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Understanding online consumer behavior in fashion e-commerce
by the application of neuromarketing techniques.
B a c h e l o r ’ s d i s s e r t a t i o n
V I A U n i v e r s i t y C o l l e g e
B r a n d i n g & M a r k e t i n g m a n a g e m e n t
W r i t e r : M i g u e l G a r c í a S á n c h e z ( 2 2 7 5 3 4 )
G u i d a n c e t e a c h e r : P a u l J o h n M c E l h e r o n
9 6 . 1 0 0 ( c h a r a c t e r s w i t h s p a c e s )
H a n d I n d a t e : 2 4 t h
N o v e m b e r 2 0 1 7
S o u r c e : o w n i l l u s t r a t i o n
II
“The mind is like an iceberg, it floats with
one-seventh of its bulk above water”.
(Sigmund Freud)
III
Executive summary:
E - c o m m e r c e a n d o n l i n e s h o p p i n g a r e t a k i n g i n c r e a s i n g r o l e s i n o u r l i v e s , a n d o n l i n e
m a r k e t i n g i s p r o v i n g t o b e m o r e e ff e c t i v e t h a n t r a d i t i o n a l a d v e r t i s i n g c h a n n e l s , a l s o
b e c o m i n g a f a s t e r w a y t o r e a c h c o n s u m e r s a n d c o m m u n i c a t i n g m e s s a g e s m o r e e f f i c i e n t l y .
T h e f i n d i n g s f r o m t h i s r e p o r t s h o u l d i n d i c a t e t h e r e a d e r h o w t o u n d e r s t a n d c o n s u m e r s ’
d e c i s i o n - m a k i n g i n n e r w o r k i n g s .
P u r p o s e :
I m p r o v e t h e r e a d e r ’ s u n d e r s t a n d i n g o f c o n s u m e r s ’ i n n e r p r o c e s s e s t o o f f e r a b r o a d e r
p r o c e d u r a l a n d p s y c h o l o g i c a l v i e w o n c o n s u m e r b e h a v i o r .
M e t h o d o l o g i c a l c h a l l e n g e :
H o w t o m e a s u r e , r e c o r d a n d i n t e r p r e t u n r e p o r t e d / u n d e c l a r e d c o n s u m e r s ’ r e a c t i o n s f r o m
s e n s o r y s t i m u l i ( m a r k e t i n g i n p u t ) ?
F o r t h i s p u r p o s e , t h e r e s e a r c h w i l l c a r r y o u t q u a l i t a t i v e i n t e r v i e w s f o l l o w i n g a s e m i -
s t r u c t u r e d s c h e m e ( w i t h o p e n - e n d a n s w e r s ) t o m a r k e t p r o f e s s i o n a l s i n t h e f i e l d s o f
c o n s u m e r n e u r o s c i e n c e a n d n e u r o m a r k e t i n g . F u r t h e r m o r e , a m o n g t h e d a t a c o l l e c t i o n
t e c h n i q u e s t h i s r e p o r t u s e d s c i e n t i f i c j o u r n a l s a n d a r t i c l e s a s p r i m a r y s o u r c e s o f d a t a .
T h e s e r a n g e d f r o m h i g h l y s t r u c t u r e d c o n s u m e r - b a s e d s t u d i e s , l a r g e t e s t s a m p l e s ,
m e a s u r e m e n t s , q u a n t i t a t i v e , a n d a l s o q u a l i t a t i v e s o u r c e s .
H y p o t h e s i s :
T h i s i s t h e a p p l i c a t i o n o f n e u r o s c i e n c e m e a s u r e m e n t t e c h n i q u e s ( P h y s i o l o g i c a l a n d
n e u r o l o g i c a l b i o m a r k e r s ) i n t o t h e s t u d y o f c o n s u m e r s ’ b u y i n g b e h a v i o r .
IV
R e s e a r c h ’ s D e s i g n : T h e o r i g i n a l i t y a n d v a l u e o f t h e p r o b l e m f o r m u l a t i o n i s t o
u n d e r s t a n d c o n s u m e r s ’ o n l i n e b u y i n g b e h a v i o r , i n a n E - c o m m e r c e c o n t e x t . W h i c h c o u l d
p o t e n t i a l l y r e p r e s e n t a c o m p e t i t i v e a d v a n t a g e f o r m a r k e t e r s t o t a k e r i g h t c u s t o m e r -
o r i e n t e d a d v e r t i s i n g s t r a t e g i e s . T h e a p p l i c a t i o n o f n e u r o s c i e n c e t o m a r k e t i n g a n d
c o n s u m e r s t u d i e s ( t r a d i t i o n a l m e t h o d s ) c o u l d b e a c h i e v e d b y m e a s u r i n g t h e m a r k e t i n g
s t i m u l i f r o m a d v e r t i s i n g ’ s i n p u t .
T h e a d d e d v a l u e o f n e u r o m a r k e t i n g c o u l d b e a c o m p e t i t i v e a d v a n t a g e f o r o n l i n e f a s h i o n
c o m p a n i e s t o s t r e n g t h e n o n l i n e m a r k e t i n g c h a n n e l s a n d c a m p a i g n e f f e c t i v e n e s s t h a n k s t o
a b e t t e r i n t e r p r e t a t i o n o f c o n s u m e r s ’ b u y i n g b e h a v i o r .
R e s u l t s :
N e u r o m a r k e t i n g c o u l d e n a b l e a c l o s e r i n t e r p r e t a t i o n o f c o n s u m e r s ’ r e s p o n s e s f r o m
e m o t i o n a l u n d e r l a y t r i g g e r s a n d u n c o n s c i o u s p r o c e s s e s o r p r o t o c o l s . T h i s c o u l d o f f e r
n e w e r i n s i g h t s i n t o h o w t h e s u b c o n s c i o u s l e v e l s o f c o n s u m e r s ’ m i n d w o r k - r e d u c i n g t h e
r i s k o f s e l f - r e p o r t i n g b i a s f r o m c o n s u m e r s ’ r e s p o n s e s - w h i c h h a s b e e n t h e o b s t a c l e
i m p e d i n g t h e m e a s u r e m e n t o f u n r e p o r t e d t h o u g h t s .
T h e r e i s a l a c k o f a c c e p t e d m e t h o d s a n d m o d e l s f r o m s c i e n t i f i c a c a d e m i a d u e t o t h e
s u b j e c t ’ s n o v e l t y . F u r t h e r t h e o r e t i c a l l i m i t a t i o n s c o u l d c a r r y s i t u a t i o n s i n w h i c h t h e r e
c o u l d b e a m u l t i p l i c i t y o f w a y s t o i n t e r p r e t t h e s a m e c o n s u m e r s ’ r e s p o n s e s . T h i s i s
c a u s e d b y t h e u n e v e n n a t u r e o f a v a i l a b l e s c i e n t i f i c d a t a i n t h e f i e l d o f n e u r o m a r k e t i n g .
T h e r e f o r e , i t c o u l d b e d i f f i c u l t f o r p r a c t i t i o n e r s t o f o r m u l a t e u n i f o r m d i a g n o s e s .
C o n c l u s i o n s :
T h e a p p l i c a t i o n o f n e u r o m a r k e t i n g f o r c o n s u m e r - b a s e d s t u d i e s h a s r e l a t e d a s s o c i a t i o n s t o
m a n i p u l a t i o n a n d o t h e r s o c i a l s t i g m a s . T h i s r e s e a r c h w i l l p r o v i d e t h e r ea d e r w i t h a b r o a d
f i e l d o f s c o p e r e g a r d i n g a l l e t h i c a l a n d m o r a l i m p l i c a t i o n s f o r c o n s u m e r s a n d p r i v a t e
c o m p a n i e s . T h i s w i l l b e p o s s i b l e b y t h e A x i o l o g y , w h i c h i s t h e r e s e a r c h e r ’ s v i e w o f t h e
r o l e o f v a l u e s i n c o n s u m e r b e h a v i o r . T h e o f f e r e d c o n c l u s i o n s t h r o u g h o u t t h e r e s e a r c h a r e
V
u n d e r t a k e n i n a v a l u e - f r e e w a y , k e e p i n g t h e n a r r a t i v e i n d e p e n d e n t o f t h e d a t a t o o f f e r t h e
r e a d e r a n o b j e c t i v e s t a n c e .
R e c o m m e n d a t i o n s :
T h e f u t u r e g o a l f o r p r i v a t e c o m p a n i e s s h o u l d n o t o n l y b e t o c r e a t e a m o r e c o n s i s t e n t
t h e o r e t i c a l f r a m e w o r k . B u t a l s o t o c o n s i d e r t h e a p p l i c a t i o n o f n e u r o m a r k e t i n g t e c h n i q u e s
t o o t h e r m a r k e t i n g - r e l a t e d c h a n n e l s , i n w h i c h t h e s t u d y o f c o n s u m e r s ’ b e h a v i o r c o u l d
i m p r o v e o r i n n o v a t e o t h e r c o m p a n y a r e a s ( i . e . p r o t o t y p e t e s t i n g , U X t e s t i n g , e - c o m m e r c e
s i t e - n a v i g a t i n g t e s t i n g , 3 D s i m u l a t i o n s , V R , p a c k a g i n g a n d i n - s t o r e r e t a i l a m o n g o t h e r s ) .
K e y w o r d s :
C o n s u m e r b e h a v i o r , n e u r o s c i e n c e , o n l i n e m a r k e t i n g , f a s h i o n e - c o m m e r c e ,
n e u r o m a r k e t i n g .
VI
Table of Contents
1 .	IN T R O D U C T IO N	..........................................................................................	9 	
1.1	 PR O B L E M 	 F O R M U L A T I O N 	..................................................................................	12	
1.2	 LI T E R A T U R E 	 R E V I E W 	.......................................................................................	13	
2 .	W H A T 	IS	T H EO R Y 	O F	SCIEN CE?	................................................................	1 6 	
2.1.	 D I F F E R E N C E S 	 B E T W E E N 	 T H E O R E T I C A L 	 A P P R O A C H E S 	..........................................	17	
2.1.1	Positivism 	................................................................................................	18	
2.1.2	Realism 	& 	Critical	Realism 	......................................................................	19	
2.1.3	Interpretivism 	-	Social	constructivism 	...................................................	21	
2.2	 O N T O L O G Y 	.....................................................................................................	21	
2.3	 EP I S T E M O L O G Y 	...............................................................................................	23	
2.4	 M E T H O D O L O G Y 	...............................................................................................	24	
2.4.1	Tools	and	M ethods	...................................................................................	26	
2.4.2	D elim itation 	.............................................................................................	27	
2.4.3	Em pirical	m ethods	...................................................................................	28	
3 .	D ISC U SSIO N 	..............................................................................................	2 9 	
3.1	 TR A D I T I O N A L 	 C O N S U M E R -B A S E D 	 R E S E A R C H 	 M E T H O D S 	........................................	29	
3.1	 TH E 	 S T U D Y 	 O F 	 C O N S U M E R 	 B E H A V I O R 	 -	 SU B -Q.	 1	................................................	31	
3.2	 CO N S C I O U S 	 T H I N K I N G 	 B U Y I N G 	 B E H A V I O R 	 -	 SU B -Q.	 2	..........................................	36	
3.3	 SE L E C T I O N 	 B U Y I N G 	 P R O C E S S 	 -	 SU B -Q.	 2	............................................................	38	
3.4	 TH E 	 R O L E 	 O F 	 E M O T I O N S 	 I N 	 C O N S U M E R 	 B E H A V I O R 	..............................................	40	
3.5	 N O N -C O N S C I O U S 	 T H I N K I N G 	 B U Y I N G 	 B E H A V I O R 	 -	 SU B -Q.	 2	...................................	43	
3.5.1	ZM ET® 	technique	by	D r.	Gerald	Zaltm an 	...............................................	44	
3.5.2	ZM ET® 	application	to	consum er-based	research	...................................	46	
3.8	 H E U R I S T I C S 	...................................................................................................	49
VII
4 .	A N A LY SIN G 	O N LIN E	CO N SU M ER 	B EH A V IO R 	IN 	FA SH IO N 	E-CO M M ER CE	
CO N T EXT 	-	SU B -Q .	2 	.....................................................................................	5 1 	
4.1	 CA S E 	 S T U D Y 	 -	 SE LE CTE D® 	............................................................................	56	
4.2	 IM P L I C A T I O N S 	 I N 	 O N L I N E 	 C O N S U M E R 	 B U Y I N G 	 B E H A V I O R 	.....................................	61	
4.3	 CO N T R I B U T I O N S 	 O F 	 N E U R O M A R K E T I N G 	 T O 	 O N L I N E 	 C O N S U M E R 	 B E H A V I O R 	 –	 SU B 	 Q.	 3
	..........................................................................................................................	62	
4.4	 N E U R O M A R K E T I N G 	 T E C H N I Q U E S 	 I N 	 E-C O M M E R C E 	 C O N T E X T 	 -	 SU B -Q.	 3	.................	66	
4.4.1	Part-conclusion	Sub-Q.3:	.........................................................................	69	
5 .	ET H IC A L	V IEW S	IN 	N EU R O M A R K ET IN G 	-	SU B -Q .4	.....................................	6 9 	
5.1	 ET H I C A L 	 I S S U E S 	 I N 	 C O N S U M E R 	 B E H A V I O R 	 -	 SU B -Q.4	..........................................	71	
5.1.1	The	D ilem m a	of	predicting	consum er	choice	..........................................	73	
5.1.2	The	D ilem m a	of	influencing	consum er	choice	.........................................	76	
5.1.3	Part-conclusion	Sub-Q.4	..........................................................................	78	
5.2	 N E U R O M A R K E T I N G ’S 	 A P P L I C A B I L I T Y 	 F O R 	 O N L I N E 	 F A S H I O N 	 C O M P A N I E S 	 SU B -Q.5	...	79	
5.2.1	Part-conclusion	Sub-Q.5	..........................................................................	80	
6 .	P A R T 	C O N C LU SIO N S	& 	FIN A L	CLO SIN G 	.....................................................	8 1 	
6.1	 R E C O M M E N D A T I O N S 	........................................................................................	85	
6.2	 R E F L E C T I O N 	...................................................................................................	88	
6.3	 FU T U R E 	 I N V E S T I G A T I O N S 	................................................................................	89	
B IB LIO G R A P H Y	............................................................................................	9 0 	
A PPEN D IX	1.	................................................................................................	9 5
9
1. Introduction
Understanding online consumer behavior in fashion E-commerce by the
application of Neuromarketing techniques.
The technological advances that are taking place today in the fields of
consumer neuroscience are making Neuromarketing emerge as a new tool for
E-commerce companies to study consumer behavior. More over, the
Neuromarketing appearance in the research scene has also been termed as
consumer neuroscience.
For decades practitioners of marketing have been trying to uncover the
mysteries of the consumer’s mind, in an effort to improve targeting and
successfully market the products and services to consumers. (Dutta, 2015)
This rapid growth in Neuromarketing research has been supported by other
sciences in order to study the consumers’ brain. The application of
psychological and physiological sciences on the Study of Neuromarketing
technique’s can greatly enhance a better and deeper understanding of buying
behavior and cognition (Zielinski, 2016).
Certain advancements on consumer behavior can be applied to online fashion
e-commerce. The increasing demand and importance of e-commerce is drawing
more attention towards online consumer behavior research (Laura Macchion,
2017).
10
Therefore the marketing industry is focusing brands, designers and marketers
to become skilled and trained in the new marketing field to broaden their
understanding on the inner workings of customers’ minds and to better
understand buying processes.
The primary focus of studying online consumer behavior is to offer a better
understanding of marketing stimuli, by observing and interpreting cognition,
emotions and behavioural patterns. (Zielinski, 2016). Thus, is equally
important for this report to offer a relevant overview of the practical
applications of Neuromarketing into online consumer behavior within a
fashion E-commerce point of view.
Although, there are many research studies about Neuroscience,
Neuromarketing and Online consumer behavior it is still uncertain, whether or
not we actually understand consumer-buying processes. In fact we are still
very distant from fully understanding consumers’ minds. Despite the
significant progresses in various sciences focused in this particular area,
Neuromarketing has not yet established reliable models accepted by
researchers. This means that the practical application of Neuromarketing
techniques is relatively fragmented and underdeveloped by private companies
(Zara, 2013).
In regards to the Neuromarketing dichotomy and the market’s lack of
cohesion, this report will review possible competitive advantages for E-
commerce fashion companies by using Neuromarketing techniques.
11
By this, it is intended to offer a more comprehensive explanation of the
strategic possibilities, benefits and ethical implications of Neuromarketing as
a tool to study consumer behaviour.
12
1.1 Problem formulation
However, as mentioned earlier along the introduction, the structure of this
report will try to synthesize only relevant content in order to answer the
formulated research questions, these are:
Understanding online consumer behavior in fashion E-commerce by the
application of Neuromarketing techniques.
Therefore, the aim is to answer the following sub-questions.
• Sub-Q 1: How can online fashion companies benefit from understanding
consumer behavior?
• Sub-Q 2: How can consumers buying behavior models be used to
understand the role of fashion companies in the buying process?
• Sub-Q 3: What Neuromarketing techniques can be used to improve E-
commerce impact in online customer experience?
• Sub-Q 4: What are the ethical & moral implications of Neuromarketing
use and its misuse?
13
1.2 Literature review
The literature review will try to provide to the reader of this report with
insights into certain specific areas of consumer behavior that companies
might face when defining their E-commerce strategic direction. By this is
meant to study and explain some of the challenges that Fashion companies
might encounter regarding conventional consumer-based research tools and
the application of Neuromarketing strategies for the study of consumer
behavior.
This report brings together two key terms, which are Online Consumer
behavior and the influence of Neuromarketing techniques.
According to Simone Oude, marketing coordinator at the Neuromarketing
Science & Business association (NMSBA). The rational behind
Neuromarketing is that human decision-making is not so much a conscious
process. (Zielinski, 2016). In comparison with existing academic knowledge
from the author Christophe Morin, It shows that traditional marketing
research methods have aimed to explain and predict the effectiveness of
advertising. However, former marketing theories and methods have failed to
offer reliable answers regarding consumer-buying behavior. (Morin, 2011)
Traditional marketing methods are starting to become obsolete, as shown in
numerous consumer-based studies spanning as early as the 8Marketers have
been struggling to find answers to the question of what do consumers really
want?
14
Moreover, a detailed comparison between conscious and unconscious
consumer behavior will try to broaden you understanding, with the application
of research techniques such as The Zaltman metaphor elicitation
technique (ZMET®) among others.
The need to understand consumer behavior is becoming a clear trend among
E-commerce companies to look into the complexity of the buying processes
(Zara, 2013).
Current Consumer behavior thinking does not discount these theories, instead
builds upon them, to offer a better conceptualization of consumers’
understanding.
Christophe Morin argues that consumers’ emotions are strong mediators of
how humans process marketing stimuli (Morin, 2011).
Therefore, understanding and modelling cognitive responses through the
application of Neuromarketing into consumer behavior represents the
methodological challenge that online fashion companies will be facing in the
future. For instance, most of the current consumer-based research primarily
relies on the consumer’s ability to report their feels or emotions. This is
mainly achieved through traditional face-to-face interviews, online surveys or
focus groups (Morin, 2011).
Such techniques have considerable limitations and they are becoming out-
dated, and quickly being surpassed by new technological demands.
The assumption that consumers are able to describe their own cognitive
processes by objectively reporting their thoughts is simply wrong.
15
One must consider the cognitive processes, which take place in consumers’
buying behavior and that this represents many more subconscious components
that cannot be effectively measured by conventional marketing methods.
In consequence, this is why the application of Neuromarketing techniques to
the study of online consumer behavior can partially or totally eliminate
numerous factors distorting the verbal reporting of consumers’ feelings.
In other words, the systematic measurement of brain impulses through
Neuromarketing tools such as EEG, eye-tracking or Galvanic response tests
can thereof ensure objective evidence, unbiased, measurable and reliable
scientific data.
The application of Neuromarketing techniques could allow marketers to probe
the consumers’ brain in order to understand the subconscious processes. This
would allow fashion companies to remove uncertainty regarding the trusting
issue that conventional consumer-based research faces. Which is the ability of
consumers to report in an objective way, how are they affected by specific
online advertising strategies? (Morin, 2011)
The future development of such a Neuromarketing techniques could
potentially offer exciting methodological alternatives in order to study online
consumer behavior.
The complex process of online consumer behavior is an important part or this
consumer-based research. Thus, to understand better the consumers’ mind it
would require an in-depth analysis of economic, social, cultural, and
16
psychological as well as intra-personal factors in order to use the proper
research method.
2. What is Theory of science?
Moving on to the next section and after having clarified the purpose of the
research, through the problem formulation and literature review, then it is
recommended to look into the appropriate theory of science for this specific
type of research.
“Theory of science is a philosophical discipline that is about studying the
methods, norms and backgrounds of science. For instance, theory of science
will help corroborating when a theory can be proven if it can at all be tested
and objectively validated by consistent results or facts” (Thornhill, 2009).
