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Customer Behavior Study:

Personal trainer services




                            Hezha Muhammad
                               Yulia Volkova
                               Annika Austin
                                   Joni Lehto
Table of contents

Introduction .................................................................................................................................... 3
Target Group................................................................................................................................... 3
Information search .......................................................................................................................... 6
Purchase.......................................................................................................................................... 7
Influencing factors .......................................................................................................................... 9
   The buying situation .................................................................................................................... 9
   Extensive problem-solving .......................................................................................................... 9
   Limited problem-solving ........................................................................................................... 10
   Automatic response ................................................................................................................... 10
Personal influences ....................................................................................................................... 10
Lifestyle ........................................................................................................................................ 11
Social influences ........................................................................................................................... 12
Survey .......................................................................................................................................... 13
   Survey distribution and collection ............................................................................................. 14
   Survey questions and analysis ................................................................................................... 15
     Respondents satisfaction about their body ............................................................................. 15
     Do respondents read sports/health magazines ........................................................................ 16
     Eating healthy ....................................................................................................................... 16
     Paying attention to looks ....................................................................................................... 17
     Do our respondents like exercising ........................................................................................ 18
     Receiving exercising information through the internet ........................................................... 19
     Usage of sports supplements.................................................................................................. 20
     Usefulness & awareness concerning personal trainers ............................................................ 21
     Exercise frequency and challenges in meeting physical goals ................................................ 23
     Reasons for exercising ........................................................................................................... 24
     Most important things in training ........................................................................................... 25
     Exercising preferences; how, with whom and where .............................................................. 26
     How much willing to pay for such personal training services ................................................. 29
Conclusion .................................................................................................................................... 30
Sources ......................................................................................................................................... 31
Appendices ................................................................................................................................... 32
   Survey....................................................................................................................................... 32
HAAGA-HELIA                                  Customer Behavior Study                  3/34
Team F
Hezha Muhammad                               15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

Introduction
                 Business idea is offering personal training services to customers with
                 different needs and health conditions. A personal trainer is a professional
                 who educates people about physical fitness. Personal trainers are also
                 referred to as quot;trainers,quot; but should not be confused with quot;athletic
                 trainersquot;. Personal trainers typically design exercise routines and teach
                 physical exercises to their clients. While some personal trainers work
                 with only one client each session, others also teach groups of clients.

                 Personal trainers typically work with clients to improve body
                 composition (weight loss or muscle gain). They may also be hired for
                 more specific goals, such as an increase in strength, muscular endurance,
                 cardiovascular endurance, or flexibility. Some trainers are qualified to
                 improve sports performance, including speed and power. While not as
                 common, some trainers may also be qualified to work with people who
                 need help with physical dysfunction, including the improvement of
                 balance, range of motion, knee and shoulder issues, and those released
                 from physical therapy.

                 Personal trainers often also have a specific method of motivating clients.
                 Common techniques for motivation include demeanor (some trainers
                 have an aggressive and commanding demeanor; others are more calm
                 and supportive; incentives for reaching goals; and positive re-framing or
                 visualization.

                 Understanding consumers on a deep level is significant in health and
                 fitness industries. Therefore we need to analyze thoroughly
                 fundamentals of our consumer behavior, describe buying process and
                 identify different influences on their behavior. Main questions that we
                 are going to take into consideration when studying our consumer are:
                 who is important, how do consumers buy, what are their choice criteria,
                 where do they buy and when do they buy (Jobber, 60). We are going to
                 find answers to these questions through a survey, which is the most
                 appropriate in this case, because there is not so much information about
                 face-to-face and on-line personal training in Finland.


Target Group
                 Our consumers are people who buy personal training services and sports
                 supplements as a tangible product for personal using. Target group
                 consists of senior citizens (the biggest population group in Finland),
                 young people, wealthy professional individuals, corporations, and
                 average class people.
HAAGA-HELIA                                 Customer Behavior Study                   4/34
Team F
Hezha Muhammad                              15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                 According to Jobber (2001, 61) most of consumer purchases are
                 individual, which means that a buyer makes decision to buy a product
                 independently. Although decision-making can be done by certain group,
                 where all members relate and influence each other. For instance, Engel,
                 Blackwell and Miniard (2000) offer five roles, which can be taken by
                 family members, work colleagues or other members of the buying
                 center.

                 1. Initiator: the person who starts to think about purchase and gather
                    information about personal training to help decision-making process.
                 2. Influencer: the person who is willing to make an effect on the
                    outcome of decision-making. Also they present choice criteria.
                 3. Decider: the person who is in charge of making final decision about
                    purchase of the product (most often it’s a customer who chooses
                    needed fitness program , pays and uses it)
                 4. Buyer: the person who pays and influences delivery of the product
                    (chooses the type of payment and as we have on-line service our
                    customer doesn’t need to care about delivery, because he or she will
                    just use the service through the internet).
                 5. User: the actual consumer who uses the product.


                 However one person can take at the same time different roles. For
                 example, he or she wants to look better by summer time and it motivates
                 an individual to search for some options how to achieve this goal. After
                 analyzing received information consumer chooses one of the programs
                 we have, then makes a payment and finally uses it. So in this example
                 consumer was initiator, decider, buyer and user at the same time.

                 Decision-making process shows how consumer buys a product.
                 According to Michael Solomon, Gary Bamossy and Soren Askegaard
                 (2002) in this multipart process people first combine as much
                 information as possible from what they already know about product,
                 then analyze advantages and disadvantages of each alternative, and
                 finally come up with a satisfactory decision. However Jobber (2001, 63)
                 highlights that there is also final step of post-purchase evaluation of
                 already made decision. But for the first step he offers to admit that there
                 is a problem. For example, a person admits that he or she isn’t satisfied
                 with condition of their body and that there is a need to start doing
                 fitness. In addition, Blackwell, Miniard and Engel identify five steps
                 which consumer can come through before purchase. These steps form
                 consumer decision-making process.
HAAGA-HELIA                                 Customer Behavior Study                   5/34
Team F
Hezha Muhammad                              15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                                            Need recognition/
                                                problem
                                               awareness


                                               Information
                                                  search




                                              Evaluation of
                                               alternatives




                                                Purchase




                                              Post-purchase
                                              evaluation of
                                                decision


                            Figure 1. , The consumer decision-making process
                             Blackwell R.D, Miniard P.W, Engel J.F (2000)

                 However Jobber (2001, 63) points that need recognition can be
                 influenced by two issues: the size of difference between present and
                 desired situation and importance of a problem. That means, for example,
                 an individual has an obesity problem, he or she looks at attractive bodies
                 in adverts and surely starts to want to have the same one, but the
                 significance of the problem can be very low in comparison with other
                 purchase needs (holidays or studying). Therefore even when the
                 difference is big, person may not step up on information search, because
                 the importance of a problem is small. Although, it can be the other way
                 round, when the discrepancy between current and most wanted situation
                 is small (consumer doesn’t have any problems with overweight, for
                 instance) then he or she isn’t much motivated to use our on-line personal
                 training service.

                 If need recognition is strong enough, consumer starts to look for
                 alternative ways of problem solution (Jobber, 2001; Kotler, 2003). As
                 Jobber (2001) and Kotler (2003) suggest the search can be internal and
                 external.
HAAGA-HELIA                                  Customer Behavior Study                    6/34
Team F
Hezha Muhammad                               15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                 Firstly, consumer takes information from memory, in other words,
                 appeals to
                 internal source. Then, if there is still not enough information, external
                 search begins. It falls into personal resources, such as family, friends,
                 colleagues and commercial sources, for example advertisements.


Information search
                 There are two types of information search: Pre-purchase search, which a
                 consumer may recognize a need and then search the market place for
                 specific information and Ongoing search, which consumers enjoy to
                 browse just for fun, or because they like to stay up-to-date on last news
                 in the market place (Solomon, 2004).

                 As Jobber (2001, 64) points out, the main purpose of information search
                 is to build the awareness set. It means to make a list of possible options
                 that may solve your problem. For example, it can look like this

                        Face-to-face training
                        On-line training
                        Partner/group training

                 In order to choose one option consumer should evaluate and compare
                 alternatives, in other words step up the next stage of decision-making
                 process. In this part consumer establishes criteria for evaluation, features
                 the buyer wants or not. Also he/she ranks or weights alternatives or
                 resumes the search. For instance person may decide to exercise with a
                 wife/husband, so Partner/group training gets higher rank.

                 Jobber (2001, 65) emphasizes that the first step in evaluation is to reduce
                 the awareness set to a smaller list of options which deserves more
                 serious consideration. The awareness set goes through different choice
                 criteria to create an evoked set: short list of alternatives for careful
                 evaluation. While assessing alternatives customer can use different
                 choice criteria, such as price, reliability, popularity. In addition,
                 Schiffman and Kanuk (2004, 559) state that customers while evaluating
                 alternatives use two types of information: a “list” of brands (models)
                 from which they make their selection (the evoked set) and the criteria
                 they use to asses each brand or model. For example, a person, who aims
                 to do some exercises for keeping fit and healthy, doesn’t know much
                 about fitness programs, but he/she has 2-3 options, such as to go to gym,
                 buy DVD to exercise at home and to take on-line course.
HAAGA-HELIA                                  Customer Behavior Study                    7/34
Team F
Hezha Muhammad                               15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                 Let’s suppose that of these, two were acceptable possibilities and one
                 wasn’t. Solomon, Bamossy and Askegaard (2002) name alternatives that
                 are under consideration but not to be bought as inept set, whereas the
                 ones that are not under consideration at all involve inert set.

                 The criteria consumers use to evaluate the alternative products in their
                 evoked set usually depends on important product attributes (Schiffman
                 2004). Instances can be price, trustworthiness, availability, health issues
                 and diversity of choices. However, the research described by Schiffman
                 and Kanuk (2004) shows that most often consumers looking for one
                 option that performs “right” and feels good, don’t pay most attention to
                 price and brand popularity, vise versa their final choice reflects their
                 personality characteristics or childhood experiences; and it’s often “love
                 at first sight”.
                 However, a key determinant of the extent to which consumers estimate a
                 product is their level of involvement.

