THE INDIVIDUAL CONSUMER AND BUYING BEHAVIOUR AND MARKETING IMPLICATIONS

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The presentation is based on consumer behaviour & its marketing implications. It covers two topics:- Personality & Psychographics

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  • Source: Schiffman and Kanuck: CONSUMER BEHAVIOUR, Pearson Education Asia, 7th Edition.
  • The word �personality� derives from the Latin word �persona� which means �mask�. The study of personality can be understood as the study of �masks� that people wear. These are the personas that people project and display, but also includes the inner parts of psychological experience which we collectively call our �self�.
  • Eg. Long distance relationship
  • psychoanalytic theory, developed initially by Sigmund Freud
  • There are two major assumptions underlying a dispositional approach:
    1. STABILITY of personality
    People display consistency in their actions, thoughts, and feelings BETWEEN situations and OVER time. In other words, unpredictability is the exception rather than the rule (i.e. unpredictability doesn’t define the essence of personality).� Note that some psychologists, such as social psychologists, would argue that too much emphasis is placed on the stability of personality. The idea behind this assumption is that YOU ARE THE SAME PERSON YOU USED TO BE AND WILL BE IN THE FUTURE.
    2. DIFFERENCES between people.
    The composition of dispositions varies from person to person. Each person’s personality consists of a pattern of dispositional qualities which form a unique combination in each person.
    Major issues & related topics
    Major issues and topics related to the dispositional perspective include:
    How many personality types are there and what are they?
    How many personality traits are there and what are they?
    To what extent are the various personality types and traits are heritable?
    What is the relative influence of situational influences vs. personality dispositions in determining thinking, behavior and feeling in specific, real situations?
    To what extent do personality dispositions change over time?
    Are there personality differences between
    people of different ages?
    men and women?
    people who work in different types of jobs?
    across cultures, ethnic groups, nations?
  • The learning perspective views a person as entering the world as a tabula rasa (blank slate), although it acknowledges that there are instincts and pre-set responses to stimuli, as well as a preference for pleasure and a desire to avoid pain.  Primarily, however, the learning perspective differ from perspectives that propose that a person is born with an innate nature or personality structure -- some biological theories call it temperament, trait theories call it dispositions, psychoanalysts call it drives or instincts and the humanists also use the term drives.

  • The idea that we are responsible for our own lives, embodied in existentialism, is exemplified in the work of Carl Rogers.
  • Essentially, the cognitive perspective of personality is the idea that people are who they are because of the way they think, including how information is attended to, perceived, analyzed, interpreted, encoded and retrieved.  People tend to have habitual thinking patterns which are characterized as as personality.  Your personality, then, would be your characteristic cognitive patterns.

  • Perception = memory (i.e., stored guides) + incoming information
  • Freud�s topographical model represents his �configuration� of the mind
    According to Freud, there are three levels of consciousness:
    conscious (small): this is the part of the mind that holds what you�re aware of. You can verablize about your conscious experience and you can think about it in a logical fashion.
    preconscious (small-medium): this is ordinary memory. So although things stored here aren�t in the conscious, they can be readily brought into conscious.
    unconscious (enormous): Freud felt that this part of the mind was not directly accessible to awareness. In part, he saw it as a dump box for urges, feelings and ideas  that are tied to anxiety, conflict and pain. These feelings and thoughts have not disappeared and according to Freud, they are there, exerting influence on our actions and our conscious awareness.  This is where most of the work of the Id, Ego, and Superego take place.
    Material passes easily back and forth between the conscious and the preconscious. Material from these two areas can slip into the unconscious.

    We can use the metaphor of an iceberg to help us in understanding Freud's topographical theory.
    Only 10% of an iceberg is visible (conscious) whereas the other 90% is beneath the water (preconscious and unconscious).
    The Preconscious is allotted approximately 10% -15% whereas the Unconscious is allotted an overwhelming 75%-80%.  
  • Karen Horney proposed CAD. There are 3 types of personality :-

    Compliant: move towards others – loved, wanted & appreciated
    Aggressive: move against others – desire to excel & win admiration
    Detached: move away from others – less brand loyal – desire independence, self-reliance, self-sufficiency, & individualism or freedom of obligation

  • Measurement of personality in terms of specific psychological characteristics called trait. Trait is any distinguishing, relatively enduring way in which one individual differs from another.
