Designing Buildings - The Construction Wiki

Search

Subjects

Tools / info

Edit this article

Last edited 28 Mar 2022

See full history

Consumer

1 Introduction
2 Consumer goods
3 Consumer durables
4 Consumer needs
5 Consumer profile
6 Consumer groups
7 Consumer Prices Index (CPI)
8 Consumer rights
9 Related articles on Designing Buildings Wiki
10 External sources

[edit] Introduction

A ‘consumer’ is the ultimate user of goods and services and the party who derives the benefit that is associated with them. However, a consumer is not necessarily the same thing as a customer: a parent buying toys may be a customer in a toyshop but the ultimate consumer is their child. So, consumers do not necessarily make buying decisions.

Where the purchase of industrial goods and services is concerned, the term consumer is rarely used; instead, the term ‘end user’ is used which may often be a corporate body.

[edit] Consumer goods

These are typically goods that are intended to be used by individuals, families etc and not by corporations, businesses or companies.

[edit] Consumer durables

The glossary of statistical terms, published by the Organisation for Economic Co-operation and Development (OECD), defines consumer durables as: ‘…durable goods acquired by households for final consumption (i.e. those that are not used by households as stores of value or by unincorporated enterprises owned by households for purposes of production); they may be used for purposes of consumption repeatedly or continuously over a period of a year or more.’

[edit] Consumer needs

These are the needs that any consumer or group of consumers may be deemed or perceived to have, whether current, future or potential. Consumer needs are usually identified by marketing departments of companies and corporations, but also by organisations such as government agencies.

[edit] Consumer profile

When companies want to find out who potentially may buy their products, they may try to create a consumer profile. This is a stereotypical construct that may involve information including:

Whether male or female
Marital status (wife, mother husband, divorcee etc)
Income bracket
Buying habits
Car owner or not
Number of children in a household
Hopes and aspirations
Other interests
Location

[edit] Consumer groups

These are groups of consumers who have come together to raise concerns about specific products and services. Their aim is to focus on the nature and usage of a product and, if necessary, inform other consumers about any potential drawbacks or dangers arising from the product’s use. This can include warnings over safety, misleading adverts, harmful ingredients and environmental concerns. Consumer groups may also provide feedback to manufacturers.

[edit] Consumer Prices Index (CPI)

The Consumer Prices Index (CPI) is a government tool which measures month-to-month changes in the cost of a representative 'basket' of goods and services bought by consumers within the UK. The items in the basket are reviewed and updated annually to ensure they are current and reflect consumer spending patterns. As the prices of the various items change over time, so does the total cost of the basket, which allows comparisons to be made in the movements of consumer price inflation. In the 2016 basket, there were around 700 representative consumer goods and services.

[edit] Consumer rights

In the UK, the rights of consumers purchasing goods and services are protected by the Consumer Rights Act 2015. This is because consumers may be treated unfairly by some establishments or because goods may go wrong a very short time after purchase. Problems can include:

Rogue traders.
Faulty or counterfeit goods
Issues with credit and store cards
Poor service
Contract terms
Defects

The Consumer Rights Act came into force on 1 October 2015. Clearer and easier to understand than its predecessor the Consumer Protection Act 1987, it aims to help consumers better understand how they should be treated by businesses.

The Act helps consumers:

Better identify best deals
Hold businesses to account for poor quality or service
Select the business providing the best overall offer (rather than just the cheapest)
Understand their rights on repair and replacement
Identify unfair terms in a contract.

The Act also gives businesses a better understanding of the law which will help them better serve their customers.

The UK government has helplines which aim to help consumers if they feel they have had a bad deal or wish to complain about a specific issue:

England and Wales, Citizens Advice
Advice Direct Scotland
Consumerline, Northern Ireland

The Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 are applicable to all contracts for the provision of goods from 13 June 2014. They apply to off-premises contracts, distance contracts and on-premises contracts, and may apply to contracts in the construction industry under certain circumstances.

For more information see: Consumer Contracts Regulations and Advice from CIAT about the cancellation of consumer contracts.