                 According to Jobber (2001; 65) involvement is a level of personal
                 importance and significance that goes with the product choice. Thus
                 when a purchase is very involving, the customer is going to carry out
                 very extensive evaluation. High involving purchases include those ones
                 which are expensive, important and have some degree of risk. On the
                 contrary, low involvement purchases consist of simple evaluations and
                 fast decision making. For example, when customer has a need to have
                 cardio work out, he/she will have a pretty long evaluation trial, as this is
                 a serious health issue and needs to be assessed thoroughly.

                 When the customer eventually should make a product choice from
                 among of alternatives, a number of decision rules may be used. For
                 instance, Solomon, Bamossy and Askegaard (2002; 262) point out that
                 there are non-compensatory and compensatory rules. Non-compensatory
                 rules eradicate alternatives that aren’t efficient on criteria the consumer
                 has chosen to use, whereas compensatory rules, which usually are
                 applied in high involvement situations, let decision-maker consider each
                 alternative’s pluses and minuses to achieve the best choice.

Purchase
                 Schiffman and Kanuk (2004; 569) also add that there are three types of
                 purchases: trial purchases, repeat purchases, long-term commitment
                 purchases. In details, when a person buys a product for the first time and
                 buys it in small quantity, this purchase is considered to be a trial. For
                 example, in our on-line personal training web site we are going to have
                 trial courses for just familiarizing customers with different programs.
HAAGA-HELIA                                  Customer Behavior Study                   8/34
Team F
Hezha Muhammad                               15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                 We think it’s a really effective way to conquer customer’s attention and
                 loyalty.

                 When a new type of product is found by trial to be better than other
                 products, costumers are likely to repeat the purchase. Typically the
                 repeat purchase confirms that the product has met costumer’s approval.
                 In our case, it’s possible to buy different programs for different periods
                 of time. If people like them, they will wait for new courses and use our
                 service more and more that stimulates customer’s loyalty.
                 In addition, long- term commitment purchases don’t fit our company
                 because we don’t provide durable goods like refrigerators, cars or
                 electric ranges.

                 As our business operates on-line, we should research also how usage of
                 the Internet affects consumer’s decision-making. According to
                 Schiffman and
                 Kanuk (2004; 565) it is often suggested that because consumers have
                 limited information-processing capacity, they must develop a choice
                 strategy based both on individual factors, such as knowledge, personality
                 traits and contextual factors, like characteristics of the decision tasks.
                 Also they stated that there are three contextual factors: task complexity,
                 information organization and time constraint. That means in on-line
                 environment the information is more available, there are more
                 alternatives and more information regarding each alternative. Besides,
                 information giving is more flexible and time is saved by using
                 computers to apply decision rules.

                 Finally there is post purchase evaluation of decision. It’s common for
                 customers to feel not confident about their purchase; they doubt whether
                 it was right to buy our service or whether they chose the best type of
                 work out for them. This goes from the concept named “cognitive
                 dissonance”. A customer having bought the product can feel that the
                 other alternative would be better. In this case a customer won’t
                 repurchase, but may change the kind of product or company at all next
                 time.

                 To make consumers feel right about their purchase is the target of
                 marketers, who should make potential buyers think that the product will
                 meet their expectations. After having done the purchase, customer
                 should be also persuaded that he/she has done the right decision. For
                 instance, it’s easy to do for on-line personal training company, where we
                 can post in the web site pictures of people who already have used our
                 service and achieved considerable results. This will encourage our
                 customers to use the program they chose at most and with pleasure.
HAAGA-HELIA                                        Customer Behavior Study                    9/34
Team F
Hezha Muhammad                                     15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

Influencing factors
                       Influencing factors in the consumer decision-making process and its
                       outcome can be classified under three headings (Jobber and Lancaster
                       2003):

                             the buying situation
                             personal influences
                             social influences


The buying situation

                       Different kinds of buying situations are identified to be of three major
                       types (Howard and Sheth 1969):

                             extensive problem-solving
                             limited problem-solving
                             automatic response


Extensive problem-solving

                       When customers are faced with a need that is new to them, requires
                       expensive means to be satisfied or otherwise raises high uncertainty in
                       the consumer's mind, the consumer is likely to use extensive problem-
                       solving.

                       Extensive problem-solving involves a high degree of information search
                       and close examination of alternative solutions (Jobber and Lancaster
                       2003), exactly like finding the best price-quality service in the current
                       fragmented field of health clubs (see Hill 2004).

                       With buyers that are in dire need of information, for example about
                       exercising and alternative personal trainers, the salesperson can create
                       immense goodwill by providing information and assessing alternatives
                       from the product range in terms of how well their benefits conform to
                       the buyer's needs. The goodwill generated in such a situation may be
                       rewarded by a repeat purchase when the buying situation changes to
                       limited problem-solving. (See Jobber and Lancaster 2003.)

                       Put in practical terms, being the first to be very helpful to a customer
                       seeking information about the possibilities of personal training can
                       attract highly loyal customers.
HAAGA-HELIA                                      Customer Behavior Study
            10/34
Team F
Hezha Muhammad                                   15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

Limited problem-solving

                     Limited problem-solving occurs when the consumer has some
                     experience with the product in question and may be inclined to stay loyal
                     to the brand previously purchased. However, a certain amount of
                     information search and evaluation of a few alternatives occurs as a
                     rudimentary check that the right decision is being made. This provides a
                     limited opportunity for salespeople of competing products to persuade
                     consumers that they should switch service provider by providing
                     relevant comparative information and for example by providing risk-
                     reducing guarantees. (Ibid.)

Automatic response

                     Automatic response purchases happen when the customer feels certain
                     that there is no pressing reason to conduct any information search before
                     buying (Jobber and Lancaster 2003). In terms of personal training
                     service this could mean a customer that has possibly tried out many of
                     the alternative providers, but even if not, has his or her personal reasons
                     to stay with a certain provider.

                     For an internet personal training service, this means people who are
                     limited on time, money or capabilities to travel to cities where
                     competitors would be located, and feel that the level of service provided
                     is both sufficient to their personal needs and is better or close enough to
                     the level provided by competitors.

                     The situation is of course changed when competitors would start
                     entering the personal training cyberspace; from that point onwards being
                     the first isn't enough and methods like advertising should be used to keep
                     the brand in the forefront of the consumer's mind and reinforce
                     favourable attitudes towards the company.


Personal influences
                     Personal influences concern the psychology of the individual consumers.
                     Relevant concepts include personality, motivation, perception and
                     learning. Although personality may explain differences consumer
                     purchasing, reliable personality measurement has proved difficult, even
                     for qualified psychologists. (Ibid.)

                     Brand personality is the characterisation of brands as perceived by
                     consumers.
HAAGA-HELIA                                     Customer Behavior Study
            11/34
Team F
Hezha Muhammad                                  15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                    Brands may be characterised for example as 'for young people' (Levis)
                    or 'intelligent' (Guinness). By creating a brand personality, a marketer
                    may create appeal to people who value that characterisation. Research
                    into brand personalities of beers showed that most consumers preferred
                    the brand of beer that matched their own personality (Ackoff and Emsott
                    1975).

                    Buzzotta et al. (1982) proposed a two-dimensional approach to
                    understanding buyer psychology. They suggest that everyone tends to be
                    warm or hostile and dominant or submissive, and salespeople benefit
                    from adjusting their behaviour accordingly.

                    Also as buyer motivations can vary, different kinds of sales or marketing
                    efforts succeed in attracting different kind of customers. The real
                    motives for purchase may be obscure, but when found, they can be used
                    to increase buyer motivation by stimulating need recognition, by
                    showing the ways in which needs can be fulfilled. These may be
                    functional, for example, time saved by not having to travel to meet the
                    personal trainer, or psychological, e.g. the status imparted by having a
                    great-looking body. (See Jobber and Lancaster, 2003.)

                    As consumers have different motivations to buy the same service, one
                    consumer may perceive the same marketing efforts as being honest and
                    appealing while another may not. In general, people tend to forget more
                    quickly and to distort and to distort or avoid messages that substantially
                    differ from their existing attitudes.

                    Learning is also important in consumer decision-making. Learning refers
                    to the changes in a person's behaviour as a result of his or her
                    experiences. A consumer will learn which brand names imply quality
                    and which salespeople to trust.


Lifestyle
                    Lifestyle refers to the patterns of living as expressed in a person's
                    activities, interests and opinions. Lifestyle analysis, or psychographics,
                    groups people according to their beliefs, activities, values and
                    demographic characteristics such as education and income. There is a
                    multitude of different psychographics for different purposes. For
                    example, Research Bureau Ltd, a UK marketing research agency,
                    investigated lifestyle patterns among housewives and found eight
                    distinct groups.
HAAGA-HELIA                                     Customer Behavior Study
            12/34
Team F
Hezha Muhammad                                  15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                    Lifestyle analysis has implications for marketing since lifestyles have
                    been found to correlate with purchasing behaviour (Jobber and Lancaster
                    2003). A company may choose to target a particular lifestyle group with
                    a product offering, and use advertising which is in line with the values
                    and beliefs of this group. As information on readership/viewing habits of
                    lifestyle groups becomes more widely known it affects the media
                    selection used in conjunction with lifestyle research.


Social influences
                    According to Kotler and Armstrong (2006) and Jobber and Armstrong
                    (2003) major social influences on consumer decision-making include
                    social class, reference groups, culture and the family. Social class has
                    been regarded as an important determinant of consumer behaviour for
                    many years, but doesn't play such a role in Nordic countries like Finland,
                    where the income levels are more evenly spread.

                    The term 'reference group' is used to indicate a group of people that
                    influences a person's attitude or behaviour. Where a product is
                    conspicuous, for example, clothing or cars, the brand or model chosen
                    may have been strongly influenced by what the buyer perceives as
                    acceptable to his or her reference group (e.g. a group of friends, the
                    family, or work colleagues). Reference group acceptability should not be
                    confused with popularity. As personal training is a fragmented and not
                    brand-oriented industry (see Hill and Jones 2004), acceptability by
                    reference group carries a smaller influence there. However, it could still
                    influence the decision whether to use a personal trainer in the first place.

