The Consumer Behavior

The AIDA MODEL

Recently was part of a discussion on consumer behavior.

following are points of their discussion.

1. buyers prefer to buy with rate starting with 1 or ending with 9

2. goods with MRP of 1099 will sell better than 999, Since they feel it's a better product so it's costly.

3. goods with MRP 499 will sell better than 500, Since they view 99 closer to them.

4. 1 Liter Aqua fina water bottle is priced at 19, 12 bottle pack is Rs.190.

where as many other companies are at Rs. 

Also the actual Cost of Manufacturing a 1Litr bottle of water is Rs. 3.50

by the time it reaches retailer it becomes Rs 8.5 - Rs 9 and retailer sells it at Rs 20, with Gst of 12%

This pricing model is the Aida Model

Attention - start with 1 in Rs19 

Interest - generate interest with some knowledge sharing - Like salt in Toothpaste..etc.

Desire - once the above two is thro, product becomes desirable 

Action - That's where the marketeer really comes in.

You may have noticed in shops how aerated water bottles are kept especially in rural areas.

you will see some bottles of particular brands in front and others at back. They

are based on the commission the retailer gets.

This will encourage consumer to look at particular brands again and again.