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"Traditional Marketing Is Not Dying - It's Dead!" (Zynman 1999)

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INTRODUCTION

“Traditional marketing is not dying – it’s dead!” (Zynman 1999)

The emergence of Web 2.0 is one of the most formidable development in the history
of commerce. Social media, another buzzword that came along with, is an evolution
based on the Web 2.0, where not only it encourages user-generated contents, but also
extends the focus to the users by allowing them to exhibit contents to share among
networks.
This particular technical revolution during the last decade has drastically
revolutionized t he traditional marketing approaches and brought marketers to a new
era. In the new marketing era, the social media has likely to revolutionize the
relationships marketers have with retailers, channels of distribution, their ultimate
consumers, etc. It is an Information Age, and consumers are inundated with
overwhelming quantities of information each and every day.
Based on the findings from McKinsey (2011), it has revealed that when companies go
about their business and interact with individuals, they are generating a tremendous
amount of digital “exhaust data,” i.e., data that are created as a by-product of other
activities. Social media sites, smartphones, and other consumer devices have allowed
billions of individuals around the world to contribute to the amount of big data available.
(McKinsey 2011.)
By looking at the enormous amount of social media campaigns, e-commerce websites,
sales emails, forums, etc., it appears that companies of all sizes have been translating
their marketing approaches to the Internet because of its accessibility to their target
audience and the money required to do so. (Chui and Manyika 2012.) By contrast, the
traditional advertising approach of mass media communication, for instance
newspaper, magazines, and televisions, aims at conveying messages to a broader group
of audience in the hope of reaching the few interested ones.
Traditional advertising via mass media is on decline; Sergio Zyman (1999), former
Chief Marketing Officer, Coca Cola, believes, “The era of marketing as we have
known it is over, dead, kaput – and most marketers don’t realize it…” he further
clarifies that technology has given people many more options than they had in the
past and has created a consumer democracy in which people around the world
constantly use social- media platforms to seek and share information from discussing
consumer products to organizing political movements (see Chui and Manyika 2012).

With more stimuli bombardments, individuals are more cautious and adept in
allocating attention to information; thus it is essential for marketers to find the reasons
that speak to particular customers’ concerns, and to seek ways to speak to customers
individually, or in smaller communities (Zyman 1999). Internet offers favorable
solutions to marketers these days. Marketing through social media would be an
alternative perspective of interfacing with individuals, and yet the most influential
applications of social technologies in the global economy are largely untapped (Chui
and Manyika 2012). Social media puts consumers back to the center of the business
world and provides marketers a new set of tools to interact with consumers and to
integrate them into the brands through innovative ways. In essence, marketers have to
understand how the social media has influenced consumer buying behavior.

New technological inventions can have a great impact in organizations through its
contributions to change the social environment while expediting sharing of knowledge
and the development of new ideas. (Kling et al, 2005). Social Media will come in
handy as a good example of new technological innovation that is making a great
impact in the organizations of today. In time past, the social media inspired
technologies were seen as a chapter. But time has proven that wrong. We have seen
the world being transformed daily by these new collective technologies, which is
giving a new hope to organizations with impacts which were never considered to exist
initially. Today, most organizations are mainly interested in incorporating social media
into the business structures of their organization, but do not have a proper know-how
of what social media is all about. They also don’t have a tangible
channel to ascertain the gain that these technologies hold for them. In a survey carried
out in 2009 by McKinsey and Company, it was discovered that with the appropriate
use of the social media a lot of organizations were able to benefit from each other in
ways such as sharing of ideas, communication becoming better and the workplace
environment becoming enhanced. The value that social media adds in organizations is
huge as an increasing number of organizations are already endorsing and exploiting
the various opportunities in social media technological innovation. This is to enable
them find support for their various organizational and business practices (Starmark,
2008;). Social media hold a lot of interesting opportunities, but it is important to
understand how to utilize it with its accompanying impact in an organizational context
beside where it is applicable in real‐life projects. The present day organizations should
ask questions like how can employees use social media technologies to do their work
and what impact these have on employees. These should be pivotal questions for
modern day organizations.
OBJECTIVES

 To analyze why, when and how social media has impacted on consumer decision
making process
 To identify reasons that tempt consumers to purchase online

Consumers and businesses around the globe have been more connected than ever before with
the presence of Internet. An average Internet user has 669 social ties (Hampton et al.
2011); Facebook has more than 600 million daily active users, with over 1.5 million business
pages (Facebook 2013), and 30 billion pieces of content shared on a monthly basis (McKinsey
2011).

