On Dealing with Today’s Consumer Attitude!
The digital world has made brand managers’ job a whole lot easier and much more complicated at the same time! Nowadays, Customers have access to tons of information. They are bombarded with hundreds of marketing messages on a daily basis. Take the US market as an example and you will find that businesses have spent around 49.5 billion dollars only on digital advertising in 2014. By 2020, expenditure on global internet ads is forecasted to exceed the budgets dedicated to traditional advertising (mainly traditional TV ads).
How has the Internet Changed Consumers Attitude?
To determine how digital trends are impacting brands, it will be important to take a closer look at different manners in which various digitial technologies have affected consumers’ behaviour over the past decade.
Today, the most trendy phenomenon is found to be the User-Generated content. It is in the heart and soul of today’s digital space, and without doubt, it gives consumers much power when it comes to boosting or breaking brands.
User-Generated content plays a key role in finding the right product/service and its associated purchase process. It is interesting to find that out of 51 percent of Millennials trust User-Generated content more than a company’s website and more than personal recommendations received from friends and family members!
Different research found that Millennials would not consider buying before reading User-Generated content and customer reviews for different products and services. For example: reviews on electronic devices, automobiles, accommodation, credit cards and insurance among many others.
Threats or Opportunities?
If you thought about it, you might conclude that the evolution of information dissemination and technology is nothing but natural. Many successful marketing professionals have modified their plans to include more flexible approach that incorporates possible needs, wants and preferences of their consumers with the presence of possible digital platforms, or you may call them “Digital Opportunities.”
The internet has led to a power shift. Especially the “Bargaining Power of the Buyer” (as mentioned in Porter’s Five Forces). While marketers held all most of the power in their hands before, the situation is now completely different. Power has gradually shifted to be in the hands of consumers.
Our research found that in today’s Buyer-Decision-Process, people are looking at four major areas:
Personalised interactions with their brands (could be through the generation of content, social media marketing, direct interactions and beyond)
Added value (could be in the form of a convenient online shopping experience or a free ebook containing useful information and beyond)
Interactivity that leads to complete dynamic Consumer-Brand relationships
Online communities that are based on needs, preferences and interests