11._Reference_Group.ppt 146KB Mar 29 2010 04:55:13 AM

Reference
Group

PPs – MM
FE – Manajemen
Universitas Muhammadiyah
Malang
Bamisha

1

Reference Group
 Is

a group that serves as a reference
point for the individual in the information
of his or her
 beliefs,
 attitudes

and


 behavior

Bamisha

2

The influence a group exerts on
an individual purchasing
behavior
 Depend

on three factors:

 The

individual’s attitude toward the
group
 The nature of the group
 The nature of the product


Bamisha

3

The Individual’s Attitude Toward
the Group (Bearden & Rose)
Views the group as a credible source of
information about the product or service
 Values the views and reactions of group
members regarding purchasing decision
 Accepts the rewards and sanctions
meted out by groups for appropriate or
inappropriate behavior


Bamisha

4


The Nature of the Group
 Homogenous

in that members
have similar norms and values
 Frequently interacting, thus
creating more opportunities to
influence members
 Distinctive and exclusive in that
membership in the group is highly
valued
Bamisha

5

The Nature of the Product
 Visible

product


 Clothing
 Cosmetics
 furniture

 Exclusive

products that might
connote status

Bamisha

6

Types of reference Group
1.

Positive Attitude
a.

Membership



b.

Nonmembership


2.

Positive Membership Groups
Aspiration Group

Negative Attitude
a.

Membership


b.


Disclaimant Group

Nonmembership


Dissociative group

Bamisha

7

Types of Membership
Groups
1.

Primary
a.

Informal



b.

Formal



2.

Family/ Peer Groups
School Groups
Business Groups

Secondary
a.

Informal




b.

Shopping Groups
Sports Groups

Formal



Alumni Groups
Tenant Organization

Bamisha

8

Types of Aspiration Groups
1.

Contact



2.

anticipatory

No contact


symbolic

Bamisha

9

Nature of Reference Groups
1.
2.
3.
4.

5.

Norms
Roles
Status
Socialization
Power

Bamisha

10

Norms
 Are

the rules and standards of
conduct the group establishes
 The

appropriateness of clothes

 Eating habits
 Makes of cars
 Brands of cosmetics

Bamisha

11

Roles
 Are

functions that the individual
assumes or that the group assigns
to the individual to attain group
objectives
 Roles have been identified in family
decision making:
 The

influencer, the gatekeeper, the decision
maker, the purchasing agent and the
consumer
Bamisha

12

Status
 Refers

to the position the individual
occupies within the groups
 High status implies greater power
and influence
 Example:
A

chairperson

Highest status  within groups
 Weakest status  bridge club


Bamisha

13

Socialization
 The

process by which an individual
learns the group’s norms and role
expectations

 The

two most important types:

 The

socialization of children
 The socialization of new residents in a
community
Bamisha

14

Power


Three power are particularly relevant:
1.

Expert power


2.

Referent power


3.

An individual or group must have experience
and knowledge
The individual’s identification with members of
the group

Reward power


Based on the group’s ability to reward and
employee with money and status

Bamisha

15

Types of Influence Exerted
by Reference Groups
Nature of
Influence

Objectives

Perceived
Characteristics
of Source

Type of
Power

Behavior

Informational

Knowledge

Credibility

Expert

Acceptance

Comparative

Selfmaintenance
Enrichment

Similarity

Referent

Identification

Power

Reward or Conformity
Correction

Normative
reward

Bamisha

16

Informational Influence
 There

are two conditions:

 When

there is social, financial or
performance risk in buying the
product
 The individual has limited knowledge
or experience regarding the product

Bamisha

17

Comparative Influence
 Moschis
 Consumers

likely are likely to seek
information from friends viewed as
similar to themselves and to regard
such sources as credible

 The

salesperson is effective if:

 Customer

sees the similarity of tastes,
attitudes and even religion

Bamisha

18

Normative Influence


Park and Lessig


a consumer is motivated to conform
to the norms and behavior of the
group if;
1.

2.

The group provides significant rewards
for compliance and punishment for lack
of compliance
The individual’s behavior in conforming
is visible to members of the group

Bamisha

19

Conformity
 Is

the ultimate goal of normative
influence as it means that
consumers will buy the brands and
product categories the group
approves
 Marketers are interested in such
imitative behavior, because
 It

implies a snowball effect
Bamisha

20

Social Multiplier Effect
 James

Duesenberry:

 The

demonstration principle states
that with the American consumer’s
increased mobility and purchasing
power, consumers increasingly will
come into contact with new products
and will have the purchasing power to
buy them  Social Multiplier Effect

Bamisha

21

Park and Lessig


The type of products to be subject to
comparative
1.

Technologically complex


2.

Require objective informational criteria for
selection




Auto’s, color TVs, air conditioners

Insurance, physicians, headache remedies

The type of products to be subject to
comparative as a means of self
expression and identity
Bamisha

22

Two ways the group
purchases
Conformity to group norms
2. An assertion of quality (the
uniformity of purchasing behavior
within the group shows that the
brand is in fact highest in quality)
1.

Bamisha

23

Rosen’s and Olshavsky’s


Group recommendations supplant
brand evaluation in three possibilities:
1.

2.
3.

Go along with the group’s
recommendations without evaluating
brand alternatives
Evaluate alternatives brands
Rely on group recommendations to narrow
the choice to a few brands and then
evaluate these brands

Bamisha

24

Group Influence by Type of
Product
Influence on product and brand
2. Influence on brand only
3. Influence on product only
4. No group influence
1.

Bamisha

25

Strategic Applications
1.

Advertising strategies




2.

Use of spokespersons
Using referent spokespersons
Conveying normative influence

Personnel strategies




Sales strategy implications of
informational and comparative influence
Sales strategy implications of bargaining
power

Bamisha

26