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Amal k r


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Amal k r

  2. 2. Lifestyles1. Lifestyles, also known as psychographics, consist of activities, interests, and opinions(AIOS).a. The interests and opinions portions are cognitive constructs, which can be measuredvia surveys but are not evidence-based.b. A psychographic study includes a battery of statements selected from apsychographic inventory and usually accompanied by Likert scales on whichrespondents are asked to indicate their level of agreement or disagreement with eachstatement.c. Because of their versatility, psychographics are widely used in segmentation and arepart of almost any hybrid segmentation framework.d. If it often stated that while demographics determine consumers’ needs for productsand the ability to buy them psychographics explain buyers’ purchase decisions andthe choices they make within the buying options available to them.e. VALS (an acronym for “values and lifestyles”) is the most popular segmentationsystem combining lifestyles and values.f. VALS focuses explicitly on explaining consumer purchasing behavior.
  3. 3. i. VALS includes three primary motivations: ideals motivated, achievementmotivated and self-expression motivated.1. Each of these three major self-motivations represents distinct attitudes,lifestyles, and decision-making styles.ii. VALS also reflects a continuum in terms of resources and innovations.iii. The VALS framework was developed as a result of administering a largepsychographic inventory to sizeable samples of consumers.iv. A recent study developed a questionnaire designed to measure the extent ofthe consumer’s difficulty in making choices among the many alternativesavailable when purchasing consumer goods.1. This psychological attribute was named the marketplace decisiondifficulty (or MPDD).
  4. 4. Wilbanks, Jennifer Kay, Exploring Lifestyle Orientation, Attitudes TowardLifestyle Merchandising, and Attitudes Toward Lifestyle Advertising as Predictorsof Behavioral Intention to Purchase Lifestyle Home Furnishing Products. Masterof Science (Industrial-Technical Merchandising and Fabric Analytics), May 2005,83 pp., 10 tables, 4 figures, references, 58 titlesA number of lifestyle merchandising and advertising strategies are beingused in the home furnishings industry. However, there is limited researchregarding the effectiveness of these strategies. The purpose of this study was toexplore consumers’ attitudes toward the lifestyle concept. Analyses of severalconsumer behavior variables and descriptors offered noteworthy findings for thehome furnishings industry.This study found that although lifestyle orientation is a valuable tool fordelineating consumer markets, these segmentations were not significantdeterminates of consumers’ preference for elements of the lifestyle construct.Retailers and manufacturers are not simply creating home furnishing collectionsthat target the needs of specific psychographic segment, but rather creatinglifestyles being aspired to obtain.Although respondents scored the attitude variables neutral, the currentmarket environment offers many examples of successfully home furnishingimplementations of the lifestyle concept. These success stories coupled withadditional findings indicate consumers’ positive response to lifestylemerchandising.TO READ
  5. 5. Consumer spending on home furnishings generated $63.3 billion in salesin 2003 and is expected to increase to $71.1 billion in 2004 and to $73.3 billionby 2005 (McIntosh, 2004). Home furnishings retailers and manufacturers arefueling this rise in today’s competitive market through adaptations to the life cycleand to individual lifestyles. Determining a target market’s lifestyle is increasinglyimportant to retailers and manufacturers of home furnishing products becausethe consumers’ needs and wants constantly change. In fact, consumers aremoving from decorating in a style or period to establishing a personality orattitude in their homes. They want furnishings that are “as versatile as the littleblack dress in [their] wardrobe-equally stylish for day and night events” (Caringer,1997, p. 53).In 1996, trend forecaster Faith Popcorn successfully predicted thatconsumers would be longing to spend more time at home through cocooning(Gallup-Goodman, 2001). This desire to blanket themselves in the safety andcomfort of their homes in turn generated the trend of nesting. Nesting occurswhen consumers invest time and money to make their homes or cocooningplaces comfortable, yet stylish (Osborn, 2000). Home furnishings manufact
  6. 6. and retailers are employing unique marketing strategies in order to capitalize onthese home trends. Anticipating significant economic gains, an emergingmarketing technique in the home furnishings industry is lifestyle merchandisingand advertising, which presents consumers with an aspired-to-lifestyle or createdenvironment.RationaleThe concept of lifestyle merchandising and advertising has been presentin the home furnishings industry since the 1920’s (Kim, 2001). However, thisconcept has gained increased interest in recent years as consumer trends shiftedtoward cocooning and nesting. Home furnishing leaders such as Lexington®Home brands, Thomasville®Furniture, Drexel Heritage®, and Vanguard®Furniture, identify themselves as lifestyle brands, retailers, or manufacturers. Inaddition, a number of apparel fashion designers (e.g. Oscar de la Renta andVera Wang), and national brands (e.g. Dockers® and Izod®) have been crossingover into the home furnishings industry and presenting consumers with lifestylecollections and brand extensions. Research is needed in this area to aidmarketers and merchandisers in the home furnishings industry to better identifyand communicate their lifestyle message to the consumer. Even though manyhome furnishing manufacturers and retailers are incorporating lifestylemerchandising and advertising into their marketing strategies, there is limitedresearch regarding consumers’ perceptions of the lifestyle concept in this productcategory.
