chapter 11 social class
DESCRIPTION
Consumer BehaviorNinth EditionSchiffman and KanukTRANSCRIPT
![Page 1: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/1.jpg)
Copyright 2007 by Prentice Hall
Consumer Behavior,Ninth Edition
Schiffman & Kanuk
Chapter 11Social Class and
Consumer Behavior
![Page 2: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/2.jpg)
Copyright 2007 by Prentice Hall 11 - 2
Chapter Outline
• What Ss Social Class?• The Measurement of Social Class• Geodemographic Clustering• The Affluent Consumer• The Middle Class Consumer• The Working Class• Selected Consumer Behavior
Applications of Social Class
![Page 3: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/3.jpg)
Copyright 2007 by Prentice Hall 11 - 3
Social Class
The division of members of a society
into a hierarchy of distinct status classes,
so that members of each class have either higher or lower status than members of other
classes.
![Page 4: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/4.jpg)
Copyright 2007 by Prentice Hall 11 - 4
Status Consumption
• Consumers endeavor to increase their social standing through consumption
• Very important for luxury goods
• Is different from conspicuous consumption
![Page 5: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/5.jpg)
Copyright 2007 by Prentice Hall 11 - 5
Discussion Question
• Why is status consumption important for some consumers?
• How can marketers promote increased status consumption?
![Page 6: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/6.jpg)
Copyright 2007 by Prentice Hall 11 - 6
Social Class Is Hierarchal
• Status is frequently thought of as the relative rankings of members of each social class
![Page 7: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/7.jpg)
Copyright 2007 by Prentice Hall 11 - 7
Table 11.2 Percent Distribution of Five-Category Social-Class Measure
SOCIAL CLASSES PERCENTAGEUpper 4.3Upper-middle 13.8Middle 32.8Working 32.3Lower 16.8Total percentage 100.0
![Page 8: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/8.jpg)
This luxury cruise line
targets upscale
customers.
![Page 9: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/9.jpg)
Copyright 2007 by Prentice Hall 11 - 9
Social Class Measurement• Subjective Measures
– individuals are asked to estimate their own social-class positions
• Reputational Measures– informants make judgments concerning the social-
class membership of others within the community
• Objective Measures– individuals answer specific socioeconomic
questions and then are categorized according to answers
![Page 10: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/10.jpg)
Copyright 2007 by Prentice Hall 11 - 10
Objective Measures
• Single-variable indexes– Occupation– Education– Income– Other Variables
• Composite-variable indexes– Index of Status
Characteristics– Socioeconomic
Status Score
![Page 11: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/11.jpg)
Copyright 2007 by Prentice Hall 11 - 11
Discussion Question
• What are the advantages to a marketer using the objective method to measure social class?
• When would the subjective or reputational method be preferred?
![Page 12: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/12.jpg)
Copyright 2007 by Prentice Hall 11 - 12
Index of Status Characteristics
(ISC)
A composite measure of social
class that combines occupation, source
of income (not amount), house
type/dwelling area into a single
weighted index of social class standing.
![Page 13: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/13.jpg)
Copyright 2007 by Prentice Hall 11 - 13
Socioeconomic Status Score
(SES)
A multivariable social class measure used by
the United States Bureau of the Census
that combines occupational status, family income, and
educational attainment into a single measure of
social class standing.
![Page 14: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/14.jpg)
This reference to
a plastic surgeon
may be part of targeting
to upper-class
consumers.
![Page 15: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/15.jpg)
Copyright 2007 by Prentice Hall 11 - 15
Occupational ranking in terms of
honesty and ethical
standards - Figure 11-2
![Page 16: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/16.jpg)
Copyright 2007 by Prentice Hall 11 - 16
Table 11.7 Typical Categories Used for Assessing Amount or Source of Income
AmountUnder $25,000/year
$25,000-$49,999
$50,000-$74,999
$75,000-$99,999
$100,000-$124,999
$125,000-$149,999
$150,000-$174,999
$175,000-$199,999
$200,000 and over
SourcePublic welfare
Private financial assistance
Wages (hourly)
Salary (yearly)
Profits or fees
Earned wealth
Inherited wealth, interest, dividends, royalties
![Page 17: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/17.jpg)
Copyright 2007 by Prentice Hall 11 - 17
Geodemographic Clusters
A composite segmentation
strategy that uses both geographic
variables (zip codes, neighborhoods) and
demographic variables (e.g.,
income, occupation) to identify target
markets.
