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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
Introduction
Driven by booming sales of low-end models, shipments of smartphone will rise
to account for more than half of the worldwide cellphone market in 2015. ( IHS
iSupply, 2011). Led by this new trend, Taiwan is no exception. The latest generation
of mobile phones that provide high-speed Internet access and advanced functionality
is changing how people consume and act on information. Smartphones make it easy
for users to email, organizer and web browsing, so users can stay informed. Therefore,
there is no doubt that the shipments of smartphone is booming in the global market.
The number of smart phones sold worldwide in 2011 reached 472 million, accounting
for 31% of the total sales of all mobile phones, an increase of 58% compared with
2010 (Silva, 2012). The smart phone penetration rate in Taiwan has reached to 609
million people in2012 (FIND). According to a statistics conducted by Computer
Information Service Center, it is predicted that 1 in 2 Taiwanese will possess a smart
phone by the year of 2015. CISC projects that smartphones will become the majority
of cell phones in use by the year of 2015, which means smartphones are to overtake
the feature. Smartphones bring us convenience. In addition, another reason for
booming of smartphones is that the development of applications. Since it is
convenient and easy to use, the obsession people have for their smartphones has
grown more out of control over the past few years. For instance, social networking
applications, such as Facebook, and game apps have contributed to people’s
addictions. Therefore, marketers should consider their customers‟ requests, and
buying behaviors (Kotler, 2009). The headquarter , Francis Sideco, said that “Success
in the mobile phone industry is no longer purely a function of hardware capabilities.”
(IHS, 2011).
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
Attention will therefore be drawn to consumer behavior. Questions will be focus
on what drives Taiwanese college students’ motive to buy smart phones. In the article
the author is going to name factors what influence the consumers’ behavior, and to
describe them and offer insight in theoretical and practical classification of these
factors.
Empirical studies of youth have demonstrated the ways in which young people
are addicted to smart phones. The amount of smartphones addicts is identifiable by
the research has stated and the number of factors. Therefore, the purpose of this study
is to investigate college students’ usage on smartphones, perception and issues of
psychographics, which based upon a study by Reynolds and Darden.
It is important to note that the development of psychology theory in relation to
youth. Bian brought together the idea of the interrelationships among psychological
attributes such as shyness and loneliness through the expansion of the theoretical
ideas outlined by Turkel (2008). The theory took up the concept of how demographics,
psychological attributes and smart phone usage can predict addiction symptoms. Past
studies also recognized the problematic dimension of excessive usage of mobile
phone in young people e (Bianchi & Phillips, 2005; Monk et al., 2004; Palen et al.,
2001; Paragras, 2005). The author mentioned the two main issues, which are face to
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
face communication and smart phone addiction. However, this issue of consumer is
seldom touched on, such as the consumption behavior, the background of college
students’ life style, and the consumption ability, thus based on the study of consumer
behavior so as to have a better understanding of their needs of smart phones. Also, I
will probe into relevant the smart-phone goods purchasing intention with influence of
perceived price, brand image, perceived quality, perceived value. As a result, the
thesis aims at exploring the college students’ preference of smart phone applications
as well as investigating the key factors of the college students’ preferences. An
organization can continue to survive if it can supply consumer needs and demands
with a comprehensive understanding of them. This shows the importance of studying
consumer behavior (Hawkins et al., 2006).
Combining consumer behavior and psychology, so that it could clarify the
different ways in which conceptual variables may account for differences in peoples '
behavior. In order to understand the relationship between college students
consumption behavior on smart phones and the purchasing attitude of phone users,
this research will conduct investigation relative to relationship marketing, product
knowledge, perceived value..
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
In addition to linking psychology attributes for smart phones, I found that there is
little issue about life styles in linking to college students’ life. Therefore, the following
will focus on life style. And my questions are (1) under what circumstances trigger
them to buy smart phones? (2) What kinds of deciding factors that make them
purchase?
