Impact of Internet Marketing and Social Media on Traditional and Modern Consumer Decision Models - Essay Example

work Table of Contents Introduction 3 Impact of Internet Marketing and Social Media on Traditional Consumer Decision Model 4 Impact of InternetMarketing and Social Media on Modern Consumer Decision Model 6 Comparison between Traditional and Modern Consumer Decision Model 8 Conclusion 10 References 12 Introduction Internet marketing which is also acknowledged as online marketing refers to the marketing of various products and/or services using the medium of internet. The conception of internet marketing has gained its significance in this present day context as compared to the earlier years predominately due to cost-effectiveness associated with it (Chaffey & et. al., 2009). This can be justified with reference to the fact that the marketers often find internet marketing to be quiet economical for executing marketing activity over traditional marketing tools and techniques. It would be vital to mention that both internet marketing and social media imposes considerable impact on the purchasing decisions of consumers. It can be affirmed that internet marketing as well as social media generally categorised as modern consumer decision model, which can be identified to affect their purchasing behaviour to a considerable degree (Bidgoli, 2004). Apparently, the decision models of the customers are generally segregated into two divisions namely traditional and modern that differs in terms of their perception, functionality and most importantly nature. Specially mentioning, in terms of having differences in nature between the above discussed models, it can be apparently noted that traditional consumer decision model emphasise more on cognitive and sequential aspects as compared to the modern consumer decision model. It is worth mentioning that both internet marketing as well as social media affects the purchase behaviour of the consumers specifically the young adults aged between 18-30 and their purchasing decisions (Weber & et. al., 2001). With this concern, the essay intends to investigate and explain the impact of internet marketing along with social media on the consumer decision models i.e. traditional and modern along with the social cultural, personal and psychological factors that affect the purchase behaviour of consumers. Moreover, a comparison would also be depicted in this essay between the above stated two models. The above analysis would be made by taking into concern the young adults of Dubai aged 18-30 as a case to obtain concrete inferences. Impact of Internet Marketing and Social Media on Traditional Consumer Decision Model Prior to analysing the impact of internet marketing and social media on traditionally based consumer decision model, it is quite important to acquire a brief idea about how the purchasing decisions of the customers can be determined. It is worth mentioning that the decision making of the consumers towards buying any specific product can be determined based on several imperative factors and activities that comprise need recognition search of valuable as well as relevant information and assessment of the alternatives. Moreover, the other activities comprise buying intent of the consumers, act of buying goods and finally consuming the products (Bray, n.d.). It has been apparently noted that the modern conceptions of internet marketing and social media have imposed extensive impact on the traditional consumer decision model in terms of shifting the focus of the consumers from traditional to modernised marketing avenue through accessing various official websites of diverse business organisations. It is widely accepted that the emergence of the modern consumer decision model has drastically revolutionised the traditional one in the form of bringing the marketers to a modernised and a new era. In this modernised era, the notions of internet marketing and social media have upgraded the relationships existing between the marketers, retailers, distribution channel partners and the ultimate consumers (Lee, 2013). By taking into concern the case of the young adults of Dubai aged 18-30, it can be apparently recognised that these individuals in this present day context spend much time in accessing various websites of companies and make their purchase decisions through these sites. This clearly depicts that the young adults largely embrace modern form of marketing based on social media and make their respective purchase decisions accordingly. This might be due to the reason that the contents displayed on social media are usually neutral as well as democratic, appealing the young adults to make effective purchase decisions (Kannan & et. al., 2010). Apparently, there exist various factors that largely affect the purchase behaviour of the consumers of Dubai falling under the age group of 18-30. These factors are attributed to cultural along with social, personal and psychological. In this similar context, Vel & Rodrigues (2013) identified that people in Dubai mainly embrace the Bedouin culture and the religion of traditional Arab as well as Islam. By taking into the cultural aspects prevailing in Dubai, Vel & Rodrigues (2013) argued that the purchase decisions especially of the young adults aged 18-30 are normally made based on various significant aspects. These aspects include family background, personal relationships along with reputation, societal values and materialism. On the other hand, as per the observation made by Vel & Rodrigues (2013), there lay certain vital social factors that largely affect the buying behaviour of the consumers especially of the young adults. In this similar concern, Vel & Rodrigues (2013) identified these societal factors to be higher social class, collectivism i.e. focusing on groups rather than individuals and paternalistic community among others. Apart from cultural and societal factors, certain personal factors also influence the purchasing behaviour of young adults aged 18-30 of Dubai. In this regard, the personal factors comprise lifestyle, occupation and personality among others (Vel & Rodrigues, 2013). According to Vel & Rodrigues (2013), the young adults of Dubai