Consumer Behavior and Choice of Housing in Kenya: A Case of Selected Residential Rental Estates in Nairobi City County

Doris Alago, Dr. James M Kilika, Dr. James O Oringo

Abstract


Consumer decisions are those decisions consumers make in the market place transactions and activities. This may vary depending on their level of buying decision behavior as well as level of product involvement. Hand in hand is consumer behavior which is identified with a consumer during the consideration, purchase and usage of a product. Available and affordable housing for every Kenyan across all age and income groups is one of the aspects of development in reference to the Kenya Vision 2030. However with the recent trend of continuous rural to urban migration/ urbanization, housing needs still remain a thorning issue more so in urban and town areas as portrayed by population census reports 1989. 1999, 2009. Rental consumers in urban/town areas of Kenya, particularly middle to low income earners vary in their choice of formal housing depending on consumer behavior set of factors such as consumer tastes, preference, search activities and evaluation of product information on housing decisions. This therefore formed the basis of the study of relationship between consumer behavior and choice of housing in Kenya.  As insight from this study would enable developers in the housing market particularly the government and marketers incorporate consumer trends as they seek provision of decent housing to its population. The study used descriptive research design and targeted middle to lower income rental consumers in Nairobi North, Nairobi East and West lands as population under study. The study used partly stratified random sampling and partly purposive sampling technique in choosing respondents for primary data collection. The findings were then analyzed by the use of Statistical Package of Social Sciences (SPSS) software to obtain the descriptive and inferential statistics.

From the findings, the study established that consumer tastes and preferences strongly influenced choice of rental housing, whereas search activities and evaluation of product information were weak influencers of choice of rental housing. The findings were presented by tables.


Keywords


Consumer decisions; information search; information evaluation; choice of housing; rental housing.

Full Text:

PDF

References


References

Al-Hamoud, M., Al-Oun, S., & Al-Hindawi, A.-M. (2009). The low income housing market in Jordan. International Journal for Housing Markets and Analysis.

Arvanitis, Y. (2013). African Housing Dynamics: Lessons from the Kenyan Market. Africa Economic Brief, 4.

Broussard, R., & Zhang, Y. (2013). Seeking Treament Options: Consumer search behaviours & Cognitive Activities. Retrieved October 30, 2014, from https://www.asis.org/asist2013/proceedings/submissions/papers/56paper.pdf

Chisnall, P. (1995). Consumer Behaviour (3 ed.). Berkshire: McGraw Hill Group Co.

Dhar, R. (1996). The Effect of Decision Strategy on Deciding to Defer Choice. Journal of Behavioral Decision Making, 9, 265-281.

Donnolley.J, P. .. (2009). Marketing Management (9th ed.). New York: The McGraw Hill companies.

Engel, J., Kollat, D., & Blackwell, R. (1978). Consumer Behaviour (2 ed.). Holt, Rinehart and Winston Inc.

Evans, M., Jamal, A., & Foxall, G. (2006). Consumer Behaviour. West Sussex: John Wiley and Sons Ltd.

Fasolo, B., McClelland, G., & Lange, K. (2005). The Effect of Site Design and Interattribute Correlations on Interactive Web-Based Decisions. Online Consumer Psychology: Understanding and Influencing Behavior in the Virtual World, 325-342.

Fasolo, B., McClleland, G., & Todd, P. (2007). Escaping the tyranny of choice: when fewer attributes make choice easier. Marketing Theory 2007, 7(1), 13-26. Retrieved from http://www.sagepublications.com

Hakijamii. (2011). The Assesment of the Realization of the right to housing in Kenya 2009-2010. Economic and Social Rights Centre(Hakijamii). Nairobi: Economic and Social Rights Centre(Hakijamii). Retrieved September 14, 2014, from http://www.hakijamii.com/publications/hr-finalreport.pdf

Heikkilä, R. (2011). Matters of taste? Conceptions of good and bad taste in focus groups with Swedish-speaking Finns. European Journal of Cultural Studies, 41-61.

Howard, J., & Sheth, J. (1969). The theory of Buyer behaviour. New York: Wiley.

Jacoby, J., Speller, D., & Berning, C. (1974). ‘Brand Choice Behavior as a Function of Information Load: Replication and Extension. Journal of Consumer Research, 1, 33-41.

Kamau, P. K. (2002). Enhancing housing development and owneship: Prospects for individual housing development in Nairobi Kenya. Academic Research report, University of Tsukuba.

Kauko, T. (2006). Housing consumption and preferences at the micro level-comparison of AHP from six different european segments. 13th Annual European Real Estate Society Conference. Weimar. Retrieved from http://eres.architexturez.net/doc/oai-eres.id-eres2006_230

KenyaTravelTips.com. (2014). Real Estate Kenya-Type of Houses in Kenya. Retrieved September 10, 2014, from KenyaTravelTips.com: http://www.kenyatraveltips.com/real-estate-kenya.html

Kothari, C. R. (2004). Reasearch Methodology: Methods and Techniques (2nd ed.). New Delhi: New Age International.

Kotler, P., & Armstrong, G. (2006). Principles of Marketing (11 ed.). New Jersey: Pearson Prentice Hall Inc.

Kotler, P., & Keller, K. (2006). Marketing Management. New Jersey: Pearson Education.