                    Culture refers to the traditions, taboos, values and basic attitudes of the
                    whole society within which an individual lives (Jobber and Lancaster
                    2003). When marketing to a cultural group that matches one's own, the
                    cultural aspects tend to be taken into accord automatically. When
                    marketing to a group of different cultural background, more emphasis
                    has to be put on the proper conduct of business. In Arab countries, for
                    example, salespersons may find themselves conducting a sales
                    presentation in the presence of a competitor's salesperson. In France
                    chocolate is sometimes eaten between slices of bread.

                    Family members can strongly influence buyer behaviour. The family is
                    the most important consumer buying organization in society, and it has
                    been researched extensively. (Kotler and Armstrong 2006.)
HAAGA-HELIA                                     Customer Behavior Study
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Team F
Hezha Muhammad                                  15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                    The decision as to which product or brand to purchase my be a group
                    decision, with each family member playing a distinct part: for example
                    husband might choose the model for the new car, wife would choose the
                    colour and children might have a strong say in what cereals to buy.
                    When a purchase is a group decision, a salesperson will be wise to view
                    the benefits of his or her service in terms of each of the decision-makers
                    or influencers. (Ibid.)

                    When advertising for a personal training service which aims to improve
                    the overall health of all participants and even whole families, the
                    advertisements should vary according to the media they are presented
                    with: in Finland the TV channel Jim displays a lot of programs for
                    fathers about for example home renovation, whereas many home and
                    family magazines find their ways to the hands of mothers across the
                    country.


Survey
                    A survey was needed in our group, because there is not a lot of
                    previous/secondary information about personal training either from face-
                    to-face or via internet personal training. Our survey consists of
                    quantitative questions and close-ended questions. The advantage of
                    using a survey is its flexibility and it yields a wide range of data (Jewell,
                    pp. 207).

                    Quantitative research is a scientific way of research, since the results
                    may be mathematically calculated. The process of measurement is
                    central to the quantitative research (Wikipedia, 2008). Close-ended
                    questions are closely related to the quantitative questions, since they are
                    easier to be measured scientifically. A closed-ended question is a
                    question, which can be answered with a simple “yes or “no”
                    dichotomous question (Jewell, pp. 209). The closed- ended question is a
                    specific, simple piece of information.

                    Example of quantitative/close-ended question:

                    Is exercising a waste of time? -- Yes

                    The survey will be available to be filled out and answered by any one
                    within the Haaga-Helia building. Because of this we are using the non-
                    probability sampling which means that individuals are selected on one or
                    more criteria determined by the research (Jewell, pp. 210).
HAAGA-HELIA                                     Customer Behavior Study
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Team F
Hezha Muhammad                                  15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                    Our criterion is the location where the survey will be filled out. In non-
                    probability sampling it is not possible to state a sampling error (Ibid).
                    Non-response bias needs to be taken into consideration as well. Not all
                    of the people that we ask to answer our survey will have the interest or
                    time to fill it out. If the people that refuse to answer our survey have the
                    same characteristics as the people that do answer, the final results will be
                    unbiased (Wikipedia, 2008). However, if the people have different
                    opinions and lifestyle, there will be bias in the results. This will be
                    needed to take ito consideration when analysing the results of the survey.

                    Response bias is something that also affects our survey results and the
                    analysis of them. The survey results may be distorted due to the fact that
                    some answers given by respondents do not reflect their true beliefs and
                    lifestyle (Wikipedia, 2008).

                    Since our survey is about exercise and nutrition respondents may answer
                    in an untruthful way. This may happen, because our respondents may
                    want to exercise four times a week, but exercise only once a week and
                    they answer accordingly to their desires instead of the truth. Therefore
                    the respondents may answer the questions according to the lifestyle they
                    would like to have, instead of answering what is fact. This needs to be
                    taken into consideration when making conclusions of the survey results.
                    Also we will try to have as many participants as possible, in order to
                    have as reliable information as possible and this way there will be less
                    room for misleading outcome.

                    Ethical issues need to be taken into consideration when making a survey
                    and having respondents answering the questions. First of all, no one will
                    be forced to answer any of the questions. The respondents need to have
                    the opportunity to answer anonymously and answers need to be
                    confidential. Also the questions need to be simple and worded clearly, in
                    order for the respondent to fully understand the questions. Most
                    importantly the participants need to know why the survey is taking place
                    and what the information they provide for us will be used for. This way
                    they may refuse if they do not want to take part in our survey.


Survey distribution and collection

                    Survey was conducted mainly in the Haaga-Helia and SLK building and
                    also using a online based survey (created by ourselves). We succeeded
                    into getting 155 respond by paper and 18 respond through the online
                    survey, so all together 173 responds.
HAAGA-HELIA                                             Customer Behavior Study
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Team F
Hezha Muhammad                                          15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                    We feel that that this is enough to give us some kind of a direction
                    concerning the needs of the target customers, since the business would
                    concentrate first to provide the personal training services to Haaga-Helia
                    and SLK student and staff.


Survey questions and analysis
Respondents satisfaction about their body

                    This question was to indentify the satisfaction of the respondents about
                    their own body. 53 % of the respondents said that they are very satisfied
                    with their current physique, however almost a quarter (23 %) said they
                    were not satisfied fully with their body.

                    Combining this info along with results from question 4, we can see that
                    82 % of the respondents pay attention to their looks and only 4 % don’t
                    pay attention to it, so this means that there are plenty of people who
                    want to improve their looks but aren’t satisfied yet, which in turn gives
                    us an opportunity to serve their needs.


                                     I’m totally satisfied w ith m y body




                                             Strongly
                                                            Strongly
                                             disagree
                                                             agree
                                                3%
                                                              7%
                                  Disagree
                                    20 %




                                                                            Agree
                                                                            46 %
                                   Neutral
                                    24 %




                     Question 1
HAAGA-HELIA                                        Customer Behavior Study
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Team F
Hezha Muhammad                                     15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

Do respondents read sports/health magazines

                    Question 2 was about knowing whether our respondents, who are also
                    our target customers reading sport or health related magazines, we
                    wanted to know this, because we would use that information for
                    marketing of our services, but since the results showed that only 24 %
                    agreed with reading sports or health related magazines, we can’t
                    concentrate our marketing effort and budget for advertising through this
                    marketing channel, since it wouldn’t be used effectively to reach our
                    target customers. The fact that 76 % were either neutral or not reading
                    these magazines, means that they are way too busy to consume their
                    time in doing that.


                                   I read sports/health related m agazines




                                                          Strongly
                                    Strongly               agree
                                    disagree                8%
                                      23 %
                                                                        Agree
                                                                        16 %




                                  Disagree
                                    25 %                             Neutral
                                                                      28 %




                     Question 2


Eating healthy

                    Knowing whether or not our respondents pay attention to their eating
                    habits and what they consume and it seems that they are very aware of
                    healthy eating, because 70% of respondents answered that they try to eat
                    healthy which totally correlates with results received from question 1
                    and 4.
HAAGA-HELIA                                             Customer Behavior Study
            17/34
Team F
Hezha Muhammad                                          15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                                              I try to eat healthy


                                             Strongly
                                             disagree
                                                2%
                                                                     Strongly
                                         Disagree                     agree
                                            6%                        22 %

                                   Neutral
                                    22 %




                                                             Agree
                                                             48 %




                      Question 3


Paying attention to looks

                     As mentioned in relation with question 1, question 4 was about the
                     amount of respondents who pay attention to their looks and majority pay
                     a lot of attention to their looks, proven by 82 % of the respondents
                     claiming so in the survey.
HAAGA-HELIA                                            Customer Behavior Study
            18/34
Team F
Hezha Muhammad                                         15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                                       I pay attention to m y looks

                                            Strongly
                                            disagree
                                               2%

                                       Disagree                    Strongly
                                          2%                        agree
                                  Neutral                           18 %
                                   14 %




                                                       Agree
                                                       64 %




                     Question 4


Do our respondents like exercising

                    Our survey respondents say they like exercising, 72 % claims to like
                    exercising which is a positive, because there is willingness to exercise
                    due to the reasons identified in the previous questions, only 11 % said
                    they don’t like exercising at all.
HAAGA-HELIA                                             Customer Behavior Study
            19/34
Team F
Hezha Muhammad                                          15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                                               I like exercising


                                             Strongly
                                             disagree
                                                2%

                                        Disagree
                                           9%                       Strongly
                                                                     agree
                                  Neutral                            31 %
                                   17 %




                                                   Agree
                                                   41 %




                     Question 5


Receiving exercising information through the internet

                    It seems that our respondents are open to receiving their exercising
                    information through the internet, since 33 % of the respondents said they
                    currently get their exercising information primary from the internet and
                    also it’s possible that the 26 % who were neutral about the question,
                    would be open to persuasion. This is encouraging because the web-based
                    health services and personal training services are almost non-existent in
                    Finland, so this gives hope for possible importation of the service model
                    to the Finnish society.
HAAGA-HELIA                                             Customer Behavior Study
            20/34
Team F
Hezha Muhammad                                          15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                                  I use the internet as m y prim ary source for
                                             exercising inform ation




                                             Strongly          Strongly
                                             disagree           agree
                                               10 %             10 %



                                                                          Agree
                                                                          23 %
                                  Disagree
                                    31 %




                                                              Neutral
                                                               26 %




                     Question 6


Usage of sports supplements

                    This is a valuable piece of information retrieved from this question in the
                    survey, since it clearly tells us that the target customers of ours are not
                    using sports supplements (74%) strongly disagreed or disagreed when
                    asked whether using sports supplements or not, so this tell us that the
                    willingness to give sports supplements a try is limited, hence we might
                    even opt to eliminating sports supplements from our offering even
                    before starting the business, since only 11 % are using sports
                    supplements currently.
HAAGA-HELIA                                            Customer Behavior Study
            21/34
Team F
Hezha Muhammad                                         15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                            I use sports supplem ents (vitam ins, protein, fat
                                              burner etc.)


