Consumer Preference For Soft Drinks In Australia – Factors, Strategies, And Influences

What Is Meaning And Concept Of Consumer Preference?

What Is Meaning And Concept Of Consumer Preference?

What Are The Factors That Influence The Consumer Preference For A Soft Drink In Australia?

What Are The Strategies For Influencing The Consumer Preference For A Soft Drink In Australia?

In the current business scenario, the living style of people has changed that could directly impact on the sale of the company. Soft drinks could be common need of individuals with different income and lifestyle. People could shift their pattern of consumption caused of income style, taste, and interest. This report discusses the consumer’s buying behavior in the context of soft drink. In the consumer world, soft drink is being an essential part of rural and urban people (Font, et al., 2014). The numbers of soft drink organization increase in Australia due to the higher demand for soft drinks. In the current study, researcher evaluates the consumer preference for a soft drink in Australia. The study on the brand preference becomes necessary for the organization caused of enchasing the demand of products and services. The consumers buying decision depends on the Quality, Price, Taste, and Quantity (Meas, et al., 2014). Due to the consumer preference, there are certain soft drink brands available in the marketplace like Sprite, Pepsi-cola, Coca-cola, and Fanta.               

• To identify the meaning and concept of consumer preference: in the context of Bickford’s Australia Pty. Ltd, Australia.
• To address the factors that influence the consumer preference: in the context of Bickford’s Australia Pty. Ltd, Australia.
• To recommend the strategy for influencing the consumer preference: in the context of Bickford’s Australia Pty. Ltd, Australia.

This research report supports to gain knowledge of readers towards consumer’s preference for soft drinks of Bickford’s Australia Pty. Ltd, Australia. This project would be effective for the food and beverage organization to understand the significance of consumer preference for soft drinks. It could also be effective for Bickford’s to understand strategies for eliminating the challenges and complete the needs of consumers in the least time and cost.  

According to Foxall, (2014) a consumer preference defines how a consumer ranks a set of good and services and prefers one product from different alternatives. This definition supposes that consumers rank products and services by the extent of satisfaction, afforded as well as utility. Consumer preference theory does not limit by the income of consumers, price of goods and services as well as ability of the consumer to purchase the goods and services.

In support of this, Spangenberg (2017) evaluated that consumer preference shows that a consumer can select randomly amid the products as well as services. But, the consumer should prefer one set of products and services over others as well as treat all as equally advantageous. Consistency is a concern while the consumer considers more than different alternatives. If a consumer ranks soft drinks ahead of energy drinks and energy drinks ahead of hard drinks then, the consumer must prefer soft drinks ahead of energy drinks.

Factors That Influence The Consumer Preference For A Soft Drink In Australia

In the view of Claiborne and Sirgy, (2015) consumer preference theory defines that ‘more is better’. The form of monotonicity and preference has a different level of strength. The basic monotonicity demonstrates that a consumer if deciding between two drinks with the same quantity then he will select one with the best quality. The consumer will have a good preference for a soft drink with both quantity and quality.

According to Cohen, et al. (2014) idea of utility is the key motive of consumer preference. It also helps to understand the behavior of the consumer. The utility is defined as the competency of the commodity to serve human wants. It is the amount of satisfaction that a consumer gets from the consumption of goods and services.

Hammerl, et al. (2016) stated there are two kinds of consumer preference approaches that could be used by company like Cardinal Utility Approach and Ordinal Utility Approach. Cardinal Utility Approach is also used by Bickford’s Australia Pty. Ltd, Australia as it could support to examine the Marginal Utility Analysis. This approach exemplifies that utility is measurable in number. Through this theory, organization measured the unit in which utility could be determined is ‘utils’. Thus, it is also analysed products that provide higher extent of satisfaction to the consumer will be allocated higher utility as compared to those which provides the lower satisfaction to consumers. Cardinal theory is a quantitative technique for measuring the utility.

In opposed to this, Granot, et al. (2014) evaluated that Ordinal Utility Approach is used by Bickford’s Australia Pty. Ltd, Australia to examine the preference of consumers. Through this, organization will be capable to examine indifference curve analysis. It is also stated that Bickford’s Australia Pty. Ltd, could use this theory where it determines consumption of goods, which cannot be measured in numbers. Hence, organization is used the rank system to to define the diverse levels of utility. Thus, it is analysed that goods that offer a higher extent of satisfaction should be allocated higher ranks as compared to those which give the consumer lower satisfaction. The ordinal theory is a qualitative technique of utility measurement.

