What is the Buying Lifecycle?
Buying Lifecycle is defined as the process or stages that a customer undergoes to purchase a product or service. Generally speaking, the buying lifecycle consists of Awareness, Consideration, Purchase and Usage.
1. Awareness Stage
A customer realizes or appreciates a need or desire for a product or service. In direct marketing, the company attempts to convince a customer of the need — through advertisements, unsolicited emails, cold calls or direct mail. In other cases, some trigger or event may cause the customer to perceive a need or initiate interaction with the company. The seller or service provider introduces a product or service as the solution.
2. Consideration Phase
The customer inquires into the product, service or the company providing it. Consideration may include research of product or service reviews and testimonials by those who already have received the item or service and competitors and their offerings. Marketing to a customer during the consideration stage also involves detailed descriptions (and visuals) of the merchandise or offering.
Between consideration and purchase, the company may offer a free trial of the product or use period of the service.
3. Purchase Stage
As a customer enters the purchase stage, the marketing content may include the price (regular and any applicable sale price), discounts and payment or financing plans.
4. Usage Stage
Marketing in the usage stage involves follow-ups, satisfaction surveys and responding to technical or use support requests. Typically, this is streamlined using a CRM software that automates sales and service tasks.