                                                           Strongly
                                                            agree
                                                             1%

                                                                Agree
                                                                10 %

                                                                         Neutral
                                 Strongly
                                                                          15 %
                                 disagree
                                   44 %




                                                                   Disagree
                                                                     30 %




                    Question 7


Usefulness & awareness concerning personal trainers

                             A personal trainer is very useful and helpful in
                                    achieving one’s physical goals?



                                            Strongly
                                            disagree
                                               5%                  Strongly
                                                                    agree
                                       Disagree                     17 %
                                          5%




                                  Neutral
                                   30 %




                                                                      Agree
                                                                      43 %




                    Question 8
HAAGA-HELIA                                        Customer Behavior Study
            22/34
Team F
Hezha Muhammad                                     15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                    These two questions were to indentify the perception of consumers
                    towards personal trainer’s and how much they know about the duties of
                    a personal trainer, it was encouraging to see that 60% of the respondents
                    thought that a personal trainer was very useful and only 10% deemed
                    personal trainer not useful, while 30% being neutral, which explains also
                    from the next question that 32% felt neutral about the knowledge about
                    personal trainers, we feel this 30-32 % is untapped, which are open to
                    new suggestions as long as they are aware of the personal trainer’s duties
                    and benefits. Almost half (46%) of the respondents felt that they are well
                    aware of the job descriptions of a personal trainer and looking further
                    into our survey, we found that those who saw personal trainer’s useful,
                    they also said that they were aware of the duties of personal trainer, so
                    increasing awareness is very important for a profitable and growing
                    business.


                             I’m w ell aw are of the job description of Personal
                                                    trainers




                                               Strongly      Strongly
                                               disagree       agree
                                                  4%          10 %
                                   Disagree
                                     18 %




                                                                        Agree
                                                                        36 %


                                     Neutral
                                      32 %




                     Question 9
HAAGA-HELIA                                       Customer Behavior Study
            23/34
Team F
Hezha Muhammad                                    15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto



Exercise frequency and challenges in meeting physical goals

                    We wanted to know the frequency in respondents training and it became
                    clear that 59% of the respondents workout at least 2 times a week,
                    actually 17% even works out 3 or more times per week, which is
                    encouraging since that means that our target customers do exercise and
                    going back to question 5, they also like exercising.
                    27% said they exercise occasionally or rarely, so this group of people we
                    need to encourage more by increasing their awareness about health
                    benefits and improved working ability with a health body.


                                    How often do you exercise w eekly




                                            Rarely or
                                             never            More than 3
                                              6%                times
                                                                17 %
                              Occasionall
                                  y
                                21 %




                                  Once a
                                  w eek
                                   14 %                         2-3 times
                                                                  42 %




                     Question 9

                    As you can see from the next question that we wanted to know what are
                    the biggest challenges in achieving their physical goals were lack of
                    motivation and lack of time for exercising, this is excellent for our
                    company because we can separate ourselves from other personal
                    trainer’s by providing the fastest and energetic workouts possible and
                    this is made possible by the respondents telling us that limited
                    knowledge was the smallest of the challenges.
HAAGA-HELIA                                                   Customer Behavior Study
            24/34
Team F
Hezha Muhammad                                                15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

                    Meaning our target customers know about training basics and don’t need
                    constant hand holding, so we can provide this to them through our
                    interactive personal training website.


                                        Biggest challenges for achieving physical goals




                                                               258
                                          244

                                                        217

                                                                              Lack of motivation
                         Rating scale




                                                                              Limited know ledge


                                                 127                          Lack of patience for
                                                                              results
                                                                              Lack of time for
                                                                              exercising




                     Question 12


Reasons for exercising

                    In here we wanted to know the reasons for them exercising and we
                    found that 21% did it to lose excess fat, 41% did it for improving their
                    overall health, 22% did it for a more attractive body and only 12% did it
                    for pure muscle gain. We can see that these are not a group of people
                    that want excess muscle mass; they want to look lean, attractive and be
                    healthy. This is important for example in the case of website design; we
                    shouldn’t design the website to be too competitive looking, filled with
                    muscles and huge bodybuilders. We should concentrate on convening
                    the message of health, beauty and energy with their corresponding
                    colours and themes.
HAAGA-HELIA                                             Customer Behavior Study
            25/34
Team F
Hezha Muhammad                                          15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                                            Reasons for exercising




                                                      Other    Muscle gain
                                       More
                                                      4%         12 %
                                    attractive
                                       body
                                      22 %
                                                                       Fat loss
                                                                        21 %




                                                 Improving
                                                   overall
                                                    41 %




                      Question 10

Most important things in training

                     This question didn’t really help us, since the only thing that stood out
                     from this is that the most important thing for the respondents was that
                     the exercise that they do is effective. Other answering options got pretty
                     much the same amount of points.
HAAGA-HELIA                                               Customer Behavior Study
            26/34
Team F
Hezha Muhammad                                            15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                                      Which things are the m ost im portant to you in
                                                         training




                                            254




                                                                          Time saving
                                                        168
                       Rating scale




                                      160         161         157         Effective
                                                                          Individualized program
                                                                          Healthy nutrition
                                                                          Affordability




                     Question 13


Exercising preferences; how, with whom and where

                    These three question responses had to be put together since, they are
                    connected, more so than the other questions. First it was surprising to
                    find out that only 26% wanted to exercise alone and 70% wanted to
                    workout either with a partner or in a group. Also their preferred ways of
                    exercising was 34% running/jogging and 36% had other things
                    preferred, such as team sports, group weight lifting etc. Only 16% chose
                    strictly weight lifting.
HAAGA-HELIA                                       Customer Behavior Study
            27/34
Team F
Hezha Muhammad                                    15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                                        Which do you prefer m ore?




                                               To not
                                             exercise at
                                              all ; 4 %
                                                                Exercising
                                                               alone; 26 %
                               Training in
                               a group ;
                                 34 %




                                                             Training
                                                              w ith a
                                                           partner ; 36
                                                                %




                     Question 14

                    Also 55 % wanted to workout outdoors and 28% indoors or in a health
                    club/gym. There were some people who wanted to workout at home
                    (15%). So to the majority of the respondents we need to come up with a
                    service that is able to combine their need to be with others while training
                    and have something other than just weight lifting also. For this we need
                    to be present ourselves while conducting the classes or sessions, but then
                    again we simply charge more for those services, without eliminating a
                    possible target group.
HAAGA-HELIA                                           Customer Behavior Study
            28/34
Team F
Hezha Muhammad                                        15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto


                            If you could decide, w here w ould you exercise?




                                                     Other              Health
                                          Home        2%              center(indo
                                          15 %                            or)
                                                                         28 %




                                          Outdoors
                                           55 %




                    Question 16


                                      Preferred w ays of exercising




                                                                   Weight
                                                                   lifting
                                                                   16 %

                                  Other
                                  36 %
                                                                             Aerobics
                                                                              14 %




                                                             Running/Jo
                                                               gging
                                                               34 %




                    Question 17
HAAGA-HELIA                                        Customer Behavior Study
            29/34
Team F
Hezha Muhammad                                     15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

How much willing to pay for such personal training services

                    Last but not least, was to find out how much are our respondents willing
                    to pay for our services through the internet.

                       45% weren’t willing to pay for personal training services through the
                       internet
                       36% were willing to pay less than 100 €/month for such services
                       2% were willing to pay 100-200 €/month
                       6% said price not an issue, if quality is good
                       11% said other, such as 10€, 20€, 40€, 80€ a month


                            How m uch are you w illing to pay for the services of a
                                   personal trainer through the internet
                                            Other
                                            11 %

                                    Price not an
                                       issue,
                                      quality is
                                        w hat
                                       matters
                                         6%

                                     100-200€                      Not w illing
                                       2%                           to pay
                                                                     45 %


                                       Less than
                                         100€
                                         36 %




                    The response was not great, but good since there are people willing to
                    try such services although it’s almost non-existent in Finland, specially
                    the internet based service. So again increasing personal training services
                    and job description awareness is going to benefit us in the future and
                    keep bringing us people, that might have been unaware or prejudice
                    about our services.
HAAGA-HELIA                                    Customer Behavior Study
            30/34
Team F
Hezha Muhammad                                 15.5.2008
Yulia Volkova
Annika Austin
Joni Lehto

Conclusion
                    We found this study very useful, since at least some of our group
                    members will be making an actual business based on these findings. The
                    survey gave us a lot of insight about our target customer training
                    preference, frequency and willingness to use personal training services.

                    The survey was so useful, that without that some mistakes would have
                    been made in the business that now will not be done, thanks to the
                    survey results. Consumer behaviour is very important to know, no matter
                    which line of business you are in or entering into. Customer knows best
                    and we have to cater to their needs and demands.

                    Survey conclusion is that our target customers:

                           Majority workout 2 or more times per week > active people
                           Students > so they don’t have much time, workouts need to be
                           effective, fun and short
                           Students have low income levels, hence they are not able to pay
                           high amount for personal training services, but more than half are
                           willing to pay as long as it’s less than 100€ per month
                           They want group and pair workout sessions, so we have to design
                           such service products for those people
                           They are not looking to be a bodybuilder. They are mainly
                           concentrating on being fit, healthy and having fun while training.

                    Overall the customer behaviour report along with the theory and survey
                    results will give a much better ground for success if one chooses to enter
                    the personal training market and an interactive web-based one with using
                    the information retrieved in this study.
HAAGA-HELIA                   Customer Behavior Study                               31(34)
Team F
Annika Austin                               23.5.2009
Joni Lehto
Hezha Muhammad
Yulia Volkova



Sources
                 Constantinides, Efthymios (2004), “Influencing the online consumer’s
                 behavior: the Web experience”, vol.14 No 2, pp. 111- 126

                 Jewell, Bruce R. 2000. An Integrated Approach to Business Studies. Fourth
                 Edition. Harlow: Addison Wesley Longman Limited.

                 Jobber, David 2001. Principles and Practice of Marketing. Third edition.
                 London: McGraw-Hill.

                 Kotler, P. (2003), Marketing Management, 11th ed., Prentice-Hall
                 International editions, Englewood Cliffs, NJ.

                 Leon Schiffman G., Lazar Kanuk L. (2004), Consumer Behavior:
                 International Edition (8th Ed.), Pearson Prentice Hall.

