Presentation on theme: "Chapter 11 The Family and Generational Cohorts. Snapshot from the Marketplace zRecent dramatic change in the roles of men and women in the United States."— Presentation transcript:
Snapshot from the Marketplace zRecent dramatic change in the roles of men and women in the United States. zRise of the “unmarriage revolution” and emergence of female economic power zWomen now constitute 60 percent of college students, 51.4 percent of managerial jobs, and roughly 1 out of 4 out-earn their husbands. zEffect of this trend on domestic division of labor, household buying decisions, and responsibilities for raising children.
The Family zThe Census Bureau defines family as: “two or more persons, related either through birth, marriage, or adoption, living under one roof.” zToday, this definition is inadequate. zContemporary families come in different forms and sizes.
Family and Socialization zSocialization: the process by which we develop relevant behavioral patterns gained within the confines of technological advances as well as through interaction with others zFactors affecting the degree of parents’ influence on children: yAge of child yFamily’s social class yChild’s sex yFamily characteristics (e.g., strict vs. permissive parents) yWhether or not the family is online
Family Consumption Roles zRole specialization in the family affects the decision making process and types of purchases. zThe term enacted role infers the actual overt behavior displayed by an individual in a particular capacity. zThe term perceived role is an individual’s assumed obligation in the execution of a particular chore. zThe term prescribed role reflects the expectations of others regarding appropriate modes of behavior for a person in a particular capacity.
Family Consumption Roles (cont’d) zEight family consumption roles can be identified: yInfluencers: members whose opinions affect product purchase yGatekeepers: members who regulate the flow of information into the household yDeciders: members with the authority to make decisions yBuyers: members who act as purchasing agents
Family Consumption Roles (cont’d) yPreparers: members who ready a product for consumption yUsers: members who use or consume a product yMaintainers: members who attend to the upkeep of a product yDisposers: members who determine when and how to discard a product
Q. 3. What are the four family decision patterns?
The Family Decision Process zFour patterns: yAutonomic yHusband dominant yWife dominant ySyncretic
Q. 4. What factors influence the roles of husbands and wives in families?
The Family Decision Process (cont’d) zFactors influencing the roles of husband and wife in family decisions: yEgalitarianism: a value stressing equality in marital relations yInvolvement: relevance assigned by a spouse to an activity yEmpathy: emotional participation in the feelings of the other spouse yRecognized authority: a right to decide assigned to one spouse
Children’s Influence on Family Decision Making zIn 2010, kids spent over $160 billion of their own money; combined kids and teens influenced $800 billion of their parents’ spending zKey categories of kid’s expenditures (in order): yFood and beverage yElectronic items and toys yApparel yPersonal care products zAge compression: pushing adult products and attitudes on young children
Advertising to Children zIn today’s ads directed to children, television has given way to the arena of the electronic media. zGovernment regulates advertising directed to kids via a number of laws that address the source, content, and privacy issues of such ads. zCARU reviews and evaluates ads directed to kids for misleading and deceptive content. zRole of Joint Task Force on Marketing and Childhood Obesity
The Family Life Cycle (FLC) zThe sequence of stages that families typically pass through zThe traditional FLC: yBachelorhood stage yHoneymooner stage yParenthood stage yPostparenthood stage yDissolution stage zImportance: product and service needs of the family vary by stage of FLC
Modernized FLC zCultural/socio-demographic trends in the United States require expanding the view. zFamily now includes: yNontraditional family households consist of childless couples, same-sex unions, career- oriented couples, couples entering marriage with a child, single parents, and extended families. yNonfamily households consist of single persons, unmarried couples, divorced persons without children, and widowed persons.
Nontraditional Living-Arrangement Patterns zIn 2011, around 80 percent of all U.S. households fit the nontraditional family mold, and only about 20 percent fit the traditional mold. zPatterns of nontraditional living arrangements: yLatchkey kids yBoomerang children ySingle parenthood yThe live alones
Nontraditional Living-Arrangement Patterns (cont’d) zLatchkey kids: children who return from school to a locked and empty home while their parents are away at work yAround one-third (7 million) of all school-age children (ages 5 to 13) are latchkey kids. zBoomerang children: grown adults who continue to live or return to their parents’ home yIn 2012, 39 percent of adults age 18 to 34 lived with their parents. ySandwich generation
Nontraditional Living-Arrangement Patterns (cont’d) zSingle parenthood: households that are headed by a single parent continue to rise in number, reaching over 13.6 million in 2011, and raising over 22 million kids y84 percent of single-parent households are headed by mothers, and 16 percent by fathers zLive-alones: the number of men and women who live alone continues to rise. In 2012, live-alones in the United States constituted around 28 percent of all households (18 million women and 14 million men) yThis segment constitutes a lucrative market for items such as travel, convenience food, clothing, sporty automobiles, as well as dating services.
Generational Marketing The cataloging of generations in terms of external events that occurred during their members’ formative years. zCapitalizing on the life experiences that define each generation of consumers zConsumers can be categorized by life experiences as: yThe boomers I cohort yThe boomers II cohort yThe generation X cohort yThe generation Y cohort (the millennials) yThe generation Z cohort
Cohort yAn aggregate of people who have undergone similar experiences and share common memories.
Q. 7. What are the various generational cohort classifications?
Generational Marketing (cont’d) zBoomers I cohort: individuals 58 through 66 years of age (in 2012) yKnown as Woodstock generation, tend to live beyond its means and enjoy conspicuous consumption zBoomers II cohort: individuals 47 through 57 years of age (in 2012) yHave ingrained sense of entitlement and tend to pursue goals of self-interest and instant personal gratification
Generational Marketing (cont’d) zGeneration X cohort: individuals 35 through 49 years of age (in 2012) yTend to be unhappy about economic problems and display somewhat contradictory behavior yMany Xers are the dotcom world changers and engaged leaders of various causes. zGeneration Y cohort: individuals 18 through 35 years of age (in 2012) yOften described as idealistic, socially conscious, and individualistic yTend to be anti-corporate, speak their mind, and to dress as they please
Generational Marketing (cont’d) zGeneration Z cohort: newborn individuals through those in their teens (in 2012) yChildren or early teens of older and wealthier parents, who have fewer siblings yIntensively exposed to and experienced with the digital world
Marketing Applications of the Generational Cohorts Concept zServes as basis for market segmentation zIdentifies differences in behaviors and response patterns of each cohort zHelps marketers select media and appropriate promotional appeals for each targeted cohort