1. Personality & Psychographics
Michael J. Kalsher
MGMT 4460/6940
Summer 2014

2. Chapter Summary
A consumer’s personality influences the way he or she responds to marketing stimuli.
Consumers’ lifestyles are key to many marketing strategies.
Psychographics go beyond simple demographics to help marketers reach different segments.
Identifying patterns of consumption is superior to knowledge of individual purchases when a marketer crafts a lifestyle marketing strategy.

3. Personality
a person’s unique psychological makeup and how it consistently influences the way a person responds to his/her environment

4. Freudian Systems
Personality = conflict between gratification & responsibility Id
pleasure principle
Superego
our conscience
Ego
mediates between id and superego
Reality principle
ego gratifies the id in such a way that the outside world will find acceptable

5. Freudian Systems

6. Product Symbolism and motivation
The product stands for, or represents, a consumer’s true goal, which is socially unacceptable or unattainable.
By acquiring the product, the person vicariously experiences the forbidden fruit.
Motivational Research
we channel socially unacceptable needs into acceptable outlets including product substitutes.

7. What is Motivational Research?
A research approach that attempts to explain why consumers behave as they do.
Assumes the existence of underlying or unconscious motives that influence consumer behavior.
Attempts to identify forces and influences that consumers may not be aware of (e.g., cultural factors, sociological forces).
Typically, a person’s unconscious motives are intertwined with and complicated by his/her conscious motives, cultural biases, economic variables, and fashion trends (broadly defined).

8. Views of Motivational Research
Criticisms
Appeal
Invalid or works too well
Too sexually based
Less expensive than large-scale surveys
Powerful hook for promotional strategy
Intuitively plausible findings (after the fact)
Enhanced validity with other techniques

9. Neo-Freudian Theories
Karen Horney
Compliant vs. detached vs. aggressive
Alfred Adler
Motivation to overcome inferiority
Harry Stack Sullivan
Personality evolves to reduce anxiety
Carl Jung
Developed analytical psychology

10. Carl Jung - Father of Analytical Psychology
Disciple of Freud
Established concept of collective unconscious (storehouse of shared memories we inherited from our ancestors)
Explained the creation of archetypes (a universally recognized idea or behavior pattern)
Old wise man
Earth mother

11. Y & R BrandAsset Valuator Archetypes – Healthy Personality

12. Y & R BrandAsset Valuator Archetypes – Shadows to the Healthy Personality)

13. Trait (as opposed to State) Theory
Identifiable, relatively enduring characteristics that define a person.

14. The Big Five Personality Traits

15. Traits Relevant to Consumer Behavior
Innovativeness
Degree to which person likes to try new things
Materialism
Amount of emphasis a person places on acquiring and owning products
Self-consciousness
Degree to which a person deliberately monitors and controls the image of the self that he or she projects to others
Need for cognition
Degree to which a person likes to think about things and by extension, expends the necessary effort to process brand inform
Frugality
Tendency to deny short-term purchases and to make due with what they already own.

16. Are You an Innie or an Outie?
Idiocentrics
(individualist orientation)
Allocentrics
(group orientation)
Contentment
More satisfied with current life
Less satisfied with current life
Health Consciousness
Less likely to avoid unhealthy foods
More likely to avoid unhealthy foods
Food Preparation
Spend less time preparing food
Love kitchen; spend more time preparing food
Workaholics
More likely to work hard and stay late at work
Less likely to work hard
Travel and Entertainment
More interested in traveling to other cultures
Visit library and read more

17. Problems with Trait Theory
Prediction of product choices using traits of consumers is mixed at best
Scales not valid/reliable
Tests borrow scales used for mentally ill
Inappropriate testing conditions
Ad hoc instrument changes
Use of global measures to predict specific brand purchases
“Shotgun approach” (no thought of scale application)

18. Brand Personality
Set of traits people attribute to a product as if it were a person
Brand equity:
extent to which a consumer holds strong, favorable, and unique associations with a brand in memory—and the extent to which s/he is willing to pay more for the branded version of a product than for a non-branded (generic) version
Nike
Levi’s
Brand personalities change over time
A brand personality that stands out inspires loyalty

19. Brand Behaviors & Possible Personality Trait Inferences
Brand Action
Trait Inference
Brand is repositioned several times or changes slogan repeatedly
Flighty, schizophrenic
Brand uses continuing character in advertising
Familiar, comfortable
Brand charges high prices and uses exclusive distribution
Snobbish, sophisticated
Brand frequently available on deal
Cheap, uncultured
Brand offers many line extensions
Versatile, adaptable

20. Lifestyle Marketing Perspective
People sort themselves into groups on the basis of:
What they like to do
How they spend leisure time
How they spend disposable income
What we buy makes a statement about what we believe to others

21. Consumption Style

22. Psychographics
Use of psychological, sociological, & anthropological factors to:
Determine market segments
Determine reasons for choosing products
Fine-tune offerings
Even when consumers share the same demographic characteristics, they can still be very different people

23. Psychographics
When marketers combine personality variables with knowledge of lifestyle preferences, they have a much deeper level of insight into consumer segments.
Examples:
re=related

24. Best Buy Psychographic Segments
“Jill”: busy suburban mom who buys electronics for family
“Buzz”: focused, active younger male interested in buying latest gadgets
“Ray”: family man who likes his technology practical
“BB4B (Best Buy for Business)”: small employer
“Barry”: affluent professional male who’ll drop tens of thousands of dollars on a home theater system

25. Forms of Psychographic Analysis
Lifestyle profile (users vs. non-users)
Product-specific profile (target group based on product related dimensions)
General lifestyle study (places large sample of respondents into homogeneous groups based on similarities of preferences)
Product-specific study (tailors questions to a product category)

26. AIOs Grouping consumers according to: Activities Interests Opinions
80/20 Rule: lifestyle segments that produce the bulk of customers (20% of a product’s users account for 80% of the volume of product a company sells).
Heavy users and the benefits they derive from product
Good AND Bad (e.g., fast-food junkies; alcoholics)

27. Lifestyle Dimensions Activities Interests Opinions Demographics Work
Family
Themselves
Age
Hobbies
Home
Social issues
Education
Social events
Job
Politics
Income
Vacation
Community
Business
Occupation
Entertainment
Recreation
Economics
Family size
Club membership
Fashion
Dwelling
Food
Products
Geography
Shopping
Media
Future
City size
Sports
Achievements
Culture
Stage in life cycle

28. Psychographic Segmentation Uses
To define target market
To create new view of market
To position product
To better communicate product attributes
To develop product strategy
To market social/political issues

29. Value and Lifestyles System – VALS2TM

30. Value and Lifestyles System
Innovators
successful consumers with many resources.
Thinkers
satisfied, reflective, and comfortable.
Achievers
career oriented and prefer predictability to risk or self- discovery.
Experiencers
impulsive, young, and enjoy offbeat or risky experiences.
Believers
strong principles and favor proven brands.
Strivers
similar to Achievers but have fewer resources.
Makers
action oriented and tend to focus their energies on self-sufficiency.
Strugglers
at the bottom of the economic ladder.

31. Chapter Summary
Consumer personality influences the way one responds to marketing stimuli
Lifestyles are an important aid to many marketing strategies
Psychographics go beyond simple demographics to help marketers understand different consumer segments
Identifying patterns of consumption are valuable components of a lifestyle marketing strategy