Kotler, P., Keller, K., Koshy, A., & Jha, M. (2009). Marketing Management: A Southern Asian Perspective (13 ed.). New Delhi: Dorling Kindersley (India) Pvt. Ltd.

Lee, Y. (2005). The Determinants of Consumer's information search patterns In online Marketing Communication. Thesis, Florida State University. Retrieved October 25, 2014, from http://diginole.lib.fsu.edu/etd

Loudon, D., & Bitta, A. (1984). Consumer Behavior (2nd ed.). New York: McGraw Hill.

Maholtra, N. K. (1982). Information Load and Consumer Decision Making. Journal of Consumer Research, 419-430.

Matindi, N. (2014). Affordable Housing for Low and Middle income earners in Nairobi, Kenya. 1-17. Retrieved February 10, 2014, from http://www.lth.se/fileadmin/hdm/alumni/papers/SDD_2008_242b/Nora_Matindi_Kenya.pdf

Matsebula, M. (2012, 9 13). Factors influencing the growth of informal rental housing in Swaziland: the case of Matsapha peri-urban areas. Retrieved from Wits institutional Resipository environment on Dspace: http://wiredspace.wits.ac.za/handle/10539/11949

Mittal, B., & Sheth, J. (2004). Customer Behavior: A Managerial Perspective. Natorp Boulevard: Thompson South Western.

Mourali, M., Laroche, M., & Pons, F. (2005). Individualistic orientation and consumer susceptibility to interpersonal influence. Journal of Services Marketing, 19(3), 164-173.

Mugenda, O., & Mugenda, A. (2003). Research Methods: Qualitative and Quantitative Approaches. Nairobi: Acts Press.

Mwangi, I. (1997, October 1997). The Nature of Rental Housing in Kenya. Environment and urbanization, pp. 141-160.

Nabutola, W. (2004). Affordable Housing In Kenya: A Case study of Policy on Informal Settlements. Land Administration and Housing Issues in Informal Environments (pp. 1-17). Jakarta Indonesia: 3rd FIG Regional Conference.

Nkonge, D. (2012). Factors influencing consumer choice of housing in Kenya:the case of middle income households in Nairobi, Kenya. Acedemic Research, Nairobi.

Odhiambo, R. (2012). Factors Influencing ownership of housing by public sector staff in urban centers in Kenya: A case of National Housing Corporation of Kenya. Academic research report, Kenyatta University.

Ogu, & Ogbuozobe. (2001). Housing policy in Nigeria:Towards enablement of private housing debt. Habitat International, 25(4).

Payne, J., Bettman, J., & Johnson, E. (1993). The Adaptive Decision Maker. New York: Cambridge University Press.

Radman, M. (2005). Consumer consumption and perception of organic products in Croatia. British Food Journal, 107(4), 263-273.

Rid, W., & Profeta, A. (2011). Stated Preferences for Sustainable-A Latent case analysis. Journal of Planning Education and Research, 30(1), 26–46. Retrieved from http://jpe.sagepub.com

Rockefeller Foundation. (2005). More than shelter: Housing as an instrument of Economic and Social Development. A Harvard Joint center for Housing studies International Housing conference (p. 2). Bellagio (como): Bellagio Study and Conference center.

Rose, N. (2000). Community, citizenship and thethird way. American Behavioral Scientist, 43(9), 1395–1411.

Saad, G., & Russo, E. (1996). Stopping Criteria in Sequential Choice. Organizational Behavior and Human Decision Processes, 66, 102-110.

Schiffman, L., & Kanuk, L. (2009). Consumer Behaviour (9th ed.). New Jersey: Pearson Education Inc.

Sema, P. (2013). Does Social Media Affect Consumer Decision Making? Johnsons and Wales University, Feinstein Graduate school. Retrieved October 25, 2014

Seock, Y.-K., & Norton, M. (2007). Attitude towards internet websites, online information search, and channel choice for purchasing. Journal of Fashion Marketing and Management, 11, 571-584.

Shanteau, J., & Thomas, R. (2000). ‘Fast and Frugal Heuristics: What About. Behavioral and Brain Sciences, 762-763.

Shim, S., Eastlick, M., Lotz, S., & Wavington, P. (2001). An online purchase intentions model:The role of intention to search. Journal of Retailing, 77, 397-416.

Sohail, M. S. (2005). Malaysian consumers’ evaluation of products made in Germany: the country of origin effect. Asia Pacific Journal of Marketing and Logistics, 17(1), 89-105.

Stewart, T., & Ely, D. (1984). Range Sensitivity: A Necessary Condition and a Test. Boulder, CO:. National Centre for Atmospheric Research.

Venugopal, V., & Baets, W. (1994). Neural networks and statistical techniques in marketing research. Marketing Intelligence and Planning, 12(7), 30-38.

Woodward, I., & Emmison, M. (2001). From aesthetic principles to collective sentiments: the logic of everyday judgements of taste. Poetics, 29(6), 295-316.

World Bank. (2011). Developing Kenya’s Mortgage Market,. Washington D.C.

Wu, F. (2010). Housing environment preference of young consumers in Guanzhou, China. Project Management, 174-192.


Refbacks

  • There are currently no refbacks.


 
 
  
 

 

  


About ASRJETS | Privacy PolicyTerms & Conditions | Contact Us | DisclaimerFAQs 

ASRJETS is published by (GSSRR).