L3: Digital Consumer

Behavior
Spring 2025
 Announcement

If you don’t have a group yet?

Groups sit together

Adjustment to the syllabus

• Participation 15% -> 20%
• Individual presentation 15% -> 10%
• All four groups present on Apr 25
 Today’s Agenda

• Concept Checks

• Individual Presentation

• Digital Consumer Behavior

• Viral Marketing
 Concept Checks

• The basic steps of a strategic marketing plan

• The components of a situation analysis

• Microenvironment: 3C
• Macroenvironment: PESTEL

• RACE or 5S goals for setting up digital marketing objectives

• STP, 7A and AECCC framework for digital marketing strategies

• Big four basics (what each of them are particularly good at)
 Individual
Presentation
 Consumer Behavior

• Consumer Behavior: Process and activities people engage in with

relation to products and services to satisfy their needs and desires.

• Searching and selecting

• Purchasing and using
• Evaluating
• Disposing
 Digital Consumer Behavior

• Digital Consumer Behavior: All of the procedures adopted by

consumers in an online context when searching, selecting, buying,
using, and even discarding products and services secured through
digital channels.
 Digital Trends and Influences

• Digital consumers may be affected by any number of influences.

• Digital culture: “knowledge, beliefs, and practices” of consumers in an online
context
• Digital group influences: norms accepted within or beliefs held by an online
group which may play a role in decisions by digital consumers
• Technology: relied on by digital consumers to engage with brands, make
purchases, and provide recommendations
• Digital influencers: humans or technological personas who affect a consumer’s
buying decision by virtue of their fame, Internet presence, position, recognition,
or other factor
• Shared stories: stories told by other consumers, which can have an affirmative
impact in digital marketing
 Digital Trends and Influences

• Digital consumers may be affected by any number of influences.

• Digital culture: “knowledge, beliefs, and practices” of consumers in an online
context

Do you know these abbreviations?

• TTYL – Talk to you later
• TGIF – Thank god it’s Friday
• YOLO – You only live once
• OOTD – Outfit of the day
 Digital Consumer Behavior and Influences

• Digital consumers may be affected by any number of influences.

• Digital culture: “knowledge, beliefs, and practices” of consumers in an online
context

Do you know these “celebrities”? (Meme culture)

 Digital Consumer Behavior and Influences

• Digital consumers may be affected by any number of influences.

• Digital culture: “knowledge, beliefs, and practices” of consumers in an online
context
• Meme recreation
 Digital Consumer Behavior and Influences

• Digital consumers may be affected by any number of influences.

• Digital group influences: norms accepted within or beliefs held by an online
group which may play a role in decisions by digital consumers
• E.g., #Metoo Campaign
 Digital Consumer Behavior and Influences

• Digital consumers may be affected by any number of influences.

• Technology: relied on digital channels to engage with brands, make purchases,
and provide recommendations
• Digital influencers: humans or technological personas who affect a consumer’s
buying decision by virtue of their fame, Internet presence, position, recognition,
or other factor
 Digital Consumer Behavior and Influences

• Digital consumers may be affected by any number of influences.

• Shared stories: stories told by other consumers, which can have an affirmative
impact in digital marketing
Consumer Behavior

What do people buy?

 Problem Recognition
• Difference between current and ideal states
• Need recognition: actual state moves downward

Out of Stock Dissatisfaction

• Opportunity recognition: ideal state moves upward

New Needs Market-Induced New Products Related Products

or Wants Recognition
Maslow’s Hierarchy of Needs
An Example of Consumer Decision Making

Decision Stage Psychological Process

Problem Recognition Motivation

Richard realizes that he
dislikes his old TV
Information Search Perception
Richard searches online to
learn about TVs
Evaluation of Alternatives Attitude Formation
Richard compares models
on reputation and features
Purchase Decision Integration
Richard chooses a TV with
an appealing feature
Post-purchase Learning
Richard brings home and
enjoys his TV
 Problem Recognition
• “This is how babies see the world.
Keep it clean.” (Clorox)
 Information Search

• Suggests criterion for purchase (e.g., all related attributes)

• Yields possible alternatives (e.g., a long list of brands)

• Sources of Information
• Personal Sources: Family, friends, neighbors
• Commercial Sources: Advertising, salespeople
• Internet Sources: Brand websites and social media, Expert reviews,
Consumer-rating groups,
• Your Own Experiences: Handling, examining and using the product
 Information Search
• SEO (later)
• Online WOM
• Forums, blogs, e-commerce platforms
Evaluation of Alternatives

All Available Brands

Brand A Brand B Brand C Brand D Brand E

Brand F Brand G Brand H Brand I Brand J

Brand K Brand L Brand M Brand N Brand O

Evoked (Consideration) Set of Brands

Brand B Brand E

Brand F Brand I

Brand M
 Multi-Attribute Attitude Model
• Product Attributes (What are the relevant features to me?)
• Consideration Set (What is a set of alternatives I am interested in?)