                 Media College. Open-ended Questions.
                 http://www.mediacollege.com/journalism/interviews/open-ended-
                 questions.html. Visited 18.04.2008.

                 Solomon, M. (2004). Consumer Behavior: Buying, Having and, Being (6 th
                 Ed.), FT Prentice-Hall Upper Saddle River, NJ

                 Solomon, M., Bamossy G., Askegaard S. (2002). Consumer Behavior: A
                 European Perspective (2nd Ed.), FT Prentice-Hall Upper Saddle River.

                 Wikipedia 2008. Opinion-poll. http://en.wikipedia.org/wiki/Opinion_poll.
                 Visited 18.04.2008.

                 Wikipedia 2008. Qualitative Methods.
                 http://en.wikipedia.org/wiki/Qualitative_methods. Visited 18.04.2008

                 Wikipedia 2008. Quantitative Methods.
                 http://en.wikipedia.org/wiki/Quantitative_research. Visited 18.04.2008

                 www.udel.edu/alex/chapt6.html, visited 21.04.08

                 http://tutor2u.net/business/marketing/buying_decision_process.asp, visited
                 09.05.08
HAAGA-HELIA                             Customer Behavior Study                              32(34)
Team F
Annika Austin                                        23.5.2009
Joni Lehto
Hezha Muhammad
Yulia Volkova




Appendices

Survey

We are conducting this survey to find out your exercise habits and preferences in order to create
a new innovative, effective and affordable training method for everyone, especially students.

Please take the time to fill out the questions below and remember to put your name and e-mail in
the end to participate in our wonderful FREE PERSONAL TRAINING PACKAGE-RAFFLE.

                                                   Strongly   Agree     Neutral   Disagree    Strongly
                                                    agree                                     disagree

I’m totally satisfied with my body

I read sports/health related magazines

I try to eat healthy

I pay attention to my looks

I like exercising

I use the internet as my primary source for
exercising information

I use sports supplements (vitamins, protein, fat
burner etc.)

A personal trainer is very useful and helpful in
achieving one’s physical goals?

I’m well aware of the job description of
Personal trainers


How often do you exercise?                            More than 3 times/week
                                                      2-3 times/week
                                                      Once a week
                                                      Occasionally
                                                      Rarely or never

What are your preferred ways of exercising?           Weight lifting
HAAGA-HELIA                           Customer Behavior Study                         33(34)
Team F
Annika Austin                                     23.5.2009
Joni Lehto
Hezha Muhammad
Yulia Volkova


(can choose more than one option)                  Aerobics
                                                   Running/Jogging
                                                   Other, specify

If you could decide, where would you exercise?     Health center (indoor)
                                                   Outdoors
                                                   Home
                                                   Other, specify



Your goals for exercising?                         Muscle gain
(choose 1-2 most important ones)                   Fat loss
                                                   Improving overall health
                                                   More attractive body
                                                   Other, specify

What are the biggest challenges for reaching       Lack of motivation
your physical goals?
                                                   Limited knowledge
(Rate the most important as 1 and the least
                                                   Lack of patience for results
important as 4)
                                                   Lack of time for exercising
                                                  Other, specify

What things are the most important to you in       Time saving
training?
                                                   Effective
(Rate the most important as 1 and the least
                                                   Individualized program
important as 5)
                                                   Healthy nutrition
                                                   Affordability

Most preferred ways of communication with a        Internet (website, e-mail, chat)
personal trainer?
                                                   Face-to-face
                                                   Other, specify

Which do you prefer more?                          Exercising alone
                                                   Training with a partner
                                                   Training in a group
                                                   Don’t exercise at all
HAAGA-HELIA                            Customer Behavior Study                               34(34)
Team F
Annika Austin                                       23.5.2009
Joni Lehto
Hezha Muhammad
Yulia Volkova


How much are you willing to pay for the services      Not willing to pay for such services
of a personal trainer through the internet?
                                                      Less than 100 €/month
                                                      100 – 200 €/month
                                                     Price is not an issue, only quality of the service
                                                   matters
                                                      Other, specify

If you would like to participate in a raffle with the possibility of winning a 4 week training
package with a personal trainer for free, please take the time to fill out the following:


  Name:

  Age:

  E-mail:

