2019 Magem 17-2 06 T

Download as pdf or txt
Download as pdf or txt
You are on page 1of 55

Consumer Motivation to Purchase Online: A

Conceptual Frame Work for Digital Marketers in the


young Parisian target(25-29 years old)
In collaboration with:

Master International Management


Université Catholique de Lille
(Lille, France)
Research project presented in partial satisfaction of the requirements to
obtain the degree of Magister en Gestión Empresarial by:

Miguel Angel LIZANA CASTRO

Master Program at ESAN: Magister en Gestión Empresarial 2017-2

November 29, 2019


This thesis

Consumer Motivation to Purchase Online: A Conceptual Frame Work for


Digital Marketers in the young Parisian target(25-29 years old)

has been approved.

..............................................................

Luis Chavez Bedoya (Jury)

Universidad ESAN

2019

1
Acknowledgment

I would like to convey my deepest gratitude to Sreeharsh with whom I developed this
dissertation at Université Catholique de Lille, also to Mm Véronique FLAMBARD who had
guided us to complete this endeavor. I do appreciate her time and effort for channeling
us through the fulfillment of this thesis.

Furthermore, I am thankful to my parents who are far away from here for their good
wishes and support throughout this effort.

Last but not least, I would like to acknowledge my friends who were very crucial for the
completion of this process.

2
Table of contents

I) CHAPTER I. Introduction …..……………………………………………………………………….…….......5


1.1 Digital Marketing, an introduction………………………………………………………..6
1.2 Digital marketers’ interaction with their universe ……………………….….…...7
1.3 Consumer behavior and motivation……………………………………………...….….9
1.4 Digital marketing and consumer behavior in digital space……..…….……..11

1.5 Consumer motivation and individual purchase decisions…………………...12

1.6 What does it motivates the consumer to buy online?............................12

1.7 Assessing online shopping behavior……………………..……………………….…..13

1.8 The factors determining online purchase motivation………………………….14

1.9 Digital marketing meets the digital consumer, a Conceptual Model……19

II) CHAPTER II. Problem ……….………………………………………………………………….……………...26


III) CHAPTER III. Methodology ………….……………………………………………………………….........27
IV) CHAPTER IV. Results ………………….………………………………………………………………………..31
5.0 Internal consumer motivation analysis ………………………………………………32

5.1 External consumer motivation analysis ………………………………………….….37

V) CHAPTER V. Discussion ………….………………………….………………………………………………..47


VI) CHAPTER VI. Conclusion ……….…………………………………………………………………………….49

VII) References …………………………………………………………………………….…………………………..50

VIII) Anexo…..…………………………………..………………………………………………………………………..53

3
LIST OF TABLES

• Table 1: Regression Statistics, Internal Consumer Motivation


• Table 2: Regression Statistics Variables, Internal Consumer Motivation
• Table 3: Regression Statistics, External Consumer Motivation
• Table 4: Regression Statistics Variables, External Consumer Motivation

4
I) Introduction

1. Digital marketing, an introduction

The world is transforming with the advances in technology. The digitalization is no more
a new phenomenon. It is the basic platform where all the transaction of the modern
world is based on. Thus, there is a paradigm shift in marketing as well. The dependence
on technology is increasing with innovation.

The advancement in electronics and communications and the advent of customer-


responsive equipment along with artificial intelligence is making tasks easier for
marketers to reach their target audience (Akanksha Lal, 2018). It had engulfed into
digital word and become a radical transformation from the traditional marketing
activities. The new branch of marketing named ‘Digital Marketing' had emerged, with
the progression of technology. Here the marketing is done through different channels
of the internet; the website domains.

The advent of social media and increased usage of mobile phones which characterizes
the mobile marketing are gradually increased by the availability of low-cost high-speed
internet to home users and thus by increasing the flow of information in the digital
world. (Cait Lamberton et al, 2016) Thus, in order to be successful in the future, the
organizations should require a specific marketing strategy, could be independent
agencies with adequate update knowledge about the application of marketing and
increasing the efficiency of digital marketing.

Integrating digital marketing to conventional marketing

Integrated marketing is the modern approach that unites all the key modes of marketing
into one. They are basically done by combining traditional marketing activities with
promotions through web and social media (Oana Duralia, 2018). This creates unified
continuous customer experiences with the related brand or the company.

5
It thus combines all the aspects of marketing and communication, customer acquisition,
public relations, sales promotions, advertisements, brand promotions and channelize
towards the public by the means of social media (Facebook, Snapchat, Instagram, etc.),
search engine optimization services, newsletters and email- marketing. This
encompasses the aspects of integrated activities of marketing enhancing the add-on
value towards the inbound and outbound flows of core marketing.

1.2 Digital marketer’s interaction with his universe

The aim of digital marketing is to convey the marketing and advertising campaign into
the digital world (Akanksha Lal, 2018). It assures the online presence of the company
through its websites and social media pages in general. The major techniques of digital
marketing are social media marketing, search engine marketing, email marketing,
selective partnership with other websites on promotion and content sharing.

a. How he sells, the medium of digital marketers.

The mediums that digital marketers meet their potential customers are obviously in
front of their ‘screens'. But that requires the digital markers to deliver their content
through each platform where they could find a potential customer. For identifying a
consumer and delivering their marketing content, digital marketers use the following
methods.

• Search engine optimization (SEO)

It optimizes the website by the process of ranking in the search page results. It increases
the flow of traffic into a specific website. There are mainly three types of methods to
optimization

i. On-page SEO

6
It optimizes by the means of the contents in the specified website by matching
the query or inputs. It thus ranks the website according to the resemblance of both data
in the website and the input from a search query.

ii. Off-page SEO

Based on the associated inbound links from different publishers towards on


specific website which is based on the activities, contents, and criteria made by the
publishers, the ranking is made. It is also called backlinks. It is the external factors that
influence the ranking of the website in a search engine.

iii. Technical SEO

It is the optimization based on the technical aspects of the website. It's based on
the website coding, image compression rate, data structuring and also on the
performance like website load speed, failure rate, etc.

• Email marketing
In this mode, the marketers send emails to the actual or potential customer
about the information about the product, offer or service. It is the direct form of
marketing targeting individuals. Thus, it’s an effective way to generate traffic
towards the website and hence clearly measurable.
• Content Marketing
This type of marketing is done by creating specific content that promotes the
brand or business and results in generating leads which eventually increase the
traffic towards the websites. This could be about the information about a
product or service. E.g. Blogs, paid reviews, etc.
• Social Media Advertisement
It is the marketing done by the means of social media by posting the information
that creates the inbound flow towards websites and its services. Some social
media web sites are Facebook, Instagram, Snapchat, LinkedIn, Twitter, Tinder,
etc.

7
• Pay per clicking
It is done by paying the advertiser who brings the traffic towards the specific
website when each time the advertisement is clicked.
This is the big revenue streams for search engines and big companies like Google,
Facebook, and Twitter.
• Programmatic Marketing
It is the automated marketing done by the means of real-time bidding of
advertisement that will display to the specific marketer for specific content. It is
basically done by software in milliseconds to bid and buy the screen space thus
giving the best returns to the advertiser and a confirmed sale for the marketer.
This is considered as the future of online marketing, in terms of efficiency.

b. How he counts, the Key performance indicators of digital marketing

After conveying his proposals through different platforms of the internet, it is important
to assess the result of these efforts. Assessing the KPIs help digital marketers to employ
a better understanding of their efforts and help them to frame new strategies to better
position their product and its advertisement campaigns. Most importantly it helps them
to estimate the return on investment for this whole venture. The following are the key
performance indicators that the digital marketers use for assessment.

