session 4 culture & lifestyles silvia cacho elizondo november 15, 2005

Session 4

Culture & Lifestyles

Silvia Cacho Elizondo

November 15, 2005

Consumer Behaviour

Silvia Cacho-Elizondo

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Agenda

Review Concept testing : Jamaica drink

Culture & Lyfestyles

Case study: « Celebrations »

Consumer Behaviour


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Learning objective

Understand how cultural factors and lifestyles can explain consumer behaviour at the socio-cultural level.

Review

Consumer Behaviour


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Typology of groups

Size 1) Primary groups (limited size)

2) Secondary groups (sub-groups)

Purpose 1) Socio-groups (commun objectif)

2) Psycho-groups (interaction)

Structure 1) Formal (norms and rules)

2) Informal (non explicit norms)

Status 1) Membership groups

2) Reference Groups

Consumer Behaviour


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Reference Groups

It is an actual or imaginary individual or group conceived of having significant relevance upon an individual’s evaluations, aspirations or behaviour.

A group need at least two people but the term reference group is used to describe any external influence that provides social cues.

Consumer Behaviour


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Forms of influence

Normative or utilitarian when an individual fulfills others’ expectations to gain a direct reward or to avoid a sanction.

Value-expressive or identification when individuals use others’ norms, values and behaviours as a guide for their own attitudes, values and behaviour. Implicit in this type of influence is the desire for psychologicial association or social affilitation with others.

Informational social when an individual uses the values, norms, and behaviours of others as credible, and needed evidence about reality

Consumer Behaviour


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Types of Reference Groups

Avoidance Negative,

nonmembership

Aspirational Positive, nonmembership

Disclaimant Negative, membership

Contractual Positive, membership

Consumer Behaviour


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When reference groups are important..

1) When the purchases are luxuries rather than necessities

2) When purchases are consumed socially or visible to others rather than privately

Consumer Behaviour


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How the endorsement of a product by an aspirational group could

affect consumer attitudes and intentions?

• Social desirability of product consumption

• Perceived visibility of early adoption behaviour

• Perception of quality

One explanation for this type of aspirational group influence is provided by the model of meaning transfer. The focus of this model is on the transfer of culturally relevant meanings from the endorser to the product

Consumer Behaviour


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The nature of Opinion Leadership

Consumer Behaviour


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Why are opinion leaders considered as valuable information sources?

Involvement, Expertise and Experience in a product category

Product category pioneers Empathy and Neutrality High Credibility

Consumer Behaviour


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The role of lead users

Word of Mouth communicationThe diffusion of Innovations or

new products

Consumer Behaviour


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Companies’ strategies

Simulate by product use a « leader » Developing the idea that others are buying Granting the status of a leader to a potential

customer to trigger a feeling of pride Stimulating personal influence Supplying local opinion leaders with the

product Getting people to talk about a product

Consumer Behaviour


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How culture & lifestyles influence consumption patterns?

Consumer Behaviour


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Factors explaining buying and consumption

behaviour

1. Individual level

2. Interpersonal level

3. Socio-cultural level

Consumer Behaviour


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Consumer Behaviour


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Key mots & issues

Rituals (ex de consumption) Arts (ex. Culinary) Traditions versus modernity Intergenerational Transmission Adaptation and appropriation

Concept testing

“Agua de Jamaica”

Another kind of iced tea ?

Consumer Behaviour


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Culture- Meaning and Nature -

Cultural Categories time, space, nature and the human community (ie. ethnicity, age, gender)

Cultural Principles (« folk wisdom »)

values, norms and beliefs (ie. « hard work pays »; « seeing is believing »)

Consumer Behaviour


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Consumer Behaviour


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Internal Integration “relationships among people”Social versus task orientation

Particularism/universalismHierarchy

Feminity /MasculinityIndividualism /Collectivisme

Linking assumptionsLinking assumptions “relationships with nature & people”Space

personal and physicalLanguage

High versus low contextTime

Monochronic and polychronicPast, present, future

External adaptation“relationships with the environment”Control and uncertainty (nature)Doing versus being

Consumer Behaviour


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Culture & Consumer Behaviour: Traditional Marketing View

(adapted from: Arnould, Price and Zinkhan, 2002; pag 141)

(Individual) Perceptual Categorization

Perceptual Inference Information Processing

Motives Self-Concept

Culture (Collective)

Antecedents to culture

Consumption Patterns

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Traditional perspective

In this perspective culture is viewed as a relatively unchanging background for behaviour, consisting primarily of values and norms.

Values enduring beliefs about desirable outcomes that trascend specific situations and shape one’s behaviour.

Norms informal, usually unspoken rules that gouvern behaviour.

