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Roger D. Blackwell Paul W. Miniard James F. Engel

Consumer Behavior. Roger D. Blackwell Paul W. Miniard James F. Engel. Requests for permission to make copies of any part of the work should be mailed to the following address:. Permissions Department, Thomson Business and Economics 5109 Natorp Boulevard Mason, OH 45040 800–423–0563.

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Roger D. Blackwell Paul W. Miniard James F. Engel

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  1. Consumer Behavior Roger D. Blackwell Paul W. Miniard James F. Engel Requests for permission to make copies of any part of the work should be mailed to the following address: Permissions Department, Thomson Business and Economics 5109 Natorp Boulevard Mason, OH 45040 800–423–0563

  2. CHAPTER 13 Group and Personal Influence

  3. Group and Personal Influences on Individuals

  4. Group and Personal Influences on Individuals Other people, whether as individuals or groups, exert enormous influence on consumers Belonging to groups, trying to “fit in,” and striving to please others affects every stage in the decision process

  5. Group and Personal Influences on Individuals Reference group: any person or group of people who significantly influences an individual’s behavior May be individuals (celebrities, athletes, or political leaders) or groups of individuals with similarities (musical groups or sports teams)

  6. Types of Influence Normative Value Expressive Informational Transmission Personal Influences: •Groups •Individuals Personal and Group Influence on Individuals High Degree of Influence Lifestyles Behaviors Purchases Consumption Low Degree of Influence

  7. Personal and Group Influence on Individuals Personal Influences: •Groups •Individuals

  8. Types of Reference Groups Primary Groups: a social aggregation that is sufficiently intimate to permit and facilitate unrestricted direct interaction (e.g., family)

  9. Types of Reference Groups Secondary Groups: also have direct interaction, but it is more sporadic, less comprehensive, and less influential in shaping thought and behavior (e.g., professional associations or community organizations)

  10. Types of Reference Groups Formal Groups: characterized by a defined structure (often written) and a known list of members and requirements for membership Informal Groups: have less structure than formal groups and are likely to be based on friendship or interests

  11. Types of Reference Groups Membership: when individuals are recognized as members of a group, they have achieved formal acceptance status in the group Aspirational Groups: exhibit a desire to adopt the norms, values, and behaviors of others with whom the individuals aspire to associate

  12. Types of Reference Groups Dissociative Groups: groups from which an individual tries to avoid association Virtual Groups: groups that are based on virtual communities rather than geographic ones

  13. Personal and Group Influence on Individuals Personal Influences: •Groups •Individuals

  14. Types of Influence Normative Value Expressive Informational Personal Influences: •Groups •Individuals Personal and Group Influence on Individuals

  15. Types of Group Influence Normative: when individuals alter their behaviors or beliefs to meet the expectations of a particular group

  16. Types of Group Influence Normative: when individuals alter their behaviors or beliefs to meet the expectations of a particular group Value-expressive: when a need for psychological association with a group causes acceptance of its norms, values, attitudes, or behaviors

  17. Types of Group Influence Normative: when individuals alter their behaviors or beliefs to meet the expectations of a particular group Value-expressive: when a need for psychological association with a group causes acceptance of its norms, values, attitudes, or behaviors Informational: when people have difficulty assessing product or brand characteristics by their own observations or contact

  18. Types of Influence Normative Value Expressive Informational Personal Influences: •Groups •Individuals Personal and Group Influence on Individuals

  19. Types of Influence Normative Value Expressive Informational Transmission Personal Influences: •Groups •Individuals Personal and Group Influence on Individuals

  20. Personal and Group Influence on Individuals High Degree of Influence Types of Influence Normative Value Expressive Informational Transmission Lifestyles Behaviors Purchases Consumption Personal Influences: •Groups •Individuals Low Degree of Influence

  21. How Reference Groups Influence Individuals

  22. How Reference Groups Influence Individuals Socialization: permits an individual to know what behavior is likely to result in stability both for the individual and the group Company manual may explain the dress code in the workplace Informal groups may tell them what styles are most comfortable and easiest to maintain

  23. How Reference Groups Influence Individuals Self-concept: people protect and modify their self-concept by their interactions with group members People can maintain self-concept by conforming to learned roles Testimonial advertising is effective when the self projected in the ad is consistent with the idealized self of the target consumer

