L9: Consumer need and desires Flashcards
What is consumer behavior?
“The study of (1) individuals, groups, or organizations and the processes they use to select, secure, use, or dispose of products, services, experiences, or ideas to satisfy needs and (2) the impacts that these processes have on the consumer and society.”
(Hawkins & Mothersbaugh, 2010, p. 6)
Is consumer necessarily a customer?
No
Why is it important to understand consumer behavior?
· Every day, thousands of firms spend millions of $$$ to influence you (and everyone around you)
o Through direct and indirect influence attempts
o Social media marketing has transformed the way businesses can influence consumer behavior
It is important as consumers understand such strategies and tactics
o In order to create awareness and empower consumers
Self-Concept and Lifestyle Model
A conceptual model
Cannot predict behavior
But reflects the general nature of consumer behavior
Self-concept and lifestyle produce needs and desires
· Many of which require consumption decisions to satisfy
Encountering relevant situations can trigger the consumer decision process
Experiences and acquisitions produced influence self-concept and lifestyle through external and internal influences
Self-Concept and Lifestyle Model: Individual’s develop self-concept and lifestyle based on?
Internal influences
(psychological and physical)
External influences
(sociological and demographic)
External influences: (Subculture): Hofstede
- Power Distance
- Individualism / Collectivism
- Masculinity / Femininity
- Uncertainty Avoidance
- Long-Term Orientation
Critisim of Hofstede
Hofstede’s 5 Cultural Dimensions
· Frequently used to explain observed differences
BUT has significant limitations in explaining individual differences
What is Self-Oriented Values?
Reflect the objectives and approaches to life that the individual members of society find desirable
What are the 6 Self-oriented Values?
- Active/Passive
- Sensual Gratification/ Abstinence
- Hard work/ Leisure
- Material / Nonmaterial
- Postponed / Immediate Gratification
- Religious / Secular
External influences: What is an reference group?
A reference group is a group whose presumed perspectives or values are being used by an individual as the basis for his or her current behavior .
So, a reference group is simply a group that an individual uses as a guide for behavior in a specific situation.
Most of us belong to several different groups and perhaps aspire to belong to several others.
As the situation changes, we may base our behavior on an entirely different group, which then becomes our reference group. (See figure →)
External influences: Reference Group…
Which 3 main variables:
- Strength of social ties
- Type of contact
- Attraction
External influences: Reference Group…
The first variable: Strength of Ties refers to..
refers to the closeness and intimacy of the group linkages.
External influences: Reference Group…
The first variable: Strength of Ties refers divides up in two categories..
Primary groups (i.e., family and friends) involve strong ties and frequent interaction (considerable influence).
Secondary groups (i.e., neighbors) involve weaker ties and less frequent interaction.
External influences: Reference Group…
The second variable: Type of contact refers to
refers to whether the interaction is direct or indirect.
Direct contact involves face-to-face interaction, indirect contact does not.
External influences: Reference Group…
The third variable: Attraction refers to…
refers to the desirability that group membership has for the individual.
External influences: Reference Group…
The third variable: Attraction divides into…
Dissociative reference groups: Groups with negative desirability can influence behavior just as do those with positive desirability
Aspiration reference groups: Non-membership groups with a positive attraction can also exert a strong influence
External influences: Reference Group…
The third variable: Attraction: Dissociative reference groups is…
Groups with negative desirability can influence behavior just as do those with positive desirability (e.g., teenagers tend to avoid clothing styles associated with older consumers).
External influences: Reference Group…
The third variable: Attraction: Aspiration reference groups is…
Non-membership groups with a positive attraction can also exert a strong influence (e.g., Individuals frequently purchase products thought to be used by a desired group in order to achieve actual or symbolic membership in the group).