Approximately 500 million Tweets sent per day, at about 600 Tweets per second (Tweeter
2012). LinkedIn has more than 225 million professionals worldwide, including all Fortune
500 companies (LinkedIn 2013). The global average time spent per person on social
networking sites is 6.9 hours per month (Delaney and Salminen 2012). Changes in consumer
behavior due to social media are one of the most intriguing aspects in the contemporary
marketing.
Acknowledging that consumer behavior is a relatively general and broad topic, which it
would be challenging for the researcher to gather, inspect and conclude all the necessary data
and findings into one research; thus, the researcher has narrowed down the focus in association
with the decision making process, which associates with marketing through social media.
The objective of the research is to explain why, when, and how social media has impacted on
consumer decision making process. Besides, perhaps, with this particular perspective the
research holds, it can help to identity what are the opportunities and pitfalls companies are
facing with this impact on consumers’ decision making in order to seize and embrace the
possibilities in the new marketing era
LITERATURE REVIEW

Social media have changed how buyers and sellers interact, and increased involvement
through social media may yield positive results for sales organizations if salespeople utilize it
in facilitating their behaviors. (raj agnihotri,2016) The influence of social media on buying
behavior can be in any services or products. Quality, brand, advertising or price could effect
consumer decision-making.

In 2003, Western Kentucky University used a sample of 249 consumers' purchases to analyze
the type of product purchased, and the cost of item. The results of this research present that
consumers are buying either inexpensive or expensive items, and are doing so based on
recommendations from social media by their contacts or friends on social media (Forbes &
Vespoli, 2013).
Marketers could consider that social media does influence buying behavior. According to the
recommendations on purchases, 59% of all respondents were using Facebook as their social
media tool when they received a product recommendation. Thirty seven percent of all users
were using Twitter. From these results, social media has influenced their buying behavior.
The relationship between social media and consumer decision-making present that social media
affects advertising attitudes, brand attitudes, and purchasing intentions of consumer. It will not
necessarily affect consumer’s decision-making, but might possess a mediating effect
(Taining, 2012).
Social media can build brand attitudes that affect buying behavior. The good image of brand
or product can lead the consumer to make decision on their purchases. When consumer’s
friend on social media shares or recommends services or products on their social media, it
affects brand attitude and influences their decision- making. Yet, advertising on social media,
which is provided by commercial sources affect both consumer brand attitudes and
purchasing intention (Yang, 2012). From that information, it helps marketers plan their
marketing strategies. Many marketers use social media for marketing campaigns. It is the
easy way to communicate with consumers; also it is inexpensive to advertise their brands or
services.
Social media is not only for advertising, but it can also be a tool for brands or services to
connect with their consumers. Another study shows that social media allows consumers and
prospective consumers to communicate directly to a brand representative. Since most
consumers are using the social media as tool to search and purchase items, brands or services
use this advantage to advertise their products. The online consumer is a booming market
worldwide, however it is giving a globalized level of segmentation cross-culturally
(Vinerean, Cetina & Tichindelean, 2013).
If they have some problems on products or services, consumers could reach the company via
social media, which is an easy way to connect and contact with them. Companies are
challenged by how they chose to react to comments or responses on social media. Their
reactions and responses can build strong brand images and get more consumers to purchase
products or services. When a consumer wants to make decision on product, every single
detail could be an influence to their decision-making.
Consumer motives for engaging in social media provide insights into consumers’ activities.
Consumers have three main gratifications or motives for using the Internet as a medium, namely,
information, entertainment, and social aspects (Heinonen, 2011). The motivation is in two
main groups:
rational motives, such as knowledge-sharing and advocacy, and emotional motives, such as
social connection and self-expression (Krishnamurthy & Dou, 2008). Consumers’ activities in
social media have been found based on consumers' conduct online. Nowadays consumers are
using Internet as their tools to achieve their motivations. Their motivation could be connected
to their old friends, business, or reviews to support their decision- making. Reviews on social
media become second-hand resources to support consumer’s decision- making because they
want they want value from their dollar. Reviews on social media not only affect to expensive
items, but also inexpensive items as well. People can see the reviews on cosmetics, books,
cars, hotels, or even nail polishes. Those reviews can motivate purchases or support
consumers decision- making by make it more reasonable to spend the money on it.
Social media does not only effect consumers’ decision making on products or services, but also
it helps in other fields of studies or careers such as political or juror impartiality and fair trials
too. In context of justice system, the easily accessible nature of the Internet has results in
jurors having the ability to consult an online social media source in order to aid their decision-
making and deliberations(Simpler, 2012).
Social media helps juror to broadcast their options about ongoing court. Jurors find some
advantages of information or any evidence that can support their decision and help them
making their decision. Twitter is the most important for sharing news, and information, which
is up-to- date.
This information may not be confirmed that it is true or not true but at least it will give the
jurors the idea and know what other people think about the case. Today researchers have
found that social media helps jurors to have a wide open vision of the case and can also
influence to the juror’s decision making(Simpler, 2012).
Another study examined the effect of social media on a person's decision-making by sharing
health information on news and social media. The study observed the coverage of influenza
vaccination on Dutch news sites and social media websites. Dutch news sites and social
media websites were promoting the campaigns of influenza vaccine during February, March,
and April, 2012. From this study the results showed that news media and social media give
different tones in messages. News media reports tended to be more objective and non-
judgmental, while social media more critical of behaviors of Internet users and may influence
the success of vaccinat ion campaigns and recommendations made by health authorities
(Lehmann, Ruiter & Kok, 2013). However, this study concludes that it was a first step in e-
Health announcements. People tend to respond to the news on social media more than news
media. It is attractive and influences people on their decision- making due to the Internet and
might be an important source of health information. Since people can’t try travel-related
products and services before they consume them, dynamic processes with various amounts
and types of information sources have been used (Fodness, & Murray,1977). Many studies
have found that many travelers used social media as a guideline for their trip. Reviews of
places, hotels, transportation, food, or restaurants could have large affects on traveler’s
decisions. Travel organizations and businesses have used social media as a communication
tool for their audience by posting travel information; uploading photos, warnings, advice, or
sharing personal traveler reviews. Those things can influence trip's decisions and even create
future trip destination impressions. Fifty-eight percent of U.S. online travel used ratings
for their travel information: 49% of them checked reviews and
recommendations: 18% used photos and friends’ social network sites : 12% read blogs: and
5%watched videos (eMarketer, 2007).
Venkatesh, Speir, and Morris (2002) showed the theory of social influence affected
person’s decision- making. People participating in social media activities are usually
in communities and appear to be socially influenced by the community group
members. Social influence is defined as the degree to which a person believes that
person to perform a particular behavior (Venkatesh, Speir, & Morris, 2002). From the
social theory, it shows the support of the idea that social media has become a key
influence in a person's decision-making process..., they need confirmation on what
they decide is the best.

