20 Points
a) The greater proportion of the Kenyan population today is the youth. Citing a product/service of your choice elaborate on five key factors that affect their buying behaviour. (10 Marks)
b) Define market positioning and explain any 4 types of market positioning. (10 Marks)
a) Factors affecting the buying behavior of Kenyan youth:
1) Price: Kenyan youth are often budget-conscious and value-conscious. They consider the price of a product or service before making a purchase decision. They tend to choose products that offer good value for their money.
2) Brand image: The brand image of a product or service plays a significant role in influencing the buying behavior of Kenyan youth. They are attracted to brands that are trendy, fashionable, and aligned with their personal style and preferences.
3) Social media influence: Kenyan youth are highly influenced by social media platforms like Instagram, Facebook, and YouTube. They often seek recommendations and reviews from influencers or their peers before making a buying decision.
4) Convenience: Convenience is a crucial factor for Kenyan youth. They value products and services that are easily accessible and can be obtained quickly. Online shopping platforms and delivery services are popular among them.
5) Quality and durability: Although price is important, Kenyan youth also value the quality and durability of products. They look for products that are reliable, long-lasting, and offer good performance.
b) Market positioning refers to the process of establishing a clear and distinctive place for a product or brand in the target market's mind. It involves creating a unique perception of the product or brand in relation to competing products in the market.
Types of market positioning:
1) Product-based positioning: This type of positioning focuses on the unique features or attributes of a product. It highlights how the product is different or superior to others in terms of quality, performance, or functionality. For example, a smartphone brand positioning itself as having the best camera quality in the market.
2) Price-based positioning: Price-based positioning refers to positioning a product as the most affordable or offering the best value for the price. This strategy targets price-sensitive consumers who prioritize cost savings. For example, a brand positioning itself as offering the lowest price in the market.
3) Benefit-based positioning: Benefit-based positioning involves highlighting the specific benefits or advantages that a product provides to the target customers. It focuses on how the product can meet the needs or solve the problems of consumers. For example, a skincare brand positioning its product as providing effective solutions for acne-prone skin.
4) Competitive-based positioning: Competitive-based positioning involves comparing and positioning a product against a direct competitor. It aims to position the product as superior or different from the competitor's offering. This strategy is commonly used in industries where competition is intense. For example, a cola brand positioning itself as having a better taste than its main competitor.
Each of these types of market positioning aims to create a unique image, perception, and value proposition for the product or brand in the target market, ultimately influencing consumer buying behavior.
a) Factors that affect the buying behavior of Kenyan youth can vary depending on the product or service in question. However, here are five key factors that generally influence their buying behavior:
1. Social Influences: Kenyan youth are heavily influenced by their peers, social media, and celebrities. They often seek validation from others and are more likely to purchase products or services that are popular or endorsed by people they admire.
2. Personal Values and Beliefs: Kenyan youth are becoming more conscious of social and environmental issues. They are more likely to support brands that align with their values, such as those focused on sustainability, ethical practices, or social responsibility. They are also drawn to products that allow them to express their individuality and personal style.
3. Convenience and Accessibility: The convenience and accessibility of a product or service play a significant role in the buying decisions of Kenyan youth. They are more likely to opt for brands that offer easy online purchasing, quick delivery, and flexible payment options.
4. Brand Trust and Reputation: Trust is crucial in the buying decisions of Kenyan youth. They are more likely to choose brands that have a positive reputation, good customer reviews, and a track record of delivering high-quality products or services.
5. Price and Affordability: Although Kenyan youth value quality, price and affordability also greatly influence their buying behavior. They are more likely to compare prices, look for discounts or special offers, and prioritize value for money when making purchase decisions.
b) Market positioning refers to how a brand distinguishes itself from competitors in the minds of its target market. It is the unique position a brand occupies in relation to competitors in terms of product attributes, customer perception, and competitive advantages.
Here are four types of market positioning:
1. Product Positioning: This type of positioning focuses on highlighting the unique features, benefits, or qualities of a product. It often involves emphasizing product attributes that differentiate it from competitors and make it stand out in the market.
2. Price Positioning: Price positioning involves positioning a brand based on its pricing strategy. This can be positioning a brand as a high-end, premium option or a value-for-money, affordable option. Price positioning is often used to target specific market segments based on their willingness and ability to pay.
3. Quality Positioning: Quality positioning is about positioning a brand as offering superior quality compared to competitors. Brands using this positioning strategy often focus on emphasizing their commitment to using high-quality materials, manufacturing processes, or product standards.
4. User Positioning: User positioning involves targeting specific user groups or market segments based on their demographic characteristics or specific needs. This includes positioning a brand as catering to a particular age group, gender, or lifestyle. User positioning aims to appeal to the unique preferences and requirements of these target consumers.