Chapter 12

Group Influence

Group Influence
Importance of groups

 Play an important role in consumer

socialization
 The process by which we acquire the skills,
knowledge and attitudes necessary to
function as consumers
 As consumers we learn to think and behave
according to society’s expectations as
modeled by the groups we interact with
Types of social groups

 Primary groups: small and intimate groups

we come together with frequently and face-
to-face
 Secondary groups: less intimacy and
personal interaction
 Key difference is the extent of influence over
one’s attitudes, beliefs, behavior, etc.
 Formal groups: organized, hierarchical
groups where structure is defined, roles
delineated, etc.
 Informal groups: often emerge from formal
groups, but may also emerge between
neighbors, friends, etc.
Roles

 Patterns of behavior expected of individuals

within a given social context
 May develop in one of three ways
1. Formal role definitions prescribed by the group
2. Informal rules of the group
3. History of prior experiences
 Roles influence consumption behavior
 A role-related product cluster is a set of
goods necessary to play a given role
Status

 The relative position of a person in a group’s

social spectrum
 Consumers often purchase goods and
services appropriate to their status within a
group
Reference groups

 Any person or group that serves as a point of

comparison (reference) for an individual in
forming either general or specific values,
attitudes, or a specific guide for behavior
 Reference groups are groups that serve as
frames of reference for individuals in their
purchase or consumption decisions
Types of reference groups

 Normative: groups that influence general or

broadly defined values or behavior
 Comparative: groups that benchmark
specific or narrowly defined attitudes or
behaviors
 Indirect: individuals or groups with whom a
person does not have direct contact, such as
movie stars, sports heroes, celebrities,
political leaders, etc.
 Membership reference groups
 Aspirational reference groups
 Dissociative reference groups
Factors that affect reference group
influence
 Degree of influence a reference group
exerts on a consumer’s actions depend on
several factors:
1. Nature and extent of consumer’s
information and experience
2. Credibility, attractiveness, and power of the
group
3. Conspicuousness of the product
1. Consumer’s information and experience

 Greater the consumer’s access to information

about or experience with a product, the less
likely it is that he or she will be influenced by
the advice or examples of others
2. Credibility, power and attractiveness of
the reference group

 Direct relationship between these factors and

the influence the group wields
 Consumers are more likely to be persuaded
by those whom they consider trustworthy and
knowledgeable—i.e., high credibility
 Consumers who are concerned with the
power that a group can exert over them might
choose products or services that conform to
the norms of that person or group
 Consumers who are concerned with the
acceptance or approval of others they like or
identify with are likely to adopt their product,
brand, or other behavioral characteristics
3. Conspicuousness of the product

 A purchase that will stand out and be noticed

is more likely to be made with the reaction of
a reference group in mind
 Particularly true for luxury and status-
revealing purchases
Implications for marketing
 Marketers who employ reference group influence
must understand that consumers have multiple
reference groups
 Different groups may influence consumer purchases
in different areas
 Marketers must first identify the types of groups that
consumers are likely to refer to when making a
purchase
 Then they are in a position to select appropriate
influencers to deliver the marketing message
Selected consumer-related reference
groups
 There is a large and diverse range of
groups that have the potential to influence
consumer behavior; we will look at four:
1. Friendship groups
2. Shopping groups
3. Work groups
4. Consumer action groups
1. Friendship groups

 Generally considered informal groups

 Next to family, considered the most likely to
influence individual’s purchase decision
 Seeking and maintaining friendships is a basic drive
of most people
 Opinions and preferences of friends are an
important influence in determining the products and
brands a consumer selects
 Marketers recognize this and often depict friendship
situations in their ads, especially for products such
as clothing, snack foods and alcoholic beverages
2. Shopping groups

 Two or more people who shop together

 A range of reasons
1. Social--to share time together
2. Risk reduction--to have a second opinion
3. Informational--others in the group may know
more about certain products
3. Work groups

 The workplace actually creates two different

types of group: formal and informal
 Formal work groups involve individuals who
work together as a team and thus there is an
opportunity for influencing each other’s
consumption-related activities
 Informal work groups are people who have
become friends through their work, though
they may not work as a team
4. Consumer action groups

 Today there are many groups whose purpose

is to provide information and assistance to
consumers
 Several different types
 Public vs. private
 Single-issue vs. broad-based
 Temporary vs. permanent
Reference group appeals

 Four very common and effective reference

group appeals used by advertisers include
1. Celebrity appeals
2. Expert appeals
3. Common-man appeals
4. Executive appeals
1. Celebrity appeals
 Celebrities represent an idealization of life that
most people imagine they would love to live
 Four ways in which celebrities are used to promote
products
1. Testimonial: based on personal usage, a celebrity
attests to the quality of the product
2. Endorsement: celebrity lends name and appears
on behalf of a product (may not be an expert)
3. Actor: celebrity presents a product through his or
her character
4. Spokesperson: celebrity represents the brand or
company over an extended period of time
 Celebrity appeals work only if the person is
perceived as credible
 The more products a celebrity is associated
with, the more credibility erodes
2. Expert appeals

 A person who, because of his or her

occupation, training or experience is in a
unique position to help consumers evaluate a
product or service
3. The common man appeal

 Uses the experiences of satisfied customers

 Consumers can easily identify with them
 Especially effective in public health
announcements
 Commercials that show individuals or families
solving problems by using the advertised
product are called slice-of-life commercials
because they focus on real issues that
consumers can identify with
4. The executive spokesperson

 Became popular in last 20 years as CEO’s

became better known to the public
 As with celebrities, success depends on
public perception of the spokesperson’s
credibility