17
2.1. Differences between theoretical approaches
The different theories of science can lead the research in different directions;
each direction will provide an individual theoretical background to the
research.
The importance of choosing the right theory of science at the beginning of the
research is a crucial component, as this will shape how the primary problem
statement is researched, studied and interpreted through the ontology and the
epistemology sections (Thornhill, 2009).
The ontology and epistemology will be defined later on, in the following
section when they come into use.
Due to the large amount of research variations within a given theoretical
approach, this research study will look into three of them. The desired
approaches will all be noticeably different to ensure a clear representation of
the overall different variations found within theory of science.
The three chosen epistemological approaches are:
• Positivism
• Realism & Critical realism
• Interpretivism - Social constructivist
18
2.1.1 Positivism
As in many ways science tries to explain the universe, the study of consumer
behavior tries to explain the rational and irrational side of the human mind.
This first philosophy is relevant to the research due to the fact that
Positivism relies only on observable phenomena, which can provide credible
sources of data (“natural phenomena”).
That is, the collection of data solely from sensory experience which can be
obtained through the five senses; smell, touch, taste, hearing and sight.
It focuses on causality and law like generalizations, reducing phenomena to
simplest elements. Inner sensory experiences as emotions, memories or
dreams are raw sources of data if positivism considers the human
subconscious as a scientific field in order to study it. Additionally positivism
is not only a single interpretation of what science is but also a set of criteria
for how science is created.
First by the application of scientific tools (Neuromarketing example, eye-
tracking systems, fMRI scans) independent and objective data is collected.
Based on these observations a hypothesis can be use in order to be validated.
Secondly more tests and observations should be conducted to prove the
hypothesis. Lastly when the criteria is proven and validated through
objective, impartial and unbiased quantitative results then it can be
considered true by positivism theories.
19
This theory can explain why the structure of the research uses a hypo-
deductive approach to the reasoning done on the argumentation of the problem
formulation.
F i g u r e 1 T h e H i e r a r c h y o f M e t h o d s f o r P o s i t i v i s m t h e o r y ( M o s e s , 2 0 1 2 )
2.1.2 Realism & Critical Realism
Realism theory considers the world as objective phenomenon, that exists
independently of human thoughts and beliefs or knowledge of their existence
(realist), but is interpreted through social conditioning (critical realist),
(Thornhill, 2009) p.119.
It was originally termed by Roy Bhaskar; this holistically based theory is an
alternative to the traditional positivism theories (Thornhill, 2009).
20
In comparison, Realism philosophy is said to lie between Positivism and
Interpretivism. There are two different concepts that contribute this way of
thinking, which are the intransitive level and the transitive level. The
intransitive level deals with the world as on objective phenomenon (objective
world), as much as positivism does, however insufficient data can lead the
researcher to inaccuracies in emotions (direct realism). This can bring
valuable insights to consumer research, since it tries to find what lies outside
the human consciousness and the consumers’ cognition by measuring
psychological and physiological biomarkers.
In contrast, what distinguishes critical realism from positivism is that even
though true science comes from the intransitive level (objective world), it has
to go through the transitive level (subjective), the social sphere, to be
validated. Such a transitioning gap between thinking can create confusion or
uncertainty, meaning that through realism the research can get close to the
truth, but this assumption cannot be fully validated as objective impartial
facts or scientific truth. Alternatively, phenomena can create emotions,
which are open to misinterpretation (critical realism).
The primary obstacle from the transitive level is that humans present bias
behaviours, which will be discussed in 3.7, by the application of heuristics.
21
2.1.3 Interpretivism - Social constructivism
The core assumption of Social constructivism relies upon the interpersonal
relations among consumers. What it argues is that the interpretation of the
real world is achieved by the human interactions. In other words, it is the
human interactions and the way consumers interpret reality, what makes the
social construct of the world (Thornhill, 2009). For instance, a social
construct analogy could be exemplified by the concept of “money” or our
current monetary system.
Money does not have real value or have any physical attributes, in the sense
that a consumer cannot breathe, drink or eat money. On the other hand, the
concept of money by interpersonal relations is the human aspect interpreting
the value of money in a social context (this is what makes money real).
Consequently social constructivism argues that all individuals belonging to a
social community are directly responsible for the construction of the reality
they live in.
2.2 Ontology
Once the three different research philosophies have been understood it is
necessary to consider which one or a combination of them is more suitable for
the research, in order to answer the stipulated problem formulation. The first
step is to choose the ontology, which symbolizes the researcher’s view of the
nature of reality or being.
22
For such a purpose the problem formulation aims to study consumer behavior
within the Fashion E-commerce industry by the application of Neuromarketing
and Consumer Neuroscience
techniques. Due to the relation of
the type of research and the
consumer goods industry it could be
argued that objective phenomena in
the form of measurable unbiased
data seems like a suitable research
method.
However, realism also seems like a
possible alternative to look into the
interpersonal factors that rely on consumer interactions. Although as the
research will show, the interpersonal factors influencing consumer behavior
are only a fraction of the data.
This is caused by the facts that individual consumers are more prompt to
make irrational decisions at a subconscious level. Therefore, displacing the
human interrelations towards subjective secondary data. As result of the two
previous theories of science, social constructivism is not as suitable for the
research. There are several reasons why, mainly the social interpretation of
the world does not offer an objective unbiased source of data for the research.
This type of theory of science is heavily influenced by subjective meanings
and social phenomena.
F i g u r e 2 O n t o l o g y & E p i s t e m o l o g y r e s e a r c h
s t r u c t u r e , O r i g i n a l i n t e r p r e t a t i o n B y T o r G .
J a k o b s e n ( J a k o b s e n , 2 0 1 3 ) .
23
This is because the emotions, human interactions, feelings and many other
triggers can unconsciously influence consumers’ reactions, thereof making the
consumer unable to report them. But the reality is that the answer underlies at
a much deeper subconscious level that can only be measured and verified by
the application of consumer neuroscience techniques.
2.3 Epistemology
The last step prior the research methodology has to be taken in order to argue
for the application of the theories of science. This is the epistemology, which
symbolizes the researcher’s view regarding what constitutes acceptable
knowledge.
Therefore, the aim is to understand how can collected data be then converted
into true knowledge. Thus, as previously mention in the introduction,
understanding and interpreting emotions and unconscious thoughts triggered
by sensory input is the methodological challenge - in order to present
objective criteria - which is the root of what is considered true knowledge in
positivism and realism.
Thus, the epistemology will have a considerate influence on the methods used
in this research in consequence the obtained scientific results have to validate
the hypothesis with testable, falsifiable and factual data1
.
1
F r o m t h e L a t i n : F a c t u m , a statement of the facts of a case
24
For the focus of this consumer-based research problem formulation,
Positivism will be used as a combination of scientific methods to provide
credible data, facts and measure consumers’ unreported responses by
observable phenomena.
Also, Realism will be combined with Positivism, as a way to interpret
objective facts by observing reality; these two theories are the desired
theoretical framework in order to conduct this report
2.4 Methodology
The definition of methodology can be understood as the logic behind the
methods chosen, that is, the choice of analytical strategy and research design,
which underpins substantive research (source, 2017).
This is mainly why the chosen methodology is heavily dependent on the
theory of science. Furthermore, the proposed philosophy is importantly
influenced by the epistemology, with which dictates what is accepted as true
knowledge and what is not.
25
The research’s design will use a combination of different features from
grounded theory and content analysis to structure the research’s framework:
T a b l e 1 D i s t i n g u i s h i n g C h a r a c t e r i s t i c s o f D i f f e r e n t Q u a l i t a t i v e D e s i g n s s o u r c e : p . 2 7 6
( T h o r n h i l l , 2 0 0 9 )
For instance, using second hand data collected from opinions (subjective
world) of participants would not be fitting with a positivistic epistemology,
as this approach only accepts objective observations derived from a natural
setting, as true knowledge.
Due to this the methods selected to obtain data in regards to the problem
formulation have to be consistent with the chosen epistemology. This is where
the combination of realism works in synergy with Positivism and therefore
accepts a broad selection of methods, which involves both qualitative methods
and quantitative methods in relation to data collection (Thornhill, 2009).
26
2.4.1 Tools and Methods
Primary data will be collected through interviews from market professionals
and neuromarketing specialists to obtain the information needed to offer a
possible solution to the focal problem formulation (Kvale, 2002).
Scientific articles and journals will be used as primary sources of data to
build the argumentation of the research. Most of the information involved and
used for this research is scientific evidence-based data from consumer
behavior studies.
Primary data: scientific evidence-based (objective), measurable quantitative
data. Reducing the risk of “consumers’ self-report bias”
(qualitative/subjective), by using scientific tools to track, measure and
interpret unreported raw sources of data.
Among other sources of primary data, this report counts with the following:
• Quantitative data: dissertations, laboratory experiments, patents, studies reported in scientific
journals (i.e. Psychological, Behavioral, Sociological, Neurological, Neuroscientific and economical
journals), surveys reported in journal articles, technical reports, and other related proceedings.
• Qualitative data: sources of criticism and interpretation (i.e. ZMET®), neuromarketing
seminars, conference papers, diaries, interviews, literature publications, tables, moral & ethical aspect,
public opinion, reviews and social policies.
27
Secondary data: could be use as second hand information that third parties
have created or put together.
The secondary research or desk research, can involve online information from
third parties, for instance population figures from “The World Fatbook (CIA,
2017) or statistical information made available by public institutions or
governments (i.e. www.dst.dk). Other sources of secondary information could
come from data agencies, industry and trade associations, labour unions or
chambers of commerce (Zara, 2013).
2.4.2 Delimitation
Due to the extent of the Consumer neuroscience and Neuromarketing
complexity, this research will try to limit the field of scope to narrow the
focus towards the implications for online consumer behavior in a fashion e-
commerce context. And thereof, prioritize consumer behaviour as the focal
point within which the research unfolds.
28
2.4.3 Empirical methods
As stated earlier, under 2.4.1 tools and methods, interviews will be
conducted for this research.
The interview to Bitbrain® was carried in order to gather insights and support
the answer to the problem formulation.
Thereof, the questions followed a semi-structure format, meaning that the
overall approach to consumer behavior will be the theme although some
neuromarketing specific fixed questions were asked throughout.
Despite of the semi-structured questions, the interview also allowed the
research to elaborate related questions to the study of consumer behavior. In
this case the overall theme was focused upon how consumers’ online buying
behavior is influenced by different variables. Furthermore, the output from
interviewing Maria2
and Javier3
also uncovered the intentions and feelings
behind the interviewees’ actions regarding the application of neuromarketing
tools to consumer-based research (Kvale, 2002).
2
M a r í a Á n g e l A s o S i p á n , D e p a r t a m e n t o d e A d m i n i s t r a c i ó n a t B i t B r a i n ® & U s e n n s ®
3
J a v i e r M i n g u e z , P h . D .
C o - f o u n d e r o f B i t B r a i n T e c h n o l o g i e s
N e u r o s c i e n c e P r o f e s s o r , U n i v e r s i t y o f Z a r a g o z a , S p a i n .
29
3. Discussion
It is very important for the reader to understand how consumer research has
shifted from old-fashion surveys, questionnaires and focus groups towards
scientific tools.
3.1 Traditional consumer-based research methods
Traditional online research methods: Several tools have been repeatedly
used in order to conduct online consumer research.
Marketers have traditionally used surveys for many years, and they come in
different forms. This method can be used to extract specific information from
consumers and they are relatively inexpensive. The downside is that the usual
response rate is quite low and the responses might not always reflect what the
consumer really wants (instead, the consumer answers what they think they
want). On the other hand, a potential benefit of online surveys is the use of
“conditional branching”.
Interviews have always been considered as an effective tool to involve in-
depth questioning about the consumers’ interest in experience with a product.
This research method can be costly and vulnerable to interviewer bias.
Observation of consumers can be a powerful tool if the marketer knows
where to look at. Observing how consumers look at product and features can
yield insights into how online products could be targeted.
Focus groups can be a fast, efficient and inexpensive research method to
conduct online qualitative research.
30
Different market research techniques, Table 2:
F o c u s g r o u p s Q u e s t i o n n a i r e s C o m p a r i s o n s M a r k e t t e s t
T e c h n i q u e
N o t s u i t a b l e f o r
s t a t i s t i c a l a n a l y s i s .
O p e n - e n d a n s w e r s .
B o d y l a n g u a g e .
C o n s u m e r ’ s b i a s .
I n t e r v i e w e r ’ s b i a s
C o m p a r i s o n s b e t w e e n
p r o d u c t a t t r i b u t e s /
f e a t u r e s .
P r e f e r r e d c h o i c e
a m o n g p r o d u c t s
P u r c h a s i n g l i k e a b i l i t y .
P r o d u c t p e r f o r m a n c e .
M a r k e t i n g
p e r f o r m a n c e .
C o n s u m e r ’ s c h o i c e
T y p e o f
r e s p o n s e s
A s s u m p t i o n s b a s e d o n
o b s e r v a t i o n s
( s p e c u l a t i v e a p p r o a c h )
I n t r o s p e c t i v e .
C o n s u m e r
i n t e r p r e t a t i o n b a s e d
u p o n t h e a s s e s s m e n t
o f r e s p o n d e n t s
d e c i s i o n b y t h e i r
t h o u g h t s a n d
e m o t i o n s .
B u y i n g c h o i c e
w i t h n o i n c u r r i n g
e x p e n s e s
( h y p o t h e t i c a l
a p p r o a c h )
R e a l c h o i c e w h e t h e r t o
b u y o r n o t .
C o m m o n
a p p l i c a t i o n
B e g i n n i n g o f r e s e a r c h :
i t c o u l d h e l p d e s i g n i n g
a n d t e s t i n g t h e
p r o b l e m f o r m u l a t i o n ,
( p r o s p e c t i v e )
D e s i g n p h a s e :
v a l i d a t i n g t h e
i m p o r t a n c e o f
c o n s u m e r c h o i c e .
D e s i g n p h a s e :
v a l i d a t i n g t h e
i m p o r t a n c e o f
c o n s u m e r c h o i c e
– i t c o u l d a l l o w
b e h a v i o r
f o r e c a s t i n g .
E n d o f r e s e a r c h : i t
c o u l d h e l p m e a s u r i n g
a n d f o r e c a s t i n g
c o n s u m e r b e h a v i o r i n
r e l a t i o n w i t h o t h e r
m a r k e t i n g f a c t o r s .
R i s k / c o s t s
H i g h r i s k o f d a t a
m i s u s e .
L o w c o s t .
M o d e r a t e e f f i c a c y .
M o d e r a t e r i s k a n d
c o s t .
M o d e r a t e r i s k
a n d c o s t .
H i g h r i s k a n d h i g h
c o s t s .
S p e c i f i c r i s k o f
r e v e r s e - e n g i n e e r i n g b y
c o m p e t i t o r s -
D e g r e e o f
c o m p l e x i t y
M o d e r a t e L o w M o d e r a t e H i g h l y s p e c i a l i z e d .
T a b l e 2 : T r a d i t i o n a l m a r k e t r e s e a r c h m e t h o d s c o m p a r i s o n . S o u r c e : A d a p t e d f r o m C l a u d i a &
C r e s c i t e l l i p . 1 2 8 ( C l a u d i a A l m e i d a C o l a f e r r o , 2 0 1 4 )
31
3.1 The study of consumer behavior - Sub-Q . 1
• Sub-Q 1: How can online fashion companies benefit from
understanding consumer behavior?
The most common practice to look in order to study consumer behavior is the
buying decision processes.
Despite all the literature that has been written regarding the consumer buying
process by authors like Koetler, it still is a subject in which a lot of
misconceptions have been used in means to explain this complex behavior.
For instance as Kotler used to define it:
Quote - ‘‘it is the buying behavior of final consumers-individuals and
households that buy goods and services for personal consumption’’ pp. 134-
135 (Kotler & Armstrong, 2014).
But in reality is much more than that; it involves thousands if not millions of
subconscious impulses triggering senses in the consumers’ brain.
In contrast to Sandhusen who described it as:
Quote - ‘’An understanding of consumer behavior is critical during all stages
of the strategic planning process, from setting objectives through
implementation and control. Key to understanding of consumer behavior is an
understanding of the intra-and interpersonal influences that trigger the buyer
decision process and the dynamics of this process’’ p.117 (Sandhusen, 2000).
32
F i g u r e 3 : “ B l a c k b o x ” m o d e l t o s t i m u l i , c o n s u m e r c h a r a c t e r i s t i c a n d d e c i s i o n p r o c e s s e s
i n t e r a c t i n g b y e l i c i t i n g c o n s u m e r r e s p o n s e s . S o u r c e : R i c h a r d S a n d h u s e n p . 2 1 8 ( S a n d h u s e n ,
2 0 0 0 )
Given these two definitions, the core element when looking at consumer
behavior involves observations of consumers in the buying process, from the
initial search stage until the moment of purchase as well as post-purchase
stage (Claudia Almeida Colaferro, 2014).
The old 5-stage consumer buying-decision model refers to the following:
F i g u r e 4 B u y e r d e c i s i o n - m a k i n g s t a g e s m o d e l o r i g i n a l b y K o e t l e r & A r m s t r o n g p . 1 5 2 ( K o t l e r &
A r m s t r o n g , 2 0 1 4 )
The assumption was that this model is a fixed decision process from which
every consumer goes through while purchasing a product. Thus, it is
necessary to stress that in more routine purchases, consumers often skip or
reverse some of the stages (Kotler & Armstrong, 2014).
33
This model has become out-dated since it doesn’t measure other consumer
factors influencing their behavior.
For instance, the investigation done in consumer buying decision process by
the authors Schiffman and Kanuk, bring together variables such
psychological, social and cultural factors (Claudia Almeida Colaferro, 2014).
F i g u r e 5 C o n s u m e r d e c i s i o n m o d e l , o r i g i n a l b y ( S c h i f f m a n & K a n u k , 2 0 0 0 ) p . 4 0 0
As it can be seen in the model, there are three different variables influencing
buying decisions.
34
•Input variable or external variables
•Process variables / external variables (influenced by consumers psychology)
•Output variables (previous consumer experiences)
Another out-dated misconception from previous consumer behavior
understanding was that behavior is interpreted as stochastic4
.
This is particular approach to consumer behavior, as a statistical prediction
yet, not ensuring a precise pattern on the behavior.
It is what has made the study of consumer behavior an uncertain field for
researchers. According to the authors Robertson et al consumer behavior is
stochastic, therefore only probabilities of certain specific factors can be
determined (Robertson, 1984). But as researchers are finding more about how
to interpret consumer behavior data, other buying decision models are
replacing the conventional methods (Claudia Almeida Colaferro, 2014).
In contrast with other ideas from the author Solomon (2002) an updated view
on consumer behavior is proposed, and presented as the following. This is an
overview of how different scientific disciplines can be used to research
questions on a given specific behavior in fashion E-commerce.
4
S t o c h a s t i c m e a n s h a v i n g a r a n d o m p r o b a b i l i t y d i s t r i b u t i o n o r p a t t e r n t h a t m a y b e
a n a l y s e d s t a t i s t i c a l l y b u t m a y n o t b e p r e d i c t e d p r e c i s e l y .
35
F ields of study: R esearch questions:
Experimental psychology: the relationship of
online ads in the process of perception, learning and
memory.
Clinical psychology: the role of online consumer-
based targeting.
Psychoanalysis
5
: The introspective view of
consumers’ subconscious relationship.
Social psychology: The study of consumers as part
of member of social groups (i.e. sub-cultures)
Sociology: the interactions between consumers,
institutions, products and social groups.
Macroeconomics: the relationship between product
targeting, the consumer and the market (i.e. purchasing
power, social status, market trends)
Semiotics is the verbal and visual communication of
product meaning to consumers in relation with the role
of emotions.
Philosophy: to look into the ethics of neuromarketing
in consumer behavior research.
Cultural anthropology: involves the beliefs and
behavior of society to advertising
How design aspects of online fashion are recognized and
interpreted by the consumer.
What specific aspects are most likely to be the focus of
attention?
How these can impact the consumers’ self-
consciousness.
How can consumers desire a product through specific
consumer-based targeting?
How peers can pressure and influence the attitudes of
consumers based upon online marketing stimuli or
advertising.
The consumer patterns by which preferences for a brand
can spread within different social groups (i.e. social
media platforms)
How economics affects the buying process in online
consumers.
How underlay/subconscious messages are conveyed to
the consumers by models and marketing stimuli.
How moral and ethical issues emerge from consumers,
as result of subliminal associations.
Differences of buying behavior between males and
females.
T a b l e 3 A p p l i c a t i o n o f d i f f e r e n t s c i e n t i f i c d i s c i p l i n e s t o s t u d y c o n s u m e r b e h a v i o r . S o u r c e :
A d a p t e d f r o m S o l o m o n p . 4 1 ( S o l o m o n , 2 0 0 2 ) .
