Reference Groups, Opinion Leaders, & Word-Of-Mouth 1 Flashcards
Influence of Reference Groups
Influenced by what others think and how they behave
Reference groups
- family
- perceived as more credible than advertisements
- serves as a source of comparison, influence, and norms for people’s values and behavior
- provides skills, knowledge, attitudes, experiences to function as consumers
Types of Reference Groups
Membership Groups
- a group to which a person belongs to or realistically can join
Symbolic/Aspirational Groups
- a group to which an individual is unlikely to belong, but whose values and behaviors that person adopts
Source Credibility
Persuasive Impact
- Perceived expertise, trustworthiness, believability
- Message is more likely to be believed if presented by someone well respected
Formal Source
- person or medium paid by an organization
Informal Source
- person that the message receiver knows personally/met online
Frames of Reference
Normative Influence
- learning and adopting a group’s norms, values, behaviors
- Family, peers, and community
Comparative Influence
- Compare ourselves to others we respect
- Adopt their values or imitate their behaviors
Consumption-Related Reference Groups
Friends
- Credible source for specific purchases
Fellow Shoppers
- Reduces perceived risk
- Within a crowd, shoppers believe that their decision is right (Social Proof)
Virtual Communities
- Encourage people to leave comments and have others respond to them
- Share interests, hobbies, opinions online
Advocacy Groups
- Assist consumers in making purchasing decisions and support their rights
- Addressing a specific consumer abuse
- Tackling broader problems over time
Characteristics Conformity
Some individuals are likely to conform to groups’ behaviors and established practices
- Believe that group behaviors reflect the “right way” to behave
- Prefer wearing stylish clothing and they pay attention to what others are wearing
- Try to fit in during social gatherings so as not to be out of place
- Guided by others’ behavior if they feel unsure how to behave in a situation
- Behave in a manner they feel others want them to behave
- Change their mannerisms/approaches if they feel threatened
- Pick up slang expressions from others and start using them
- Pay close attention to others’ reactions to their behaviors
Asch Conformity Experiment
Found that about 75% of the participants conformed to the group’s incorrect answers at least once, even when they were confident that their judgment was correct
- On average, participants conformed to the incorrect group consensus about one-third of the time.
Product Conspicuousness & Reference Group Influence
A conspicuous (clear) product stands out and is noticed by others
Generally status revealing
- Piercing: High
- Tattoo: High
- Phone: Neutral
- Clubs: Neutral
- Underwear: Low
- Toothpaste: Low
Persuasive Power of Spokesperson
Spokesperson
- actual customer
- company employee,
- celebrity
- model
Measuring the credibility of a person or organization:
- Expertise
- Trustworthiness
- Attractiveness
- Likability
Conveying Company Credibility
Consumers view the intentions of commercial sources as less credible than informal reference groups
Companies can convey their credibility through:
- Past performance
- Good Reputation
- Product/Service Quality
- Image and Attractiveness of Spokespersons
- Reputation of Retailers
- Media where they advertise
Endorsers & Spokespersons
Synergy between endorser and type of product/service advertised is important
- Endorsers with demographics similar to the target audience are viewed as more credible
- Must also trust the brand
- Message contents must be congruent with spokesperson’s qualifications.
Celebrities
Celebrities
- symbolic reference group.
- admired and have a high degree of perceived credibility
Marketers employ celebrities in promotions in the following ways:
- Celebrity Testimonial (confirm to the product’s quality)
- Celebrity Endorsement (appear on behalf of products)
- Celebrity Actor (plays a part in a commercial for the product)
- Celebrity Spokesperson (represents the brand/company)
Slice-of-Life Commercials
Promotional messages showing typical consumers in everyday situations
- can be more effective than fantasy or emotional appeals
Medium Credibility
The reputation of the medium also enhances the credibility of the message
Consumers regard advertising they see in special-interest magazines and websites as more credible.
- Specialization in an area implies knowledge and expertise
- National Geographic
The Role of Culture
Culture
- Defines important reference groups for consumers.
- Learned collective values, customs, norms, and social institutions of a particular society which determine its principles, standards, and priorities.
