Consumer Behavior

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Submitted to: Dr.

Muhammad Abrar

Subject: Consumer Behavior

Submitted By: M.Faizan

Roll# 21893

Class: BBA Eve-B

Semester: 5th

Dated:
Q.1 Two websites that you visit regularly and discussion how they
track your behavior and enable marketers to target you more
effectively.

 Google Analytics
Google Analytics help us to capture and understand user behavior in
most kinds of applications, including mobile apps (iOS and Android), web
and SaaS applications, and IOT (internet of things) devices.
With minimal instrumentation, Google Analytics provides many pieces of
information to help you understand the behavior of users as they interact
with your site or application. Standard metrics include the number of
users interacting with your application, the number of sessions those
users create, and the screens or web pages that they visit. User data in
Google Analytics is captured using either first-party cookies, randomly
generated IDs, or an SDK for mobile apps. On websites and SaaS
applications, users can opt-out from Analytics by installing a browser add-
on, and within mobile apps, they can change their settings to opt-out (if
supported by the mobile app).

Here’s are some of its benefits:


 Measure your website’s performance
 See if your marketing efforts are working
 Which type of content to create or products to list on your
website
 Divide users into different segments (like age, gender, country,
device, etc.)
 Optimize website pages to boost conversions

Targeting ads is an essential part of a successful advertising campaign.


You may have designed the perfect ad, but you'll need to show it to the
right people at the right time to better reach your goal. Google Ads offers
different ways of targeting your ads.
For video ad groups using placement targeting only: If you’re targeting
placements solely on YouTube or the Display network, your ads will now
be eligible to run on both.
Existing ad groups without targeting will be automatically paused as a
one-time exception to ensure they don't run ads you don't intend to
show. Going forward, manually pause ad groups that aren’t ready to
show ads.

Audience targeting

Demographics: Target your ads based on how well your products and
services trend with users in certain locations, ages, genders, and device
types.

Affinity: Advertisers with TV campaigns can extend a campaign online


and reach an audience using Google Search or the Display Network.

In-market: Show ads to users who have been searching for products and
services like yours. These users may be looking to make a purchase, or
have previously made a purchase and could still be interested enough to
interact with your ads.

Custom intent: Choose words or phrases related to the people that are
most likely to engage with your site and make purchases by using
"custom intent audiences." In addition to keywords, custom intent
audiences lets you add URLs for websites, apps, or YouTube content
related to your audience's interests.

Similar audiences: Expand your audience by targeting users with


interests related to the users in your remarketing lists. These users aren't
searching for your products or services directly, but their related interests
may lead them to interacting with your ads.

Remarketing: Target users that have already interacted with your ads,
website, or app so that they'll see your ads more often. These users can
be in any stage of conversion, as long as they've visited your site or
clicked on your ad before. These users may even return to complete a
purchase.
 Facebook
It collects data from what you input on Facebook, what sites you visit
while you are logged on to Facebook in the background of your device
and what third-party companies can pull on you.

Here are several possibilities.


1. The furniture retailer asked its ad be shown to a certain demographic,
and she fit the bill.
Businesses can show Facebook ads to people within certain parameters.
This targeting can get pretty specific, down to a one-mile radius of an
address. Facebook is also testing household targeting, meaning some
advertisers have the option to reach family members in addition to the
initial target customer.

2. She showed interest in the subject matter by her activity on or off


Facebook.
Facebook knows what you like and post on its platform. From that, it
determines what ads it thinks you'll like.
But it can also figure out what other sites you browse as long as you
remain logged in on that device. It does this courtesy of tiny pixels
publishers and businesses embed in their websites. These dots send a
message back to Facebook when you visit — the technology is called
Facebook Pixel. It allows companies to target people based on other sites
they previously looked at.
Facebook allows companies to upload email lists of specific users they
want to see their ads. Businesses usually use this to re-target customers
who had previously purchased items.
They could also know a customer's Facebook ID if they used that same
email to log into the furniture retailer, or used Facebook directly to log
into that site. Or, someone in the household could be on the company's
list, and that company may choose to serve its ads to everyone in the
household.