5
P s y c h o a n a l y s i s i s a s y s t e m o f p s y c h o l o g i c a l t h e o r y a n d t h e r a p y , w h i c h t o i n v e s t i g a t e t h e i n t e r a c t i o n
o f c o n s c i o u s a n d u n c o n s c i o u s e l e m e n t s i n t h e m i n d , a n d b r i n g i n g r e p r e s s e d f e a r s a n d c o n f l i c t s i n t o t h e
c o n s c i o u s m i n d b y t e c h n i q u e s s u c h a s d r e a m i n t e r p r e t a t i o n a n d f r e e a s s o c i a t i o n .
36
3.2 Conscious thinking buying behavior - Sub-Q . 2
There is clear evidence that interdisciplinary approaches need to be taken into
consideration for the study of consumer thinking and behavior.
In order to exploit new opportunities marketers will need to now how
consumers think and act, incorporating new research regarding the application
of Neuromarketing techniques can support it (Sharp, 2013).
The reason behind this statement is that conscious and more interestingly
unconscious dynamics need to gain more relevance in the study of consumers’
thinking processes. Moreover, by looking into thinking and behavior
dynamics these can help determine more accurately consumer behavior, for
ultimate commercial success (Zaltman, 2003).
As it has been discussed in sub-question 2, the application of neuroscience on
consumer-based research can help shedding truth on the former belief, which
argued that consumers think in linear, hierarchical ways. Therefore, it is of
particular importance to stress that this consumer misconception – as a well-
reasoned, rational, linear thinking process – does not reflect all elements
involved in the buying process.
The former belief was: consumers make deliberate decisions by consciously
contemplating (observing) the relative value of product attributes in relation
to the probability that it actualizes the assigned value. Therefore, researchers
still belief that consumers process information in logical ways to reach,
develop and form judgments.
37
In the following figure 5 shown below, it can be used to illustrate how a
modern interdisciplinary approach to consumer behavior could be done.
But in reality, although consumers’ decisions may involve rational thinking as
part of the buying process, this does not depict how consumers actually make
buying decisions. Furthermore, upcoming neurological research applied to
consumer behavior is starting to prove the opposite. This is, the fact that
conventional conceptions on the consumer decision process now peg this kind
of decision making as the exception rather than the rule (Zaltman, 2003).
F i g u r e 6 C o n s u m e r b e h a v i o r v a r i a b l e s ( A n a l y s i s ) . S o u r c e : o w n a d a p t a t i o n
f r o m i n s i g h t f u l c o n s u m e r a n a l y s i s b y ( Z a l t m a n , 2 0 0 3 ) p . 2 0
R e s e a r ch g o a l: m ea n i n g f u l c o n su m e r
a n a ly s i s
T o o l s: A p p li c a ti o n o f
N e u r o m a r k e t in g
t e ch n i q u e s t o i n t er p r et
d a t a ( i . e. EE G , f M R I )
P u r p o s e : U n d er s t an d in g h o w
m en t a l ac t i v i ty o c c u r s
S o ci a l & P s y ch o lo g ic a l
p r o c e ss es – c o n su m e r s
e x p e r i en c e
B i o l o g i c al p r o c e sse s
t h a t p r o d u c e m en t a l
a ct i v i t y
P u r p o s e : F i n d i n g p a t t er n s
o f b e h a v io r . L i n k i n g
m ar k et i n g st i m u l i t o
c o n su m e r s’ c o g n i t i o n
U n d e r st a n d i n g
c o n s u m e r s
38
3.3 Selection buying process - Sub-Q . 2
• Sub-Q 2: How can consumers buying behavior models can be used to
understand the role of fashion E-commerce companies in the buying
process?
The section buying process is considered to be rather automatic, making
consumers recall back individual habits, older memories as well as other
unconscious processes.
Among other factors, the selection process is greatly influenced by the
consumers’ physical and social context (Heath, 2012). The consumer’s
response to a given marketing stimuli is intrinsically linked to inner-
emotions. The way in which the brain processes emotions as logical reasoning
is separate from the actual emotional involvement along the selection process.
Hence, emotions reside in both, the rational and irrational side of our brain,
and in fact, both emotional systems communicate to each other without
consumers acknowledging it (Heath, 2012).
39
These emotional systems have not been properly researched, but
neurosciences are starting to show that the consumers’ emotional systems are
closely linked (embedded) to our reptilian brain.6
This old inherited part of our brain is also related to the “fight or fly
response”, and more importantly is the first force interacting on the selection
process by shaping the thinking and behavior of all consumers (Sharp, 2013).
The role of emotions as part of the buying process contributes to and are
essential elements influencing how consumers make sound decisions
(Zaltman, 2003).
Example: Emotions as an active component in buying process applied to
consumer-based research.
For instance, in a hypothetical situation in which a fragrance brand wants to
conduct a focus group in order to have insights into the selection process
their customers go through.
6
T h e r e p t i l i a n b r a i n , t h e o l d e s t o f t h e t h r e e , c o n t r o l s t h e b o d y ' s v i t a l f u n c t i o n s s u c h a s
h e a r t r a t e , b r e a t h i n g , b o d y t e m p e r a t u r e a n d b a l a n c e . O u r r e p t i l i a n b r a i n i n c l u d e s t h e
m a i n s t r u c t u r e s f o u n d i n a r e p t i l e ' s b r a i n : t h e b r a i n s t e m a n d t h e c e r e b e l l u m . . . . T h e
l i m b i c b r a i n e m e r g e d i n t h e f i r s t m a m m a l s .
40
One of the participant’s circumstances happens to be that he/she has recently
lost a close relative (who used to wear the perfume the focus group was
testing).
In this particular context, the participant might experience deeper
psychological emotions (that other participants don’t go through) making
him/her trigger painful emotions as the scent of the perfume evokes emotional
memories. The participant then could interpret the sensory message in a
negative way, causing rejection to the scent, as response to this emotional
signal.
But the focus group researchers are unable to interpret individual behavior
because only factors as price, packaging, brand label and product attributes
are considered. Therefore, leading them to make the likely assumption that
this behavior is irrational (as it does not comply with the other participants’
behavior).
3.4 The role of emotions in consumer behavior
We human beings have emotions for a reason. Nature gave us emotions as an
incentive system to make sure we act in certain ’evolutionary beneficial’
ways. Our feelings, and therefore our mental health, wax and wane depending
on whether or not some fundamental conditions for the success of our species
are met.
41
Arthur Kover describes the role of emotions as an important component for
creative advertising. Furthermore, evoking emotional responses in consumers
is a critical part of successful advertising (KOVER, 1995).
Psychologists 35 years ago studied consumers’ emotions and behavior as
separate elements. There was a common misconception, which argued that
consumers process their feeling using their thoughts, thereof making feelings
and emotions a post-cognitive process (Heath, The psychology of emotional
influence in advertising, 2012).
But the author Zanjonc first challenged this assumption in 1980 (Zajonc,
1980).
Zanjonc distanced himself from contemporary psychology that saw feelings as
post-cognitive connections. The old hypothesis regarding the role of feelings
in consumer behavior argued, “Before consumers can like something they
must be aware of it and have assessed some critical attributes to the product
or service they are being exposed by”.
Despite the academic opinion, Zajonc understood feelings as a primary
variable in interactions of people. The social interpretation of affect is much
more non-verbal than verbal (Zajonc, 1980).
According to former idea on the role of emotions and preferences it was
believed that these formed after cognitive activity.
But today we know that it’s difficult to separate thoughts (based on
information) and feelings (based on energy transformations). The author
42
Zajonc believes that affect precedes cognition. This would explain why
humans could be afraid of something before we are even aware of its presence
(though cognition will quickly change feelings from their initial state).
Zajonc’s Emotional processing assumptions:
1. Emotions (affective) are primary processes that emerge from the
unconscious thoughts.
2. Emotional consumers’ responses are unavoidable, this means that the
emergence of emotional responses as result of an event (sensory
input/stimuli) are out of the consumers’ control. The lack of control over
emotional responses is caused by its own source of nature, as emotions rely
on the unconscious level.
3. Emotional consumer responses are difficult to verbalize as they are
created by inner metaphors and these act as non-verbal communication. This
idea will be further develop by the application of Zaltman’s metaphor
elicitation technique.
Once the role of emotions in consumers has been understood, it is then
possible to ask how do unconscious mental processes influence our behavior?
43
3.5 Non-conscious thinking buying behavior - Sub-Q . 2
The next section of the report will look into how the unconscious mental
processes influence emotions and shape responses from consumers’ thinking
and behavior.
By displacing the focus on consumers towards marketers, it is then possible to
explain that managers’ minds work the same way as the consumers’ mind.
A lot of general consumer-related misconception can lead marketers to
believe that the way they think is far different from consumers. But in reality,
both present similar thinking and behavior styles as a combination of
conscious and unconscious processes (Zaltman, 2003).
In order to offer a clearer picture of the market research limitations when
looking into the unconscious side of consumers the Metaphor Elicitation
model 7
could be utilized.
7
T h e Z a l t m a n m e t a p h o r e l i c i t a t i o n t e c h n i q u e ( Z M E T ) i s a m a r k e t r e s e a r c h t o o l . Z M E T
i s a t e c h n i q u e t h a t e l i c i t s b o t h c o n s c i o u s a n d e s p e c i a l l y u n c o n s c i o u s t h o u g h t s b y
e x p l o r i n g p e o p l e ' s n o n - l i t e r a l o r m e t a p h o r i c e x p r e s s i o n s .
44
In accordance to Dr. Gerald Zaltman, a lot goes on in our minds that we're
not aware of. Most of what influences what we say and do occurs below the
level of awareness (PINK, 1998). The technique has been used by academic
researchers and for marketing purposes to study a variety of topics related to
both marketing and the social sciences.
3.5.1 ZMET® technique by Dr. Gerald Zaltman
This particular interview technique aims to understand the human mind and
decision-making processes rooted in different layers of the consumers’
unconscious mind.
ZMET® is effectively used to interview the “Other You” of the Consumer and
understand how the unconscious creates and guides conscious interpretation
and behavior. As it been mentioned along the introduction of consumer
research methods, it is evident that consumers report what the think in one
way, but eventually act and behave in a different one.
The ZMET® technique could also improve the controversy of consumers
responding verbally in regards to a product but not supporting all their
thoughts (as they can’t interpret or be aware of their unconscious emotions).
But more importantly, the ZMET® model can simplify and remove the “mental
mask” that all consumers wear by nature (McElheron, 2006).
Along many factors conditioning the consumers’ unconscious, the consumers’
perceptions, past experiences (i.e. your childhood memories) and inner-
45
feelings rely on a deeper layer on the mind, and these thoughts cannot be
articulated by command.
What this technique proposes is that former (conventional) consumer research
methods have become so obsolete, that brands are only able to target the
consumer’s mask. This way of communication is ineffective, as marketers
realize that communicating towards consumer’s mask does not trigger
consumers’ decision-making processes.
More over as Zaltman describes it, consumers’ thoughts are based on images
and not only words. Consumer behavior interpretation is changing as
neuroscientists argue that consumers’ thoughts arise from images, these are
topographically organized as neural representations, which occur in early
sensory cortices (Zaltman, 2003).
The following illustration can help the reader to visualize the consumer
cognitive process in the decision-making.
Stimuli Ne ur al
a ctiva tion
Synapses
S e n so r y
i n p u t
C o n s u me r
r e a ct i o n
C o n n e c t io n
F i g u r e 7 : D e c i s i o n m a k i n g n e t w o r k t o s t i m u l i . S o u r c e : o w n c r e a t i o n
46
Two thirds of all the signals that consumers experience are primarily stimuli
based on images (sensory input: visual stimulation-sight). However,
marketing managers persist on seeing consumers’ thoughts as word-based
(language related processes).
This is why it is important for marketers to understand the difference
between, how thoughts occur (neural activity) and how consumers consciously
experience their own thoughts (verbal ability to objectively report them).
Therefore, as thoughts are activations of neural networks, word-based
reporting cannot completely describe them. In consequence, a lot of
information (unconscious thoughts/experiences) are lost by verbal reporting
and the conventional idea that rationalization will support objective
consumers’ insights.
In short, consumer thinking is predominantly expressed in form of metaphors.
This can be understood as a natural unconscious process by which consumers
experience the world around them (McElheron, 2006).
Furthermore, Zaltman’s metaphor elicitation technique (ZMET) can help
researchers translating deeply under laid consumer emotions and feelings into
actionable marketing strategies.
3.5.2 ZMET® application to consumer-based research
The ZMET interview is a one-on-one discussion lasting approximately two
hours. In preparation for the interview, participants are asked several days
prior to their interview to collect pictures that represent their thoughts and
47
feelings about the research topic. As a result of this pre-interview work,
participants arrive for their in-depth interview at an advanced stage of
thinking
The ZMET® interview is carefully designed to probe various facets of the
mind’s operation, enabling the consumer to be more explicit about their
implicit thoughts and feelings. This also engenders the surfacing of important
but often hidden drivers of behavior (Zaltman, 2003)
Surface expressions point to hidden patterns underlying human thought.
These patterns are called Deep Metaphors™; these are fundamental categories
of human experience that shape everyday decision-making (McElheron, 2006).
Deep Metaphors are the mind’s first and subconscious responder to any
stimulus. These can come from biological reactions to events or
circumstances from consumers’ experiences. These metaphors could also be
linked to unconscious and precede conscious thoughts and feelings (Zaltman,
2003).
1. What does it do?
It gives a deeper understanding as to how consumers view brands
It allows us access to hidden knowledge from consumers’
unconsciousness.
It shortens the distance from consumers’ self-report bias.
It offers a more accurate interpretation of consumers’ inner thoughts
48
It optimizes behaviour’s interpretation as less verbal-communication is
used.
Visual mental images offer more insights to better frame consumers’
cognitive and mental associative processes.
The elicitation of metaphors can enhance unbiased reporting of
unconscious thoughts and find patterns among consumers’ metaphorical
connections.
2. How does it work?
A ZMET study starts with participants being asked in advance to think about
the research topic and collect a minimum of 12 images from their own
sources, (photos, magazines etc.) that represent their thoughts & feelings
about the topic (McElheron, 2006).
3. Type of research?
Qualitative approach:
• Elicits metaphors, constructs &
mental models that drive consumer
thinking & behaviour
• It’s an interview containing
several steps. Based on the concept that
most communication is non-verbal
(McElheron, 2006).
F i g u r e 8 . ( Z M E T ) A p p l i e d t o c l o t h i n g b r a n d .
O r i g i n a l s o u r c e : P a u l M c E l h e r o n o n P P T ,
S l i d e 4 9
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3.8 Heuristics
The importance of heuristics can help us understand why marketers have
always interpreted consumers’ behavior in a linear and rational way.
However such unrealistic idea only represents a poor simplification of the
buying process, but never the full picture of consumers’ minds.
The Psychologist Alan Lewis describes heuristics as simple, efficient rules
which people often use to form judgments and make decisions. They are
mental shortcuts that usually involve focusing on one aspect of a complex
problem and ignoring others (Lewis, 2008).
From an economic point of view the rational model of buyers being logical
and objective with their judgements and decision-making behavior works
relative well for monetary purposes (Sharp, 2013). But sadly for economist,
this rational model does not consider all variables influencing consumers.
As Byron sharp describes it, no human is perfectly rational and our rational
thinking is always limited by having incomplete information. But more
market researchers are starting to observe irrational, but regular patterns of
behavior among consumers (Sharp, 2013). The reason behind frequent
irrational patterns during the buying process could be explained by heuristics.
In comparison to the former linear and rational consumer models, heuristics
are intrinsic to the decision-making process surfacing as unconscious
behavioural patterns.
50
Thereof, heuristics occur as a shortcut, intuitive judgements or simplification
along the decision-making process allowing the consumer to interpret
information faster and mostly unconsciously.
A large portion of the psychological research behind heuristics has aimed to
show biases in human thinking behavior. This implies that a lack of
information and conscious logical thinking can lead the consumer to make
poor decisions.
On the other hand, heuristics can lead the consumer to make better decisions
than more complex procedures based on more product information.
These are some heuristic common biases:
Social proof is a behavioural pattern, which relates to the fact that consumers
look for validation and approval from other people or social groups in order
to make their decision (Sharp, 2013).
Anchoring also known as focalism is a cognitive bias that describes the
common human tendency to rely too heavily on the first piece of information
offered ("anchor") when making decisions.
During decision-making, anchoring occurs when individuals use an initial
piece of information (becoming cognitively blocked) to make other
judgments, only counting with one or few attributes of the product
disregarding all other information.
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Availability bias also known as availability heuristic is a mental shortcut that
relies on immediate examples that come to a given person's mind when
evaluating a specific topic, concept, method or decision (Sharp, 2013).
It relates to frequency and predictability of events, based on the ability of the
consumer to recall information.
Attribute substitution is a psychological process thought to underlie a number
of cognitive biases and perceptual illusions. It occurs when an individual has
to make a judgment (of a target attribute) that is computationally complex,
and instead substitutes a more easily calculated heuristic attribute.
4. Analysing online consumer behavior in Fashion E-commerce
context - Sub-Q. 2
To begin with, once the consumer behavior models and theories have been
reviewed and understood, then it is possible for this research to move
forward. The following sections will look into online purchase behaviour
using fashion E-commerce as business context.
As it has been argued, discussed and examined consumer behavior is a
challenging topic by itself, but understanding online behavior becomes the
next obstacle.
52
In order to face this challenge this research will confront problems and
behavioural issues that are rarely observed in traditional E-commerce
practices.
The importance of e-commerce and the online retail industry keeps on
growing, and now more than ever companies need effective tools to improve
commercial and marketing strategies (Tomás Escobar-Rodriguez, 2016).
Moreover, online shopping is becoming a strong distribution channel for
fashion companies, and this is why it is of particular importance for fashion
brands to understand market needs. This can only be achieved by the study of
factors and variables influencing consumers’ decision while purchasing
fashion products online. The following articulation will support findings,
which could be utilized as practical information for consumer behavior
understanding, marketing, communication and online sale strategies.
Furthermore, the aim is to analyse purchase intention online, more
specifically, it is aimed at studying the intention to acquire fashion.
Henceforth, the research considers and refers to fashion as any textile related
garment (i.e. clothes, footwear, accessories) that a customer can buy online.
Marketing managers need to comprehend the increasing online dynamics and
potential of online consumer behavior understanding.
In the current online retail industry most fashion brands have their web shops.
For instance, big international fashion retailers such as the Spanish giant,
Inditex S.A group (Zara®, Mango®, Massimo Dutti®, Sphera®.etc) or Danish
BESTSELLER© (Selected®, Jack&Jones®, Vero Moda®, Only & Sons®.etc.).
These are good examples to offer a practical understanding.
53
Recent studies are showing that 20% of all online purchases are done via
smartphone, while the other 60% represent desktop purchases.
Theses last figures are relevant to the research because the study of the
variables affecting online buying-behavior have to do with technological
innovativeness, customers’ trust and perceived value (Tomás Escobar-
Rodriguez, 2016).
Innovativeness:
When looking into online buying behavior and purchase intention, two key
terms surface, these are fashion innovativeness and electronic innovativeness.
Online Purchase
Intention
F a s h i o n
I n n o v a t i o n
E l ec t r o n i c
I n n o v a t i o n
Tr ust P e r c e i v ed
V a l u e
C o s t s a v i n g T i m e S a v i n gS e c u r i t y I n f o r m a t i o n
R e l i a b i l i t y
F i g u r e 9 P u r c h a s e i n t e n t i o n v a r i a b l e s i n t h e b u y i n g p r o c e s s . S o u r c e : A d a p t a t i o n
f r o m ( T o m á s E s c o b a r - R o d r i g u e z , 2 0 1 6 ) P . 6 0 7
54
The author Park Burns argues that fashion innovativeness in directly
interrelated with consumers’ attitudes towards online purchasing (Park H,
2007).
Comprehending fashion innovativeness is important as it is related to
attention and interest from consumers to purchase fashion online.
The electronic innovativeness can explain the willingness from consumers to
use new technologies possibly increasing purchase intention.
Customers’ trust in online fashion:
This variable is relevant to analyse the relation between the lack of physical
interaction and physical presence of products in the purchase intention. This
unique context in only given in online retail, making trust a vital factor for
consumers in the buying process.
According to Spekman, trust is the most important value for the strategic
partnership between seller and consumer (RE, 1998).
In most online situations, customers generally translate trust as security –
this is the safety of online transaction, which involves personal and financial
information.
Also, the amount of data readily available on the Internet is making difficult
for consumers to search and identify relevant information making it time
consuming (Tomás Escobar-Rodriguez, 2016).
Among the habitual search parameters, consumers will look into product
attributes, sizes, models, price and design among other features.
55
Most online brands like BESTSELLER® allow customer to establish their own
filters or preferences while searching on the web shop. By this, it allows
consumers to avoid conventional marketing distractions that take place during
the information-seeking phase. Particularly because of this, consumers are
unable to experience the brand atmosphere/essence, reducing the sensory
stimulation making the shopping experience monotonous for the online
shopper. This is why online companies are strengthening their e-commerce
efforts to moderate such impact so that it does not negatively influence the
purchase decision.
