Basing on the large scale annual social surveys in Israel, the current study uses Generational Cohort Theory as a framework to examine the trends of internet adoption and online purchasing behavior among Generation X and Generation Y in the past decade. During the decade, the rate of internet access and online purchasing increased continuously in both generations, however internet users did not fully utilize the potential of online shopping. Our findings support the use of Generational Cohort Theory as a market segmentation tool: although the rate of internet access was higher in Generation Y, the percentage of those who bought electrical appliances, furniture or vacations online was higher in Generation X. Although Generation Y with its hedonism, extravagance and great connectivity is considered to be a more attractive target population for businesses, it is important to direct marketing efforts toward Generation X, which according to the literature buys more due to higher disposable income, and more free time. Show
IntroductionInternet connectivity and usage have risen dramatically in the past decade, providing people with easier means for obtaining information, and engaging in economic and social exchanges, social activities and online communities. Online shopping is among the most popular internet activities and about 80% of the U. S. population buys online, with electronics and tourism (flights, travel, hotels), the leading categories for online shopping (MasterCard, 2012). Age has been proven to be a determining factor in user acceptance of online shopping and consumer intention to shop (Khare et. al., 2012; Dholakia and Uusitalo, 2002). The research literature suggests that generational cohorts are a more efficient way to segment markets than just by age (Schewe et al.,2000), because cohort segmentation provides both the stability that age segmentation offers (Steenkamp and Hofstede, 2002) and the insights into consumer motivations which stem from common values and beliefs (Morgan and Levy, 2002, Mitchell, 2003). However, less research has been devoted to differences between generational cohorts in online shopping. Considering the age profile of ICT adopters in the beginning of the millennium the current research compares online shopping behavior between Generation X (=Gen X) and Generation Y (=GenY). Both generations are characterized by higher rates of Internet adoption, compared to the older generations. Gen X, which refers to those born from 1961 to 1979 (Gurau, 2012), is one of the most highly educated generations in history and is characterized by technological and media savvy, skepticism and pragmatism (Jackson et al., 2011, Littrell et al., 2005). Gen Y, which encompasses those born from 1980 to1999 (Gurau, 2012) and whose members are also known as Millennials, is considered the first high-tech generation (Norum, 2003) and is perceived as being consumption-oriented and sophisticated in terms of shopping (Jackson et al., 2011; Wolburg and Pokrywczynski, 2001). These generational cohorts have different experiences, values, attitudes and preferences that significantly influence their purchase patterns and shopping behavior (Parment, 2011, Parment, 2013). As far as we know, no comparative research using a large population from both generations has been conducted that investigates trends in the impact of socio-demographic variables on online purchasing over the past decade. This is the purview of the current research. The main purpose of the current study is to follow up the trends in internet adoption and online purchasing behavior in Gen X and Gen Y over the decade of 2003−2012 and to identify socio-demographic characteristics that facilitate internet access and online shopping. Section snippetsThe digital divideInternet adoption is a necessary condition for online shopping. Soon after the internet started reaching the masses, concerns about its unequal distribution appeared along with the issue of a digital gap (e. g., see Compaine, 2001, Hoffman and Novak, 1998). A digital divide is created when part of the population has access to information and communication technologies and knows how to utilize them, while another part of the population does not (Compaine, 2001). Today, it is customary to Source of dataStudy data relied on the annual social surveys conducted by Israel's Central Bureau of Statistics (CBS) from 2003 to 2012, among a representative sample of the Israeli population. The CBS conducts a social survey annually using different respondents each year. The surveys provide up-to-date information about living conditions and the welfare of the population in Israel. The social survey questionnaire has two main parts. The first is a standard core questionnaire containing about 100 items ResultsWe will first present the findings regarding internet access and online shopping over time and then apply multivariate analysis in order to predict internet access and online shopping. In the multivariate analysis predicting online shopping, we focus only on the group of internet users and exclude all non-users. DiscussionThe main purpose of the current study was to follow the trends in internet usage for online product purchasing behavior among Gen X and Gen Y respondents during the decade 2003−2012 and to identify variations in the socio-demographic characteristics facilitating online shopping over time. As far as we know, this is the first study to examine the issue using a large representative sample in regard to the crucial decade when online purchasing became an important player in the market. In addition, Study limitations and recommendations for future studyIt is important to mention the limitations of this study, which derive from the limitations of the CBS social survey database. Only one questionnaire item examined online shopping. This item referred to three different product types which involve different decision processes: for example electric appliances are generally products requiring consumption decisions by males, furniture is usually selected together by both spouses and tourism products are selected mostly by females (Jackson et al., Practical ImplicationsFinally, practical implications can be drawn from the current study. Although Gen Y with its hedonism, extravagance and great connectivity is considered to be a more attractive target population for businesses, it is important to direct marketing efforts toward Gen X, which according to previous research, has more spending power than any other generation (Peralta, 2015, Jones and Fox, 2009). Since Gen Xers want retailers to provide a personalized brand experience (Peralta, 2015), they would References (99)
