Perceived Risk?

 

 

“The uncertainty that consumers face when they cannot foresee the consequences of their purchase decisions.” Schiffman & Kanuk (2000)

 

 

Extent of external search determined by

  • perceived risk 
  • perceived impact information will have on quality of decision
  • available time
  • ease of obtaining information
  • level of product knowledge 

Expensive items have a greater perceived risk linked with them, and as a result more information is sought before purchase. The measurement of a perceived risk may vary from one person to another.

The perceived risk for me to book a months tour of Europe with Topdeck is a high perceived risk for me as I have never done a tour of another country before, never booked through this company before, don’t know the other people that will be on the tour and there will be alcohol involved!

With being on a small wage compared to my two friends that are going on the tour with me, I now have to work more days and longer shifts to pay for myself. I have to think to myself…. Will it be worth it in the end being a zombie for 6 months by just constantly working for only one months adventure? Will it really be a trip of a life time like everyone says?
I HOPE SO!!!!

So here it is! My one month tour of Europe!

28 Days, London to London

Image

https://www.topdeck.travel/tours/grand-european 

Visiting 13 countries: France, Switzerland, Spain, Monaco, Italy, Vatican City, Croatia, Slovenia, Austria, Czech Republic, Germany, Netherlands, Belgium
Spend an amazing month travelling the fabulous European continent; from West to East, North to South, you’ll encounter Europe’s greatest cities, witness the grandeur and majesty of the Alps as well as discover the stunning scenery and diversity throughout the Mediterranean. This is one tour of Europe that is certain to treat you to a grand old time!

Functional risk;
  • Can be a let down
  • Will the product form as I expected?
Physical risk; 
  • Can this product hurt me? – Not the product but the places and actives might!
  • Robbery, theft, sickness, food poisoning
  • Dangers; skydiving
  • Bike accident
  • Loss of Passport, wallet, camera, money
  • Sunburn
  • Dehydration
  • Jet lagged
Financial risk; 
  • What if the trip wasn’t worth the cost?
  • Can I honestly afford this?
  • It may not be worth working 6 months to pay for the trip
  • Having to pay extra for certain activities?
  • Covering sickness
  • Paying for insurance
Social risk;
  • What will my peers think?
  • Having a fight with my friends
  • People on the trip not friendly
  • Language barriers
  • People in general being rude or unfriendly
  • Going to less social activities so I can save my money
  • Can ruin relationships
  • Alcohol- drinking to much to be sociable
Psychological Risk;
  • How can this trip affect my self-esteem?
  • Can be challenging at times
  • Homesickness
  • Visiting the Mauthausen
  • Staying in hoestels
  • Constantly travelling
  • Budget
  • Stress of missing flights and trains
  • Weather
Time Risk;
  • Amount of time researching peoples feedback about the company will be wasted if product does not perform as expected
  • Searching Trip Adviser for reviews
  • Comparing with other competitors like Contiki
  • Getting word-of-mouth comments
  • Waiting in lines (transport, airports, rides, museums, monuments)

 

 

Reference List;

A.Richard, 2012<http://www.hort.uconn.edu/agmarketing/distlrnarticles/percrisk.htm> Understanding Your Customer’s Perceived, viewed 26th March 2014.

<https://www.topdeck.travel> European Grand, viewed 27th March 2014.

Leave a comment