Impact Of Digital Technology On Marketing Strategies

2823 words - 12 pages

Impact of Digital Technology on Marketing Strategies

Consumer Behavior
MKT 625

October 11, 2011

Impact of Digital Technology on Marketing Strategies
For companies, large and small alike, the term “keep up or get left behind” is an absolutely relevant one. In this fairly new era of constantly growing and evolving technologies, it is crucial that marketing departments adjust their strategies in order to incorporate an effective digital technology component into their overall marketing strategies that will enhance overall market relevance and success in meeting the needs of the new generation of technology savvy consumers. The following pages will analyze the crucial ...view middle of the document...

Now, grandparents along with everyone else not only own cell phones, but they text, enjoy social media, read their local news papers, read books and even make purchases using the web and a credit card.

Technology now has profound impact on consumer behavior. Take brand loyalty, for example. The Smartphone enables consumers to comparison shop on the basis of price at the point of sale. A consumer can walk into a store and use an application on their smart phones that can read a bar code and tell the consumer if they are getting the best price for that item or if it is available for less money elsewhere, it even lets the consumer know where the nearest location is that will beat the price. The internet has several web-sites that do the same exact thing and in addition will often lead the consumer to an instant, printable coupon for an even bigger discount. The democratization of information may result in commoditization of brands as consumers make purchase decisions by searching for the lowest-priced product. Technology may also alter the purchase cycle and give rise to powerful third-party influencers, counterbalancing paid media's "management" of the purchase cycle (Avi, 2010).
Many analysts agree that the internet has product categories more price competitive. It is also making it easier to identify, and charge different prices to, customer segments. The internet also enables firms, especially service firms, to do more differential pricing by allowing them to change prices quickly at different times of the day or week (i.e., time pricing) or in response to unused capacity, as when airlines make last-minute fares available on their web sites (Mullins, J & Walker, O, 2010.p.303). Consumers who were once leery of even using the web are now using it to maximize their savings by utilizing digital technology to cross shop for their favorite items and if this means that they wait until the price is just where they want it to before purchasing the product, then this is exactly what they can do. These tactics are making it much more difficult for marketers to accurately gauge their sales cycle and these transformational shifts certainly affect consumer behaviors by giving them more options and information than ever before.
The term consumer behavior is defined as the behavior that consumers display in searching for, purchasing, using, evaluating, and disposing of products and services that they expect will satisfy their needs. Consumer behavior focuses on how individuals make decisions to spend their available resources (time, money, effort) on consumption-related items. That includes what they buy, why they buy it, when they buy it, where they buy it, how often they buy it, how often they use it, how they evaluate it after the purchase, the impact of such evaluations on future purchases, and how they dispose of it (Shiffman & Kanuk, 2007).

As we examine consumer behavior, a shift that can clearly be seen is that...

Other Papers Like Impact of Digital Technology on Marketing Strategies

What Has Caused the Increased Use of Digital Technology and Its Effects on Communication

871 words - 4 pages comes out which allows to have a live talk together instead face-to-face (Parent Line, 2008). Another important effect is that the digital technology improves the ability of communication during a catastrophe. On April 20, 2013, a magnitude-7.0 earthquake struck the Sichuan Province of China, killing more than 100 people and the houses nearby were all collapsed. Many were buried under the ruins. When some survivors tried to ask a help with the

The Impact Technology Will Have on Effectiveness of Education

3729 words - 15 pages The Impact Technology Will Have on Effectiveness of Education What fundamental assumptions of our society will be altered as a result of the computer revolution? The first thing to understand regarding the question posed is that this revolution is not an event but ongoing evolution. I believe that fundamental assumptions that will be altered by computers are centered on the role of computers. In relation to

The Impact of Education Technology on Student Achievement

1167 words - 5 pages The Impact of Education Technology on Student Achievement The purpose of this briefing is to outline what we know about the impact of education technology on learning and to identify resources for further study. Research on the impact of technology on learning is in its infancy though we are beginning to see solid work emerge. In this report, we look at some large scale state and national studies as well as some innovative smaller studies

Impact of Information Technology on Human Resource Management

812 words - 4 pages The impact of information technology on human resource management 1, information technology to promote human resources management mode change The nature of the role of IT is to complete the information collection, storage, processing, release, transfer and use. Therefore, human resource management is inseparable from good scientific information processing and information management. From a management point of view the process of information