  • CONSUMER INNOVATORS – THOSE WHO ARE OPEN TO NEW IDEAS & TO BE THE FIRST ONE TO TRY NEW PRODUCT, SERVICE OR PRACTICES
  • Low dogmatism – open-mindedness: prefer innovative products - stress factual differences, product benefits in adv.
    High dogmatism – choose established brands, select celebrities or experts for appeal of new products.

    Refer page no. 128 of Schiffman & Kanuk book for the process of dealing with dogmatism
  •        Consumer materialism
    Materialism is a personality like trait which distinguishes between individuals who regard possessions as essential to their identities and their lives those for whom possessions are secondary. Researchers have found some characteristics of materialistic people, they are:
     -they value acquire and showoff possessions.
     -they are self centered and selfish people
     -they seek lifestyle full of possession
    -they are not satisfied with their possessions.
  • It’s normal that a person is likely to display different personality in different situations and social roles.
  • Reference: Henry Assael page no. 423
  • Please refer Henry Assael, page no. 441 for a detailed explanation if required. Or read page no. 359 of Peter Olson
  • Schiffman & Kanuck…. Page no. 68
  • APL: Above the Poverty line
  • THE INDIVIDUAL CONSUMER AND BUYING BEHAVIOUR AND MARKETING IMPLICATIONS

    1. 1. CB – UNIT 3 Unit 3 THE INDIVIDUAL CONSUMER AND BUYING BEHAVIOUR AND MARKETING IMPLICATIONS CONSUMER BEHAVIOUR PRESENTATION PRESENTED BY: NIKITA SANGHVI BHARAT MAHESHWARI NIRMAL GAJJAR
    2. 2. CB – UNIT 3 CONTENT 1. Consumer Perception 2. Learning 3. Attitudes 4. Motivation 5. Personality 6. Psychographics, Values & Lifestyles BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    3. 3. CB – UNIT 3 Chapter 5 PERSONALITY BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    4. 4. CB – UNIT 3 DEFINITION 1. Those inner psychological characteristics that both determine & reflect how a person responds to his or her environment. Source: Schiffman and Kanuck: CONSUMER BEHAVIOUR, Pearson Education Asia, 7th Edition. 2. Patterns of individual behaviour that are consistent & enduring Source:- Henry Assael: CONSUMER BEHAVIOUR AND MARKETING ACTION, Kent Publishing Co. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    5. 5. CB – UNIT 3 THE NATURE OF PERSONALITY Personality reflects individual differences Personality is consistent and enduring Personality can change BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    6. 6. CB – UNIT 3 Personality reflects individual differences An individual’s personality is a unique combination of factors; no two individuals are exactly alike. Personality is a useful concept because it enables us to categorise consumers into different groups on the basis of a single trait or a few traits. Eg. Ethnocentrism (willingness to accept/reject the foreign-made object) BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    7. 7. CB – UNIT 3 Personality is consistent and enduring Marketers learn which personality characteristics influence specific consumer responses and attempt to appeal to relevant traits inherent in their target group of consumers. E.g. Sister taking care of brother. Though personality may be consistent, consumption behaviour often varies considerably due to psychological, socio-cultural & envt. factors that affect behaviour. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    8. 8. CB – UNIT 3 Personality can change Under certain circumstances, personalities change. Personality change as a part of gradually maturing process.  Personality stereotypes may also change over time  Personality convergence is occurring between men & women BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    9. 9. CB – UNIT 3 PERSONALITY PERSPECTIVE BATCH 2009-2011 STEVENS BUSINESS SCHOOL Biological Psychoanalytic Dispositional Learning Humanistic Cognitive
    10. 10. CB – UNIT 3 Biological Perspective on Personality There are three general thrusts to the biological perspective: Many personality characteristics are genetically determined Behavioural tendencies derive from our evolutionary history Human behaviour produced is by a complex biological system (e.g. hormones, neurotransmitters) BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    11. 11. CB – UNIT 3 Psychoanalytic Perspective on Personality Developed initially by Sigmund Freud Much of the explanation for human behavior, which is often bizarre and seemingly contradictory, lies largely hidden in the unconscious, and is the result of how a person negotiates conflicting, deep-rooted desires and instincts. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    12. 12. CB – UNIT 3 Dispositional Perspective on Personality A dispositional approach to personality emphasizes: “qualities that people carry around with them, that are somehow part of them” (Carver & Scheier, 2000, p.54) “a person’s inherent qualities of mind and character” BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    13. 13. CB – UNIT 3 Learning Perspective on Personality  Personality is an accumulated set of learned tendencies over a lifetime (Carver & Sheier, 2000).  Personality is �susceptible to molding, grinding, and polishing by the events that from the person’s unique and individual history� (Carver & Scheier, 2000).  Assumption: All behaviour is learned through experiences and by interaction with the environment.  The learning perspective views a person as entering the world as a tabula rasa (blank slate), although it acknowledges that there are instincts and pre-set responses to stimuli, as well as a preference for pleasure and a desire to avoid pain. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    14. 14. CB – UNIT 3 Humanistic Perspective on Personality Humanism is a philosophical movement that emphasizes the personal worth of the individual and the centrality of human values. The Humanistic approach rests on the complex philosophical foundations of existentialism, and emphasizes the creative, spontaneous and active nature of human beings. This approach is very optimistic and focuses on noble human capacity to overcome hardship and despair. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    15. 15. CB – UNIT 3 Cognitive Perspective on Personality The cognitive perspective is that personality is a person's mental organization. People are who they are because of the way they think, including how information is attended to, perceived, analyzed, interpreted, encoded and retrieved. People tend to have habitual thinking patterns which are characterized as personality. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    16. 16. CB – UNIT 3 REVIEW OF PERSONALITY PERSPECTIVES BATCH 2009-2011 STEVENS BUSINESS SCHOOL Perspective Strength Weakness Biological Testable theories with increasing validity & efficacy Doesn�t grapple with �personhood� & sense of personal self Psychoanalytic Attention to unconscious Unverifiable? Sexist? Dispositional Good individual assessments techniques; Trait vs. Type approach May label people on basis of scores; Overly-reliant on self-report instruments Learning Scientific analysis & practical application Overlooks IDs present from birth Humanistic Optimistic, growth- oriented Ignores scientific method Cognitive Captures active nature of human thought Ignores unconscious
    17. 17. CB – UNIT 3 THEORIES OF PERSONALITY Freudian Theory Neo-Freudian Personality Theory Trait Theory BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    18. 18. CB – UNIT 3 Freudian Theory Sigmund Freud’s Psychoanalytic Theory of Personality Base: Unconscious needs or drives (biological drives) are at the heart of human motivation & personality Id, Superego & Ego are the three interlacing system. BATCH 2009-2011 STEVENS BUSINESS SCHOOL THEORIES OF PERSONALITY Freudian Theory Neo-Freudian Personality Theory Trait Theory
    19. 19. CB – UNIT 3 Freudian Theory BATCH 2009-2011 STEVENS BUSINESS SCHOOL THEORIES OF PERSONALITY Freudian Theory Neo-Freudian Personality Theory Trait Theory Ego Id Superego Id • Warehouse of primitive & impulsive drives • No concern for the specific means of satisfaction Superego • Individual’s internal expression of society’s moral & ethical codes of conduct • Restrains the impulsive forces of the id Ego • Individual’s conscious control • Balance between id & superego
    20. 20. CB – UNIT 3 Freud’s View of the Mind: The Mental Iceberg BATCH 2009-2011 STEVENS BUSINESS SCHOOL ID SUPEREGO EGO
    21. 21. CB – UNIT 3 Neo-Freudian Personality Theory Social relationships are fundamental to the formation & development of personality 1. Alfred Adler: Human beings as seek to attain various rational goals Much emphasis on the individual's efforts to overcome feelings of inferiority 2. Harry Stack Sullivan: People continuously attempt to establish significant and rewarding relationships with others. Concerned with the individual's efforts to reduce tensions, such as anxiety. BATCH 2009-2011 STEVENS BUSINESS SCHOOL THEORIES OF PERSONALITY Freudian Theory Neo-Freudian Personality Theory Trait Theory
