Why Consumers Display Less Brand Loyalty when Shopping Online

Jaydeep Savant, Director - Strategy & Innovation, BC Web Wise
Jaydeep Savant, Director – Strategy & Innovation, BC Web Wise

The landscape of online shopping in India is seeing radical changes. The perception of the Indian consumer is changing considerably .With more of internet and easily available Wi-Fi zones the awareness and engagement is ever increasing.

Increasingly, consumers are using internet as a tool for pre purchase information collection. Although technical details and specifications about the product or service are gleaned from the brand, online brand communities are becoming vital conduits for customers to share product information, expert reviews and experiences.

We are seeing a huge change happening in the supporting ecosystem. New entrants and existing champions are upgrading their payment infrastructure and logistics, to make the best bait in the Indian eCommerce market. With VC confidence in eCommerce increasing, new players are putting big bets in the online space; typically online travel, retail, Food, Nutrition, Health, Airlines, Matrimonial etc.

The consumer mindset is changing with every purchase they do online, so do their loyalties. With so many hybrid marketplaces and hyper localization, the customer is always exploring, trying to make the best for his money. The Deals and the Discount market have made his purchase cycle very interesting. He browses around with the most sites in real-time till he targets the lowest bid price. This is a unique use case for the changing consumer behaviour.

The realization is there is a lot of data coming in and out, thereby leading to various micro-segments of consumers. The sellers are pressed to be data centric, thereby clustering, filtering, and aggregating data to creating multiple models of their customers.

Data, which was earlier sitting on remote worksheets and data marts, is fast moving to central hubs and infrastructures wherein the data is mined in real-time to give a single view of the customer. Big Data and Hadoop have become the new buzz words.

Analytics, Advanced Analytics is the new science that will connect with this new consumer to fulfil this very basic need to his highest aspiration. Online retailers are moving up the maturity value chain to integrate the marketing promise with the right service delivery.

Analytics has a huge spectrum – ranging from data warehousing to BI to OLAP to Predictive. We at BC Web Wise have a strong focus on both, B2C and B2B Consumers and thereby strongly advocate Customer Analytics, Funnel Analytics and Predictive Analytics. We want to embed this in our clients’ business processes to scale and optimize their growth with respect to ROI and loyal customers. To achieve this we have blended our services with a unique mix of experience management and data analytics.

The affinity towards a brand from a consumer standpoint, either positive or negative starts with a due diligence via an Online Reputation Diagnostic tool.  We suggest an analytical approach to find the social equity gathered by a brand in the digital space. We measure the dynamics of influence (Positive and Negative) that are playing a role in the mind of consumer, pre and post purchase.

Our Customer Journey Mapping process thrives on this research to help our clients start in the right step to set up the funnel at every stage (Awareness>Consideration>Engagement>Conversion) and post-purchase. Our Analytics approach embarks on this interesting customer journey in the most qualitative manner looking into the complete customer life-cycle and personalization to embrace loyalty.

We believe analytics is the perpetual working engine for eCommerce optimization and incremental growth strategy in the digital space. For more information on how our Analytics services can help your eCommerce strategy, contact us here.

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