Apart from consumer theory, lifestyle is also related to this issue. Next section
will detail the definition of what exactly lifestyle means, psychographic, the
motivation of buying smart phones and consumer behavior.
Life-style is a systems concept. It refers to a distinctive or characteristic mode of
living, in its aggregate and broadest sense, of a whole society or segment. The
aggregate of consumer purchases, and the manner in which they are consumed, reflect
a society's or consumer's lifestyle.(Lazer1963).
The term "life style"...suggests a patterned way of life into which [people] fit
various products, events or resources. It suggests that consumer purchasing is an
interrelated, patterned phenomenon...products are bought as part of a "life style
package" (p. 153).
Lifestyle may be defined as unified patterns of behavior that both determine and
are determined by consumption. The term "unified patterns of behavior" refers to
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
behavior in its broadest sense. Attitude formation and other types of subjective
activity are not readily observable. Lifestyle is an integrated system of attitudes,
values, opinions and interests as well as behavior. As a consequence, this can help
research to understand consumers’ motivation and individual features. Besides,
lifestyle can divide consumers into different groups so as to establish different
markets of each area.
On the other hand, the aspect of psychographics may be viewed as practical
application of behavioral and social science to marketing research. It is because that it
seeks to describe human chararcteristics of consumers that may have bearing on their
response to products, packaging, advertising, and public relations efforts. Such
variable may span a spectrum from self-concept and lifestyle to attitudes, interests and
opinions, as well as perceptions of product attributes. Therefore, Demby further
explained the most three variables of psychographic, which are first, as the earlier
mentioned, “product attributes” means, as proposed by the marketers or by the
consumers. Second, lifestyle which evidenced by behavioral variables illustrating the
use of time, services and products of the consumer. The last variables that the author
holds is psychological prob. Demby thinks it is expressed as self-concept and interests
and opinions.
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
Next, according to Solomon (1999), consumer behavior, with the aim of
satisfying needs and desires of people and different groups, examines the process
affecting the selection, purchase and use of products, services, ideas and experiences
(Ismailpour&Ghafarieashtiyani, 2002). Consumers‟ behaviors are physical emotional
and mental activities to satisfy the needs and demands of the consumers when people
select, buy, and use goods and services and to discard the product (Wilkie, 1994).
Consumer research has been dominated by the multiattribute attitude models (Sheth
1979). The multiattribute approach suggests that once attitude is known, it can help
predict and understand preference (that is, affect), purchase intention, and choice.
Smart phone addiction
“People who are addicted to cell phone always keep their mobile phones on; they
tend to use their mobile phones even when they have a land-line phone at home; and
they normally are confronted with financial and social difficulties due to their
excessive mobile phone use” (Roos, 2001). Past studies also recognized the
problematic dimension of excessive usage of mobile phone in young people (Bianchi
& Phillips, 2005; Monk et al.,
Though Bian Mengwi Casey defines the role of linking psychological attributes
to smart phones, however it did not provide very much psychographics. Based on
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
Bian Mengwi Casey’s paper, it is not clear what a typical set of values or principles
looks like and how different sets of values of different people vary. The question is
left in my mind and the effects on behavior is not made explicit in the literature, so
this the reason why I include the factor of psychographics.
In an alternative psychological approach, Reynolds and Darden (1974) and Earl
(1983) relate lifestyle to George Kelly's 'Personal Construct Theory', which is based
on the proposition that individuals develop a system of 'constructions' against which
all actions are Judged and evaluated. This provides a framework for the individual
development of a coherent lifestyle.
It is therefore not clear how the sets of values uncovered by the market
researchers, using large-scale survey techniques, relate to the sets of values which
might emerge from an Adlerian therapy session. In so far as they are similar, the
market research studies go some of the way to meeting one of the deficiencies in the
Adlerian approach, in that they make explicit, empirically, the link between certain
sets of values and certain patterns of behavior, including consumption patterns and
leisure activity. The links are however empirical and are not theoretically explained.
