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Sessions 11 12/08/08
any number of people in close proximity Category. norms & behaviouer patterns .people with a sense of relatedness as a result of interaction with each other Classification Content/Function: eg occupation Degree of personal involvement Primary Vs Secondary groups Degree of Organisation : formal Vs Informal Properties Status Norms-unwritten rules/standards of behaviour Role-role conflict Socialisation-a new member learning values.Social Groups Aggregation.who have some particular attributes in common. Group.
. legitimate power. coercive power. expert power & referent power. Reward power.Power-groups have power to influence the members¶ behaviour.
attitudes or behaviour. Eg . Serves as frames of reference for individuals in their purchase or consumption decisions Normative reference groups : that influence general or broadly defined values or behaviour. Expression of specific consumer attitudes and behaviour .family Development of basic code of behaviuor Comparitive reference group : Bench marks for specific or narrowly defined attitudes or behaviour.Social Groups Reference Groups : Any person or group that serves as a point of comparision for an individual in forming either general or specific values.
family. social class. Many societal groupings that can have influence on an individual¶s consumption behaviour. friends. other cultures Types of Reference groups Membership Vs Nonmembership groups Formal vs Informal groups Contactual groups Aspirational groups Avoidance group . ones own culture.Indirect reference groups : those individuals or groups with whom one does not have face to face contact eg. Movie stars. political leaders etc. select subculture. sports hereos.
Reasons for accepting reference group influence Informational Benefit From opinion leaders Observing behaviour of others Utilitarian Benefit he believes that behaviour is visible to others Others control significant sanctions To realise reward /avoid punishment Value-Expressive Benefits enhance one¶s self concept by associating with positive groups. .
When an individuals freedom to engage in a specific behaviour is threatened the threatened behaviour becomes more attarctive. .Implications Group norms forces conformity Reactance might be formed against group pressure with consumers opting for independent choice. Eg limited period offers Reference group may influence shopping/purchasing patterns eg customers shopping in a group made many more changes in shopping plans than single shoppers.
.Variations in Group Influence Variation Among Products Variation Among Group Types Variation Among Individuals Variation of the type of influence Variation With the Situation.
The situation in which it is consumed whether publicly or privately. .Variability among products Conspicuousness of a product is a strong determinant of its reference group influence. The influence also depends on whether its is a luxury or a necessity.
Publicly consumed luxury Because it is a luxury the influence on the product should be strong Because it is seen by others the influence on the brand will be strong Privately consumed luxury Because it is a luxury the influence on the product will be strong Because it is not seen by others the influence on the brand will not be strong Publicly consumed necessity The influence for the product weak As it is seen by others the influence on the brand will be strong .
men¶s underwear eg Jockey .Privately consumed necessity The influence on the product will be weak as it is a necessity The influence on the brand will also be weak as it is not seen by the others Other implications For major durables or family products the greatest group influence comes from the family itself Other reference groups will be more influential in case of products having social visibility or social status Shifting of product category sometimes a product might shift from having less reference group influence to that having more reference group influence ± through heavy promotional efforts. Eg toilet soap eg Dove .
In case of products with high reference group influence stress on the kind of people that buy it. price etc. qualities.Advertising applications When product or brand does not have much reference group influence emphasize on product¶s attributes. emphasizing & broadening the stereotypes who use it. .
Variability Among Individuals Personality factors Type of Social character ± whether inner directed or other directed.Variability among Groups Students Vs Home makers Group cohesiveness Proximity to Group members Individuals relationship with group Individual's relationship to group Similarity to group¶s characteristics. outlooks and values. Demographic attributes .
utilitarian or value expressive Those products most likely to be subject to informational influence were items with greater technological complexity Those products most likely to be utilitarian and value expressive functions were those products that were important to confirm to the group norms or group identification. ± social visibility . Variability by Situation Group influence varies depending on the situation the product is consumed.Variability based on the type of influence Whether informational.
Factors that affect group Influence Information & Experience A person who has first hand experience or can obtain full information about is less likely to be influenced by others. Credibility. Attractiveness and Power of reference group consumers are presuaded by sources having high credibility Conspicuousness of the product Noticeable & status revealing products are more likely to be influenced Reference Group and consumer conformity Reference groups must inform or make individuals aware of specific products or brands Provide opportunity for the individual to compare his/her thinking with that of group Influence individuals to adopt attitudes & behaviour that are consistent with the group norms Legitimise individual¶s decision to use the same products as the group .
Application of the reference group appeals Appeals by celebrities and other similar reference groups are used very effectively by advertisers to communicate with their markets Identification with the reference group is based on Admiration. Aspiration. Empathy.To the loyal followers they represent an idealisation of life that most people imagine that they would love to live. Recognition Celebrities:. Types of celebrity appeals Testimonial Endorsement Actor Spokesperson .
Credibility of the celebrity Celeb¶s Expertise Trustworthiness Cultural meaning has to pass on to the product A celebrity match has to be found Threat: if the celebrity gets into some problem it gets reflected on to the brand Other Reference Group appeals The Expert appeal The Common man appeal Slice.of-life commercials .
Executive or Employee Spokes person Trade or Spoke characters Other Reference groups Special interest magazines Seals of approval etc. Benefits Increased Brand awareness Reduced Perceived risk .