Open rate: - It is the rate with emails that are opened and viewed. It is the result of
opened emails divided by the number of emails delivered. It is recorded when the
images in the emails are loaded while assessing the message.

Click through rate: - It represents the percentage of click on a link provided in the email
message. This is the real aim of email campaigning to redirect the public towards the
advertiser's product or service.

Number of Emails forwarded: - These are the emails forwarded by the recipients who
had shared the advertisement in a social media or forwarded to a friend.

8
This actually creates the effect of direct marketing in the digital world. It is very probable
that the chances of getting the results are over 80% while a mail or post is forwarded by
a friend.

Return on Investment: - This gives information about the overall ROI on the investment
of the whole marketing campaigns. This can be assessed by the sales that are achieved
minus the money spent on the process and divided it by the overall investment and
multiply by 100. This helps to assess the effective marketing strategies based on the
results.

Database growth: - This represents the percentage of growth of the data and
information about the actual and potential customers, data availability and precision on
consumer online behavior, market segment data, market forecast data, etc. The more
the database grows better the efficiency of the marketing campaigns, as the variables
for analysis increase.

Conversion rate: - Conversion rate is the rate at which the email marketing campaign
had made the consumers buy the product. It gives a unique insight into the return on
investment. This shows the overall effectiveness of the marketing campaign.

Bounce rate: - It measures the rate of emails that are not delivered to the target. There
can be a soft bounce, which is caused by temporary error or hard bounce, which is
permanent. This helps to evaluate the quality of the customer database and do the
measures.

1.3 Consumer Behavior and motivation.

The consumer behavior is a multidisciplinary field of study that encompasses all the
prospects of an individual that makes him a ‘Consumer'. It contains social psychology,
behavioral science, demographic characteristics, cultural beliefs, regional
characteristics, etc. that makes an individual commit towards his purchase decision
(Katherine White et al, 2019).

9
The study of consumer behavior arises when an individual or group of individuals
identify, select, procure or dispose of a product, an ideology in accordance with their
requirements. These requirements are built by the individual needs and desires that
make them satisfied.

Thus, consumer behavior is the decision-making process. It does not limit itself with
only the procurement of goods or services. Buying is only the tip of an iceberg. The
process of buying begins from the mindset of the consumer, where it is compared, find
alternatives solution, idealizing the best results considering opportunity cost, analyzing
the advantages and disadvantages of his decision and finally arrives at a conclusion
(Katherine White et al, 2019). He can also assume the after-effects of his purchase
decision, and in his behavior in this phase very vital for the marketers to analyze if their
methods are functional.

The factors that affect the behavior of the consumer could be

• Purchase capacity
The capacity and capability of the consumer greatly influence his behavior
eventually that determines the purchase decision. The consumer calculates his
purchasing power before the purchase of the product or services. Here the
characteristics of the product are not influenced but the ability of the customer
to procure it.
• Personal Fondness
The personal fondness and the preferences of the consumer affect the decision
of the consumer. It could be personal likes, priorities, affections, dislikes, values,
morels beliefs, perceptions, etc. The personal view of self-awareness of the
individual is also a dominant fact, that how they want to display themselves to
others by their set of choices, and decision.
• External influence
External influence especially the group of individuals influences the purchase
decision of the consumer.

10
It has a direct impact on the consumer as these are social groups of family,
colleagues, friends and other acquaintances. These influence group easily gives
an idea for the consumer's decision as the proximity of these groups is always
near him which even determine his lifestyle.
• Market conditions
Consumer behavior is greatly characterized by the economic and market
conditions prevailing in the specific geographical area. The economic conditions,
marketing regulations, government policies like taxation, incentives form the
basis for the consumer to take a relevant decision that suits him most.
• Marketing
The advertisement and marketing campaigns influence the spending decisions of
the consumer. It is the way in which the consumer receives the idea of a product
or service near him. The efficiency of the marketing campaign actually molds in
the consumer to follow that product or service and decide to purchase it. The
marketer creates an idea in the mind of the consumer and influences them to
buy it. It is the art of marketing and it is the most effective way in which world
functions today, in the segment of business management.

1.4 Digital marketing and consumer behavior in digital space

The behavior of customers in the digital world is assimilated with the characteristics of
the digital world itself. In the digital world, what determines the functionality, reliability,
and performance is based on the relevance of data, which is rooted in the channels of
information. So, the digital consumer, who is an integral part of the digital world intends
to make more informed decisions. (Thomas Martin Key, 2017)

Since the data is available easy in his fingertips, thanks to the new advents of new
technologies, he can easily classify and compare according to the criteria that are
emphasized on his wants and desires.

11
This actually makes the difference between traditional consumer behavior that one can
see in the conventional markets and in the digital market. In markets, which use
traditional marketing channels, a consumer is limited by the products and service
information which he can actually receive if he is physically present in the market space.
(Thomas Martin Key, 2017)

Hence his efficiency being updated is basically connected with how much he could be
personally being present in the market. But at this age, such a situation is purely
hypothetical. Consumers get all the information about the markets through the digital
space. The marketers use the digital medium to reach the consumer to convey the ideas
of their product, service, location, deliverability, etc.

Thus, this era is witnessing dramatic changes in the market scenario. This is also very
related to the change in lifestyle that is largely influenced by the aid of information
technology.

Since the customer can make an informed decision, he knows his rights, have increased
expectations and has become more knowledgeable about finding options for satisfying
his needs and desires more precisely.

1.5 Consumer motivation and individual purchase decisions.

The motivation of the consumer is the sum total of his intrinsic and extrinsic values.
There is a big gap in consolidating the motivational factors of induvial into the digital
world. Further researches should be conducted in these fields. (Blattberg et al, 1991).

The consumer motivation contributes towards his decision to purchase or not to


purchase a product. They are intrinsic and extrinsic values the determine the
motivations which take form according to the wants and needs of the consumer.
(Bennett et al, 2017). Inside the mindset of a consumer, he is an individual who is trying
to satisfy his desires. He consumes according to his level of motivation which determines
his behavior.

12
This can be different from his time, place and moods. The external factors also influence
consumers. This is the space where the marketer capitalizes. By presenting his ideas of
products and services towards the consumer, he can grab the attention of the consumer
and insert pictures of his brands/products in the motivational / influencing factors of the
consumer. (Bennett et al, 2017). The marketer can use an effective advertisement to
generate interest in the mindset of the consumer to buy his product or service.

The efficiency of the marketer to analyze the specific motivational factors of consumer
and incorporating them into the proper market segmentation would reap efficiency in
the advertising and content delivery of the marketer both online and offline. These
motivational factors of consumer purchasing behavior can be understood by the
consumer purchase factors. Analyzing these theories of motivation would help to make
better marketing content positioning and increase the overall efficiency of the
marketing.

