Mass customization is a research field which is already well established from a manufacturer viewpoint. Curiously, there is a marginal amount of research studies covering the consumers’ viewpoint and researchers argue that much more research is needed to understand the consumer behavior in terms of mass customization. From a consumers’ viewpoint mass customization can be seen as the production of goods for a relatively large market, which meets exactly the needs of each individual customer with regard to certain product characteristics (differentiation option), at costs roughly corresponding to those of standard mass-produced goods (cost option).
The main purpose of this study was an investigation of relationships between the purchase of mass customized products and demographic and psychological influence factors. Therefore, the study gave an answer on the question whether German consumers had an interest in purchasing mass customized products and what demographic and psychological factors influence the tendency to purchase mass customized products. The reader should have got an impression of the topic of mass customization from a consumer perspective. Therefore the author surveyed 519 German consumers with the help of a self-administered online survey in order to investigate their attitudes toward mass customized products, their willingness to invest additional time and money for MCP and their perceived risk on customized products. The study was conducted on German respondents to discuss similarities and differences to previous studies on the US market as well as a comparison of the UK and Turkish market regarding consumer attitudes and readiness. This study offers practical insights for companies that want to address potential consumers of customized products and gives useful hints for determining suitable target groups for mass customized products.
Table of Contents
1 Mass Customization – A new Marketing Strategy?
1.1 The Origin of Mass Customization
1.2 Purpose of the Work and Research Questions
1.3 Limitations
2 Mass Customization and Psychological Influence Factors
2.1 Introducing the Phenomenon of Mass Customization
2.2 Definition and Classification of Mass Customization
2.3 Consumer Decision-Making Process
2.4 Psychological Influence Factors on Consumer Behavior
2.4.1 Motivation and Personality
2.4.2 Attitude
2.4.3 Readiness
2.4.4 Perceived Risk
2.5 Conceptual Framework
3 Research Methodology
3.1 Type of Research Design
3.2 Sample, Population, and Participation
3.3 Data Collection Instruments, Variables, and Materials
3.4 Data Analysis Procedures
4 Results and Data Analysis
4.1 The Need for Uniqueness for Explaining the Purchase of MCP
4.2 Demographic Influence Factors for Explaining the Purchase of MCP
4.2.1 Age
4.2.2 Gender
4.2.3 Income
4.2.4 Level of Education
4.3 Consumer Attitudes and the Purchase of MCP
4.4 Consumer Readiness and the Purchase of MCP
4.5 Consumers’ Perceived Risk and the Purchase of MCP
4.6 The Tendency to Purchase MCP
5 Concluding Discussion
5.1 Conclusion
5.2 Discussion and Outlook
Research Objectives & Topics
The primary objective of this thesis is to investigate the potential influence factors on the purchase of mass-customized products from a psychological perspective, specifically focusing on German consumers. The research aims to answer whether there is a market interest for such products in Germany and which demographic and psychological variables drive the consumer's tendency to choose mass customization over standardized alternatives.
- Psychological influence factors (Attitude, Readiness, Perceived Risk)
- Impact of demographic variables (Age, Income, Education, Gender)
- Customer Customization Sensitivity and the Sacrifice Gap
- Consumer Decision-Making Process in the context of mass customization
- Market comparison and behavioral analysis of German respondents
Excerpt from the Book
1.1 The Origin of Mass Customization
It is not time long ago since companies could grow amazingly through mass production and standardized processes. This strategy was a huge competitive advantage over other companies producing in the traditional way. But over the years much more companies adopted this strategy resulting in an increasingly turbulent market environment. Consumers were confronted with a wide range of nearly the same products only differing in price. To prevent from a pure price competition, companies started to focus more on the customer instead of the product. Of course, there have always been two kinds of strategy, either concentrating on mass production or on custom made products. But the development of the business world during the last decade showed a new trend of production strategies. Companies realized that consumers have heterogeneous wants and desires and, thus, they tried to blend these two different kinds of strategy but not through reducing the number of units. Rather they tried to keep their mass production, though considering individual preferences of consumers. In this way they retained the principles of mass production while tailoring the products differently for each and every consumer. They established a new and somewhat revolutionary strategy of market segmentation, often called “mass customization”, “personalization” or “one-to-one marketing”. The core of mass customization is a tremendous increase in variety and customization without a corresponding increase in costs.
Summary of Chapters
1 Mass Customization – A new Marketing Strategy?: This introductory chapter outlines the transition from traditional mass production to mass customization and defines the research purpose and questions for the thesis.
2 Mass Customization and Psychological Influence Factors: This chapter provides the theoretical framework, detailing the definition of mass customization, the consumer decision-making process, and key psychological constructs like motivation, attitude, readiness, and perceived risk.
3 Research Methodology: This section explains the study’s design, detailing the use of a quantitative online survey conducted among 519 German consumers to test the established hypotheses.
4 Results and Data Analysis: This chapter presents the empirical findings regarding the need for uniqueness, demographic influence factors, consumer attitudes, readiness, and perceived risk, alongside an analysis of the purchasing tendencies.
5 Concluding Discussion: The final chapter summarizes the main findings, discusses the implications for marketers and companies, and provides an outlook on the future of mass customization.
Keywords
Mass Customization, Consumer Behavior, Psychological Factors, Market Segmentation, Customer Customization Sensitivity, Attitude, Readiness, Perceived Risk, German Market, Personalization, One-to-one Marketing, Uniqueness, Quantitative Research, Purchase Decision, Demographic Variables.
Frequently Asked Questions
What is the core focus of this master thesis?
The thesis explores the consumer perspective on mass customization, specifically within the German market, investigating how various psychological and demographic factors influence the decision to purchase mass-customized products.
What are the primary themes discussed in the work?
The central themes include the psychological drivers behind consumer choice, such as the need for uniqueness, the impact of perceived risk, and consumer readiness to invest extra time or money for customized goods.
What is the main research question?
The study aims to determine if there is an interest in mass-customized products among German consumers and which demographic and psychological factors influence the likelihood of a purchase.
Which scientific methodology was utilized?
The author conducted a quantitative study using a self-administered online survey of 519 German respondents, analyzing the data through various statistical tests like the t-test, u-test, and bivariate correlation.
What topics are covered in the main body?
The main body focuses on theoretical reviews of mass customization, an explanation of the consumer decision-making process, the development of research hypotheses, and the empirical analysis of survey data compared to international benchmarks.
Which key terms characterize this research?
Keywords include mass customization, consumer behavior, customization sensitivity, psychological influence factors, and purchase intent, among others.
How does the German market differ in this context?
The author notes that German consumers show specific cultural traits, such as higher uncertainty avoidance and price sensitivity, which lead to different results compared to previous studies conducted in the US, UK, or Turkish markets.
What was the conclusion regarding "need for uniqueness"?
Interestingly, the study found no significant differences in the need for uniqueness between purchasers and non-purchasers, suggesting that the benefit of custom products is valued more for functional reasons than for pure uniqueness in Germany.
How did perceived risk affect purchasing behavior?
The study found that while participants generally perceived a high level of risk, it did not significantly influence the willingness to invest time or money, indicating that consumers are more focused on the potential benefits of the product.
- Quote paper
- Master of Science Joscha Köllner (Author), 2007, Mass customization and consumer behavior - A case study from a german consumer perspective, Munich, GRIN Verlag, https://www.grin.com/document/91360
