Social Influence

Reference Group A set of people Whom individuals compare themselves to Guiding attitudes, knowledge and /or behavior

Types of Reference Groups Associative Aspirational Dissociative Marketers –Identify and appropriately represent target consumers –Associate product with aspirational group

Aspects of Reference Groups Degree of contact –Primary –Secondary Formality –Structure –Ad hoc

Aspects of Reference Groups 2 Homophily –Similarity Density –Know each other Individual characteristics –Degree of identification –Tie-strength

Aspects of Reference Groups Marketing Implications Type of group to target How to target a group Target grop or individual Weak ties –Serve as bridge between 2 groups

Consumer Socialization Direct teaching Observation Reward / Punishment Reference groups change over time

Sources of Influence Marketer / Mass Media Marketer / Personal Nonmarketer / Mass media Nonmarketer / Personal

Characteristics of Influence Sources Reach 2 way flow of communication Credibility –WOM

Opinion Leaders Info broker between mass media and a group In one specific domain Characteristics –A lot of product knowledge –Heavy users of media –Buy new products –Credible no vested interest

Normative Influences Social pressure to encourage compliance with others’ expectations Norms –Collective decisions about what should be Rewards and punishments

Normative Influence Process Conformity –Tendency to behave as group wishes –Varies by culture, or so we think Brand choice congruence –Likelihood consumers will buy what others in their group buy

Normative Influence Process 2 Compliance Agreement Reactance Boomerang effect

Product Characteristics and Normative Influence Reference groups influence –Whether we buy a product –What brand we buy Public / private product? Necessity / luxury

Consumer and Normative Influence Susceptibility –Some consumers are more influenced by social pressure Attention to social comparison info –Pay attention to what others are doing Strength of ties

The Group and Normative Influence Coercive power Cohesiveness / similarity Group members are experts

Marketing Strategy and Normative Influence Foot-in-the-door technique –From small to large Door-in-the-face technique –From large to small Even-a-penny will help –charity Norm of reciprocity –A dollar as a thanks

Symbolic Consumption Emblems Role Acquisition Connectedness Expressiveness

Special Possessions Mementos Achievement Collections Ceremonial symbolic function

Discussion Questions Ned enjoyed being with his body piercing friends and he did so himself. Ping hated these people and hated body piercing. Explain the reference group relations in this example. Can some reference groups have a greater impact than others? Why or why not? How do marketers make use of norms to sell. Do all possessions have a utilitarian use? Explain.