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Post date 15/03/2024
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Post author: Janko Ogrodnik

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Are customer behaviors created by big brands?. #019

In the previous article, we became familiar with the concept of the Internet of Things (IoT). We discussed what this technology is and its applications in everyday life. We also understood that the Internet of Things is a fascinating and promising solution that, however, faces a number of challenges. One of these is the protection of privacy and the security of personal data collected. Then, the question arose: where do human needs come from? Are customer behaviors natural, or are they created by large brands to achieve market dominance?

We live in a world full of dualism: where there is white, black is also found; where cold reigns, there is also warmth. Similarly, this applies to technology introduced into our lives. On one hand, it brings undeniable benefits, considered revolutionary by many, but on the other hand, it carries risks. Threats arise that may prompt us to act against our own will or unconsciously because few assume that there could be “people” with ulterior motives, striving for profit at all costs, which constitutes their primary goal. In pursuing this goal, they may operate on the edge of legality, employing unfair practices, which, as everyday life shows, are commonplace.

The Two Faces of Internet of Things (IoT) Technology

Welcome to the world where personalization has established itself as the new gold standard. Whether you’re buying books online or subscribing to streaming services, you expect services tailored to your individual preferences. But where do these expectations come from? Are they natural pursuits of our needs, or have they been shaped by standards set by market giants and well-known brands?

On one hand, it can be argued that customers naturally appreciate personalized experiences because they make them feel understood and valued by brands. Such personalized interactions can make customers feel important and appreciated, which in turn can translate into greater loyalty and satisfaction with purchases and the willingness to spend more in a particular store.

On the other hand, it can be argued that these expectations have been shaped, even created, by large companies that have the resources to invest in advanced personalization technologies. Companies like Amazon, Netflix, and Google have introduced personalization on a large scale, demonstrating what it can look like and achieve. As a result, consumers have started to expect a similar level of personalization from other services and products from different companies and stores.

Likely, both perspectives are true to some extent. These expectations may stem from natural human needs to tailor services to individual preferences, as well as be shaped by market standards set by industry leaders. In today’s globalized world, where information spreads rapidly, companies across various sectors feel the pressure to keep up with trends and expectations set by industry leaders.

Is it good to live by rules established by someone else? Are there people behind every company creating these needs? This is a complex dynamic that requires further analysis and understanding, especially for companies wanting to compete effectively and meet their customers’ expectations.

What Does Personalization Really Mean?

Personalization is more than just a trendy phrase. It is a promise of a better, more tailored experience to individual needs. Let’s look at how big companies use our data, and created algorithms analyze them, and large brand employees use AI to draw conclusions, to deliver personalized content that aligns our behaviors with their pre-established scripts. What impact does this have on our daily lives?

Over the last decade, the term “personalization” has significantly gained importance. From product recommendations to personalized emails, companies use data collected from us to better understand us, the customers, and to tailor their services to supposedly our individual needs, while simultaneously creating new ones unknown to us. Unfortunately, they often know more about us than we know about ourselves.

Isn’t it the case that companies, big brands, create our need, and then shape customers’ purchasing preferences, meaning all of us? We think it’s our need, but is it really? Do we all want the same thing? After all, each of us is different. This changes our understanding and expectations as consumers.

Shaping customer needs and expectations through personalized behavior.

Small Business in a World of Big Fish

Let’s start with the story of Marek, the owner of a small online bookstore. Marek, who has always been passionate about books, dreamed of creating a place where people could discover literature tailored to their tastes. He knew that personalization was key to winning customers’ hearts, as he observed big brands doing it. However, over time, he noticed that his customers were expecting more – not just book recommendations, but also personalized notifications, promotions, and even packaging. Where did these rising expectations come from?

In a world where services like Amazon and Netflix become the norm, the influence of big market players on our perception of the world, and even more so on shopping and entertainment choices, cannot be hidden. Personalization, once considered an add-on, has now become the standard. But is this a negative change?

The benefits of personalization are invaluable – technology has enabled us to tailor services and products to our needs, making shopping easier and more satisfying. For Marek, this means a chance to offer books that his customers are likely to read in their entirety.

The Dilemma of the Conscious Consumer, Learned Shopping Expectations.

Are our expectations regarding personalization truly ours, or have they been imposed on us by experiences with large companies, which, having a vast database of information about us not only from shopping but also from social media, are a mine of information on all subjects? Let’s think deeply and examine how our interactions with brands shape our expectations from all online services.

Let’s consider whether we, as customers, expect personalization, or if we truly desire it? Or maybe we succumb to the persuasions of large market players who have established such a norm and why they do so. Marek expressed concerns that he cannot compete with large companies that invest billions in algorithms and data analysis.