1.6 What does it motivates the consumer to buy online?

What motivates the consumer to purchase online is the mix of what they are provided
by the digital platform and how its efficiency to influence the consumer’s intrinsic and
extrinsic values. Since the information is readily available for the consumer in the digital
world, he also considers them for the decision-making process. (Bennett et al, 2017)

Digital marketers have to identify which of those factors they provide returns them the
more results (Blattberg et al, 1991). This means they have to determine the interactions
they have with the potential customer in the delivery of marketing content determining
the aspects of the segmented market that constitutes the specific consumer behavior
patterns.

The customer's motivation is a very vast field. The factors motivating him to buy online
is one branch of such a study.

13
Broadly speaking, factors that affect the consumer to buy online stems from his values
inside (taste, preferences, culture, etc.) plus the influences he receives from the external
environment. The digital marker has to assess if the main practices that grab the
attention of the customer are properly incorporated with his activities. (Even et al,
2010).

If one can identify what consumers desire and what will satisfy those desires and
motives, then you can begin to predict consumer behavior. The tools for this level of
identification can be found in a review of personality theory. History’s most influential
personality theorists such as William McDougall, Abraham Maslow, Frederick Herzberg,
and David McClelland based their theories of motivation on theoretical reasoning and
patient observations; yet, none were based on large scale surveys of an individual’s self-
reported driving forces (Bennett et al, 2017).

1.7 Assessing online shopping behavior

There are several approaches to find the determinants of online shopping behavior.
Michael Bosnjaka et al (2007) had elaborated the work of Pachauri (2002) and classified
the various approaches into four main categories.

a) Economies of information approach: It deals mainly with the perceived efficiency


of buying online. This approach explains that the consumer preference for the
shopping channels is influenced by subjective costs of information search for
different channels, specifically the time costs. If the costs decrease when
shopping online, the consumer prefers online shopping contrary to other modes.
But if he perceives that costs are equal or more, he would prefer other modes.
In this shift, the consumer prefers the mode of buying which gives him the best
ratio such as search costs. That means the time needed to find the best product
for the lowest price and expects the benefits of decision making.
b) Cognitive costs approach: It focuses on the cost arises from the search-related
cognitive process.

14
This view proposes that the consumer tries to optimize their decisions regarding
the price and quality of the products as well as the credibility and reliability of
the online merchants. Parallel to this, they try to minimize the cognitive costs
associated with evaluating alternative options and decision making. This study
the willingness of online shopping in contrast to the perceived risk of online
shopping.
c) Lifestyle approach: This approach studies the sociodemographic characteristics
of potential customers. It studies their characteristics like their way of life and
spending patterns of time and money. Those factors are relatively easily
observable behaviors but it is structured by internal factors such as buying
motive, needs, interest, values, and opinions. For instance, the online shopping
behavior could be related to consumer perception of time, control over shopping
environment and social interactions (Joines et al, 2003).
d) Contextual influence approach: This aims to study the influence of navigational
characteristics and the atmosphere of the web. It studies the consumers who are
exposed to product or service recommendations and those who are not. This
could be the influence of outsiders, for example, the digital marketers, content
markers and the recommendations of known adverts like friends and family
contradictory those individuals who don't are influenced by any.

1.8 The factors determining online purchase motivation.

Inspired from the theory proposed by Michael Bosnjaka et al (2007) and Pachauri (2002)
we consider two determinants based on the theory in order to find the variables that
motivate the consumer to buy online, which are lifestyle approach and contextual
influence approach. As it is proposed in the theory, the lifestyle style approach focuses
on the internal characteristics of the consumer behavior and the contextual influence
focus on the external elements which influence the consumer's behavior. Here we
consider components of these two determinants that determine the motivational
factors that influence the consumers in internal and external levels.

15
i. Internal factors influencing consumer’s motivation

a. Pricing

Pricing is a very powerful and attractive factor for the consumer. In digital markets,
online pricing is very competitive as there is a vast number of players as there is no limit
for the internet to include participants contrary to the physical markets. There is also
the influence of the pricing in the consumer's decision making. In the scenario of the
online market, the pricing influence the characteristics of online customers as the price
is sometimes relational (Ho et al, 2017). And also, the digital companies especially e-
retailers don't have many intermediaries like wholesalers or other traders. So that they
can sell the product in high margins even providing less price to the customer. Another
aspect is it is easy for consumers to compare prices with the electronic platform. There
are even designated websites to help consumers which websites sell for a low price.
Thus, the variation in the prices can influence the consumer's purchase decision on a
large scale.

b. Time

This is a precious resource always. All the commercial, technical and humanitarian
aspects and getting fast in this 21st century. Nowadays, efficiency is often considered as
delivering most in the least amount of time. From a consumer point, time is a mix of
intrinsic and extrinsic factors. (Michael Bosnjaka et al, 2007). It could be his general
behavior to be quick and save time or he should comply with external factors like a job,
family, commitments, etc. to optimize time. Since the digital transactions are highly
flexible with time and it gives the opportunity to the consumer to make a purchase
decision from his fingertips without presenting to himself in the real markets, the very
nature of digital transactions is quick. Hence time is an important criterion that a
customer could choose in order to make a purchase decision form the online market.

16
c. Delivery

Another factor that would influence the consumer's decision to buy. This is chiefly
applicable to the activities that involve the physical exchange of goods. The consumer
expects free delivery as a matter of time-saving and low cost. He would prefer to buy
online more from the sites that provide free shipment (Wen-Hsien Huanga et al, 2019).

The free return is another factor connected with the shipment. Since in the cyberspace
he lacks to touch and feel the products, they could not be in the form that he was
expected (Wen-Hsien Huanga et al, 2019). Thus, he would prefer to return without
additional costs. For a digital marketer, this is a matter of competency. How the
company could optimize the shipment cost and manage the margin is its efficiency of
operation.

d. Variety of products and services

There is widespread recognition that as economies advance, consumers benefit from


increasing access to variety. The Internet has given consumers access to an astonishing
level of variety (Thomas W. Quan et al, 2018). The options to choose a variety of
different products and service is an advantage of the digital market opposite to the
physical markets. It gives the customer the opportunity to experience a different type
of products without the constraints of the physical boundaries. The varieties that the
digital store incorporate in their product and services studying the specific category of
them according to the consumers taste and preference could attract the consumers
(Thomas W. Quan et al, 2018)

e. Reward points

Rewards points are one of the attractions of online marketing. The online companies
could give reductions and or redeemable coupons for the previous purchase or for a
future purchase (Juliana Maria et al, 2019). These are often presented to the consumers
as a reward for the participation or for royalty.

17
These factors could influence customer decision in a way that it could change the
preference of normal choice. Digital companies do this strategy to retain the customers
to visit again their website and use their products and services (Juliana Maria et al, 2019).
This could motivate the customer as an end result he is getting monetary advantages
and benefits.

ii. External factors influencing consumer’s motivation

a. Social media advertisements

The social media functions as the places where people interact with each other on web
platforms. It is where human beings find fellow humans and socialize with them.
Advertising in social media has significant importance for digital marketers (Thomas
Martin Key, 2017). Here people can see and directly communicate the opinions. The
visibility of the advertisements by the consumers and the feedback be converted as data
which gives insights for implementing future strategies. So, the interactions in social
media could be converted to KPIs by digital marketers.

b. Online advertisements

Online advertisements are those contents targeted towards the customer you use the
internet in general. This is majorly done by the search engine by promoting the ads on
the websites the consumer visits (Even et al, 2010). These could be in the forms of pop-
ups and advertisement one sees while they surf throughout the web. The search engine
uses the cookies which are saved in the user's computer and asses the behavior
according to its algorithms.

