Thursday, December 12, 2019

Customer Influent Purchase Decision Process -Myassignmenthelp.Com

Question: Discuss About The Customer Influent Purchase Decision Process? Answer: Introduction Online blogs and consumer reviews play an increasingly important role in the consumer decision making process. Todays consumers spend significant time on reading online reviews and blogs before purchasing any certain product and service (Zhang, Cheung and Lee 2014). Different online review and recommendation platforms have different functions, objectives and characteristics. The interactive online review and blogging platforms have facilitated the customers to compare the market offerings and search product related advice through online blogs and customer reviews. The study will discuss the influence of online blogs and customer reviews on the purchasing decision of the customers. Apart from that, the study will also discuss different customer review platforms, which have significant impact on consumer decision making process. The study will assess the ways in which blog readers perception influence on their purchasing decision. Discussion The new generation of online applications, tools and approaches like online blogs, online communities, social networking sites and customer review sites have transformed internet from just a broadcasting medium to interactive channels. Such online approaches allow wide technology-mediated social participation. Internet has become an effective online platform, which facilitates social customer electronic word of mouth (e-WOM). According to Yoo, Kim and Sanders (2015), online reviews and blogs have become a key source of customer information and empowerment. The fundamental factor of social e-WOM is Customer Generated Content (CGC). In the age of online purchasing, customers are more likely to share their experiences and options on the brands, companies and products and services. It ultimately creates large scale e-WOM in the online channels. In this way, customers make their personal experience easily accessible to the global customer community. Online reviews and blogs provide effective information the customers, which act as extra factor for supporting the purchasing decision of the customers. On the other hand, King, Racherla and Bush (2014) opined that negative opinions on the online reviews and rating often hamper the purchasing decision of the customers. Moreover, negative online reviews and blogs create a negative perception in the mind of the customers regarding a specific product or service. It ac tually hampers the purchasing intension of the customers. Easy and free access to the information of online review and blogs has even weakened the power of marketing communication. Such information influences the perception, preference and decision of the customers much more than the information provided by the organizations. According to Filieri (2015), the interactive web has made it possible for the customers to compare the market offerings of a specific product. It also facilitates the customers to look for the purchasing related advice provided by another consumer as effective product review. Traditional ways of information search are being replaced by the internet based e-WOM. The changing nature of the customers always presents the business with its risks as well as opportunities. Organizations are forced to enhance its monitoring capabilities and quick response to different review platforms for saving their market reputation. On the other hand, Chen et al. (2016) opined that online reviews and blogs seem to be more authentic source of information than those of information provided by organizations. The information on online reviews and blogs has a touch of personal experience, which gives authentic feelings to the customers. Such authentic online reviews and alternatives help the customers to evaluate the alternative products and services in the market. In this way, it helps the customers in choosing the best alternative and taking effective purchasing decision. Online consumer reviews are being increasingly popular to the customers, as it seems to be a low cost means of making more purchased decision. According to Zhao et al. (2015), almost 81% customers read customer reviews and ratings of the products and services before they make any purchase. Furthermore, around 1 in 3 customers contribute in online comment and forum on blogs. As per Cheng and Ho (2015), the intension of the consumers towards achieving specific ends like product information motivates them to seek for online reviews in the online forum. The online customer reviews and online blogs have reduced the time and effort level of the customers towards seeking information about the specific product and service. Moreover, the customers can make their purchasing decision within very less time through reading online reviews and blogs. On the other hand, Moore (2015) opined that customers often show uncertainty in their purchasing decision. Online rating and reviews facilitate the cu stomers to realize the fitness of the products and services with their specific requirements. Hence, consumers are more likely to spend more time in reading the online reviews and blogs before purchasing any specific product or service. Apart from relying on the brand image of the company, customers are more likely to seek for information from former customers. It actually reduces the anonymous risks associated with the purchasing actions of the customers. The customers always perceive the information of online reviews and blogs as more trustworthy and reliable than the company information. Customer reviews can give a reassurance to the customers that they have made right and risk free choice of products and services. As per Hennig-Thurau, Wiertz and Feldhaus (2015), 87% of people want a business to reach at 3-5 stars rating in order to use them. Hence, they always check the online rating and reviews before making any purchasing decision. On the other hand, the consumers also view the online reviews and videos on the social media sites. Moreover, the customer review and uploaded videos in the social media sites like Facebook, Twitter, Instagram and other sites highly influence the consumer perception regarding any s pecific product and service (Gu and Ye 2014). You, Vadakkepatt and Joshi (2015) pointed out that different online review platforms have different forms of influences on the purchasing decision of the customers. While considering the retail websites, the positive customer reviews on the website support the online platform by increasing customer satisfaction. The future customers can be aware of the products and services beforehand the purchase, which can help them to decide upon whether that product or service fit within their requirement or not. In case of, the retail website offers effective opportunities to the customers to post their reviews after their purchase. Babi? Rosario et al. (2016) stated that future customers are provided more opportunities to orient their purchase with the on post-customer opinion. The website reviews come in various forms like numeric star rating, aggregated and open ended customer comments. Such statistical numbers of website online review provide a feel of authenticity to the customer s regarding the products and service and persuade them towards making purchasing decision. However, Moore (2015) opined that irrelevant customer reviews on the retail websites can often discourage the customers to make their purchasing decision about any specific product and