2.1 Shift in Consumer Behavior in the Digital Era
The advent of the digital era has dramatically reshaped consumer behavior, fundamentally transforming how consumers interact with businesses and how they make purchasing decisions. The increased ubiquity of internet access, coupled with the widespread adoption of smartphones and other digital devices, has made online services more accessible and convenient than ever before (Morgan-Thomas & Veloutsou, 2013).
These developments have given rise to a new breed of consumers known as 'digital consumers.' Digital consumers are characterized by their heavy reliance on online platforms for information, communication, and transaction (Van Dijck, 2013). They are tech-savvy, informed, and demand convenience, personalization, and instant gratification (Huang & Benyoucef, 2013). Their behaviors are shaped by the abundance of information and choices available online, their interactions with brands and other consumers on social media, and their experiences with e-commerce and other online platforms (Lamberton & Stephen, 2016).
Furthermore, consumers in the digital era are increasingly relying on online reviews and recommendations from peers before making purchase decisions, a behavior known as 'social commerce' (Hajli, 2015). They also exhibit a high level of comfort and trust in online transactions, leading to increased online spending and loyalty towards online brands (Kumar & Reinartz, 2012).
As a result, businesses are required to adjust their strategies and practices to align with the behaviors and expectations of digital consumers. Understanding these shifts is crucial for businesses looking to succeed in the digital marketplace.