McCracken (1988), Saunders (1988) and Warde (1990) focus on consumer
behavior as a central activity of contemporary social life. The interactions between
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
individuals as consumers, and advertisers, marketers and cultural 'producers' are key
processes through which lifestyles are formed. Also influential in this context is the
work of Simmel (1976;Mommaas, 1990) who draws a distinction between the culture
of society as a whole and how it is produced, and culture, or lifestyle, as lived and
perceived by individuals.
Consumer behavior
Consumer behavior includes a series of mental and physical processes that
continues through before and after purchase. (Peer & Olson, 1999). Studying
consumer behavior includes the study of what, how, and why people are buying
(KhajehNasiri, 1387). Consumer behavior indicates how consumer decisions are
made, how the goods or services are used (Mc Daniel, 2003).
On top of that, among these factors, the most is important factor is the project
assessment. Based on Kolter’s consumers’ deciding factor mode, he thinks that
consumers buying a smart phone that based on smartphones fetures, such as its
software, hard ware, and the outlook of its designing that corresaponds to individual
needs. Accumulating all the factors then analyzing what features interest consumer
most with the view to providing the reference for smartphone companies.
Besidse, when purchasing goods, we are also being affected by psychology
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
factors, which are motivation, perception, belief and attitude. So here is issue I want
to look at. I will present three authors. First, according to Fred’s theory, motivation
means behavior is guided by subconscious. Second, according to Maslow hierarchy
needs, behavior is driven the lowest need. Last, Herzberg’s Two Factory theory, he
thinks behavior is guided by motivating and hygiene factors. Therefore, my questions
are following: How do consumer characteristics influence buying behavior? What
major psychological processes influence consumer responses to the marketing
program? How do consumers make purchasing decisions? How do marketers analyze
consumer decision making?
Speaking of motivation, here is a famous paper named--- a theory of human
motivation proposed by Maslow, he asserted six elements from the bottom to top
which are psychological, safety, needs love and belonging esteem, self-actualization
and self-transcendence.
1) Physiological: hunger, thirst, bodily comforts, etc.
2) Safety/security: out of danger;
3) Belongingness and Love: affiliate with others, be accepted; and
4) Esteem: to achieve, be competent, gain approval and recognition.
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
Definition of Beliefs and attitudes
Beliefs and attitudes in marketing mean that evaluations often reflect beliefs and
attitudes. Through experience and learning, people acquire beliefs and attitudes.
These in turn influence buying behavior. Moreover, attitudes can be divided into three
To be specific, belief means a descriptive thought that a person holds about
something, while attitude means a person’s enduring favorable or unfavorable
evaluation, emotional feeling, and action tendencies toward some object or idea.
Problem Recognition
The buying process starts when the buyer recognizes a problem or a need. The
need can be triggered by internal or external stimuli. Therefore, marketers need to
identify the circumstances that trigger a particular need so that they can develop
marketing strategies that trigger consumer interest.
Thus, my purpose of this research is to investigate users' behavior, smart phone
addiction, satisfaction levels, and motivations. Hope the results of paper may help
engineers and designers to think up new applications for college students to meet their
specific requirements. An organization can continue to survive if it can supply
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
consumer needs and demands with a comprehensive understanding of them. This
shows the importance of studying consumer behavior (Hawkins et al, 2006).
Background
In recent years, there has been a wide-spread use of smartphones compare to the
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
past 10 years.It is obviously being noted cell phones transform into smart phones,
which with a wild variety of functions and features. They are replacing the watch, the
camera, the standalone GPS, the alarm clock, and many other tools. Smartphones
have become important media within people’s life.It is not only brings about the big
profit for manufactures but also develops the mobile application service, as a result, it
attributes the transformation on consumer behavior as well as affect the mode of
consumer’s life. Over the past decades, we use cellphone aims for calling and texting,
however, now we use it for further utilization which are, for instance, surfing the
Internet and emailing other than that, smartphones also feature GPS for finding your
way around the world. According to latest survey by FIND, the smart phones
penetration rate in Taiwan has reached to 609 million people in 2012.Compared to last
year only 297 million Taiwanese have smartphones, which indicate the sales of
smartphone have a significant growing.That is a change from the current structure from
the year of 2011 to 2012.Also, it is predicted that 1 in 2 Taiwanese will possess a smart
phone by the year of 2015 conducted by CISC. This high lights the importance of as
consumers’ higher demand of smart phones so does the greater of its potential in mobile
application service sales is increased. Whether it is mobile application services or smart
phones, they are both facing a new wave of being changed and challenged.
