Consumer confidence case study

Consumer confidence case study


Consumer confidence enables customers to make essential, efficient and viable choices pertaining to the more likeable and convenient goods in the market, and hence is an essential shopping tool. Various consumers prefer to carry out researches before making their substantial purchases, to find out if these goods accomplish their needs and preferences both in the long run and in the short-run  (Babin et al. pg. 22). Lack of consumer confidence as depicted in the case study tends to generate poor choices and avoidance of significant factors that should be put into consideration while making purchases. The primary goal of this study is therefore to examine the aspect of consumer confidence in the determination of the type of product to purchase. The problem that is presented by the survey is Maya’s choice of the car that fits her tastes and preferences in terms of performance and attributes based on the available information. To solve this problem, she and help from her brother and utilises research from TV, magazines and websites in combination wither previous experience dad. All this helps her build confidence in the type of car she deserves.


Consumer confidence is a very important aspect of making a purchase decision. It highly contributes to making the right decisions as well as being satisfied with the product. According to Sydney (45),  for consumer confidence to pay off, it should not be based on instinct or preconceived theories but facts. This means that consumer must rely on her past experiences with the products as well as gather evidence through research to be able to build confidence and make the right purchase decision. From the case study, Maya is faced by the same problem of consumer confidence. To ensure that she makes an informed choice about the car, she does effective research from websites, magazines and TV to ensure that she is well informed about the car she wants as well as build confidence on the same.

Research aids Maya in possession of significant product information. Acquiring adequate information about a certain brand of products will enable consumers to decide on whether to purchase these products. Although Maya has important information at her disposal from research, she seems to have inadequate information about cars which then also widens her range of choices. She believes that her family must pertain the information required due to their history of making good consumption choices. She is also unsure of whether to involve the family in making the car decision. She has a problem gathering information from the local car yards which then also generates the increased choice problem. Consumer confidence in a particular brand is contributed to by that amount of information that the consumers can gather from other consumers, rather than the family history of consumption.

Determination of a product appearance also tends to narrow down the available choices and hence to enable customers to make their purchase choices more efficiently both in the long run and in the short run (Lemmon, 126). Maya is depicted as a researching type of customer from the case study as she carries out extensive research on various car models to settle with the model that effectively covers her needs and preferences.


To solve the problem about the confidence of the type of car she should buy, Maya opts to take an option of research and gathers information from various sources including magazines, websites and watching TV. This helps provide information about models, style and various brands of cars that are available at different dealerships. She is determined to build confidence through this research before consulting her family because she is sure that this is the method that is more likely to result in care that most aligns with her needs. However this method does not build much confidence as some of the information available from the sources might be distorted to entice potential buyers hence leading to false confidence. In addition, it’s not easy to get first-hand information from this method of research. First-hand information is usually very important in product evaluation and consumer decision-making process (Babin, et al. pg. 23).


The most effective solution to her problem is visiting the local car dealers and obtaining first-hand information about all the aspects of the car she wants. Unlike Research from sources such as websites and Magazines, visiting local dealers will help her identify the type of car that she wants, its attributes and, prices and asking a question about all the aspects of her desired car depending on her preferences. This will enable her to obtain information about the available cars at different car dealers that she would not have obtained through other sources. It will be easy to compare various cars available by observing them than through secondary sources. Visiting the dealers will provide first-hand information that will not only build her confidence but also facilitate fast decision making

This alternative is very helpful, and it worked for me when I was deciding on the purchase of a watch. The first day I visited four shopping malls where there various types of watches were displayed, and I was able to compare different brands, functionality and prices. When I went back home, deciding on the type of watch, brand and price were easy because I had seen various alternatives and it was easy to choose one. The following day a went straight to shop where I had spotted a blue watch with a golden lining which was higher in price compared to all other watches but had superior attributes. I have come to love the watch for the last three years.


. Information from local dealers can be gathered through face to face inquiries or through local business journals and online pages. These aspects tend to generate more knowledge and hence making the process of decision making more. Gathering information about a certain product before making a substantial decision on whether to buy it seems to be an effective ground for making right consumption choices. To avoid confrontations from family members and friends, enquiring from a more general point of view would be essential efficient. Babin, et al. pg. 25).

What type of shopper is Maya?

Maya is a researcher, as she applies extensive research in her car buying process. She researches the major features of a car that she wants such as brand, model, pricing e.t.c to make the right decision.

Maya’s action within the framework of consumer decision making

Maya first recognises the presence of a problem or a need for a car. She later researches to find crucial information regarding the brands of a car she can buy. She also evaluates various alternatives concerning her various choices and then goes for the product.

Maya’s evaluation process

Maya is utilising the attribute-based evaluation. In her evaluation process, she incorporates various attributes of the car such as Bluetooth connectivity, Miles Per Galon, body style, independent suspension, all-wheel drive among other attributes of the car. She states that the looks and feels of the car are important but secondary.

Determinants of the evaluative process used by the consumer

Tastes and preferences- consumers select evaluate products based on their tastes and preferences. Maya evaluates the features of the car she wants first according to t her preferences before consulting her father and brother to ensure that the car she settles on fits her preferences without influence.

Product features- Consumers will evaluate various products based on their features . For example, Maya evaluates her car based on attributes such as Bluetooth connectivity, style and all-wheel drive.

Available information-this plays a very great role in the consumer’s product evaluation process. For example, Maya evaluates the car she wants to buy based on the information she gathers from TV, magazines and car websites.

Experience-previous experience with the product also plays a very significant role in the consumer’s evaluation process. Maya uses her previous experience with her old car, and experience her family has on the car in her evaluation process.

Need- a consumer will evaluate a product depending on her need. For example, Maya is determined to buy a car that perfectly meets her needs for settling in the city.

Need to solve an underlying problem is the major determinant of the evaluation process. Maya seems to consider the alternatives that best suits her job as a resident and allows her to conform to the hospital practices.

Maya’s decision rule

Maya is utilising a non-compensatory decision rule. This is because of her positive evolution of the car, such as the positive attributes about it does cont compensate what a negative evaluation is.




Work cited

Babin, Barry J., Kyle Bayne Murray, and Eric G. Harris. CB: Consumer behaviour. Nelson Education Limited, 2017.

Sydney, Cyril “Consumer confidence and consumer spending.” Journal of Economic perspectives 18.2 (2004): 29-50.

Lemmon, Michael, “Consumer confidence and asset prices: Some empirical evidence.” The Review of Financial Studies 19.4 (2006): 125-129.