    22. 22. CB – UNIT 3 3. Horney’s theory : the CAD Compliant: move towards others Aggressive: move against others Detached: move away from others BATCH 2009-2011 STEVENS BUSINESS SCHOOL Neo-Freudian Personality Theory THEORIES OF PERSONALITY Freudian Theory Neo-Freudian Personality Theory Trait Theory
    23. 23. CB – UNIT 3 Trait Theory Orientation: primarily quantitative or empirical Measurement of personality in terms of specific psychological characteristics called trait Consumer Innovativeness Consumer Materialism Consumer Ethnocentrism BATCH 2009-2011 STEVENS BUSINESS SCHOOL THEORIES OF PERSONALITY Freudian Theory Neo-Freudian Personality Theory Trait Theory
    24. 24. CB – UNIT 3 PERSONALITY & CONSUMER DIVERSITY Marketers Implication: Understand how personality influences consumption behaviour because such knowledge enables to better understand consumer & to segment and target consumers who are likely to respond positively to their product or service. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    25. 25. CB – UNIT 3 CONSUMER INNOVATIVENESS & RELATED PERSONALITY TRAITS BATCH 2009-2011 STEVENS BUSINESS SCHOOL Personality Traits Consumer Innovati- veness Dogmatism Social Character Need for Uniqueness Optimum Stimulation level Variety or Novelty Seeking
    26. 26. CB – UNIT 3 Consumer Innovativeness Linked to the need for stimulation, novelty seeking & the need for uniqueness Global Innovativeness: Exist independent of any context Domain Specific Innovativeness: More narrowly defined activity within a specific domain or product category Innovative Behaviour: Pattern of actions or responses that indicate early acceptance of change & adoption of innovations. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    27. 27. CB – UNIT 3 Dogmatism Measurement of the degree of rigidity that Individuals display toward the unfamiliar & toward information that is contrary to their own established beliefs Eg. Mc Donald’s ad campaign: Be open to new Possibilities (appeal to low-dogmatic people) BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    28. 28. CB – UNIT 3 Social Character Trait that ranges on a continuum from inner- directedness to other-directedness Inner- directedness: tend to rely on their own inner values or standards in evaluating new products Other-directedness: tend to look to others for guidance Eg.: Apparels BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    29. 29. CB – UNIT 3 Need for Uniqueness High NFU – more receptive to make unique choice not concerned about being criticized by others BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    30. 30. CB – UNIT 3 Optimum Stimulation Levels Some prefer simple, uncluttered, calm envt. Others prefer novel, complex & unusual experience. High OSLs – Engage in exploratory behaviours Greater willingness to take risks To try new products BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    31. 31. CB – UNIT 3 Variety or Novelty Seeking Types of consumer variety seeking  Exploratory purchase behaviour Switching brands to experiment Eg. Soaps, Shampoos  Vicarious exploration Securing information about a new or an alternative Eg. Kinetic Honda-emphasized on durability  Use innovativeness Using an already adopted product in a new way Eg. Using washing machine for making lassi BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    32. 32. CB – UNIT 3 COGNITIVE PERSONALITY FACTOR BATCH 2009-2011 STEVENS BUSINESS SCHOOL Consumer behaviour Need for Cognition Visualizers versus Verbalizers • Measures a person’s craving for or enjoyment of thinking • High NFC interested in rich-in product related information or description • Low NFC are likely to be attracted to the background or peripheral aspect of an ad. Need for Cognition • Visualizer: prefer visual information & products that stress the visual • Verbalizer: prefer written or verbal information or product Visualizers versus Verbalizers
    33. 33. CB – UNIT 3 BATCH 2009-2011 STEVENS BUSINESS SCHOOL CONSUMPTION & POSSESSION TRAITS CONSUMER MATERIALISM • Distinguishes between individuals who regard possession as essential to their identities & their lives and those for whom possessions are secondary FIXATED CONSUMPTION BEHAVIOUR • Realm of normal & social acceptable behaviour • Do not keep purchase of interest a secret COMPULSIVE CONSUMPTION BEHAVIOUR • Realm of abnormal behaviour • Addictive consumption
