Factors Influencing Motor Vehicle Purchase Decisions

Compensatory Decision Rule

Different cars have different features. Thus, customers will also behave differently in making their purchase decisions (Evans et al. 2006). The existence of various vehicle manufactures justified by the technical and engineering variations incorporated in the cars. In assessing consumer behavior, the compensatory decision rule requires a customer to assign weights to different features. Some car choice decisions are based on engine capacity, smart features, speed, lifespan, warrant, and unique features for automation in checking any fault (Ozaki and Sevastyanova, 2011). Also, consumers will make decisions based on their income levels, lifestyles, as well as the nature of roads in their countries. Highly priced cars are always associated with excellent quality.

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From the first respondent, it is evident that the choices of engine size and type, as well as systems that alert the driver to road conditions are necessary for car selection. The respondent gave same weights for these factors as the most important in making a purchase decision. From this criterion, it is expected that the client will go for a Toyota Prius or a Toyota Camry Ascent Sport.

Decision matrix

Evaluative Criteria

Importance Score

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Choice of petrol/diesel/hybrid engine

10

Number of seats available

30

Multiple systems to alert driver such as Pre-Collision Safety System, Lane Departure Alert and Automatic High Beam

10

Smart start and entry system

30

Engine capacity

5

Size of touchscreen display

5

Storage inside the car

10

Total

100

Decision matrix

Evaluative Criteria

Toyota Hilux SR 4×2 Hi-Rider Extra-Cab Pick-Up

Toyota Prius vi-Tech

Toyota Camry Ascent Sport

Toyota C-HR AWD

Toyota Kluger AWD GXL

Toyota Yaris ZR

Choice of petrol/diesel/hybrid engine

1

3

5

1

1

1

Number of seats available

2

4

4

4

5

4

Multiple systems to alert driver such as Pre-Collision Safety System, Lane Departure Alert and Automatic High Beam

1

2

3

5

2

3

Smart start and entry system

1

1

5

1

5

1

Engine capacity

5

1

3

1

1

2

Size of touchscreen display

3

1

5

1

1

3

Storage inside the car

4

4

4

5

4

1

Choice of car

The respondent chose a Toyota Camry Ascent Sport. It has a higher engine capacity and relatively secure systems that alert the driver on the road and the conditions of the car

Toyota Hilux SR 4×2 Hi-Rider Extra-Cab Pick-Up

Toyota Prius vi-Tech

Toyota Camry Ascent Sport

Toyota C-HR AWD

Toyota Kluger AWD GXL

Toyota Yaris ZR

Rank

5

2

1

3

4

6

Some of the reasons why the respondent chose a Camry and not a Hilux or Prius include cost. Among the vehicles with the highest engine capacity, this car is a bit cheap. Also, it is fit for personal use due to its size and seat capacity.

For the second respondent, it is clear that the best criteria for choosing the best car are the multiple systems that alert driver on road and vehicle condition, out of 100, this criterion attracted a score of 50 percent. From this response, it is expected that this respondent will go for a Toyota C-HR AWD. This car has all these features with safety sensory that provides useful information on the condition of the vehicle and that of the road. Also, the client has the option of selecting a Toyota Yaris ZR even though its sensitivity to safety system is not as high as that of the Toyota C-HR AWD.

Evaluative Criteria

Importance Score

Choice of petrol/diesel/hybrid engine

5

Number of seats available

10

Multiple systems to alert driver such as Pre-Collision Safety System, Lane Departure Alert and Automatic High Beam

50

Smart start and entry system

5

Engine capacity

10

Size of touchscreen display

10

Storage inside the car

10

Total

100

Evaluative Criteria

Toyota Hilux SR 4×2 Hi-Rider Extra-Cab Pick-Up

Toyota Prius vi-Tech

Toyota Camry Ascent Sport

Toyota C-HR AWD

Toyota Kluger AWD GXL

Toyota Yaris ZR

Choice of petrol/diesel/hybrid engine

2

1

5

2

1

1

Number of seats available

3

5

5

3

5

5

Multiple systems to alert driver such as Pre-Collision Safety System, Lane Departure Alert and Automatic High Beam

2

2

1

5

1

5

Smart start and entry system

1

3

5

1

5

1

Engine capacity

4

1

4

1

1

1

Size of touchscreen display

4

1

1

1

1

3

Storage inside the car

1

3

4

3

3

2

Choice of car

This resident finally chose the Toyota Yaris ZR since it has some of the features considered to be the best.

Toyota Hilux SR 4×2 Hi-Rider Extra-Cab Pick-Up

Toyota Prius vi-Tech

Toyota Camry Ascent Sport

Toyota C-HR AWD

Toyota Kluger AWD GXL

Toyota Yaris ZR

Rank

6

2

3

4

5

1

Some of the reason why the client made this choice includes the pricing of the two cars. Even if there are the same features regarding what the client prefers, the Yaris is cheaper. Thus, this client made a decision to buy this car based on other conditions even though her selection criteria indicated that she could have purchased the C-HR AWD.

The third respondent based considers the number of seats as well as smart entry and start systems as the necessary conditions in making a purchase consideration. Based on these two aspects, it is expected that the respondent will buy a Toyota Kluger AWD GXL.