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
As has been noted previously, smartphone phones have become an integral part
of Taiwanese. Just as many people have a smart phone as have a computer. According
to a report survey in 2011, there aremore than85.3% of Taiwaneseown a cell phone.
Within 85.3%, the penetration rate of smartphones are 16.6%. A survey done
byFIND,among 66.9% Taiwanese will use smartphone for checking maps or book a
ticket; 30.8% Taiwanese will check their smartphones while watching TV; 25.6%
Taiwanese will use smartphone for checking the product of prices while they are
shopping the mart. Compared to the past, the main uses of cell phones are voice calling
and text messaging. However, today the basic cell phone is being replaced by the
smartphone. But what is the difference between a cell phone and smartphone? By
definition,smartphones have a mobile operating system, which allow users to store
information, browse the internet, sync their e-mail, and install programs (often
referred to as apps). While text messaging, at 68 percent, is still the most popular
smartphone service . In addition to that many of the other services that are more
smartphone friendly are growing in use: web browsing (44.5 percent), app usage (10.8
percent), social networking (9.1percent), listening to music (20.7 percent) and playing
games (20.7 percent) (FIND,2011).
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
Theoretical framework
My theoretical framework will be guided by two theories which are Kolter’s four
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
O’s, Consumer Decision-making Model, and Technology Acceptance Model. Based
on these three theories which allow me to probe into the relationship between college
students perception and willingness of purchasing smartphones.
First, It is a brief introduction of Kotel’s 4 O theory. The first O is “objectives”,
which means the purpose of buying smartphones, and that will base on a theory
proposed by Maslow,(motivation and personality,1970) to give further explanation. In
addition, speaking of motivation, Maslow asserted six elements in his theory, which
are psychological, safety, needslove and belongingesteem, self-actualization and
self-transcendence. The second O means object, which will further discusses the most
popular smartphone among college students.(i.e. the brand of smartphones) The third
O represents organization, and that means who is responsible for purchasing
smartphones. It may be a person or a group of people, and the subjects decide the
variables in this research. The fourth O means operation, i.e. buying behavior, which
means how consumers think, feel, reason, and select between different alternatives
(e.g., brands, products).
Secondly the definition of Consumer Decision Model; accordthe Consumer
Decision Model, which also known as the Engel-Blackwell-Miniard Model. CDM is a
sophisticated integration of the various social, psychological and marketing influences
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
on consumer choice into a coherent sequence of information processing . (Foxall,
1990). In addition, EKB also took CDM as their studies. They see consumer behavior
as a successive activity, therefore they constructed the theory of EKB. EKB identified
the five key elements that affect consumers’ decision. Following are the five key
elements in EKB mode.
1. The need of confirmation. Generally speaking, the consumer receives the most
information about a product from commercial sources.
2. Gathering information: The most effective information often comes from
personal sources or public sources that are independent authorities.
3. The project assessment: Having been gathered some information. Consumer
will start to entitle the brands in his or her mind. If products are good, and
consumers will begin to format an attitude toward the products then apply to
different assessment processes. In the evaluation stage, the consumer forms
preferences among the brands in the choice set. The consumer may also form
an intention to buy the most preferred brand.
4. Deciding factor: First, the consumer is trying to satisfy a need. Second, the
consumer is looking for certain benefits from the product solution. Third, the
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
consumer sees each product as a bundle of attributes with varying abilities for
delivering the benefits sought to satisfy this need.
