Lecture 1 Opening Lecture
Amazon (2016) About Netflix
Online content provider Netflix can support seamless global service by using Amazon Web Services
in consumer behavior
(AWS). AWS enables Netflix to quickly deploy thousands of servers and terabytes of storage within
minutes. Users can stream Netflix shows and movies from anywhere in the world, including on the web,
on tablets, or on mobile devices such as iPhones.
Stephen (2016) The role of digital and social media marketing
in consumer behavior
People are exposing themselves to more and more social and digital media. Marketers have responded by
increasing their use of digital marketing channels. This research summarizes the academic work on
consumers in digital and social media marketing. There are five different topics.
I) Consumer Digital Culture
The Consumer Digital Culture is about understanding how consumers’ identities and self-concepts extend
into digital worlds.
→ Belk (2016): Consumers now situate themselves in the digital environment, which enables them
to have multiple selves due to possessing multiple online personas. This was built on earlier work
on the extended self.
→ McQuarrie et al. (2013): Fashion Blogging helps to explain the megaphone effect, which means
that regular consumers can access a larger audience through digital and social media. Fashion
bloggers build audiences and accumulate social capital by demonstrating good taste.
II) Responses to Digital Advertising
This is about understanding how consumers respond to various aspects of digital ads.
→ Schumann et al. (2014): Negative reactions to personalization can be overcome by using
normative reciprocity appeals, instead of utility appeals.
→ Lambrecht and Tucker (2013): Ad retargeting is when personalized recommendations based on
prior web-browsing history are made when a consumer returns to a website. There can be
negative responses to retargeting, but they decrease when the preferences are getting more
refined.
→ Tucker (2014): Personalized website ads are more favorably received when consumers have a
higher perception of being in control of the personal and private information used for
personalization.
→ Luo et al. (2014): Social influence is the major driver of the popularity of group-buying ads.
→ Jerath et al. (2014): When consumers search for less-popular keywords, their searches are more
effortful.
→ Puccinelli et al. (2015): When there is an affective match between the content of a digital video
ad matters. When consumers experience deactivating emotions, it’s harder to view energetic ads.
→ Dinner et al. (2014): Digital ads are more effective than offline ads in driving online behavior.
→ Goldstein et al. (2014): Annoying website ads create economic costs for advertisers and cognitive
costs for consumers.
III) Effects of Digital Environments on Consumer Behavior
This is about how digital and social media environments impact consumer behavior. The consequences
can be either environment-integral (digital environments influence digital behavior) or environment-