    34. 34. CB – UNIT 3 BRAND PERSONALITY  Consumers attribute personality-like characteristics to different brands  Provides emotional identity for brand  Functional: Dependable or rugged  Symbolic: The complete man  Brand Personality Strong & Favourable Brand Strength Eg.: Limca = Freshness BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    35. 35. CB – UNIT 3 BRAND PERSONALITY FRAMEWORK BATCH 2009-2011 STEVENS BUSINESS SCHOOL Sincerity • Down to- earth • Honest • Wholesome • Cheerful Excitement • Daring • Spirited • Imaginative • Up-to-date Competence • Reliable • Intelligent • Successful Sophistication • Upper Class • Charming Ruggedness • Ourdoorsy • Tough
    36. 36. CB – UNIT 3 BRAND PERSONIFICATION Recast consumers’ perception of the attributes of a product or service into a human-like character Eg. Scotch Brite: a helping hand. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    37. 37. CB – UNIT 3 PRODUCT PERSONALITY ISSUES GENDER  Often used for brand personalities  Some product perceived as masculine (coffee & toothpaste) while others as feminine (bath soap & shampoo) GEOGRAPHY  Azctual locations like banarasi saree and Arizona iced tea  Fictitious names also used such as Hidden Valley and Bear Creek COLOR  Color combinations in packaging and products denote personality BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    38. 38. CB – UNIT 3 PERSONALITY & COLOUR Personality factors associated with specific colours BATCH 2009-2011 STEVENS BUSINESS SCHOOL COLOUR PERSONALITY TRAIT Blue Commands respect, authority Yellow Caution, novelty, warmth Green Secure, natural, Red Exciting, passionate, strong Orange Powerful, affordable, informal Brown Masculine, Informal & relaxed White Goodness, purity, delicacy Black Sophistication, power, authority Silver, Gold, Platinum Regal, Wealthy
    39. 39. CB – UNIT 3 SELF & SELF-IMAGE Self-image of perceptions of self related with purchasing behaviour of an individual Consumer tend to approach products with images that could enhance their self-concept ONE OR MULTIPLE SELVES: A consumer who acts differently in different situations or with different people E.g.: A person is likely to behave in different ways at home, at work or with friends. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    40. 40. CB – UNIT 3 The Make-up of the Self-Image BATCH 2009-2011 STEVENS BUSINESS SCHOOL • How consumers in fact see themselvesActual Self-Image • How consumers would like to see themselvesIdeal Self-Image • How consumers feel others see them Social Self-Image • How consumers would like others to see them Ideal Social Self-Image • How consumers expect to see themselves at some specified future time Expected Self-Image
    41. 41. CB – UNIT 3 The Extended Self Interrelationship between consumers’ self-images & their Possessions Human emotions can be connected to valued possessions. Possessions can extend the self in a number of ways: 1. Actually, by allowing the person to do things that otherwise would be very difficult to accomplish 2. Symbollically, by making the person feel better or ‘bigger’ 3. By conferring status or rank 4. By bestowing feelings of immortality 5. By endowing with magical powers BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    42. 42. CB – UNIT 3 Chapter 6 PSYCHOGRAPHICS, VALUES & LIFESTYLES BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    43. 43. CB – UNIT 3 LIFESTYLE DEFINITION Lifestyle (Also known as psychographics): Consumers’ modes of living reflected in their activities, interests & opinions Source:- Henry Assael: CONSUMER BEHAVIOUR AND MARKETING ACTION, Kent Publishing Co. Activities: How people spend their time Interests: What people consider important in their environment Opinions: What people think of themselves & the world around them BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    44. 44. CB – UNIT 3 LIFESTYLE DEFINITION Constellation of individual characteristics that reflect certain behaviour – participation in group activities, hobbies Source: CB, Pondicherry University BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    45. 45. CB – UNIT 3 Activities BATCH 2009-2011 STEVENS BUSINESS SCHOOL ACTIVITIES Work Hobbies Social events Shopping Sports Entertainment Vacation Club Membership
    46. 46. CB – UNIT 3 Interests BATCH 2009-2011 STEVENS BUSINESS SCHOOL INTERESTS Job Family Community Fashion Media Achievement Home Food
    47. 47. CB – UNIT 3 Opinions BATCH 2009-2011 STEVENS BUSINESS SCHOOL OPINIONS Personal Relations Social issues Business Economics Products Education Politics Future
    48. 48. CB – UNIT 3 LIFESTYLE IMPACTS • What type of buying behaviour is preferred? • Foundation of time use & time preferences • Patterns of consumption are based on lifestyle • People sort themselves into groups based on what they like to do – sports, reading, fishing, music enthusiasts BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    49. 49. CB – UNIT 3 Value & Lifestyle Survey - VALS BATCH 2009-2011 STEVENS BUSINESS SCHOOL Principle oriented Status oriented Action oriented
