Transcript Chapter 12

Chapter 11
The Influence of Culture on
Consumer Behavior
Culture
The sum total of learned
beliefs, values, and customs
that serve to regulate the
consumer behavior of
members of a particular
society.
Forms of Cultural Learning
• Formal Learning
• Informal Learning
• Technical Learning
Learning and Advertising
• It seems that advertising can influence all three
forms of learning. It most influences informal
learning by providing models.
• The repetition of advertising messages creates
and reinforces cultural beliefs and values.
• Cultural meaning moves from the culturallyconstituted world to consumer goods.
Enculturation
The learning of the culture
of one’s own society.
Acculturation
The learning of a new or
“foreign” culture.
The Rokeach Value Survey Instrument
TERMINAL VALUES
INSTRMENTAL VALUES
A COMFORTABLE LIFE
AMBITIOUS
AN EXCITING LIFE
BROAD-MINDED
A WORLD AT PEACE
CAPABLE
EQUALITY
CHEERFUL
FREEDOM
CLEAN
HAPPINESS
COURAGEOUS
NATIONAL SECURITY
FORGIVING
PLEASURE
HELPFUL
SALVATION
HONEST
SOCIAL RECOGNITION
IMAGINATIVE
TRUE FRIENDSHIP
INDEPENDENT
WISDOM
INTELLECTUAL
American Core Values
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Achievement and success
Activity
Efficiency and practicality
Progress
Material comfort
Individualism
Freedom
External conformity
Humanitarianism
Youthfulness
Fitness and health
Chapter 12
Subcultures and Consumer
Behavior
Subculture
A distinct cultural group that
exists as an identifiable
segment within a larger,
more complex society.
Issues in Studying Hispanic
Subcultures
• Hispanic Consumer Behavior
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Next biggest minority
Stronger preference for well-established brands
Prefer to shop at smaller stores
Some are shifting food shopping to non-ethnic
American-style supermarkets
– Youths are more fashion-conscious
• Defining and Segmenting the Hispanic Market
– Six ways of defining and segmenting the market
Major Racial Subcultures
• The African-American Consumer
– Largest racial minority in U.S. (= 13%)
– Purchasing power estimated at $469 billion
• Asian-American Consumers
– Currently about 10 million in size
– Estimated at 10.9 million in 2001
– Gain of almost 50% since 1990
Asian-American Consumers
• Where Are the Asian-Americans?
– Largely urban
• Asian-Americans As Consumers
– Buying power of $110 billion annually
(largest buying power per each Asian)
– Brand loyal customers
– Frequently male-oriented consumer
decisions
– Attracted to retailers who welcome
Asian-American patronage
Major Subcultural Categories
CATEGORIES
Nationality
Religion
Geographic region
Race
Age
Gender
Occupation
Social class
EXAMPLES
French, Puerto Rican, Korean
Catholic, Hindu, Jew
Southeastern, Midwestern,
Eastern
African-American, Caucasian,
Asian-American
Teens, Xers, middle age, elderly
Female, Male
Engineer, cook, plumber
Lower, middle, upper
Age
Subcultures
Age subgroupings of the
population.
Issues in Understanding Older
Consumer
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Defining “Older” in Older Consumer
Segmenting the Elderly Market
Shopping Experiences of the Older Consumer
Perception of your age is key in defining older
consumers
Issues in Understanding Sex as a
Subculture
• Sex Roles and Consumer Behavior
– Masculine vs. Feminine Traits
• The Working Woman
– Segmentation Issues
– Shopping Patterns
Chapter 13
Cross-Cultural Consumer
Behavior: An International
Perspective
The Imperative To Be Multinational
• Global Trade Agreements
– EU
– NAFTA
• Acquiring Exposure to
Other Cultures
• Country-of-origin Effects
CrossCultural
Consumer
Analysis
Research to determine the
extent to which consumers
of two or more nations are
similar in relation to specific
consumption behavior.
Issues in Cross-Cultural Consumer
Analysis
• Similarities and Differences Among People
– Time Effects
• The Growing Global Middle Class
• Acculturation
– Research Techniques
World
Brands
Products that are
manufactured, packaged, and
positioned the same way
regardless of the country in
which they are sold.
