In order to investigate the relationship between brands and consumers, an understanding on the effects the Internet has on both the brands and the consumers must be recognized. Further to this, the paper will research the characteristics of the Internet, the communication models, the market environment and the impact the Internet has on consumer behaviour.
The Internet is an extremely efficient medium for accessing and communicating information. Marketing on the Internet has been widely developed over the past decade, especially within the use of social media. Businesses see social media as an advantage when it comes to building relations with customers, as well as increasing customer retention levels. It is an informal way for businesses to reach their consumer bases, allowing them to maintain communication with their target audience on a more personal level. New technology is also helping the development of the Internet with the choice of various platforms such as laptops, desktops, mobiles and tablets. According to the Global Web Index Study, “the number of people accessing the Internet via their mobile phones has increased 60.3% over the last two years.” More and more devices are becoming Internet enabled, this allows consumers to access many webpages at a time when purchasing online due to the speed of the Internet and the various new apps available on mobile devices and tablets. The communications regulator, Ofcom, said that 86% of consumers spend their time
Social media is not new. Facebook has been around since 2004, YouTube since 2005, and Twitter in 2006. What is new is how social media sites like Facebook, YouTube and Twitter are affecting the way businesses market their products and services. Never before in our history have consumers been able to communicate so effortlessly with each other and with the businesses they frequent. Never before have businesses been able to interact and react to customer feedback so quickly and efficiently. However, just because businesses have the ability to use social media for their marketing and advertising efforts, does not necessarily mean they should. This paper intends to
Lately, there have been issues of brand management on the internet. The new digital tools require a lot of adjustments at the executional stage. According to Chaffey (2000) Internet marketing success depends on the sites interactivity features. Also added that a brand’s presence online should be conceived in a way that is sympathetic to the technology and the environment. Many brands fail in the execution of different features resulting in customers’ needs and expectations not being met says Hewson and Coles (2001) The consumer still looks up to the luxury brands although the bond is presently being evolved beyond the existing “top-down” model. (Okonkowo, 2009) The percentage of online shoppers and the sales of luxury brands have been on a positive growth. In spite of the growth, it’s not clear that what drives the consumers to shop online and whether they would be interested in shopping if attractive online stores were introduced. Therefore, what factors affect consumers to shop online will be examined here. A framework is necessary to develop the complex system and determine these factors, influences and buying behaviors of the consumer. (Perea, 2004) Affluent consumers use the internet as their powerful source of information about the luxury products and it is necessary that they have an online presence.
This paper entails the influence that social media has become an important aspect in our lives to such a point that is inedible not to be connected. Explaining the concepts as to why we use social media on both business and personal matter or both combined. Communication has gone severely digital and has increase business marketing to an extreme profitable level. The efficiency of data collection and cloud computing through social media providing business/companies with an upper hand advantage for marketing strategies. The opportunity for conveniency of digital application connections for each and every individual on the internet and to have the option as to what kind of information you want to receive. Whereas detailing the usage from an advantage
The marketing industry is an elaborate network that links companies to their consumers, primarily through written communication. The main objective of marketing is to identify trends and patterns in consumer behavior, and utilize the data to influence consumers to purchase more goods. From a macroenviroment standpoint, the general conditions of a market are heavily dependent on global environmental factors. The most significant factor that influences the markets today is technological advancements. Since the release of Facebook, Linked-in, Twitter, and Myspace in the early 2000s, the number of people using social media has increased to over sixty-five percent. The ever-growing dependency on social media platforms, has given marketers the tremendous opportunity to further market potential consumers. Social media marketing is a specific form of marketing that focuses on producing ad content that social media users will post on their own networks. This particular marketing technique is effective because ads and content are created, based on what personal information users post on social media. Firms and organizations that advertise their brands on social media are more likely to increase their customer base and annual revenue. By doing so, companies are able to increase exposure of their brand and widen previous hidden, customer bases. As a marketer, the fine line between right and wrong is often blurred. The amount and
American consumers spend on average five hours each day on their smartphones. Whether we’re checking emails, texting or scrolling through social media, most Americans are in constant contact with world communication. Social media is described as the collection of websites and other online means of communication that are used by large groups of people to share information and to develop social and professional contracts. Some commonly known communication platforms are Facebook, Twitter, Instagram and Pinterest. These websites are used to share photos, as a news source, to reconnect with friends, and to communicate instantly.
Also, they are using social media websites to observe the change of customers’ attitudes and interactions regarding the products and services provided by those companies and organization. In Juan 4, 2013 a market survey proofed that over 88% of people in the Middle East are using the social media as a daily routine. That means that using social media is widely spread between people of different ages in the Middle East. They can log in their social media accounts on the go using their cell phones. Kuwaiti people are highly using social media networks such as Facebook, LinkedIn, Instagram, Twitter…. etc. This spread in using social media pushed the companies and the business organizations to advertise their products and services via these social media websites. Advertising through social media has become valuable and effective way for marketing. Also, business that use social media as a way of advertisement is described to be transparent. Social media keeps the communication channels between companies and customers open and it informs the customers with the new products and promotions (Sandell, 2014). When we talk about Kuwait, it can be said that
Social media has gained a lot of popularity over the past few years and as a result of this popularity, other traditional Media have experienced decline in both business and popularity. Over the past 40 years, we have experienced a radical change in how business is conducted and how people interact. The introduction of personal computers, the Internet, and e-commerce have had a tremendous impact on how businesses operate and market. Social media takes on many different forms including magazines, Internet forums, weblogs, social blogs, micro blogging, wikis, podcasts, photographs or pictures, video, rating and social book marking. In the world, a social media like face book, twitter, Orkut, my space, skype etc., are used extensively for the purpose of communication.
The invention of the internet could be considered the most notable technological advancement in the Twenty-First century as evidenced by its widespread availability and excessive use by people all over the world. As people of all ages and demographics spend increasingly more of their time on the Internet, daily social media use is simultaneously increasing for these users. Currently, about one-fourth of the world’s population uses social media and more than one billion internet users watch YouTube videos monthly (Knoll, 2016, pg. 266). As these social media sites gain popularity, businesses have also decided to enhance their internet presence by way of utilizing social media platforms as advertising mediums used for reaching consumers.
Throughout history, humans as a society have grown tremendously since the industrial revolution. We now live in the Information Age. This is an age in human history that is characterized by the introduction of the personal computer in the 1970s. Since then technology continues to be introduced to allow us to have networking, the news, the latest technologies right at our finger tips. About eighty-six percent of people spend about five hours a day on cell phones, we spend twenty hours a week online, and we spend about one hundred fifty minutes a day on social media. Social media has been one of the biggest movements of the information age. What exactly is social media? And how does it affect businesses today? We will explore how Facebook, Instagram, and Twitter among other social media platforms have helped boost sales to unimaginable heights, this single most important effect, has forced companies to consider its policies and thereafter direct sales. Also, we will explore why a company’s online presence is important and the effects of it in a business marketing strategy and direct sales.
Digital media is more than a new form of communication, it is an entirely different world of social interaction. The internet allows an instant, direct and interactive experience between businesses and consumers that encourages much more consumer involvement than ever before. Marketers have seen a gradual decline in traditional advertisement methods, and have shifted to a more social media based marketing campaign. The fundamentals of marketing need to be updated to keep up with the fast-paced lives of consumers. Companies who are not taking advantage of this digital platform will most likely fail no matter how large
By looking at the huge 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.)
The statistics help us appreciate the marketing power of social media. It is estimated that 75% of the global consumers who use the web regularly visit social media websites (Libert, 2011). Visitors are reported as spending anywhere from 3 to 6.5 hours a day on sites such as Facebook. Subscriptions for social media sites are growing by leaps and bounds. Facebook, as an example, announced over 500 million users in 2011. Similarly, LinkedIn reports over 60 million subscribers; Twitter has 110 million users and MySpace claims of 50 million users in the United States alone (Fredericks, 2012). This indicates that social media has truly etched out a dominant position in the modern world of communication. For
The last couple of decades have witnessed rapid technological advancements, which have consequently caused dramatic changes in the way we live, work, and play (Peterson, Balasubramanian, & Bronnenberg, 1997). Likewise, it is little doubt that the lives of consumers and their purchase behavior have also undergone change. The advent of the Internet has been increasingly considered as a unique and interactive medium for conducting research on brand information (Porter, 2001; Steckel et al., 2005). For example, imagine that Joe's cell phone recently stopped working and now, Joe is in the market to buy a new phone. Joe is not quite sure which cell phone brand is the most popular and which brand is most likely to deliver what he is looking for
Marketing is one of the most pivotal parts of doing business in today's society. Marketing incorporates many different elements such as branding, customer relations, and promotions. Conventional brick-and-mortar businesses have learned that there is significant value in marketing their organization, product or services over the internet. Doing so allows them to reach a wide audience online, which can only augment whatever conventional marketing they are doing in the physical world. As such, it is quite clear that organizations should spend a great deal of their focus marketing online.
The first thing that we will be discussing is why business adopts to E-marketing. Why a huge number of companies are now transferring most of their advertising budget on online marketing or also known as E-marketing rather than that of the old traditional marketing in magazines, newspapers, and the like.