Dell Fujitsu Gateway HP IBM Toshiba

Feature List Importance I-5150 LB-N M350XL ZD7000 TP-R40 P25-S607
Price
CPU
Weight
LCD Size
HD Size/Speed
Home Theatre
Total Score
Multi-Attribute Attitude Model

Dell Fujitsu Gateway HP IBM Toshiba

Feature List Importance I-5150 LB-N M350XL ZD7000 TP-R40 P25-S607
Price 0.1 6 8 8 4 10 6
CPU 0.4 8 6 8 9 2 10
Weight 0.1 2 4 4 2 8 2
LCD Size 0.2 6 6 6 10 6 6
HD Size/Speed 0.1 10 4 8 4 6 4
Home Theatre 0.1 8 6 6 6 6 4
Total Score 7 5.8 7 7.2 5 6.8
Dell I-5150
Price: .1 x 6
CPU: .4 x 8
Weight: .1 x 2
LCD Size: .2 x 6
HD: .1 x 10
H. Theatre: .1 x 8
Total Score: 7
 The Multi-Attribute Model

Evaluationi = SkEvaluationik
= Sk [Beliefik x Importancek]
How well the alternative (i) How important the
performs on attribute (k) attribute (k) is

• Compensatory Rule
• Consider all attributes simultaneously
• High rating on one attribute can compensate for a low rating on another attribute

• Problem?
 The Multi-Attribute Model

Evaluationi = SkEvaluationik
= Sk [Beliefik x Importancek]
How well the alternative (i) How important the
performs on attribute (k) attribute (k) is

• Compensatory Rule
• Consider all attributes simultaneously
• High rating on one attribute can compensate for a low rating on another attribute

1. Price
2. Weight
• Problem? 3. Function
…
Break
 Post-Purchase Evaluation
• Customer Feedback on Digital Platforms
• Digital platforms made consumers easier to be heard and seen
• Negative feedback is considered more diagnostic
• Example: United Break Guitars

• The YouTube video was posted on July 6, 2009. It amassed 150,000 views
within one day, prompting United to contact Carroll, saying it hoped to right the
wrong.
Ryanair Campaign 2013 CLIO Winner
• What are the potential benefits and risks of this campaign?
Haidilao’s Cockroach Rumor
 Post-Purchase Evaluation
• Facing negative reviews, should companies apologize or fight back?
• Perhaps need to consider your brand personality
• Case: DIESEL’s HAɄTE COUTURE Limited Edition
 Post-Purchase Evaluation
• Apologize
• Clarify the truth
• Remedies and improvements
• Defend your brand

• Or just…
Digital Conversion Funnel (Digital AIDA Model)

Adapted from: Edward Kellogg Strong, The Psychology of Selling and Advertising (New York:
McGraw-Hill Book Co., 1925), p. 325.
 Digital Conversion Funnel (Example)

1. Awareness stage: Seema sees the Facebook ad, but does not take
immediate interest in the Samsung TV being advertised. Instead Seema
begins to consider that she might want a new smart TV.
2. Interest stage: Seema begins searching for smart TVs on Google, seeing
ads and search results for smart TVs from many different companies. Her
interest piqued, she narrows her search down to three models, but before
she can take things further, Seema is distracted by work.
3. Back to the Top of the Funnel: Several days later, Seema sees an ad for
a smart TV she hadn’t previously heard of, and of which she then becomes
aware. After research, she becomes interested, but does not continue with
the process because can’t determine where the TV would fit in her
apartment.
 Digital Conversion Funnel (Example)

4. Desire stage: Some days later, Seema is watching

her traditional TV and realizes how great the features
of a smart TV would be. She resumes where she left
off with the smart TV she was interested in. She finds
she has a desire to buy this TV, but she is
disappointed when she realizes delivery would take
21 days.
Tashtuvango/Shutterstock

5. Action stage: Seema returns to her earlier smart TV

choices that have features similar to the TV she lost
desire for. Her desire is renewed when she chats with
a sales representative who offers her a code for free,
fast shipping. She takes action, ordering the TV.
 Break

- Viral Marketing
• Any examples of viral marketing?
• What makes something go viral among consumers in a digital environment?
 What Makes Things “Contagious”?