Perceived customer value:
It can be described as the belief that purchasing a garment on the web shop
will fulfil the customer’s expectations adding satisfaction and value to the
buying process. Thus, perceived value is closely related to the performance
expectancy – while purchasing online consumers present different behaviours.
When it comes to online shopping customers show different motivational
factors, which are utilitarian and hedonic motivations.
The first motivation has to do with task-related motives also known as
convenience motivators. It reflects a rational behavior by which the consumer
gets something he or she needs.
Whereas Hedonic motivation reflects emotional motives outside the
customer’s control (awareness), represented as irrational emotions by which
the shopper unconsciously purchases a product because “they love it” (Tomás
Escobar-Rodriguez, 2016).
56
4.1 Case study - SELECTED®
The following E-commerce Web analysis and Strategic proposition was part of
a real task requested by BESTSELLER®. More specifically, the head of the E-
commerce department proposed this assignment, in order to have more
insights regarding the performance of the “NEW-IN” page. Furthermore, the
focus was put into how to improve male customers’ experience while online
shopping.
F i g u r e 1 0 : L a y o u t w e b a n a l y s i s f o r S E L E C T E D , p . 1 , s o u r c e : o w n c r e a t i o n .
57
As it can be seen the current “NEW-IN” landing page does not follow any
specific order, having a very dispersed product assortment. This makes the
page confusing for online shoppers to develop connections to neither products
nor the brand DNA.
F i g u r e 1 1 : W eb n a v i g a ti o n a n a l y si s f o r S E LE C T E D ® p . 2 , s o u r c e: o w n c r e at i o n
58
This can be achieved (as it is shown) by creating product suggestions,
grouping them into styles or themes with the intention to ease the search-
phase of the buying process.
The hypothesis is that by offering better product descriptions (i.e. specifying
the purpose of the outfit, giving the customer fashion advice as well as
offering meaning).
.
F i g u r e 1 2 S t r a t e g i c p r o p o s i t io n s f o r S E L EC T E D ® p . 3 , s o u r c e: o w n c r e at i o n
59
It is not a mystery that online male customers are less engaged than females;
this is why retaining male attention is more difficult.
Adding to this degree of difficulty, male customers are also known to be very
passive when it comes to select fashion garments online, as most males don’t
want to dedicate much time browsing the web, comparing prices or searching
for product information. Although the buying tendency among males aged 18
to 35 is improving, there are still many barriers to overcome and simplify the
buying process for them. Taking a real example based in the country of origin
of the brand SELECTED®, which is Demark. It could be then explained why
some “shortcuts” (heuristics) can be efficiently utilized to ease the buying
effort from passive male customers.
For instance, if SELECTED® were to sort their new collection garments
creating specific outfits with a clear theme or purpose – this could become an
product anchor point – thereof males could identify or related to the products
quicker. The primary disadvantage that most online fashion brands experience
while targeting male customers has to do with the amount of time employed
searching and looking for the desired garment.
On the other hand, if the brand could shorten the distance between their
products and customers as it has been explained in the in Perceived customer
value. Then it could be possible to create new sensory context in which male
customers could easily identify their personally traits with specific looks (as
shown in the layout examples).
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Nonetheless, it is necessary
to clarify that the
application of Heuristic
common biases like
anchoring techniques by the
creation of style outfits or
suggesting fashion advice is
only a small example within
the Neuromarketing
spectrum.
Thanks to the conceptualisation of this particular online strategy it’s possible
to visualize the large range of possibilities that the application of consumer
behavior studies could potentially bring to online fashion brands like
SELECTED®.
F i g u r e 1 3 S t r a t e g i c p r o p o s i t io n s f o r S E L EC T E D ® p .4
so u r c e: o w n c r e at i o n
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4.2 Implications in online consumer buying behavior
Understanding online consumer behavior in an ever-evolving technological
society is a challenge for most advertising agencies, marketing departments
and sales teams. In order to have a comprehensive view of how consumers
behave and react to marketing stimuli is necessary to broaden the spectrum of
all involved variables.
As the author Claudia Almeida explains, consumers are becoming more
demanding, live under pressure to the solely purpose of satisfying their needs
and ensure their well-being (Claudia Almeida Colaferro, 2014).
Moreover, traditional consumer categorization like age, gender or races are no
longer attributes offering a correlation between the consumer and their
behavior. The society of perpetual consumption based on product obsolesce is
shaping consumers in ways yet not understood. This could reflect why most
consumers are more deeply influenced by personal preferences, opinions, and
interests as forms of self-expression and behavior patterns guided by the
subconscious consumer’s brain.
One of the variables is the change in social dynamics in the form of new
technologies. The exponential information access via the Internet that we
have seen in recent years has made consumers more aware. This imposes a
challenge to online advertising because it is becoming more difficult to retain
online consumers’ attention.
62
The role of memory in consumer behavior has been considered as one of the
most important variable affecting online advertising performance. Byron
Sharp argues that the “choice situation” depends heavily on recall, thereof if
a fashion brand in incapable of bringing memorable brand associations to the
online consumer might risk decreasing their chances of being purchased
(Sharp, 2013).
The constant bombardment of marketing stimuli that advertisers expose
consumers to is creating friction between consumers and advertisements. One
of the consequences is that it triggers a “credibility issue” making consumers
doubtful in regards to whether the advertisement they are watching is
transmitting meaning by its visual/verbal communication to them. As result
of, consumers have become more aware that the advertiser is trying to
convince them to buy the product (Claudia Almeida Colaferro, 2014).
4.3 Contributions of Neuromarketing to Online consumer behavior –
Sub Q . 3
Despite all knowledge we have regarding consumer behavior, it is still
uncertain that marketers actually know what the consumers want.
As it has been mentioned previously, the traditional marketing research
methods such as interviews, focus groups, questionnaires and surveys are
unable to show the irrational side of the consumer.
This gap in the research imposes clear evidence that traditional techniques up
to this day are incapable of collecting all the factors or elements influencing
consumer behavior. These are seemed as relatively ineffective in
63
understanding the difference between consumption styles. Furthermore,
limiting consumer behavior knowledge by suppressing the evidence that
single individuals can present distinct buying behavior patterns, depending on
the consumer’s various roles in society (Claudia Almeida Colaferro, 2014).
As result of new publications and research studies within the consumer
behavior field, they are starting to show that only 15% of most consumers’
decisions are rational/logical. And precisely, this conflict between the
rational & irrational of the human brain, it is what makes consumer behavior
deeper than most people believe. In fact, recent studies from Harvard
Business School have shown that 85% up to 90% of consumer buying behavior
decisions are carried out subconsciously (Zaltman, 2003).
This is where the application of Neuromarketing techniques comes into play.
In order to collect data that the consumers cannot support, the use of specific
Neuroscientific tools could be used. Therefore, the main questions to ask for
understanding these subconscious impulses is:
What are the contributions of Neuromarketing to Fashion E-commerce for
researching consumer-buying behavior?
Professor Ale Smidts was the first known person to name the use of
neuroscientific techniques in the marketing discipline in 2002. He defined it
as the practical implementation of the knowledge brought by consumer
neuroscience for managerial purposes (Hubert, 2008).
64
The earliest consumer research studies using neuroscientific techniques go
back as far as 1960s, with the application of electro dermal response
measurements and pupillary dilatation (Wang, 2008).
But it wasn’t until the early 1970s when researchers starting using
electroencephalography (EEG) for marketing-related studies. The use of such
a tools is aimed at measuring the electrical signal on the consumer’s brain
when there is a significant peak in response to marketing stimuli (Céline
solnais, 2013).
As it has been shown traditional methods for consumer-based research leave
an open gap to the reliability of the data. In other words, the application of
traditional methods can support insights into consumer behavior. But these
results are directly conditioned by the way questions are formulated and often
don’t reflect objectively the consumers’ perception (for instance the web
shop). Therefore, as researchers are starting to see failure by the application
of traditional research methods it is necessary to put into question their
effectiveness for data collection (Céline solnais, 2013).
Moreover, the key element to understand the methodology chosen behind this
research is to acknowledge that emotions are mediators of how online
consumers process marketing stimuli.
65
The methodological challenge is to measure and model these cognitive
responses in order to generate objective data. This could be done by the
application of innovative Neuromarketing techniques through a proper
understanding and interpretation of consumers’ psychological and
physiological responses.
This research considers Neuromarketing to be the application of neuroscience
and physiological research techniques to obtain insights into consumers’
thinking, behavior, emotions, preferences, decision-making as well as other
aspects of human cognition. Thus, in this challenging context the emergence
of new technologies in the neuroscience “field” can shed some light and offer
marketers new alternatives to study consumer behavior.
The implications of applying Neuromarketing techniques for the purpose of
studying online consumer behavior imply the possibility to have a “thrust
worthy” or reliable method to probe the consumer’s brain processes (Camerer
C. L., 2005). Thereof it would be possible to gain valuable insights on the
subconscious consumer processes and how online marketing stimuli can
succeed or fail.
66
4.4 Neuromarketing techniques in E-commerce context - Sub-Q . 3
• Sub-Q 3: What Neuromarketing techniques can be used to improve
E-commerce impact in online customers’ experience?
This could only be achieved by removing uncertainty in regards to the
consumers’ responses and interpret the data in an objective way. By facing
the challenge, which is to trust that consumers have the capacity to
objectively report through their answers how they are actually affected by a
given marketing stimuli (Camerer C. , 2007).
In accordance to Celine Solnais, the application of neuroscience to the study
of consumer behavior could help marketers understand the role of inner
emotional responses, which may play an important part in the economic
decision-making process on online consumers (Céline solnais, 2013).
The following neuroscientific tools can be utilized to collect raw data from
consumers:
Eye-tracking goggles can monitor the movement of the eye, keeping track of
the visual patterns the consumers make while looking at a marketing ad. The
possible use that this device allows is for example how to make the clothing
more appealing by a smart utilization of the visual signals and symbols being
delivered online (Zara, 2013).
67
Galvanic skin response can measure electrical signals on the skin by
measuring the conductance of the epidermis8
. The difference in the moisture
content of the subject’s skin is the impulse being recorded. The variation is
such impulses can determine changes in the emotional state of the consumer.
Neuroimaging enables to simultaneously track consumers’ neural responses at
the same time as the marketing stimulus of interest is being processed, thus
eliminating he risk of recall bias associated with self-report measures
(Sudman, 1973).
Even though there are empirical studies questioning whether this method
could bring useful findings to consumer research or enable better prediction
of economic behaviours (Addie, 2011).
(fMRI) Functional magnetic resonance imaging is one of the most frequently
techniques applied to consumer research (Kable, 2011). This technique
enables the marketer to detect and visualize by the MRI scan changes in blood
oxygenation in the brain as result of neural activity. Thus observing changes
(BOLD signals) in the consumers’ brain can lead to identify “peaks” produced
by marketing stimuli, which could allow marketers to measure effectiveness
and failure of the message.
8
T h e u p p e r o r o u t e r l a y e r o f t h e t w o m a i n l a y e r s o f c e l l s t h a t m a k e u p t h e s k i n . T h e
e p i d e r m i s i s m o s t l y m a d e u p o f f l a t , s c a l e - l i k e c e l l s c a l l e d s q u a m o u s c e l l s .
68
Neuroimaging techniques such as (EEG) electroencephalography and (MEG)
magnetoencephalograpgy are also commonly used research methods which
both measure brain activity. This technique is applied by the placement of
electrodes in the subject’s scalp (different EGG scans could count with 32 up
to 64 channels - “dry” brain sensors).
The application of different techniques presents different pros and cons
depending of the research purpose. The use of fMRI can asses better data on
the question of “where” specific areas of the brain are activated as result of a
given marketing stimuli. And EEG and MEG can be applied to better answer
the question of “when” the consumer processes information through time,
tracking and showing in real time brief neural activity changes as the
stimulus evolves (Céline solnais, 2013).
These Neuromarketing techniques can be successfully applied in E-commerce
strategies, for instance in online campaign ads. Prior the launch of the
marketing campaign with its respective online ads, a company could look into
different versions of the ad and measure the consumers’ responses.
By the application of the above-mentioned neuroimaging tools, the marketers
can look second-by-second the performance of each ad. This implies that
companies can determine consumers’ reactions with quantitative data and
therefore diagnose which core elements of the ad are effective and which of
them should be removed (Zara, 2013).
69
4.4.1 Part-conclusion Sub-Q .3:
However, it is important at this moment of the research to stress that
Neuromarketing is not a wonder tool, which will bring the ultimate answer to
the problem. But instead it is a medium through which the marketer can look
into and search for evidence. Neuromarketing distributors like Bitbrain® or
Usenns® always remark the fact that Neuromarketing cannot be used only by
itself. The companies doing consumer-based research need to support the
hypothesis to research. Therefore, Neuromarketing can only be used in
Fashion E-commerce if there is a clear purpose, specifying the exact interest
for looking into a particular contextual behavior.
5. Ethical views in Neuromarketing - Sub-Q .4
Sub-Q 4: What are the ethical implications of Neuromarketing use and misuse?
This last section will close up the discussion part of the report by exploring
the ethics of Neuromarketing’s application and misuse.
More over, two author approaches will be taken into consideration to make a
literature comparison between different academic studies. One of the studies
analyses the use of neuromarketing by for-profit and non-profit organizations
from an ethical perspective based on consumer’s point of view. Furthermore,
the findings based on consumer’s ethical judgements and the empirical
evidence indicate that consumers perceive the use of neuromareting strategies
by for-profit organizations to be unethical, yet consumers perceive the same
70
application of neuromarketing as ethical if conducted by non-profit
organizations (Jason Flores, 2014).
On the other hand, the second scientific journal used in order to contrast
different academic views on neuromarketing ethical issues, argues differently.
According to Steven Stanton’s hypothesis and current technological
capabilities, it’s argued that most frequently raised concerns in regard to the
application of Neuromarketing techniques to consumers do not raise
meaningful ethical issues. Found in his research articulation on the common
ethical concerns of neuromarketing-related risks and ethical decisions faced
by companies (Steven Stanton, 2016).
Therefore, understanding the distinction between what is considered ethical
and unethical in consumer behavior may have the potential to guide the use of
neuromarketing in the future (Jason Flores, 2014).
Ethical concerns are a raising aspect related to the application of
Neuromarketing for consumer-based research. Marketing academics,
neurologists and behavioural researchers have openly critiqued
neuromarkting, as it’s believed that it could allow unprecedented levels of
consumer manipulation by the private sector.
However, Lidstrom argues that neuromarketing research can only reveal
changes or patterns in brain activity, but cannot explain why it occurs
(Lindstrom, 2009).
71
According to a similar opinion from Graham who believes that the potential
power for Neuromarleting manipulation is limited, arguing that consumers
cannot be tricked to behave mindlessly and unknowingly purchase products
(Graham, 2012). Although both authors present rational arguments, these
positions do not fully deny the possibility that behavior manipulation might
be possible in the future.
In order to ensure the reader with a proper understanding of the academic
dichotomy, the following analogy can be used to clarify these ideas.
In comparison to former and current consumer behavior understanding,
traditional consumer-based research methods did not incorporate all variables
influencing consumer behaviour, as we know today, thereof the application of
neuromarketing (as we know it today) presents a degree of uncertainty, with
an unknown potential to evolve in ways previously thought not plausible.
Hereinafter, the ethical issue for consumer manipulation will remain open to
future hypothesis, due to the short existence of Neuromareting theories and
models up to this day.
5.1 Ethical issues in consumer behavior - Sub-Q .4
New consumer behavior-oriented companies such as Bitbrain® or
NeuroFocus® are emerging in the Neuromarketing scene, offering low-cost
tools for industry purposes. For instance, eye-tracking devices have become
popular among the private sector as it allows marketing researches to
wirelessly track and record data. This attractive method allows a wide range
72
of possibilities to study consumers’ visual associations, but academic
researchers argue that the validity of the data is highly contingent (Steven
Stanton, 2016). The application of neuromarketing tools can help examining
the effectiveness of sensory and brand information on consumer choice via
brain activity and physiological changes.
Among other ethical issues Steven J. Stanton et al described the canonical
criticism of neuromarketing as unethical research practices, unethical
applications of technology and a possible way for consumer manipulation.
Furthermore, the most common ethical objections to the application of
neuromarketing refer to risk of harm and violation of consumers’ rights.
These objections include short-term effects on individual consumers as well
as long-term effects in consumers as members of a collective society (Steven
Stanton, 2016).
Consumers may not be enthusiastic about the application of neuromarketing as
they could think of private companies to have obscure advertising intentions.
This could lead the general public to believe that consumers could be easily
manipulated; also a lack of understanding (lack of scientific evidence) could
end up creating negative associations of companies using neuromarketing
techniques.
The ethical issue of neuromarketing is similar in context, when thinking of
the reaction towards subliminal advertising effectiveness proposed by James
Vicary in 1950’s (Sutherland, 2004).
73
The controversy regarding subliminal stimulation and its effectiveness in
consumer behavior remains present and it is now joined by the new
controversy over whether the application of neuromarketing imposes new
risks to consumers’ personal integrity, privacy violations and subconscious
manipulation.
5.1.1 The Dilemma of predicting consumer choice
Thanks to first-hand information collected from the interview to Maria-
Angeles Osa (Head of Administrative department at Bitbrain®) this report can
offer a professionally contrasted opinion regarding the most commonly
perceived neuromarketing-related issues that private companies could have
regarding the predictability of consumer choice.
The fear that neuromarketing could potentially render consumers’ choice is
one of the typical ethical issues, that marketing researchers and education
institutions have while deciding whether or not to adapt such techniques.
The first statement that María made regarding the ethical issue on the
application of neuromareting to consumer behavior was:
“ We clearly say to companies in the quest for new research methods that
neuromarketing is not a wonder tool that will grant access to mind control
properties in terms of its applicability to the study of consumer behavior.
74
In fact, we say the contrary; neuromarketing techniques can only offer
measurable results if the research has a clear purpose. And the research
findings could never offer any possibility to consumer manipulation, as the
application of neuromarketing techniques is only window to look into
consumers’ brain activity” (Sipán, 2017).
In contrast to Maria’s opinion, recent research seems to herald the power of
neuromarketing - these studies argue that the application of fMRI has been
used to predict consumers’ choice and purchase decision (Knutson, 2007).
The author Knutson demonstrated in his research’s experiment that continuous
tracking of changes in brain activity (neural connections- synapses) could
predict behavioural patterns in consumers’ choice, beyond self-report
consumer capabilities. Thereof, behind this assumptions he indicates that
neuromarketing can greatly contribute to traditional marketing research
methods (Steven Stanton, 2016).
However, the above-mentioned assumptions cannot be probed by the use of
neuroscientific tools like fMRI or EGG, allegedly enabling researchers to
control or manipulate in any shape or form consumers’ behavior. Instead, it
offers a portal into consumer’s minds and enables the tracking, measurement
and extraction of information, that otherwise consumers are not capable of
supporting by themselves (biased self-reporting issue).
Hence, it needs to be considered the possibility that the use of
neuromarketing as a tool provides a competitive advantage to companies,
75
which could help identifying more reliably consumers’ choices through
experimental methods, before they could acknowledge them.
Even though, this hypothetical situation could be proven right it does not
impose a direct risk to the average consumer. Such a fear is not substantial
because most consumers will not have their brains scanned. This hypothesis is
only applicable in an experimental research scenario. Thus individual
consumer would never be likely targeted by neuromarketing techniques, as
they could never be direct subjects.
The truth behind the public fear towards anything that contains the word
“Neuro” is mainly drawn from misleading media. These generalizations tend
to label neuromarketing as a social hazard, but in reality most of the public
assumptions in regards to the potential risks are the result of conclusions
gathers only from small experimental samples that should not be intentionally
extrapolated and scaled up without all scientific evidences.
The idea of predicting consumers’ behavior by neuromarketing applications
(as a field of study), is very different from subconsciously manipulate
consumers against their wills. Therefore, any scientifically based prediction
on consumer behavior must not deny or undermine the cognitive capabilities
or the dignity of those consumers whose behavior is being predicted (Steven
Stanton, 2016).
76
5.1.2 The Dilemma of influencing consumer choice
This section tries to look further ahead of the common ethical issues, in order
to offer the reader with a forth-looking perspective on the plausible
subconscious application of neuromarketing in a hypothetical future scenario.
As it was explained earlier, the controversy of subliminal stimuli was also
joined by current social stigma in regards to the application of
neuromarketing to consumer research.
This controversy has lead the public to believe the commonly perceived
ethical issue of neuromarketing being able to directly influence consumers’
choice (conscious & unconsciously).
Looking further beyond on the existent influences, it could be proposed a
hypothetical context, in which “mind-control like” successful neuromarketing
techniques might take away from consumers’ self-control and thereof make
the products irresistible.