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Customer Behavior Report

  • 1. Customer Behavior Study: Personal trainer services Hezha Muhammad Yulia Volkova Annika Austin Joni Lehto
  • 2. Table of contents Introduction .................................................................................................................................... 3 Target Group................................................................................................................................... 3 Information search .......................................................................................................................... 6 Purchase.......................................................................................................................................... 7 Influencing factors .......................................................................................................................... 9 The buying situation .................................................................................................................... 9 Extensive problem-solving .......................................................................................................... 9 Limited problem-solving ........................................................................................................... 10 Automatic response ................................................................................................................... 10 Personal influences ....................................................................................................................... 10 Lifestyle ........................................................................................................................................ 11 Social influences ........................................................................................................................... 12 Survey .......................................................................................................................................... 13 Survey distribution and collection ............................................................................................. 14 Survey questions and analysis ................................................................................................... 15 Respondents satisfaction about their body ............................................................................. 15 Do respondents read sports/health magazines ........................................................................ 16 Eating healthy ....................................................................................................................... 16 Paying attention to looks ....................................................................................................... 17 Do our respondents like exercising ........................................................................................ 18 Receiving exercising information through the internet ........................................................... 19 Usage of sports supplements.................................................................................................. 20 Usefulness & awareness concerning personal trainers ............................................................ 21 Exercise frequency and challenges in meeting physical goals ................................................ 23 Reasons for exercising ........................................................................................................... 24 Most important things in training ........................................................................................... 25 Exercising preferences; how, with whom and where .............................................................. 26 How much willing to pay for such personal training services ................................................. 29 Conclusion .................................................................................................................................... 30 Sources ......................................................................................................................................... 31 Appendices ................................................................................................................................... 32 Survey....................................................................................................................................... 32
  • 3. HAAGA-HELIA Customer Behavior Study 3/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Introduction Business idea is offering personal training services to customers with different needs and health conditions. A personal trainer is a professional who educates people about physical fitness. Personal trainers are also referred to as quot;trainers,quot; but should not be confused with quot;athletic trainersquot;. Personal trainers typically design exercise routines and teach physical exercises to their clients. While some personal trainers work with only one client each session, others also teach groups of clients. Personal trainers typically work with clients to improve body composition (weight loss or muscle gain). They may also be hired for more specific goals, such as an increase in strength, muscular endurance, cardiovascular endurance, or flexibility. Some trainers are qualified to improve sports performance, including speed and power. While not as common, some trainers may also be qualified to work with people who need help with physical dysfunction, including the improvement of balance, range of motion, knee and shoulder issues, and those released from physical therapy. Personal trainers often also have a specific method of motivating clients. Common techniques for motivation include demeanor (some trainers have an aggressive and commanding demeanor; others are more calm and supportive; incentives for reaching goals; and positive re-framing or visualization. Understanding consumers on a deep level is significant in health and fitness industries. Therefore we need to analyze thoroughly fundamentals of our consumer behavior, describe buying process and identify different influences on their behavior. Main questions that we are going to take into consideration when studying our consumer are: who is important, how do consumers buy, what are their choice criteria, where do they buy and when do they buy (Jobber, 60). We are going to find answers to these questions through a survey, which is the most appropriate in this case, because there is not so much information about face-to-face and on-line personal training in Finland. Target Group Our consumers are people who buy personal training services and sports supplements as a tangible product for personal using. Target group consists of senior citizens (the biggest population group in Finland), young people, wealthy professional individuals, corporations, and average class people.
  • 4. HAAGA-HELIA Customer Behavior Study 4/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto According to Jobber (2001, 61) most of consumer purchases are individual, which means that a buyer makes decision to buy a product independently. Although decision-making can be done by certain group, where all members relate and influence each other. For instance, Engel, Blackwell and Miniard (2000) offer five roles, which can be taken by family members, work colleagues or other members of the buying center. 1. Initiator: the person who starts to think about purchase and gather information about personal training to help decision-making process. 2. Influencer: the person who is willing to make an effect on the outcome of decision-making. Also they present choice criteria. 3. Decider: the person who is in charge of making final decision about purchase of the product (most often it’s a customer who chooses needed fitness program , pays and uses it) 4. Buyer: the person who pays and influences delivery of the product (chooses the type of payment and as we have on-line service our customer doesn’t need to care about delivery, because he or she will just use the service through the internet). 5. User: the actual consumer who uses the product. However one person can take at the same time different roles. For example, he or she wants to look better by summer time and it motivates an individual to search for some options how to achieve this goal. After analyzing received information consumer chooses one of the programs we have, then makes a payment and finally uses it. So in this example consumer was initiator, decider, buyer and user at the same time. Decision-making process shows how consumer buys a product. According to Michael Solomon, Gary Bamossy and Soren Askegaard (2002) in this multipart process people first combine as much information as possible from what they already know about product, then analyze advantages and disadvantages of each alternative, and finally come up with a satisfactory decision. However Jobber (2001, 63) highlights that there is also final step of post-purchase evaluation of already made decision. But for the first step he offers to admit that there is a problem. For example, a person admits that he or she isn’t satisfied with condition of their body and that there is a need to start doing fitness. In addition, Blackwell, Miniard and Engel identify five steps which consumer can come through before purchase. These steps form consumer decision-making process.
  • 5. HAAGA-HELIA Customer Behavior Study 5/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Need recognition/ problem awareness Information search Evaluation of alternatives Purchase Post-purchase evaluation of decision Figure 1. , The consumer decision-making process Blackwell R.D, Miniard P.W, Engel J.F (2000) However Jobber (2001, 63) points that need recognition can be influenced by two issues: the size of difference between present and desired situation and importance of a problem. That means, for example, an individual has an obesity problem, he or she looks at attractive bodies in adverts and surely starts to want to have the same one, but the significance of the problem can be very low in comparison with other purchase needs (holidays or studying). Therefore even when the difference is big, person may not step up on information search, because the importance of a problem is small. Although, it can be the other way round, when the discrepancy between current and most wanted situation is small (consumer doesn’t have any problems with overweight, for instance) then he or she isn’t much motivated to use our on-line personal training service. If need recognition is strong enough, consumer starts to look for alternative ways of problem solution (Jobber, 2001; Kotler, 2003). As Jobber (2001) and Kotler (2003) suggest the search can be internal and external.
  • 6. HAAGA-HELIA Customer Behavior Study 6/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Firstly, consumer takes information from memory, in other words, appeals to internal source. Then, if there is still not enough information, external search begins. It falls into personal resources, such as family, friends, colleagues and commercial sources, for example advertisements. Information search There are two types of information search: Pre-purchase search, which a consumer may recognize a need and then search the market place for specific information and Ongoing search, which consumers enjoy to browse just for fun, or because they like to stay up-to-date on last news in the market place (Solomon, 2004). As Jobber (2001, 64) points out, the main purpose of information search is to build the awareness set. It means to make a list of possible options that may solve your problem. For example, it can look like this Face-to-face training On-line training Partner/group training In order to choose one option consumer should evaluate and compare alternatives, in other words step up the next stage of decision-making process. In this part consumer establishes criteria for evaluation, features the buyer wants or not. Also he/she ranks or weights alternatives or resumes the search. For instance person may decide to exercise with a wife/husband, so Partner/group training gets higher rank. Jobber (2001, 65) emphasizes that the first step in evaluation is to reduce the awareness set to a smaller list of options which deserves more serious consideration. The awareness set goes through different choice criteria to create an evoked set: short list of alternatives for careful evaluation. While assessing alternatives customer can use different choice criteria, such as price, reliability, popularity. In addition, Schiffman and Kanuk (2004, 559) state that customers while evaluating alternatives use two types of information: a “list” of brands (models) from which they make their selection (the evoked set) and the criteria they use to asses each brand or model. For example, a person, who aims to do some exercises for keeping fit and healthy, doesn’t know much about fitness programs, but he/she has 2-3 options, such as to go to gym, buy DVD to exercise at home and to take on-line course.
  • 7. HAAGA-HELIA Customer Behavior Study 7/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Let’s suppose that of these, two were acceptable possibilities and one wasn’t. Solomon, Bamossy and Askegaard (2002) name alternatives that are under consideration but not to be bought as inept set, whereas the ones that are not under consideration at all involve inert set. The criteria consumers use to evaluate the alternative products in their evoked set usually depends on important product attributes (Schiffman 2004). Instances can be price, trustworthiness, availability, health issues and diversity of choices. However, the research described by Schiffman and Kanuk (2004) shows that most often consumers looking for one option that performs “right” and feels good, don’t pay most attention to price and brand popularity, vise versa their final choice reflects their personality characteristics or childhood experiences; and it’s often “love at first sight”. However, a key determinant of the extent to which consumers estimate a product is their level of involvement. According to Jobber (2001; 65) involvement is a level of personal importance and significance that goes with the product choice. Thus when a purchase is very involving, the customer is going to carry out very extensive evaluation. High involving purchases include those ones which are expensive, important and have some degree of risk. On the contrary, low involvement purchases consist of simple evaluations and fast decision making. For example, when customer has a need to have cardio work out, he/she will have a pretty long evaluation trial, as this is a serious health issue and needs to be assessed thoroughly. When the customer eventually should make a product choice from among of alternatives, a number of decision rules may be used. For instance, Solomon, Bamossy and Askegaard (2002; 262) point out that there are non-compensatory and compensatory rules. Non-compensatory rules eradicate alternatives that aren’t efficient on criteria the consumer has chosen to use, whereas compensatory rules, which usually are applied in high involvement situations, let decision-maker consider each alternative’s pluses and minuses to achieve the best choice. Purchase Schiffman and Kanuk (2004; 569) also add that there are three types of purchases: trial purchases, repeat purchases, long-term commitment purchases. In details, when a person buys a product for the first time and buys it in small quantity, this purchase is considered to be a trial. For example, in our on-line personal training web site we are going to have trial courses for just familiarizing customers with different programs.