  7. 7. • To provide insight into consumers’• Perception of the lifestyle concept as it relates to lifestyle merchandising andadvertising of home furnishings.The purpose of this study
  8. 8. In order to assess these perceptions, this studyemployed Ajzen and Fishbein’s (1980) theory of reasoned action as a conceptualframework for investigating the effect that lifestyle orientation has on consumerattitudes toward lifestyle merchandising and lifestyle advertising. In addition, thisstudy examined lifestyle orientation, attitudes toward lifestyle merchandising, andattitudes toward lifestyle advertising as predictors of behavioral intention topurchase lifestyle home furnishing products. This study offers manufacturersand retailers a better understanding of consumers’ purchase behavior whenplanning and implementing merchandising and advertising strategies.
  9. 9. This presentation is based on the assumption that intention to perform a givenbehavior can be predicted by the consumer’s attitude toward the behavior (Ajzen& Fishbein, 1980).
  10. 10. Brand X, a leading athletic shoe manufacturer, knows that its typical customer is also a sports fan. IfBrand X can build shoes good enough to be worn by professional athletes, it will have a convincingstory about quality to tell. In addition, it can also benefit by using well-known athletes asspokespersons in its advertising, and by placing advertisements in sports magazines where itscustomers are likely to see them.EXAMPLE 1
  11. 11. Jake operates a small convenience store across from his towns soccer and baseball fields. During thegames, there is a concession stand open. But, during the practices--which take place every evening andall day on Saturday--there isnt. Jake decides to offer a "soccer parent" special -- two bottles ofwater, a sports drink, healthy snacks and a packet of mosquito repellent wipes pre-packaged in a"grab and go" bag. He hires his son to hand out "introductory coupons" to the parents sittingwatching practice. The grab-and-go bags are a hit. Not only does he get a steady stream of customersduring the games, he finds many of them stop into his store to pick up other items.EXAMPLE 2
  12. 12. • Lifestyle information focuses on those intangible characteristics that make people unique.• Demographic information can provide the facts about a person or a group of people.• Lifestyle information addresses what meaning the demographic information has to the person.For example, both John and Julian identify as "Italian-American." However, this demographic facttells you little about whether their Italian heritage matters to them. Lifestyle information, such asJulians participation in the Italian Lawyers Association and his frequent trips to Italy points tothe importance of his background to him.The following are broad types of lifestyle information.Psychographics. Psychographics refers to personality and emotionally based behavior that is linkedto an individuals purchases. One example would be whether customers are risk-takers or risk-avoiders.Social factors. Lifestyle factors refers to the choice of hobbies, recreational pursuits, entertainment(movies, music, media, literature) vacations, and other non-work time pursuits. In the example givenearlier, Jake was able to tap into the suburban, soccer parent lifestyle to draw new customers into hisstore.
  13. 13. Belief and value systems. These include an awareness of religious, political, nationalist, andcultural beliefs and values of your customers.Life stage. While some life-stage information can be gleaned from demographics, a focus onlifestyle variables goes to the experience of people at different ages and in different life roles(e.g., pre-teens, teenagers, or empty-nesters.)
  14. 14. Lifestyle Merchandising and Lifestyle AdvertisingCapturing the consumer’s attention is the key to selling products. Inexploring the success of storytelling in selling, Kaufman (2003) found that whenproducts are merchandised, advertised, or sold revolving around a story theconsumer develops an emotional connection to that product and company. Inaddition, the use of storytelling or intimately involving the consumer with thebrand by creating a desired environment is a far more convincing seller thanrational arguments or statistical facts. Storytelling influences consumer attitudesby connecting with them on an emotional and psychological level. Escalas(2004) investigated the influence that storytelling and narrative transportation (theimaginative transfer of one’s self into the advertisement) has on attitudes toward 14advertising. The study found that the more detailed the storytelling and definedthe imagery used, the more favorable the attitude toward the advertisement.Retailers are adapting this narrative approach to their merchandisingASSUMPTION