CONNECTIVITY AND CONSUMPTION: EXPLORING CHANGES IN CONSUMER BEHAVIOR IN THE DIGITAL ERA
Thel Augusto Monteiro
E-mail: thel.monteiro@puc-campinas.edu.br
Assoc. Prof. PhD, Pontifical Catholic University of Campinas
Piracicaba, Brazil
https://orcid.org/0000-0002-0290-1676
Fabiola Cristina Ribeiro de Oliveira
E-mail: fabiola.oliveira@puc-campinas.edu.br
Assoc. Prof. PhD, Pontifical Catholic University of Campinas
Campinas, Brazil
https://orcid.org/0009-0007-3294-6887
Marcos Ricardo Rosa Georges
E-mail: marcos.georges@puc-campinas.edu.br
Assoc. Prof. PhD, Pontifical Catholic University of Campinas
Campinas, Brazil
https://orcid.org/0000-0003-2828-6680
Abstract: The study examines the transformative effects of digital economic development on consumer behavior, emphasizing personalization, ethics, and digital marketing's role in reshaping interactions between consumers and businesses. By leveraging secondary data from reputable sources like the OECD and McKinsey, the research highlights how digital technologies, including artificial intelligence (AI), have enabled companies to provide tailored experiences, significantly enhancing customer engagement and loyalty. Case studies, such as Amazon, Netflix, and Tesla, illustrate how personalization and digital innovations have revolutionized industries, setting new benchmarks for convenience and consumer expectations. While the benefits of digital transformation include increased accessibility, operational efficiency, and global reach, significant challenges remain. Issues of privacy, data security, and ethical concerns dominate consumer and corporate discourse, as seen in cases like the Cambridge Analytica scandal. The study also notes the risks of information overload and the exclusion of digitally marginalized populations. Despite these challenges, the research underscores the potential of AI and big data to foster deeper brand-consumer connections and drive long-term business success, provided ethical and transparent practices are adopted. The study offers practical insights for businesses aiming to thrive in the digital era, emphasizing the need for strategies that balance technological innovation with consumer rights. By advancing academic and market-oriented understandings, this work contributes to a holistic view of digital transformations, paving the way for future research on the cultural and demographic dimensions of these changes.
Keywords: Digital Transformation, Consumer Behavior, Artificial Intelligence, Personalization, Privacy Ethics.
JEL classification: M16
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References
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Ang, L. (2021): Principles of Integrated Marketing Communications. An Evidence-based Approach, Cambridge University Press.
Anyanwu, A., Olorunsogo, T., Abrahams, T.O., Akindote, O.J., & Reis, O. (2024). Data confidentiality and integrity: a review of accounting and cybersecurity controls in superannuation organizations. Computer Science & IT Research Journal, 5(1), 237-253.
Aripin, Z., Saepudin, D., & Yulianty, F. (2024, February). Transformation in the internet of things (iot) market in the banking sector: a case study of technology implementation for service improvement and transaction security. Journal of Jabar Economic Society
Asaju, B.J. (2024). Standardization and regulation of V2X cybersecurity: analyzing the current landscape, identifying gaps, and proposing frameworks for harmonization. Advances in Deep Learning Techniques, 4(1), 33-52.
Ayinla, B.S., Amoo, O.O., Atadoga, A., Abrahams, T.O., Osasona, F., & Farayola, O.A. (2024). Ethical AI in practice: Balancing technological advancements with human values. International Journal of Science and Research Archive, 11(1), 1311-1326.
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Bougrine, H., Ammar, A., Salem, A., Trabelsi, K., Jahrami, H., Chtourou, H., & Souissi, N. (2024). Optimizing short-term maximal exercise performance: the superior efficacy of a 6 mg/kg caffeine dose over 3 or 9 mg/kg in young female team-sports athletes. Nutrients, 16(5), 640.
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Clow, K., Baack, D., (2018): Integrated advertising, promotion, and marketing communications (8th ed.), Pearson.
CNN Money (2015).
Custers, B., Dechesne, F., Sears, A. M., Tani, T., & van der Hof, S. (2018). A comparison of data protection legislation and policies across the EU. Computer Law & Security
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Efendioglu, I. H. Digital consumer behavior: a systematic literature review. Prizen Social Science Journal. V. 8, n. 1. P. 67-80.
Etukudoh, E.A., Ilojianya, V.I., Ayorinde, O.B., Daudu, C.D., Adefemi, A., & Hamdan, A. (2024). Review of climate change impact on water availability in the USA and Africa. International Journal of Science and Research Archive, 11(1), 942-951.
Fuentes, C. (2019), “Smart consumers come undone: breakdowns in the process of digital agencing”, Journal of Marketing Management, 35(15-16), 1542- 1562.
Hagberg, J., Sundström, M., & Egels‐Zandén, N. (2016), The digitalization of retailing: an exploratory framework”, International Journal of Retail & Distribution Management, 44(7), 694-712.
Hamdani, N., Muladi, R., & Maulani, G. (2022), “Digital marketing impact on consumer decision- making process”, Proceedings of the 6th Global Conference on Business, Management, and Entrepreneurship (GCBME 2021). 220.
Hassan, A.O., Ewuga, S.K., Abdul, A.A., Abrahams, T.O., Oladeinde, M., & Dawodu, S.O. (2024). Cybersecurity in banking: a global perspective with a focus on Nigerian practices. Computer Science & IT Research Journal, 5(1), 41-59.
Hassija, V., Chamola, V., Mahapatra, A., Singal, A., Goel, D., Huang, K., Scardapane, S., Spinelli, I., Mahmud, M., & Hussain, A. (2024). Interpreting black-box models: a review on explainable artificial intelligence. Cognitive Computation, 16(1), 45-74.