Vanhonacker and Verbeke, (2014) argued that there are many factors that affect the consumer preference of Bickford’s Australia Pty. Ltd, Australia like advertising, cost, and consumer income. The consumer preference demonstrates the cause of selecting any particular goods and services. In this, the Bickford’s Australia Pty. Ltd could determine those factors and components that would affect the consumer preferences for enchasing the demand of products and services. It is also stated that the advertising is the best way to evaluate the consumer preference of Bickford’s Australia Pty. Ltd, Australia for the non-durable and durable goods. Advertising could demonstrate the availability of products and services and also shapes their impression the consumer’s mind. In addition, it is also stated that if the advertisement of organization could make a negative image in the consumer’s mind then it could negative image in the organizational image.   

Strategies For Influencing The Consumer Preference For A Soft Drink In Australia

In support of this, Plassmann et al. (2015) stated that the price of the product could also influence the consumer preference of Bickford’s Australia Pty. Ltd. Hence, it can be said that organization could prefer those product and services that have a lower price. It is also illustrated that enhancement in the product price could negatively impact on the productivity of Bickford’s Australia Pty. Ltd caused by a reduction in the products and services growth. Apart from this, it is also examined that consumer income could also influence consumer preference. If the income level of the consumer is low then they prefer lowest price products rather than selection premium product.          

Grasso, et al. (2014) suggested that a successful manager could give the highest priority to needs of packaging for their targeted consumers. The manager should imply the product bundle strategy as it would support to meet the needs of consumers in the least time. For illustration, a premium product might develop the different image for the higher class consumers as it would directly impact on the growth of the business. Bickford’s Australia Pty. Ltd should also consider certain factor to influence the consumer preference like goods range, packaging, brand name, image, and warranties.  It is also stated that Bickford’s Australia Pty. Ltd should use the marketing campaign as a plan to spread awareness about products and services. Consequently, the organization will be capable to obtain higher sales, market share, profit, and growth.      

Danso-Abbeam, et al. (2014) recommended that organization should also consider the packaging as it would support to easily influence the customer. The manager of Bickford’s Australia Pty. Ltd should also focus on the needs of distributors, wholesalers, and retailers for gaining the sale of products and services and obtain a reliable outcome. The product packaging facilitates the manufacturer to demonstrate the advantages of products and services as it would be imperative for influencing the consumer buying behavior. It is significant to align the product packaging to maintain the quality of the product. In addition, it can also be said that if the company use the best packaging with poor quality then it could disappoint consumers. It would also negatively influence the Bickford’s Australia Pty. Ltd performance for long-term. Moreover, penetration price could also be an imperative strategy that could directly impact on the consumer purchasing decision.

In oppose to this, Nolan and O’Malley, (2015) stated that penetration pricing is the way by which Bickford’s Australia Pty. Ltd could determine the price below the quality of goods and services to attract a large number of consumers. It is not necessary that penetration prices are always cheap but it is low as compared to the perceived value. In addition, it is also found that the retailer of the organization should never benchmark with market players if they use the penetration strategy for their firm. In addition, it is also found that organization should remember if they offer a quality product to their potential and existing consumers then should always offer higher price because if they offer a lower price to their consumers then the consumer would never give value to the company’s products and services.

Theories of Consumer Preference

In support of this, Godey, et al. (2016) examined that Bickford’s Australia Pty. Ltd should also utilize the sales promotion tools and techniques for promoting their product in the marketplace and enhance the number of consumers. The sales promotion strategy could offer both monetary and non-monetary advantages like savings desire, value expression, exploration quality, entertainment, and convenience. Though this strategy, Bickford’s Australia Pty. Ltd will be capable to make their unique image in the marketplace and get a reliable result (Gasparri and Waroux, 2015).              

In the current business scenario, employee uses traditional marketing as it would negative impact on the organizational performance. Therefore, the organization has needed to gain their understanding about digital marketing strategies for retaining their existing customers and influence new consumers. This research is imperative for evaluating the challenges faced by the organization with respect of consumer preference for soft drinks in Australia. It also discusses strategies for overcoming the challenges of consumer preference.            

This literature review section supports to critically analysis consumers preference for soft drinks, Australia. The literature review section enables the researcher to examine the challenges and strategies of consumer’s preference for the soft drinks. A researcher has selected few individuals to conduct their research caused of limited participants are interested to do the research.    

The research design is significant for obtaining the feasible instruction with regards to analysing the ideas and evaluates the findings with regards to research concern. There is certain sort of research design, which could be executed by an investigator for accomplishing the investigation. It is discusses as given below:   

Chart 1: Qualitative research process

(Sources: Turi, et al., 2014)

The qualitative research procedure includes four stages in the research. Initially, researcher has discovered research concern and makes a plan accordingly. In phase second, screening the criteria and recruitment activity is completed by the researcher. Subsequently, this process will discuss homework and guide. The researcher has considered the focus group strategy and makes and final report to accomplish in limited time (Turi, et al., 2014).        