Then, it would be reasonable to ask the question whether, does
neuromarketing offer to fashion companies a unique and novel ability to be in
control of a “BUY” button in consumers’ brains?
It is important for this section to highlight the fact that neuroscience might
allow researchers to look into and improve predictability of consumers’
choice.
77
But there is yet no scientific evidence showing that neuromarketing could
force or purposely control consumers’ choice.
However, in contrast to this statement, according to Steven J. Stanton who
says that critics could still criticise it by saying that even if neuromarketing
cannot forcedly influence consumers, it can still have an impact in purchases.
Thereafter, anything that involves the inner workings of the consumers’
emotions and unconscious systems, can still affect them by influence of levels
below consumers’ consciousness (Steven Stanton, 2016).
Growing scientific evidence suggests that all the marketing stimuli that
consumers are exposed to have a deep impact on their preferences and
choices. It is believed that all consumers are exposed to 8.000 to 9.000
marketing messages everyday.
But most of marketing stimuli come from traditional marketing sources (i.e.
Internet, TV, Radio, Ads). The application of neuromarketing is not mature
enough as a method - thereof it cannot have an equal influence on consumers’
choice - when compared to conventional marketing and advertising strategies.
Critics might then argue that all unconscious stimuli – whether
neuroscientific or traditional marketing techniques – can potentially remove
or block self-control from consumers. Furthermore, this hypothesis conflates
consciousness with control; these are two different terms, with different
cognitive attributes (Suhler, 2009).
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques
Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques

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Understanding Online Consumer Behavior in Fashion E-commerce by the application of Neuromarketing Techniques

  • 1. Understanding online consumer behavior in fashion e-commerce by the application of neuromarketing techniques. B a c h e l o r ’ s d i s s e r t a t i o n V I A U n i v e r s i t y C o l l e g e B r a n d i n g & M a r k e t i n g m a n a g e m e n t W r i t e r : M i g u e l G a r c í a S á n c h e z ( 2 2 7 5 3 4 ) G u i d a n c e t e a c h e r : P a u l J o h n M c E l h e r o n 9 6 . 1 0 0 ( c h a r a c t e r s w i t h s p a c e s ) H a n d I n d a t e : 2 4 t h N o v e m b e r 2 0 1 7 S o u r c e : o w n i l l u s t r a t i o n
  • 2. II “The mind is like an iceberg, it floats with one-seventh of its bulk above water”. (Sigmund Freud)
  • 3. III Executive summary: E - c o m m e r c e a n d o n l i n e s h o p p i n g a r e t a k i n g i n c r e a s i n g r o l e s i n o u r l i v e s , a n d o n l i n e m a r k e t i n g i s p r o v i n g t o b e m o r e e ff e c t i v e t h a n t r a d i t i o n a l a d v e r t i s i n g c h a n n e l s , a l s o b e c o m i n g a f a s t e r w a y t o r e a c h c o n s u m e r s a n d c o m m u n i c a t i n g m e s s a g e s m o r e e f f i c i e n t l y . T h e f i n d i n g s f r o m t h i s r e p o r t s h o u l d i n d i c a t e t h e r e a d e r h o w t o u n d e r s t a n d c o n s u m e r s ’ d e c i s i o n - m a k i n g i n n e r w o r k i n g s . P u r p o s e : I m p r o v e t h e r e a d e r ’ s u n d e r s t a n d i n g o f c o n s u m e r s ’ i n n e r p r o c e s s e s t o o f f e r a b r o a d e r p r o c e d u r a l a n d p s y c h o l o g i c a l v i e w o n c o n s u m e r b e h a v i o r . M e t h o d o l o g i c a l c h a l l e n g e : H o w t o m e a s u r e , r e c o r d a n d i n t e r p r e t u n r e p o r t e d / u n d e c l a r e d c o n s u m e r s ’ r e a c t i o n s f r o m s e n s o r y s t i m u l i ( m a r k e t i n g i n p u t ) ? F o r t h i s p u r p o s e , t h e r e s e a r c h w i l l c a r r y o u t q u a l i t a t i v e i n t e r v i e w s f o l l o w i n g a s e m i - s t r u c t u r e d s c h e m e ( w i t h o p e n - e n d a n s w e r s ) t o m a r k e t p r o f e s s i o n a l s i n t h e f i e l d s o f c o n s u m e r n e u r o s c i e n c e a n d n e u r o m a r k e t i n g . F u r t h e r m o r e , a m o n g t h e d a t a c o l l e c t i o n t e c h n i q u e s t h i s r e p o r t u s e d s c i e n t i f i c j o u r n a l s a n d a r t i c l e s a s p r i m a r y s o u r c e s o f d a t a . T h e s e r a n g e d f r o m h i g h l y s t r u c t u r e d c o n s u m e r - b a s e d s t u d i e s , l a r g e t e s t s a m p l e s , m e a s u r e m e n t s , q u a n t i t a t i v e , a n d a l s o q u a l i t a t i v e s o u r c e s . H y p o t h e s i s : T h i s i s t h e a p p l i c a t i o n o f n e u r o s c i e n c e m e a s u r e m e n t t e c h n i q u e s ( P h y s i o l o g i c a l a n d n e u r o l o g i c a l b i o m a r k e r s ) i n t o t h e s t u d y o f c o n s u m e r s ’ b u y i n g b e h a v i o r .
  • 4. IV R e s e a r c h ’ s D e s i g n : T h e o r i g i n a l i t y a n d v a l u e o f t h e p r o b l e m f o r m u l a t i o n i s t o u n d e r s t a n d c o n s u m e r s ’ o n l i n e b u y i n g b e h a v i o r , i n a n E - c o m m e r c e c o n t e x t . W h i c h c o u l d p o t e n t i a l l y r e p r e s e n t a c o m p e t i t i v e a d v a n t a g e f o r m a r k e t e r s t o t a k e r i g h t c u s t o m e r - o r i e n t e d a d v e r t i s i n g s t r a t e g i e s . T h e a p p l i c a t i o n o f n e u r o s c i e n c e t o m a r k e t i n g a n d c o n s u m e r s t u d i e s ( t r a d i t i o n a l m e t h o d s ) c o u l d b e a c h i e v e d b y m e a s u r i n g t h e m a r k e t i n g s t i m u l i f r o m a d v e r t i s i n g ’ s i n p u t . T h e a d d e d v a l u e o f n e u r o m a r k e t i n g c o u l d b e a c o m p e t i t i v e a d v a n t a g e f o r o n l i n e f a s h i o n c o m p a n i e s t o s t r e n g t h e n o n l i n e m a r k e t i n g c h a n n e l s a n d c a m p a i g n e f f e c t i v e n e s s t h a n k s t o a b e t t e r i n t e r p r e t a t i o n o f c o n s u m e r s ’ b u y i n g b e h a v i o r . R e s u l t s : N e u r o m a r k e t i n g c o u l d e n a b l e a c l o s e r i n t e r p r e t a t i o n o f c o n s u m e r s ’ r e s p o n s e s f r o m e m o t i o n a l u n d e r l a y t r i g g e r s a n d u n c o n s c i o u s p r o c e s s e s o r p r o t o c o l s . T h i s c o u l d o f f e r n e w e r i n s i g h t s i n t o h o w t h e s u b c o n s c i o u s l e v e l s o f c o n s u m e r s ’ m i n d w o r k - r e d u c i n g t h e r i s k o f s e l f - r e p o r t i n g b i a s f r o m c o n s u m e r s ’ r e s p o n s e s - w h i c h h a s b e e n t h e o b s t a c l e i m p e d i n g t h e m e a s u r e m e n t o f u n r e p o r t e d t h o u g h t s . T h e r e i s a l a c k o f a c c e p t e d m e t h o d s a n d m o d e l s f r o m s c i e n t i f i c a c a d e m i a d u e t o t h e s u b j e c t ’ s n o v e l t y . F u r t h e r t h e o r e t i c a l l i m i t a t i o n s c o u l d c a r r y s i t u a t i o n s i n w h i c h t h e r e c o u l d b e a m u l t i p l i c i t y o f w a y s t o i n t e r p r e t t h e s a m e c o n s u m e r s ’ r e s p o n s e s . T h i s i s c a u s e d b y t h e u n e v e n n a t u r e o f a v a i l a b l e s c i e n t i f i c d a t a i n t h e f i e l d o f n e u r o m a r k e t i n g . T h e r e f o r e , i t c o u l d b e d i f f i c u l t f o r p r a c t i t i o n e r s t o f o r m u l a t e u n i f o r m d i a g n o s e s . C o n c l u s i o n s : T h e a p p l i c a t i o n o f n e u r o m a r k e t i n g f o r c o n s u m e r - b a s e d s t u d i e s h a s r e l a t e d a s s o c i a t i o n s t o m a n i p u l a t i o n a n d o t h e r s o c i a l s t i g m a s . T h i s r e s e a r c h w i l l p r o v i d e t h e r ea d e r w i t h a b r o a d f i e l d o f s c o p e r e g a r d i n g a l l e t h i c a l a n d m o r a l i m p l i c a t i o n s f o r c o n s u m e r s a n d p r i v a t e c o m p a n i e s . T h i s w i l l b e p o s s i b l e b y t h e A x i o l o g y , w h i c h i s t h e r e s e a r c h e r ’ s v i e w o f t h e r o l e o f v a l u e s i n c o n s u m e r b e h a v i o r . T h e o f f e r e d c o n c l u s i o n s t h r o u g h o u t t h e r e s e a r c h a r e
  • 5. V u n d e r t a k e n i n a v a l u e - f r e e w a y , k e e p i n g t h e n a r r a t i v e i n d e p e n d e n t o f t h e d a t a t o o f f e r t h e r e a d e r a n o b j e c t i v e s t a n c e . R e c o m m e n d a t i o n s : T h e f u t u r e g o a l f o r p r i v a t e c o m p a n i e s s h o u l d n o t o n l y b e t o c r e a t e a m o r e c o n s i s t e n t t h e o r e t i c a l f r a m e w o r k . B u t a l s o t o c o n s i d e r t h e a p p l i c a t i o n o f n e u r o m a r k e t i n g t e c h n i q u e s t o o t h e r m a r k e t i n g - r e l a t e d c h a n n e l s , i n w h i c h t h e s t u d y o f c o n s u m e r s ’ b e h a v i o r c o u l d i m p r o v e o r i n n o v a t e o t h e r c o m p a n y a r e a s ( i . e . p r o t o t y p e t e s t i n g , U X t e s t i n g , e - c o m m e r c e s i t e - n a v i g a t i n g t e s t i n g , 3 D s i m u l a t i o n s , V R , p a c k a g i n g a n d i n - s t o r e r e t a i l a m o n g o t h e r s ) . K e y w o r d s : C o n s u m e r b e h a v i o r , n e u r o s c i e n c e , o n l i n e m a r k e t i n g , f a s h i o n e - c o m m e r c e , n e u r o m a r k e t i n g .
  • 6. VI Table of Contents 1 . IN T R O D U C T IO N .......................................................................................... 9 1.1 PR O B L E M F O R M U L A T I O N .................................................................................. 12 1.2 LI T E R A T U R E R E V I E W ....................................................................................... 13 2 . W H A T IS T H EO R Y O F SCIEN CE? ................................................................ 1 6 2.1. D I F F E R E N C E S B E T W E E N T H E O R E T I C A L A P P R O A C H E S .......................................... 17 2.1.1 Positivism ................................................................................................ 18 2.1.2 Realism & Critical Realism ...................................................................... 19 2.1.3 Interpretivism - Social constructivism ................................................... 21 2.2 O N T O L O G Y ..................................................................................................... 21 2.3 EP I S T E M O L O G Y ............................................................................................... 23 2.4 M E T H O D O L O G Y ............................................................................................... 24 2.4.1 Tools and M ethods ................................................................................... 26 2.4.2 D elim itation ............................................................................................. 27 2.4.3 Em pirical m ethods ................................................................................... 28 3 . D ISC U SSIO N .............................................................................................. 2 9 3.1 TR A D I T I O N A L C O N S U M E R -B A S E D R E S E A R C H M E T H O D S ........................................ 29 3.1 TH E S T U D Y O F C O N S U M E R B E H A V I O R - SU B -Q. 1 ................................................ 31 3.2 CO N S C I O U S T H I N K I N G B U Y I N G B E H A V I O R - SU B -Q. 2 .......................................... 36 3.3 SE L E C T I O N B U Y I N G P R O C E S S - SU B -Q. 2 ............................................................ 38 3.4 TH E R O L E O F E M O T I O N S I N C O N S U M E R B E H A V I O R .............................................. 40 3.5 N O N -C O N S C I O U S T H I N K I N G B U Y I N G B E H A V I O R - SU B -Q. 2 ................................... 43 3.5.1 ZM ET® technique by D r. Gerald Zaltm an ............................................... 44 3.5.2 ZM ET® application to consum er-based research ................................... 46 3.8 H E U R I S T I C S ................................................................................................... 49
  • 7. VII 4 . A N A LY SIN G O N LIN E CO N SU M ER B EH A V IO R IN FA SH IO N E-CO M M ER CE CO N T EXT - SU B -Q . 2 ..................................................................................... 5 1 4.1 CA S E S T U D Y - SE LE CTE D® ............................................................................ 56 4.2 IM P L I C A T I O N S I N O N L I N E C O N S U M E R B U Y I N G B E H A V I O R ..................................... 61 4.3 CO N T R I B U T I O N S O F N E U R O M A R K E T I N G T O O N L I N E C O N S U M E R B E H A V I O R – SU B Q. 3 .......................................................................................................................... 62 4.4 N E U R O M A R K E T I N G T E C H N I Q U E S I N E-C O M M E R C E C O N T E X T - SU B -Q. 3 ................. 66 4.4.1 Part-conclusion Sub-Q.3: ......................................................................... 69 5 . ET H IC A L V IEW S IN N EU R O M A R K ET IN G - SU B -Q .4 ..................................... 6 9 5.1 ET H I C A L I S S U E S I N C O N S U M E R B E H A V I O R - SU B -Q.4 .......................................... 71 5.1.1 The D ilem m a of predicting consum er choice .......................................... 73 5.1.2 The D ilem m a of influencing consum er choice ......................................... 76 5.1.3 Part-conclusion Sub-Q.4 .......................................................................... 78 5.2 N E U R O M A R K E T I N G ’S A P P L I C A B I L I T Y F O R O N L I N E F A S H I O N C O M P A N I E S SU B -Q.5 ... 79 5.2.1 Part-conclusion Sub-Q.5 .......................................................................... 80 6 . P A R T C O N C LU SIO N S & FIN A L CLO SIN G ..................................................... 8 1 6.1 R E C O M M E N D A T I O N S ........................................................................................ 85 6.2 R E F L E C T I O N ................................................................................................... 88 6.3 FU T U R E I N V E S T I G A T I O N S ................................................................................ 89 B IB LIO G R A P H Y ............................................................................................ 9 0 A PPEN D IX 1. ................................................................................................ 9 5
  • 8. 9 1. Introduction Understanding online consumer behavior in fashion E-commerce by the application of Neuromarketing techniques. The technological advances that are taking place today in the fields of consumer neuroscience are making Neuromarketing emerge as a new tool for E-commerce companies to study consumer behavior. More over, the Neuromarketing appearance in the research scene has also been termed as consumer neuroscience. For decades practitioners of marketing have been trying to uncover the mysteries of the consumer’s mind, in an effort to improve targeting and successfully market the products and services to consumers. (Dutta, 2015) This rapid growth in Neuromarketing research has been supported by other sciences in order to study the consumers’ brain. The application of psychological and physiological sciences on the Study of Neuromarketing technique’s can greatly enhance a better and deeper understanding of buying behavior and cognition (Zielinski, 2016). Certain advancements on consumer behavior can be applied to online fashion e-commerce. The increasing demand and importance of e-commerce is drawing more attention towards online consumer behavior research (Laura Macchion, 2017).
  • 9. 10 Therefore the marketing industry is focusing brands, designers and marketers to become skilled and trained in the new marketing field to broaden their understanding on the inner workings of customers’ minds and to better understand buying processes. The primary focus of studying online consumer behavior is to offer a better understanding of marketing stimuli, by observing and interpreting cognition, emotions and behavioural patterns. (Zielinski, 2016). Thus, is equally important for this report to offer a relevant overview of the practical applications of Neuromarketing into online consumer behavior within a fashion E-commerce point of view. Although, there are many research studies about Neuroscience, Neuromarketing and Online consumer behavior it is still uncertain, whether or not we actually understand consumer-buying processes. In fact we are still very distant from fully understanding consumers’ minds. Despite the significant progresses in various sciences focused in this particular area, Neuromarketing has not yet established reliable models accepted by researchers. This means that the practical application of Neuromarketing techniques is relatively fragmented and underdeveloped by private companies (Zara, 2013). In regards to the Neuromarketing dichotomy and the market’s lack of cohesion, this report will review possible competitive advantages for E- commerce fashion companies by using Neuromarketing techniques.
  • 10. 11 By this, it is intended to offer a more comprehensive explanation of the strategic possibilities, benefits and ethical implications of Neuromarketing as a tool to study consumer behaviour.
  • 11. 12 1.1 Problem formulation However, as mentioned earlier along the introduction, the structure of this report will try to synthesize only relevant content in order to answer the formulated research questions, these are: Understanding online consumer behavior in fashion E-commerce by the application of Neuromarketing techniques. Therefore, the aim is to answer the following sub-questions. • Sub-Q 1: How can online fashion companies benefit from understanding consumer behavior? • Sub-Q 2: How can consumers buying behavior models be used to understand the role of fashion companies in the buying process? • Sub-Q 3: What Neuromarketing techniques can be used to improve E- commerce impact in online customer experience? • Sub-Q 4: What are the ethical & moral implications of Neuromarketing use and its misuse?
  • 12. 13 1.2 Literature review The literature review will try to provide to the reader of this report with insights into certain specific areas of consumer behavior that companies might face when defining their E-commerce strategic direction. By this is meant to study and explain some of the challenges that Fashion companies might encounter regarding conventional consumer-based research tools and the application of Neuromarketing strategies for the study of consumer behavior. This report brings together two key terms, which are Online Consumer behavior and the influence of Neuromarketing techniques. According to Simone Oude, marketing coordinator at the Neuromarketing Science & Business association (NMSBA). The rational behind Neuromarketing is that human decision-making is not so much a conscious process. (Zielinski, 2016). In comparison with existing academic knowledge from the author Christophe Morin, It shows that traditional marketing research methods have aimed to explain and predict the effectiveness of advertising. However, former marketing theories and methods have failed to offer reliable answers regarding consumer-buying behavior. (Morin, 2011) Traditional marketing methods are starting to become obsolete, as shown in numerous consumer-based studies spanning as early as the 8Marketers have been struggling to find answers to the question of what do consumers really want?
  • 13. 14 Moreover, a detailed comparison between conscious and unconscious consumer behavior will try to broaden you understanding, with the application of research techniques such as The Zaltman metaphor elicitation technique (ZMET®) among others. The need to understand consumer behavior is becoming a clear trend among E-commerce companies to look into the complexity of the buying processes (Zara, 2013). Current Consumer behavior thinking does not discount these theories, instead builds upon them, to offer a better conceptualization of consumers’ understanding. Christophe Morin argues that consumers’ emotions are strong mediators of how humans process marketing stimuli (Morin, 2011). Therefore, understanding and modelling cognitive responses through the application of Neuromarketing into consumer behavior represents the methodological challenge that online fashion companies will be facing in the future. For instance, most of the current consumer-based research primarily relies on the consumer’s ability to report their feels or emotions. This is mainly achieved through traditional face-to-face interviews, online surveys or focus groups (Morin, 2011). Such techniques have considerable limitations and they are becoming out- dated, and quickly being surpassed by new technological demands. The assumption that consumers are able to describe their own cognitive processes by objectively reporting their thoughts is simply wrong.
  • 14. 15 One must consider the cognitive processes, which take place in consumers’ buying behavior and that this represents many more subconscious components that cannot be effectively measured by conventional marketing methods. In consequence, this is why the application of Neuromarketing techniques to the study of online consumer behavior can partially or totally eliminate numerous factors distorting the verbal reporting of consumers’ feelings. In other words, the systematic measurement of brain impulses through Neuromarketing tools such as EEG, eye-tracking or Galvanic response tests can thereof ensure objective evidence, unbiased, measurable and reliable scientific data. The application of Neuromarketing techniques could allow marketers to probe the consumers’ brain in order to understand the subconscious processes. This would allow fashion companies to remove uncertainty regarding the trusting issue that conventional consumer-based research faces. Which is the ability of consumers to report in an objective way, how are they affected by specific online advertising strategies? (Morin, 2011) The future development of such a Neuromarketing techniques could potentially offer exciting methodological alternatives in order to study online consumer behavior. The complex process of online consumer behavior is an important part or this consumer-based research. Thus, to understand better the consumers’ mind it would require an in-depth analysis of economic, social, cultural, and
  • 15. 16 psychological as well as intra-personal factors in order to use the proper research method. 2. What is Theory of science? Moving on to the next section and after having clarified the purpose of the research, through the problem formulation and literature review, then it is recommended to look into the appropriate theory of science for this specific type of research. “Theory of science is a philosophical discipline that is about studying the methods, norms and backgrounds of science. For instance, theory of science will help corroborating when a theory can be proven if it can at all be tested and objectively validated by consistent results or facts” (Thornhill, 2009).