• The STEPPS
1. Social Currency
2. Triggers
3. Emotion
4. Public
5. Practical Value
6. Stories
What Makes Things Go Viral

Digital Marketing Value Creation

Jonah Berger came up with six steps—with the acronym STEPPS—that encourage consumers
to “talk and share”:
• Social currency: Consumers share because they want to look good in social settings.
• Triggers: Consumers are more likely to talk about something at the top of their minds.
• Ease for emotion: Consumers are likely to share things they feel strongly about.
• Public: Consumers are more likely to do something if others are doing the same.
• Practical Value: Consumers are more likely to share information that others may use.
• Stories: Consumers may want to share when they see others’ shared stories.

Source: Jonah Berger, Contagious: Why Things Catch On (New York: Simon and Schuster, 2016),
https://knowledge.wharton.upenn.edu/article/contagious-jonah-berger-on-why-things-catch-on/.
 1. Social Currency

• “We share things that make us look good”

• We are more likely to share/mention things that make us appear

interesting, accomplished, and distinguished
 1. Social Currency
• Example: Blendtec
• Even very mundane products often possess an inner remarkability
 1. Social Currency
How to make a cup of coffee the most talked about topic?
• Co-branding with luxury brands: from exclusivity to social currency
 2. Triggers

• “Top of mind, tip of tongue”

• Things in our immediate environment often trigger us to speak about

certain things

• According to a survey, more frequently used products got 15% more

WOM as everyday activities make those products more top of mind

• Products can come to be associated with things artificially by a clever

ad campaign
 2. Triggers

• KitKat and Coffee break

• 1980’s and 1990’s great success
• 2007: sales were declined about 5% per year, less interest in the
product
• Research found that consumers often had KitKats when taking a
break, and many consumed it in coordination with a hot beverage
• A campaign?
2. Triggers
 2. Triggers

• KitKat and Coffee break

• Goal of the campaign: to associate a very common beverage
(coffee), and a very common experience (the coffee break), with the
KitKat bar
• Results: sales were increased by 8% by the end of the year
 3. Emotion

• “When we care, we share”

• Content that touches us emotionally
High Arousal Low Arousal
Positive Awe Contentment
Excitement
Amusement (Humor)
Negative Anger Sadness
Anxiety
 3. Emotion

• Emotional storytelling trend in advertising

• Creating a powerfully positive emotional state
• Associate it with your brand

• Emotions could be related with

• One’s personal goals, fears, human vulnerabilities
• Empathy, credibility, and trust between brand & consumer
 3. Emotion
Google Parisian Love Ad
• People don’t want to feel like they’re being told something—they want
to be entertained, they want to be moved
 4. Public

• “Built to show, built to grow”

• Make sure ideas/products/behaviors as visible and in the public eye as

possible
4. Public-Nike (2019 Clio Award)
 5. Practical Value

• “News you can use”

• People share practically valuable information to help others.

 5. Practical Value
• Example
 6. Stories

• “Information travels under the guise of idle chatter”

• Stories in advertising allows the advertiser to embed their message in a

narrative that is interesting and entertaining in its own right
 6. Stories
Ocean Park 40-Year Micro-Film
 What Makes Things “Contagious”?

• The STEPPS
1. Social Currency: we share things that make us look good
2. Triggers: top of mind, tip of tongue
3. Emotion: when we care, we share
4. Public: built to show, built to grow
5. Practical Value: news you can use
6. Stories: information travels under the guise of idle chatter.
 An Example of Buzz Marketing

• Dove’s “Campaign for Real Beauty” 2013

• Idea: Only 4% of women feel good about themselves across the
globe, why not move the other 96%?

• Goal: build positive self-esteem and inspire all women and girls to
reach their full potential

• Question: Success factors? What made it go viral? Impact on brand?

Risk?
An Example of Buzz Marketing
 An Example of Buzz Marketing

• Dove’s “Campaign for Real Beauty” 2013

• Pros
• Widen the definition of beauty/Women’s self-esteem
• Build trust (company truly cares about their customers)
• Functional to self-expressive (Maslow)
• Why viral
• Emotion
• Story
• Real problem (self-esteem)
• Cons
• Inconsistent with Unilever
 Next Class

• L4: SEM and SEO

• Individual Presentations