Electif 621
E-Business and m-Business
Antoine Harfouche
Session 6
e-Cons Behavior
Agenda
• A General Model
• Online Consumer Decision Process
• Eye tracking
Marketing
Business Managerial Strategy
Strategy vision
Website
Logistics
Consumer behavior
A General Model
A General Model of Consumer
Behavior
Online Consumer behavior
Online Consumer Decision Process
• Adds two new factors:
– Web site capabilities -- the content, design, and
functionality of a site
– Consumer clickstream behavior -- the transaction
log that consumers establish as they move about
the Web and through specific sites
What Consumers Buy Online
• Two groups roughly divide online sales:
– Big ticket items:
• $500 plus
• Travel, computer hardware, consumer electronics
• Expanding
– Small ticket items:
• On average, $100 or less
• Apparel, books, office supplies, software, etc.
• Sold by first movers
– Physically small
– High margin items
– Broad selection of products available
Learning about
Consumer Behavior Online
Trust, Utility/personalization, and
Satisfaction in Online Markets
•
Two most important factors shaping decision to
purchase online:
1. Trust:
•
•
Asymmetry of information can lead to opportunistic
behavior by sellers
Sellers can develop trust by building strong reputations for
honesty, fairness, delivery
2. Utility/personalization:
•
Better prices, more adapted, convenience, speed…
3. Ease of use
•
These factors can lead to Satisfaction
Trust in EC
• Trust
The psychological status of willingness to
depend on another person or organization
– How to increase trust in EC
• Affiliate with an objective third party
• Establish trustworthiness
Trust in EC
Key Features of the Internet Audience
• Socio-Demographics and access
– some demographic groups have higher percentage of Internet users
– different patterns of usage exist across groups and ages
• Ethnicity
– Variation across ethnic groups not as wide as age groups
• Education
– 82% of individuals with a college degree online
– 3% with high school education of less online
• Gender
– Men accounted for the majority of Internet users at first
– Women now outnumber men online
• Lifestyle impact
– Intense Internet usage may cause a decline in traditional social activities
– Social development of children using Internet intensively instead of
engaging in face-to-face interactions or undirected play out of doors may
also be negatively impacted
Satisfaction in EC
A Model of Online Consumer Behavior
A Model of Online Consumer Behavior
• Clickstream factors include:
–
–
–
–
–
–
–
Number of days since last visit
Speed of clickstream behavior
Number of products viewed during last visit
Number of pages viewed
Supplying personal information
Number of days since last purchase
Number of past purchases
•
Acquisition, Conversion, and Retention
of Customers
Acquisition cost
Money a site spends to
draw one visitor to the site
•
Funnel model
Very similar to the
customer life-cycle
model
•
Conversion
Converting a first-time
visitor into a customer
•
Conversion cost
Cost of inducing one
visitor to make a
purchase, sign up for a
subscription, or
register
•
Retained customers
Customers who return to
the site one or more
times after making
their first purchases
Eye tracking
Eye tracking and e-marketing
Definition
• Eye tracking is
measurement of
activity
 Where
the
eye
do we look? What do we ignore? When
do we blink? How does the pupil react to
different stimuli? => evaluated by a sofware
Fields of application
• Packaging Analysis- Impact- Interpretation
• Press analysis consumption
• Advertising Analysis- Impact- Interpretation
( press, billsticking…)
• Web information analysis (emails, websites,
web pages…)
Advantages for the firms ?
• Improve considerably firms’ communication
support efficiency
• Anticipate the communication campaigns
which will not work because not accurated/
well built
• Avoid waisting money + increase lucks of
success and rentability
Improve and boost your website
The Process
• Recruitment and test of the participants (different targets): allow the
participants to interact naturally with the website
• Study: Eye movement data and click behaviour recorded during the
interaction (follow-up questionnaires)
• Results (example):
– Visual attention to online advertisements frequent, but brief.
– Analysis of viewing time: attention to some animated flash
advertisements did not last long enough for the primary message
and branding to be revealed.
• Recommendation: Average viewing times provided to the client so
that developers could tailor the flash animation of their advertisements
to the visual behavior of the user
•
•
•
•
Improve and boost your website
The Benefits
See what the users see
Understand the design with a more objective view
Which blocks of text are engaging and which are not
Examples:
– Identify several previously undetected usability issues on
the website
– A website new design : Identifiy the problems (placement
of buttons, confusion over labelling …) and the successful
aspects of the redesign.
Concrete examples:
The « golden triangle »
• It represents the place where people tend to watch
first
Golden triangle
1
2
2
3
3
4
1 : 85 à 100 %
2 : 65 à 85 %
3 : 45 à 65 %
4 : < à 45%
What should not be done:
Example
Example