FACTOR AFFECTING CONSUMER BUYING BEHAVIOR


Cultural Factors        
Culture Personal factors      
Age Social Factors    
References Group Psychological  
  Motivation  
Occupation
 
Sub Culture  
 
Life Styles
Family 
Perception
  BUYER
Personality  
 
Social Class
Roles and Statues Learning

FACTOR AFFECTING BUSINESS BUYING BEHAVIOR

Environmental        
Economic Organizational      
Objective Inter – Personal    
Authority Individual  
Age  
Status
Education BUSINESS
Empathy
Income
BUYER
Political Policies

Cost of Money Procedures

So, these are theStructure


Competition factors that affect the consumer as well as business buying
behavior.

BUYING DECISION MAKING

Consumers make the decision on the different brands available in the market. They
will give the choice over the different brands. So there is a model that describes
how the consumers make the choice and preferences over the different brands.

The Following is the model of buying decision-making: -

1. Total Set: - In this they used to maintain the list of the all-leading brand to those
particular products, that are available in the market.

2. Awareness Set: - After that they used to make the list of those selected brands
with that they are something knows and aware about their products.

3. Consideration Set: - After that they used to make the list from the list of known
brands, about those they know something better than other brands.

4. Choice Set: - After the consideration of some brands, a list of choice brands
those having the greater chances of acceptance over others.
5. Decision Set: - After the all of the process in last most preferred, most
acceptable during the buying decision process.

So that it’s a process, which defines that, how a buying decisions are made among
the number of brands available In the market.

So that it’s all about the general buying behavior of cons, and business buying
according to marketing concept, because to understand and making study over
buying behavior first its necessary to aware with concept of buying behavior.

MODEL OF BUSINESS BUYING BEHAVIOR 

So that’s all about the category of computer processors buying behavior as to each divided in
SMB as to their use and sales point. Now we will be discuss with the concept of the from the
point our study and discuss how these companies make it possible.

 PROBLEM FORMULATION

In this report we are making a study report for the buying behavior of Processors in order to
know the position of different sets Processors brands of different companies in the market. So
that we divide the problem in sub parts to make the good and result oriented study report.
Problem defined as: -

Ø     What is the Position of the computer processors all companies in the Indian market?

Ø     Different players in the processor market.

Ø     Perception of dealers and consumer about these companies.

Ø     Physical distribution of these companies competing with others.


Ø     Taste and preferences of dealer and consumer towards computer.

Ø     Price effect over consumer and dealer between competitions. Marketing and sales
promotion activity of these companies.

Ø     Competition in terms of price, technology and after sale service.

Ø     Find out the consumer and business target groups.

So as to study the buying behavior we divide the problem overstated parts, so that it can be easily
formulate and solved.

SIGNIFICANCE OF PROBLEM

Every one knows the time of manual working and now we have different set of machines for the

different work, it makes our work very easy and fast. In these machines computer is one and

buying of a computes is not a simple task. In that buying behavior for the computer processors

has Its own significance. For that we divide the problem as stated in above sect and each problem

has its own significance to answer the following questions: -

Ø     Why, When, How, What, where and who is buying the Computer?

Ø     Why, When, How, What, where and who is buying processors and which one?

Ø     Why, When, How, What, where and who is buying only INTEL processors?

Ø     Why, When, How, What, where and who is buying other than INTEL processors?

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