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Perceived Buying Procedure

Briefly defined, every buying decision is based on a perceived buying procedure that is applied without thinking. There are different perceived buying procedures for different products and services. For example, the perceived buying procedure for the purchase of an automobile is much different than the perceived buying procedure for the purchase of a suit or shoes. Over time we all learn how to play out a large number of perceived buying procedures regardless of whether or not we are buyer or seller. In fact, the behavior of commerce is more dependent on these various perceived buying procedures than anyone could possibly imagine.

Each of us relies without thinking upon the clues and responses for our transactions, and without the framework of each perceived buying procedure both buyer and seller would be stuck for a way to proceed with the transaction.

Indeed, problems develop when a new product or service enters the marketplace because neither buyer nor seller have the "comfort" of being able to rely on an established perceived buying procedure. In such cases where a new product or service is brought to the marketplace both buyer and seller make attempts to use a perceived buying procedure that is both familiar to them and seemingly appropriate for the new form of transaction. Unfortunately, with new products and services the buyer and seller may be relying on different perceived buying procedure examples. The result all too frequently is that both buyer and seller wind up being disappointed with the transaction. Confusion develops when buyer and seller apply different perceived buying procedures, which can create problems for both buyer and seller. the absence of good communication causes both frustration and potential for loss by both buyer and seller. Over time buyers and sellers collectively establish a new perceived buying procedure for the new product or service, and this new perceived buying procedure may be entirely different than any of the many perceived buying procedures attempted at the initial arrival of the new product or service.

The introduction of the personal computer in the late 1970s and 1980s is an excellent example of what happens when a new product or service enters the marketplace without an established perceived buying procedure. Many buyers attempted to use an established perceived buying procedure previously used when purchasing office equipment such as desks, chairs, typewriters, and file cabinets while many sellers adopted the use of an established perceived buying procedure used in the sale of large mainframe and minicomputer equipment. When one perceived buying procedure is being used by a buyer and a much different perceived buying procedure is being used by the seller both buyer and seller come away with a poor result. With the personal computer purchase the buyer was left with something they knew little about and little knowledge about how to fully integrate into their business even though they did have a strong feeling that they needed to have a personal computer in their office to keep up with trends. The personal computer seller frequently became frustrated because they had not fully understood the buyer's needs and were unaware of the support the buyer would need to fully utilize the personal computer once it was brought into the workplace.

Eventually, a new perceived buying procedure was established for the purchase of personal computers, and that perceived buying procedure is much closer to the consumer electronic model than any of the perceived buying procedures used at the initial release of personal computers. Along the way the problems faced by both buyer and seller in a personal computer transaction had to be addressed, which has resulted in much of the product support being unbundled from the initial product purchase.

The perceived buying procedure concept also provides a way of looking at what happens with the introduction of new technology. Again there is no established perceived buying procedure for buyer and seller to use. With new technology the easiest thing to do for all when contacting new technology is to fit the new technology into a category most resembling something like the new technology. Sometimes the initial choice may be quite accurate, but in virtually all cases application of any new technology is expanded beyond its initial use. Thus, that personal computer on the secretary's desk has come to be used for much more than a typewriter.

For an expanded look at what happens with new technology and the way we look at the workplace take a look at the following:

Community Commerce Centers: The 21st Century Workplace

Contributed by Charles Caro on March 5, 2008, at 10:07 PM UTC.

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This intel was contributed by Charles Caro


Charles Caro

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