  • 8. HAAGA-HELIA Customer Behavior Study 8/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto We think it’s a really effective way to conquer customer’s attention and loyalty. When a new type of product is found by trial to be better than other products, costumers are likely to repeat the purchase. Typically the repeat purchase confirms that the product has met costumer’s approval. In our case, it’s possible to buy different programs for different periods of time. If people like them, they will wait for new courses and use our service more and more that stimulates customer’s loyalty. In addition, long- term commitment purchases don’t fit our company because we don’t provide durable goods like refrigerators, cars or electric ranges. As our business operates on-line, we should research also how usage of the Internet affects consumer’s decision-making. According to Schiffman and Kanuk (2004; 565) it is often suggested that because consumers have limited information-processing capacity, they must develop a choice strategy based both on individual factors, such as knowledge, personality traits and contextual factors, like characteristics of the decision tasks. Also they stated that there are three contextual factors: task complexity, information organization and time constraint. That means in on-line environment the information is more available, there are more alternatives and more information regarding each alternative. Besides, information giving is more flexible and time is saved by using computers to apply decision rules. Finally there is post purchase evaluation of decision. It’s common for customers to feel not confident about their purchase; they doubt whether it was right to buy our service or whether they chose the best type of work out for them. This goes from the concept named “cognitive dissonance”. A customer having bought the product can feel that the other alternative would be better. In this case a customer won’t repurchase, but may change the kind of product or company at all next time. To make consumers feel right about their purchase is the target of marketers, who should make potential buyers think that the product will meet their expectations. After having done the purchase, customer should be also persuaded that he/she has done the right decision. For instance, it’s easy to do for on-line personal training company, where we can post in the web site pictures of people who already have used our service and achieved considerable results. This will encourage our customers to use the program they chose at most and with pleasure.
  • 9. HAAGA-HELIA Customer Behavior Study 9/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Influencing factors Influencing factors in the consumer decision-making process and its outcome can be classified under three headings (Jobber and Lancaster 2003):  the buying situation  personal influences  social influences The buying situation Different kinds of buying situations are identified to be of three major types (Howard and Sheth 1969):  extensive problem-solving  limited problem-solving  automatic response Extensive problem-solving When customers are faced with a need that is new to them, requires expensive means to be satisfied or otherwise raises high uncertainty in the consumer's mind, the consumer is likely to use extensive problem- solving. Extensive problem-solving involves a high degree of information search and close examination of alternative solutions (Jobber and Lancaster 2003), exactly like finding the best price-quality service in the current fragmented field of health clubs (see Hill 2004). With buyers that are in dire need of information, for example about exercising and alternative personal trainers, the salesperson can create immense goodwill by providing information and assessing alternatives from the product range in terms of how well their benefits conform to the buyer's needs. The goodwill generated in such a situation may be rewarded by a repeat purchase when the buying situation changes to limited problem-solving. (See Jobber and Lancaster 2003.) Put in practical terms, being the first to be very helpful to a customer seeking information about the possibilities of personal training can attract highly loyal customers.
  • 10. HAAGA-HELIA Customer Behavior Study 10/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Limited problem-solving Limited problem-solving occurs when the consumer has some experience with the product in question and may be inclined to stay loyal to the brand previously purchased. However, a certain amount of information search and evaluation of a few alternatives occurs as a rudimentary check that the right decision is being made. This provides a limited opportunity for salespeople of competing products to persuade consumers that they should switch service provider by providing relevant comparative information and for example by providing risk- reducing guarantees. (Ibid.) Automatic response Automatic response purchases happen when the customer feels certain that there is no pressing reason to conduct any information search before buying (Jobber and Lancaster 2003). In terms of personal training service this could mean a customer that has possibly tried out many of the alternative providers, but even if not, has his or her personal reasons to stay with a certain provider. For an internet personal training service, this means people who are limited on time, money or capabilities to travel to cities where competitors would be located, and feel that the level of service provided is both sufficient to their personal needs and is better or close enough to the level provided by competitors. The situation is of course changed when competitors would start entering the personal training cyberspace; from that point onwards being the first isn't enough and methods like advertising should be used to keep the brand in the forefront of the consumer's mind and reinforce favourable attitudes towards the company. Personal influences Personal influences concern the psychology of the individual consumers. Relevant concepts include personality, motivation, perception and learning. Although personality may explain differences consumer purchasing, reliable personality measurement has proved difficult, even for qualified psychologists. (Ibid.) Brand personality is the characterisation of brands as perceived by consumers.
  • 11. HAAGA-HELIA Customer Behavior Study 11/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Brands may be characterised for example as 'for young people' (Levis) or 'intelligent' (Guinness). By creating a brand personality, a marketer may create appeal to people who value that characterisation. Research into brand personalities of beers showed that most consumers preferred the brand of beer that matched their own personality (Ackoff and Emsott 1975). Buzzotta et al. (1982) proposed a two-dimensional approach to understanding buyer psychology. They suggest that everyone tends to be warm or hostile and dominant or submissive, and salespeople benefit from adjusting their behaviour accordingly. Also as buyer motivations can vary, different kinds of sales or marketing efforts succeed in attracting different kind of customers. The real motives for purchase may be obscure, but when found, they can be used to increase buyer motivation by stimulating need recognition, by showing the ways in which needs can be fulfilled. These may be functional, for example, time saved by not having to travel to meet the personal trainer, or psychological, e.g. the status imparted by having a great-looking body. (See Jobber and Lancaster, 2003.) As consumers have different motivations to buy the same service, one consumer may perceive the same marketing efforts as being honest and appealing while another may not. In general, people tend to forget more quickly and to distort and to distort or avoid messages that substantially differ from their existing attitudes. Learning is also important in consumer decision-making. Learning refers to the changes in a person's behaviour as a result of his or her experiences. A consumer will learn which brand names imply quality and which salespeople to trust. Lifestyle Lifestyle refers to the patterns of living as expressed in a person's activities, interests and opinions. Lifestyle analysis, or psychographics, groups people according to their beliefs, activities, values and demographic characteristics such as education and income. There is a multitude of different psychographics for different purposes. For example, Research Bureau Ltd, a UK marketing research agency, investigated lifestyle patterns among housewives and found eight distinct groups.
  • 12. HAAGA-HELIA Customer Behavior Study 12/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Lifestyle analysis has implications for marketing since lifestyles have been found to correlate with purchasing behaviour (Jobber and Lancaster 2003). A company may choose to target a particular lifestyle group with a product offering, and use advertising which is in line with the values and beliefs of this group. As information on readership/viewing habits of lifestyle groups becomes more widely known it affects the media selection used in conjunction with lifestyle research. Social influences According to Kotler and Armstrong (2006) and Jobber and Armstrong (2003) major social influences on consumer decision-making include social class, reference groups, culture and the family. Social class has been regarded as an important determinant of consumer behaviour for many years, but doesn't play such a role in Nordic countries like Finland, where the income levels are more evenly spread. The term 'reference group' is used to indicate a group of people that influences a person's attitude or behaviour. Where a product is conspicuous, for example, clothing or cars, the brand or model chosen may have been strongly influenced by what the buyer perceives as acceptable to his or her reference group (e.g. a group of friends, the family, or work colleagues). Reference group acceptability should not be confused with popularity. As personal training is a fragmented and not brand-oriented industry (see Hill and Jones 2004), acceptability by reference group carries a smaller influence there. However, it could still influence the decision whether to use a personal trainer in the first place. Culture refers to the traditions, taboos, values and basic attitudes of the whole society within which an individual lives (Jobber and Lancaster 2003). When marketing to a cultural group that matches one's own, the cultural aspects tend to be taken into accord automatically. When marketing to a group of different cultural background, more emphasis has to be put on the proper conduct of business. In Arab countries, for example, salespersons may find themselves conducting a sales presentation in the presence of a competitor's salesperson. In France chocolate is sometimes eaten between slices of bread. Family members can strongly influence buyer behaviour. The family is the most important consumer buying organization in society, and it has been researched extensively. (Kotler and Armstrong 2006.)
  • 13. HAAGA-HELIA Customer Behavior Study 13/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto The decision as to which product or brand to purchase my be a group decision, with each family member playing a distinct part: for example husband might choose the model for the new car, wife would choose the colour and children might have a strong say in what cereals to buy. When a purchase is a group decision, a salesperson will be wise to view the benefits of his or her service in terms of each of the decision-makers or influencers. (Ibid.) When advertising for a personal training service which aims to improve the overall health of all participants and even whole families, the advertisements should vary according to the media they are presented with: in Finland the TV channel Jim displays a lot of programs for fathers about for example home renovation, whereas many home and family magazines find their ways to the hands of mothers across the country. Survey A survey was needed in our group, because there is not a lot of previous/secondary information about personal training either from face- to-face or via internet personal training. Our survey consists of quantitative questions and close-ended questions. The advantage of using a survey is its flexibility and it yields a wide range of data (Jewell, pp. 207). Quantitative research is a scientific way of research, since the results may be mathematically calculated. The process of measurement is central to the quantitative research (Wikipedia, 2008). Close-ended questions are closely related to the quantitative questions, since they are easier to be measured scientifically. A closed-ended question is a question, which can be answered with a simple “yes or “no” dichotomous question (Jewell, pp. 209). The closed- ended question is a specific, simple piece of information. Example of quantitative/close-ended question: Is exercising a waste of time? -- Yes The survey will be available to be filled out and answered by any one within the Haaga-Helia building. Because of this we are using the non- probability sampling which means that individuals are selected on one or more criteria determined by the research (Jewell, pp. 210).
  • 14. HAAGA-HELIA Customer Behavior Study 14/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Our criterion is the location where the survey will be filled out. In non- probability sampling it is not possible to state a sampling error (Ibid). Non-response bias needs to be taken into consideration as well. Not all of the people that we ask to answer our survey will have the interest or time to fill it out. If the people that refuse to answer our survey have the same characteristics as the people that do answer, the final results will be unbiased (Wikipedia, 2008). However, if the people have different opinions and lifestyle, there will be bias in the results. This will be needed to take ito consideration when analysing the results of the survey. Response bias is something that also affects our survey results and the analysis of them. The survey results may be distorted due to the fact that some answers given by respondents do not reflect their true beliefs and lifestyle (Wikipedia, 2008). Since our survey is about exercise and nutrition respondents may answer in an untruthful way. This may happen, because our respondents may want to exercise four times a week, but exercise only once a week and they answer accordingly to their desires instead of the truth. Therefore the respondents may answer the questions according to the lifestyle they would like to have, instead of answering what is fact. This needs to be taken into consideration when making conclusions of the survey results. Also we will try to have as many participants as possible, in order to have as reliable information as possible and this way there will be less room for misleading outcome. Ethical issues need to be taken into consideration when making a survey and having respondents answering the questions. First of all, no one will be forced to answer any of the questions. The respondents need to have the opportunity to answer anonymously and answers need to be confidential. Also the questions need to be simple and worded clearly, in order for the respondent to fully understand the questions. Most importantly the participants need to know why the survey is taking place and what the information they provide for us will be used for. This way they may refuse if they do not want to take part in our survey. Survey distribution and collection Survey was conducted mainly in the Haaga-Helia and SLK building and also using a online based survey (created by ourselves). We succeeded into getting 155 respond by paper and 18 respond through the online survey, so all together 173 responds.
  • 15. HAAGA-HELIA Customer Behavior Study 15/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto We feel that that this is enough to give us some kind of a direction concerning the needs of the target customers, since the business would concentrate first to provide the personal training services to Haaga-Helia and SLK student and staff. Survey questions and analysis Respondents satisfaction about their body This question was to indentify the satisfaction of the respondents about their own body. 53 % of the respondents said that they are very satisfied with their current physique, however almost a quarter (23 %) said they were not satisfied fully with their body. Combining this info along with results from question 4, we can see that 82 % of the respondents pay attention to their looks and only 4 % don’t pay attention to it, so this means that there are plenty of people who want to improve their looks but aren’t satisfied yet, which in turn gives us an opportunity to serve their needs. I’m totally satisfied w ith m y body Strongly Strongly disagree agree 3% 7% Disagree 20 % Agree 46 % Neutral 24 % Question 1