Alternative Multinational Strategies:
Global Versus Local
• Favoring a “World Brand”
• Adaptive Global Marketing
• Framework for Assessing Multinational
Strategies
– Global
– Local
– Mixed
Chapter 14
Consumer Influence and the
Diffusion of Innovations
Opinion
Leader
A person who informally
gives product information
and advice to others.
Reasons for the Effectiveness of
Opinion Leadership
• Credibility
• Positive and Negative
Product Information
• Information and Advice
• Opinion Leadership Is
Category-Specific
• Opinion Leadership Is a
Two-way Street
Motivations Behind Opinion Leadership
• The Needs of Opinion Leaders
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Self involvement
Social involvement
Product involvement
Message involvement
• The Needs of Opinion Receivers
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New-product or new usage information
Reduction of perceived risk
Reduction of search time
Receiving the approval of the opinion leader
• Purchase Pals
• Surrogate Buyers Versus Opinion Leaders
The Interpersonal Flow of
Communication
• Two-Step Flow
– Views opinion leader as a middleman between
the impersonal mass media and the majority of
society
• Multistep Flow
– Takes into account the fact that information and
influence often are two-way processes
Market
Maven
Individuals whose influence
stems from a general
knowledge or market
expertise that leads to an
early awareness of new
products and services.
Adoption
Process
The stages through which an
individual consumer passes
in arriving at a decision to
try (or not to try), to
continue using (or
discontinue using) a new
product. The five stags of the
traditional adoption process
are awareness, interest,
evaluation, trial, and
adoption.
Defining Innovations
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Firm-oriented definitions
Product-oriented definitions
Market-oriented definitions
Consumer-oriented definitions
Adopter
Categories
A sequence of categories that
describes how early (or late)
a consumer adopts a new
product in relation to other
adopters. The five typical
adopter categories are
innovators, early adopters,
early majority, late majority,
and laggards.
Figure Adopter Categories
Early
Adopters
13.5%
Innovators
2.5%
Laggards
Early
Majority
34%
Late
Majority
34%
Percentage of Adopters by Category Sequence
16%
Chapter 15
Consumer Decision Making
Levels of Consumer Decision Making
• Extensive Problem Solving
• Limited Problem Solving
• Routinized Response Behavior
Extensive
Problem
Solving
A search by the consumer to
establish the necessary
product criteria to evaluate
knowledgeably the most
suitable product to fulfill a
need.
Use of Heuristics in some
cases to simplify = Use of a
single criteria to simplify
decision. E.g., brand, price, …
Limited
Problem
Solving
A limited search by a
consumer for a product that
will satisfy his or her basic
criteria from among a
selected group of brands.
Routinized
Response
Behavior
A habitual purchase response
based on predetermined
criteria.
Models of Consumers: Four Views of
Consumer Decision Making
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An Economic View
A Passive View
A Cognitive View
An Emotional View
A Model of Consumer Decision Making
INPUT
PROCESS
OUTPUT
The Buyer Decision Process
Need Recognition
Information Search
Evaluation of Alternatives
Purchase Decision
Postpurchase Behavior
Need
Recognition
The realization by the
consumer that there is a
difference between “what is”
and “what should be.”
Prepurchase
Search
A stage in the consumer
decision-making process in
which the consumer
perceives a need and actively
seeks out information
concerning products that will
help satisfy that need.
Evaluation of
Alternatives
A stage in the consumer
decision-making process in
which the consumer
appraises the benefits to be
derived from each of the
product alternatives being
considered.
Issues in Alternative Evaluation
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Evoked Set, inert + inept set of Brands
Criteria Used for Evaluating Brands
Consumer Decision Rules
Lifestyles as a Consumer Decision Strategy
Incomplete Information and Noncomparable
Alternatives
• Series of Decisions
• Decision Rules and Marketing Strategy
• Consumption Vision
Consumer Decision Rules
• Compensatory
• Noncompensatory
– Conjunctive Decision Rule
– Disjunctive Decision Rule
– Lexicographic Rule
• These decision rules are particularly helpful for
Promotional purposes (more than the 3 other Ps).
Postpurchase
Evaluation
An assessment of a product
based on actual trial after
purchase.
Relationship
Marketing
Marketing aimed at creating
strong, lasting relationships
with a core group of
customers by making them
feel good about the company
and by giving them some
kind of personal connection
with the business.
Very important to create trust and
commitment between
Organization and consumers
(exchange goods for loyalty).