service. Websites are considered as independent consumer review platform, as it is not connected to the stores of retailers. Independent platform does not offer its products and services on the websites. The intension of the platform is just displaying of products and services and the reviews associated with the products and services to the customers. While considering the example of, the independent review platform allows the people to write their reviews on any kind of products offered by the website. As per Chen et al. (2016), the new customers can effectively assess the product and service reviews through numeric rating, aggregated review and open ended customer-author comment. Unlike the retail websites, the independent review platform allows the customers to post image for supporting customer reviews. On the other hand, King, Racherla and Bush (2014) opined that several blogging sites have also grown its popularity by regularly writing about the personal experiences of p roduct consumption. Reviews written by the bloggers contain the personal experience of the bloggers on the product can service consumption. The intension of the private bloggers is to share the purchasing experience of the bloggers about certain products and services. Apart from that, online blogs also provide recommendation to others on their purchasing decision. Online blogs also use specialized information, which is quite helpful to the customers prior to make any purchasing decision. Video sharing platform is another significant customer review platform, which is quite helpful to the customers to make any purchasing decision. According to Cheng and Ho (2015), online video sharing platforms allow the customers to upload their product and service reviews in the form of video. Such platforms enable the customers to share their product experience instantly and encourage others to do the same. YouTube is the most successful online video sharing platform, which allows the customers in sharing their reviews about certain products and services through video platform. Gu and Ye (2014) pointed out that the reviews on YouTube seem to be more authentic than other sources, as these reviews are associated with effective videos. Hence, concerned customers always check YouTube videos for viewing the reviews of the products and services prior to purchase those. On the other hand, King, Racherla and Bush (2014) argued that video sharing platforms allow the disgruntledcustomers to publish damaging and vindictive video reviews about a specific product or service. Hence, it can increase the wariness of customers regarding the product items, which they want to purchase. While applying the process of consumer decision making, it can be said that online blogging and customer reviews influence on its every step towards influencing consumer buying decision. According to Zhao et al. (2015), online reviews and rating and blogs provide extra information to the customers regarding a certain product or service. Moreover, the customers do not have to go to the stores physically to collect extra product or service information. They can collect effectual product and service information from the online reviews and blogs, which can meet their need for information in consumer decision making process. On the other hand, Filieri (2015) opined that the numerical star reviews and descriptive customer reviews are quite helpful for the customers to make comparison among different brands. Moreover, such informative information or online reviews and blogs help the customers to evaluate different alternative brands and choose the best alternative brand or product. However, King, Racherla and Bush (2014) opined that negative online reviews and blogs discourage the purchasing decision of the customers. It makes bad impression on the mind of customers regarding certain product and service. Yoo, Kim and Sanders (2015) mentioned that the reviews and blogs on online platform provide effective informative information the customers, which helps them in taking purchasing decision. In blogging sites, the bloggers regularly write about the consumption experience about certain products and service. More specifically, the bloggers provide effective recommendation to the blog readers regarding any product or service purchase. Lu, Chang and Chang (2014) opined that the bloggers often see themselves as expert of certain products and service. Hence, they specialize on their product experience through these reviews on the blogs. Such specialized product reviews make accurate perception of the blog readers regarding any specific products and services. Furthermore, Jeong and Koo (2015) stated that the recommendations of the bloggers in the blogs also make a concrete perception of the blog readers regarding any specific product and service. The blog readers often found the blog entries in the search engine due to its specialization of information regarding product and services. As per Gu and Ye (2014), the supportive videos, image and other forms of reviews in the blog create positive perception among the blog reader, which persuade them to purchase any products and services. The information accountability of the products in the blogs fosters positive product and service perception among the blog readers. It ultimately encourages the bloggers to purchase a certain product and service. However, Chang and Wu (2014) opined that negative reviews and recommendations in the online blogs often create negative perception among the blog reader regarding certain product and service. Such negative reviews actually discourage the blog readers from purchasing a specific product and service. Conclusion While concluding the study, it can be said that online reviews and blogs have become an important source for the customers to collect effective information any certain product and service. It creates fundamental customer generated content, which further encourages the customers towards purchasing any specific product and service. The online reviews and blogs provide extra and most authentic information about the products and services. Customers often perceive such reviews and blogs as most trustworthy as those of the information provided by organizations. Hence, the customers are more likely to spend more time in reading online blogs and reviews prior to purchase their required products and services. Video sharing platform, retail websites, individual customer review platform, personal blogs provide most accurate information regarding the products and services. In this way, customers can accurately map their requirements with the product features. Hence, customers always read the onl ine customer review and blogs prior to purchase their required products and services. Reference List Babi? Rosario, A., Sotgiu, F., De Valck, K. and Bijmolt, T.H., 2016. The effect of electronic word of mouth on sales: A meta-analytic review of platform, product, and metric factors.Journal of Marketing Research,53(3), pp.297-318. Chang, H.H. and Wu, L.H., 2014. An examination of negative e-WOM adoption: Brand commitment as a moderator.Decision Support Systems,59, pp.206-218. Chen, J., Teng, L., Yu, Y. and Yu, X., 2016. The effect of online information sources on purchase intentions between consumers with high and low susceptibility to informational influence.Journal of Business Research,69(2), pp.467-475. Cheng, Y.H. and Ho, H.Y., 2015. Social influence's impact on reader perceptions of online reviews.Journal of Business Research,68(4), pp.883-887. 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