Then it promotes the advertisements online that are inspired by the consumer's online
activity. This kind of information gives general ideas about a product or service to the
customer (Even et al, 2010). The nature of this type of advertisement could grab the
attention of the consumer to visit a particular website.

18
e. Website design and layout

Since the online platform relies more on the visual aspects, the visual appealing is an
important factor for the consumer. The design and layout of the website help the
consumer to easily navigate through the website and do his desired activity. Website
design is an important means for them to build or reinforce a trusted reputation and
identifiable brand positioning (Bartikowski Boris et al, 2014)

The websites are only seen as not felt and it should be very clearly optimized to function
in all the screen sizes. The creation of a mobile-friendly website is very important in this
aspect. An effective and attractive website layout would make the consumer take a fast
decision and they would prevent themselves from not going to other websites to buy a
product or service. The good layout also minimizes the confusion for the user to find
the relevant options and use the website.

f. Reviews and feedbacks in the company's websites

The reviews from the companies are very usually done by previous customers. These
reflect the overall experience that the customer had after consuming the products and
services from the company's website. This gives the consumer general expectation
about the products and services of the company based on the feedback on different
users (Chen Wei et al, 2019). It could act in the same place for the consumer and the
company to understand the merits and demerits of the products and services provided
by the company. Several websites use consumer reviews to highlight the web site's
credibility and attract potential customers. This can influence the overall decision of the
consumer to make a purchase decision.

g. Influence of Content providers

Content providers like bloggers, YouTubers could act as the influence for the consumer's
purchase decision by sharing their interpretations and assumptions about a product or
service.

19
The digital consumer who prefers to know more information before purchasing online
would consult these websites for more opinion and would commit to a purchase
decision according to this.

This content marketers could be subject matter experts who could be paid or unpaid
workers. These people have the ability to influence a large set of people. One of the
features of content marketers is that consumers could interact with them their queries
and get answers even in real-time. This makes the consumer rely on the content
providers for gathering the information and also to transmit their opinions

1.9 Digital marketing meets the digital consumer, a Conceptual Model

We here propose a conceptual model that narrates the union of digital marking with
consumer motivation. Here we consolidate all the digital marketing determents, the
different modes of digital channels and Key performance indicators against the
consumer motivation variables we previously identified by the theory proposed by
Michael Bosnjaka et al (2007) and Pachauri (2002). It is then depicted diagrammatically
for better understanding. The key components of the diagram are listed below.

• Active marketing in the digital world

Active marketing in the digital space is through the channels that connect the marketer
to an end customer. They are principally done through search engines, pop up ads,
emails, etc. Here the marketer provides the information of a product or service to the
customers to make them aware of it. This is directly the efforts made by the marketer
to attract the customers and increase the market presence by identifying and converting
the potential customer to actual. E.g. Digital advertisements, Email Marketing, Search
engine optimized content, etc.

20
• Passive digital marketing

In the digital scenario, passive marketing happens in the channels of influencers. It could
be in the digital spaces where the customer interacts with the contents that influence
the buying decision of the customers. The content marketers like bloggers, and
information flow in social media, video streaming websites, etc. could characterize the
individual buying decision. Marketers also use paid blogging content to promote their
products.

Another feature that marketers can use from this type of content is the metrics about
their content from the advertising platform. They can assess the data from these
platforms and attach it to their KPIs to define and design the new content and strategies
for the consumers.

• Websites clicks / Landing page

This is the place where the customer arrives following a digital marketing content. It is
the actual website of the marketer where they offer the product or service for a digital
customer. The customer takes the purchase decision having to evaluate the product and
services of the digital market according to his wants and needs. The aim of a digital
marketer is to bring a digital customer towards his websites.

• Consumer response

It is derived after the consumer after the evaluation or consumption of a product or


service. This signifies the expression of the consumer after interacting with the product
or service. The best result for the digital marketer is when the consumer decides to buy
the product or service. After this interaction, the customer gets an overall idea about
the product or service and behave accordingly. Then he would frame his on perception
about the product or service and he would compare this with his intrinsic and extrinsic
value system, belief, culture, etc.

21
He could also behave according to judging the product or service performance, before
or after consumption. In the digital world, the consumer has the opportunity to interact
with his thoughts and opinions directly in the online platforms. He could share, tweet,
comment, post, email, all his assumptions and reviews of the product or services in the
same platforms where the digital marker delivers his contents.

Thus, the consumer could influence the active and passive channels of digital marketing
directly or indirectly. In active digital marketing, digital marketers could evaluate his
behavior by assessing the KPIs; click rate, rebound rate, etc. They could also asses the
data from the websites and social media platforms about how their displayed
information was accessed by the consumer.

The passive gives more opportunities for digital customers to express their opinions. In
the social media, in the websites the content providers the consumer has the
opportunity to express his ideas in his own words in his own phrases. He also has the
opportunity to modify the contents and give progressive results according to his
consumption. This gives the flexibility for the consumer to reflect his reaction on social
media, blogs, articles, etc.

• Consumer motivation

It arises from the consumer's behavior and is the one aspect of consumer behavior. In
the digital consumer world, what motivates the customer to make a purchase decision
arises from the influences of active and passive advertisement which he compares with
his wants needs and the goals. It also encompasses the preference of the consumer,
which starts from his decision to start from which medium, the offline or online should
he purchase to which website should he choose.

The consumer decision is influenced by the quality of the products and services that are
provided by the online service providers and the efficiency of the digital marketers to
promote the marketing content. These factors will determine the consumer's
motivation to buy online for future purchases.

22
Evaluation of the variables that determine the motivation of the customer could be
identified with this diagram.

(1)
Digital
Marketers • Blogs
• Search engines • Social Media
• Online ads • Content
• Pop-ups etc. marketers
(2) (2)
The Active The passive
Marketing Marketing
Consumer base consumer base
(5)
Consumer
Motivation

(4)
Customer
Reaction

(3) Website
Landing page

Figure 1: Created by the authors of this study.

In this figure 1, represent our unified theory of digital marketing strategies and
consumer motivation, describing the flow of consumers during the sales cycle process,
since the first contact with the brand by one of the marketing strategies approach until

23
the consumer land to the company website, make the purchase and react to the product
or service purchased, making a post-sale consumer behavior in the digital environment,
with this having an extrinsic impact (motivation) in the other consumers that are starting
the cycle.

The consumers have two kinds of motivation to face a possible new acquisition online,
intrinsic and extrinsic motivations, this behavior follows the same shape as psychology
and sociologist definition of motivations (Roland Bénabou et al, 2003)

INTERNAL EXTERNAL
MOTIVATION MOTIVATION

Figure 2: Motivation Interaction, Created by the authors of this study.