3. He used her device to look at the product.


Many households share devices, whether it's using the computer that is
closest to you or watching on the same digital media player like a Roku or
Apple TV. If people remain logged into Facebook on that device, the
company has access to multiple people's browsing history. Facebook is
also excellent at tracking behavior across devices, since people use the
same login on different devices.
So let's say the editor had previously used his wife's computer to look at
the bed frames. If his wife had never signed out of her Facebook account,
Facebook thinks she was looking at the bed frames website, then serves
this ad on her computer because it thinks she's interested in the
company.
Or, perhaps the husband's iPad was logged into the wife's Facebook
account when he was looking at the bed frames. Facebook would assume
she was the one looking and show her the relevant ad on other devices
where she was logged in — in this case, on her computer.

4. The furniture company worked with a third-party data provider to find


their ideal customer, and she is it.
Advertisers sometimes work with third-party marketing services such as
Axiom, Datalogic or Epsilon to find the right customer. These companies
use a variety of data sources such as credit card information and
consumer behavior and provide information that can be integrated with
Facebook or any other advertising platform to target someone. (In the
case of the Cambridge Analytica story, the data analytics firm worked
with a third-party app to collect information.
"Let's say we want to reach someone who is a high grocery purchaser,"
Bright explained. "Axiom gets data from grocery store loyalty numbers,
matches that to an individual and passes that hashed information to
Facebook."
Third-party data collectors focused on 360-degree connectivity may also
be able to connect behavior on multiple devices that share email logins. If
you use the same email to log in to your internet provider and Facebook,
they may be able to collect information on your shopping habits across
devices.
That third-party information can also be used to target households.
Facebook accounts have enough information through relationship
statuses, pictures and interactions to determine who lives in the same
household. The advertisers don't get access to this individualized
information.
Q.2 Two examples (one advertisement and one article) depicting
practices that are consistent with social marketing concept and two
examples of business practices that contradict this concept.

 Coca-Cola
Coca-Cola has achieved notable successes in digital marketing.
Advertisement: ThatsGold
In celebration of the Rio 2016 Olympic Games, Coca Cola Brazil
launched the #ThatsGold campaign, designed to celebrate the
feeling that comes with accomplishing something great – no
matter how big or small.

Ads for the campaign featured famous gold medal-winning


moments from previous Olympic Games, as well as famous
athletes like Nathan Adrian and Jodie Williams. The ads were
tailored to global markets too, with countries like the US and
Australia seeing more of their own national athletes featured.
Alongside digital and out-of-home ads, #ThatsGold also included
an experiential element, with the Olympic Park hosting a special
Coca Cola space for visiting fans to have their photos taken with
props and buy branded pins and memorabilia.

Article
In 2014, the Coca-Cola Company launched its mega-successful
"Share a Coke" campaign, where it replaced its logo on 20-ounce
bottles with 250 of the most popular American names.
Consumers were encouraged to find bottles with names they
connected with and give them to a friend or family member.
Capitalizing on the social media craze, Coca-Cola encouraged
consumers to tweet about their experiences and post photos,
using the hashtag #ShareaCoke.
Coca-Cola continuously expanded the campaign, boosting the
number of names from 250 to 1000.
Coca-Cola's online store now lets consumers customize the names
on bottles.
The "Share a Coke" campaign became a raging success in America,
for the four reasons below.
Consumers Are Prompted to Create Online Media Content
Coca-Cola empowered consumers to discuss the product over
social media platforms, in a way that puts control in the hands of
customers. By reflecting on their personal experiences, consumers
felt like their lifestyles were the center of the narrative, instead of
feeling like they were merely tools in the company's promotional
machine. Consequently, consumers shared more than 500,000
photos via the #ShareaCoke hashtag, within the first year alone.
Coca-Cola gained roughly 25 million new Facebook followers that
same year.
The Brand Connects With Consumers on a Personal Level
For Millennials, personalization is not just a fad, but it's a way of
life. The "Share a Coke" campaign enabled this set to express their
individual stories and connect with friends and family. A girl who
shares a name-branded Coke bottle with her mother feels as
though she's connecting with her parent by innocuously creating a
topic of conversation.
Of course, not everyone's name was represented on the 250
altered bottles. Consequently, Coca-Cola created a 500-stop cross-
country "Share a Coke" tour, which lets fans customize a mini can
for themselves and a second one for someone special. The
company also provided alternative pre-printed options with
monikers such as "Bestie," "Star" or "BFF," for those with more
unusual names, that were not represented.
Powerful Call to Action
The "Share a Coke" slogan is inherently a call-to-action to buy
more product. Catchy and easy to remember, the phrase carries
an embedded directive to purchase a bottle of Coke, for the
purpose of giving it to another.
The "Share a Coke" campaign was first introduced in Australia
before it was brought to the United States.
The Campaign Continues to Change
The "Share a Coke" campaign has constantly expanded. In 2015, in
addition to increasing the personal names from 250 to 1,000,
Coca-Cola opened an e-commerce shop where consumers could
order personalized bottles. Furthermore, song lyrics were added
to the bottles' packaging, letting fans share music, instead of just
names.
In 2017, the company added a feature that let consumers hear a
short jingle with their name in it. And in 2018, Coke made their
now-iconic name labels removable stickers that could be fastened
to clothing, cell phones, notebooks, and other items.

