Category: consumer behaviour | 消費者行為 | 소비자 행동

Consumer behaviour is central to my role as an account planner and about how I look at the world.

Being from an Irish household growing up in the North West of England, everything was alien. I felt that I was interloping observer who was eternally curious.

The same traits stand today, I just get paid for them. Consumer behaviour and its interactions with the environment and societal structures are fascinating to me.

The hive mind of Wikipedia defines it as

‘the study of individuals, groups, or organizations and all the activities associated with the purchase, use and disposal of goods and services.’

It is considered to consist of how the consumer’s emotions, attitudes and preferences affect buying behaviour. Consumer behaviour emerged in the 1940–1950s as a distinct sub-discipline of marketing, but has become an interdisciplinary social science that blends elements from psychology, sociology, social anthropology, anthropology, ethnography, marketing and economics (especially behavioural economics or nudge theory as its often known).

I tend to store a mix of third party insights and links to research papers here. If you were to read one thing on this blog about consumer behaviour, I would recommend this post I wrote on generations. This points out different ways that consumer behaviour can be misattributed, missed or misinterpreted.

Often the devil is in the context, which goes back to the wide ranging nature of this blog hinted at by the ‘renaissance’ in renaissance chambara. Back then I knew that I needed to have wide interests but hadn’t worked on defining the ‘why’ of having spread such a wide net in terms of subject matter.

  • Internet Myths

    There are myths that we tell each other about the internet. These internet myths aren’t helpful. They can adversely affect our planning and our online experiences.

    Masks & Puppets Bali
    Laurent Houmeau – mask, Bali

    So onward to the internet myths:

    What’s online, stays online forever…. – Tell that to the archiveteam.org who were frustrated in their efforts to save Yahoo! Groups for posterity by Verizon. This obstructive unhelpful behaviour is entirely in keeping with Verizon’s core values.

    Or the 700,000 Tumblr blogs containing over 800 terabytes of that were deleted from the web. Machine learning software designated any image that contained round shapes or beige for deletion. This was part of a Verizon effort to purge adult content from Tumblr.

    Finally, keen students of digital media services like Amazon Prime, Apple iTunes, Apple Music, Spotify etc will know how content appears and disappears in their digital libraries. A case in point would be my collection of James A. Michener books that I bought on Apple Books and then disappeared less than a fortnight later. No refund, and no mindless reading material to keep me occupied on a long haul flight.

    Everything is online…. – no it isn’t. There are large rafts of content that aren’t digital let alone online. Google and IBM have worked on large scale digitalisation projects. But there is content that never made the jump from analogue to digital. Master tapes decaying in record company vaults. If you go through Discogs like I do on a regular basis, you can see a huge body of recording that have never made it online via legal, or illegal means.

    You can find anything you want online…. – I remember the first time I found a web ring. These were connected ‘walkthroughs of pages by different authors all linked together in a giant ring. They catering to people who liked different subject areas. Education had double the amount of subject area webbings compared to sports. Cats hadn’t conquered the web yet: there were just 17 rings for animals and pets.

    And you got an arcane level of detail in discussions about the subject area. Over time, the web became too vast for ‘surfers’ and search engines came to past. Prior to the rise of the modern social web, I saw estimates that Google only indexes 15% of the available web. So 85% of content that hasn’t disappeared isn’t searchable.

    Secondly, a lot of content is being created on platforms like Instagram; where search is essentially broken in nature. There is a similar curation of search in TikTok where the focus is on the ‘now’.

    Then there is the concept of link rot. Where deleted content or broken links caused by SEO (search optimisation), or technology platform transition mean that content disappears. The phenomenon has been studied since at least the mid-1990s and Library studies academics have put serious efforts into documenting it. They set out measure how ‘unstable‘ in nature the worldwide web is as a research resource. The quote below by Sarah Rhodes of the Georgetown University Law Center sums up the problem quite elegantly:

    In the context of web archiving and digital preservation, one often hears that the average life span of a web page is forty-four days. This statistic has been repeated among those in the digital preservation community for years, but it never seems to be accompanied by a citation. In a 2002 article by Peter Lyman, a footnote briefly explains why the source of this figure is so elusive: “These data sources were originally published on the Web, but are no longer available, illustrating the prob- lem of Web archiving.” Ironically, the very source of a statistic often used to sup- port the cause of web preservation has itself become a victim of “link rot.”

