Why is it important for companies to understand consumer motivation?

1. Why is it important for companies to understand consumer motivation?

2. Consumer Decision Model MARKETING STRATEGY • INDIVIDUAL • DIFFERENCES • Motivation • Personality • Information • Processing & • Perception • 4. Learning Process • 5. Knowledge • 6. Attitude DECISION PROCESS Problem Identification Information Search Alternative Evaluation Purchasing & Satisfaction • ENVIRONMENTAL • FACTORS • Culture • Social-Economy • Family & • Household • Reference Group • Situation IMPLICATION

3. Demographics, Psychographics, and Personality

4. Karakteristik Demografi • Usia • Agama • Suku Bangsa • WNI Keturunan • Pendapatan • Jenis Kelamin • Status Pernikahan • Jenis Keluarga • Pekerjaan • Lokasi • Jenis Rumah Tangga • Kelas Sosial Sumber: Sumarwan, hal. 198

5. Sample Geodemographic Clusters • BLUE BLOOD ESTATES • 0.8% of United States households • Predominant employment: Professional • Elite super-rich families • Key education level: College grads • Adult age range: 35-44, 45-54, 55-64 • Characteristics: America’s wealthiest suburbs are populated by established executives, professional, and heirs to “old money.” These people are accustomed to privilege and live in luxury, often surrounded by servants. A tenth of this group are multimillionaires. The next level of affluence is a sharp drop from this pinnacle. Blue blood estate people belong to a country club, own mutual funds ($10,000+), purchase a car phone, watch TV golf, and read business magazines.

6. continued • MID-CITY MIX • 1.3% of United States households • Predominant employment: Service, white-collar • African American Singles and families • Key educational level: High school, some college • Adult age range: 35-54 • Characteristics: These individuals and families are geographically centered in the Northeast and Great Lakes regions. They are above average ethnic diversity and a mix of white- and blue-collar employment. These rowhouse neighborhoods on the urban fringe are two-thirds black and have a high incidence of college enrollment. They go to pro basketball games, have veterans life insurance, eat canned hashes, listen to religious/gospel music, and read fashion/sports magazines.

7. continued • GRAY COLLARS • 2.1% of United States households • Adult age range: 55-64, 65+ • Median household income: $31,400 • Aging couples in inner suburbs • Characteristics: For nearly two decades, we read about the decline of the Great Lakes industrial “Rust Belt,” Decimated by foreign takeovers in the steel and automobile industries, the area lost a million jobs. Although most of the kids left, their highly skilled parents stayed and are now benefiting from a major U.S. industrial resurgence. They buy 1950’s nostalgia, own CDs, eat canned cooked hams, listen to radio football, and read health/fitness magazines.

8. continued • YOUNG INFLUENTIALS • 1.1% of United States households • Predominant employment: Professional, white-collar • Upwardly mobile singles and couples • Key education level: College grads • Adult age range: 24, 25-34 • Characteristics: This cluster is dubbed the “Young Urban Professional.” Before getting married they were the educated, high-tech, metropolitan sophisticates, the “swingers” and childless live-in couples, whose double incomes bought the good life in Boomtown U.S.A. They are the last of the Yuppies. They go to college basketball games, have an American Express card, often drink imported beer, listen to progressive rock radio, and read style/fashion magazines.

9. continued • SHOTGUNS AND PICKUPS • 1.6% of United States households • Predominant employment: Blue-collar, farm • Rural blue-collar workers and families • Key education level: High school grade school • Adult age range: 35-44, 45-54 • Characteristics: The least affluent of the “Country Families” clusters, members of this group are found in the Northeast, the Southeast, in the Great Lakes and Piedmont industrial regions. They lead the “Country Families” group in blue-collar jobs; the majority are married with school-age children. They are church-goers who also enjoy bowling, hunting, sewing, and attending auto races, smoke pipe tobacco, have medical loss of income insurance, drink Canadian whisky, listen to country radio, and read hunting/car & truck magazines. Source: Courtesy of Claritas Inc. (PRIZM and 62 Cluster nicknames are registered trademarks of Claritas Inc.). Reprinted by permission.