    50. 50. CB – UNIT 3 VALS • Innovators: Successful, sophisticated • Thinkers: Mature, Satisfied, Comfortable & Reflective • Believers: Strong Principles, Proven Brand • Achievers: Career Oriented, Practical, Premium Products • Strivers: Trendy, Funny Material Wealth • Experiencers: Impulsive, Young, Active, Seek Risk • Makers: Constructive, Self-sufficient • Survivors: Narrow-focussed Life, Concern about Safety & Security BATCH 2009-2011 STEVENS BUSINESS SCHOOL Ideals Motivated Achievement Motivated Self- expression Motivated
    51. 51. CB – UNIT 3 SOCIAL CLASS Factors Showing Social Class Differences Authority Income Occupations & Achievement Education BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    52. 52. CB – UNIT 3 CHARACTERISTICS OF SOCIAL CLASS • Persons within a given social tend to behave more alike. • Social class is hierarchical. • Social class is not measured by a single variable but is measured as a weighted function of one’s occupation, income, wealth, education, status, prestige, etc. • Social class is continuous rather than concrete, with individuals able to move into a higher social class or drop into a lower class. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    53. 53. CB – UNIT 3 PROMINENT SOCIAL CLASS BATCH 2009-2011 STEVENS BUSINESS SCHOOL Upper-Uppers Lower Uppers Upper Middles Middle Class Working Class Upper Lowers Lower Lowers
    54. 54. CB – UNIT 3 CHARACTERISTICS OF SOCIAL CLASS SOCIAL CLASS CHARACTERISTICS Upper – Uppers •Inherited wealth, have well known families •Seek to buy jewellery, antiques, homes & foreign trips •Eg. Mr. Anil Ambani Lower-Uppers •Earned high income or wealth through exceptional ability in their profession or business •Usually come from middle-class •Tend to be active in social & civic affair •Seek to buy the symbol of social status, expensive cars, homes & schooling •Eg. Late Shri Dhirubhai Ambani Upper Middles •Possess neither family status nor unusual wealth •Concerned with career •Attend positions as professional, independent businessmen & corporate managers •Civic minded, quality market for good clothes, homes, furniture & appliance Middle Class •Average paid white & blue-collar workers •Buy products ‘to keep up with the trends’ •Spend money on ‘worth-while experiences’ for their kids BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    55. 55. CB – UNIT 3 CHARACTERISTICS OF SOCIAL CLASS SOCIAL CLASS CHARACTERISTICS Working Class •Pay blue collar workers, lead working class lifestyle •Depends heavily on relatives for economic & emotional support, advice on purchase, for assistance in times of trouble •Larger families, stereotype, sharp gender-role division Upper Lowers •Working, living standard just above the poverty line •Perform unskilled work, standard of living: just APL •Perform unskilled work & are poorly paid •Educationally deficient •Maintain some level of cleanliness Lower Lowers •Visibly poverty-stricken •Usually out of work •Not interested in finding permanent jobs •Dependent in charity for income •Homes & possessions are dirty, ragged & broken down BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    56. 56. CB – UNIT 3 IMPACT OF SOCIAL CLASS • Provides a sense of identity • Imposes a set of normative behaviour • Classes share values, possessions, customs & activities • Marketing response to customers of different economic means • Marketing to the low-income consumer • Some marketers ambivalent as not perceived as long- term customers • Constitutes a substantial group • Target with value-oriented strategies BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    57. 57. CB – UNIT 3 REFERENCES 1. Loudon & Della Bitta: CONSUMER BEHAVIOUR: CONCEPTS AND APPLICATIONS, Tata McGraw Hill. 2. Henry Assael: CONSUMER BEHAVIOUR AND MARKETING ACTION, Kent Publishing Co. 3. Berkman & Gilson: CONSUMER BEHAVIOUR: CONCEPTS AND STRATEGIES, Kent Publishing Co. 4. Bennet and Kassarjian: CONSUMER BEHAVIOUR, Prentice Hall of India. 5. Schiffman and Kanuck: CONSUMER BEHAVIOUR, Pearson Education Asia, 7th Edition. 6. Hawkins, Best & Concy: CONSUMER BEHAVIOUR, Tata McGraw Hill. 7. Efraim Turban, Jae Lce, David King & ---- Michael Chung: Electronic Commerce: Managerial Perspective, Pearson Education Inc. 2000. BATCH 2009-2011 STEVENS BUSINESS SCHOOL
    58. 58. CB – UNIT 3 THANK YOU

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