Do intrinsic and extrinsic motivation factors differ for Generation X and Generation Y?Int. J. Bus. Social. Sci.(2014) Social integration and identity of immigrants from the FSU, Western Countries and Ethiopia in IsraelEthn. Racial Stud.(2012) Generation Y female consumer decision-making stylesInt. J. Retail Distrib. Manag.(2003) UK Generation Y male fashion consciousnessJ. Fash. Mark. Manag.(2006) Analysis of Generation Y workforce motivation using Multiattribute Utility Theory(2011) The ‘digital natives’ debate: a critical review of the evidenceBr. J. Educ. Technol.(2008) Brand loyaltyDealerscope(2005) The Digital Divide: Facing a Crisis or Creating a Myth?(2001) Succession planning and generational stereotypes: should HR consider age-valuesbased values and attitudes a relevant factor or a passing fad?Public Pers. Manag.(2007) The internet, deliberative democracy, and power: radicalizing the public sphereInt. J. Media Cult. Polit.(2007) Switching to electronic stores: consumer characteristics and the perception of shopping benefitsInt. J. Retail Distrib. Manag.(2002) Make money surfing the web? The impact of Internet use on the earnings of U.S. workersAm. Sociol. Rev.(2008) Digital inequality: From unequal access to differentiated useThe impact of generational cohorts on status consumption: an exploratory look at generational cohort and demographics on status consumptionJ. Consum. Mark.(2012) Generation cohorts and personal values: a comparison of China and the United StatesOrgan. Sci.(2004) Managing generation YSAM Adv. Manag. J.(2005) Cross-cultural perspectives on religion and computer-mediated communicationJ. Comput. -Mediat. Commun.(2007) Relationship of type of product, shopping orientations, and demographics with preference for shopping on the InternetJ. Bus. Psychol.(2003) The diffusion of the Internet and the geography of the digital divide in the United StatesNBER Working Papers 12182(2006) A life-stage analysis of consumer loyalty profile: comparing Generation X and Millennial consumersJ. Consum. Mark.(2012) Digital inequality: Differences in young adults’ use of the InternetCommun. Res.(2008) Different Strokes for Different GenerationsRent. Product. News(2008) Bridging the racial divide on the internetScience(1998) A social institutional approach to identifying generation cohorts in China with a comparison with American consumersJ. Int. Bus. Stud.(2007) The Silent Revolution: Changing Values and Political Styles Among Western Publics(1977) Measuring digital divide: The exploration in MacaoObervatorio J.(2008) 2022, Journal of Retailing and Consumer Services Show abstractNavigate Down Consumers' exposure to online reviews influences their online retail shopping behavior. They search for reviews while evaluating products for purchase decisions. Past studies have indicated that online reviews affect the credibility and trust of the sellers and the products they sell on online platforms. Keeping this in view, the current paper aims to develop and validate a scale to understand the impact of online reviews on consumer purchase decisions. Data were collected from 431 young online shoppers for this research. The initial exploratory factor analysis (EFA) results helped identify four factors, viz. source credibility, volume, language and comprehension, and relevance which constitute the scale. The scale was validated by confirmatory factor analysis (CFA). The study's findings fill the gap of having a standardized scale that online retailers can use as indicators to assist consumers in their online decision-making. The discussions and implications support consumers' susceptibility to online reviews, an essential source for product and brand information in facilitating online consumers' purchase decisions. 2022, Journal of Systems and Software Show abstractNavigate Down In recent years, crowd-based content in the form of instructional screencast videos has gained popularity among software engineers. For organizations to remain competitive in attracting and retaining their workforce, they must accommodate the use of such crowd-based documentation content. We conduct a user survey to gain insights on how a user’s background and work tasks influence the use of different documentation media types. In our analysis we focus on how-to tutorial screencasts and how the new generation of software engineers is using such videos as an information resource. For this research, we report results from our user survey, including benefits and challenges software engineers face in using screencasts as project documentation. We discuss potential avenues on how to improve the usefulness of how-to tutorial screencasts. The level of professional experience, job position or reason for resorting to a documentation, affect the type of resource being used. As most (78%) of our survey participants were junior software engineers, our survey results are in particular applicable to this user group. We conclude our paper with lessons learned and provide some recommendations for screencast creators, such as: building a dedicated platform, making screencasts searchable and link their content to other artifacts. 2022, Journal of Business Research Show abstractNavigate Down In the context of continuously growing e-commerce and the rising global count of e-consumers, e-retailers and logistics service providers need to differentiate and tailor their offerings to refine their operations and meet e-consumers' needs. This study investigates how e-consumers' residential-area type affects the satisfaction with delivery services and reuse intentions in relation to e-consumers' ability to choose between delivery options. The aim was to explore and compare rural e-consumers to urban ones and conclude whether the service fitting can be performed without satisfaction loss. The results showed that for e-consumers from rural residential areas, the availability of different delivery options did not translate into greater satisfaction with the delivery service and reuse intention, while for urban residents, service diversity was linked to greater satisfaction. 