Chapter 12 Reference Groups and Family

Consumer Behaviour Canadian Edition Schiffman/Kanuk/Das

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What is a Group?
Two

or more people who interact to accomplish either individual or mutual goals

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Reference Group

A person or group that serves as a point of comparison (or reference) for an individual in the formation of either general or specific values, attitudes, or behaviour.

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Types of Reference Groups

Classified by: Membership
Symbolic

Extent of interaction
Direct versus indirect

Nature of attraction
Aspirational versus dissociative

Degree of formality
Formal versus informal
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Types of Reference Group Influence

Informational Influence
When a member of reference group provides information used to make purchase decisions

Normative Influence
When we conform to group norms in order to belong to that group

Identification Influence
When we identify with, and internalize, a groups values and behaviours
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Factors Encouraging Conformity: A Reference Group Must ...

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 behaviour of the group Influence the individual to adopt attitudes and behaviour that are consistent with the norms of the group Legitimize the decision to use the same products as the group
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Selected Consumer-Related Reference Groups

Friendship groups Shopping groups Work groups Virtual groups or communities Brand communities Consumer-action groups celebrities
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Reference Groups and Marketing Strategy

Recognize the extent of reference group influence in a situation Identify the most effective type of reference group influence Identify possible reference group members to use in promotions Attempt to increase reference group influence
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Households
Family Households: Married couple, Nuclear family, Extended family Households Non-Family Households: Unmarried couples, Friends/ Roommates, Boarders
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The Typical Household?

Canada: Nuclear family Thailand: Extended family USA: Not married, no children

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The Family Life Cycle

Traditional Family Life Cycle

Stage I: Bachelorhood Stage II: Honeymooners Stage III: Parenthood Stage IV: Post-parenthood Stage V: Dissolution

Modifications - the Nontraditional FLC

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Figure 12-6 Noteworthy Nontraditional FLC Stages

Alternative FLC Stages Family Households Childless couples It is increasingly acceptable for married couples to elect not to have children. Contributing forces are more career-oriented married women and delayed marriages. Definition/Commentary

Couples who marry later in More career-oriented men and women and greater life (in their late 30s or later) occurrence of couples living together. Likely to have fewer or even no children. Couples who have first child Likely to have fewer children. Stress quality lifestyle: later in life (in their late 30s Only the best is good enough or later)
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Figure 12-6 (continued)

Alternative FLC Stages Family Households Single parents I Definition/Commentary High divorce rates (about 50%) contribute to a portion of single-parent households

Single parents II
Single parents III

Young man or woman who has one or more children out of wedlock.
A single person who adopts one or more children.

Extended family

Young single-adult children who return home to avoid the expenses of living alone while establishing their careers. Divorced daughter or son and grandchild(ren) return home to parents. Frail elderly parents who move in with children. Newlyweds living with in-laws.

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Figure 12-6 (continued)

Alternative FLC Stages Nonfamily Households Unmarried couples Divorced persons (no children) Single persons (most are young) Widowed persons (most are elderly) Increased acceptance of heterosexual and homosexual couples. High divorce rate contributes to dissolution of households before children are born. Primarily a result of delaying first marriage; also, men and women who never marry. Longer life expectancy, especially for women; means more over-75 single-person households. Definition/Commentary

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Dynamics of Husband-Wife Decision Making

Husband-Dominated

Wife-Dominated

Joint

Equal Syncratic

Autonomic
Solitary Unilateral

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Consumer Socialization

The process by which children acquire the skills, knowledge, and attitudes necessary to function as consumers.

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Other Functions of the Family

Economic well-being Emotional support Suitable family lifestyles

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Family and Marketing Strategy

Use the FLC for segmentation and positioning Recognize the diverse consumption roles within the family Understand and use the dynamics of husband-wife decision making Understand and use the consumer socialization role played by the family Recognize the changing nature of Canadian families.
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