 McDonald's
McDonald’s has come with some clever marketing campaigns
over the years, often using digital to drive people towards those
magical Golden Arches. These campaigns not only drive footfall to
restaurants, but also help to increase brand loyalty and
engagement. One example is as
Advertisement: Hands Full
McDonald’s used to be all about the food, but in 2018 it chose to
focus on strides in customer experience, highlighting how the
brand is making it easier for everyone in restaurants.
The campaign is made up of three different ads, called ‘Hands
Full’, ‘Grownup’ and ‘It Must Be’. Each one shows a different in-
store innovation, including the McDonald’s mobile app, in-store
order screens, and table service.
Part of McDonald’s aim was to change perceptions (and highlight
innovation), making it a story-driven and highly engaging
campaign that targeted families in particular.

Article:
1. McDonald's Strategy
McDonald's Main Business Strategy Was And Still Is Investing in
Advertising & The Franchising Model
McDonald's Advertises towards Children & Families and Produces
Recognizable Icons
2. The Keys To McDonald's Success, Rapid Growth & Market
Dominance
McDonald's Keys to Success is their Focus on Customer
Satisfaction.
McDonald's Finds Ways to Make Customers More satisfied with
fast service.
McDonald's finds ways to make customers More Satisfied by
Creating a Clean Environment.
McDonald's Finds Ways to Make Customers More Satisfied with
Higher Quality Products.

3. How McDonald's Sustains Their Competitive Advantage


McDonald's Sustains Their Competitive Advantage By Providing
More Value To The Customer.
McDonald's Sustains Their Competitive Advantage with Superior
Convenience.
McDonald's Sustains Their Competitive Advantage with Optimal
Efficiency Business Operations

4. How does McDonald's Position their Brand?


McDonald's Utilizes Branding and Co-Branding with Major Well
Known Companies for Marketing Purposes
McDonald's Uses Catchy Phrases and Messages in their
Advertisements

5. How does McDonald's Maintain their Leadership

McDonald's Changes with the Market Demands of Customers

McDonald's Focuses on Improving the Restaurant's Image by


Showing Transparency.
Business practices that contradict this concept.
Societal marketing is the theory that businesses should act in such as way as to meet the needs
and wants of the customer, whilst considering also what would benefit society as a whole. The
idea dictates that companies should make marketing decisions based on this information for
optimal levels of success in the long run. However, there are many contradictions to this theory.
The main criticism of societal marketing is that businesses have neither the right nor with
knowledge to decide what the customer wants - only market forces can dictate this. Instead,
businesses should focus on supplying the market with the goods and services that sell best, and
allow legislation along with abnormal profit making to dictate future company actions. Below
are three examples that show the concept of societal marketing may not be the most effective
business approach.

Flights

The demand for flights in and out of the country is high; however, as we all know, it is terrible
for the environment. Through the theory of societal marketing, a company would stop
providing the flights, as the harm done to the environment outstrips the satisfaction provided
to customers. However, it is clear this would reduce profits made by travel companies and
other associated organizations. The flight company should therefore focus on providing as
many flights as they can legally.