Impact Of Technology

1514 words - 7 pages A perception of today’s society has made clear the multitude of changes in our everyday lives over the course of the last decade; arguably as a direct result of technology. We are constantly reminded of the technological advances when attempting to complete the simplest of everyday tasks, viewing entertainment, and all other various forms of entertainment. Nearly everything we do on a daily basis requires some form of technology; cell phones

The Impact on Competitive Advantage (Strategies)

890 words - 4 pages The impact on competitive advantage on McDonalds One of the competitive advantages is the strategy used in a company. In McDonalds Company, the strategies can be divided into several parts which are the strategies of competitors, globalization, health issues and how McDonalds overcome them, respect towards cultural differences among every different countries, and they put a strong focus on children. There are many international fast food

The Rising Impact of Social Media on Internet Marketing

1413 words - 6 pages said, social media is and will continue to be an impact in marketing and assists in the evolution of internet marketing. Works Cited Bowden, Jason. "The Impact of Social Media Marketing Trends on Digital Marketing." Social Media Today. N.p., 17 Mar. 2014. Web. 29 Apr. 2015. Gembarski, Robert. "Why Using Social Media Is Essential for Today's Business." Branding Personality. N.p., 17 Apr. 2012. Web. 29 Apr. 2015. Ancier, Brandon. "3 Brands That Use Social Media in Customer Service to Boost Happiness." TintUp. N.p., 11 May 2014. Web. 29 Apr. 2015.

Impact of Online Marketing

2040 words - 9 pages into consideration when implementing expansion project of internet marketing. The findings provide insight on the benefits of online marketing, what many retailers know, but may have not accepted. That is the changes brought about by digital technology is inevitable across all business platforms and need for proper planning. To date, however, the greatest impact of digital business is on online marketing as this addresses a wide base of

Digital Marketing Campaign Strategy of Fanta

2293 words - 10 pages their peers. Generation Play demands rewards and instant gratification and the branding around Fanta is reflects this. Fanta and digital marketing case studies Fanta is heavily active in both Facebook and Twitter. Its Facebook page has 3 million plus followers and the official Twitter account @FantaFun interacts with its followers on a daily basis. Fanta is a brand that pushes the boundaries of social media marketing strategies, by utilizing

Wk 4 Impact of Technology

1132 words - 5 pages Impact of Technology Ira Sams Technology 401 September 26, 2011 Brian Rideaux Impact of Technology Companies today rely heavily on technology to help them to stay competitive in the business world. A company has to evaluate where they want to be and what they are trying to accomplish. By doing the evaluations they have to look at how the company will introduce new products. Ways that the added products will add value to the company

The Impact of Information Technology on the Accountancy Profession in Nigeria

2905 words - 12 pages THE IMPACT OF INFORMATION TECHNOLOGY ON THE ACCOUNTING PROFESSION IN NIGERIA By: Idongesit Efiong Utah ABSTRACT This research focuses on assessing the impact of information technology on the Nigerian Accounting profession by examining four areas: Impact on the public and private sector, the challenges and reaction to the challenges posed by information technological innovation and information technologies enhancing effect on the Accounting

Related Essays

The Impact Of Technology On Society

515 words - 3 pages 11/29/15 John Kalafatic Mr. Chapman The Impact of Technology on Society The Internet is the decisive technology of the Information Age, and with the introduction of wireless communication in the early twenty-first century, it is possible that humankind is now almost entirely connected, albeit with great levels of inequality in bandwidth, efficiency, and price. People, companies, and institutions feel the depth of this technological

The Impact Of Information Technology On Accounting

2983 words - 12 pages . Accounting information is financial information about economic activities. All economic entities (e.g. businesses, government agencies, families, charitable entities) need such information because it is used for making economic decisions about those entities. An economic event of an entity is referred to as a transaction. Transactions are of two types: external and internal. Computers have had a significant impact on the accounting

Impact Of Social Media On Marketing

552 words - 3 pages PROGRESS REPORT ROLE, IMPORTANCE AND IMPACT OF SOCIAL MEDIA ON MARKETING 1. Introduction Social media marketing is a contemporary branch of marketing that uses social media to influence and convince the consumers about the significance of a firm, products or services. It also benefits businesses by telling them what their customers consider about their products and services (Rognerud, 2008). Social media marketing is a method that

Impact Of Technology On The Lives Of Canadians

551 words - 3 pages Impact of technology on the lives of Canadians Canada is containing some of the most modern and technologically advanced cities in the world. The fact that technology has revolutionized the different aspects and fields in Canadian’s society, this requires Canadians to rely heavily on technology especially in the field of education to be able experiences the cultural change. But as the saying goes, technology is a two edged sword, it has both