5 Ways Technological Advancements are Reshaping Consumerism
by Dan Munson
Technology has become the center stage of everything we do in our homes, workplaces, and even in our community activities. Every sector of the economy is embracing the new innovative methods because they have increased the efficiency and quality of the goods and services people are consuming. Nevertheless, depending on where you stand, technology has its own merits and demerits. It is debatable whether the impact of technology on consumer behavior can be considered positive or negative effects. Although it is helping us to make critical and sound financial decision, it is worth noting that technology has changed our consumption habits.
1. Automated and Convenient Spending
A while ago, it was unheard of that one could request goods and services in the comfort of their own home, perhaps sitting on their couch. People had to travel for shopping which discouraged them to shop as some had to travel some long distances while others had to persevere traffic on the highway before they could reach the shopping malls. Today, a person can easily order for commodities and get them at his or her door which is much more convenient. This has encouraged people to keep ordering more products, especially those who have impulse buying behavior.
2. Access to Credit
There are innovative methods that have been brought about by various organizations out there in the industry. A person can easily get a car or a property through credit terms after which he will be required to pay later through installments. A while back, individuals wondered and asked questions such as "how do prepaid credit cards work?" This was because they hardly knew that such a system would later be adopted in the economy where individuals can access products on credit. Today, individuals are using paid credit cards to get goods in the stores and other retail platforms which has significantly increased their consumption habits.
3. Internet Banking
It was difficult to keep track of your consumption habits when one could not access his bank account. Currently, it is easier for an individual to track his or her consumption habits, transfer money from one mobile to the other, and even monitor the bank balance. People with mobile phones can easily determine their consumption in real time. If a person has an illusion that he or she still has much money in their bank, they may end up increasing their consumption by ordering more products. Moreover, paying for services through your mobile device or your laptop may increase your appetite for more services, therefore increasing your expenses.
4. Access to Discounts
Given that retail outlets are moving their brick and mortar stores to the online platforms, consumers are finding it easy to acquire products through the click of their mouse. Buyers can easily shop online and get the products delivered to their preferred destinations through drop shipping companies. Despite getting products at the doorstep, online platforms offer their goods with substantial discounts with promotional slogans such as 'buy two get one.' This creates a situation where consumers buy more products so that they can qualify for the discounts offered by the company.
5. Social Media Influence
Social media sites are pivotal in influencing consumer behavior in the industry. Millennials are using social media platforms to understand the trends in the market so that they can buy similar products as a way of remaining relevant. Moreover, the messaging platform on different social media platform is helping the users to seek recommendations from their friends and other people who have used similar products in the past. Given that there is much information out there about particular products, the rate of buying is very high as one can understand the product, its benefits, and prices.
As we have seen, it is difficult to separate technology from buying behavior; they truly go hand in hand. The methods of purchasing goods and services from sellers have become convenient through the use of modern technology. Despite the process of buying products and services become easy and quick, the cost of the products is getting low with time as innovative methods reduce manufacturing costs.