There's a customer-power revolution taking place. Obviously, it's rooted in the pervasive use of Internet marketing and retail, but it's much more than that, too. Customer concerns and behavior are affecting business processes, systems, and departments throughout the company—from marketing to IT—even if you're in durable goods, industrial products, or services. And its impact is also filtering up through the ranks, changing corporate strategy about how companies deal with customers online and in every other way.
Consider that 70% of automobile buyers now go online for car information, according to a study by J.D. Power and Jupiter Research. In fact, the typical auto buyer now enters the showroom with specifications, invoice prices, and information on dealer margins and promotions, which are all gleaned online. This information gives consumers power over the dealer, resulting in a lower purchase price.
In another example, more than two-thirds of travelers go to the Web for travel information, according to marketing and public relations firm Yesawich, Pepperdine, Brown & Russell. Travelers know that Expedia, Orbitz, and Travelocity can help them find the best airline and hotel rates, plus advice on how to lower their other travel costs.
And in health care, where electronic services sometimes lag, more than two-thirds of Americans now use the Internet to learn about medical options and take control of their health. Many visit online communities to discuss specific diseases, where they can obtain information on available treatments. These informed consumers are increasingly asking their physicians for specific prescriptions.
In fact, it's difficult to find a field where customer power hasn't increased. Along with the National Do Not Call Registry comprising more than 100 million phone numbers, CAN-SPAM regulations, and political customer activism, Internet-powered information and buying options are creating new ground rules. Customers are aggressive in making their preferences known, too. For example, 90% of consumers say they're either "angry" or "furious" about pop-up ads on their screens, according to Advertising Age. Another survey indicates that 54% of consumers would avoid buying products from companies that overwhelm them with marketing and advertising.
