New technology has brought about many changes in consumer behavior, an aspect that has made organizations alter their activities to conform to new customer needs. Customers now do not use SMS or MMS to acquire information about a company’s product, instead, they search for the information online (Nathan et al., 2020). Since mobile phones have taken over, television advertising has become irrelevant as someone can get updates online, watch news on their smartphones and pay for purchases on the internet. Since phones are the new norm, organizations have begun creating mobile applications which aim at reaching their customers.
This is an excellent idea as the organizations have increased their customer base and managed to acquire real-time feedback about their services. The growth of mobile technology has increased consumer awareness of company products, which has increased consumption rates of customers and benefited the organzizations more.
Moreover, companies such as Uber have taken the new technology concept as an opportunity to increase their market share as they have an Uber app that allows people to request a ride. They have introduced many services that customers can ask for and receive within a short time, such as Uber eats, Uber helipad which offers flights to clients (Cramer & Krueger, 2016). Technology has led to organizations increasingly using video advertisements, which benefits both customers and organizations through applications such as Youtube. Organizations pay popular people to advertise their products in their social media posts (Asongu & Boateng, 2018).
Advertising on TV has become outdated as current consumers do not watch the news anymore hence the increased use of mobile phones by organziations to pass information to customers. Companies have switched their focus to advertising through video advertisements where a videos pops up on the smart phone screen. Those viewers who are interested in the organizations products may click a link and be redirected to the company’s app (Artal-Tur, 2019). Airbnb has also benefited from mobile technology as it has managed to reach more customers through its Airbnb app. The app allows the customers to book trips and explore the world. The users of the applications can also cancel trips and book accommodation, and they can later leave feedback on their experience.
References
Artal-Tur, A. (2019). Introduction: New technologies and innovation in the tourism and hospitality sectors. Tourism Analysis, 24(1), 1–2. Web.
Asongu, S., & Boateng, A. (2018). Introduction to special issue: Mobile technologies and inclusive development in africa. Journal of African Business, 19(3), 297–301.
Cramer, J., & Krueger, A. B. (2016). Disruptive change in the taxi business: The case of uber. American Economic Review, 106(5), 177–182. Web.
Nathan, R. J., Victor, V., Tan, M., & Fekete-Farkas, M. (2020). Tourists’ use of Airbnb app for visiting a historical city. Information Technology & Tourism, 22(2), 217-242.