Both types of motivation interact in the consumer mind to reach a decision about an
online purchase:

• Internal Motivation: The consumers have a necessity when they will change
their internal status of clients to shopper mode (Venkatesh Shankar et al, 2016).
We have qualified the intrinsic motivation in factors that are more susceptible to
the consumers in order to prefer to make an online purchase that in-store
purchase, these factors of intrinsic motivation could be called also as minimum
expectations that encourage the consumers to buy online.
• External Motivation: This type of motivation is made by the marketers, with the
different strategies that they use to approach the clients and have an additional

24
motivation on their mind, making them follow the path that the marketers have
a design to reach the landing page and try to transform the lead in a purchase.
This extrinsic motivation could be split in 3: Active Marketing, Passive Marketing,
and Customer Reaction, the first two are managed in more and less power by
the companies, while the consumer reaction is difficult to manage by the
marketers and it is out of their direct control.

Active Passive Consumer


Marketing Marketing Reaction-
Extrinsic
Motivation by
other clients

Figure 3: External Motivation, Created by the authors of this study.

• Active Marketing: This type of digital marketing is totally under the control and
management of the marketers from the company, they could use different tools
according to their targets, budgets and control them by KPIs, for instance: pop-
ups, social media advertisement, SEO, SEM advertisement, etc. We call this type
of marketing as active because the consumers feel the external pressure of the
company to make them buy their products or services.

25
• Passive Marketing: This type of digital marketing is less invasive than the
previous one, because in this case, the consumers don´t feel that the company
is trying to sell them their products or service, the consumer is surfing in the
website looking for content that they want, for instance, content marketing,
product placement or influencers are into this kind of marketing type. The power
of control by the company is high, but not complete as the previous one because
the influencers and content creators have their own way to work and captivate
their followers, the brand must be adapted in this format to be promoted.
• Consumer Reaction (External Motivation by other clients): This external
motivation is made by consumers to consumers, the control of the companies
are almost null, because the clients after buy and use a product or service, or
interact with the company make a review of their experience, which is read by
other consumers that are in the doubt of buying or not the products or service
from the company, this could generate a high impact on their decision to
purchase. The only form that the company could manage this in a tiny way is
trying always to give the best experience to their clients, with products or service
with quality, the companies cannot say what to write us a review to the clients,
but could give them a good experience that could make impact in their reviews.

Consumer
Reaction Passive Marketing Active Marketing
Zero Direct Control Medium/High Complete Direct
Small Indirect Direct Control Control
Control

Figure 4: Grade of MKT Control, Created by the authors of this study.

26
Active marketing we can control in its totally as an e-commerce company, the impact
will increase according to the investment on it the company does, passive marketing,
we can control with some restrictions, because the source of information and
transmission of content has its own rules, we can summarize this as a B2B negotiation
and kind of marketing merger, consumer reaction, the company has almost zero of
control, the support of community manager that could interact in this digital fields could
give an inconsiderable help, this is the marketing that the costumes made and the power
of it is on their hands.

An interesting feature of the marketing through the digital medium is it produces the
data (Even et al, 2010) that is quantifiable, which contributes to the key performance
indicators of digital marketing. This is actually because of the nature of digital marketing
itself, both consumers digital marketers use the same channels. In digital space the
consumers dwell in websites or ‘web spaces' and the more traffic is in naturally in the
spaces where the people interact with each other.

This happens basically where they usually tend to utilize shareable content; social
media, bloggers, video sharing, etc. In order to grab the attention of the customers from
these digital spaces, the marketers focus their marketing efforts in these spaces.

Thus, if a customer follows an advertisement from these spaces, he has the same
opportunity to share his experience on the same platform. This shows the characteristics
of feedback for the digital marketers and a review, or additional information for the
actual or potential customers (Chen Wei et al, 2019).

To make the theory functional, we are doing a regression based on the questions (see
annex) formulated by bridging the concepts of digital marketing with the external and
internal motivational factors identified with the aid of theory proposed by Michael
Bosnjaka et al, (2007) and Pachauri, (2002).

27
III) PROBLEM

After analyzing the state of art and unified different concepts in one main theory that
cover consumer motivation and digital marketing strategy, we plant the following
questions as hypothesis:

• What are the internal motivations that impact more on the consumers in order
to buy online?
• What are the external motivations that impact more on the consumers in order
to buy online?

IV) Methodology

First, to answer to our hypothesis, we consider to cluster well the population, so we


choose to do the research for young people in Paris from 25 to 29 years old, and the
type of companies are only e-commerce.

The methodology is making surveys to this cluster of population targeting in order to


answer our 2 hypotheses, taking in consideration the joint theory elaborated about
digital marketing strategies and consumer motivations, we split the survey into 2
sections and 2 additional questions, in total 15 questions:

a. Internal motivation

Inputs: We decided to choose these 5 questions that describe more the internal
motivation variables that we want to measure

2) I buy online because I find the best price.


3) I buy online because it helps me save time.
4) I am motivated to buy online when there are free delivery and returns.
5) I buy online because I could find a variety of products/brands while surfing the web.

1.

28
6) I am buying online as I could get more reward points, redeem points, coupon codes,
etc.

Output:

7) Considering my previous answers, I am motivated to buy online. And in the future, I


would increase my online purchase activities.

b. External motivation

Inputs:

Active Marketing: We chose these 2 questions that represent best the main active
strategies in the e-commerce market

8) I decide to buy a product/service online after seeing and judging an online


advertisement. (Ad banners, Popups, etc.)
9) I would like to buy a product or service after viewing advertisements on social media
(Facebook, Twitter, LinkedIn, Pinterest, etc.)

Passive Marketing: We chose these 2 questions that represent best the main passive
strategies in the e-commerce market

10) I would like to buy a product or service after visiting the websites /blogs / video
streaming sites that provide product information, expert opinion, etc.
11) I believe the opinion of influencers from the internet that I follow concerning a
product/service in order to have a better point of view to buy it (YouTube, blogs, etc)

Consumer Reaction: We chose these 2 questions that represent best the interaction
between the consumer reactions and the new flow of consumers.

12) I would like to buy products or services based on the suggestions and
recommendations that I view on social media (Facebook, Twitter, LinkedIn,
Pinterest, etc.) provided by my colleges, friends, family.

29
13) I usually buy a product or service after reading reviews from the company’s own
website by other customers. (e.g. Amazon reviews, eBay reviews).

Output

14) I would generally prefer to buy online after consulting blogs/reviews/videos/social


media and or viewing advertisement online.

In addition of it, we have elaborated two questions about the importance of landing
page after all the consumer interaction flow and to measure the rate of consumers that
make reviews about the products or service that they buy.

15) After buying and using a product or service online, you make a review of it.
16) I choose the websites to buy a product or service depending on how easy it is for me
to navigate through it.

After having clear our questions and variables that we will measure, it is important to
determinate the size of the sample of the target population (young people in Paris from
25-29 years old).

According to Euromonitor the population for this year 2019 in Paris is: 11,821,400

Source 1: Economies and Consumers Annual Data, Euromonitor (Passport)

30
The next step is targeting the population in Paris from 25 to 29 years old that represent
5.7%: 673,819.8

Source 2: Distribution of the population, January 1st of 2019, Statista

Calculating the sample size, considering a confidence level of 95% and an error of 7%,
we obtained a sample size of 196

n= 196

The surveys were made by social media, google surveys and in-person with our devices
in the national library of Paris, where we could find a lot of young people from the age
range targeted.