    Breaking Down Link Rot: The Chesapeake Project Legal Information Archive’s Examination of URL Stability by Sarah Rhodes, Georgetown University Law Center (2010)

    More online related posts here.

  • China remote network access + more

    Morgan Stanley blocks remote network access for China interns | Financial TimesAnother large US bank said its systems in China were exposed to frequent cyber attacks that were of “infinitely greater” magnitude than many other countries. – not terribly surprised that remote network access is a threat vector in China. More China-related posts here. It will be interesting to see if remote network access brings out more

    The Key to Winning Boomers Is To Be Turn-key | MediaVillage – basically like many cohorts, with a trusted brand convenience wins out

    Energy Department announces plan to build a quantum Internet – The Washington Post – Quantum only works point to point. This seems to be building Qubit computer capacity by copying supercomputing from the what I can see? From Long-distance Entanglement to Building a Nationwide Quantum Internet: Report of the DOE Quantum Internet Blueprint Workshop (Technical Report) | OSTI.GOV 

    Bingewatch Britain? Viewers more likely to finish a TV series if it’s released all at once | YouGov – reading this reminded me of Marshall Cavendish part-work books and their completion rates

    Do Chinese millennials want diversity in fashion ads? | Advertising | Campaign AsiaFashion’s culture wars are dividing Chinese millennials. In June, a series of fashion and beauty moves, including a Calvin Klein pride campaign featuring the black trans model Jari Jones and the decision by some top beauty groups to take their skin-whitening products off the market in China, polarized opinions across the country’s social media landscape. While the mainstream overwhelmingly saw these radical changes as a byproduct of the West’s excessive political correctness, the fashion-forward crowd recognized these debates as the start of a much-needed change in their country.

    Duterte’s troll armies drown out Covid-19 dissent in the Philippines | Coda Story – interesting analysis of social media in the Philippines

    Home Shoppers are Trending Toward Buying Sight-Unseen, Selling Virtually – Zillow Research – digital acceleration

    The Ultimate White Fragility | The New Republic – so much to unpack in this

    The FBI Is Secretly Using A $2 Billion Travel Company As A Global Surveillance Tool | Forbes – I would have been surprised if they weren’t doing this with SABRE

    Korean Air Seeks to Convert Passenger Jets to Cargo Planes | Chosun.com – surprised that British Airways didn’t do this with their Boeing 747s, rather than retiring them

    On the Twitter Hack – Schneier on SecurityWhether the hackers had access to Twitter direct messages is not known. These DMs are not end-to-end encrypted, meaning that they are unencrypted inside Twitter’s network and could have been available to the hackers. Those messages — between world leaders, industry CEOs, reporters and their sources, heath organizations — are much more valuable than bitcoin. (If I were a national-intelligence agency, I might even use a bitcoin scam to mask my real intelligence-gathering purpose.) Back in 2018, Twitter said it was exploring encrypting those messages, but it hasn’t yet.

    Ad Aged: More on the dismal science and the dismal state of Holding Company advertising. – interesting allegations of collusion

    Enter the parents | Film | The Guardianno one suspected that he would turn out to have two brothers still alive and living impoverished, anonymous lives in mainland China. Nor did they have any inkling that Jackie’s mother had once been a legendary gambler in the Shanghai underworld or that his father had been a Nationalist spy and gangland boss. These are among the more startling revelations that Cheung uncovers. “The fact that his mother was an opium smuggler, a gambler and a big sister in the underworld was a big shock to Jackie and also to us,” she admits. “Everybody in Hong Kong knew that his mother was like a common housewife, very kind, very gentle.”

