Gen Y and Marketing
Review of the Literature
Who is Gen Y?
Martin & Tulgan (2006) states that generation Y (Gen Y) grew up during the economic bloom in the 20th century (1980-1994), in which their parents (Gen X) created the era of the wanted, the protected, the worthy, and the perfected child (Strauss & Howe, 2006). According to Carroll (2007), Gen-Y has had various influencing factors that shaped their generation characteristics given the fact that “their treatment as special and the positive reinforcement (praise), you- are-a-winner upbringing is the overriding influencer for this generation”. Along with other influencers such as environment and social events, technology plays a large part in influencing their characteristics even more than it did with previous generation, in which technology has influenced all aspects the generation’s lifestyle including behavior, learning, socialization, culture, values, and work (Tapscott, 1998). Huntley (2006) points that the mobile phone is perceived as a personal communication device and fashion accessory for this generation, which became an extension of their own body. Tapscott’s (1998) survey found, “two-thirds of the children were more proficient on the computer then their parents”. In addition, technology has influenced Gen-Y’ perception of time, space, and speed through immediate access to vast amounts of information and to a manifold of people within the reach of their fingers or the keyboard (Huntley, 2006).
What is Marketing?
Kotler (2001) states that people generally perceived marketing as an activity that involves with selling and advertising because they normally see marketing activities in term of advertisements and selling of products on TV, newspapers, internet, etc.. However, Kotler (2001) explains that selling and advertising are only a part of marketing tools helping to increase awareness or stimulate consumer demand for a firm’s product or service. Although these two activities (selling and advertising) are important, it may not always be true that they are more important than other marketing activities. In today business, Kotler (2001) suggests that the old marketing concept that perceived marketing as selling tool employed after a firm made product or service is not applicable. Successful businesses now focus on creating customer satisfaction, in which the marketing concept has been changed from creating trade to building a customer satisfaction. Therefore, Kotler (2001) points that marketing started before the production, in which a firm needs to understand customer’s want and need, to study market opportunity and a firm’s competitiveness, and should be able to develop suitable strategies for its products and services at any stage in product life cycle in order to find new customers and to retain current customers. This process may involve product development, product pricing, choosing distribution channel and effective promotional tools. All of these activities aim to ensure that the product will not be difficult to sell and can be successful in the marketplace. In this sense, marketing is a tool that the firm used to motivate consumer to achieve its goal (Kotler, 2001).
Gen Y and Online Marketing
While technology has influenced all aspects Gen Y’s lifestyle (behavior, learning, socialization, culture, values, and work), businesses are also noticing the technology demands of Gen-Y and use it to create customer satisfaction (Bernard, 2003). Focusing on the consumer behavior of Gen Y, Haver (2008) states that "Today's younger, more 'green' shoppers aren't going to waste precious money and gas going from store to store looking for just the right item. They shop online whenever they can, narrowing their choices to one or two items-then go to the store to touch, feel, bounce and check out the actual product to see if it looks the way it was represented online". In management point of view, Chaff ey (2005) defines...
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