Reference Groups
and Family
References
A person or group that serves
as a point of reference for an
individual in the arrangement
of either general or specific
values, attitudes, or behavior.
Reference
Group A reference groups are
groups that serve as frames
of reference for individuals
in their purchase or
consumption decisions.
Broad Categories of Reference Groups
Normative Reference
Groups Reference groups
that influence, general or
broadly defined values or
behavior are called
Normative Reference Groups.
Like family play an important
role in molding the Childs
general consumer values and
behavior (such as which
foods to select for good
nutrition, appropriate ways to
dress for specific occasions,
how and where to shop, or
what comprise ‘good” value)
Comparative Reference Groups:
Reference group that serve as
benchmarks for specific or
narrowly defined attitudes or
behavior are called comparative
reference groups.
It is might be neighboring family
whose lifestyle appears to be
excellent and admirable of
imitation(why they maintain their
home, their choice of home
furnishings and cars etc)
Individuals or groups
with whom a person
identifies but does not
Indirect
have direct face-to-face
Reference
contact, such as movie
Groups
stars, sports heroes,
political leaders, or TV
personalities.
Teens are
very
influenced
by indirect
reference
groups.
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Major Consumer Reference Groups
A Reference Group Must accomplish the
following...
Some markets, especially market leaders, are interested in the
ability of reference groups to change consumer attitudes and
behavior by encouraging traditional values. To capable of such
influence, a reference group must accomplish the following:
Inform or make the individual aware of a specific
product or brand
Provide the individual with the opportunity to
compare his or her own thinking with the attitudes
and behavior of the group
Influence the individual to adopt attitudes and
behavior that are reliable with the norms of the
group
This ad
compares
the product
to a
reference
group.
Selected Consumer-Related Reference
Groups
Friendship groups: Its classified as informal groups
because they are usually unstructured and lack
specific authority levels. After an individuals family,
his or her friends are most likely to influence the
individuals purchase decisions.
Shopping groups: Two or more people who shop
together, whether for food, clothing, or simply to
pass the time, cab be called a shopping group.
Work groups: The total amount of time that people
spend at their jobs, frequently more than 35 hours
per week, provides ample opportunity for groups to
serve as a major influence on the consumption
behavior of members.
Virtual groups or communities: Thanks to
computers and the Internet, we are witnessing the
emergence of a new type of group-virtual groups or
communities.
Consumer-action groups: A particular kind of
consumer group- a consumer –action group- there are
a very large number of such groups dedicated to
providing consumers with assistance in their effort to
make the right purchase decisions, consume products
and services in a healthy and responsible manner like
neighborhood crime watch, youth development,
forests and wildlife concerns, legal assistance, pubic
health, disaster relief,, education, smoking, access to
telecommunication, etc.
Selected Consumer-Related Reference
Groups
The Internet
has created
many
friendship and
shopping
groups.
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Brand Communities
Since Honda
cannot compete on
brand community,
they choose to
emphasize the
family.
Reference Group Appeals
Celebrities (Celebrities can be a powerful force in creating interest or
actions with regard to purchasing or using selected goods and services.
Celebrities particularly movie stars, TV personalities, popular entertainers and
sports icons, provide a very common type of reference group appeal)
The expert ( A person who, because of his or her occupation, special
training, or experience, is in a unique position to help the prospective
consumer evaluate the product or service that the advertisement promoters)
The “common man” ( A reference group appeal that uses the
testimonials of satisfied customers is known as the common man approach.
The advantage of the common man appeal is that is demonstrates to
prospective customers that someone just like them uses and is satisfied with
the product or service being advertised)
The executive and employee spokesperson (An
increasing number of firms have used their top executives as spokespersons in
consumer ads)
Households
Family Households:
Married couple,
Nuclear family,
Extended family
Households
Nonfamily Households:
Unmarried couples,
Friends/ Roommates,
Boarders
The Changing Indians Family
Increase in childless women
More working mothers
Changes in household spending patterns
The process by which
children acquire the
Consumer
skills, knowledge, and
Socialization
attitudes necessary to
function as consumers.
Role of Children In Family Decision Making
Pressure tactics: The child makes demands uses threat, or
pressure to convince you to comply with his/her request
Upward appeal: The child seeks to convince you, saying that the
request was approved or supported by an older member of the
family, a teacher or even a family friend
Exchange tactics: The child makes an explicit or implicit promise
to give you some sort of service such as washing the car,
cleaning the house or taking care of the baby, in return for a
favor
partnership tactics: The child seeks the help to others to
persuade you to comply with his/her request or uses the support
of others as an argument for you to agree with him/her
Ingratiating tactics: the child seeks to get you in a good mood or
think favorably of him or her before asking you to comply with a
request
Eight Roles in the Family Decision-Making Process
ROLE 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 specific
product 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
The Family Life Cycle
Traditional Family Life Cycle
Stage I: Bachelorhood: young single adult living apart
from parents
Stage II: Honeymooners: Young married couple
Stage III: Parenthood: Married couple with at least
one child living at home
Stage IV: Postparenthood: An older married couple
with no children living at home
Stage V: Dissolution: One surviving spouse