IEA (2017). International Energy Agency. Renewable energy, IEA Forecasts. Paris, France: IEA.
Jiang, J., & Wang, X. (2024). Animation scene generation based on deep learning of CAD data.
Johnston, M. P. (2017). Secondary data analysis: A method of which the time has come. Qualitative and Quantitative Methods in Libraries, 3(3), 619-626.
Kalashnikova, T., Panchuk, A., Bezuhla, L., Vladyka, Y., & Kalaschnikov, A. (2023), “Global trends in the behavior of consumers of retail enterprises in the digital economy”, Iop Conference Series Earth and Environmental Science, 1150(1), 012023.
Kotler, P., (2005): Marketing management (13th ed.), Harvard business review, Prentice Hall.
Kuş, O. & Šević, N. (2021), “Theoretical approach to big data analytics and neuromarketing: advances in understanding consumer trends”, Digital Siege, 279- 295.
Lai, D.E. (2024). Agile transformations, culture, and the canadian financial sector.
Littlefield,R., Sellnow, D., and Sellnow,T.,(2021): Integrated Marketing Communications in Risk and Crisis Contexts, Lexington Books.
M. Zachariadis, P. Ozcan, The API economy and digital transformation in financial services: The case of open banking, SWIFT Institute Working Paper, 2017,
Matcov, A. (2024). Explainable AI in credit risk assessment for external customers (Bachelor's thesis, University of Twente).
Mayo-Alvarez, L., Del-Aguila-Arcentales, S., Alvarez-Risco, A., Sekar, M.C., Davies, N.M., & Yáñez, J.A. (2024). Innovation by integration of Drum-Buffer-Rope (DBR) method with Scrum-Kanban and use of Monte Carlo simulation for maximizing throughput in agile project management. Journal of Open Innovation: Technology, Market, and Complexity, 10(1), 100228.
McAfee. (2014). Net Losses: Estimating the Global Cost of Cybercrime. Center for Strategic and International Studies.
McGurk, B., & Reichenbach, S. (2024). The application of DLT in financial services: Benefits and use cases. In Financial Services Law and Distributed Ledger Technology (pp. 64- 90). Edward Elgar Publishing.
McKinsey. (2018). Business_Technology/Four_fundamentals_of_workplace_automation
McLaughlin, D. (2024). Remarks on Blockchain and distributed ledger technology in financial market infrastructures. Available at SSRN 4745315.
Morgan, B. 40 stats on digital transformation and customer experience, 2019.
Musavi, S. (2021), “The Digital Consumer Profile in 5.0 Societs In Strategic Marketing Management”, European Proceedings of Social and Behavioural Sciences. European Publisher.
Ochuba, N.A., Okafor, E.S., Akinrinola, O., Usman, F.O., & Amoo, O.O. (2024). Strategic partnerships in the satellite and telecommunications sectors: a conceptual review of data analytics-enabled identification and capitalization of synergies. Engineering Science & Technology Journal, 5(3), 716-727.
Okafor, E.S., Akinrinola, O., Usman, F.O., Amoo, O.O., & Ochuba, N.A. (2024). Cybersecurity analytics in protecting satellite telecommunications networks: a conceptual development of current trends, challenges, and strategic responses. International Journal of Applied Research in Social Sciences, 6(3), 254-266.
Rahmanov, F., Mursalov, M., & Rosokhata, A. (2021), “Consumer behavior in digital era: Impact of Covid 19”, Marketing and Management of Innovations, 5(2), 243-251.
Richards, N. M., & King, J. H. (2014). Big data ethics. Wake Forest L. Rev., 49, 393.
S. Wood, IPSOS Views: The evolution of shopper behavior, 2020.
Sağkaya Güngör, A., & Ozansoy Çadırcı, T. (2022), “Understanding digital consumer: A review, synthesis, and future research agenda”, International Journal of Consumer Studies, 46(5), 1829-1858.
Santos, W., Petroll, M., Júnior, J., & Rocha, R. (2020), “Marketing Digital e o Comportamento de Compra do Consumidor: Um Panorama das Publicações e Proposição de Agenda de Pesquisa”, Navus: Revista de Gestão e Tecnologia, 10, 01-17.
Saunders, M., Lewis, P., & Thornhill, A. (2016). Research Methods for Business Students (7th ed.). Pearson Education.
Schneble, C. O., Elger, B. S., & Shaw, D. (2018). The Cambridge Analytica affair and Internet‐ mediated research. EMBO reports 19(8), e46579.
Schultz, D. E., & Kitchen, P. J., (2000): Communicating globally: An integrated marketing approach, Macmillan Press Ltd.
Sklavos, N. (2017). Privacy in a Digital, Networked World: Technologies, Implications, and Solutions. By Sherali Zeadally and Mohamad Badra. Springer International Publishing: 418 pp.; $51.89; ISBN-10: 3319084690, ISBN-13: 978-3319084695. Retrieved from doi:10.3390/cryptography1010005
Smith, E. (2008). Using secondary data in educational and social research. McGraw-Hill Education.
Statista, ROI in media advertising worldwide in 2024, by region
Statista. https://www.statista.com/ statistics/ 2020.
Stephen, A. T. (2016), “The role of digital and social media marketing in consumer behavior”, Current opinión in Psychology, 10, 17-21.
World Economic Forum (2015a). Digital Transformation of Industries Demystifying Digital and Securing $100 Trillion for Society and Industry by 2025.
World Economic Forum (2015b). Understanding the impact of digitalization on society.
Zhou, J. (2021), “How Consumer Behaviors Shape Digital Marketing”. In 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021) 712-716. Atlantis Press.
Published
2024-12-23
Section
Articles
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