However, this is not the end of the road for Marek and other small entrepreneurs. Instead of giving up, Marek began looking for ways to introduce personalization on his scale. He started with simple surveys to better understand his customers and gradually introduced recommendations based on their previous purchases and interests.

This provided valuable insights. First, although large companies may shape consumer expectations, there is room for individual approaches and authenticity, which often escape big corporations. Second, effective personalization does not require complicated algorithms – often, human understanding and empathy are enough.

For Marek and similar small entrepreneurs, the future of personalization in e-commerce looks bright. It requires creativity and commitment, but it also opens doors to building deeper relationships with customers.

In conclusion, Marek’s story illustrates that despite the dominance of big players, individual approach and authenticity can bring success in winning customers’ hearts. Do large companies shape our expectations? Yes, but that doesn’t mean smaller players are without a chance. In the world of personalization, true understanding and authenticity are valued.

We, as customers, should be aware that not all choices are our own, but rather those imposed on us by someone who knows us better than we know ourselves.

The more you know about a person, the easier it is for you to influence them.

The more you know about a person, the easier you can influence them to do what you want. You must admit, this is somewhat unsettling for those who value their privacy and personal freedom. Of course, for many people, this is not a problem; they do not mind that someone may know more about them than they do themselves. After all, on social media, people often voluntarily share details of their lives.

Is this wrong? Not necessarily. If it doesn’t bother someone, then everything is fine. However, there are people who prefer to keep their preferences private, even shopping ones, because they know what they want and can find it quickly.

Observing your purchases, you may notice that almost every transaction is recorded and noted. The anonymity of purchases for each of us is becoming smaller. This process is unfortunately intensifying, and the options for making purchases anonymously are increasingly limited. What do you think, is this good?

Too much knowledge about customer preferences can lead to abuses.

Knowledge about customer preferences can lead to abuses and unconscious or conscious manipulation of people while shopping, prompting them to acquire products that are not essential for life. Usually, purchases are motivated by emotions. We strive to satisfy our emotional needs, which is the main reason for our purchasing decisions. It may seem that there are other motives, but upon deeper analysis, it turns out that emotions and feelings always lie at the core.

As a customer, you should be aware of this, so as not to make purchases of things you don’t actually need. We live in a world saturated with consumerism, resulting from the creation of supposed needs by big brands. We often think we need something because someone suggested it to us, and then we buy a product or service to satisfy those artificially created needs. In the end, however, it turns out that it’s not what we needed.

Summary of the article: Are customer behaviors created by big brands?

The Internet of Things (IoT) brings many benefits, but it also comes with certain risks. Every user should consider how far they are willing to allow technology to interfere in their private life. While IoT makes everyday tasks, such as shopping, easier, it can also violate our privacy, exposing it almost publicly.

It’s important for us as customers to be aware and understand how the technologies we use work to avoid unwanted complications. Reflecting on our own privacy boundaries becomes essential in an era of increasingly sophisticated digital tools.

There is no doubt that big companies influence our preferences and behaviors as consumers through personalization. It is worth considering whether the rising expectations of customers are natural or have been created by marketing strategies using advanced data analysis technologies.

The story of Marek, the owner of a small online bookstore, shows the technological gap between large and small companies trying to meet the growing expectations of customers while maintaining their authenticity and individual approach.

Despite the advantages of big companies, smaller enterprises can effectively compete by offering something that large firms do not have and will not have: humanity and direct human contact. What is the future of personalization? In which direction will it go? I encourage all consumers and entrepreneurs to deeply reflect on what personalization means to them and how they can positively influence it.

We must remember that we are all customers, even those who work for big brands and create various tools for acquiring, processing, and using information about ourselves. Are they aware of this?

There remains one more important aspect related to the ethical dilemma of privacy and security of collected information.

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Tagi posta: A marketing strategy, customer behavior, Development prospects, Internet marketing, Internet of Things IoT, Marketing automation

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Are customer behaviors created by big brands?. #019

The Two Faces of Internet of Things (IoT) Technology

What Does Personalization Really Mean?

Shaping customer needs and expectations through personalized behavior.

Small Business in a World of Big Fish

The Dilemma of the Conscious Consumer, Learned Shopping Expectations.

The more you know about a person, the easier it is for you to influence them.

Too much knowledge about customer preferences can lead to abuses.

Summary of the article: Are customer behaviors created by big brands?

Dołącz do społeczności ECAT eCommerce i wystartuj w biznesie.

Zacznij zarabiać z ECAT eCommerce.

Kanały wsparcia w ECAT eCommerce

Szkolenia startowe w Full dropshippingu.

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3 Types of discounts: When and how to apply different forms of rebates.

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Aderlo Marketplace on Magento. ECAT eCommerce Informer [Week 18, 2024]

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