    China has big ideas for the internet. Too bad no one else likes them – CNETNew IP would shift control of the internet, both its development and its operation, to countries and the centralized telecommunications powers that governments often run. It would make it easier to crack down on dissidents. Technology in New IP to protect against abuse also would impair privacy and free speech. And New IP would make it harder to try new network ideas and to add new network infrastructure without securing government permission

    Japan’s karaoke bars offer ‘mask effect’ feature to amplify singing while wearing face mask – the intersection of changing consumer behaviour and product design with extra amplification to pick up on voices covered by face masks

    Creator of Douyin / TikTok: How We Created A Product with A Billion Views A Day in 18 Months: Part I – Pandaily – China style growth hacking profiled

    Singapore
    Fabio Achilli – Singapore

    Disneyland with the Death Penalty | WIRED – William Gibson nails Singapore. And its still true almost 30 years later

  • EXP TV + more stuff

    EXP TV – not quite sure how to describe it; EXP TV is just tremendous. In their words “EXP TV daytime programming is called “Video Breaks”—a video collage series featuring wild, rare, unpredictable, and ever-changing archival clips touching on every subject imaginable. Similar to how golden era MTV played music videos all day, daytime EXP TV streams non-stop, deep cut video clips filtered through our own distinct POV. Our Nite Owl programming block features specialty themed video mixes and deep dives on everything under the sun: Bigfoot, underground 80s culture, Italo disco, cults, Halloween hijinks, pre-revolutionary Iranian pop culture, midnight movies, ‘ye ye’ promo films, Soviet sci-fi, reggae rarities, psychedelic animation and local news calamities. On any given night you could watch something like our Incredibly Strange Metal show followed by a conceptual video essay like Pixel Power—our exploration of early CGI art. Aside from our unique tone and deep crate of video materials, one thing that really sets us apart in 2020 is our format. We are *not* on demand, we are *not* interactive—just like old TV! You can tune in anytime and something cool will be on. That’s EXP TV in a nutshell. It’s funny, it’s art, it’s music, it’s infotainment, it’s free and it’s 24/7.” EXP TV reminded me a lot of the pioneering night time TV programming that used to run on British TV.

    Gen Z wants brands to be ‘fun,’ ‘authentic’ and ‘good,’ study says | Marketing DiveGen Zers prefer brands that are authentic, with 82% saying they trust a company more if it uses images of real customers in its advertising, while 72% said they’re more likely to buy from a company that contributes to social causes. Product quality, positive ratings and reviews and customer service are the top three characteristics that establish trust in a brand among Gen Zers – really? I am sure if you asked any cohort through time of the same age that would have come out as the result. More on ‘generations‘ here

    Why Corporate America Gave Up on R&D – Marker – great conversation about basic research and its place in the economic life of a business

    The Changing Structure of American Innovation: Some Cautionary Remarks for Economic Growth – basically US innovation is dying out as corporate basic research is no longer happening. It echoes the work that people like Judy Estrin has done in the past

    Produce your own physical chips. For free. In the Open – FOSSi Foundation – interesting that Google is supporting open source silicon prototyping on 130nm process – not cutting edge but moving things forward massively for electronics designers

    China ‘trying to influence elite figures in British politics’, dossier claims | Politics News | Sky News – not terribly surprising. I’d be surprising if Chna wasn’t trying these things. More fool the UK for allowing it to happen passively

    Exclusive: Digital natives see PR as ‘press releases and gin-soaked lunches’ – Sorrell | PR Week – depending on the industry its probably pretty fair, though probably less gin than there was previously

    What’s really behind “tech” versus “journalism” | Revue – really management vs employees – it seems to have got much more toxic than when I worked at Yahoo!