  • 16. HAAGA-HELIA Customer Behavior Study 16/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Do respondents read sports/health magazines Question 2 was about knowing whether our respondents, who are also our target customers reading sport or health related magazines, we wanted to know this, because we would use that information for marketing of our services, but since the results showed that only 24 % agreed with reading sports or health related magazines, we can’t concentrate our marketing effort and budget for advertising through this marketing channel, since it wouldn’t be used effectively to reach our target customers. The fact that 76 % were either neutral or not reading these magazines, means that they are way too busy to consume their time in doing that. I read sports/health related m agazines Strongly Strongly agree disagree 8% 23 % Agree 16 % Disagree 25 % Neutral 28 % Question 2 Eating healthy Knowing whether or not our respondents pay attention to their eating habits and what they consume and it seems that they are very aware of healthy eating, because 70% of respondents answered that they try to eat healthy which totally correlates with results received from question 1 and 4.
  • 17. HAAGA-HELIA Customer Behavior Study 17/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto I try to eat healthy Strongly disagree 2% Strongly Disagree agree 6% 22 % Neutral 22 % Agree 48 % Question 3 Paying attention to looks As mentioned in relation with question 1, question 4 was about the amount of respondents who pay attention to their looks and majority pay a lot of attention to their looks, proven by 82 % of the respondents claiming so in the survey.
  • 18. HAAGA-HELIA Customer Behavior Study 18/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto I pay attention to m y looks Strongly disagree 2% Disagree Strongly 2% agree Neutral 18 % 14 % Agree 64 % Question 4 Do our respondents like exercising Our survey respondents say they like exercising, 72 % claims to like exercising which is a positive, because there is willingness to exercise due to the reasons identified in the previous questions, only 11 % said they don’t like exercising at all.
  • 19. HAAGA-HELIA Customer Behavior Study 19/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto I like exercising Strongly disagree 2% Disagree 9% Strongly agree Neutral 31 % 17 % Agree 41 % Question 5 Receiving exercising information through the internet It seems that our respondents are open to receiving their exercising information through the internet, since 33 % of the respondents said they currently get their exercising information primary from the internet and also it’s possible that the 26 % who were neutral about the question, would be open to persuasion. This is encouraging because the web-based health services and personal training services are almost non-existent in Finland, so this gives hope for possible importation of the service model to the Finnish society.
  • 20. HAAGA-HELIA Customer Behavior Study 20/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto I use the internet as m y prim ary source for exercising inform ation Strongly Strongly disagree agree 10 % 10 % Agree 23 % Disagree 31 % Neutral 26 % Question 6 Usage of sports supplements This is a valuable piece of information retrieved from this question in the survey, since it clearly tells us that the target customers of ours are not using sports supplements (74%) strongly disagreed or disagreed when asked whether using sports supplements or not, so this tell us that the willingness to give sports supplements a try is limited, hence we might even opt to eliminating sports supplements from our offering even before starting the business, since only 11 % are using sports supplements currently.
  • 21. HAAGA-HELIA Customer Behavior Study 21/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto I use sports supplem ents (vitam ins, protein, fat burner etc.) Strongly agree 1% Agree 10 % Neutral Strongly 15 % disagree 44 % Disagree 30 % Question 7 Usefulness & awareness concerning personal trainers A personal trainer is very useful and helpful in achieving one’s physical goals? Strongly disagree 5% Strongly agree Disagree 17 % 5% Neutral 30 % Agree 43 % Question 8
  • 22. HAAGA-HELIA Customer Behavior Study 22/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto These two questions were to indentify the perception of consumers towards personal trainer’s and how much they know about the duties of a personal trainer, it was encouraging to see that 60% of the respondents thought that a personal trainer was very useful and only 10% deemed personal trainer not useful, while 30% being neutral, which explains also from the next question that 32% felt neutral about the knowledge about personal trainers, we feel this 30-32 % is untapped, which are open to new suggestions as long as they are aware of the personal trainer’s duties and benefits. Almost half (46%) of the respondents felt that they are well aware of the job descriptions of a personal trainer and looking further into our survey, we found that those who saw personal trainer’s useful, they also said that they were aware of the duties of personal trainer, so increasing awareness is very important for a profitable and growing business. I’m w ell aw are of the job description of Personal trainers Strongly Strongly disagree agree 4% 10 % Disagree 18 % Agree 36 % Neutral 32 % Question 9
  • 23. HAAGA-HELIA Customer Behavior Study 23/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Exercise frequency and challenges in meeting physical goals We wanted to know the frequency in respondents training and it became clear that 59% of the respondents workout at least 2 times a week, actually 17% even works out 3 or more times per week, which is encouraging since that means that our target customers do exercise and going back to question 5, they also like exercising. 27% said they exercise occasionally or rarely, so this group of people we need to encourage more by increasing their awareness about health benefits and improved working ability with a health body. How often do you exercise w eekly Rarely or never More than 3 6% times 17 % Occasionall y 21 % Once a w eek 14 % 2-3 times 42 % Question 9 As you can see from the next question that we wanted to know what are the biggest challenges in achieving their physical goals were lack of motivation and lack of time for exercising, this is excellent for our company because we can separate ourselves from other personal trainer’s by providing the fastest and energetic workouts possible and this is made possible by the respondents telling us that limited knowledge was the smallest of the challenges.
  • 24. HAAGA-HELIA Customer Behavior Study 24/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Meaning our target customers know about training basics and don’t need constant hand holding, so we can provide this to them through our interactive personal training website. Biggest challenges for achieving physical goals 258 244 217 Lack of motivation Rating scale Limited know ledge 127 Lack of patience for results Lack of time for exercising Question 12 Reasons for exercising In here we wanted to know the reasons for them exercising and we found that 21% did it to lose excess fat, 41% did it for improving their overall health, 22% did it for a more attractive body and only 12% did it for pure muscle gain. We can see that these are not a group of people that want excess muscle mass; they want to look lean, attractive and be healthy. This is important for example in the case of website design; we shouldn’t design the website to be too competitive looking, filled with muscles and huge bodybuilders. We should concentrate on convening the message of health, beauty and energy with their corresponding colours and themes.
  • 25. HAAGA-HELIA Customer Behavior Study 25/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Reasons for exercising Other Muscle gain More 4% 12 % attractive body 22 % Fat loss 21 % Improving overall 41 % Question 10 Most important things in training This question didn’t really help us, since the only thing that stood out from this is that the most important thing for the respondents was that the exercise that they do is effective. Other answering options got pretty much the same amount of points.
  • 26. HAAGA-HELIA Customer Behavior Study 26/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Which things are the m ost im portant to you in training 254 Time saving 168 Rating scale 160 161 157 Effective Individualized program Healthy nutrition Affordability Question 13 Exercising preferences; how, with whom and where These three question responses had to be put together since, they are connected, more so than the other questions. First it was surprising to find out that only 26% wanted to exercise alone and 70% wanted to workout either with a partner or in a group. Also their preferred ways of exercising was 34% running/jogging and 36% had other things preferred, such as team sports, group weight lifting etc. Only 16% chose strictly weight lifting.
  • 27. HAAGA-HELIA Customer Behavior Study 27/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Which do you prefer m ore? To not exercise at all ; 4 % Exercising alone; 26 % Training in a group ; 34 % Training w ith a partner ; 36 % Question 14 Also 55 % wanted to workout outdoors and 28% indoors or in a health club/gym. There were some people who wanted to workout at home (15%). So to the majority of the respondents we need to come up with a service that is able to combine their need to be with others while training and have something other than just weight lifting also. For this we need to be present ourselves while conducting the classes or sessions, but then again we simply charge more for those services, without eliminating a possible target group.
  • 28. HAAGA-HELIA Customer Behavior Study 28/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto If you could decide, w here w ould you exercise? Other Health Home 2% center(indo 15 % or) 28 % Outdoors 55 % Question 16 Preferred w ays of exercising Weight lifting 16 % Other 36 % Aerobics 14 % Running/Jo gging 34 % Question 17
  • 29. HAAGA-HELIA Customer Behavior Study 29/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto How much willing to pay for such personal training services Last but not least, was to find out how much are our respondents willing to pay for our services through the internet. 45% weren’t willing to pay for personal training services through the internet 36% were willing to pay less than 100 €/month for such services 2% were willing to pay 100-200 €/month 6% said price not an issue, if quality is good 11% said other, such as 10€, 20€, 40€, 80€ a month How m uch are you w illing to pay for the services of a personal trainer through the internet Other 11 % Price not an issue, quality is w hat matters 6% 100-200€ Not w illing 2% to pay 45 % Less than 100€ 36 % The response was not great, but good since there are people willing to try such services although it’s almost non-existent in Finland, specially the internet based service. So again increasing personal training services and job description awareness is going to benefit us in the future and keep bringing us people, that might have been unaware or prejudice about our services.
  • 30. HAAGA-HELIA Customer Behavior Study 30/34 Team F Hezha Muhammad 15.5.2008 Yulia Volkova Annika Austin Joni Lehto Conclusion We found this study very useful, since at least some of our group members will be making an actual business based on these findings. The survey gave us a lot of insight about our target customer training preference, frequency and willingness to use personal training services. The survey was so useful, that without that some mistakes would have been made in the business that now will not be done, thanks to the survey results. Consumer behaviour is very important to know, no matter which line of business you are in or entering into. Customer knows best and we have to cater to their needs and demands. Survey conclusion is that our target customers: Majority workout 2 or more times per week > active people Students > so they don’t have much time, workouts need to be effective, fun and short Students have low income levels, hence they are not able to pay high amount for personal training services, but more than half are willing to pay as long as it’s less than 100€ per month They want group and pair workout sessions, so we have to design such service products for those people They are not looking to be a bodybuilder. They are mainly concentrating on being fit, healthy and having fun while training. Overall the customer behaviour report along with the theory and survey results will give a much better ground for success if one chooses to enter the personal training market and an interactive web-based one with using the information retrieved in this study.
  • 31. HAAGA-HELIA Customer Behavior Study 31(34) Team F Annika Austin 23.5.2009 Joni Lehto Hezha Muhammad Yulia Volkova Sources Constantinides, Efthymios (2004), “Influencing the online consumer’s behavior: the Web experience”, vol.14 No 2, pp. 111- 126 Jewell, Bruce R. 2000. An Integrated Approach to Business Studies. Fourth Edition. Harlow: Addison Wesley Longman Limited. Jobber, David 2001. Principles and Practice of Marketing. Third edition. London: McGraw-Hill. Kotler, P. (2003), Marketing Management, 11th ed., Prentice-Hall International editions, Englewood Cliffs, NJ. Leon Schiffman G., Lazar Kanuk L. (2004), Consumer Behavior: International Edition (8th Ed.), Pearson Prentice Hall. Media College. Open-ended Questions. http://www.mediacollege.com/journalism/interviews/open-ended- questions.html. Visited 18.04.2008. Solomon, M. (2004). Consumer Behavior: Buying, Having and, Being (6 th Ed.), FT Prentice-Hall Upper Saddle River, NJ Solomon, M., Bamossy G., Askegaard S. (2002). Consumer Behavior: A European Perspective (2nd Ed.), FT Prentice-Hall Upper Saddle River. Wikipedia 2008. Opinion-poll. http://en.wikipedia.org/wiki/Opinion_poll. Visited 18.04.2008. Wikipedia 2008. Qualitative Methods. http://en.wikipedia.org/wiki/Qualitative_methods. Visited 18.04.2008 Wikipedia 2008. Quantitative Methods. http://en.wikipedia.org/wiki/Quantitative_research. Visited 18.04.2008 www.udel.edu/alex/chapt6.html, visited 21.04.08 http://tutor2u.net/business/marketing/buying_decision_process.asp, visited 09.05.08
  • 32. HAAGA-HELIA Customer Behavior Study 32(34) Team F Annika Austin 23.5.2009 Joni Lehto Hezha Muhammad Yulia Volkova Appendices Survey We are conducting this survey to find out your exercise habits and preferences in order to create a new innovative, effective and affordable training method for everyone, especially students. Please take the time to fill out the questions below and remember to put your name and e-mail in the end to participate in our wonderful FREE PERSONAL TRAINING PACKAGE-RAFFLE. Strongly Agree Neutral Disagree Strongly agree disagree I’m totally satisfied with my body I read sports/health related magazines I try to eat healthy I pay attention to my looks I like exercising I use the internet as my primary source for exercising information I use sports supplements (vitamins, protein, fat burner etc.) A personal trainer is very useful and helpful in achieving one’s physical goals? I’m well aware of the job description of Personal trainers How often do you exercise? More than 3 times/week 2-3 times/week Once a week Occasionally Rarely or never What are your preferred ways of exercising? Weight lifting
  • 33. HAAGA-HELIA Customer Behavior Study 33(34) Team F Annika Austin 23.5.2009 Joni Lehto Hezha Muhammad Yulia Volkova (can choose more than one option) Aerobics Running/Jogging Other, specify If you could decide, where would you exercise? Health center (indoor) Outdoors Home Other, specify Your goals for exercising? Muscle gain (choose 1-2 most important ones) Fat loss Improving overall health More attractive body Other, specify What are the biggest challenges for reaching Lack of motivation your physical goals? Limited knowledge (Rate the most important as 1 and the least Lack of patience for results important as 4) Lack of time for exercising Other, specify What things are the most important to you in Time saving training? Effective (Rate the most important as 1 and the least Individualized program important as 5) Healthy nutrition Affordability Most preferred ways of communication with a Internet (website, e-mail, chat) personal trainer? Face-to-face Other, specify Which do you prefer more? Exercising alone Training with a partner Training in a group Don’t exercise at all
  • 34. HAAGA-HELIA Customer Behavior Study 34(34) Team F Annika Austin 23.5.2009 Joni Lehto Hezha Muhammad Yulia Volkova How much are you willing to pay for the services Not willing to pay for such services of a personal trainer through the internet? Less than 100 €/month 100 – 200 €/month Price is not an issue, only quality of the service matters Other, specify If you would like to participate in a raffle with the possibility of winning a 4 week training package with a personal trainer for free, please take the time to fill out the following: Name: Age: E-mail: