Exploring the Relationship Between Consumer Behavior and Branding

1. Introduction

Based on this, this report provides a comprehensive analysis of Inika Organic, with a brand overview, detailed segmentation of the target market, and competition analysis of the relevant consumer behavior theories that shape the brand. Further, it analyzes how Inika applies these theories to marketing and the benefits after that. The report also examines consumer behavior trends to occur in the organic cosmetics category in the future and reflects on their impact on marketing practices and product positioning.

2. Brand Overview

Inika Organic has been discovered. However, this has been considered as a leading luxury cosmetics brand which provides 100% natural, certified organic, and cruelty-free products. Powered by a diverse selection of makeup and skincare products like foundations, lipsticks, mascaras, and serums, the brand makes no use of any synthetic chemicals, parabens, or artificial fragrances (Inikaorganic, 2024). The environmentally friendly world of Inika Organic focuses on sustainability by using eco-friendly packaging and providing ethically edible ingredients for environmentally aware consumers. Its brand positioning in the clean beauty segment, targeting consumers who are willing to pay for natural ingredients, health, and wellbeing in their daily beauty routines. This ensures that its products are certified to the highest standards by well-known and respected organizations such as the Organic Food Chain and Choose Cruelty-Free, providing greater consumer confidence, and therefore brand credibility.

Figure 1: Inika Organic beauty brand

(Source: Inikaorganic, 2024)

From the demand perspective, increasing demand for sustainable and organic products, a trend driven by consumers' awareness of health and environmental issues, are the critical environmental factors affecting Inika Organic (Ullah et al. 2023). Regulatory changes favoring green practices and the need for all goods products to be sustainably made also play a role in the market influencing the need for all goods to be sustainable, creating a competitive advantage in the market. Other organic and natural beauty brands seem to be catching on in the form of one such brand new eco-friendly beauty brand RMS Beauty and ILIA that has a similar aim of targeting the same eco-conscious audience. Mainstream cosmetics brands are also launching 'clean' product lines, adding to the competition. Transparency, ethical production, and effectiveness are dominant when it comes to shaping consumer behavior in this category. These consumer preferences are well represented by Inika Organic's commitment to organic ingredients and sustainable practices, and the brand is well set up to satisfy the health-conscious consumer and environmentally aware while existing within a healthy, competitive marketplace.

3. The Target Market

The main target market for Inika Organic is eco-conscious female consumers between 25 and 45 years. It's a brand for people who care about natural, organic beauty products and that's particularly about sustainability, animal welfare and their own personal health. As cited by Ibrahim (2023), Over the last three years it has seen the target market grow steadily, with 2020 seeing 45% of customers in the 25–34 age group, up to 48% in 2021 and 50% in 2022. Inika Organic is demographically focused on educated, middle to high-income individuals, and especially urban dwellers who can afford premium, eco-friendly beauty products. These consumers psychographically value health, wellness, and ethical consumption, and seek out products that are free of synthetic chemicals and comport with their environmental stewardship. The target market is frequenters of cosmetic products and buyers on a premium for clean ingredients and sustainable practices. As argued by Palekar et al. (2023), Inika Organic is a geographically located company focusing on developed markets, North America, and Europe where the demand for organic beauty products is very high. In addition, people are active online and are likely to browse beauty, health, and sustainability-related content via social media. The brand's values, conveyed through Inika's digital presence and digital marketing campaigns, strike concurrently with these consumers who look for transparency, quality, and the absence of ethical standards in the products they use.

4. Identification and Major Impacts of Relevant Theories/Concepts

4.1 Theories

For Inika Organic, three consumer behavior theories are particularly relevant: Involvement theory, Maslow's Hierarchy of Needs, and Self-Concept Theory. With these theories, Inika Organic can understand their consumers' motivations and preferences and decide how its marketing strategies should be aligned to appeal to its target audience. Maslow's Hierarchy of Needs is a well-known psychological theory developed by Abraham Maslow, which categorizes human needs into five levels: safety, esteem, physiological, social, and self-actualization. For instance, in Inika Organic, consumers made purchasing decisions in order to satisfy their needs at all the seven levels: esteem and self-actualization. According to Cui et al. (2021), Consumers who are seeking to feel good about themselves or be ethical with their purchases demand organic and cruelty-free cosmetics. They view beauty as part of their personal 'value system' and demand a social product that will help to contribute to who they are.

Figure 2: Maslow's Hierarchy of Needs

(Source: Anuyahet al. 2023)

Taking the cues from this, the brand goes on to prioritize organic certification, cruelty-free status, and sustainability will address the safety needs of a consumer who is looking for confirmation on the safety and purity of the products they use. The luxury positioning of the brand is also targeted to the consumers' esteem needs by giving the consumers a feel of taste of value through leveraging on premium, high-quality products. Furthermore, Abbas (2020) has mentioned that Inika Organic is highlighted as an ethical brand that consumers are electing to choose to go towards self-actualization by positively affecting the environment and society. Inika can successfully brand itself as a product around consumer needs that are important, such as sustainability and health, to reach consumers who want a purposeful life.

The other highly relevant concept is the Self-Concept Theory. The premise of this theory states that consumer behavior is influenced by the ability of the individual to perceive the self (self-image) and the self that he/she would want others to see (social image). According to Yang and Wong (2020), self-concept can be divided into four categories: ideal social self, ideal self, actual self, and social self. Cosmetics are personal, expressive products;therefore, they strongly influence a person's self-perception and identity, which makes them easy to offer congruent with a person's self-concept; because consumers tend to purchase products that are congruent with their self-concept.

However, as it is within the realm of Inika Organic, the practical understanding of consumers includes considering themselves in terms of health-conscious, environmentally wise, and ethically grounded persons. These consumers consider themselves the 'health, animal welfare, and sustainable' type of people. Interestingly, Inika's branding fits with this self-perception, it is about only ever using certified organic and cruelty-free ingredients to strengthen this self-concept. Furthermore, Arens et al. (2021), the brand is equally appealing to the ideal self-concept, the concept of who consumers would like to be. For Inika Organic in this instance, consumers who aspire to sustainability, ethics, and a more stylish beauty choice make a fantastic fit. When using Inika products, one associates themselves with a brand that fits in with those aspirations, which is a brand that wants one to live the luxurious but environmentally conscious life. Similarly, the social self and ideal social self-elements are also provided for by the Inika products because using them provides the consumers with the means to project a social self: sophisticated, healthy conscience, and ethical, and hence social approval reinforces the social identity.

Another significant and relevant concept for Inika Organic is the Involvement Theory. Krugman proposed this theory, which bases high and low consumer involvement on the level of personal relevance to a product held by the consumer. High-involvement products, such as organic and sustainable cosmetics (e.g. Inika organic), are highly involved in the sense they are intimately associated with self-expression, health, and ethical values. In the view of Oclooet al. (2021), Consumer high involvement is explained by the perceived risk of product safety, efficacy, and ethical considerations related to the product (Inika). Reflecting high involvement, consumers undertake thorough research, do brand comparison, and focus on ingredients and certifications before buying anything. This is what Inika's marketing strategy aims for: detailed product information, emphasis on organic certifications, awareness of sourcing and production processes.

All to keep the consumers connected with the brand in a deeper manner. These theories are pertinent because they offer us an idea of the reasons why Inika Organic's target audience purchases their own organic cosmetics. According to Rahman et al. (2020), this can be linked back to Maslow's Hierarchy explaining how the attributes of the brand meet psychological and social needs for esteem and self-actualization and the Self Concept Theory showing how the Inika brand identity matches with the personal and aspirational identity of its consumer. As consumers become savvier and have many more options in the competitive cosmetics market where we are sold a product and sold a story, being aligned with the consumer’s identity and needs is essential to building brand loyalty.

4.2 Application of the theories

Maslow’s Hierarchy of Needs is something that Inika Organic employs in their marketing practices to address multiple consumer needs, with the focus being on safety, esteem, and self-actualization, even though Inika Organic offers the products at a very cost friendly. At safety needs level, Inika focuses on the use of 100% natural and organic certified 100% ingredients free of harmful chemicals parabens, synthetic fragrances. Marketing for the brand emphasizes its certifications by COSMOS and Choose Cruelty Free, reassuring consumers that products are safe and of a high quality (Shi and Lin, 2021). It’s aiming at health-conscious consumers that care about safety when it comes to their personal care products.

Such packaging, design and premium pricing worked to reinforce not only the status of the brand as high quality and a luxury, but also helped consumers to feel valued and sophisticated. Inika’s marketing campaigns emphasize the luxury of Inika's cosmetics and seduce consumers to identify product use as a route to increased self-esteem and beauty. Inika promotes inclusivity to those who wish to have a feeling of confidence and worth irrespective of skin type or concern. Inika finally at the self-actualization level appeals to consumers who want to live their ethical beliefs (Abdelsalam et al. 2022). It's something which people today are really looking for as they aim to grow and with this brand along with a very specific focus on sustainability, cruelty free practices and environmental responsibility. Thus, the campaigns carried out by Inika often pay attention to the environmental part, presenting the packaging eco-friendly and partnership with environmental organizations, so that the consumers will be able to give something to a greater cause (Bowen, 2021). For example, Inika operates a 'Green Hero' campaign enticing customers to help Inika achieve a healthier future on behalf of the customers who contribute to living an eco-friendlier lifestyle.

Self-Concept Theory is applied in marketing Inika Organic as the brand creates its image around the self-perceptions and aspirations of its target consumers. It proposes that people tend to purchase products that are consistent with their actual, ideal, social or ideal social self. In their appeal to the ideal self of consumers, Inika markets itself as a luxurious yet ethical brand for which consumers can feel they are embodying the values they deem important such as being more eco-friendly and health focused. As stated by Alfasi (2022), Often campaigns show people who have a healthy and balanced lifestyle and who use Inika products in their daily life, providing an aspirational image that makes sense for consumers and agree with. By highlighting Inika’s ethical and cruelty-free products, it targets the social self-letting consumers put a face on their responsibility, as well as their ability to be aware of environmental and social issues. Buying and using Inika products ensures that consumers can 'broadcast' their commitment to sustainable living and therefore increase their social identity. Inika markets an ideal social self, an image of sophistication, luxury, and environmental consciousness for consumers who wish to appear stylish while being socially aware. In other words, the brand has premium packaging and is all about ethical beauty that helps them present themselves as fashionable and the right social self.

Inika Organic utilizes Involvement theory by recognizing the huge amount of personal relevance and emotional connection that organic natural beauty products have with consumers. According to the theory, products can be classified according to their high or low involvement, which is measured by the amount of interest, risk, and involvement of a customer in buying a product (Aureliano-Silva et al. 2021). The high involvement type within the cosmetics category is satisfied with cosmetics, especially the oranges with organic and cruelty free reputation, since consumers are especially sensitive to product remains, the brand values, and the consequences of the purchase for the consumer's health and environment.

Inika Organic caters to this high involvement in the decision-making process by exposing the in-depth info about its product ingredients or the certifications and ethical sourcing practices it has. Inika's marketing strategy is to be transparent in ingredient sourcing and label certifications such as COSMOS and Cruelty Free International. Each product is listed on the brand’s website with a detailed description breakdown, talking about each key ingredient, the benefits of each, and the sources where the ingredients are obtained from. This in depth information offered by Inika addresses high-involvement consumers who want to ensure their product is safe, effective, and ethical with their purchase. For example, Inika Organic, like many other beauty retailers, engages with consumers through content marketing and offers blog posts, articles, and video tutorials aimed at educating its audience in skincare and makeup application techniques. These educational resources build trust in the brand and support high involvement of consumers invested in expertise and authority in the beauty space (Beckman et al. 2020). In this type of product, Inika gets to help consumers feel more capable of making purchasing decisions by creating content that informs and guides decisions.

