Social Media And Consumer Behavior Essay

In the world today brands are looking to connect with consumers more intimately then ever before by levarging disruptive technology to influence consumer behavior. One such technology that has been growing in popularity in the last 5-years is social media. Many brands are trying to utilize social media to influence the consumer buying process and stir emotions that affect buying behavior. Unfortunately many brands don’t understand that consumers use social media for certain purposes and because of that, they have not been able to build effective strategies to engage customers. Research shows that brands are underestimating the psychology of what makes consumer behave unique on each specific social media channel (i.e. Facebook, Twitter, Instagram,

The rise in social media usage has dramatically affected consumer behavior and their relationships with brands. Social media has created the ability for an increase amount of user-generated content for both businesses and consumers. An increasing number of businesses and individuals are using social media to find either an audience or follow individuals and brands they care about. Schnieferjans reports that although social media has been criticized for it’s word-of-mouth information and reduction of social capita, that “these concerns have not stopped companies from using social media as a way to enhance, sustain, and defend corporate image,” (Schniederjans, 2013). This is because business executives and brands are recognizing social media as a way to gain better insights on the market and competitors, while fostering relationships with current

“More and more companies have adopted social media platforms for supporting knowledge sharing among customers and employees, where individuals ask and answer questions among each other,” (Lu, 2013). A customer can have a profile, just like brand can. This gives the customer the ability to say something about a company on a social channel, where many other customers can see it at scale. A customer can complain about a brands product, corporate responsibility, or customer service. On the flip side, a customer can praise a brand and their product for others to see. “ Social media’s added value is the opportunity to create ongoing conversations and dialogue with an audience in the “exchange of ideas and opinions,” (Thackeray). Unlike one-way conversations, social media gives customers and brands a way to engage in a two-way conversation that is direct and meaningful. Before the internet, department stores, or mass retailers, consumers had to shop at their local general store, where the shop-owner would know the consumer personally. In those days, an owner would know each customer personally and what their needs were. Soon after mass production and department stores emerged, brands started to engage in one-sided communication with customers. Now with the advent of the internet and social media, there is a revolution taking place where brands and consumers are able to engage in two-way