Essentiality of non-essential purchases for digitally influenced bottom of pyramid customers
Faculty / School
Faculty of Business Administration (FBA)
Department
Department of Marketing
Was this content written or created while at IBA?
Yes
Document Type
Article
Source Publication
Business & Economic Review
ISSN
2519-1233
Keywords
Bottom of pyramid, Non-essential purchases, Controlled motivation, Self-determination, Subjective well-being
Disciplines
Business Administration, Management, and Operations | Business Intelligence | E-Commerce | Marketing
Abstract
This paper aims to broaden the understanding why bottom of pyramid customers in Pakistan purchases non-essential items despite their financial constraints. Qualitative data was collected through in-depth interviews from a purposive sample of 14 respondents. NVivo 12 was used to analyze data. In the light of self-determination theory, this hermeneutic inquiry suggests that bottom of pyramid customers who are negatively stereotyped on account of their consumption inadequacy, have a specific need to improve self-worth. They struggle to engage in socially relevant consumption practices, to avoid social exclusion. Internet increases their awareness about products that they consider necessary for a minimal level of decent living. This digital influence transforms their consumer behavior. Since consumer culture does not adequately define what makes up a minimally decent living, bottom of pyramid customers will keep on aspiring products that they perceive as socially relevant for a better lifestyle. These reasons make ‘non-essential’ purchases extremely essential and relevant for bottom of pyramid customers. This practice is observed in more affluent people too, however, the sacrifices that bottom of pyramid customers make in order to fulfill their need for a more respectable social standing, are relatively more critical than the trade-off that more affluent people make among their choices. This research will enable marketers to understand value requirements of bottom of pyramid customers more deeply and create more precise value propositions.
Indexing Information
HJRS - X Category
Citation/Publisher Attribution
Reza , Fariha & Amir , Huma. Essentiality of non-essential purchases for digitally influenced bottom of pyramid customers . Business & Economic Review, v. 12, n. 4, p. 71-96, dec. 2020.Available at: <http://www.bereview.pk/index.php/BER/article/view/359>.
Recommended Citation
Reza, F., & Amir, H. (2020). Essentiality of non-essential purchases for digitally influenced bottom of pyramid customers. Business & Economic Review, 12 (4), 71-96. Retrieved from https://ir.iba.edu.pk/faculty-research-articles/209
Publication Status
Published
Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.
Rights Information
The Business & Economic Review maintains an open access policy for the online records of all published articles on its website. It also supports wide dissemination of the researches it publishes. Users are free to post copies of the final published version on any online repositories or other web sites.
