Module 2: Consumer Behavior Analysis

Factors affecting the Online Consumer’s Behavior

Other Stimuli: Personal and environmental Uncontrollable Factors

Demographic, Personal, Cultural, Sociological, Economic,Legal, Environmental, Technological, etc.

Web Experience: Online Controllable Marketing Factors

Marketing Stimuli(traditional Marketing Mix)

Buyer’s Decision Process:problem identification, search, trust building,

evaluation of alternatives, choice,Post-purchase behavior

Buyer’s Decision:

Product ChoiceBrand ChoiceDealer ChoicePurchase Time

Forces Influencing the Online Consumer’s Behavior

Source: Based on the P. Kotler’s Framework (2003)

MODULE 2

MODULE 3

FACTORS ISSUES LA REDOUTE’ S RESPONSE GRADE

Personal

Personality traits ofconsumers: arethey Fashion aware?

Money spender? etc.

LR’s customers are women that want fashion at an

Affordable price. Items are trendy and reasonably

priced. In addition, LR Sends personalized

emails/catalogs to its Customers

Demographic

Aging population both in

Europe and North America,

overweight problems, etc.

LR offers a range of products for youngwomen + links to redirect the customers

to otheraffiliate websites (specialized in other

segments: bigsize clothes, etc.)

Cultural

Cultural habits regarding

shopping: Europeans shop in

City centers whereasAmericans shop in

malls(everything in one

place)

French website: everything available in one place (like

a shopping mall). USA website: specialized online

outlet.

Sociological

Habits of Consumers vis-à-vis

Online Shopping

Different means of payments, Customer Assistance: Telephone: 24/7 in the USA Vs. only

during weekdays /office hours in France. Email answer is way faster in the USA

(within24hours vs. 3/4 days in France… Customers more demanding in the USA

than inFrance =>LR adapts to the countries it

operates in.

Good

Good

Fair

Fair

Economic

Economic characteristics of the country.E.g.: unemployment rate, etc.

Promotions, payment facilities (for example via La Redoute’s credit card)

Legal Privacy rights and Transactions

LR ask permission to customersabout giving out information, its site is secured (lock sign)

SituationalSales, seasons, special events

Sales, special events: Christmas boutique, Fall styles, 4th of July sale, etc.

Technological

Fast moving technologyCharacteristics of the Internet

Use new technology like “Virtual Model”,Order Tracking, Online Payment, Seeing if Item is still in stock (not always reliable: personal experience), items (“atoms”) can be seen in different colors, etc.

TOTAL: RESULT =

Good

Good

Good

5 Good

Fair

3 Fair Good

PersonalDemographic

SociologicalEconomic

LegalSituational

Technological

Cultural

Good

The target market are fashion and budget-conscious female shopper: young middle-class women, ages 25-45 with an average income of $50,000-$75,000.

WHAT TO BUY HOW TO BUYWHERE TO BUYWHEN TO BUY

Only women fashion on USA’s website

Anytime! But promotion for special events (Christmas,Summer sale, etc.)

Multichannel: catalog, telephone, fax, website

Credit card, checks, pay on delivery/pay on website, on the phone, by post, by fax

Clothing, shoes and accessories, adapted to seasons+ “an experience”

problem identification

search

trust building

evaluation ofalternatives

choice

post-purchase behavior

Problem Identification

Problems concerningwhich products the

website offers(clearly identifiable)

Problems concerning more personalized

requests (help, my info, order status)clearly identifiable

Good

Search (or identify the alternatives…)

Several Alternatives

Quick Access to Productsfrom different Categories (designer,

Clearance, etc.)

Order Alternatives...

Special OffersMore detailed options

Finally!!!!Other affiliate brands’ websites

Alternative!!!

Good

Trust Building

Secured Site

Personalized Information

Information about the company(who they are and legal information)

Good

Evaluation of the alternatives

Many alternatives to choosefrom. Besides, most of the alternatives are duplicated

which can make confusing forcostumers to know where to click

Fair

Choice

Buy Not Buy

Based on the previous analysis

LEARNING

Post-purchase Behavior

Opportunities to contact La Redoute for Any questions or feedback

Fair

Problem Identification

Search

Trust Building

Evaluation of the alternatives

Choice ?

Post-Purchase Behavior

TOTAL

Fair

Fair

Good

Good

Good

Good

Product Choice Brand Choice

Dealer Choice Purchase Time

Clothes, shoes, accessories

La Redoute, Laura Clement, Rene Derhy, etc.

La Redoute, Brylane, Chadwick, etc.

Day, night, anytime!

Module 2: Grading Summary

Other Stimuli

Marketing Stimuli ?

Buyer’s Decision Process ?

Buyer’s Decision

TOTALGood

Good

Good