The Impact of Technology on Purchase Lifecycles
New-age technology along with existing knowledge of consumer psychology is being leveraged effectively by brands across the globe, in highly innovative and engaging ways…
Technology in today’s day and age has come to become the most integral element in influencing customers’ choices especially when it comes to retail products such as clothing. New-age technology along with existing knowledge of consumer psychology is being leveraged effectively by brands across the globe, in highly innovative and engaging ways; such methods would have been unfathomable less than a decade ago.
With new information about audience behavior and preferences amongst other parameters, brands have an in-depth understanding about consumer buying cycles. In such a scenario, influencing the lifecycle of buying begins even before the consumer has thought of buying a certain product.
Prior to the need for product exists:
With predictive data analytics, advanced systems can predict the potential need for a product amongst consumers. Today advanced e-commerce marketing agencies classify the complete population in 16 personas based on probable psychology, mood, aspiration as key influencing factors.
The brands and agencies then take to delivering customised digital marketing content to the individuals based on the consumer’s persona. Physical retailers are also warmingup to the idea of exploring different personas to cater to their consumers more efficiently and effectively.
With new technology come new conundrums and new queries, as the brands and marketers trying to understand and grasp the prowess of tech in our hands. Given this backdrop, debates surrounding who is in control of “the buying” ensue. With evolving technology similar questions will become more prevalent.
With constantly being connected to the digital world, a consumer is consistently digitally tuned-in. When checking-in to places, entering malls - connecting through Wi-fi and Bluetooth, a consumer announces their whereabouts to sellers at the locations. In addition to that, through search engine marketing (Sem)consumers receive prompts and ads when searching for specific locations, products or retail details. Many software and services carry out paid marketing for products or similar products being searched upon by the consumers. With increasing smart phone usage, more consumers will fall under the fold.
Whether it is a portal or a store, the retailers have made heavy investment since the ROI is most clear and evident in this setting. In today’s technology driven set-up, offering Omnichannel solutions, apps, assistance based on CRM data, interactive kiosks are some of the methods employed by retailers to improve conversion rates.
With increasing retail cost and decreasing footwalls in the store, improved conversion and basket size are the critical parameters of survival. Brands and retailers are working with equal rigor to enhance this area.
After a consumer purchases a product, companies have valuable data at hand. Conglomerates with multi industry data can reach out to consumers across digital channels to show products of their company, in accordance with the preference of the consumer, to support a sale of the product. Store retailers also employ data to get a clear understanding of location preferences among consumers, areas of development of merchandise, display and staff-training amidst other factors.
It’s amazing to witness the rapid development in the areas of neuro science, consumer behavior psychology, predictive analytics, social marketing, Omnichannel and geomarketing. Now, the retail sector is comprehensively and completely utilising the potential of such newage technology. It will be interesting to see how all the parameters and growing technological advancements come into play how effectively the sector leverages the opportunities available through technology at hand.