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❶Wealthy consumers scrambled to shell out money for extremely recognizable pieces; teenagers were proud to wear a brightly-colored t-shirt emblazoned with the Hollister Co.

Factors of Online Customer Behavior

ANALYSIS OF CONSUMER BEHAVIOUR ONLINE
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Interruptions caused by interstitial promotions could therefore permanently disrupt the research and displease the consumer. When buying products and services online, consumers are facing two fundamental differences: In other words, a physical product has been replaced by product information. Search engines at this stage do not necessarily represent the main resource any more.

Survey participants were at this stage just as likely to visit product reviews or news websites, seeking human advice and consumer reviews. According to study on Australian consumers Lindstrom, one of the main emerging characteristics of online users is the growing lack of patience Figure 5.

Lack of patience is especially prominent when a consumer engages in product research, feature and price comparison. This has been tested with a focus group and the survey results confirm that this is still the case. A majority of interviewed individuals stated that they are willing to wait only up to five seconds for a page to load. Online consumers are time conscious and are often willing to gamble with their money rather than time as it is impossible to recover lost time, where a moderate financial loss can be compensated Koiso-Kanttila, Focus group interview findings on the product information appear to be contradictory.

Consumers are not willing to read extensive amounts of data. For this, they require moderate amounts of summarised information. At the other hand, consumers are also not likely to buy anything online unless complete product information is available. Having to inquire about a certain product due to lack of information available on the website delays the transaction, however most participants were willing to wait extra time for a human response to an online inquiry Figure 6.

Zingale and Arndt discuss the importance of private time. A sales person can interrupt a customer in a physical store while they are engaged in their initial research.

This is particularly harmful if occurring prior to the stage when the customer is ready to buy or even ask any meaningful questions. Online stores have an obvious advantage in this case. The absence of the sales person allows website visitors to research products in their own time and pace, with no external pressure or time restrictions.

After receiving a satisfactory level of information, consumers either make a further inquiry or complete their purchase.

A website can traditionally be seen as a place of purchase, however, for consumers it is also a store, a brochure and a sales person, and is expected to serve quickly and perform well. Survey results show that the quality of presentation and information breakdown can affect consumer attitude towards the product and buying confidence. For example, basic quality standards are necessary in order to create consumer trust speed and structural integrity.

Second most prominent factor seems to be simplicity of the checkout process. Majority of participants have stated that they prefer not to fill out long registration forms. Survey participants responded best to the product information available on the actual product description page. In addition, very few consumers were willing to read FAQ, as they tend to appear too generic and broad, therefore requiring extra effort to find the required piece of information.

In order to maximise on potential traffic it is necessary to enhance search result page positioning and increase visibility of search terms in result page titles. A Pay-Per-Click campaign can be used as an alternative for more immediate results. The focus consumer group did not respond well to aggressive advertising methods.

Although not recommended, this type of advertising could be implemented in a subtle contextual advertising campaign. Ad placement could, for example, compliment the website content and be accessible on consumer demand.

Article link ads, for example, would outperform banners or pop-up ads. Main consideration when it comes to product information is segmentation and lack of physical presence.

As discussed in the behaviour analysis, consumers prefer to read and compare short summaries before choosing to read the full description. Quality and amount of product information will compensate for the lack of physical presence, while implementation of timesaving mechanisms and human-based recommendations would encourage product research and purchase.

Online pricing strategy may strongly affect consumers in a number of ways. An example used in this paper was Amazon. This example also implies the importance of online and offline price synchronisation.

As illustrated in Figure 10, consumers expect online prices to be lower or equal to those in the physical stores. Failing to satisfy their expectations can reduce their interest in the product and direct their research toward better-priced product with similar or matching features. Journal of Interactive Marketing, 20, Effects of outcome, process and shopping enjoyment on online consumer behaviour. Electronic Commerce Research and Applications 5 4 , — Journal of Consumer Psychology, 6 2 , Electronic Customer Relationship Management pp.

Making consumption decisions by following personal rules. Consumer motives, goals, and desires. Time, Attention, authenticity and consumer benefits of the Web. Business Horizons, 48, Victoria, Hardie Grant Books. Engaging customer passion with e-CRM. Exploration Entertainment Shopping Information Majority of young adults interviewed for purpose of this research tend to be active information seekers.

The following analysis presents both, focus group results and behavioural theory in a parallel fashion divided into two main research topics: Information Retrieval and Search Patterns Perception of Product Information Online These two areas are mutually dependent and particularly important in a market where consumers have the power to choose the right product from a number of competing suppliers.

Information Retrieval and Search Patterns Effect of consumer search behaviour on online promotions Combination of practical tests, survey statistics and one-on-one interviews conducted with a group of volunteers, produced a first-hand insight into behavioural characteristic of the target consumer group. Stage one — Initial search Fifteen volunteers were shown an unknown brand of a mobile phone were only logo was visible.

User eye hot spots in the search engine results. Post-purchase behavior will become more important after their online purchase. Consumers sometimes have a difficulty or concern about the product, or they might want to change or return the product that they have bought. Thus, return and exchange services become more important at this stage. The first elements to identify are factors that motivate customers to buy products or services online.

The External Factors are the ones beyond the control of the customers. They can divide into five sectors namely demographic, socio-economic, technology and public policy; culture; sub- culture; reference groups; and marketing.

Internal Factors are the personal traits or behaviors which include attitudes, learning, perception, motivation, self image. The Functional Motives is related to the consumer needs and include things like time, convenience of shopping online, price, the environment of shopping place, selection of products etc.

The Non-Functional Motives related to the culture or social values like the brand of the store or product. Customers use these three factors to filter their buying choices and decide on the final selection of stores they are willing to purchase from.

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With the evolution of online communication through internet, customers now see online advertisements of various brands. It is fast catching up with the buying behavior of consumers and is a major source of publicity for niche segments and also for established brands.

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Key Factors Influencing Online Consumer Behaviour – Backed By Research Posted on September 21, by Pawel Grabowski in Conversion Rate, Merchandising / Design with 3 Comments You can build what you think is the best store in the world.

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Consumer behavior is the massive push behind omnichannel strategy needs for brands. But this is still a relatively new concept — and not everyone is good at it at their first go around. chapter 7 online consumer behavior diploma in international business (bus).

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