Tuesday, September 7, 2010

Other Factors effecting consumer behaviour online

We have so far discussed 2 main factors effecting consumer behaviour online. Let's discuss the rest.

3. Legal context
There are numerous laws that overrule consumers in the internet. They range from privacy laws, data security laws, Trademark laws, patents..etc. Their buying patern on a web site maybe effected by them.
For e.g. Kazaa.com which was very famous for downloading music - had less amount of hits after Recording Industry Association of America (RIAA) sued thousands of illegal consumers. But it saw many consumers getting used to legal purchasing of music through iTunes concept of apple computers.

Police raiding of 4 shops in Unity Plaza - Bamabalapitiya in 2008 - Afterwards there was a huge increase in software sales in the country.

4. Individual Differences
Consumers vary by Age, sex, income, education, location and various others ways.
For e.g.
  • Adults make just as many calls, but text less often than teens.
  • Internet user population is 60% Teens and 40% Adults -But Latest research - Older adults using social networks nearly doubled in the past year (www.pewinternet.com)
  • Online shoppers are more price oriented
  • Males use more internet than females
Following table shows American Internet accessibility data (because others countries are not readily available)
When developing consumer websites all these differences has to be addressed. The way to address will be discusssed in the later posts on online market segmentation.

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