31
V) Results

a. Internal Consumer Motivation Analysis:

For this part we formulated 5 questions, corresponding each one to each variable, and
the last question to register the Output of motivation.

Output: Motivation to buy online

Inputs:

• Best Price
• Save time
• Free delivery and returns
• Variety of products and brands
• Reward and loyalty programs

Percentage of variables:

BEST PRICE
1 2 3 4 5

13%

30% 4%

28%

25%

Graphic 1 : First question (%), Internal Consumer Motivation

The first question: I buy online because I find the best price, considering the variable

32
best price, we can see that 30% of the population consider the best price a really strong
factor to decide on a potential purchase online, making the addition of answers 4 and 5:
55%.
FREE DELIVERY & RETURNS

1 2 3 4 5

17%

3%

51%
17%

12%

Graphic 2: Second question (%), Internal Consumer Motivation

The second question: I am motivated to buy online when there are free delivery and
returns, considering the variable free delivery & returns, we can see that 51% of the
population consider free delivery & returns a really strong factor to take a decision in a
potential purchase online, making the addition of answers 4 and 5: 63%

VARIETY OF PRODUCTS & BRANDS


1 2 3 4 5

3%
12%

37%

26%

22%

Graphic 3: Third question (%), Internal Consumer Motivation

33
The third question: I buy online because I could find a variety of products / brands while
surfing the web, considering the variable variety of products & brands, we can see that
37% of the population consider variable variety of products & brands a really strong
factor to take a decision in a potential purchase online, making the addition of answers
4 and 5: 59%

REWARD & LOYALTY PROGRAMS


1 2 3 4 5

23% 25%

20% 20%

12%

Graphic 4: Fourth question (%), Internal Consumer Motivation

The fourth question: I am buying online as I could get more reward points, redeem point,
coupon codes, etc., considering the variable reward & loyalty programs, we can see that
23% of the population consider variable reward & loyalty programs a really strong factor
to take a decision in a potential purchase online, making the addition of answers 4 and
5: 43%

SAVE TIME
1 2 3 4 5

8%
7%

45%
20%

20%
Graphic 5: Fifth question (%), Internal Consumer Motivation

34
The fifth question: I buy online because it helps me save time, considering the variable
save time, we can see that 45% of the population consider the variable variety of saving
time a really strong factor to take a decision in a potential purchase online, making the
addition of answers 4 and 5: 65%

MOTIVATION
1 2 3 4 5

5%
9%
31%

24%

31%

Graphic 6: Output Question (%), Internal Consumer Motivation

With the last question of Motivation, we measure the output, to see if after all the
conditions reunited, how much motivated the target population is.

We can see that 31% of the population are highly motivated to buy online in the future,
the same amount of percentage that has marked the number 4, as people motivated to
make a purchase online in the future.

Analysis of Regression:

Regression Statistics
Coef. of multiple correlations 0.50
Coef. of determination R^2 0.25
R^2 adjusted 0.24
Typical Error 1.00
Observations 196
Table 1: Regression Statistics, Internal Consumer Motivation

35
Coef. Typical Error Estadistic t Probability
Interception 1.591858323 0.276230362 5.762792735 3.24954E-08
1. Best Price 0.164125353 0.069011041 2.378247745 0.018376562
3. Free delivery and
returns 0.10852285 0.052827489 2.054287484 0.041302738
4. Variety of
products/brands 0.301225045 0.072972515 4.127924657 5.45388E-05
Table 2: Regression Statistics Variables, Internal Consumer Motivation

As we can see, we have a good P-value for these 3 variables, less than 0.05. Concerning
the R^2 adjusted is low 0.24, but in some fields such as psychology (Consumer
Behaviour, Consumer Motivation), typically has R-squared values lower than 0.5
because the simple reason that humans beings are harder to predict, but our P-values
are statistically significant so we can get important insights about how changes in the
variables are associated with changes in the response value.

Motivation: M
Best Price: BP
Free Delivery and Returns: FD
Variety of products/brands: VP

𝑀 = 1.591 + 0.164𝐵𝑃 + 0.108𝐹𝐷 + 0.301𝑉𝑃

The survey was made off with a scale from 1 to 5, where 5 is the best motivation to buy
online a product or service, getting from 4 onwards high chances to transform the lead
to a real purchase, we can see that the French young people in Paris from 25-29 has an
internal motivation to buy products or service online by 1.591(39.7% concerning 4 points
as the base of high potential), this means that the e-commerce companies have to invest

36
in their digital marketing the other 60.3% of effort to high chances of conversion from
the lead to the purchase, and for a sure purchase should invest 68.18%.

In this 1.591 we can include many variables that are present in the consumer mindset of
the target people, for example, the costumes, psychology, the environment situation,
and other variables as save time, loyalty and so on, that couldn't have model in the
equation because are not representative, so in this 1.591 we can set all this bunch of
factors.

Then we can see that the variable with more influence is the variety of products and
brands (VP), with a coefficient of 0.301, almost double that the second one, that is the
best price (BP) with a coefficient of 0.164 and triple of the last factor that is free delivery
and returns(FD) with a coefficient of 0.108. So, we can say that in this order is how the
relevance in the mind of the consumer target make them motivated and encourage
themselves to buy online.

After consulting the literary review about different aspects of marketing for e-commerce
by different platforms, we could detect a gap between a unify theory that could explain
the flow of the consumer before take the decision of doing a purchase online, inbound
marketing explain the funnel of transformation from a simple visit in the landing page
until the lead transform to purchase, but is just specific. With our theory of digital
marketing journey, we unified the global journey for a potential consumer in all the
stages of interaction with the company, since the need generation and consumer
behavior in each stage.

4.2 External Consumer Motivation Analysis:

For this part we formulated 6 questions, corresponding each one to each variable, and
the last question to register the Output of digital marketing efficiency for e-
commerce.As we described in pages before, for this theory we have 3 big groups: Active
marketing, Passive marketing, and consumer reaction, the potential consumer interacts

37
with these 3 big groups in his path to the landing page and subsequent purchase
decision.