In this research, the inductive approach is used by the researcher caused by subjective nature of research concern. This approach could be supportive to get the non-numeric information in the context of the research concern. In addition, it is also analyzed that through this approach could be effective for improving the validity and reliability of research result.       
Sampling and Sample Size  

Impact of Advertising on Consumer Preference

Sampling is defined as a procedure for selecting the respondents from high amount of population size. The non-probability sampling method will be used by the research scholar to perform the research and obtain a reliable result. But, there is need of high amount of cost as well as long time period for applying the non-probability sampling technique. In this technique, open-ended questionnaire structure is used for conducting the interview.  The researcher has selected 5 marketing managers of   Bickford’s Australia Pty Ltd, Australia because marketing managers understood the actual situation of the consumer’s preference for soft drinks (Garcia Martinez, et al., 2014).  

Primary data collection method will be implemented by the research to conduct their research and get a reliable outcome. The primary data is collected by considering the survey through questionnaire and interview. Hence, it can be said that this method is appropriate for getting reliable information from the specified sample size (Ma, et al., 2016).       

In the research study, two kinds of variables are considered like an independent and independent variable. In this, the independent variable is consumer preference and the dependent variable is the performance of Bickford’s Australia Pty Ltd, Australia.  

Chart 2: Quantitative research process

(Sources: Lee, et al., 2014).

Initially, the issue and purpose of the research will be determined by the research. It will support to create research hypothesis and develops the literature review by considering the research objectives. The research instrument is used by the researcher to select the sample size and conducting their research. The legal ethical norms will also be considered by a researcher in their research design. Subsequently, the researcher has practiced many data collection methods to conduct their research and obtain a valid outcome in the context of the research matter (Lee, et al., 2014). The budget will also be estimated by the researcher to complete the aim and objectives of research and get a reliable result.    

The secondary Data collection method will be used by the research scholar to obtain the theoretical data in the context of the current research matter. There are many sources that are considered by the researcher to conduct their researchers like offline and online websites, academic journal, annual report, and government publication (Wang, 2015). This tool is implemented by an investigator for supporting the primary information. As a result, this instrument would be beneficial to assess reliable result.     

Chart 3: Quantitative data analysis process

Impact of Pricing on Consumer Preference

(Sources: Shakhshir, 2014).

Initially, the researcher has prepared the data towards the research concern. Afterward, a researcher could enhance their intellectual capacity by recoding the collected data. Later, the researcher has practiced the Ms-excel software to show the data by considering different charts, tables, and graphs. Once researcher evaluates the collected data then they could interoperate the information in a meaningful way. The qualitative data analysis could be imperative for attaining the research aim and objectives in the targeted time (Shakhshir, 2014).         

The probability sampling method will be implied by the researcher to conduct their researcher caused of eliminating the biases from the research. It would offer the equal chance to select the research candidates about the research matter (Rani, 2014).  For using survey through a questionnaire, a research scholar has selected the 50 consumers who use soft drinks of Bickford’s Australia Pty Ltd, Australia. .      

Validity refers to the research feasibility that could be evaluated by considering the quantitative data. For example, an investigator will implement the survey through questionnaire to analyze the benefits and limitation of applying the dependability in research result.  Moreover, the reliability strategy is used by the researcher to evaluate the trustworthiness of research outcome (Just and Wansink, 2014).       

There are certain factors that could negatively influence the research outcome like time, cost, and resources. It is also addressed that inappropriate sample size could create complexity in conducting the survey through a questionnaire (Lantos, 2015). Moreover, a researcher would be responsible to keep the privacy of respondents. Consequently, these limitations could affect the outcome of investigation.         

Research time plan demonstrates the graphical illustration of the research activity plan that discusses steps for research activity completion. It is discussed as below:    

Conclusion

From the above discussion, it can be summarized that consumer preference is determined as the interest of people to select any products and services for satisfying their basic needs. It is also examined that the consumer preference could directly impact on the demand for goods and services. Moreover, it can also be concluded that advertising, cost, and income level of the consumer could directly influence the consumer preference for buying products and services. But, at the same time, it can be said that organization should use certain strategies like sales promotional techniques, penetration of prosing, and effective packaging with premium quality could influence the consumers for purchasing the company’s products and services. 

Impact of Packaging on Consumer Preference

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