  • 16. 17 2.1. Differences between theoretical approaches The different theories of science can lead the research in different directions; each direction will provide an individual theoretical background to the research. The importance of choosing the right theory of science at the beginning of the research is a crucial component, as this will shape how the primary problem statement is researched, studied and interpreted through the ontology and the epistemology sections (Thornhill, 2009). The ontology and epistemology will be defined later on, in the following section when they come into use. Due to the large amount of research variations within a given theoretical approach, this research study will look into three of them. The desired approaches will all be noticeably different to ensure a clear representation of the overall different variations found within theory of science. The three chosen epistemological approaches are: • Positivism • Realism & Critical realism • Interpretivism - Social constructivist
  • 17. 18 2.1.1 Positivism As in many ways science tries to explain the universe, the study of consumer behavior tries to explain the rational and irrational side of the human mind. This first philosophy is relevant to the research due to the fact that Positivism relies only on observable phenomena, which can provide credible sources of data (“natural phenomena”). That is, the collection of data solely from sensory experience which can be obtained through the five senses; smell, touch, taste, hearing and sight. It focuses on causality and law like generalizations, reducing phenomena to simplest elements. Inner sensory experiences as emotions, memories or dreams are raw sources of data if positivism considers the human subconscious as a scientific field in order to study it. Additionally positivism is not only a single interpretation of what science is but also a set of criteria for how science is created. First by the application of scientific tools (Neuromarketing example, eye- tracking systems, fMRI scans) independent and objective data is collected. Based on these observations a hypothesis can be use in order to be validated. Secondly more tests and observations should be conducted to prove the hypothesis. Lastly when the criteria is proven and validated through objective, impartial and unbiased quantitative results then it can be considered true by positivism theories.
  • 18. 19 This theory can explain why the structure of the research uses a hypo- deductive approach to the reasoning done on the argumentation of the problem formulation. F i g u r e 1 T h e H i e r a r c h y o f M e t h o d s f o r P o s i t i v i s m t h e o r y ( M o s e s , 2 0 1 2 ) 2.1.2 Realism & Critical Realism Realism theory considers the world as objective phenomenon, that exists independently of human thoughts and beliefs or knowledge of their existence (realist), but is interpreted through social conditioning (critical realist), (Thornhill, 2009) p.119. It was originally termed by Roy Bhaskar; this holistically based theory is an alternative to the traditional positivism theories (Thornhill, 2009).
  • 19. 20 In comparison, Realism philosophy is said to lie between Positivism and Interpretivism. There are two different concepts that contribute this way of thinking, which are the intransitive level and the transitive level. The intransitive level deals with the world as on objective phenomenon (objective world), as much as positivism does, however insufficient data can lead the researcher to inaccuracies in emotions (direct realism). This can bring valuable insights to consumer research, since it tries to find what lies outside the human consciousness and the consumers’ cognition by measuring psychological and physiological biomarkers. In contrast, what distinguishes critical realism from positivism is that even though true science comes from the intransitive level (objective world), it has to go through the transitive level (subjective), the social sphere, to be validated. Such a transitioning gap between thinking can create confusion or uncertainty, meaning that through realism the research can get close to the truth, but this assumption cannot be fully validated as objective impartial facts or scientific truth. Alternatively, phenomena can create emotions, which are open to misinterpretation (critical realism). The primary obstacle from the transitive level is that humans present bias behaviours, which will be discussed in 3.7, by the application of heuristics.
  • 20. 21 2.1.3 Interpretivism - Social constructivism The core assumption of Social constructivism relies upon the interpersonal relations among consumers. What it argues is that the interpretation of the real world is achieved by the human interactions. In other words, it is the human interactions and the way consumers interpret reality, what makes the social construct of the world (Thornhill, 2009). For instance, a social construct analogy could be exemplified by the concept of “money” or our current monetary system. Money does not have real value or have any physical attributes, in the sense that a consumer cannot breathe, drink or eat money. On the other hand, the concept of money by interpersonal relations is the human aspect interpreting the value of money in a social context (this is what makes money real). Consequently social constructivism argues that all individuals belonging to a social community are directly responsible for the construction of the reality they live in. 2.2 Ontology Once the three different research philosophies have been understood it is necessary to consider which one or a combination of them is more suitable for the research, in order to answer the stipulated problem formulation. The first step is to choose the ontology, which symbolizes the researcher’s view of the nature of reality or being.
  • 21. 22 For such a purpose the problem formulation aims to study consumer behavior within the Fashion E-commerce industry by the application of Neuromarketing and Consumer Neuroscience techniques. Due to the relation of the type of research and the consumer goods industry it could be argued that objective phenomena in the form of measurable unbiased data seems like a suitable research method. However, realism also seems like a possible alternative to look into the interpersonal factors that rely on consumer interactions. Although as the research will show, the interpersonal factors influencing consumer behavior are only a fraction of the data. This is caused by the facts that individual consumers are more prompt to make irrational decisions at a subconscious level. Therefore, displacing the human interrelations towards subjective secondary data. As result of the two previous theories of science, social constructivism is not as suitable for the research. There are several reasons why, mainly the social interpretation of the world does not offer an objective unbiased source of data for the research. This type of theory of science is heavily influenced by subjective meanings and social phenomena. F i g u r e 2 O n t o l o g y & E p i s t e m o l o g y r e s e a r c h s t r u c t u r e , O r i g i n a l i n t e r p r e t a t i o n B y T o r G . J a k o b s e n ( J a k o b s e n , 2 0 1 3 ) .
  • 22. 23 This is because the emotions, human interactions, feelings and many other triggers can unconsciously influence consumers’ reactions, thereof making the consumer unable to report them. But the reality is that the answer underlies at a much deeper subconscious level that can only be measured and verified by the application of consumer neuroscience techniques. 2.3 Epistemology The last step prior the research methodology has to be taken in order to argue for the application of the theories of science. This is the epistemology, which symbolizes the researcher’s view regarding what constitutes acceptable knowledge. Therefore, the aim is to understand how can collected data be then converted into true knowledge. Thus, as previously mention in the introduction, understanding and interpreting emotions and unconscious thoughts triggered by sensory input is the methodological challenge - in order to present objective criteria - which is the root of what is considered true knowledge in positivism and realism. Thus, the epistemology will have a considerate influence on the methods used in this research in consequence the obtained scientific results have to validate the hypothesis with testable, falsifiable and factual data1 . 1 F r o m t h e L a t i n : F a c t u m , a statement of the facts of a case
  • 23. 24 For the focus of this consumer-based research problem formulation, Positivism will be used as a combination of scientific methods to provide credible data, facts and measure consumers’ unreported responses by observable phenomena. Also, Realism will be combined with Positivism, as a way to interpret objective facts by observing reality; these two theories are the desired theoretical framework in order to conduct this report 2.4 Methodology The definition of methodology can be understood as the logic behind the methods chosen, that is, the choice of analytical strategy and research design, which underpins substantive research (source, 2017). This is mainly why the chosen methodology is heavily dependent on the theory of science. Furthermore, the proposed philosophy is importantly influenced by the epistemology, with which dictates what is accepted as true knowledge and what is not.
  • 24. 25 The research’s design will use a combination of different features from grounded theory and content analysis to structure the research’s framework: T a b l e 1 D i s t i n g u i s h i n g C h a r a c t e r i s t i c s o f D i f f e r e n t Q u a l i t a t i v e D e s i g n s s o u r c e : p . 2 7 6 ( T h o r n h i l l , 2 0 0 9 ) For instance, using second hand data collected from opinions (subjective world) of participants would not be fitting with a positivistic epistemology, as this approach only accepts objective observations derived from a natural setting, as true knowledge. Due to this the methods selected to obtain data in regards to the problem formulation have to be consistent with the chosen epistemology. This is where the combination of realism works in synergy with Positivism and therefore accepts a broad selection of methods, which involves both qualitative methods and quantitative methods in relation to data collection (Thornhill, 2009).
  • 25. 26 2.4.1 Tools and Methods Primary data will be collected through interviews from market professionals and neuromarketing specialists to obtain the information needed to offer a possible solution to the focal problem formulation (Kvale, 2002). Scientific articles and journals will be used as primary sources of data to build the argumentation of the research. Most of the information involved and used for this research is scientific evidence-based data from consumer behavior studies. Primary data: scientific evidence-based (objective), measurable quantitative data. Reducing the risk of “consumers’ self-report bias” (qualitative/subjective), by using scientific tools to track, measure and interpret unreported raw sources of data. Among other sources of primary data, this report counts with the following: • Quantitative data: dissertations, laboratory experiments, patents, studies reported in scientific journals (i.e. Psychological, Behavioral, Sociological, Neurological, Neuroscientific and economical journals), surveys reported in journal articles, technical reports, and other related proceedings. • Qualitative data: sources of criticism and interpretation (i.e. ZMET®), neuromarketing seminars, conference papers, diaries, interviews, literature publications, tables, moral & ethical aspect, public opinion, reviews and social policies.
  • 26. 27 Secondary data: could be use as second hand information that third parties have created or put together. The secondary research or desk research, can involve online information from third parties, for instance population figures from “The World Fatbook (CIA, 2017) or statistical information made available by public institutions or governments (i.e. www.dst.dk). Other sources of secondary information could come from data agencies, industry and trade associations, labour unions or chambers of commerce (Zara, 2013). 2.4.2 Delimitation Due to the extent of the Consumer neuroscience and Neuromarketing complexity, this research will try to limit the field of scope to narrow the focus towards the implications for online consumer behavior in a fashion e- commerce context. And thereof, prioritize consumer behaviour as the focal point within which the research unfolds.
  • 27. 28 2.4.3 Empirical methods As stated earlier, under 2.4.1 tools and methods, interviews will be conducted for this research. The interview to Bitbrain® was carried in order to gather insights and support the answer to the problem formulation. Thereof, the questions followed a semi-structure format, meaning that the overall approach to consumer behavior will be the theme although some neuromarketing specific fixed questions were asked throughout. Despite of the semi-structured questions, the interview also allowed the research to elaborate related questions to the study of consumer behavior. In this case the overall theme was focused upon how consumers’ online buying behavior is influenced by different variables. Furthermore, the output from interviewing Maria2 and Javier3 also uncovered the intentions and feelings behind the interviewees’ actions regarding the application of neuromarketing tools to consumer-based research (Kvale, 2002). 2 M a r í a Á n g e l A s o S i p á n , D e p a r t a m e n t o d e A d m i n i s t r a c i ó n a t B i t B r a i n ® & U s e n n s ® 3 J a v i e r M i n g u e z , P h . D . C o - f o u n d e r o f B i t B r a i n T e c h n o l o g i e s N e u r o s c i e n c e P r o f e s s o r , U n i v e r s i t y o f Z a r a g o z a , S p a i n .
  • 28. 29 3. Discussion It is very important for the reader to understand how consumer research has shifted from old-fashion surveys, questionnaires and focus groups towards scientific tools. 3.1 Traditional consumer-based research methods Traditional online research methods: Several tools have been repeatedly used in order to conduct online consumer research. Marketers have traditionally used surveys for many years, and they come in different forms. This method can be used to extract specific information from consumers and they are relatively inexpensive. The downside is that the usual response rate is quite low and the responses might not always reflect what the consumer really wants (instead, the consumer answers what they think they want). On the other hand, a potential benefit of online surveys is the use of “conditional branching”. Interviews have always been considered as an effective tool to involve in- depth questioning about the consumers’ interest in experience with a product. This research method can be costly and vulnerable to interviewer bias. Observation of consumers can be a powerful tool if the marketer knows where to look at. Observing how consumers look at product and features can yield insights into how online products could be targeted. Focus groups can be a fast, efficient and inexpensive research method to conduct online qualitative research.
  • 29. 30 Different market research techniques, Table 2: F o c u s g r o u p s Q u e s t i o n n a i r e s C o m p a r i s o n s M a r k e t t e s t T e c h n i q u e N o t s u i t a b l e f o r s t a t i s t i c a l a n a l y s i s . O p e n - e n d a n s w e r s . B o d y l a n g u a g e . C o n s u m e r ’ s b i a s . I n t e r v i e w e r ’ s b i a s C o m p a r i s o n s b e t w e e n p r o d u c t a t t r i b u t e s / f e a t u r e s . P r e f e r r e d c h o i c e a m o n g p r o d u c t s P u r c h a s i n g l i k e a b i l i t y . P r o d u c t p e r f o r m a n c e . M a r k e t i n g p e r f o r m a n c e . C o n s u m e r ’ s c h o i c e T y p e o f r e s p o n s e s A s s u m p t i o n s b a s e d o n o b s e r v a t i o n s ( s p e c u l a t i v e a p p r o a c h ) I n t r o s p e c t i v e . C o n s u m e r i n t e r p r e t a t i o n b a s e d u p o n t h e a s s e s s m e n t o f r e s p o n d e n t s d e c i s i o n b y t h e i r t h o u g h t s a n d e m o t i o n s . B u y i n g c h o i c e w i t h n o i n c u r r i n g e x p e n s e s ( h y p o t h e t i c a l a p p r o a c h ) R e a l c h o i c e w h e t h e r t o b u y o r n o t . C o m m o n a p p l i c a t i o n B e g i n n i n g o f r e s e a r c h : i t c o u l d h e l p d e s i g n i n g a n d t e s t i n g t h e p r o b l e m f o r m u l a t i o n , ( p r o s p e c t i v e ) D e s i g n p h a s e : v a l i d a t i n g t h e i m p o r t a n c e o f c o n s u m e r c h o i c e . D e s i g n p h a s e : v a l i d a t i n g t h e i m p o r t a n c e o f c o n s u m e r c h o i c e – i t c o u l d a l l o w b e h a v i o r f o r e c a s t i n g . E n d o f r e s e a r c h : i t c o u l d h e l p m e a s u r i n g a n d f o r e c a s t i n g c o n s u m e r b e h a v i o r i n r e l a t i o n w i t h o t h e r m a r k e t i n g f a c t o r s . R i s k / c o s t s H i g h r i s k o f d a t a m i s u s e . L o w c o s t . M o d e r a t e e f f i c a c y . M o d e r a t e r i s k a n d c o s t . M o d e r a t e r i s k a n d c o s t . H i g h r i s k a n d h i g h c o s t s . S p e c i f i c r i s k o f r e v e r s e - e n g i n e e r i n g b y c o m p e t i t o r s - D e g r e e o f c o m p l e x i t y M o d e r a t e L o w M o d e r a t e H i g h l y s p e c i a l i z e d . T a b l e 2 : T r a d i t i o n a l m a r k e t r e s e a r c h m e t h o d s c o m p a r i s o n . S o u r c e : A d a p t e d f r o m C l a u d i a & C r e s c i t e l l i p . 1 2 8 ( C l a u d i a A l m e i d a C o l a f e r r o , 2 0 1 4 )
  • 30. 31 3.1 The study of consumer behavior - Sub-Q . 1 • Sub-Q 1: How can online fashion companies benefit from understanding consumer behavior? The most common practice to look in order to study consumer behavior is the buying decision processes. Despite all the literature that has been written regarding the consumer buying process by authors like Koetler, it still is a subject in which a lot of misconceptions have been used in means to explain this complex behavior. For instance as Kotler used to define it: Quote - ‘‘it is the buying behavior of final consumers-individuals and households that buy goods and services for personal consumption’’ pp. 134- 135 (Kotler & Armstrong, 2014). But in reality is much more than that; it involves thousands if not millions of subconscious impulses triggering senses in the consumers’ brain. In contrast to Sandhusen who described it as: Quote - ‘’An understanding of consumer behavior is critical during all stages of the strategic planning process, from setting objectives through implementation and control. Key to understanding of consumer behavior is an understanding of the intra-and interpersonal influences that trigger the buyer decision process and the dynamics of this process’’ p.117 (Sandhusen, 2000).
  • 31. 32 F i g u r e 3 : “ B l a c k b o x ” m o d e l t o s t i m u l i , c o n s u m e r c h a r a c t e r i s t i c a n d d e c i s i o n p r o c e s s e s i n t e r a c t i n g b y e l i c i t i n g c o n s u m e r r e s p o n s e s . S o u r c e : R i c h a r d S a n d h u s e n p . 2 1 8 ( S a n d h u s e n , 2 0 0 0 ) Given these two definitions, the core element when looking at consumer behavior involves observations of consumers in the buying process, from the initial search stage until the moment of purchase as well as post-purchase stage (Claudia Almeida Colaferro, 2014). The old 5-stage consumer buying-decision model refers to the following: F i g u r e 4 B u y e r d e c i s i o n - m a k i n g s t a g e s m o d e l o r i g i n a l b y K o e t l e r & A r m s t r o n g p . 1 5 2 ( K o t l e r & A r m s t r o n g , 2 0 1 4 ) The assumption was that this model is a fixed decision process from which every consumer goes through while purchasing a product. Thus, it is necessary to stress that in more routine purchases, consumers often skip or reverse some of the stages (Kotler & Armstrong, 2014).
  • 32. 33 This model has become out-dated since it doesn’t measure other consumer factors influencing their behavior. For instance, the investigation done in consumer buying decision process by the authors Schiffman and Kanuk, bring together variables such psychological, social and cultural factors (Claudia Almeida Colaferro, 2014). F i g u r e 5 C o n s u m e r d e c i s i o n m o d e l , o r i g i n a l b y ( S c h i f f m a n & K a n u k , 2 0 0 0 ) p . 4 0 0 As it can be seen in the model, there are three different variables influencing buying decisions.
  • 33. 34 •Input variable or external variables •Process variables / external variables (influenced by consumers psychology) •Output variables (previous consumer experiences) Another out-dated misconception from previous consumer behavior understanding was that behavior is interpreted as stochastic4 . This is particular approach to consumer behavior, as a statistical prediction yet, not ensuring a precise pattern on the behavior. It is what has made the study of consumer behavior an uncertain field for researchers. According to the authors Robertson et al consumer behavior is stochastic, therefore only probabilities of certain specific factors can be determined (Robertson, 1984). But as researchers are finding more about how to interpret consumer behavior data, other buying decision models are replacing the conventional methods (Claudia Almeida Colaferro, 2014). In contrast with other ideas from the author Solomon (2002) an updated view on consumer behavior is proposed, and presented as the following. This is an overview of how different scientific disciplines can be used to research questions on a given specific behavior in fashion E-commerce. 4 S t o c h a s t i c m e a n s h a v i n g a r a n d o m p r o b a b i l i t y d i s t r i b u t i o n o r p a t t e r n t h a t m a y b e a n a l y s e d s t a t i s t i c a l l y b u t m a y n o t b e p r e d i c t e d p r e c i s e l y .
  • 34. 35 F ields of study: R esearch questions: Experimental psychology: the relationship of online ads in the process of perception, learning and memory. Clinical psychology: the role of online consumer- based targeting. Psychoanalysis 5 : The introspective view of consumers’ subconscious relationship. Social psychology: The study of consumers as part of member of social groups (i.e. sub-cultures) Sociology: the interactions between consumers, institutions, products and social groups. Macroeconomics: the relationship between product targeting, the consumer and the market (i.e. purchasing power, social status, market trends) Semiotics is the verbal and visual communication of product meaning to consumers in relation with the role of emotions. Philosophy: to look into the ethics of neuromarketing in consumer behavior research. Cultural anthropology: involves the beliefs and behavior of society to advertising How design aspects of online fashion are recognized and interpreted by the consumer. What specific aspects are most likely to be the focus of attention? How these can impact the consumers’ self- consciousness. How can consumers desire a product through specific consumer-based targeting? How peers can pressure and influence the attitudes of consumers based upon online marketing stimuli or advertising. The consumer patterns by which preferences for a brand can spread within different social groups (i.e. social media platforms) How economics affects the buying process in online consumers. How underlay/subconscious messages are conveyed to the consumers by models and marketing stimuli. How moral and ethical issues emerge from consumers, as result of subliminal associations. Differences of buying behavior between males and females. T a b l e 3 A p p l i c a t i o n o f d i f f e r e n t s c i e n t i f i c d i s c i p l i n e s t o s t u d y c o n s u m e r b e h a v i o r . S o u r c e : A d a p t e d f r o m S o l o m o n p . 4 1 ( S o l o m o n , 2 0 0 2 ) . 5 P s y c h o a n a l y s i s i s a s y s t e m o f p s y c h o l o g i c a l t h e o r y a n d t h e r a p y , w h i c h t o i n v e s t i g a t e t h e i n t e r a c t i o n o f c o n s c i o u s a n d u n c o n s c i o u s e l e m e n t s i n t h e m i n d , a n d b r i n g i n g r e p r e s s e d f e a r s a n d c o n f l i c t s i n t o t h e c o n s c i o u s m i n d b y t e c h n i q u e s s u c h a s d r e a m i n t e r p r e t a t i o n a n d f r e e a s s o c i a t i o n .
