Consumer Statistics:
· 71%
of U.S. consumers use the internet
·
Who
are the 29% not connected?
o
Older,
less educated, ethnic minority groups, no kids, rural & lower income
o
Net Evaders (2.3%) – internet is a waste. Don’t
need/want. Embarrassed to learn how to use
o
Net Dropouts (4.9%) – tried but stopped. Too pricey,
content concerns, technological issues. Lost access due to technology issues
or when they moved, changed jobs or ill
o
Truly Unconnected (20%) – low income w/ little
education. Socially unconnected, worried about content/crime, can’t afford,
no computer, too complicated
o
Intermittent Users (1.8%) – are online but leave for extended
time. worried about content/crime, tech issues, high cost, don’t think they
have time or need it
·
2007:
1.4bn on internet (19% globe). Mostly developed nations à 5.4bn not online!
Do some of these reasons
non-users give for not being connected seem like opportunities for smart
marketing? Lots of psychological excuses.
Inside The Internet Exchange Process:
Individual (traits,resources) <--Internet
Exchange--> Outcomes (connect,create,enjoy,learn,trade)
Marketing Stimuli can motivate the exchange process
·
Technological Context:
o
Home
connection speeds – connection speed affects behavior (rich media, video, etc.)
o
Digital
receiving devices
- Typical
U.S. home has 26 different devices for media and communication.
- Key
is understanding which device YOUR customers prefer and targeting
·
Social and Cultural Context:
o
Sophisticated
consumers - Consumer has power. When &
where they want to get info
- Consumer
reviews vs. corporate advertising – who are you going to trust?
o
Info
overload – hate of spam
o
Multitasking
– lower attention spans
o
Home
& work – boundaries disappearing
o
Online
oxygen – consumers crave internet. Part of life.
o
Self-service
– want to get info they need on their own and thru whatever device they prefer (track
shipments, purchase, return, etc.)
o
Privacy
and data security** - keep data confidential, ask permission before sending
emails/alerts, protect from objectionable content
o
Online
crime – viruses, hacking are major concerns
·
Legal Context:
o
Piracy
laws
·
Individual Traits & Consumer Resources – beyond social & cultural trends
o
Demographics,
positive attitude toward tech, online skill & experience (used to internet)
o
Online
shoppers more goal orientated than experience orientated when shopping
- Go
to site with specific product and/or price in mind
·
Appreciate
breadth of product, no crowds, ease & info availability (70% online shoppers are either price or convenience
orientated)
o
Monetary
Cost – discretionary income constraints and/or credit avail (big w/ teens)
- Digital
Cash - https://student.paypal.com/us/cgi-bin/marketingweb?cmd=_render-content&content_ID=marketing_us/student_accounts
o
Time
Cost – make sure sites are well organized. Can get in and out = value. 24/7
o
Energy
& Psychic Costs – How much work is needed to complete a transaction? See
return policy clearly, no technical issues
·
Internet exchange – marketing stimuli can promote
exchange (ex. Amazon recommendations)
·
Outcomes – What value do you get
for your money, time and energy
o
Connect
– Communication (email, IM, phone) or build relationships
o
Create
– create and post your own content (Facebook, LinkedIn, etc.)
o
Enjoy
– simple entertainment
o
Learn
– Access info (directions, movie times, weather, etc.)
o
Trade
– Transaction orientated activities (buy, sell, rent, etc.)
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