    MullenLowe merges Profero and Open in UK – surprised that that this wasn’t on the cards sooner to be honest with you

    Lessons from the fall of luxury e-tailer Leflair – Vietnam based luxury start-up goes under with $280,000 in unpaid goods

    TikTok to pull out of Hong Kong – Axios – interesting how they got out ahead of Facebook, WhatsApp etc. TikTok might feel its mainland app Douyin can be swapped in. It is an interesting canary in the coal mine for Twitter, Facebook, WhatsApp etc

    Holographic Optics for Thin and Lightweight Virtual Reality – Facebook Research and Alphabet buys a rival company North who do similar technology Our focus on helpful devices: Google acquires North – more related posts here.

    Interesting French short film about the future from 1947. In some ways it is a better predictor of technology usage than Star Trek some two decades later.

    La Télévision, œil de demain (1947) – J.K Raymond Millet

    ‘What Big Tech does to discourse, and the forgotten tech tool that can make tech less big’ with Cory DoctorowIt is a conspiracy is to have an energetic mastery of wrong information. And sometimes that information in fact provides a good, not evidentiary basis, but a good fact pattern to support skepticism of a regulator – Cory Doctorow’s speech is long but well worthwhile.

    Luckin Coffee investors oust founder | Financial Times – this looks very similar to WireGuard. The problem is that audited books can’t be trusted due to local law. And locally written analyst reports have to self-censor allowing this kind of thing to happen. China doesn’t seem to be moving to change its law in the same way that Germany is to try and protect shareholders

    Facebook Suspending Review of Hong Kong Requests for User Data – WSJ – based on the Xi administration’s concerns about national security and cyber sovereignty; one can expect China to extend Great Firewall into Hong Kong with this. Which will then impact multinational companies who have traditionally used Hong Kong as an exit point for China operation VPNs. It will also affect Hong Kong’s position as a regional base. Firms would no longer want to use the data centres and backbone networks that Hong Kong has. More from the FT: Facebook and Twitter block Hong Kong authorities from accessing user data | Financial Times – WhatsApp, Facebook, Twitter and Telegram have all given the Chinese Communist Party the finger. They have a strong incentive to. Chinese drop shipping businesses like Shein or Wish will suffer more than Facebook. And it plays well in parliaments and distracts from the other troubles that they may have. China gets burnt because of its information warfare games on these platforms. Facebook et al provide Chinese marketing teams a gateway into markets around the world that WeChat and TikTok don’t – which dings the Chinese government’s economic goals

    ‘Abolish Silicon Valley’ vs. ‘Always Day One’: Who’s Right About Fixing the Tech Industry? | OneZero – this conversation wouldn’t have even happened 10 years ago, but its needed. If not from ethics perspective, then from its failing in innovation as outlined many years ago by Judy Estrin.

    Encryption-Busting EARN IT Act Advances in Senate | WIRED  – if you care about privacy, this is frankly terrifying

    Above Avalon: Apple Is Pulling Away From the Competition – the obvious candidates missing here are Huawei, Xiaomi and the BBK firms (Oppo, Vivo etc) which have driven the smartphone market into the middle in China and opened a can of whoop ass on the premium sector overall

    Philip K Dick’s Metz speech is mind blowing. It was done at an international science fiction festival in 1977, held in Metz, France.

    Did China Steal Canada’s Edge in 5G From Nortel? – Bloomberg – short answer yes. Though it probably didn’t help that they had a management team that had failed to act when they were warned about infiltration, a infrastructure business reliance on the frame relay network market and partnered with Microsoft on a lot of enterprise technology. Some fantastic stuff in this article – Did a Chinese hack kill Canada’s greatest tech company? – BNN Bloombergin the late 1990s, the Canadian Security Intelligence Service, the country’s version of the CIA, became aware of “unusual traffic,” suggesting that hackers in China were stealing data and documents from Ottawa. “We went to Nortel in Ottawa, and we told the executives, ‘They’re sucking your intellectual property out,’ ” says Michel Juneau-Katsuya, who headed the agency’s Asia-Pacific unit at the time. “They didn’t do anything.” By 2004 the hackers had breached Nortel’s uppermost ranks. The person who sent the roughly 800 documents to China appeared to be none other than Frank Dunn, Nortel’s embattled chief executive officer. Four days before Dunn was fired — fallout from an accounting scandal on his watch that forced the company to restate its financial results — someone using his login had relayed the PowerPoints and other sensitive files to an IP address registered to Shanghai Faxian Corp. It appeared to be a front company with no known business dealings with Nortel. The thief wasn’t Dunn, of course. Hackers had stolen his password and those of six others from Nortel’s prized optical unit, in which the company had invested billions of dollars. Using a script called Il.browse, the intruders swept up entire categories from Nortel’s systems: Product Development, Research and Development, Design Documents & Minutes, and more. “They were taking the whole contents of a folder — it was like a vacuum cleaner approach,” says Brian Shields, who was then a senior adviser on systems security