  • 35. 36 3.2 Conscious thinking buying behavior - Sub-Q . 2 There is clear evidence that interdisciplinary approaches need to be taken into consideration for the study of consumer thinking and behavior. In order to exploit new opportunities marketers will need to now how consumers think and act, incorporating new research regarding the application of Neuromarketing techniques can support it (Sharp, 2013). The reason behind this statement is that conscious and more interestingly unconscious dynamics need to gain more relevance in the study of consumers’ thinking processes. Moreover, by looking into thinking and behavior dynamics these can help determine more accurately consumer behavior, for ultimate commercial success (Zaltman, 2003). As it has been discussed in sub-question 2, the application of neuroscience on consumer-based research can help shedding truth on the former belief, which argued that consumers think in linear, hierarchical ways. Therefore, it is of particular importance to stress that this consumer misconception – as a well- reasoned, rational, linear thinking process – does not reflect all elements involved in the buying process. The former belief was: consumers make deliberate decisions by consciously contemplating (observing) the relative value of product attributes in relation to the probability that it actualizes the assigned value. Therefore, researchers still belief that consumers process information in logical ways to reach, develop and form judgments.
  • 36. 37 In the following figure 5 shown below, it can be used to illustrate how a modern interdisciplinary approach to consumer behavior could be done. But in reality, although consumers’ decisions may involve rational thinking as part of the buying process, this does not depict how consumers actually make buying decisions. Furthermore, upcoming neurological research applied to consumer behavior is starting to prove the opposite. This is, the fact that conventional conceptions on the consumer decision process now peg this kind of decision making as the exception rather than the rule (Zaltman, 2003). F i g u r e 6 C o n s u m e r b e h a v i o r v a r i a b l e s ( A n a l y s i s ) . S o u r c e : o w n a d a p t a t i o n f r o m i n s i g h t f u l c o n s u m e r a n a l y s i s b y ( Z a l t m a n , 2 0 0 3 ) p . 2 0 R e s e a r ch g o a l: m ea n i n g f u l c o n su m e r a n a ly s i s T o o l s: A p p li c a ti o n o f N e u r o m a r k e t in g t e ch n i q u e s t o i n t er p r et d a t a ( i . e. EE G , f M R I ) P u r p o s e : U n d er s t an d in g h o w m en t a l ac t i v i ty o c c u r s S o ci a l & P s y ch o lo g ic a l p r o c e ss es – c o n su m e r s e x p e r i en c e B i o l o g i c al p r o c e sse s t h a t p r o d u c e m en t a l a ct i v i t y P u r p o s e : F i n d i n g p a t t er n s o f b e h a v io r . L i n k i n g m ar k et i n g st i m u l i t o c o n su m e r s’ c o g n i t i o n U n d e r st a n d i n g c o n s u m e r s
  • 37. 38 3.3 Selection buying process - Sub-Q . 2 • Sub-Q 2: How can consumers buying behavior models can be used to understand the role of fashion E-commerce companies in the buying process? The section buying process is considered to be rather automatic, making consumers recall back individual habits, older memories as well as other unconscious processes. Among other factors, the selection process is greatly influenced by the consumers’ physical and social context (Heath, 2012). The consumer’s response to a given marketing stimuli is intrinsically linked to inner- emotions. The way in which the brain processes emotions as logical reasoning is separate from the actual emotional involvement along the selection process. Hence, emotions reside in both, the rational and irrational side of our brain, and in fact, both emotional systems communicate to each other without consumers acknowledging it (Heath, 2012).
  • 38. 39 These emotional systems have not been properly researched, but neurosciences are starting to show that the consumers’ emotional systems are closely linked (embedded) to our reptilian brain.6 This old inherited part of our brain is also related to the “fight or fly response”, and more importantly is the first force interacting on the selection process by shaping the thinking and behavior of all consumers (Sharp, 2013). The role of emotions as part of the buying process contributes to and are essential elements influencing how consumers make sound decisions (Zaltman, 2003). Example: Emotions as an active component in buying process applied to consumer-based research. For instance, in a hypothetical situation in which a fragrance brand wants to conduct a focus group in order to have insights into the selection process their customers go through. 6 T h e r e p t i l i a n b r a i n , t h e o l d e s t o f t h e t h r e e , c o n t r o l s t h e b o d y ' s v i t a l f u n c t i o n s s u c h a s h e a r t r a t e , b r e a t h i n g , b o d y t e m p e r a t u r e a n d b a l a n c e . O u r r e p t i l i a n b r a i n i n c l u d e s t h e m a i n s t r u c t u r e s f o u n d i n a r e p t i l e ' s b r a i n : t h e b r a i n s t e m a n d t h e c e r e b e l l u m . . . . T h e l i m b i c b r a i n e m e r g e d i n t h e f i r s t m a m m a l s .
  • 39. 40 One of the participant’s circumstances happens to be that he/she has recently lost a close relative (who used to wear the perfume the focus group was testing). In this particular context, the participant might experience deeper psychological emotions (that other participants don’t go through) making him/her trigger painful emotions as the scent of the perfume evokes emotional memories. The participant then could interpret the sensory message in a negative way, causing rejection to the scent, as response to this emotional signal. But the focus group researchers are unable to interpret individual behavior because only factors as price, packaging, brand label and product attributes are considered. Therefore, leading them to make the likely assumption that this behavior is irrational (as it does not comply with the other participants’ behavior). 3.4 The role of emotions in consumer behavior We human beings have emotions for a reason. Nature gave us emotions as an incentive system to make sure we act in certain ’evolutionary beneficial’ ways. Our feelings, and therefore our mental health, wax and wane depending on whether or not some fundamental conditions for the success of our species are met.
  • 40. 41 Arthur Kover describes the role of emotions as an important component for creative advertising. Furthermore, evoking emotional responses in consumers is a critical part of successful advertising (KOVER, 1995). Psychologists 35 years ago studied consumers’ emotions and behavior as separate elements. There was a common misconception, which argued that consumers process their feeling using their thoughts, thereof making feelings and emotions a post-cognitive process (Heath, The psychology of emotional influence in advertising, 2012). But the author Zanjonc first challenged this assumption in 1980 (Zajonc, 1980). Zanjonc distanced himself from contemporary psychology that saw feelings as post-cognitive connections. The old hypothesis regarding the role of feelings in consumer behavior argued, “Before consumers can like something they must be aware of it and have assessed some critical attributes to the product or service they are being exposed by”. Despite the academic opinion, Zajonc understood feelings as a primary variable in interactions of people. The social interpretation of affect is much more non-verbal than verbal (Zajonc, 1980). According to former idea on the role of emotions and preferences it was believed that these formed after cognitive activity. But today we know that it’s difficult to separate thoughts (based on information) and feelings (based on energy transformations). The author
  • 41. 42 Zajonc believes that affect precedes cognition. This would explain why humans could be afraid of something before we are even aware of its presence (though cognition will quickly change feelings from their initial state). Zajonc’s Emotional processing assumptions: 1. Emotions (affective) are primary processes that emerge from the unconscious thoughts. 2. Emotional consumers’ responses are unavoidable, this means that the emergence of emotional responses as result of an event (sensory input/stimuli) are out of the consumers’ control. The lack of control over emotional responses is caused by its own source of nature, as emotions rely on the unconscious level. 3. Emotional consumer responses are difficult to verbalize as they are created by inner metaphors and these act as non-verbal communication. This idea will be further develop by the application of Zaltman’s metaphor elicitation technique. Once the role of emotions in consumers has been understood, it is then possible to ask how do unconscious mental processes influence our behavior?
  • 42. 43 3.5 Non-conscious thinking buying behavior - Sub-Q . 2 The next section of the report will look into how the unconscious mental processes influence emotions and shape responses from consumers’ thinking and behavior. By displacing the focus on consumers towards marketers, it is then possible to explain that managers’ minds work the same way as the consumers’ mind. A lot of general consumer-related misconception can lead marketers to believe that the way they think is far different from consumers. But in reality, both present similar thinking and behavior styles as a combination of conscious and unconscious processes (Zaltman, 2003). In order to offer a clearer picture of the market research limitations when looking into the unconscious side of consumers the Metaphor Elicitation model 7 could be utilized. 7 T h e Z a l t m a n m e t a p h o r e l i c i t a t i o n t e c h n i q u e ( Z M E T ) i s a m a r k e t r e s e a r c h t o o l . Z M E T i s a t e c h n i q u e t h a t e l i c i t s b o t h c o n s c i o u s a n d e s p e c i a l l y u n c o n s c i o u s t h o u g h t s b y e x p l o r i n g p e o p l e ' s n o n - l i t e r a l o r m e t a p h o r i c e x p r e s s i o n s .
  • 43. 44 In accordance to Dr. Gerald Zaltman, a lot goes on in our minds that we're not aware of. Most of what influences what we say and do occurs below the level of awareness (PINK, 1998). The technique has been used by academic researchers and for marketing purposes to study a variety of topics related to both marketing and the social sciences. 3.5.1 ZMET® technique by Dr. Gerald Zaltman This particular interview technique aims to understand the human mind and decision-making processes rooted in different layers of the consumers’ unconscious mind. ZMET® is effectively used to interview the “Other You” of the Consumer and understand how the unconscious creates and guides conscious interpretation and behavior. As it been mentioned along the introduction of consumer research methods, it is evident that consumers report what the think in one way, but eventually act and behave in a different one. The ZMET® technique could also improve the controversy of consumers responding verbally in regards to a product but not supporting all their thoughts (as they can’t interpret or be aware of their unconscious emotions). But more importantly, the ZMET® model can simplify and remove the “mental mask” that all consumers wear by nature (McElheron, 2006). Along many factors conditioning the consumers’ unconscious, the consumers’ perceptions, past experiences (i.e. your childhood memories) and inner-
  • 44. 45 feelings rely on a deeper layer on the mind, and these thoughts cannot be articulated by command. What this technique proposes is that former (conventional) consumer research methods have become so obsolete, that brands are only able to target the consumer’s mask. This way of communication is ineffective, as marketers realize that communicating towards consumer’s mask does not trigger consumers’ decision-making processes. More over as Zaltman describes it, consumers’ thoughts are based on images and not only words. Consumer behavior interpretation is changing as neuroscientists argue that consumers’ thoughts arise from images, these are topographically organized as neural representations, which occur in early sensory cortices (Zaltman, 2003). The following illustration can help the reader to visualize the consumer cognitive process in the decision-making. Stimuli Ne ur al a ctiva tion Synapses S e n so r y i n p u t C o n s u me r r e a ct i o n C o n n e c t io n F i g u r e 7 : D e c i s i o n m a k i n g n e t w o r k t o s t i m u l i . S o u r c e : o w n c r e a t i o n
  • 45. 46 Two thirds of all the signals that consumers experience are primarily stimuli based on images (sensory input: visual stimulation-sight). However, marketing managers persist on seeing consumers’ thoughts as word-based (language related processes). This is why it is important for marketers to understand the difference between, how thoughts occur (neural activity) and how consumers consciously experience their own thoughts (verbal ability to objectively report them). Therefore, as thoughts are activations of neural networks, word-based reporting cannot completely describe them. In consequence, a lot of information (unconscious thoughts/experiences) are lost by verbal reporting and the conventional idea that rationalization will support objective consumers’ insights. In short, consumer thinking is predominantly expressed in form of metaphors. This can be understood as a natural unconscious process by which consumers experience the world around them (McElheron, 2006). Furthermore, Zaltman’s metaphor elicitation technique (ZMET) can help researchers translating deeply under laid consumer emotions and feelings into actionable marketing strategies. 3.5.2 ZMET® application to consumer-based research The ZMET interview is a one-on-one discussion lasting approximately two hours. In preparation for the interview, participants are asked several days prior to their interview to collect pictures that represent their thoughts and
  • 46. 47 feelings about the research topic. As a result of this pre-interview work, participants arrive for their in-depth interview at an advanced stage of thinking The ZMET® interview is carefully designed to probe various facets of the mind’s operation, enabling the consumer to be more explicit about their implicit thoughts and feelings. This also engenders the surfacing of important but often hidden drivers of behavior (Zaltman, 2003) Surface expressions point to hidden patterns underlying human thought. These patterns are called Deep Metaphors™; these are fundamental categories of human experience that shape everyday decision-making (McElheron, 2006). Deep Metaphors are the mind’s first and subconscious responder to any stimulus. These can come from biological reactions to events or circumstances from consumers’ experiences. These metaphors could also be linked to unconscious and precede conscious thoughts and feelings (Zaltman, 2003). 1. What does it do? It gives a deeper understanding as to how consumers view brands It allows us access to hidden knowledge from consumers’ unconsciousness. It shortens the distance from consumers’ self-report bias. It offers a more accurate interpretation of consumers’ inner thoughts
  • 47. 48 It optimizes behaviour’s interpretation as less verbal-communication is used. Visual mental images offer more insights to better frame consumers’ cognitive and mental associative processes. The elicitation of metaphors can enhance unbiased reporting of unconscious thoughts and find patterns among consumers’ metaphorical connections. 2. How does it work? A ZMET study starts with participants being asked in advance to think about the research topic and collect a minimum of 12 images from their own sources, (photos, magazines etc.) that represent their thoughts & feelings about the topic (McElheron, 2006). 3. Type of research? Qualitative approach: • Elicits metaphors, constructs & mental models that drive consumer thinking & behaviour • It’s an interview containing several steps. Based on the concept that most communication is non-verbal (McElheron, 2006). F i g u r e 8 . ( Z M E T ) A p p l i e d t o c l o t h i n g b r a n d . O r i g i n a l s o u r c e : P a u l M c E l h e r o n o n P P T , S l i d e 4 9
  • 48. 49 3.8 Heuristics The importance of heuristics can help us understand why marketers have always interpreted consumers’ behavior in a linear and rational way. However such unrealistic idea only represents a poor simplification of the buying process, but never the full picture of consumers’ minds. The Psychologist Alan Lewis describes heuristics as simple, efficient rules which people often use to form judgments and make decisions. They are mental shortcuts that usually involve focusing on one aspect of a complex problem and ignoring others (Lewis, 2008). From an economic point of view the rational model of buyers being logical and objective with their judgements and decision-making behavior works relative well for monetary purposes (Sharp, 2013). But sadly for economist, this rational model does not consider all variables influencing consumers. As Byron sharp describes it, no human is perfectly rational and our rational thinking is always limited by having incomplete information. But more market researchers are starting to observe irrational, but regular patterns of behavior among consumers (Sharp, 2013). The reason behind frequent irrational patterns during the buying process could be explained by heuristics. In comparison to the former linear and rational consumer models, heuristics are intrinsic to the decision-making process surfacing as unconscious behavioural patterns.
  • 49. 50 Thereof, heuristics occur as a shortcut, intuitive judgements or simplification along the decision-making process allowing the consumer to interpret information faster and mostly unconsciously. A large portion of the psychological research behind heuristics has aimed to show biases in human thinking behavior. This implies that a lack of information and conscious logical thinking can lead the consumer to make poor decisions. On the other hand, heuristics can lead the consumer to make better decisions than more complex procedures based on more product information. These are some heuristic common biases: Social proof is a behavioural pattern, which relates to the fact that consumers look for validation and approval from other people or social groups in order to make their decision (Sharp, 2013). Anchoring also known as focalism is a cognitive bias that describes the common human tendency to rely too heavily on the first piece of information offered ("anchor") when making decisions. During decision-making, anchoring occurs when individuals use an initial piece of information (becoming cognitively blocked) to make other judgments, only counting with one or few attributes of the product disregarding all other information.
  • 50. 51 Availability bias also known as availability heuristic is a mental shortcut that relies on immediate examples that come to a given person's mind when evaluating a specific topic, concept, method or decision (Sharp, 2013). It relates to frequency and predictability of events, based on the ability of the consumer to recall information. Attribute substitution is a psychological process thought to underlie a number of cognitive biases and perceptual illusions. It occurs when an individual has to make a judgment (of a target attribute) that is computationally complex, and instead substitutes a more easily calculated heuristic attribute. 4. Analysing online consumer behavior in Fashion E-commerce context - Sub-Q. 2 To begin with, once the consumer behavior models and theories have been reviewed and understood, then it is possible for this research to move forward. The following sections will look into online purchase behaviour using fashion E-commerce as business context. As it has been argued, discussed and examined consumer behavior is a challenging topic by itself, but understanding online behavior becomes the next obstacle.
  • 51. 52 In order to face this challenge this research will confront problems and behavioural issues that are rarely observed in traditional E-commerce practices. The importance of e-commerce and the online retail industry keeps on growing, and now more than ever companies need effective tools to improve commercial and marketing strategies (Tomás Escobar-Rodriguez, 2016). Moreover, online shopping is becoming a strong distribution channel for fashion companies, and this is why it is of particular importance for fashion brands to understand market needs. This can only be achieved by the study of factors and variables influencing consumers’ decision while purchasing fashion products online. The following articulation will support findings, which could be utilized as practical information for consumer behavior understanding, marketing, communication and online sale strategies. Furthermore, the aim is to analyse purchase intention online, more specifically, it is aimed at studying the intention to acquire fashion. Henceforth, the research considers and refers to fashion as any textile related garment (i.e. clothes, footwear, accessories) that a customer can buy online. Marketing managers need to comprehend the increasing online dynamics and potential of online consumer behavior understanding. In the current online retail industry most fashion brands have their web shops. For instance, big international fashion retailers such as the Spanish giant, Inditex S.A group (Zara®, Mango®, Massimo Dutti®, Sphera®.etc) or Danish BESTSELLER© (Selected®, Jack&Jones®, Vero Moda®, Only & Sons®.etc.). These are good examples to offer a practical understanding.
  • 52. 53 Recent studies are showing that 20% of all online purchases are done via smartphone, while the other 60% represent desktop purchases. Theses last figures are relevant to the research because the study of the variables affecting online buying-behavior have to do with technological innovativeness, customers’ trust and perceived value (Tomás Escobar- Rodriguez, 2016). Innovativeness: When looking into online buying behavior and purchase intention, two key terms surface, these are fashion innovativeness and electronic innovativeness. Online Purchase Intention F a s h i o n I n n o v a t i o n E l ec t r o n i c I n n o v a t i o n Tr ust P e r c e i v ed V a l u e C o s t s a v i n g T i m e S a v i n gS e c u r i t y I n f o r m a t i o n R e l i a b i l i t y F i g u r e 9 P u r c h a s e i n t e n t i o n v a r i a b l e s i n t h e b u y i n g p r o c e s s . S o u r c e : A d a p t a t i o n f r o m ( T o m á s E s c o b a r - R o d r i g u e z , 2 0 1 6 ) P . 6 0 7
  • 53. 54 The author Park Burns argues that fashion innovativeness in directly interrelated with consumers’ attitudes towards online purchasing (Park H, 2007). Comprehending fashion innovativeness is important as it is related to attention and interest from consumers to purchase fashion online. The electronic innovativeness can explain the willingness from consumers to use new technologies possibly increasing purchase intention. Customers’ trust in online fashion: This variable is relevant to analyse the relation between the lack of physical interaction and physical presence of products in the purchase intention. This unique context in only given in online retail, making trust a vital factor for consumers in the buying process. According to Spekman, trust is the most important value for the strategic partnership between seller and consumer (RE, 1998). In most online situations, customers generally translate trust as security – this is the safety of online transaction, which involves personal and financial information. Also, the amount of data readily available on the Internet is making difficult for consumers to search and identify relevant information making it time consuming (Tomás Escobar-Rodriguez, 2016). Among the habitual search parameters, consumers will look into product attributes, sizes, models, price and design among other features.
  • 54. 55 Most online brands like BESTSELLER® allow customer to establish their own filters or preferences while searching on the web shop. By this, it allows consumers to avoid conventional marketing distractions that take place during the information-seeking phase. Particularly because of this, consumers are unable to experience the brand atmosphere/essence, reducing the sensory stimulation making the shopping experience monotonous for the online shopper. This is why online companies are strengthening their e-commerce efforts to moderate such impact so that it does not negatively influence the purchase decision. Perceived customer value: It can be described as the belief that purchasing a garment on the web shop will fulfil the customer’s expectations adding satisfaction and value to the buying process. Thus, perceived value is closely related to the performance expectancy – while purchasing online consumers present different behaviours. When it comes to online shopping customers show different motivational factors, which are utilitarian and hedonic motivations. The first motivation has to do with task-related motives also known as convenience motivators. It reflects a rational behavior by which the consumer gets something he or she needs. Whereas Hedonic motivation reflects emotional motives outside the customer’s control (awareness), represented as irrational emotions by which the shopper unconsciously purchases a product because “they love it” (Tomás Escobar-Rodriguez, 2016).