Second application of Involvement theory by Inika Organic is also practical in its targeting customer reviews and testimonies. The opinion and experiences of others are trusted by high-involvement consumers to validate their decision-making process. Customer reviews are encouraged and displayed prominently by Inika on its website for potential buyers to read whether others think the brand’s products are good or bad. Social proof improves mitigation of perceived risk and increases the brand’s credibility as seen by consumers, including positive testimonials about product performance, skin benefits, and ethical sourcing.

Another application of Involvement Theory is Inika Organic’s practice of bringing community building and customer engagement to its product development. Along with offering a regular blog post and social media account, Inika actively engages with its customers on social media platforms, where consumers can share their experiences, ask their questions, and receive personalized responses from the brand (Oclooet al. 2021). Not only does this provide a direct interaction between consumer and employer but that high level of involvement with the consumer feels like they are valued and heard. The social media campaigns for Inika often promote user created content with requests to share makeup looks done with Inika products, which is a way of increasing personness and ownership of the consumer with the brand. The brand also plays with high-involvement consumers through the appeals of the premium pricing of and the brand’s packaging. However, Inika Organic positions its products as luxury items with their focus on quality and sustainability, yet they are targeting consumers who are willing to spend more time and money to achieve beauty and care routine, using products that reflect their values. The premium nature of the brand is reflected in the package, which is elegant and sustainable and targets the consumer who thinks that if the item is expensive, then it should do its job well.

4.3 Results and benefits

Inika Organic successfully benefits from various financial goals such as Maslow’s Hierarchy of Needs and Self Concept Theory. They could align their marketing strategies so that the brand can meet consumers’ safety, the status, and the self-actualization needs. It facilitates customer satisfaction and furnishes loyalty since the customers perceive that their values and aspirations are recognized and addressed. Moreover, Self-Concept theory empowering the Inika to reinforce its brand identity and link up with its target market. The focus on sustainability, ethical practices, and all things ‘green’ tickles the spot where consumers’ self-image meets projected self, providing a socially responsible identity and providing consumers with something to boast about. Since happy consumers engage with brands emotionally, they are more likely to come back and tell their friends as well as become the advocates. In addition, Involvement Theory is applied to encourage consumer involvement through detailed product information and through community interaction. The transparency decreases perceived risk, which gives people a feeling competent to make purchasing decisions. This surge in trust and loyalty leads to increased sales, but even more importantly, we can build an amazing brand community of loyal advocates that will support the company in the long run.

5. Future Trends

According to future trends in consumer behavior within the organic cosmetics category, the trend is towards more sustainable, transparent, and personalized products. Today, consumers are looking for beauty products that address their beauty needs, yes, but that match their interests in environmental and ethical practices too. The brands such as Inika Organic may greatly increase focus on the sustainable sourcing, eco-friendly packaging and cruelty free certifications in their marketing strategies. In addition, technological advancements will be a more personalized shopping experience, enabling brands to offer tailored to an individual consumer preference and behavior. Still, it’s unlikely that social networks will ever go away as consumers increasingly seek the benefit of peer reviews and influencer endorsements when making their purchasing decisions. Therefore, firms have to move away from more traditional marketing tactics and develop more nimble marketing strategies that employ data analytics and social media as well as maintaining the sustainability and ethics of the core values.

6. Conclusion

In this report, the company marketing strategies in detail through the lenses of consumer behavior theories, such as Maslow's Hierarchy of Needs, and Self Concept Theory. While discussing emerging consumer trends and the influence it has on marketing practice within the organic cosmetics sector, it addresses not only the brand’s commitment to sustainability, transparency, and customization, but also highlights some of the other priorities emerging within the larger cosmetics sector more broadly.