11374_L7 Household Life Cycle

8/13/2019 11374_L7 Household Life Cycle

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Reference Groups and FamilyReferences

Copyright 2007 by Prentice Hall


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LEARNING OUTCOME

Students will be able to analyze how the

dynamics of husband wife decision making

as well as the influence of children in

family consumption decision-making

Students will be able to analyze how

traditional and non traditional family lifecycles impact consumer behavior



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10 - 3Copyright 2007 by Prentice Hall

EXPECTED LEARNING

What Is a Group?

Categories of Reference Groups

Selected Consumer-Related Reference

Groups Reference Group Appeals

The Changing U.S. Family

Consumer Socialization

Family Decision Making

The Family Life Cycle


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What Is a Group?

Two or more people who interact to

accomplish either individual or mutual

goals

A membership group is one to which a

person either belongs or would qualify for

membership

A symbolic group is one in which an

individual is not likely to receive

membership despite acting like a member


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ReferenceGroup

A person or groupthat serves as a point

of comparison (or

reference) for an

individual in the

formation of either

general or specific

values, attitudes, orbehavior.


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Broad Categories of

Reference Groups

NormativeReference Groups

Comparative

Reference Groups


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Indirect

Reference

Groups

Individuals or groupswith whom a person

identifies but does not

have direct face-to-facecontact, such as movie

stars, sports heroes,

political leaders, or TV

personalities.



Teens arevery

influenced

by indirectreference

groups.weblink
http://www.lindsay-lohan.org/home.phphttp://www.lindsay-lohan.org/home.php



Discussion Question

You are marketing a new fragrance for

young men (ages 17-22). Who would

make a good spokesperson? Why?



Major Consumer Reference

Groups - Figure 10.1



Table 10.1 Positive Influences

on Conformity

Group Characteristics

Attractiveness

Expertise

Credibility

Past Success

Clarity of GroupGoals

Personal Characteristics

Tendency to Conform

Need for Affiliation

Need to be Liked

Desire for Control

Fear of NegativeEvaluation



Factors Encouraging Conformity:

A Reference Group Must ...

Inform or make the individual aware of a specificproduct or brand

Provide the individual with the opportunity to

compare his or her own thinking with theattitudes and behavior of the group

Influence the individual to adopt attitudes andbehavior that are consistent with the norms of

the group Legitimize the decision to use the same products

as the group



Discussion Question

Who are your reference groups?

How do they influence different types of

purchases? When do certain groups have

the most influence?


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This ad

compares the

product to a

reference

group.



Selected Consumer-Related

Reference Groups Friendship groups

Shopping groups

Work groups

Virtual groups or communities

Consumer-action groups



The Internet

has createdmany

friendship and

shoppinggroups.

weblink

Selected Consumer-Related

Reference Groups
http://www.ivillage.com/http://www.ivillage.com/


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Brand Communities

Saturn car owners who meet for reunions

and barbecues

Saab owners

Harley-Davidson Owner Groups


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Brand Communities

Since Honda

cannot compete onbrand community,

they choose to

emphasize the

family.


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Brand Communities

weblink
http://www.apple.com/usergroups/http://www.apple.com/usergroups/


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Reference Group Appeals

Celebrities

The expert

The common man

The executive and employee

spokesperson

Trade or spokes-characters Other reference group appeals


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The

common

women


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Importance of Celebrity Characteristics

According to Product Types

Figure 10-4


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Households

Households

Family Households:

Married couple,

Nuclear family,

Extended family

Nonfamily Households:

Unmarried couples,Friends/ Roommates,

Boarders


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The Changing U.S. Family

Increase in childless women

More working mothers

Changes in household spending patterns


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Evidence of the Dynamic Nature

of U.S. Households - Figure 10-7


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ConsumerSocialization

The process by which

children acquire the

skills, knowledge, andattitudes necessary to

function as consumers.


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Discussion Question

How do marketers influence consumer

socialization?

Does this seem unethical? At what point

would it be unethical?


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A Simple Model of the

Socialization Process - Figure 10.11


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Other Functions of the Family

Economic well-being

Emotional support

Suitable family lifestyles


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Table 10.7 Eight Roles in the Family

Decision-Making ProcessROLE DESCRIPTION

Influencers Family member(s) who provide information to other members about a

product or service

Gatekeepers Family member(s) who control the flow of information about a

product or service into the family

Deciders Family member(s) with the power to determine unilaterally or jointly

whether to shop for, purchase, use, consume, or dispose of a specificproduct or service

Buyers Family member(s) who make the actual purchase of a particular

product or service

Preparers Family member(s) who transform the product into a form suitable for

consumption by other family members

Users Family member(s) who use or consume a particular product or service

Maintainers Family member(s) who service or repair the product so that it will

provide continued satisfaction.

Disposers Family member(s) who initiate or carry out the disposal or

discontinuation of a particular product or service


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Dynamics of Husband-Wife

Decision Making Husband-Dominated

Wife-Dominated

Joint Equal

Syncratic

Autonomic Solitary

Unilateral


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Expanding Role of Children In

Family Decision Making

Choosing restaurants and items in

supermarkets

Teen Internet mavens

Pester power


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The Family Life Cycle

Traditional Family Life Cycle

Stage I: Bachelorhood

Stage II: Honeymooners

Stage III: Parenthood

Stage IV: Postparenthood

Stage V: Dissolution

Modifications - the Nontraditional FLC


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Targeting the

parenthoodsegment

Documents

11374_L7 Household Life Cycle