  24. Reference Groups Help Define Self-Concept

  25. How Reference Groups Influence Individuals Social comparison: individuals often evaluate themselves by comparing themselves to others Consumers often use reference groups as benchmarks to measure their own behaviors, opinions, abilities, and possessions Advertising or television can be sources of social comparison

  26. How Reference Groups Influence Individuals Conformity: a change in beliefs or actions based on real or perceived group pressures Compliance: when an individual conforms to the wishes of the group without accepting all its beliefs or behaviors Acceptance: when an individual actually changes his or her beliefs and values to those of the group

  27. How Reference Groups Influence Individuals Factors affecting how likely people are to conform to group norms:

  28. How Reference Groups Influence Individuals When are people more likely to conform to norms?

  29. How Reference Groups Influence Individuals Factors affecting how likely people are to conform to group norms: Desire for social acceptance Degree of experience in situation or with decision Conspicuousness Complex product or luxury item

  30. Reference Group Influence on Product and Brand Purchase Decisions PRODUCT Weak Reference Group Influence Strong Reference Group Influence PUBLIC NECESSITIES Influence: Weak product & strong brand (watch, autos, suits) PUBLIC LUXURIES Influence: Strong product & strong brand (golf clubs, skis, boat) Strong Group Influences (+) BRAND PRIVATE NECESSITIES Influence: Weak product & weak brand (mattress, refrigerator) PRIVATE LUXURIES Influence: Strong product & weak brand (TV, icemaker) Weak Group Influences (-)

  31. How Reference Groups Influence Individuals Profits of conformity More likely to occur when the rewards of compliance exceeds its costs The degree of influence on final outcome is determined by an individual’s perception of the “profit” inherent in the transaction

  32. How Reference Groups Influence Individuals Conspicuousness Conformity pressures are not sufficient to induce behavior unless the product or service is publicly conspicuous in its purchase and use Because other will see the product, many consumers will conform rather than risk embarrassment or ridicule Peers send clear signals about product alternatives

  33. Appealing to Normative Influence in Marketing Strategy Normative compliance may be less important in industrialized nations as many consumers are putting personal needs ahead of group loyalty Extended families have less face-to-face contact and people are more socially isolated than in the past Television and mass media expand people’s horizons beyond social circles

  34. Appealing to Normative Influence in Marketing Strategy A weakened respect for social norms (anomie) leads some consumers to desire expression of individuality more than group affiliation

  35. High Product Visibility Raises Reference Group Influence

  36. Self-Expression Outside of Social Norms

  37. Celebrity and Other Reference Group Appeals in Advertising Testimonials: celebrities tout products based on personal usage

  38. Celebrity and Other Reference Group Appeals in Advertising Testimonials: celebrities tout products based on personal usage Endorsements: celebrities lend their name or likeness to a product without necessarily being an expert in the area

  39. Celebrity and Other Reference Group Appeals in Advertising Actor or Spokesperson: someone who represents a brand or company for an extended time period

  40. Celebrity and Other Reference Group Appeals in Advertising Expert appeal: appeal from a person possessing unique information or skills that can help consumers make better purchase decisions than other types of spokespersons Common-man appeal: testimonials from “regular” consumers with whom most consumers can relate

  41. Transmission of Influence Through Dyadic Exchanges

  42. Transmission of Influence Through Dyadic Exchanges Exchange between two individuals that influence these individual’s behaviors or beliefs Dyadic exchange requires the exchange of resources (opinions and comments)

  43. Dyadic Exchanges Word-of-mouth Communication Service Encounters Opinion Leadership

  44. Word-of-Mouth Communication Word-of-mouth communication: informal transmission of ideas, comments, opinions, and information between two people, neither one of which is a marketer The receiver gains information about behaviors and choices, which is valuable to the receiver in the decision process

  45. Word-of-Mouth Communication The sender increases their confidence in the personal product or behavior choice by persuading others to do the same

  46. Benefits of Word-of-Mouth

  47. Opinion Leadership Opinion leadership: the sender of information is often considered an opinion leader—a person who influences the decisions of others Opinion leaders might be experts in one area but not in others The greater the perceived knowledge of a category, the more likely that person’s opinions are to influence others’ decisions

  48. Opinion Leadership Personal influence in the form of opinion leadership is likely to occur when:

  49. Opinion Leadership Personal influence in the form of opinion leadership is likely to occur when: An individual has limited knowledge of a product or brand The person lacks the ability to evaluate the product or service The consumer does not trust advertising and other sources of information Other information sources have low credibility with the consumer

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