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Marketing 334Consumer Behavior
Chapter 7Group Influences
Based on Consumer Behavior, 10th edition by Hawkins, Mothersbaugh and Best
7-2
Consumer Behavior In The News…Consumer Behavior In The News… Goodyear is beginning to offer “collegiate tires” which have the Goodyear is beginning to offer “collegiate tires” which have the
college name in white letters on the tire’s sidewalls.college name in white letters on the tire’s sidewalls.
Goodyear claims these tires are only for “the ultimate fan.”Goodyear claims these tires are only for “the ultimate fan.”
Source: J. Halliday, “Tire maker eyes college sports fans,” Advertising Age, November 8, 2004, p. 8.
Consumer Behavior In The News…Consumer Behavior In The News…
What would “drive” a fan to put his/her team’s name on What would “drive” a fan to put his/her team’s name on their tires?their tires?
How big do you think this market is?How big do you think this market is?
Source: J. Halliday, “Tire maker eyes college sports fans,” Advertising Age, November 8, 2004, p. 8.
Reference Group InfluenceReference Group Influence
A group group is defined as two or more individuals who share a set of norms, values, or beliefs and have certain implicitly or explicitly defined relationships to one another such that their behaviors are interdependent.
A reference groupreference group is a group whose presumed perspectives or values are being used by an individual as the basis for his/her current behavior.
Reference Group InfluenceReference Group Influence
Four criteria that are particularly useful in classifying groupsgroups:
1.1. MembershipMembership
2.2. Strength of Social TieStrength of Social Tie
3.3. Type of ContactType of Contact
4.4. AttractionAttraction
Types of GroupsTypes of Groups
Consumption SubculturesConsumption Subcultures
Brand CommunitiesBrand Communities
Virtual CommunitiesVirtual Communities
LeadersLeaders ParticipantsParticipants LurkersLurkers
Types of Groups
Brand communities Brand communities can add value to the ownership of the product and build intense loyalty.
Marketing and Brand CommunitiesMarketing and Brand Communities
Jeep has a longstanding loyal brand communityJeep has a longstanding loyal brand community
Types of Groups
Marketing in virtual communitiesvirtual communities is both possible and potentially beneficial.
The approach taken must be tailored to the type of virtual communityvirtual community.
Virtual CommunitiesVirtual Communities
Many online groups are sensitive to “commercial” interference and companies have to be careful not to overstep.
Reference Group Influences on the Reference Group Influences on the Consumption ProcessConsumption Process
Types of Reference Group InfluenceTypes of Reference Group Influence
Situational determinants of Reference Group Situational determinants of Reference Group InfluenceInfluence
Brand vs. Product Class InfluenceBrand vs. Product Class Influence
Marketing Strategy and Reference GroupsMarketing Strategy and Reference Groups
Reference Group Influences on the Reference Group Influences on the Consumption ProcessConsumption Process
Reference group influence can take three forms:
1.1. Informational InfluenceInformational Influence
2.2. Normative Influence (a.k.a. utilitarian influence)Normative Influence (a.k.a. utilitarian influence)
3.3. Identification Influence (a.k.a. value expressive)Identification Influence (a.k.a. value expressive)
Types of Reference Group Influence
WOMWOM
Opinion LeadersOpinion Leaders
Market Mavens, Influentials, and e-fluentialsMarket Mavens, Influentials, and e-fluentials
Marketing and Online StrategiesMarketing and Online Strategies
Communications within Groups and Opinion Leadership
Communications within Groups and Opinion Leadership
Mass Communication Information FlowsMass Communication Information Flows
Communications within Groups and Opinion Leadership
1. Individual seeks information from another or
2. Individual volunteers information
Situations in Which WOM and Opinion Leadership Occur
Likelihood of Seeking an Opinion Likelihood of Seeking an Opinion LeaderLeader
Communications within Groups and Opinion LeadershipMarketing Strategy, WOM, and Opinion Leadership
Strategies designed to generate WOM and encourage opinion leadership include:
1.1. AdvertisingAdvertising
2.2. Product SamplingProduct Sampling
3.3. Retailing/Personal SellingRetailing/Personal Selling
4.4. Creating BuzzCreating Buzz
Communications within Groups and Opinion LeadershipOnline Strategies to Leverage Buzz and WOM
Viral marketingViral marketing
Online GuidesOnline Guides
BlogsBlogs
Applications in Consumer Behavior
Example of Online Viral Marketing CampaignExample of Online Viral Marketing Campaign
Courtesy of Hershey Corporation.
Diffusion of InnovationsDiffusion of Innovations
Categories of InnovationCategories of Innovation
Adoption ProcessAdoption Process
Diffusion RateDiffusion Rate
Adopter CategoriesAdopter Categories
Marketing Strategies and the Diffusion ProcessMarketing Strategies and the Diffusion Process
Diffusion of InnovationsDiffusion of InnovationsCategories of Innovations
Continuous InnovationContinuous Innovation
Dynamically continuous InnovationDynamically continuous Innovation
Discontinuous InnovationDiscontinuous Innovation
7-19
Diffusion of Innovations
Diffusion Rates for Popular Consumer Electronics (Cumulative)Diffusion Rates for Popular Consumer Electronics (Cumulative)
7-20
Diffusion of Innovations
Factors Affecting the Spread of InnovationsFactors Affecting the Spread of Innovations
Perceived RiskPerceived Risk
TrialabilityTrialability
ObservabilityObservability
ComplexityComplexity
Relative AdvantageRelative Advantage
CompatibilityCompatibility
Fulfillment of Fulfillment of Felt NeedFelt Need
Marketing EffortMarketing Effort
Type of DecisionType of Decision
Type of GroupType of Group
Rate of DiffusionRate of Diffusion
Diffusion of InnovationsDiffusion of Innovations
InnovatorsInnovators
Early AdoptersEarly Adopters
Early MajorityEarly Majority
Late MajorityLate Majority
LaggardsLaggards
Adopter Categories