10. Segmen Anak Indonesia Sumber: Sumarwan hal. 201

11. Pendidikan Penduduk Berusia >15 tahun Sensus 2000 - 141,2 juta Orang Sumarwan hal. 202

12. Jumlah Penduduk di Indonesia Sensus 2000 203,456 juta orang

13. Personality Defined: Consistent responses to environmental stimuli (Blackwel) Personality is the set of unique psychological characteristics that consistently influences the way a person responds to situations in the environment (Solomon)

14. The Nature of Personality • Personality reflects individual differences • Personality is consistent and enduring • Personality can change

15. Personality’s Influence on Behavior P E R S O N A L I T Y Behavioral Tendencies Basic Motives Personality is expected to moderate the effect of motives on behavior

16. Basic Personality Theories Individual Social Influence Trait Factor Psycho Analytical Social Psychological

17. Theories of Personality • Freudian psychoanalytic theory • Unconscious needs or drives are at the heart of human motivation • Neo-Freudian socio-psychological theory • Social relationships are fundamental to the formation and development of personality • Trait theory • Quantitative approach to personality as a set of psychological traits

18. Freudian Psychoanalytic Theory ID Seeks Immediate Gratification EGO Controls the ID’s impulses to direct behavior in a socially accepted manner Super- Ego An internal representation of norms, rules and regulations

19. A Representation of the Interrelationships among the Id, Ego, and Superego ID System 1 EGO System 3 Gratification SUPEREGO System 2

20. Freudian Theory and “Product Personality” • Consumer researchers using Freud’s personality theory see consumer purchases as a reflection and extension of the consumer’s own personality

21. Personality Socio-Psychological Theory Recognizes interdependence of the individual and society-- individual strives to meet needs of society and society helps individual attain goals Social variables (rather than biological instinct) are most important in shaping personality

22. Horney’s Theory • Using the context of child-parent relationships, individuals can be classified into: • Compliant individuals • Aggressive individuals • Detached individuals

23. Compliant Personality The compliant person is one who moves toward others e.g., one who desires to be loved, wanted, and appreciated by others.

24. Aggressive Personality The aggressive person is one who moves against others (e.g., competes with others).

25. Detached Personality The detached person is one who moves away from others (e.g., who desires independence, self-sufficiency, and freedom from obligations).

26. Trait Theory • Orientation is primarily quantitative or empirical • Trait theorists concerned with the construction of personality tests that enable them to pinpoint individual differences

27. Individual Personality Theories: Trait - Factors Enduring distinctions in one’s personality are called traits. Thus, differences between individuals can be viewed simply as their differences in traits. Emphasis is on individual, internal characteristics or traits and therefore presumes consistent differences among individuals on those traits that can be measured ---- The situation is ignored.

28. Rhenal Kasali, hal. 224

29. Lifestyle Concepts Lifestyle: patterns in which people live and spend time and money Reflects their activities, interests, and opinions Since lifestyles change readily, marketers must keep research methods and marketing strategies current Lifestyles can affect which goods are sold and how positioned

30. Lifestyle Concepts Psychographics: an operational technique to measure lifestyles Can be used in qualitative and quantitative research methods Demographics focus more on who buys products; psychographics focus on why they buy AIO measures: activities, interests, and opinions

31. AIO Categories of Lifestyle Studies Activities Interests Opinions Work Hobbies Social Events Vacation Entertainment Community Shopping Sports Volunteering Family Home Job Community Recreation Fashion Food Media Achievements Social Issues Politics Themselves Business Economics Education Products Future Culture

32. A Portion of an AIO Inventory Used to Identify Techno-Road-Warriors Instructions: Please read each statement and place an “x” in the box that best indicates how strongly you “agree” or “disagree” with the statement. I feel that my life is moving faster and faster, sometimes just too fast. If I could consider the “pluses” and “minuses,” technology has been good for me. I find that I have to pull myself away from e-mail. Given my lifestyle, I have more of a shortage of time than money. I like the benefits of the Internet, but I often don’t have the time to take advantage of them. I am generally open to considering new practices and new technology. Agree Completely Disagree Completely [1] [2] [3] [4] [5] [6] [7] [1] [2] [3] [4] [5] [6] [7] [1] [2] [3] [4] [5] [6] [7] [1] [2] [3] [4] [5] [6] [7] [1] [2] [3] [4] [5] [6] [7] [1] [2] [3] [4] [5] [6] [7]

33. A Hypothetical Psychographic Profile of the Techno-Road-Warrior • Goes on the Internet 6-plus times a week • Sends and/or receives 15 or more e-mail messages a week • Regularly visits Web sites to gather information and/or to comparison shop • Often buys personal items via 800 numbers and/or over the Internet • May trade stocks and/or make travel reservations over the Internet • Earns $100,000 or more a year • Belongs to several rewards programs (for example, frequent flyer programs, hotel programs, rent-a-car programs)

