Consumer Behavior Book - PDF

Cons. Behavior Created @February 11, 2025 2:55 PM Tags CHAPTER 1 OBJECTIVES 1-1 Summarize how consuming goods, services, experiences, and ideas is a major part of our lives. 1-2 Identify and discuss the technological...

Cons. Behavior Created @February 11, 2025 2:55 PM Tags CHAPTER 1 OBJECTIVES 1-1 Summarize how consuming goods, services, experiences, and ideas is a major part of our lives. 1-2 Identify and discuss the technological and sociocultural trends that require constant monitoring to understand consumer behaviour. 1-3 Explain how consumption both contributes to the world’s problems and provides solutions. 1-4 Describe the many disciplines and perspectives that inform our understanding of consumer behaviour. 1-1 Consumer Behavior: People in the Marketplace Consumer behavior is dynamic: It is an ongoing process that extends much beyond the moment a consumer hands over money or a credit card and in turn receives some good or service. Consumption refers to all facets of the consumer behaviour process, including how we observe and make sense of the world around us, choose and purchase things, and communicate our identity and sense of self in society. People buy products not for what they do, but for what they mean. Identity is a multilayered concept involving our personal and social selves. A brand enables consumers to identify a particular company, product, or Cons. Behavior 1  individual. It uses identifying markers to tell potential buyers not only what it does but also what it means and perhaps even the cultural values it stands for. Objective 1-2 Word of mouth has always been a major force, but the explosion of social media takes "word of mouse" to a whole new level because it has created a horizontal revolution: Communications no longer just flow top-down from companies and established media to passive recipients (consumers). Today, they also flow across regular users (hence the word horizontal above, in case you were wondering). On the one end, consumers have a natural in-group bias: They prefer culturally related brands that meet their desire to connect with "home" and their home culture. On the other end, consumers can feel a sense of cultural distinctiveness that drives them to seek out brands that represent other cultural groups. Another important development in the consumer ecosystem is the shift from traditional media to the more integrated system called transmedia. Transmedia refers to the web of media from traditional media platforms, like magazines and television, to more novel and emergent ones, like digital media, videogames, and the metaverse. Transmedia challenges traditional views of popular culture, because we can access these forms of entertainment in so many ways and in so many forms. Transmedia storytelling refers to telling a story across multiple platforms and formats. Objective 1-3: Consumption - From Problem to solution? Cons. Behavior 2  Over consumption leads to waste and environmental issues: Responsible business practices, like circular economies, address these challenges. Interdisciplinary Foundations: Combines psychology (decision-making), sociology (group behavior), anthropology (cultural consumption), and economics (market trends). USC = user-generated content Chapter 3 Objective 3-1: Perception Process Cons. Behavior 3  Perception involves three stages: exposure, attention, and interpretation. Marketers aim to optimise these stages: Exposure- When a stimulus is in range: Use tactics like product placement and targeted ads to ensure stimuli reach consumers. Attention: Attract and maintain focus through engaging visuals, catchy slogans, or interactive media. Interpretation - The perceiver decides what a stimulus MEANS: Tailoring messaging to cultural and individual expectations to shape brand meaning. Weber's Law tells us that the stronger the initial stimulus, the greater a change must be for us to notice it. Adaption happens when we no longer notice the stimulus because it becomes too familiar. Relational processing: a stimulus is always processed in relation to the relationship it has with other events, sensations and images in our memory. Similarity principle: We group objects that appear similar in design, shape, color, or other traits. - Cons. Behavior 4  Lookalike branding- Family branding Objective 3-2: Sensory marketing Appeals to all five senses to enhance product appeal. Examples: Sight: Bright colors in ads to attract attention. Smell: Signature scents in stores to create lasting memories. Sound: Sonic branding (e.g.. Intel's chime). Objective 3-3- Semiotics and Branding The use of symbols and cultural codes to build brand identity. Example: Nike's swoosh symbolizing athleticism and empowerment. Objective 3-4. Influence of cultural and psychological Factors Perceptual Filters: Individual biases shape how stimuli are interpreted. Subliminal Perception: Limited evidence supports its effectiveness in marketing. Chapter 4 CHAPTER OBJECTIVES Cons. Behavior 5  4-1 Describe how conditioning results in learning. 4-2 Summarize how we learn about products and consumption practices by observing others’ behavior. 4-3 Explain how our brains process and store information about brands in our memory. 4-4 Discuss how knowledge about brands is organize in our brains. 4-1 Describe how conditioning results in learning. We recognize many brand names and hum many product jingles, for example, even for products we don't personally use - this casual, unintentional acquisition of knowledge is called incidental learning. Learning Theories: 1. Behavioral Learning: Based on stimulus-response (external stimuli elicit reactions). Includes classical and instrumental conditioning. Includes classical and instrumental conditioning. 