Consumer Behavior: Kiwibank


Typical Consumer Decision Sequence for a Bank Customer
 Consumer behavior is the process of making a decision through acquiring, evaluating, using and disposing of goods and services. To understand the typical consumer decision sequence for a bank customer such a customer for Kiwibank and what to expect of them, it is important to evaluate the marketing analysis and the marketing segmentation of the banking industry. 
In the case of Kiwibank, the fully owned New Zealand bank, the typical consumer decision sequence of their customers is expected to be determined by their differentiated services they offer and innovation of new services in an industry dominated by Australian owned banks. The customers of Kiwibank would make decisions to bank with the bank because it has clearly differentiated its personal, business and international banking services from those offered by its competitors. 
Consumer Behavior: Kiwibank Case Study 
According to scholars, typical consumer would be influenced to make a decision based on the new products/services offered by the banks. The increasing customer base of Kiwibank has been propelled by the innovative services such as real-time mobile phone banking, making the bank force to reckon with in the banking industry. The decision to use Kiwibank instead of their competitors is because customers can carry out transactions from anywhere; the bank provides a free electronic transaction account for its customers; these services constitute part of the decision-making process of the typical consumer. Because it is most likely that some of the customers have a busy schedule and hence they can bank from their homes or places of work.
Level of Perceived Consumer Financial and Social Risk with Respect to Banking
Perceived risk is defined as beliefs about the risks associated with the product or service purchase. For instance, consumer perceptions about a company’s motivation such as Kiwibank to support a social cause may influence the degree to which cause related marketing strategies affect consumer choice. In this line of argument, the perceived motivation or the social risk of the consumer would influence their choices for the bank’s brands. 

Consumer Behavior: Kiwibank Case Study
Consumers are likely to face financial risks depending on what the competitors of a certain product are offering in the banking industry. Kiwibank could be offering services that attract customers such as real-time mobile phone banking and free electronic transaction account to woo customers compared to the strategies used by Westpac, but offer high interests rates. Therefore, if the clients use Kiwibank simply without making comparison of interest rates, then they will have high perceived financial and social risks in the banking industry.

Types of In-Store Influences That Affect Consumers’ Evaluation of Alternatives
Alternative evaluation is the process by which consumers compare and contrast different products to the same market problem for a given product. Consumers search for information about a given product and compare it with different products in order to reach a decision of what best delivers the benefits they are seeking. In-store marketing influences the consumers’ evaluation of alternatives depending on how effecting the merchandisers use the marketing strategy.

Consumer Behavior: Kiwibank Case Study

 An in-store that seeks to full explain the benefits of the product to consumers and brings it close to the consumers would significantly influence the choice of alternatives irrespective of the financial and social risks involved as argued by Hawkins, an expert in understanding consumer buyer behavior. For instance, consumer may prefer Kiwibank to other powerful banks such as the national bank because of the in-store marketing of using post office as their operating centers.

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