34. Selected Psychographic/Demographic Characteristics of the PC Magazine Subscriber DEMOGRAPHICS Percent PSYCHOGRAPHICS Percent SEX (BASE 990) Men 86 Women 13 USE A COMPUTER 100 At home 96 At work 89 On vacation/traveling 46 AGE Under 25 5 25 - 34 18 35 - 44 29 45 - 54 31 55 - 64 12 65 or older 5 Mean age 44.1 SELECTED USE OF COMPUTER Word Processing 96 Connect to Internet 86 E-mail 84 For work 80 Accounting/record keeping 75 Reference 68 Recreation/games 66

35. continued DEMOGRAPHICS Percent PSYCHOGRAPHICS Percent EDUCATION Some college or less 27 Graduate college 27 Education beyond college graduate 46 PORTABLE DEVICES USES WHEN TRAVELING ON BUSINESS Laptop/notebook computer 57 Cellular phone 47 Beeper or pager 30 Personal Digital Assistant/ electronic organizer 14 EMPLOYMENT STATUS Employed by someone else 68 Self-employed 21 Other 11

36. continued DEMOGRAPHICS Percent PSYCHOGRAPHICS Percent OCCUPATION/BUSINESS DEPT. Computer related- professional 22 Senior or corporate management 16 Engineering-related professional 13 Administrative/ manufacturing, accounting, finance, purchasing, advertising, marketing, sales 26 Others 23 TRAVEL FOR BUSINESS/PLEASURE Business Travel 5 or more days per month 31 5 or more nights away from home per month 17 Pleasure/Vacation Travel 15 or more days per year 37 Mean number of days per year 15.5 MEMBER OF FREQUENT FLYER PROGRAMS 90

37. continued DEMOGRAPHICS Percent PSYCHOGRAPHICS Percent INCOME Under $30,000 7 $30,000 - $49,999 15 $50,000 - $74,999 24 $75,000 - $99,999 19 $100,000 or more 24 Mean income $87,700 FINANCIAL SERVICES Currently own Mutual funds 48 Stocks 44 Bonds 24 Life insurance/annuities 44 Currently use Brokerage services 36 On-line investment services 16 Retirement/financial planning 41 PRIMARY RESIDENCE Own 74 Rent 18 Other 3 No answer 5

38. continued RESPONSE OF SELECTED CONSUMER PSYCHOGRAPHIC STATEMENTS Percent SELECTED SPORTS/ACTIVITES PLAYED/PARTICIPATED IN PAST YEAR Percent Research before choose brand of new product to buy 41 Other people ask my opinion about which computer products to buy 41 Usually buy products based on quality, not price 26 Prefer products that are latest in new technology 26 Among group I am one of first to try new product 19 Walking/running/jogging 63 Exercise/fitness/weight training 44 Bicycling 7 Swimming 37 Golf 27 Fishing 23 Boating/sailing 19 Skiing 19 Tennis 14

39. Continued HOBBIES/OTHER ACTIVITIES PARTICIPATED IN Percent Listen to music 77 Reading 61 Going to movies 60 Surfing the Internet 50 Games-videos on computer 48 Gardening 32 Going to the theater 32 Cooking 30 Photography 30 Collecting stamps/coins 11 Sewing needlecraft 6 Source: 1997 Lifestyles Study, PC Magazine Subscriber Study, Ziff-Davis, Inc., June 1997.

40. Values And Lifestyle System VALS2™ captures consumers’ attitudes and values by measuring how strongly they agree or disagree with various phrases Classifications of self-orientations: Principle oriented: make purchases based on their principles not others’ Status oriented: heavily influenced by others’ beliefs, opinions, and views Action oriented: buy to affect environ-ment and seek activity, variety, and risk

41. ACTUALIZERS High Resources Principle Oriented Status Oriented Action Oriented FULFILLEDS ACHIEVERS EXPERIENCERS SRI Consulting’s Values and Lifestyle System (VALSTM) BELIEVERS STRIVERS MAKERS STRUGGLERS Low Resources

42. VALSTM 2 Segments and Participation in Selected Sports

43. Size of Each VALSTM Segment as Percent of the United States Population VALSTM SEGMENT PERCENT OF POPULATION Actualizer 11.7% Fulfilled 10.5 Believer 17.0 Achiever 14.7 Striver 11.8 Experiencer 12.9 Maker 12.0 Struggler 9.5

44. 8 Segmen Gaya Hidup Masyarakat Perkotaan di IndonesiaPT Surindo Utama, 1995 Pleasure Seeker High Profile Achievement Low Profile Kasali, hal, 242

45. 6 Kelompok Segmen Gaya Hidup Susianto, 1993 • Hura-hura • Hedonis • Rumahan • Sportif • Kebanyakan • Orang untuk Orang Lain

46. Thank you