Wednesday, May 26, 2010

How technology influences consumers behavior

I am reading for LIS2000, lots of overlapping thoughts. I reckon that this blog is an avenue for me to air my views when it does not fall into our group discussion topics. After all, it is all about Information...

The synopsis of "Everything is Miscellaneous" has a statement that reads "Authorities are less important than buddies. Rather than relying on businesses or reviews for product information, customers trust people like themselves."
This reminds me of a discussion I had with my husband - We were talking about an article in the Taiwan Business Weekly on the studies of consumer spending behavior in China. The article features an interview with the founder of a marketing survey company, who is a young man only in his 20s. He opined how consumers nowadays are less likely to buy under the influence of advertisements. People are relying more on opinions of other consumers, which corroborates on the statement in the synopsis above. How do people shop for a laptop nowadays? They will likely go online to a forum with the specs at hand and ask for opinion from other users. No longer is communication one-sided (from vendors to consumers). There are many more ways for consumers to find out about a product today compared to the not-so-distant past.

"Word-of-mouth" is still at play here. The difference is, today, there is the omnipotent technology to propel this very powerful marketing tool called word-of-mouth to the next level. In the past, word-of-mouth works via physical contact only - like Paul, the evangelist who walked many miles and met many communities to preach the gospel. In our era, we need only to post it up on a blog or forum to reach seas of people...analogous to Paul walking a few thousand miles.

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