Chapter 6Families and Households

Based on Consumer Behavior, 10th ed. byHawkins, Mothersbaugh and Best

The Nature of American HouseholdsThe Nature of American HouseholdsThe Household Influences Most Consumption DecisionsThe Household Influences Most Consumption Decisions

The Nature of American HouseholdsHouseholdFamily HouseholdNon-family

Household

The Nature of American HouseholdsThe Nature of American HouseholdsFamily and Nonfamily Households

The Traditional Family Life CycleThe Traditional Family Life Cycle

1. 1. People married People married by their early by their early

20s20s

2. 2. Couple had Couple had

several several childrenchildren

3. 3. Their children Their children grew up and grew up and started their started their own familiesown families

6.6. A few years A few years later the female later the female

would diewould die

5. 5. The male The male

would would eventually dieeventually die

4. 4. The original The original

couple retiredcouple retired

The Household Life CycleMore complex and

varied than the traditional view

Each HLC stage includes unique needs and wants as well as financial condition and experiences

Household Life CycleHousehold Life CycleStages of the Household Life Cycle

Marketing Strategy Based on the Marketing Strategy Based on the Household Life CycleHousehold Life Cycle

HLC/Occupational Category Matrix

6-9

Family Decision MakingFamily Decision Making

Family Purchase RolesDeterminants of Family Purchase RolesConflict ResolutionMarketing Strategy and Family Decision MakingConsumer Socialization and Marketing to Children

Family Decision MakingFamily Decision MakingThe Household Decision-Making Process for Children’s The Household Decision-Making Process for Children’s ProductsProducts

Family Decision MakingFamily Decision MakingHusband/Wife Decision Roles for ServicesHusband/Wife Decision Roles for Services

Family Decision MakingFamily Decision MakingDeterminants of Family Purchase Roles

How families interact in a purchase decision is largely dependent on the

cultureculture and subculturesubculture in which the family existsthe role specializationrole specialization of different family membersthe degree of involvementinvolvement each has in the product area of concern, and their personal characteristicspersonal characteristics of the family members

Consumer SocializationConsumer SocializationConsumer socializationConsumer socialization is the process by which

young people acquire skills, knowledge, and attitudes relevant to their functioning as consumers in the marketplace.

Consumer socializationConsumer socialization content refers to what children learn with respect to consumption.Consumer socializationConsumer socialization process refers to how they learn it.

Consumer SocializationConsumer SocializationPiaget’s Stages of Cognitive Development

Stage DescriptionStage 1 The period of sensorimotor intelligence (0-2 yrs.)

- behavior is primarily motor - the child does not yet “think” conceptually, though cognitive development is seen

Stage 2 The period of preoperational thoughts (3-7 yrs.) - Characterized by the development of language and rapid conceptual development

Stage 3 The period of concrete operations (8-11 yrs.) - the child develops the ability to apply logical thought to concrete problems

Stage 4 The period of formed operations (12-15 yrs.) - the child’s cognitive structures reach their greatest level of development, and the child becomes able to apply logic to all classes of problems.

Consumer SocializationConsumer Socialization

The Content of Consumer Socialization

Consumer SocializationConsumer Socialization

Parents socialize their children through the following:

The Process of Consumer Socialization

6-17

Marketing to ChildrenMarketing to Childrenvery large marketethical concerns

The limited ability of younger children to process information and to make informed purchase decisions.Marketing activities, particularly advertising, can produce undesirable values in children, resulting in inappropriate diets, and cause unhealthy levels of family conflict.