possess a lifestyle of gaining maximum knowledge regarding internet and sharing information with others in the form of instant messaging. This ultimately affects their respective purchase behaviour at large. In terms of psychological factors, the attitudes of the young adults aged 18-30 of Dubai towards online shopping also impose extensive impact on their respective purchase decision procedures by a considerable extent (Vel & Rodrigues, 2013). Thus, based on the above discussion, it can be affirmed that internet marketing, social media, and the cultural, societal, psychological along with personal factors impose extensive impact on the traditional consumer decision model and also affects the purchasing behaviour of the young adults aged 18-30. Impact of Internet Marketing and Social Media on Modern Consumer Decision Model The notion of social media is incessantly empowering the consumers in UAE region, ultimately portrays the impact of the same on modern consumer decision model. Certain significant aspects that encompass newer as well as innovative communications technology and broader influencing systems have certainly transformed the traditional decision-making procedure of the customers in Dubai. Besides, the above stated two aspects have provided greater powers to the young adults aged 18-30 in terms of making effective business decisions, resulting in affecting their respective purchase behaviours at large (IAA, 2014). It has been apparently observed that the modern consumer decision model fundamentally comprises certain imperative elements which might affect the purchase behaviour of the consumers. In this similar concern, Abideen & Saleem (n.d.) identified the above elements to be ‘consideration’, ‘evaluation’ and ‘buy’ among others. As per the study conducted by Abideen & Saleem (n.d.), the element of ‘consideration’ denotes the product features and advantages that the customers usually seek prior to making any purchase decision. The ‘evaluation’ stage or process generally starts after considering various sorts of brands that might satisfy the purchase decision of the consumers. During this particular stage, the consumers often become influenced by various digital channels that offer content rich, accessible and free online research, which is performed through social media, blogs, search engines and reviews among others. Finally, the other element i.e. ‘buy’ signifies that when the customers become ready for making a purchase, it is quite important for the marketers to offer them with exceptional services, resulting in influencing their purchase behaviour at large (Abideen & Saleem, n.d.). After acquiring a brief idea about the modern consumer decision model, it can be affirmed that both internet marketing as well as social media impose considerable impact on this particular decision model. The consumers following modern decision model usually tend to utilise their respective valuable resources and effectively allocate budgets with the aim of evaluating the products that they desire to buy and most vitally raising their satisfaction level concerning the desired products (Vel & Rodrigues, 2013). Relating to the case of the young adults aged 18-30of Dubai it can be apparently noted that the modern consumer decision model imposes considerable impact upon the purchasing behaviour of the above discussed populaces. This can be justified with reference to the fact that the young adults aged 18-30 are much inclined towards internet marketing due to various reasons such as convenience in transaction, availability of wide varieties of products and services and cost and time efficiency among others. The influence of social media can also be observed to be significant on the consumer purchasing behaviour. It would be vital to mention that the access to various sorts of social networking sites (SNSs) have entrenched within the day-to-day lives of the young adults of Dubai. In this regard, the social media has resulted in increased interaction between the customers and the marketers as well as it has drawn attention and stimulate the customer’s willingness to purchase products (Kannan & et. al., 2010). Specially mentioning, the impact of social media and internet marketing can be apparently viewed to extend from forming as well as developing associations and networks, which certainly assists the business organisations to effectively conduct their respective marketing activities. Including customers, it can be affirmed that the concepts of internet marketing and social media have imposed substantial impact on marketers to follow modern form of marketing activities. The reason for this is that the platforms of social media have drastically transformed the segmentation approach in embedding effective marketing strategies rather than identifying demographic factors like income, age and gender. Moreover, it is strongly believed that marketing through social media is all about obtaining as well as exchanging various types of opinions and perceptions, which eventually results in making the modern consumer decision model a two-way procedure. On further note, the conceptions of internet marketing and social media assists the modern business organisations in generating the platform of true interactivity through which they will be able to generate greater value to the customers in the form of providing them with quality products or services (Lee, 2013). Comparison between Traditional and Modern Consumer Decision Model Apparently, both traditional and modern consumer decision model have been noted to affect consumer purchase behaviour by a considerable degree. This could be regarded as one of the similarities existed between the above discussed two models. However, certain dissimilarities can also be noted prevailing between traditional and modern consumer decision model. It would be vital to mention in this similar context that the modern consumer decision model has gained its significance in this present day context due to certain crucial factors that comprise changing business environment, increased level of globalisation along with internationalisation, gaining momentum of liberalisation and prevalence of extreme business market competition. One