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TECHNOLOGY How has the internet changed peoples buying habits?
Seeing the dependency of day-to-day life on the internet, it is very difficult to envision modern life without it. It has altered our lives in various ways. Undoubtedly, shopping is one of them. Shopping before the internet had been a cumbersome and archaic course of action. Unlike almost a decade ago, when most people were using conventional ways of shopping, now we are buying things from the comfort of our houses with a few clicks on our computer device. The Internet has changed how we find, research, and ultimately buy a product.
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In this internet era, it’s quite possible to never leave your house and still have all of your needs met, thanks to the growth of subscription boxes, supermarket delivery services, and two-day Amazon shipping.
How has shopping changed lately? In the last decade, how much internet has revolutionised people’s shopping experience, the following points show:
• Consumers are spending more money online than ever before, with the share of money spent online more than tripling between 2008 (4.9%) and 2018 (17.9%). • In 2019, 87% of adults used the internet on a daily basis, up from 49% in 2008. • In 2019, 82% of users shopped online in the previous 12 months, up from 53% in 2008. • For the first time, more than half (54%) of persons aged 65 and up reported purchasing online in the previous 12 months in 2019. • Despite the rise of internet shopping, consumers still spent the majority of their money in stores in the previous year, with just over 80 pennies of every pound spent in store. • 83% of those who haven’t shopped online in the last year reported a “desire to shop in store.” • The food sector has had slower development in online sales, with online sales as a percentage of total commerce remaining around 5% since late 2016. • Clothing and department retailers have raised their contribution of internet sales to about 20% in the recent decade.
What brought this shift in people? How has the internet changed people’s shopping habits? Let’s learn by reading the following factors in this blog article that contributed to this change in the pattern of people’s shopping behaviour.
1. Reviews by consumers
One of the major effects of the internet on shopping behaviour may be seen in online reviews. In addition to business websites, the review sections of e-commerce sites, social media pages, and personal blogs, consumers have access to a variety of channels where they can write reviews of goods and services. Other customers value these evaluations since they reflect the genuine opinions and experiences of real people rather than being the product of an advertisement. In fact, according to a 2015 Moz analysis, 67% of buyers surveyed regarded internet reviews as a crucial deciding factor when making purchases. Customers are more likely to have pleasant experiences and post those experiences online when firms offer top-notch goods and services. Other customers will be more likely to use that company when they see these encouraging reviews.
2. Decreased Brand Loyalty
A trend noticed by McKinsey is a sharp drop in brand loyalty when people shop from their couches and home
offices. Over a third of US customers (36%) have tried a new product brand, and 75% overall have experimented with a new buying behaviour. Due to stressed supply chains at the height of the epidemic, popular commodities went out of stock, contributing to this tendency. Consumers who had tried a different brand, however, claimed that they would still look for new ones in the future in 73% of cases.
3. Smartphones
eMarketer reports that individuals are spending more time on their mobile devices and less time on other media, such as television, desktops, and laptops. Mobile devices have made it possible for people to access the internet practically anyplace they go. Users may access the internet while out and about thanks to smartphones, tablets, smartwatches, and other gadgets. This implies that customers can instantly obtain information and opinions about goods they are considering purchasing in businesses. Consumers can now rapidly check online reviews to make sure they’re picking the greatest goods in the proper price range rather than just hope they’ve found the perfect item to fulfil their demands.
4. Social Media Touch
People use social media for an average of two hours per day, and on various social media sites, they like and follow companies they find appealing. This makes it possible for people to receive regular updates about the goods and services offered by businesses in the form of images, videos, product descriptions, and links to blogs and other educational web pages. Having an active online presence on social media is crucial for businesses because it gives them new possibilities to engage with customers and deliver the finest customer service.
Additionally, platforms like Facebook, Twitter, and Instagram make it simple to share material, enabling businesses to post interesting content and inspire their followers and fans to do the same on their own timelines. Customers want to locate brands on social media so they can read reviews from other customers, receive answers to their questions, and spread the word about the brands they love to their own friends and followers.
5. Convenient Research like never before
Research is another significant shift brought about by the internet in how we shop. In the past, if you wanted to learn more about a product, you had to visit many stores and ask a salesperson for assistance. This obviously wasn’t ideal because a salesperson will always show their product in the best possible light, even if it’s not the best choice. In order to truly comprehend the market and what is offered, it was also required to visit several stores, which was not only annoying but also took a lot of time.
Publications like “Consumer Reports” sparked the growth of the third-party review concept. However, in the early years of this periodical, access to the company’s yearly reviews and recommendations required a subscription. Not everyone has the choice of spending money merely to have more money to spend. We now have the chance to be much better educated consumers as a result of this. Whether you shop online or not, this is useful.
6. Constant Advertising
When most of us decide we want to buy something, the buying process starts. We overcome the psychological barrier associated with using our money and begin to actively pursue the desired thing. What we fail to see is that the buying process, at least the one that takes place in our brains, begins long before we consciously decide to go out and make a purchase. This happens because of the advertisement you see. The idea of advertising is not brand-new. Although it has certainly existed in some form or another since the dawn of time, the 1950s and 1960s saw a surge in popularity as a result of the widespread adoption of television. Today, though, we are literally surrounded by advertising because of the internet.
You are exposed to advertisements whether you are playing a game, watching a video on YouTube, listening to music on Spotify or Pandora, scrolling through social media, or simply browsing your preferred news website. Because the majority of ad services, like Facebook and Google, use your personal data to understand your preferences and interests, these advertisements are obviously more effective than those you see on television or hear on the radio.
7. Amazon
Amazon has been a part of our lives for a while. In the last couple of years, though, it has truly blossomed. During their confinement, it has assisted numerous people in discovering new skills and interests. A near-perfect example of how online buying should be is Amazon. They practically have it down to an art. Everything is incredibly clear-cut and easy to understand. Some of their stock’s classifications may look strange. But, once you figure that out, everything goes very smoothly. They have a fantastic website that makes it quite simple to get what you need from them.
8. Electronic Payments
Online buying can only be made possible with digital payments. More payment methods are made available as more individuals use the internet for this purpose. People are free to select whichever option makes them feel most at ease. Everything is much simpler when you’re online. There are now so many options for making payments online. These options make it quite feasible for you to move money around fast and easily. Everyone benefits from the convenience and speed of digital payments. Even a mobile device can be used to handle them!