5. The reaction of buying products: If products are live up to consumers’
expectation, consumers will feel satisfied vise versa. Consumers’ satisfaction
level will reflect on public praise, repurchase behavior and the perception of
products.
On the other hand, CDM is composed of six aspects, which are information,
brand recognition, attitude, confidence, and intention. Following are the brief
introduction of each aspects.
1.
Information: It is indicated that consumers are being stimulated and that
cause a perception. Often consumers through recalling to assess whether
the product is worthy to buy or not.
2.
Brand recognition: Consumers’ recognition toward the product. Usually it
is related to the form of the product; it may be the product itself, the
wrapping or consumers’ feeling toward the product.
3.
Attitude: It is related to the functions of product. It is indicated that
whether the product satisfies consumers’ need.
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
4.
Confidence: It points out consumers’ ability of judging a product and their
satisfaction level toward the product.
5.
Intention: It is indicated that consumers’ psychology status. Besides, the
occurrence of event will affect consumer behavior.
6.
Purchase: It suggests that consumers are influenced by the brand mark of
the product and the marketing strategy.
In nutshell, it boils down the consumer’s attitude and preference. The view of
consumer behavior has evolved through a number of discernable stages, for instance,
need recognition, information search, evaluation of alternatives, the building of
purchase intention, the act of purchasing, consumption and disposal. Although it is a
complicated and multi-perspective process, it offers a solid foundation in my study,
and that provides me to understand how strategy can drive and affect practical
marketing decisions. An organization can continue to survive if it can supply
consumer needs and demands with a comprehensive understanding of them. This
shows the importance of studying consumer behavior (Hawkins et al, 2006).
Last, is the study of Technology Acceptance Model. Technology Acceptance
Model (TAM) that explains perceived usefulness and usage intentions in terms of
social influence and cognitive instrumental processes. The value of TAM lies in
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
whether a consumer willingly likes to use it or adopt it. However, under what criteria
should we use or adopt, and what factor will influence consumers’ decision has yet to
be further discussed. In other words, TAM attempts to explain and predict why users
sometimes accept and sometimes reject information systems.
Below is the graph the Technology Acceptance Model (Hubona & Geitz, 1999).
TAM provides how external variables affect internal’s belief, attitude and intention.
Figure1: TAM
Perceived Usefulness
External
Variables
Attitude
toward use
Behavioral
intension to use.
System Usage
Perceived Ease of Use
Combine with TAM and CDM, it can conclude a notion, which the graph as follows:
Figure2
Independent variables
Attitude toward the brand
and the perception of the
products
Attitude toward the brand
dependent variable
Intention
Purchase
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
Information
H1: There is a positive relationship between brand image and loyalty intention.
H2: There is a positive relationship between brand image and customer satisfactory.
H3: Customer Experience significantly influences brand image.
Methodology
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
Participants
The population for this research were Taiwanese college students. Of the fifty
students enrolled in the program, thirty-five completed all phases of the research.
twenty-five of the participants were female and ten were male.
Materials
The instrument used in this study included questionnaires as well as the
combination of TAM mode, CDM modules, EKB mode to study influences between
smart phone usage and purchase behaviors. The method to carry out this study was
using a survey, which included questions and statements to which the participants
were expected to respond anonymously. The questionnaire consists of 26 items and is
divided into seven parts.
Procedure
Survey was conducted in the year 2013 and questionnaire was based on 5 point
likert scale and multiple choices. Sample size consists of 100 respondents of
Taiwanese college students. A plot version of the questionnaire was administered to
100 college students in Wenzao, thus I administered the questionnaires via e-mail and
social networking sites. The subjects were asked to fill out the questionnaires which
elicited information concerning his/her attitude and motivation as well as to evaluate
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
their experiences with smartphone with the view to exploring their perception on
brand image and after-sales service level to smartphone they used.
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Digital connectivity: An Analysis of the effects of Smartphone Usage
on Taiwanese College students’ behavior
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