Consumer Behaviour


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Europeanisation as an “outside influence”

Europeanisation will act as a reinforcement to

“origins” and “societal norms”

Consumer Behaviour


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The stabilising of culture patterns

(Hofstede, 1980)Outside influenceForces of Nature & Man

Origins

EcologicalDemographicGeographic EconomicHistorical

Technological Urbanization

Societal Norms

Value Systems of major groups

of population

ConsequencesStructure and functioning

of institutionsFamily patterns

Social stratificationRole differentiation

Education Religion

LegislationTheory development

Reinforcement

Consumer Behaviour


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Culture & Consumer Behaviour: Emerging Marketing View

(adapted from: Arnould, Price and Zinkhan, 2002; pag 141)

MMaterial Goods

Blueprints por action

Consumption Patterns

Cultural interpretation

Cultural fields (Scapes)

Consumer Behaviour


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LifestylesConsumption Subcultures

A single activity An interest

A neighborhood A brand A whole generation or a

particular segment within a generation

Consumer Behaviour


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How to measure lifestyles?

Psychographics techniques divide the market into segments

on the bases of activities, interests, values, opinions, personality characteristics and attitudes using different

«statistical methods»

Consumer Behaviour


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Psychographic Segmentation Schemes

AIO (activities, interests & opinions)

Cohort Analysis (age groups)

PRIZM (regional lifestyles) Value-based approach

Consumer Behaviour


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US Cohort Carthography

1. The World War II Cohort born 1922 to 1927, Romantic

2. The Boomers I Cohort born 1946 to 1954, Healthy3. The Boomers II Cohort born 1955 to 1965, Narcissistic 4. The Generation X Cohort born 1966 to 1976, Cynicism & Violence

Consumer Behaviour


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Value-based approach

Europe COFREMCA Centre de Communication Avancé

USA Yankelovitch VALS system (A. Mitchell et Stanford

Research Institute)

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A research and consulting tool

Built by consumer futurist Arnold Mitchell in the 1970s

It was developed from the works of Riesman and Maslow for whom the strongest motivations are first linked to fundamental needs (survivors and sustainers).

VALS Framework

Consumer Behaviour


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Evolution of VALS classification

In 1989, VALS was redefined to maximize its ability to predict consumer behaviour. A team of experts from SRI International, Stanford University and Berkeley University determined that consumers should be segmented on the basis of enduring personality traits rather than social values that change overtime.

Consumer Behaviour


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VALS FrameworkVALS 1 (9 segments) :

IntegratedSocietally conscious

ExperientialsI am me

AchieversEmulatorsBelongersSustainersSurvivors

VALS 2 (8 segments) :

Ideals * Thinkers * BelieversStatus or Achievement

* Achivers * StriversSelf-expression

* Experiencers * MakersLevel of Resources * Innovators * Strugglers

Consumer Behaviour


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The VALS Segments

•Innovators

•Thinkers

•Achievers

•Experiencers

•Believers

•Strivers

•Makers

•Survivors

Consumer Behaviour


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Segments Features

Innovators

Successful, sophisticated, take charge people with high self- esteem. Very active consumers, seek challenges.

characterized by variety. their purchases reflect cultivated tastes for upscale and niche market.

ThinkersMature,satisfied,comfortable, reflective and well educated people. Actively seek out information. Conservative,practical consumers. Look for durability, functionality and value in the products.

Achievers

Goal-oriented lifestyles and a deep commitment to career and family. Consensus, predictability, stability over risk,intimacy and self-discovery. Active consumer.Interested in time saving devices

Experiencers

Young,enthusiastic and impulsive consumers. Seek variety,excitement, savoring the new and the risky. Spend high proportion of their income on fashion, entertainment and socializing.

The VALS Segments

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Segment Features

Believers

Conservative, conventional people with concrete beliefs based on traditional, established codes such as moral codes. Predictable consumers. Choose familiar products and established brands.

Strivers

Motivated by achievement. Concerned about the opinions and approval of others. Active and impulsive consumers.

Like stylish product.

Makers

Motivated by self-expression. Practical people who have constructive skills and value self-sufficiency.

Have a suspicious of new ideas and large institutions such as big business.

Survivors

Do not show a strong primary motivation. Cautious consumers .focus on meeting needs rather than fulfilling desires. Loyalty to favorite brands, Especially, if they can purchase them at a discount.

The VALS Segments

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Home exercise VALS site

http://www.sric-bi.com Look for representative

projects Answer the VALS questionnaire

to know your VALS type Print the questionnaire and your

VALS types

Consumer Behaviour


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Case Study Presentation

Masterfood « Celebrations »

session 4 culture & lifestyles silvia cacho elizondo november 15, 2005

Documents

productsilvia cachoelizondo

privatelysilvia cachoelizondo

silvia cachoelizondo

term reference group

primary groups

type of influence

social cues

external influence