  • 55. 56 4.1 Case study - SELECTED® The following E-commerce Web analysis and Strategic proposition was part of a real task requested by BESTSELLER®. More specifically, the head of the E- commerce department proposed this assignment, in order to have more insights regarding the performance of the “NEW-IN” page. Furthermore, the focus was put into how to improve male customers’ experience while online shopping. F i g u r e 1 0 : L a y o u t w e b a n a l y s i s f o r S E L E C T E D , p . 1 , s o u r c e : o w n c r e a t i o n .
  • 56. 57 As it can be seen the current “NEW-IN” landing page does not follow any specific order, having a very dispersed product assortment. This makes the page confusing for online shoppers to develop connections to neither products nor the brand DNA. F i g u r e 1 1 : W eb n a v i g a ti o n a n a l y si s f o r S E LE C T E D ® p . 2 , s o u r c e: o w n c r e at i o n
  • 57. 58 This can be achieved (as it is shown) by creating product suggestions, grouping them into styles or themes with the intention to ease the search- phase of the buying process. The hypothesis is that by offering better product descriptions (i.e. specifying the purpose of the outfit, giving the customer fashion advice as well as offering meaning). . F i g u r e 1 2 S t r a t e g i c p r o p o s i t io n s f o r S E L EC T E D ® p . 3 , s o u r c e: o w n c r e at i o n
  • 58. 59 It is not a mystery that online male customers are less engaged than females; this is why retaining male attention is more difficult. Adding to this degree of difficulty, male customers are also known to be very passive when it comes to select fashion garments online, as most males don’t want to dedicate much time browsing the web, comparing prices or searching for product information. Although the buying tendency among males aged 18 to 35 is improving, there are still many barriers to overcome and simplify the buying process for them. Taking a real example based in the country of origin of the brand SELECTED®, which is Demark. It could be then explained why some “shortcuts” (heuristics) can be efficiently utilized to ease the buying effort from passive male customers. For instance, if SELECTED® were to sort their new collection garments creating specific outfits with a clear theme or purpose – this could become an product anchor point – thereof males could identify or related to the products quicker. The primary disadvantage that most online fashion brands experience while targeting male customers has to do with the amount of time employed searching and looking for the desired garment. On the other hand, if the brand could shorten the distance between their products and customers as it has been explained in the in Perceived customer value. Then it could be possible to create new sensory context in which male customers could easily identify their personally traits with specific looks (as shown in the layout examples).
  • 59. 60 Nonetheless, it is necessary to clarify that the application of Heuristic common biases like anchoring techniques by the creation of style outfits or suggesting fashion advice is only a small example within the Neuromarketing spectrum. Thanks to the conceptualisation of this particular online strategy it’s possible to visualize the large range of possibilities that the application of consumer behavior studies could potentially bring to online fashion brands like SELECTED®. F i g u r e 1 3 S t r a t e g i c p r o p o s i t io n s f o r S E L EC T E D ® p .4 so u r c e: o w n c r e at i o n
  • 60. 61 4.2 Implications in online consumer buying behavior Understanding online consumer behavior in an ever-evolving technological society is a challenge for most advertising agencies, marketing departments and sales teams. In order to have a comprehensive view of how consumers behave and react to marketing stimuli is necessary to broaden the spectrum of all involved variables. As the author Claudia Almeida explains, consumers are becoming more demanding, live under pressure to the solely purpose of satisfying their needs and ensure their well-being (Claudia Almeida Colaferro, 2014). Moreover, traditional consumer categorization like age, gender or races are no longer attributes offering a correlation between the consumer and their behavior. The society of perpetual consumption based on product obsolesce is shaping consumers in ways yet not understood. This could reflect why most consumers are more deeply influenced by personal preferences, opinions, and interests as forms of self-expression and behavior patterns guided by the subconscious consumer’s brain. One of the variables is the change in social dynamics in the form of new technologies. The exponential information access via the Internet that we have seen in recent years has made consumers more aware. This imposes a challenge to online advertising because it is becoming more difficult to retain online consumers’ attention.
  • 61. 62 The role of memory in consumer behavior has been considered as one of the most important variable affecting online advertising performance. Byron Sharp argues that the “choice situation” depends heavily on recall, thereof if a fashion brand in incapable of bringing memorable brand associations to the online consumer might risk decreasing their chances of being purchased (Sharp, 2013). The constant bombardment of marketing stimuli that advertisers expose consumers to is creating friction between consumers and advertisements. One of the consequences is that it triggers a “credibility issue” making consumers doubtful in regards to whether the advertisement they are watching is transmitting meaning by its visual/verbal communication to them. As result of, consumers have become more aware that the advertiser is trying to convince them to buy the product (Claudia Almeida Colaferro, 2014). 4.3 Contributions of Neuromarketing to Online consumer behavior – Sub Q . 3 Despite all knowledge we have regarding consumer behavior, it is still uncertain that marketers actually know what the consumers want. As it has been mentioned previously, the traditional marketing research methods such as interviews, focus groups, questionnaires and surveys are unable to show the irrational side of the consumer. This gap in the research imposes clear evidence that traditional techniques up to this day are incapable of collecting all the factors or elements influencing consumer behavior. These are seemed as relatively ineffective in
  • 62. 63 understanding the difference between consumption styles. Furthermore, limiting consumer behavior knowledge by suppressing the evidence that single individuals can present distinct buying behavior patterns, depending on the consumer’s various roles in society (Claudia Almeida Colaferro, 2014). As result of new publications and research studies within the consumer behavior field, they are starting to show that only 15% of most consumers’ decisions are rational/logical. And precisely, this conflict between the rational & irrational of the human brain, it is what makes consumer behavior deeper than most people believe. In fact, recent studies from Harvard Business School have shown that 85% up to 90% of consumer buying behavior decisions are carried out subconsciously (Zaltman, 2003). This is where the application of Neuromarketing techniques comes into play. In order to collect data that the consumers cannot support, the use of specific Neuroscientific tools could be used. Therefore, the main questions to ask for understanding these subconscious impulses is: What are the contributions of Neuromarketing to Fashion E-commerce for researching consumer-buying behavior? Professor Ale Smidts was the first known person to name the use of neuroscientific techniques in the marketing discipline in 2002. He defined it as the practical implementation of the knowledge brought by consumer neuroscience for managerial purposes (Hubert, 2008).
  • 63. 64 The earliest consumer research studies using neuroscientific techniques go back as far as 1960s, with the application of electro dermal response measurements and pupillary dilatation (Wang, 2008). But it wasn’t until the early 1970s when researchers starting using electroencephalography (EEG) for marketing-related studies. The use of such a tools is aimed at measuring the electrical signal on the consumer’s brain when there is a significant peak in response to marketing stimuli (Céline solnais, 2013). As it has been shown traditional methods for consumer-based research leave an open gap to the reliability of the data. In other words, the application of traditional methods can support insights into consumer behavior. But these results are directly conditioned by the way questions are formulated and often don’t reflect objectively the consumers’ perception (for instance the web shop). Therefore, as researchers are starting to see failure by the application of traditional research methods it is necessary to put into question their effectiveness for data collection (Céline solnais, 2013). Moreover, the key element to understand the methodology chosen behind this research is to acknowledge that emotions are mediators of how online consumers process marketing stimuli.
  • 64. 65 The methodological challenge is to measure and model these cognitive responses in order to generate objective data. This could be done by the application of innovative Neuromarketing techniques through a proper understanding and interpretation of consumers’ psychological and physiological responses. This research considers Neuromarketing to be the application of neuroscience and physiological research techniques to obtain insights into consumers’ thinking, behavior, emotions, preferences, decision-making as well as other aspects of human cognition. Thus, in this challenging context the emergence of new technologies in the neuroscience “field” can shed some light and offer marketers new alternatives to study consumer behavior. The implications of applying Neuromarketing techniques for the purpose of studying online consumer behavior imply the possibility to have a “thrust worthy” or reliable method to probe the consumer’s brain processes (Camerer C. L., 2005). Thereof it would be possible to gain valuable insights on the subconscious consumer processes and how online marketing stimuli can succeed or fail.
  • 65. 66 4.4 Neuromarketing techniques in E-commerce context - Sub-Q . 3 • Sub-Q 3: What Neuromarketing techniques can be used to improve E-commerce impact in online customers’ experience? This could only be achieved by removing uncertainty in regards to the consumers’ responses and interpret the data in an objective way. By facing the challenge, which is to trust that consumers have the capacity to objectively report through their answers how they are actually affected by a given marketing stimuli (Camerer C. , 2007). In accordance to Celine Solnais, the application of neuroscience to the study of consumer behavior could help marketers understand the role of inner emotional responses, which may play an important part in the economic decision-making process on online consumers (Céline solnais, 2013). The following neuroscientific tools can be utilized to collect raw data from consumers: Eye-tracking goggles can monitor the movement of the eye, keeping track of the visual patterns the consumers make while looking at a marketing ad. The possible use that this device allows is for example how to make the clothing more appealing by a smart utilization of the visual signals and symbols being delivered online (Zara, 2013).
  • 66. 67 Galvanic skin response can measure electrical signals on the skin by measuring the conductance of the epidermis8 . The difference in the moisture content of the subject’s skin is the impulse being recorded. The variation is such impulses can determine changes in the emotional state of the consumer. Neuroimaging enables to simultaneously track consumers’ neural responses at the same time as the marketing stimulus of interest is being processed, thus eliminating he risk of recall bias associated with self-report measures (Sudman, 1973). Even though there are empirical studies questioning whether this method could bring useful findings to consumer research or enable better prediction of economic behaviours (Addie, 2011). (fMRI) Functional magnetic resonance imaging is one of the most frequently techniques applied to consumer research (Kable, 2011). This technique enables the marketer to detect and visualize by the MRI scan changes in blood oxygenation in the brain as result of neural activity. Thus observing changes (BOLD signals) in the consumers’ brain can lead to identify “peaks” produced by marketing stimuli, which could allow marketers to measure effectiveness and failure of the message. 8 T h e u p p e r o r o u t e r l a y e r o f t h e t w o m a i n l a y e r s o f c e l l s t h a t m a k e u p t h e s k i n . T h e e p i d e r m i s i s m o s t l y m a d e u p o f f l a t , s c a l e - l i k e c e l l s c a l l e d s q u a m o u s c e l l s .
  • 67. 68 Neuroimaging techniques such as (EEG) electroencephalography and (MEG) magnetoencephalograpgy are also commonly used research methods which both measure brain activity. This technique is applied by the placement of electrodes in the subject’s scalp (different EGG scans could count with 32 up to 64 channels - “dry” brain sensors). The application of different techniques presents different pros and cons depending of the research purpose. The use of fMRI can asses better data on the question of “where” specific areas of the brain are activated as result of a given marketing stimuli. And EEG and MEG can be applied to better answer the question of “when” the consumer processes information through time, tracking and showing in real time brief neural activity changes as the stimulus evolves (Céline solnais, 2013). These Neuromarketing techniques can be successfully applied in E-commerce strategies, for instance in online campaign ads. Prior the launch of the marketing campaign with its respective online ads, a company could look into different versions of the ad and measure the consumers’ responses. By the application of the above-mentioned neuroimaging tools, the marketers can look second-by-second the performance of each ad. This implies that companies can determine consumers’ reactions with quantitative data and therefore diagnose which core elements of the ad are effective and which of them should be removed (Zara, 2013).
  • 68. 69 4.4.1 Part-conclusion Sub-Q .3: However, it is important at this moment of the research to stress that Neuromarketing is not a wonder tool, which will bring the ultimate answer to the problem. But instead it is a medium through which the marketer can look into and search for evidence. Neuromarketing distributors like Bitbrain® or Usenns® always remark the fact that Neuromarketing cannot be used only by itself. The companies doing consumer-based research need to support the hypothesis to research. Therefore, Neuromarketing can only be used in Fashion E-commerce if there is a clear purpose, specifying the exact interest for looking into a particular contextual behavior. 5. Ethical views in Neuromarketing - Sub-Q .4 Sub-Q 4: What are the ethical implications of Neuromarketing use and misuse? This last section will close up the discussion part of the report by exploring the ethics of Neuromarketing’s application and misuse. More over, two author approaches will be taken into consideration to make a literature comparison between different academic studies. One of the studies analyses the use of neuromarketing by for-profit and non-profit organizations from an ethical perspective based on consumer’s point of view. Furthermore, the findings based on consumer’s ethical judgements and the empirical evidence indicate that consumers perceive the use of neuromareting strategies by for-profit organizations to be unethical, yet consumers perceive the same
  • 69. 70 application of neuromarketing as ethical if conducted by non-profit organizations (Jason Flores, 2014). On the other hand, the second scientific journal used in order to contrast different academic views on neuromarketing ethical issues, argues differently. According to Steven Stanton’s hypothesis and current technological capabilities, it’s argued that most frequently raised concerns in regard to the application of Neuromarketing techniques to consumers do not raise meaningful ethical issues. Found in his research articulation on the common ethical concerns of neuromarketing-related risks and ethical decisions faced by companies (Steven Stanton, 2016). Therefore, understanding the distinction between what is considered ethical and unethical in consumer behavior may have the potential to guide the use of neuromarketing in the future (Jason Flores, 2014). Ethical concerns are a raising aspect related to the application of Neuromarketing for consumer-based research. Marketing academics, neurologists and behavioural researchers have openly critiqued neuromarkting, as it’s believed that it could allow unprecedented levels of consumer manipulation by the private sector. However, Lidstrom argues that neuromarketing research can only reveal changes or patterns in brain activity, but cannot explain why it occurs (Lindstrom, 2009).
  • 70. 71 According to a similar opinion from Graham who believes that the potential power for Neuromarleting manipulation is limited, arguing that consumers cannot be tricked to behave mindlessly and unknowingly purchase products (Graham, 2012). Although both authors present rational arguments, these positions do not fully deny the possibility that behavior manipulation might be possible in the future. In order to ensure the reader with a proper understanding of the academic dichotomy, the following analogy can be used to clarify these ideas. In comparison to former and current consumer behavior understanding, traditional consumer-based research methods did not incorporate all variables influencing consumer behaviour, as we know today, thereof the application of neuromarketing (as we know it today) presents a degree of uncertainty, with an unknown potential to evolve in ways previously thought not plausible. Hereinafter, the ethical issue for consumer manipulation will remain open to future hypothesis, due to the short existence of Neuromareting theories and models up to this day. 5.1 Ethical issues in consumer behavior - Sub-Q .4 New consumer behavior-oriented companies such as Bitbrain® or NeuroFocus® are emerging in the Neuromarketing scene, offering low-cost tools for industry purposes. For instance, eye-tracking devices have become popular among the private sector as it allows marketing researches to wirelessly track and record data. This attractive method allows a wide range
  • 71. 72 of possibilities to study consumers’ visual associations, but academic researchers argue that the validity of the data is highly contingent (Steven Stanton, 2016). The application of neuromarketing tools can help examining the effectiveness of sensory and brand information on consumer choice via brain activity and physiological changes. Among other ethical issues Steven J. Stanton et al described the canonical criticism of neuromarketing as unethical research practices, unethical applications of technology and a possible way for consumer manipulation. Furthermore, the most common ethical objections to the application of neuromarketing refer to risk of harm and violation of consumers’ rights. These objections include short-term effects on individual consumers as well as long-term effects in consumers as members of a collective society (Steven Stanton, 2016). Consumers may not be enthusiastic about the application of neuromarketing as they could think of private companies to have obscure advertising intentions. This could lead the general public to believe that consumers could be easily manipulated; also a lack of understanding (lack of scientific evidence) could end up creating negative associations of companies using neuromarketing techniques. The ethical issue of neuromarketing is similar in context, when thinking of the reaction towards subliminal advertising effectiveness proposed by James Vicary in 1950’s (Sutherland, 2004).
  • 72. 73 The controversy regarding subliminal stimulation and its effectiveness in consumer behavior remains present and it is now joined by the new controversy over whether the application of neuromarketing imposes new risks to consumers’ personal integrity, privacy violations and subconscious manipulation. 5.1.1 The Dilemma of predicting consumer choice Thanks to first-hand information collected from the interview to Maria- Angeles Osa (Head of Administrative department at Bitbrain®) this report can offer a professionally contrasted opinion regarding the most commonly perceived neuromarketing-related issues that private companies could have regarding the predictability of consumer choice. The fear that neuromarketing could potentially render consumers’ choice is one of the typical ethical issues, that marketing researchers and education institutions have while deciding whether or not to adapt such techniques. The first statement that María made regarding the ethical issue on the application of neuromareting to consumer behavior was: “ We clearly say to companies in the quest for new research methods that neuromarketing is not a wonder tool that will grant access to mind control properties in terms of its applicability to the study of consumer behavior.
  • 73. 74 In fact, we say the contrary; neuromarketing techniques can only offer measurable results if the research has a clear purpose. And the research findings could never offer any possibility to consumer manipulation, as the application of neuromarketing techniques is only window to look into consumers’ brain activity” (Sipán, 2017). In contrast to Maria’s opinion, recent research seems to herald the power of neuromarketing - these studies argue that the application of fMRI has been used to predict consumers’ choice and purchase decision (Knutson, 2007). The author Knutson demonstrated in his research’s experiment that continuous tracking of changes in brain activity (neural connections- synapses) could predict behavioural patterns in consumers’ choice, beyond self-report consumer capabilities. Thereof, behind this assumptions he indicates that neuromarketing can greatly contribute to traditional marketing research methods (Steven Stanton, 2016). However, the above-mentioned assumptions cannot be probed by the use of neuroscientific tools like fMRI or EGG, allegedly enabling researchers to control or manipulate in any shape or form consumers’ behavior. Instead, it offers a portal into consumer’s minds and enables the tracking, measurement and extraction of information, that otherwise consumers are not capable of supporting by themselves (biased self-reporting issue). Hence, it needs to be considered the possibility that the use of neuromarketing as a tool provides a competitive advantage to companies,
  • 74. 75 which could help identifying more reliably consumers’ choices through experimental methods, before they could acknowledge them. Even though, this hypothetical situation could be proven right it does not impose a direct risk to the average consumer. Such a fear is not substantial because most consumers will not have their brains scanned. This hypothesis is only applicable in an experimental research scenario. Thus individual consumer would never be likely targeted by neuromarketing techniques, as they could never be direct subjects. The truth behind the public fear towards anything that contains the word “Neuro” is mainly drawn from misleading media. These generalizations tend to label neuromarketing as a social hazard, but in reality most of the public assumptions in regards to the potential risks are the result of conclusions gathers only from small experimental samples that should not be intentionally extrapolated and scaled up without all scientific evidences. The idea of predicting consumers’ behavior by neuromarketing applications (as a field of study), is very different from subconsciously manipulate consumers against their wills. Therefore, any scientifically based prediction on consumer behavior must not deny or undermine the cognitive capabilities or the dignity of those consumers whose behavior is being predicted (Steven Stanton, 2016).
  • 75. 76 5.1.2 The Dilemma of influencing consumer choice This section tries to look further ahead of the common ethical issues, in order to offer the reader with a forth-looking perspective on the plausible subconscious application of neuromarketing in a hypothetical future scenario. As it was explained earlier, the controversy of subliminal stimuli was also joined by current social stigma in regards to the application of neuromarketing to consumer research. This controversy has lead the public to believe the commonly perceived ethical issue of neuromarketing being able to directly influence consumers’ choice (conscious & unconsciously). Looking further beyond on the existent influences, it could be proposed a hypothetical context, in which “mind-control like” successful neuromarketing techniques might take away from consumers’ self-control and thereof make the products irresistible. Then, it would be reasonable to ask the question whether, does neuromarketing offer to fashion companies a unique and novel ability to be in control of a “BUY” button in consumers’ brains? It is important for this section to highlight the fact that neuroscience might allow researchers to look into and improve predictability of consumers’ choice.
  • 76. 77 But there is yet no scientific evidence showing that neuromarketing could force or purposely control consumers’ choice. However, in contrast to this statement, according to Steven J. Stanton who says that critics could still criticise it by saying that even if neuromarketing cannot forcedly influence consumers, it can still have an impact in purchases. Thereafter, anything that involves the inner workings of the consumers’ emotions and unconscious systems, can still affect them by influence of levels below consumers’ consciousness (Steven Stanton, 2016). Growing scientific evidence suggests that all the marketing stimuli that consumers are exposed to have a deep impact on their preferences and choices. It is believed that all consumers are exposed to 8.000 to 9.000 marketing messages everyday. But most of marketing stimuli come from traditional marketing sources (i.e. Internet, TV, Radio, Ads). The application of neuromarketing is not mature enough as a method - thereof it cannot have an equal influence on consumers’ choice - when compared to conventional marketing and advertising strategies. Critics might then argue that all unconscious stimuli – whether neuroscientific or traditional marketing techniques – can potentially remove or block self-control from consumers. Furthermore, this hypothesis conflates consciousness with control; these are two different terms, with different cognitive attributes (Suhler, 2009).