Top Factors That Influence Consumer Purchasing Decisions
One of the most important things to consider when running an ecommerce business is the factors influencing consumer behavior. In other words, the elements that drive buyers to follow through with a purchase.
Knowing what guides your target audience’s buying decision allows you to make adequate changes to your business strategy to attract shoppers and boost sales. Here’s a look at the top factors that influence consumer purchasing decisions.
Factors influencing consumer behavior: brand equity tops the charts
According to a recent survey, the top reason to go through with a purchase is brand equity. More than half (57%) of consumers in the United States name it as a factor that affects their buying decisions. If your brand’s target audience includes shoppers who are 55 years old and older, know that this figure rises to 65% for this age group. This suggests that these shoppers place more emphasis on acquiring products from brands they already know and trust when considering whether to purchase.
The second-biggest factor that influences shoppers’ purchasing decisions is recommendations, especially those received from friends and family members. More than one out of every 10 US consumers (12%) list this as a factor that will make them consider purchasing from a brand.
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Rounding out the top three factors influencing consumer behavior are stories related to the company or images featuring its products—7% of shoppers say they consider these factors when deciding to purchase.
The fourth-biggest factor that influences purchasing decisions is ads. However, they are nowhere near as influential as brand familiarity. Just 4% of US consumers say ads drive their purchase decision when thinking about whether to purchase from a brand. Last but not least, just 1% of buyers say an in-store salesperson’s recommendation is a factor affecting their buying decision.
Factors influencing consumer behavior: acting on this data
Keeping this list of the top factors influencing consumer behavior in mind, experts suggest that one of the most impactful strategies for brands to cultivate or bolster consumer trust is taking responsibility for their mistakes.
Additionally, creating transparency around their environmental footprint, supply chain practices, and workforce diversity, along with collaborating with governmental bodies to establish regulations, are also effective approaches for building trust.
As indicated by the data, these approaches are likely to yield greater effectiveness compared to traditional advertising efforts.