Output: External motivation efficiency

Inputs:

Active marketing:

• Online Advertisement (SEM & SEO)


• Advertisement in social media

Passive marketing:

• Expert opinion
• Influencers

Extrinsic consumer motivation:

• Recommendations from NETWORK (family and friends) in social media


• Reviews by other costumers

Percentage of variables:

Active Marketing:

ONLINE ADVERTISEMENT
1 2 3 4 5

10%

30%
12%

22%

26%

Graphic 7: First question (%), Active Marketing, External Consumer Motivation

38
The first question: I decide to buy a product/service online after seeing and judging an
online advertisement. (Ad banners, Popups, etc.), considering the variable online
advertisement, we can see that 10% of the population consider variable online
advertisement a high external factor that encourages them to buy online, making the
addition of answers 4 and 5: 22%

ADVERTISEMENT IN SOCIAL MEDIA


1 2 3 4 5

18% 15%

17%
32%

18%

Graphic 8 : Second question (%), Active Marketing, External Consumer Motivation

The second question: I would like to buy a product or service after viewing
advertisements on social media (Facebook, Twitter, LinkedIn, Pinterest etc.), considering
the variable advertisement in social media, we can see that 18% of the population
consider variable advertisement in social media a high external factor that encourages
them to buy online, making the addition of answers 4 and 5: 35%

39
Passive Marketing:

EXPERT OPINION
1 2 3 4 5

10%

33% 15%

14%

28%

Graphic 9: Third question (%), Passive Marketing, External Consumer Motivation

The third question: I would like to buy a product or service after visiting the websites
/blogs/video streaming sites that provides product information, expert opinion etc.,
considering the variable expert opinion, we can see that 33% of the population consider
variable expert opinion a high external factor that encourages them to buy online,
making the addition of answers 4 and 5: 61%

INFLUENCERS
1 2 3 4 5

12%
18%

22%
18%

30%

Graphic 10: Fourth question (%), Passive Marketing, External Consumer Motivation

40
The fourth question: I believe the opinion of influencers from the internet that I follow
concerning a product/service in order to have a better point of view to buy it (YouTube,
blogs, etc.), considering the variable influencers, we can see that 18% of the population
consider variable influencers a high external factor that encourages them to buy online,
making the addition of answers 4 and 5: 36%

Consumer Reaction:

RECOMENDATIONS IN SOCIAL MEDIA


(NETWORK)
1 2 3 4 5

12%
23%
10%

13%

42%

Graphic 11: Fifth question (%), Consumer Reaction, External Consumer Motivation

The fifth question: I would like to buy products or services based on the suggestions and
recommendations that I view in the social media (Facebook, Twitter, LinkedIn, Pinterest,
etc.) provided by my colleges, friends, family, considering the variable recommendations
in social media(network), we can see that 23% of the population consider variable
recommendations in social media(network) a high external factor that encourages them
to buy online, making the addition of answers 4 and 5: 65%

41
REVIEWS BY OTHER CONSUMERS
1 2 3 4 5

13%

30%
10%

22%

25%

Graphic 12: Sixth question (%), Consumer Reaction, External Consumer Motivation

The sixth question: I usually buy a product or service after reading reviews from the
company's website by other customers. (e.g. Amazon reviews, eBay reviews),
considering the variable reviews by other consumers, we can see that 30% of the
population consider variable reviews by other consumers a high external factor that
encourage them to buy online, making the addition of answers 4 and 5: 55%

EXTERNAL MOTIVATION
1 2 3 4 5

10%
25%
10%

23%

32%

Graphic 13 : Output (%), External Consumer Motivation

42
With the last question of digital marketing efficiency, we measure the output, after all
the conditions reunited. We can see that the 25% of the population is highly encouraged
to buy online in the future after interacting with 1, 2 or the 3 big groups ( active
marketing, passive marketing, and extrinsic consumer behavior), the amount of
percentage that has marked the number 4 are 32%.

Analysis of Regression:

Regression Statistics
Coef. of multiple correlations 0.74
Coef. of determination R^2 0.55
R^2 adjusted 0.54
Typical Error 0.85
Observations 196
Table 3: Regression Statistics, External Consumer Motivation

Typical
Coef. Error Estadistic t Probability
Interception 0.38770671 0.21729754 1.7842204 0.07596704
1. Online advertisement (SEM &
SEO) 0.15529945 0.05374597 2.88950869 0.00430222
2. Advertisement in social media 0.26550675 0.05240577 5.06636499 9.4878E-07
3. Expert opinion 0.5533627 0.045638 12.1250417 1.7139E-25
Table 4: Regression Statistics Variables, External Consumer Motivation

As we can see, we have a good P-value for these 3 variables, less than 0.05. Concerning
the R^2 adjusted is 0.54, our P-values are statistically significant, we can get important
results and a tendency about how changes in the variables are associated with changes
in the response value.

Digital marketing efficiency: DME


Online advertisement: AO
Advertisement in social media: SM
Expert opinion: EO
𝐷𝑀𝐸 = 0.387 + 0.553𝐸𝑂 + 0.265𝑆𝑀 + 0.155𝐴𝑂

43
The survey was made off with a scale from 1 to 5, where 5 is the best digital marketing
efficiency, getting from 4 onwards high chances to have a potential impact on the
consumer decision, we can see that the expert opinion is the variable with more impact
with a coefficient of 0.533, then advertisement on social media with a coefficient of
0.265 and online advertisement with almost the half of SM, 0.155.

In the interception of 0.387, we can consider the other digital marketing strategies, in
specific extrinsic consumer motivation.

So, to sum it up, we have these two equations:

𝐷𝑀𝐸 = 0.387 + 0.553𝐸𝑂 + 0.265𝑆𝑀 + 0.155𝐴𝑂


𝑀 = 1.591 + 0.164𝐵𝑃 + 0.108𝐹𝐷 + 0.301𝑉𝑃

The best mix to increase the turnover of an e-commerce company with a target market
in Paris, with the demographic characteristic between 25-29 years old is: make the
balance between what the customer minimum expectations, intrinsic motivation(M)
and the add value and engagement that the e-commerce could get with a good digital
marketing strategy(DME).

For those, we have in specific 3 variables in each equation, with a grade of the impact
that has to be managed to get the best profit and also according to the resources of the
e-commerce company.

After this analysis, we have made two more questions to measure the importance of the
landing page, where the potential customer will land after a good interaction with DME
and good intrinsic motivation; and also, about the number of people that do reviews
online after buy or interact with the product.

b. Importance of landing page:

The question that has been formulated is: I choose the websites to buy a product or
service depending on how easy it is for me to navigate through it, after getting the

44
results we can see that the 28% has marked 5 as a high importance and also 28% has
marked 4 as an importance, these both represent almost the 56%, so we can see that it
is overriding have a friendly landing page in order to make easy the navigation of the
customer on it and to buy our products and service, the field of inbound marketing
explain well how the design the landing page to make an easy path of conversion for the
customers.

It is important having in consideration all of this because if we invest in the steps ahead
as DME and M to get to this point and we lose the customer just because the company
has not a good landing page will be an effort in vain.

IMPORTANCE OF LANDING PAGE


1 2 3 4 5

3%
17%
28%

24%

28%

Graphic 14: Importance of Landing Page (%)

c. A generator of reviews after buying or interact with the product or


service:

The question that has been formulated is: After buying and using a product or service

45
online, you make a review of it, this was made with the aim to see how many people
make reviews and have an idea of the flow of information made by the customer of the
e-commerce company about their products or services.

GENERATOR OF REVIEWS BY COSTUMERS


YES NO

38%

62%

Graphic 15: Generator of reviews by costumers (%)

We can see that the 62% of the target population make reviews after using a product
that they bought online, as we have mentioned before the extrinsic consumer
motivation is difficult to manage because is what other costumers think of the
company's products or service, and after view the percentage of review that is 62%, it is
important for the company offers a good customer service and post-sale service in order
to try to have an impact on the customers, they could reflect something of this in their
reviews.

