digital marketing impact on consumer buying behavior

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Marko Merisavo
The Effects of Digital Marketing
Communication on Customer Loyalty:
An Integrative Model and
Research Propositions

HELSINKI SCHOOL OF ECONOMICS
WORKING PAPERS
W-400

Marko Merisavo
The Effects of Digital Marketing
Communication on Customer Loyalty:
An Integrative Model and
Research Propositions

Marketing
February
2006

HELSINGIN KAUPPAKORKEAKOULU
HELSINKI SCHOOL OF ECONOMICS
WORKING PAPERS
W-400

HELSINGIN KAUPPAKORKEAKOULU
HELSINKI SCHOOL OF ECONOMICS
PL 1210
FI-00101 HELSINKI
FINLAND

© Marko Merisavo and
Helsinki School of Economics
ISSN 1235-5674
(Electronic working paper)
ISBN-10: 952-488-006-7
ISBN-13: 978-952-488-009-1
Helsinki School of Economics HSE Print 2006

The Effects
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The dominant logic of marketing is shifting from the exchange of goods toward service, interactivity, connectivity and ongoing relationships (Vargo and Lusch 2004).
Technological innovations, new channels, and changing media environments facilitate this shift (Bhattacharya and Bolton 2000), and the question of how firms should interact with their customers is gaining in importance, especially as firms consider the cost differences between traditional communications media, such as television and sales forces, and electronic media, such as the Web and email (Reinartz et al. 2005). The cost efficiency and interactivity of digital channels facilitate ongoing dialogue between the enterprise and the customer (see e.g.
Deighton and Barwise 2000; Peppers and Rogers 2004). Marketers can now be in touch with their customers on a more frequent basis and increase the level of personalization and interactivity with low or non-excessive cost. Our main claim is that being frequently in touch with customers should help achieve positive effects on customer loyalty.

For instance, customers can be offered additional information and brand communication when buying products or
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