How People Decide - Which Phone to Buy?





Someone said “Life was much easier when Apple and Blackberry were just fruits”. I guess it was, at least one did not have to wrack his brain to decide on which phone, smart or otherwise, to lay their hands on. Purchasing a mobile phone is perhaps a more challenging task than actually operating it.

The market today has a plethora of phones catering to the needs of all and sundry. From precocious teenagers, to upwardly mobile professionals and even the tired and the retired, everyone needs to have a phone, ostensibly to remain connected. So the most pertinent question pops up, which phone to buy and which not to buy.

To buy or not to buy, what to buy and when to buy are considerations of utmost importance for mobile phone buyers across all age groups. Sellers of mobile phones are aware of the dilemmas that people face and often try to cloud the mind of the consumer with glitzy advertisement and super sales talks. They hard sell their wares as fast as possible because they realise the age-old adage of “the survival of the fittest” only too well.

The market for mobile phones is very wide and the growth rate of the industry is tremendous. However, from the customer’s point of view there are certain basic factors that need to be considered before arriving at a decision. As already stated, there are different customer sectors and each sector has a different set of considerations, which they dwell upon before committing a purchase. These groups or segments are in no way watertight compartments but are based more on general perceptions. Let us look at the different segments and the major points they need to consider.



Market Segments

The first group consists of teenager students and can hence be called as the student segment; it consists of all teenagers and those who are young and not employed as yet. The second segment is the most important one as it is this group, which will contribute the maximum revenue for the mobile phone industry. This consists of service-holders, businessmen and housewives. The last segment would be those who have retired from active life and spend time in leisure and freedom. It has to be kept in mind that the choice of these groups varies in the urban and rural areas.


Student Segment

This group is the most impressionable and likes to go in for fancy features and colours for their phones. Money is a limiting factor for most so they need to somewhat rein in their aspirations and opt for the value-for-money phones. Entry level phones to mid range phones are the domains in which they usually roam about.

A good battery life, decent display, good sound, good storage space, gaming and music apps are the main factors considered by this segment. In the urban areas there may be a fascination for branded handsets but the same may not be as true in the rural areas. Operating system-wise, Android phones are the most preferred devices.

The Middle Segment

Money remains one of the prime deciding factors for every segment. The ultimate affordability factor decides most purchase decisions. However, in this particular segment people often go beyond their means and purchase handsets for their prestige or ownership value, conspicuous consumption in economic parlance. Owning the latest iPhone or Android handsets loaded with the latest software version help to give owners the edge. In some cases it is the “neighbours envy owners pride” factor that drives purchase.  Other sought after features are high capacity RAM, the latest Snapdragon, Intel or other hi-powered processors, screen-size and display. Battery of course is an important consideration as well. 

People belonging to this segment can be professionals and businessmen who are frequently or constantly on the move, there are youngsters just starting on a job or middle and senior level executives and at the same time consists of non-working spouse who is at home. Here the choices may vary widely and each aspect of a mobile/smartphone can make or beak it. Nowadays 4G enabled phones are the general norm for buyers in the urban areas and even in rural areas where connectivity is good 4G phones are making inroads. The phone memory and storage capacity also have a substantial bearing, as lots of data, music and photographs are stored on these devices. After sales service, the last but not the least is also a strong factor which influences people to go for a particular set in favour of an alternative which might be cheaper.

The Retired Segment

This segment consists of people who have retired from service recently and also those who earlier did not use such technology but re now using it for connecting with grown-up children residing away from them. Facebook, Skype, Twitter and other such apps that help to connect are a must for this segment. Some amount of loneliness also might drive them to watch YouTube videos, listen to radio or even watch live TV.

Based on personal experience and trends around it can be said that phones with screen size of 5” and above are often preferred by this group as a larger screen provides them with viewing comfort. Storage space and price are of course other factors, which play a part in deciding the handset to be bought.

Factors Influencing buyer Behaviour

Buyer behaviour varies on the basis of age, gender, demography, occupation and country. Here is a list of factors that mobile phone and smart phone buyers consider before making a purchase.

Physical features: The single most important feature is the physical attribute of a phone. Hardware features like screen-size, camera, colour, weight, battery (removable or non removable) etc. have a substantial impact on buyer’s choice.

Price: Across all segments, price is a major decision maker or breaker. In some segments the flexibility towards price might be more than the other, but ultimately price has a large bearing on purchase.

Ease of operation: Older customers, especially those above 60 years of age, who are using these handsets for the first time, ease of operation is definitely a major factor. Customers also consider ease and speed of charging before making the purchase.
 

Recommendation from peers, friends and relatives: The recommendation from friends, peers and relatives help potential buyers in making up their mind. The opinion of these groups is held in high esteem and hence can shape or change the buying behaviour to s large extent.

Advertising: Purchasing decisions are often shaped by advertisements as well. Advertisement aired on TV and Radio along with coverage by print media and personal approach help people to decide.


Conclusion

Most of the above observations are based on personal perceptions as a lot of people, starting from my daughter to my mother, come to me for advice on the subject. It is by observation, through interactions with vendors, online research and consultation with other users that this article has been written. Research and statistics also support most contentions above.








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