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Chapter 8 Group and Interpersonal Influence. Learning Outcomes. Understand the different types of reference groups that influence consumers and how reference groups influence value perceptions Describe the various types of social power that reference groups exert on members

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learning outcomes
Learning Outcomes

Understand the different types of reference groups that influence consumers and how reference groups influence value perceptions

Describe the various types of social power that reference groups exert on members

Comprehend the difference between informational, utilitarian, and value-expressive reference group influence

learning outcomes1
Learning Outcomes

Understand the importance of word-of-mouth in influencing consumer behavior

Comprehend the role of household influence in consumer behavior

reference group and group influence
Reference Group and Group Influence

Reference Group

  • Have significant ­relevance for a consumer
  • An impact on the consumer’s evaluations, aspirations, and behavior
  • Consumers become members of many groups that either meet physically, or meet in cyberspace

Group Influence

  • Ways in which group members influence attitudes, opinions, and behaviors of others within the group
conformity and peer pressure
Conformity and Peer Pressure
  • Conformity occurs when an individual yields to the attitudes and behaviors of other consumers
  • Peer pressure is the pressure an individual feels to behave in accordance with group expectations
    • Consumers sometimes succumb to group pressures that encourage counter­produc­tive behaviors
reference group influence
Reference Group Influence

Informational influence: Ways in which consumers use the behaviors and attitudes of reference groups as information

Utilitarian influence: When consumers conform to group expectations to receive a reward or avoid punishment

Value-expressive influence:Ways in which consumers internalize a group’s values

social media and consumer behavior
Social Media and Consumer Behavior

Social media: Media through which communication occurs

Social networks: Networks of consumers that are formed based on common interest, associations, or goals

Social networking websites: Facilitate online social networking

Social networking helps to fulfill the need to belong

Both utilitarian and hedonic value can be derived from social media

social buying and couponing
Social Buying and Couponing
  • Social buying
    • Consumer buying behavior that takes place on social networking sites
  • Social couponing
    • Type of buying where consumers receive a coupon, or deal, by joining a special social networking website
word of mouth wom
Word-of-Mouth (WOM)
  • Information about products, services, and experiences that is transmitted from consumer to consumer
    • Organic
    • Amplified
  • Consumers spread WOM when a product is particularly relevant to their own self-concept
  • Negative WOM creates more damage than positive WOM
value and word of mouth
Value and Word-of-Mouth

WOM is affected in large part by the perceived value that consumers receive from products and services

Marketers may encourage digital WOM in order to help build brand communities. They also attempt to monitor and respond to negative digital WOM

Consumer researchers gather information on WOM statistics through certain social networks, blogs, and video views

buzz and stealth marketing
Buzz and Stealth Marketing
  • Includes marketing efforts that fo­cus on generating excite­ment (or buzz) that is spread among market segments
  • Guerrilla ­marketing: Marketing of a product using unconventional means
  • Viral marketing: Uses online technologies to facilitate WOM
  • Stealth marketing: Consumers are completely unaware that they are being marketed to
    • Shilling
    • Infiltrating
traditional family structure and emerging trends
Traditional Family Structure and Emerging Trends
  • Family household: At least two people who are related by blood or marriage
    • Nuclear family
    • Extended family
  • Emerging trends include:
    • “Nontraditional” household arrangements
    • Blended families
    • Single parent households
  • Boomerang kids
  • Sandwich generation
household purchase roles
Household Purchase Roles

Influencer - Provides information about a potential purchase to ­others

Gatekeeper - Controls information flow into the household

User - Actual user of the product

Decision maker - Makes the final decision regarding product purchase

Purchaser - Actually buys the ­product

gender roles and household decision making
Gender Roles and Household Decision Making

Sex role orientation (SRO): A family’s set of beliefs that influences the way household decisions are made

Kid Power – Children in the ages of 8 and 12 greatly influence many household purchases

Consumer socialization:Process in which young consumers develop attitudes and learn skills that help them function in the marketplace