    Why China’s Race For AI Dominance Depends On Math | The National Interest – concerns about STEM education outside China

    “Who Sells Bricks in Hong Kong” Hopes to Introduce New Actors | JayneStars – as dark as things are for Hong Kong’s film industry, ViuTV drama looks to Hong Kong film past for inspiration

  • Autopilot Whopper + more things

    Burger King’s Autopilot Whopper campaign reminds me of a lot of the classic work that Crispin Porter Bogusky have done for Burger King over the years. The Autopilot Whopper is based on the insight that Tesla cars machine learning powered vision system that helps with self driving function mistakes the Burger King logo for a Stop sign.

    https://youtu.be/A0cb7wZVFf4

    Autopilot Whopper entertaining with this schadenfreude around Tesla technology. And it also lands the message that the Burger King drive through is as good a place to stop as any.

    YouTube announced the winners of its 2020 YouTube Works awards. I would strongly recommend that any brand planners bookmark this in their browser and dip in on a regular basis.

    The one that really piqued my interest the most was Hulu’s campaign for live sports that tapped into a growing consumer cynicism around influencers. The sports linkage was using NBA basketball players as the influencers.

    The iconic Zero Halliburton briefcase stuffed with cash, that more money is thrown into as ‘Hulu has live sports’ is mentioned riffs on the old McDonald’s initiative. The McDonald’s scheme that paid rappers for name checks on songs and mixtapes. It also tapped into how consumers view influencers.

    Public Enemy came back when we most need them. Flavor Flav seems to have patched up his beef with Chuck D. Public Enemy have partnered with DJ Premier to capture the zeitgeist. Black Lives Matter, COVID19 and chaotic leadership feature in State Of The Union (STFU). DJ Premier’s product references earlier Public Enemy works scratching in sounds of early Public Enemy vocals in this track. The beat is more laid back than what one would expect from the Bomb Squad production team. But the Public Enemy fire in the belly is still there.

    The step chickens are a meme driven ‘cult’ that have sprung up on TikTok. More accurately they are a directed community. Here’s the founder on how they came about. Their heat has been parleyed in a community for a new app. From a product point-of-view, this means that something like TikTok could lose chunks of its user base IF the step chickens phenomenon was widely and successfully replicated. Given that it was a mix of smarts, happenstance and pure luck it isn’t likely: sorry brands.

    German China-focused think-tank MERICS had a thoughtful presentation put together on the Hong Kong national security law. The presentation focused on the impact for the financial services sector. But there similar lessons to be drawn for professional services (accounting, management consultancy, legal firms). And only for a a slightly lesser effect on the strategy and planning functions of creative agencies, or counsel based PR functions.

    On reflection, I would be concerned about how some of the creative briefs for China-focused campaigns that I have written would have faired against the Hong Kong national security law. Probably not that well.

    What immediately becomes apparent is the implications for quality research into companies and economics won’t meet international standards. Which means more fodder for the likes of Muddy Waters Research LLC. It likely indicates a conscious effort for China to decouple from the international financial system.