Alcohol

Again, alcohol has many negative externalities in society, but there is no doubt that the
customer still wants it. It would be senseless for the business not to provide a good with such a
large demand - instead, government restrictions should be respected as supplies are provided.

The 'do-gooder' company

Many consumers are now getting tired of companies constantly advertising how they are
helping society. Many see it as a way to draw in custom, and do not believe many of the claims
made. 'Do good' companies could alienate customers who are unimpressed by their marketing
techniques.
Conclusion:
Consumers are more likely to understand and retain marketing
messages if they make sense. This is especially true of social
marketing; the cause or social issue, lying at the heart of the social
marketing strategy must connect with the values of the brand or
consumers will be sceptical. If the social marketing initiative
brings the brand to life by highlighting its role in society,
consumers will more readily accept it.
Consumers accept that companies need to make money. Research
shows that if customers can see the commercial benefit of
community investment, they accept it – if not, they may become
cynical and believe the company is trying to cover something up.
In other words, consumers prefer companies to do good and get a
return.
Fragmented activity is confusing for employees and customers
and is consequently less effective. If a company consistently
tackles one relevant social issue it will hit home quicker and
harder with customers and employees.
For a company’s community investment to be taken seriously, the
social marketing approach needs to be integrated into everything
the company does, from marketing to internal communication,
from employee development to delivery of services.
The social marketing strategy is dependent on bridging the gap
between the company and its two key target audiences,
employees and customers. It is imperative that both target
audiences are consulted on a regular basis to ensure the resulting
activity has both social and commercial impact. Companies that
follow the five golden rules of social marketing can create real
business benefits, i.e. new loyal customers; increasing loyalty
amongst existing customers; motivating and developing their
employees and improving the corporate reputation.
Q.3 Write three examples of technological innovations designed to enhance
customer retention and discuss them.

1. Chatbots
Chatbots are the latest revolution in the business landscape. With
the help of AI-powered chatbots, businesses are better equipped
to handle customer service functions. These virtual assistants fulfil
a customer’s demand of getting instant service support from a
business.
Chatbots are easy to deploy for a business and can provide instant
support via voice, mobile app, instant messaging, SMS, or
website. As these bots promise quick response times, customer
queries are handled efficiently, improving customer satisfaction
and experience with a business.

2. Big data analytics


According to a survey by Salesforce, 57% of the total consumers
willingly share personal data with companies that promise to send
personalised offers and discounts. With massive data inputs
received by a business through various activities, it becomes
increasingly important for them to analyse this data and use it for
delivering a better experience to end consumers.
This is where big data analytics come to a business’ rescue. With
the help of big data analytics, growing businesses can
conveniently gather useful insights into consumer preferences
and behaviours that help them provide personalised services. The
nature of personalisation helps a business build a loyal customer
base and improve revenues over the long term.

Big data analytics is transforming the way businesses interact with


customers. The technology helps a brand/business understand
customers’ problems, aspirations, and expectations, which help in
quicker resolution and providing tailor-made solutions according
to personal expectations.
3. Artificial intelligence
Artificial intelligence has taken the business landscape by storm,
owing to the enormous potential benefits it projects for business
growth. With the help of artificial intelligence-powered tools,
businesses can pump up the business process automation and can
strike up conversations that are relevant to the individual
customers.

AI is empowering customer support conversations and improving decision-making abilities


within organisations through automation. AI helps humans to provide proactive and actionable
responses to customers quickly, improving customer satisfaction, eventually.

Pypestream a progressive tech company made use of artificial intelligence to improve the
customer experience using a B2C messaging app. This app, developed by the startup, enabled
businesses to chat with customers securely using mobile devices.

Being a quick, secure, and reliable portal for businesses, as well as


customers, the app helped consumers to switch on the ‘Pypes’ for
the businesses they want to interact with. At the same time, the
‘Pypes’ helped businesses message the end consumer using
subject-specific channels, called ‘streams.’ As these interactions
are completely private and are of interest to both the businesses
and consumers, the app helps businesses avoid wasting time due
to handling multiple customer support channels, and provide
quick service resolution to end consumers.

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