1. Lecture 5..
Group Influences
Chapter 7
Lifestyles
Chapter 12

2. Opinion Leaders
Opinion Leaders have a significant and long term involvement with the product/market
Market Mavens = a wide range of experiences eg technology… tend to be better informed..
Tend to be better educated.
Tend to be well respected… - credible.
Tend to be well read.
WOM – Viral Social Networks – sharing…

3. What is a group?
A group is two or more people who interact to acheive either individual or mutual goals
A group is a set of individuals who interact with one another over some period of time and who share a common goal

4. Types of Group
Reference Groups
Ascribed Groups
Aspirational Groups
Dissociative group
Primary Group
Formal Group
Informal Group

5. Formal Groups
A group whose organisation and structure are defined in writing – constitution, rules.
Informal Groups
People who interact together often on a social basis to pursue a fun objective or short term task

6. Dissociative Groups
Those sets of people with whom a consumer does not want to be associated with. For example CHAVS

7. Reference Groups
Groups of people that a consumer uses as a point of reference to evaluate the correctness of his / her actions, beliefs and attitudes

8. Reference Groups
Informational –Learning
Normative – conforming
Identification – relating to
Examples of = Figure 7-2

9. Lifestyle
How people live their lives in terms of
Activities
Interests
Likes/dislikes
Attitudes
Consumption
Expectations
Feelings

10. Sociocultural Influences
Personal Influence
Opinion leadership
Word of mouth and rumors
Reference groups
Associative: “We’re the Pepsi generation…”
Dissociative: “It’s not your father’s car.”
Aspirational
Culture
Subculture

11. Self
Between ideal state And Real state

12. Self Concept
Self concept is the totality of a person’s thoughts and feelings having reference to himself or herself as an object =
Who do you think you are?
How you want to be perceived?
Ideal Self – aspirational
Social Self – how others see you.

13. Extended Self Concept
Self plus possessions
Leads into Lifestyle

14. Potential Family Life Cycle Stages
YOUNG
COUPLE
YOUNG
SINGLE
EMPTY NEST
I/II
FULL NEST
I/II/III
SINGLE
PARENT
OLDER
SINGLE
BLENDED

15. Economic/Marketing Implications of Household Cycles
Income tends to increase with time
But children/ obligations add cost
Divorce
increases costs
may change income distribution marriage
Product demand due to
singles with low expenses
new couples
divorced families
children
empty nesters --> more income

16. Household Decision Making
Roles/influence
Information gatherers/holders
Influencers
Decision makers
Purchasers
Users

17. FLC and Marketing Structure of family unit
Family purchases and consumption behavior
Marketing strategy
Structure of family unit
Stage of the family life cycle
Family decision process

18. Family Structure
Nuclear family
Extended family
Single family

19. A Modern Family Life Cycle
Middle-aged divorced
without children
Young divorced
without children
Middle-aged married
without children
Middle-
aged
married
with
children
Middle-aged
married
without
dependent
children
Young
married
without
children
Young
married
with
children
Older
married
Older
unmarried
Young
single
Middle-aged divorced
without
dependent children
Young divorced
with children
Middle-aged divorced
with children
Usual flow
Recycle flow
Traditional family flow

20. Stages of the Family Life Cycle
Stage Marital Status Children at Home Single Married None < 6 years > 6 years
Younger(<35)
Single I
Young married
Full nest I
Single parent I
Middle-aged (35-64)
Single II
Delayed full nest I
Full nest II
Single parent II
Empty nest I
Older (>64)
Empty nest II
Single III

21. Roles in Family Decision Making
Description of Roles
Influencers
Gatekeepers
Deciders
Buyers
Users
Disposers

22. Family Decision-Making Process for Children’s Products
Influencers
(children)
(parents)
Communications
targeted at children
(taste, image)
Initiators (parents,
(children)
Decision makers (parents, children)
Purchasers
(parents)
(children)
User
(children)
Communications
targeted at parents
(nutrition)
Information
gatherers
(parents)
(children)

23. Consumer Socialization
Antecedents Socialization Process Outcomes
Social Structural
Variables
Agent-Learner Relationships
Modeling
Reinforcement
Social Interaction
Socialization Agents
Parents
Peers
Schools
Mass media
Learning
Properties
Age or Life
Cycle Position
(Moschis and Churchill 1978)

24. Dynamics of Husband-Wife Decision Making
Husband-Dominated
Wife-Dominated
Joint
Autonomic

25. Family Life Cycle/Social Stratification Matrix
Stage of House-
hold Life Cycle Social Class
Lower- Upper- Lower- Upper-
Lower Lower Working Middle Upper Upper
Single I
Young married
Full nest I
Single parent I
Single II
Delayed full nest I
Full nest II
Single parent II
Empty nest I
Single III
Empty nest II

26. Diffusion Of Innovations
How and when and if consumers adopt new products……
Innovation = introduction of new products and concepts onto the market
May be involve no change to Attitude Process but may be radical new chocolate bar – wearable technology

27. Diffusion of Innovation
Adoption process
STAGES
Awareness
Interest
Evaluation
Trial
Adoption

28. Diffusion of Innovation
Consumer Framework
STAGES
Problem Recognition
Search
Alternative Evaluation of Solutions
Purchase
PPE

29. Factors Influencing Spread of Innovation pp231-233
Group Targeted
Involvement in decision
Marketing Investment
Need met
Compatibility with norms
Net benefit
Complexity
Visibility
Trial ability/sampling
Perceived Risk

30. Types of people adopting --
Innovators
Early Adopters
Early Majority
Late Majority
Laggards
Think about Ewatches? Burger Kings? Contact Lenses,