    The calculus behind the Hong Kong national security law seems to be that the Chinese government think yet another (internal) market for Chinese stocks will be a better deal than the traditional gateway to and from China Hong Kong has provided. I am not sure what this bet will mean. Shenzhen already has a robust stock market by Chinese standards; would China really need Hong Kong? Without the gateway role, Hong Kong would also find it harder to be the point of capital departure from China for high net worth citizens. Dampening capital flight would definitely hold some attraction to the Xi administration.

  • Problems American style + more

    New York’s Problems Are America’s Problems Now“Most cities are the same animal at a different scale,” Esteban Moro, a physicist who studies cities and measured New Yorkers’ interactions during the shutdown, told me. Bigger city, smaller city—it doesn’t make much of a difference, Moro says. You’ll meet about 5,000 people a year. – It makes sense if one thinks about major cities as ‘early adopters’ then their problems will spread over time.

    Apple wants your iPhone to replace your passport and driver’s license | Appleinsider – I know WeChat had similar aspirations for Chinese ID cards and drivers licence

    Opinion | How China Scammed Hong Kong – The New York Times – ignore the click bait title, it’s a nice summary of the national security law and points out how the basic law allowed this gap. More on Hong Kong here.

    American firms’ move into China over past 20 years threatens US ability to lead and compete: report | South China Morning PostUS MNEs’ reliance on China as a source of sales and a pivotal hub for global manufacturing poses a risk of solidifying dependencies for selected industries that bear on US national security. Furthermore, such reliance threatens to heighten the cost of supply chain diversification

    Pressured by China, E.U. Softens Report on Covid-19 Disinformation – The New York TimesBeijing’s efforts to curtail mentions of the virus’s origins in China, in part by blaming the United States for spreading the disease internationally. It noted that Beijing had criticized France as slow to respond to the pandemic and had pushed false accusations that French politicians used racist slurs against the head of the World Health Organization

    The Hustle on Coupang – a Korean analogue to Amazon that’s expanding their business

    LinkedIn | Baiba Matisone – 60 behavioral biases to better understand the consumers.

    US Attorney General William Barr says American businesses ‘part of problem’ in tech war with China | South China Morning PostBarr portrayed parts of the US business community as ingrates because “they’re willing – ultimately, many of them – to sacrifice the long-term viability of their companies for short-term profit, so they can get their stock options and move into the golf resort”. – I found this a much more profound statement on so many levels

    Typography – Goldman Sachs Design – Goldman Sachs put out its own font under a fairly permissive licence

    How This Electronics Juggernaut Got Its Start in a Bombed-Out Department Store • Gear Patrol – nice intro to the history of Sony

    How a Billion Dollar Eyewear Company Started in the Back of a Honda Civic • Gear Patrol – ‘define problems, find solutions, wrap them in art’

    Facebook executive admits to ‘trust deficit’ on call with advertisers | Financial Times – stating the obvious, with Trump-related decisions is just latest in long line of trust related issues for Facebook from brand safety issues with content to analytics

    Dove Soap’s Owner Is Criticized Over Skin-Lightening Cream – WSJ – unfortunately a set of consumers want the product and if Unilever didn’t sell it other people would

    I love you. You love me. | Ad Ageds – well worth while reading as it brings commitment into focus

    Step Chickens and the Rise of TikTok ‘Cults’ – The New York TimesCults on TikTok aren’t the ideological ones most people are familiar with. Instead, they are open fandoms revolving around a single creator. Much like the “stans” of pop figures and franchises, members of TikTok cults stream songs, buy merch, create news update accounts and fervently defend their leaders in the comment sections of posts. The biggest difference is that TikTok’s cult leaders are not independently famous. They’re upstart creators building a fan base on social media. Ms. Ong represents a relatively new kind of influencer, one who has seized a time of great isolation and idleness to capture the interest of a rapt user base. “I made this video where I was speaking into my phone camera like, ‘Hey guys I think we should start a religion,’” she said in a phone interview on Friday. “Then, I was like, ‘Let’s start a cult.’”