of the prime differences, which can be apparently recognsied to be prevailing between traditional and modern consumer decision model is the incorporation of a new step. It has been often argued in this regard that a newer step has been added specifically in the modern consumer decision model i.e. the step of establishing greater trust or confidence, which was not found in the traditional consumer decision model. This might be regarded as one of the prime differences, which prevail between traditional and modern consumer decision model (Constantinides, 2004). The other difference prevailing between traditional and modern consumer decision model is the factor of cost-effectiveness. Identifiably, in this similar regard, the traditional consumer decision model places more value on psychological factors while the modernised one is more rationalize. Most vitally, in relation to traditional consumer decision model, utmost focus was laid upon selling the products. In contrast, gaining greater customer satisfaction is the prime intention of modern consumer decision model. In precise, it can be affirmed from a broader understanding that traditional consumer decision model was not customer driven or focused, whereas, modernised consumer decision model is customer oriented or service driven. It can be apparently identified that the consumers often adopt and follow modernised model of making effective purchasing decisions as compared to the traditional one due to their attainment of quality products or services. Specially mentioning, the traditional decision model is not followed by the consumers in this present day context due to the reason that it is quite time consuming as compared to the modernised model (Association for Consumer Research, 2014). This can be better understood by taking into concern the case example of the young adults of Dubai aged 18-30 who tend to make buying decisions based on modern consumer decision model. This might be owing to the reason that these individuals find the modern consumer decision model to be convenient, cost efficient as well as simpler than the traditional one (Kannan & et. al., 2010). By taking into concern the above discussed aspects, it can be affirmed from a broader understanding that the traditional consumer decision model is a conformist concept and the modern consumer decision model is a newer one as this includes overall planning of how to purchase products in an effective manner with reasonable costs. This could be one of the potential reasons for the customers to opt and follow for modernised consumer decision model as compared to the traditional one at large. Conclusion Based on the above analysis and discussion, it can be recognised that the notion of internet marketing and social media impose extensive impact on both the traditional and the modern consumer decision models based. The influence of internet marketing and social media on traditional and modern consumer decision models can be identified to ultimately affect the consumer purchase decision. Apparently there exist various imperative factors, which encompass social, personal, cultural and psychological that largely affects the purchase behaviour of the consumers by a significant level. With reference to the case of the young adults of Dubai aged 18-30 it has been noted that these group of population have greater access to SNSs and its impact are apparent on the young adults of Dubai. The young adults are utilizing the Social media to acquire information about products and services as well as share their product and service experience with other which have dramatically impacted their purchasing decisions. At the same time, internet marketing has enabled the young adults to access large information about the products and services as well as evaluate these products instantly and make their final judgement. Besides factors such as convenience, as well as cost and time efficiency have radically influence the purchase decision of the young adults. Several differences can be found to be existing between traditional and modern consumer decision typology that play a decisive role in making the consumers to make purchasing decisions effectively. One of such differences is that the traditional consumer decision model remained much focused on selling products instead of maximising customers’ value, whereas, the modern consumer decision model prioritises both delivering quality products or services to the customers and accomplishing their satisfaction level. With this concern, it can be concluded that internet marketing and social media impose extensive impacts specifically on the modern consumer decision model as compared to the traditional one. References Association for Consumer Research, 2014. Conceptual Contributions. On the Interface Between Organizational and Consumer Buying Behaviour. [Online] Available at: http://www.acrwebsite.org/search/view-conference-proceedings.aspx?Id=9499 [Accessed April 22, 2014]. Bidgoli, H., 2004. The Internet Encyclopedia, Volume 2. John Wiley & Sons. Bray, J., No Date. Consumer Behaviour & Consumer Decision Making. Consumer Behaviour Theory: Approaches and Models, pp. 1-33. Chaffey, D. & et. al., 2009. Internet Marketing: Strategy, Implementation And Practice. Pearson Education India. Constantinides, E., 2004. Influencing the Online Consumer’s Behaviour: The Web Experience. Internet Research, Vol. 14, No. 2, pp. 111-126. IAA, 2014. Press Releases. Home. [Online] Available at: http://www.iaauae.org/en/press-releases/social-media-is-empowering-the-uae-consumer-new-techniques-presented-in-iaa-educational-series.html [Accessed April 22, 2014]. Kannan, S. & et. al., 2010. Social Networking Sites in the UAE Emerging Market: In Pursuit of Knowledge about Users. Research Online. Lee, E., 2013. Introduction. Impacts of Social Media on Consumer Behaviour- Decision Making Process, pp. 6-74. Vel, P. & Rodrigues, J., 2013. Online Purchase of Luxury Products in the U.A.E. International Journal of Social, Human Science and Engineering, Vol. 7, No. 7, pp. 98-103. Weber, E. U. & et. al., 2001. Conflict and Tradeoffs in Decision Making. Cambridge University Press. 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