VI) Discussions
After getting the results of our survey and making the regression to obtain the
tendencies of the variables, we can summarize it, in two main equations that answer
our problems :

46
Hypothesis # 1: What are the internal motivations that impact more on the consumers
in order to buy online?

Result #1:

• Internal Motivation: M
• Best Price: BP
• Free Delivery and Returns: FD
• Variety of products/brands: VP

The three variables mentioned are the most important for the customer as internal
motivation to be encouraged to buy online, the VP (variety of products/brands) is the
one that has more influence with a 0.301 as a coefficient, being almost 3 times the other
2 variables subsequence, BP (Best price) and FD (Free delivery and returns).

Hypothesis # 2: What are the external motivations that impact more on the consumers
in order to buy online?

Result #2:

The three variables mentioned are the most important for the customer as external
motivation as a way that the environment encouraged them to buy online, the EO
(expert opinion) is the one that has more influence with a 0.553 as a coefficient, the
other 2 variables subsequence are SM(Advertisement in social media) with 0.265 and
AO (Online Advertisement) with 0.155.

Expert opinion has a huge relevance as part of the digital marketing strategy to
encourage consumers to buy online.

47
According to the theory:

The 3 variables are in the following groups:

• Active Marketing:
• AO: Online Advertisement

SM: Advertisement in social media

Passive Marketing:

• EO: Expert Opinion

48
We have to say that Expert Opinion in some cases could be considered a Customer
Reaction, some kind of Expert opinion comes from non-creators of content or non-
influencers, but in most of the cases are made by this type of people, that’s why is
most considered as Passive Marketing.

49
VII) Conclusion

1. There are 3 forms to approach consumers in an external way: Active Marketing,


Passive Marketing, and Customer reaction.
2. Expert Opinion is the most important variable in the external approach to clients,
it is necessary that the marketers could promote their brands, products, and
service through this type of platform because the consumer believe on it more
and are more influenced to decide in making a purchase online
3. Social Media is still a good strategy to promote your products and service, the
brands have to have a presence in all social media platforms according to the
type of client and their preference, for instance, Instagram or Facebook.
4. The clients appreciate a variety of products and brands by the e-commerce
company on their website, even more than the best price, having the power of
selection makes them be more motivated
5. Free shipping and delivery is more appreciate that best price, the accessibility
and proximity of the company to consumers is key in the e-commerce strategy
6. All the strategies with the different approach are important in a different range
to make the conversion since the need of the consumer until the lead land in the
website of the company, it is important that this website has to be friendly with
the consumers in order to make easy the process of buying and the customer
experience.

50
VIII) Reference

Akanksha Lal (2018), Digital Marketing: Redefining the Way Marketers Penetrate
Markets. B-DAWN, Journal for Contemporary Research in Management, Volume
5 pp. 1 to 5
Bartikowski Boris, Singh Nitish, (2014), Doing E-Business in France: Drivers of
Online Trust in Business-to-Consumer Websites, Global Business &
Organizational Excellence. Volume 33 Issue 4, pp. 28-36
Bennett, Toni M (2017) Consumer Purchase Motivation in Digital Environments.
Society for Marketing Advances Proceedings, pp. 519-523
Blattberg, R.C. and Deighton, J. (1991), Interactive marketing: exploiting the age
of addressability, Sloan Management Review, Volume 33 No. 1, pp 5-14.
Bo Lia, Yushan Jiang (2019), Impacts of returns policy under supplier
encroachment with risk-averse retailer, Journal of Retailing and Consumer
Services Volume 47, pp. 104-115
Cait Lamberton & Andrew T. Stephen (2016), A Thematic Exploration of Digital,
Social Media, and Mobile Marketing: Research Evolution from 2000 to 2015 and
an Agenda for Future Inquiry, Journal of Marketing Volume 80 Issue 6, pp. 142-
172
Chen Wei, Gu Bin, Ye Qiang, Zhu, Kevin Xiaoguo (March 2019), Measuring and
Managing the Externality of Managerial Responses to Online Customer Reviews,
Information Systems Research, Volume 30 Issue 1, pp. 81-96
Even A, Shankaranarayanan, G. and Berger, P.D. (2010), Managing the quality of
marketing data: cost/benefit trade-offs and optimal configuration, Journal of
Interactive Marketing, Volume 24 No. 3, pp. 209-221
Fournier, S. (1998), Consumers and their brands: developing relationship theory
in consumer research, Journal of Consumer Research, Volume 24 No. 4, pp. 343-
373

51
Ho, Yi-Chun (Chad), Tan, Yong (2017), Online Cash-back Shopping: Implications
for Consumers and e-Businesses. Information Systems Research, Volume 28
Issue 2, pp. 250-264
Joines J, Scherer C, Scheufele D April (2003), Exploring motivations for consumer
Web use and their implications for e-commerce, Journal of Consumer Marketing
volume 20, issue (2), pp. 90-109
Juliana Maria Magalhães Christinoa, Thaís SantosSilvab, Erico Aurélio Abreu
Cardozoc, Alexandrede Pádua Carrieria, Patriciade Paiva Nunes (2019),
Understanding affiliation to cashback programs: An emerging technique in an
emerging country, Journal of Retailing and Consumer Services, Volume 47, pp.
78-86
Katherine White, Rishad Habib, and David J. Hardisty (2019) How to SHIFT
Consumer Behaviors to be More Sustainable: A Literature Review and Guiding
Framework Journal of Marketing, Volume 83(3) pp. 22-49
Lauren Grewal, Andrew T. Stephen, Nicole Verrochi Coleman (2019). When
Posting About Products on Social Media Backfires: The Negative Effects of
Consumer Identity Signaling on Product Interest, Journal of Marketing Research,
Volume 56(2), pp. 197-210
Michael Bosnjaka, Mirta Galesicb, Tracy Tuten (June 2007), Personality
determinants of online shopping: Explaining online purchase intentions using a
hierarchical approach, Journal of Business Research Volume 60, Issue 6, pp. 597-
605
Oana DURALIA (Aug 2018), Integrated Marketing Communication and Its Impact
on Consumer Behavior, Studies in Business & Economics., Volume 13 Issue 2, pp.
92-102
Pachauri M. (2002), Researching online consumer behaviour: Current positions
and future perspectives, Journal of Customer Behaviour volume 1, issue (2), pp.
269-300

52
Roland Bénabou, Jean Tirole (January 2003), Intrinsic and Extrinsic Motivation,
Review of Economics Studies 70, pp.489-492
Thomas Martin Key (2017), Domains of Digital Marketing Channels in the Sharing
Economy, Journal of Marketing Channels, Vol. 24 Issue 1/2, pp. 27-38
Thomas W. Quan, Kevin R. Williams (2018), Product variety, across‐market
demand heterogeneity, and the value of online retail, Rand Journal of Economics
(Wiley-Blackwell) Volume49, Issue4, pp. 877-913
Venkatesh Shankar, Mirella Kleijnen, Suresh Ramanathan, Ross Rizley, Steve
Holland, Shawn Morrisey (April 2016), Mobile Shopper Marketing: Key Issues,
Current Insights, and Future Research Avenues, Journal of interactive marketing,
pp.41-42
Wen-Hsien Huanga, George C Shenb, Che-Ling Lianga (May 2019), The effect of
threshold free shipping policies on online shoppers' willingness to pay for
shipping, Journal of Retailing and Consumer Services Volume 48, pp. 105-112

53
54

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy