Utilizing generational theory to explain consumer behavior has become a commonplace approach. "Generation X", "Millennials", and "Generation Z" feature prominently in every other marketing study.
For instance, older individuals tend to possess limited knowledge about the internet and new technologies. This makes them more inclined to try out products before purchasing. On the flip side, younger customers are more receptive to retail innovations. This is especially true for Millennials (Generation Y) and Generation Z. However, a portion of these young consumers are either new to the workforce, earning modest salaries, or are still in their educational phase, impacting their disposable income. Those with lower incomes often approach online shopping with caution due to a low tolerance for financial loss, in contrast to higher-income consumers.
Gender differences also come into play. Women frequently purchase clothing, cosmetics, toys, and similar products, while men typically lean towards gadgets. Regardless of gender, no one takes purchase decisions lightly; what unifies all is the significant amount of time spent searching for the best options.
Occupation plays a pivotal role. A person's professional field greatly influences the channels through which they obtain information and the criteria they employ when making choices.
Tech-savvy shoppers are more inclined towards online purchasing because they can easily assess potential risks. They can quickly gauge the reliability of an online store in terms of payment methods, product quality, delivery, and so on.
Economic status plays a part too. A family's income and financial well-being significantly affect the contents of their shopping cart and their preferred brands.
Lifestyle, defined by people's interests and activities, and how they allocate resources like time, money, and information, has a direct influence on consumer decisions. A factory worker, for example, is unlikely to spontaneously jet off to Paris for a weekend opera premiere at the "Grand Opera."
Personality type also matters. Psychological traits distinguishing one individual from another, such as temperament, character disposition, and other characteristics, undoubtedly influence consumer behavior.