Buyer Psychological Personal Social Culture

Groups Membership Reference Opinion Leaders Family Many influencers Roles and Status 5 - Cultural Social Personal Psychological Key Factors

Groups

Membership

Reference

Opinion Leaders

Family

Many influencers

Roles and Status

Types of Reference Groups a. Direct b. Indirect STUDENT CLUBS (1)Primary: Daily (2)Secondary: (1) Aspirational (+ve) “Want-to-Be” (2) Non-inspirational (-ve) “ DON’T Want to Be” IDOLS MICHEAL JACKSON

Normative vs. Comparative Reference Groups Normative Reference Groups - A group in which individuals are motivated to gain or maintain acceptance. To promote this acceptance, individuals hold their attitudes in conformity with what they perceive to be the consensus of opinion (norms) among the group members. Comparative Reference Groups - A group which individuals use as a standard or point of reference in making evaluations or comparisons of themselves and of other individuals or groups

Normative vs. Comparative Reference Groups

Normative Reference Groups - A group in which individuals are motivated to gain or maintain acceptance. To promote this acceptance, individuals hold their attitudes in conformity with what they perceive to be the consensus of opinion (norms) among the group members.

Comparative Reference Groups - A group which individuals use as a standard or point of reference in making evaluations or comparisons of themselves and of other individuals or groups

Friendship Groups – Most likely to influence after the family Shopping Groups – 2 or more people who shop together Work Groups – Who work together as a part of a work team Virtual Groups/ Communities Consumer–Action Groups – Who are dedicated in providing assistance to consumers in order to make correct purchase decisions

Friendship Groups – Most likely to influence after the family

Shopping Groups – 2 or more people who shop together

Work Groups – Who work together as a part of a work team

Virtual Groups/ Communities

Consumer–Action Groups – Who are dedicated in providing assistance to consumers in order to make correct purchase decisions

Celebrities Experts Common Man (someone just like them uses it) The Executive/ Employee Spokesperson Trade/ Spokes Characters or Familiar Cartoon Characters Respected Retailers Editorial content of Special –interest Magazines Seals of Approval High Rating in Consumer Reports

Celebrities

Experts

Common Man (someone just like them uses it)

The Executive/ Employee Spokesperson

Trade/ Spokes Characters or Familiar Cartoon Characters

Respected Retailers

Editorial content of Special –interest Magazines

Seals of Approval

High Rating in Consumer Reports

Information and Experience High for consumers – less likely to be influenced by reference groups Credibility, Attractiveness and Power of the Reference Group Conspicuousness of the Product Verbally conspicuous product – easily explained to others – higher influence by the reference group

Information and Experience

High for consumers – less likely to be influenced by reference groups

Credibility, Attractiveness and Power of the Reference Group

Conspicuousness of the Product

Verbally conspicuous product – easily explained to others – higher influence by the reference group

Strong Weak Strong Weak Brand Choice Product Choice Public Luxuries Golf Clubs Snow Skis Sail Boat Private Luxuries TV Video Games Ice Makers Trash Compactors Public Necessities Wrist Watch Automobiles Dress Clothes Private Necessities Mattresses Floor Lamps Refrigerators

Decision-making unit of a buying organization is called its buying center . Not a fixed and formally identified unit. Membership will vary for different products and buying situations. Buying Center Members: Users Buyers Deciders Gatekeepers Influencers Initiators

Decision-making unit of a buying organization is called its buying center .

Not a fixed and formally identified unit.

Membership will vary for different products and buying situations.

Buying Center Members:

Users

Buyers

Deciders

Gatekeepers

Influencers

Initiators