fulfill needs described in Maslow’s theory, such as safety, love and belonging, esteem, which would ultimately lead them to self-actualization.  However, their post purchase behavior indicated that once graduated, the debt they acquired from their purchase would have to be repaid, with high interest rates, therefore, reverting to the need for safety.  Therefore, these findings are beneficial for administrators of universities, in finding solutions for student (consumer) concerns, even before attending the university, that way, in the end, the student will have all their needs met, according to Maslow’s theory, even after post purchase.