2022, Journal of Islamic Marketing 2022, Sustainability (Switzerland) 2022, International Journal of Social Ecology and Sustainable Development Research article Journal of Retailing and Consumer Services, Volume 31, 2016, pp. 361-370 Research article Journal of Retailing and Consumer Services, Volume 31, 2016, pp. 294-303 Show abstractNavigate Down According to the similarity-attraction effect, customers should prefer service providers who are perceived to be similar; yet cosmetic features such as visible tattoos are often prohibited in professional settings, suggesting that they do not provide an advantage for service providers. This research explores the extent to which contextual factors interfere with the similarity-attraction effect for any particular cosmetic feature. The findings of three experimental studies demonstrate that sharing a cosmetic feature with a customer is not enough to elicit the similarity-attraction effect; a shared cosmetic feature must also be (1) salient, (2) unique among a set of service providers, and (3) the only salient shared cosmetic feature. The implication is that the similarity-attraction effect will be over-estimated in controlled experiments that do not account for contextual information. Research article Journal of Retailing and Consumer Services, Volume 31, 2016, pp. 345-354 Show abstractNavigate Down This study examines how U.S. business college students evaluate the attractiveness of potential job opportunities by making trade-offs among important job attributes. Using a conjoint approach, we examine the relative importance of industry type, starting salary, five-year salary, training, benefits, and work-life balance in job choice decisions. We also examine the effects of job applicants' career expectations and core competencies on their job choice determinants. An analysis of 162 business students' evaluations of 27 job profiles indicates that five-year-salary outweighs all other attributes. Their career expectations and core competencies have a substantial influence on their ensuing job choice. We suggest recruitment strategies to target recent college graduates with consideration of individuals' different career expectations and core competencies. Research article Procedia Economics and Finance, Volume 35, 2016, pp. 401-410 Show abstractNavigate Down Internet shopping is a phenomena that is growing rapidly nowadays. A peep into the exponential growth of the main players in this industry indicates there is still a large reservoir of market potential for e-commerce. The conveniency of online shopping rendering it an emerging trend among consumers, especially the Gen Y. The prevalence of online shopping has raised the interest of the retailers to focus on this area. Therefore, this study was to determine the relationship between subjective norm, perceived usefulness and online shopping behavior while mediated by purchase intention. University students aged between 18 and 34 that currently pursuing their studies in University Malaysia Perlis were selected as the subject of analysis. 662 out of 800 sets of questionnaires distributed were valid for coding, analyzing and testing the hypothesis. Collected data were then analyzed using SPSS version 18.0 and AMOS version 16.0. Structural Equation Modeling to examine the model fits and hypothesis testing. The conclusion can be depicted that subjective norm and perceived usefulness significant positively influence online purchase intention but subjective norm insignificant influence shopping behavior in a negative way. It is interesting to note that perceived usefulness also insignificantly influence online shopping behavior. Finding also revealed that purchase intention significant positively influence online shopping behavior. For future research, sample from working adults and other variables that related to online shopping were to be included to minimise sampling bias. Research article Journal of Retailing and Consumer Services, Volume 31, 2016, pp. 323-333 Show abstractNavigate Down As a form of word of mouth, online reviews are used to reduce uncertainty about service quality and direct consumer attitudes and behavior. As a consequence of the high persuasiveness and the broad accessibility of electronic word of mouth (eWOM), companies are very interested to proactively managing this form of customer-to-customer communication. Compared with traditional advertising provides, eWOM marketing is a more credible and low-cost alternative. So far marketers have commonly used monetary incentives to influence customer-to-customer communication. However, this form also includes potential negative consequences such as credibility loss through consumer skepticism and crowding-out effects. This study analyzed two new incentive programs for increasing recommendation likelihood that considered the activation of an altruistic form of motivation to overcome these drawbacks. Therefore, an experiment was designed with three experimental groups (incentive programs) vs. a control group (no incentive). Finally, the results are discussed while taking into account the advantages and drawbacks of the particular incentive program to deduce practical implications. Research article Procedia Economics and Finance, Volume 37, 2016, pp. 292-298 Show abstractNavigate Down The escalation of the Internet and information technology has significantly contributed to the popularity of online shopping. Generation Y (Gen Y) has been identified as the age cohort that makes up the majority of online shoppers in many developed countries. Even though Gen Y makes up the largest segment of Malaysia's population as well as its Internet population, they are not the largest segment of online shoppers. The aims of this study are to investigate the online purchase behavior of Gen Y in Malaysia and identify the factors that drive the behavior. 200 respondents from Gen Y participated in the survey. Findings from the study reveal that Gen Y in Malaysia buys mostly from online retailers operating via Facebook and Instagram. Of the four factors proposed in the model, only perceived trust and perceived reputation have a significant positive relationship with online purchase intention of Gen Y shoppers. Implications of these findings are discussed for researchers and practitioners. |