Evaluative Criteria

Importance Score

Choice of petrol/diesel/hybrid engine

30

Number of seats available

5

Multiple systems to alert driver such as Pre-Collision Safety System, Lane Departure Alert and Automatic High Beam

30

Smart start and entry system

10

Engine capacity

5

Size of touchscreen display

5

Storage inside the car

15

Total

100

Decision matrix

Decision matrix

Evaluative Criteria

Toyota Hilux SR 4×2 Hi-Rider Extra-Cab Pick-Up

Toyota Prius vi-Tech

Toyota Camry Ascent Sport

Toyota C-HR AWD

Toyota Kluger AWD GXL

Toyota Yaris ZR

Choice of petrol/diesel/hybrid engine

1

5

5

1

1

1

Number of seats available

3

5

3

3

5

3

Multiple systems to alert driver such as Pre-Collision Safety System, Lane Departure Alert and Automatic High Beam

1

3

3

5

2

5

Smart start and entry system

1

3

5

1

5

1

Engine capacity

3

3

3

2

2

1

Size of touchscreen display

5

1

5

1

1

2

Storage inside the car

1

4

5

4

3

2

Choice of car

However, the respondent preferred a Toyota Camry.

Toyota Hilux SR 4×2 Hi-Rider Extra-Cab Pick-Up

Toyota Prius vi-Tech

Toyota Camry Ascent Sport

Toyota C-HR AWD

Toyota Kluger AWD GXL

Toyota Yaris ZR

Rank

6

1

2

4

5

3

It met the smart feature and seating capacity qualification and added some more other characteristics suitable for the respondent. Some of the other reasons such as income level and profession might have contributed to her decision (Egbue and Long, 2012).

Comparison table

Toyota Hilux SR 4×2 Hi-Rider Extra-Cab Pick-Up

Toyota Prius vi-Tech

Toyota Camry Ascent Sport

Toyota C-HR AWD

Toyota Kluger AWD GXL

Toyota Yaris ZR

Respondent 1 Rank

5

2

1

3

4

6

Respondent 2 Rank

6

2

3

4

5

1

Respondent 3 rank

6

1

2

4

5

3

Each of the three respondents had some decision criteria to guide them in car selection. However, there are other theories from their demographic characteristic that can be used to explain the reasons why they chose specific cars. Old people will prefer efficient and cheaper vehicles as compared to the youths (Lane and Potter, 2007). For instance, the first respondent wanted a vehicle with a high engine capacity and systems that alert the driver on the road and car conditions. Being an old man who had retired from the service, he chose a Toyota Camry. Also, this man is old, from China, and with a wife who makes the purchase decision. Also, the respondent has a lower pretax income when compared to that of his wife. In the other hand, the second respondent is a female aged 21 years, from Italy, and a nurse by profession. She is single and the purchase decision is made by the father. Her income is $ 50, 000 and thus, she had to go for a Toyota Kluger AWD GXL despite the existence of other cars with the features she considered necessary. From this selection, it is clear that singles will go for modern and decent cars (Mau, 2008).

The third respondent considers a car’s seating capacity and the entry/start features being smart. There are several cars with these features. Based on the memory, learning and other theories as well as lifestyle, she went for a Toyota Camry. She is divorced, a teacher by profession, and she makes the decisions alone. She comes from Australia, and she has an annual income of $ 85 000. Thus, she is likely to go for the most expensive car from those that meet her selection criteria. Thus, one’s job is also likely to affect the car selection decision (Solomon et al. 2012). This is based on memory and learning theory that teachers use their car daily with improved memory to sense car and road malfunctions easily.

When marketing different cars, it is good for the company to understand the different customer characteristics. For instance, the marketer for a Toyota Camry Ascent Sport needs to understand some aspects that affect consumer choice. Thus, a classic car for a young generation population should have a suitable engine capacity (Young, 2006). Also, it should have smart features for selecting road conditions and other faultiness within the vehicle. Also, the pricing should be reasonable given the average income levels of many people is not extreme. A typical car should have inside storage, a suitable number of seats, large touch screen, as well as automatic smart features (Noblet et al. 2006).

Conclusion 

Therefore, different people have varied tastes for vehicles. However, their decisions are based on some factors. The feature of any car will determine the behavior of customers in considering its purchase. Any people with high income will always consider purchasing vehicles with advanced and extended lasting features. Those with average salary and regular uses will still buy cars which suite their needs. However, the current technological developments are affecting the consumer behaviors in the automobile industry. Smart and more advanced vehicles are being developed every day. However, consumers will always make a decision based on his/her lifestyle, income levels, as well as the prize of the vehicle.

References

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Gallagher, K. S., & Muehlegger, E. (2011). Giving green to get green? Incentives and consumer adoption of hybrid vehicle technology. Journal of Environmental Economics and management, 61(1), 1-15.

Lane, B., & Potter, S. (2007). The adoption of cleaner vehicles in the UK: exploring the consumer attitude-action gap. Journal of cleaner production, 15(11-12), 1085-1092.

Mau, P., Eyzaguirre, J., Jaccard, M., Collins-Dodd, C., & Tiedemann, K. (2008). The ‘neighbor effect’: Simulating dynamics in consumer preferences for new vehicle technologies. Ecological Economics, 68(1-2), 504-516.

Noblet, C. L., Teisl, M. F., & Rubin, J. (2006). Factors affecting consumer assessment of eco-labeled vehicles. Transportation Research Part D: Transport and Environment, 11(6), 422-431.

Ozaki, R., & Sevastyanova, K. (2011). Going hybrid: An analysis of consumer purchase motivations. Energy Policy, 39(5), 2217-2227.

Raymond Byrne, M., & Polonsky, M. J. (2001). Impediments to consumer adoption of sustainable transportation: alternative fuel vehicles. International Journal of Operations & Production Management, 21(12), 1521-1538.

Solomon, M., Russell-Bennett, R., & Previte, J. (2012). Consumer behaviour. Pearson Higher Education AU.

Young, W., Hwang, K., McDonald, S., & Oates, C. J. (2010). Sustainable consumption: green consumer behavior when purchasing products. Sustainable development, 18(1), 20-31.