Channel Choice Citizens’ Channel Behavior Drs. Willem Pieterson March 26th, 2009 Channel Behavior Influencing behavior Experience Channel Choice Channel Usage Channel Evaluation Experience • Channel choice: the picking of the channel at a certain moment • Channel usage: the aggregated use (long term) Background • Why study channel choice? – ICT’s (technological evolution) • 1990’s Internet/WWW/ • Dot-com hype – e-Commerce – e-Government • Focus of e-Government shifts to: – Internet (technology) – The external side Background • Optimism about the e-Channels: • “The explosive entry of technology into every aspect of life has changed how people live, how they work, how companies do business – and how governments serve their people. For the first time since the creation of the modern welfare state, there is now a real opportunity to ‘reinvent’ government” • (Silcock, 2001) Background: Channel Usage • Channel Usage after the hype Tax and Customs Administration 18000 Numbers (x1000) 16000 14000 12000 10000 Telephone Front Desk Website Total 8000 6000 4000 2000 0 2002 2003 2004 Background: Channel Usage • Channel usage in 2008 Channels used for last contacts 50,00% 47,22% 45,00% 41,15% 40,00% 35,00% 31,77% 30,19% 30,00% 25,00% 20,00% 15,85% 13,49% 15,00% 10,00% 5,38% 4,38% 5,84%4,72% Last contact 5,00% Before last Po s t l Em ai e eb sit W ep ho ne Te l Fr on tD es k 0,00% Background: Channel Usage • Differences in Age and Education (not gender) Contacts with government Preferred channel 45.00% 40.00% 35.00% 30.00% 25.00% 20.00% 15.00% 10.00% Low Middle High 5.00% W ri t te n Em ai l W eb si t e Te lep ho ne Fr on tD es k 0.00% Background: Channel Usage Channel last contact Municipality vs. Tax Administration 60,00% 50,00% 40,00% 30,00% 20,00% 10,00% Tax Administration Municipality Po st Em ai l W eb si t e Te lep ho ne Fr on tD es k 0,00% Background • The Internet is a succes – Use of the web has ‘exploded’ (e.g. number of hits) – The Internet does in some cases replace other channels: • Electronic taxation • Books, Online banking, Travel • However: Especially when it comes to customer service, the traditional channels remain important and use doesn’t decline. • So, what factors determine the choice of channels by citizens? The literature • Several fields of research have addressed the issue: – e-Government / Citizen Initiated Contacts • Citizen’s channel choice – Communication • Media use and choice – Marketing • Channel choice (mainly for shopping) – Human-Computer interaction • Information source selection / usability – Technology Adoption/Acceptance research • Comparing Internet/New media choice with traditional media The literature • Possible Determinants: Information need, Having a problem, Transaction/Informa tion, Task uncertainty, Task equivocality, Race, Income, Education, Gender, Age, ‘Emotional form’ Trust, ‘Channel Satisfaction’, Time, Effort, Motivation, Media Richness, Social influences, Channel Experience, Perceived risk, Propensity, Convenience, Transaction Costs, Ease of Use, Perceived Usefulness, Personal contact, Safety concerns, Complexity, Flexibility, Interactivity, Channel preference, Perceived fit (channel/task), Marital status, Homeownership, Perceived accessibility, Values about channels, Views of peers, Situational demands, Perceived competence, Quality of information sources, Symbolic Values, Distance, ETC… The Theory • Some Channel (media) Choice Theories Exist – Media Richness Theory • • • • Tasks & Channels have different characteristics, Tasks: Uncertainty and Ambiguity Media: Varying Richness Best communication when task & channels match – Social Influence Model • Task & Channel Characteristics are not ‘fixed’ but perceptions • These perceptions are socially constructed – Channel Expansion Theory • Perceptions are shaped by experiences The Theory • Theories share the same rational assumptions about behavior Channel Elaboration Citizen Task Many Critiques on this perspective Now what? Channel Choice (question/problem/etc..) But no solutions The Research • General Decision Making Literature • Qualitative study among Dutch Citizens • Results: – Two choice processes exist in channel choices: • The rational process of ‘matching’ • Habitual decision making through experiences – These processes are influenced by • • • • Task Characteristics Channel Characteristics Personal Characteristics Situational and Emotional Constraints The Model Situational constraints Emotional constraints Perceived task & channel characteristics Personal Characteristics Habits Experiences Task-Channel Elaboration Channel Choice Sequential & causal relation Causal relation The Research • Survey among 2461 Dutch Citizens • Questions regarding the influence of the factors • Questions regarding the decision strategies • Scenario’s for (additional) interaction effects • Results: – All four groups of factors are of importance for channel choices: Results • Channel Characteristics (Perceived) Channel Characteristics 100% 90% 80% 70% 60% 50% 40% Post/Written E-mail Website Telephone Front Desk 30% 20% 10% of u se e Ea se Pr ic on al fo cu s U se fu ln La es ng s ua Im ge m va ed ri e ia ty cy of fe ed ba ck C on ta ct sp ee d Ex pe rie nc es ic e Pe rs Se rv M ul tip le cu es 0% Results • Task Characteristics Complexity 60.00% 50.00% 40.00% 30.00% Front Desk Telephone Website E-mail Post 20.00% 10.00% 0.00% Low High Ambiguity 60.00% 50.00% 40.00% 30.00% Front Desk Telephone Website E-mail Post 20.00% 10.00% 0.00% Low High • Task Characteristics Channel Choice for products Front Desk Website Post Telephone E-mail 90,00% 80,00% 70,00% 60,00% 50,00% 40,00% 30,00% 20,00% 10,00% ag e m or tg Ge ta er m on ey Tr an sf p tri or ld W Su n va ca tio n 0,00% Results • Personal Characteristics 100.0% OPLEIDING 100.0% Lower Middle Higher < 26 26 - 55 > 55 80.0% 80.0% 60.0% 60.0% Percent Percent Education Age 40.0% 40.0% 20.0% 20.0% 0.0% 0.0% traditional electronic trad_elec Cases weighted by WEEGFACTORENTOTAAL traditional electronic trad_elec Cases weighted by WEEGFACTORENTOTAAL o c e Be rt a h in d in P ty ne C N N e o te ot i de d m le ph po rt o W ne ant i th ne ar o Si ut th by m pl ink e i qu ng O es t io ut n o Pr fh ob a l e bi t m Ea cl ea rl i G N r er ui de ex o ru d s by peri h G ex en ui c de per es ie d n Pr b ob y e ces m le o m am tion bi s gu Em ous C Fas otio er n ta t an s in ty swe im r po r C om Im tan pl po t ex rta n Q ue t st io n N Results • Situational Constraints (& tasks) Channel Choice & Situations 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Written Telephone Front Desk E-mail Website Results • In first instance, people are guided by habits • In second instance, people start reasoning • In first instance, factors as the situational and emotional constraints are more important • In second instance, task and channel characteristics are more important • This turns channel choice more in an emotional and (inter)subjective than a rational process • However, all factors are of importance • Our model ‘fits’ very well! Conclusions • Whereas rationality is often assumed in channel choices in both theory and practice, – channel choices in reality are more complex – more factors play a role and – different factors play a role in different situations – and personal differences play a role. • Situational and emotional factors are very important and often ignored • The influence of habits was a surprise! • Implications for channel strategies (Jan) • Implications for channel marketing (Marije) Finally