![Page 18: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/18.jpg)
Copyright 2007 by Prentice Hall 11 - 18
PRIZM (Potential
Rating Index by Zip
Market)
A composite index of geographic and
socioeconomic factors expressed in
residential zip code neighborhoods from
which geodemographic
consumer segments are formed.
![Page 19: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/19.jpg)
Copyright 2007 by Prentice Hall 11 - 19
Explore the Prizm Product
at Clarita’s Web site.
weblink
![Page 20: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/20.jpg)
Copyright 2007 by Prentice Hall 11 - 20
The Affluent Consumer
• Especially attractive target to marketers• Growing number of households can be
classified as “mass affluent” with incomes of at least $75,000
• Some researchers are defining affluent to include lifestyle and psychographic factors in addition to income
• Have different medial habits than the general population
![Page 21: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/21.jpg)
Copyright 2007 by Prentice Hall 11 - 21
Most large banks offer
“private banking”
services to their most
affluent customers.
weblink
![Page 22: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/22.jpg)
Copyright 2007 by Prentice Hall 11 - 22
Three segments of affluent
consumers’ average
household expenditures Figure 11-5
![Page 23: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/23.jpg)
Copyright 2007 by Prentice Hall 11 - 23
What Is the Middle Class?• The “middle” 50 percent of household incomes
- households earning between $22,500 and $80,000
• Households made up of college-educated adults who use computers, and are involved in children’s education
• Lower-middle to middle-middle based on income, education, and occupation (this view does NOT include upper-middle, which is considered affluent)
![Page 24: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/24.jpg)
Copyright 2007 by Prentice Hall 11 - 24
The Middle Class
• There is evidence that the middle class is slowly disappearing in the U.S.
• Growth of middle class in some Asian and Eastern European countries
• Many companies offering luxury to the masses with near-luxury models and goods
![Page 25: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/25.jpg)
This ad focuses on
the affordable price of this treatment.
![Page 26: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/26.jpg)
Copyright 2007 by Prentice Hall 11 - 26
The Working Class?
• Households earning $40,000 or less control more than 30 percent of the total income in the U.S.
• These consumers tend to be more brand loyal than wealthier consumers.
![Page 27: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/27.jpg)
Copyright 2007 by Prentice Hall 11 - 27
Discussion Question
• What types of products are targeted to the working class?
• What issues must marketers consider when targeting their ads to the working class?
![Page 28: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/28.jpg)
Copyright 2007 by Prentice Hall 11 - 28
The U.S. Census is an
excellent source of data
on different economic groups.
weblink
![Page 29: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/29.jpg)
Copyright 2007 by Prentice Hall 11 - 29
The Techno Class
• Having competency with technology
• Those without are referred to as “technologically underclassed”
• Parents are seeking computer exposure for their children
• Geeks now viewed as friendly and fun
![Page 30: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/30.jpg)
Copyright 2007 by Prentice Hall 11 - 30
Consumer Behavior and Social Class
• Clothing, Fashion, and Shopping
• The Pursuit of Leisure
• Saving, Spending, and Credit
• Social Class and Communication
![Page 31: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/31.jpg)
Copyright 2007 by Prentice Hall 11 - 31
Preferences of
Americans for 100 Arts, Media and
Leisure Pursuits
Figure 11-8
![Page 32: Chapter 11 Social Class](https://reader033.vdocuments.site/reader033/viewer/2022061202/547b62555906b559798b45d9/html5/thumbnails/32.jpg)
Copyright 2007 by Prentice Hall 11 - 32
Class Situations, Self-Perceptions, and Financial Orientations
Figure 11-9