1. Cognitive Learning: Focuses on observation, problem-solving, and abstract thinking. Classical Conditioning: Stimulus-Response Associations: Associating a product with positive stimuli (e.g., Coca-Cola ads paired with happiness). Stimulus Generalization: Similar stimuli evoke similar responses (e.g., family branding, product line extensions, look-alike packaging). Cons. Behavior 6  Family branding = Many products capitalize on the reputation of a company name. Product line extension = Marketers add related products to an established brand. Licensing = Companies often "rent" well-known names, hoping that the learned associations they have forged will "rub off" onto other kinds of products. Look A like Packaging = Distinctive packaging designs create strong associations with a particular brand. Stimulus Discrimination: Differentiating between similar stimuli. Extinction: Conditioned responses fade without reinforcement. Stimulus-Response Associations: Associating a product with positive stimuli (e.g., Coca-Cola ads paired with happiness). Stimulus Generalization: Similar stimuli evoke similar responses (e.g., family branding, product line extensions, look-alike packaging). Family branding = Many products capitalize on the reputation of a company name. Product line extension = Marketers add related products to an established brand. Licensing = Companies often "rent" well-known names, hoping that the learned associations they have forged will "rub off" onto other kinds of products. Look A like Packaging = Distinctive packaging designs create strong associations with a particular brand. Stimulus Discrimination: Differentiating between similar stimuli. Extinction: Conditioned responses fade without reinforcement. Cons. Behavior 7  Instrumental (Operant) Conditioning: Behavior influenced by rewards or punishments. Types: Positive Reinforcement: Rewarding desirable behavior. Negative Reinforcement: Avoiding unpleasant outcomes. Punishment: Undesirable outcomes discourage behavior. Applications in marketing: Loyalty rewards, discounts, and promotions. Behavior influenced by rewards or punishments. Types: Positive Reinforcement: Rewarding desirable behavior. Negative Reinforcement: Avoiding unpleasant outcomes. Punishment: Undesirable outcomes discourage behavior. Applications in marketing: Loyalty rewards, discounts, and promotions. Positive Reinforcement: Rewarding desirable behavior. Negative Reinforcement: Avoiding unpleasant outcomes. Punishment: Undesirable outcomes discourage behavior. Additional Key Points Challenges: Attention overload due to excessive stimuli. Familiarity can lead to reduced engagement (adaption). Attention overload due to excessive stimuli. Familiarity can lead to reduced engagement (adaption). Unlike behavioral theories of learning (discussed so far) , cognitive learning theory Cons. Behavior 8  (that we’ll discuss now) approaches learning as a set of internal mental processes: Types of cognitive learning : 1. Observational Learning: Consumers imitate others, especially opinion leaders or influencers - Modeling 2. Remembering: In the encoding stage, information enters in a way the system will recognize. In the storage stage, we integrate this knowledge with what is already in memory and "warehouse" it until it is needed. During retrieval stage, we access the desired information. Memory Systems: Sensory Memory: Short-term retention of sensory input. Short-Term Memory (STM): Limited capacity, requires rehearsal to retain information. Long-Term Memory (LTM): Stores data through repetition, emotional connections, and vivid imagery. The salience of a brand refers to its prominence or level of activation in memory. Stimuli that stand out in contrast to their environments are more likely to command attention, which, in turn, increases the likelihood that we will recall them. The von Restorff Effect is well-known to memory researchers; it shows that almost Cons. Behavior 9  any technique that increases the novelty of a stimulus also improves recall. Marketing Applications: Use nostalgia to evoke emotional responses. Leverage memory biases (e.g. "peak-end rule") to enhance brand recall. Knowledge structures: Brands occupy specific positions in consumers' minds through associative networks (e.g., Apple = innovation). RECALL VS RECOGNITION Recall Tests ask consumers to independently think of what they have seen without any prompt at all. Recognition means asking the consumer to recognize the brand from a list. Chapter 6 Learning Objectives 6.1 Functions and components of attitudes 6.2 How do we form attitudes 6.3 Persuasion: how do marketers change attitudes? 6.4 Crafting Persuasive Communications Strategies 6.1 Functions and Components of Attitudes Definition: Attitudes are lasting, general evaluations of people, objects, advertisements, or issues. Functional Theory of Attitudes (Developed by Daniel Katz): 1. Utilitarian Function: Related to rewards and punishments. 2. Value-Expressive Function: Cons. Behavior 10  Attitudes reflect personal values or self-concept. Consumers buy products because of what they mean, not just their function. Example: Buying an item that aligns with your identity or aspirations. 3. Ego-Defensive Function: Protects against external threats or internal discomfort. Example: Housewives in the 1950s-60s avoided instant products as they threatened their image as capable cooks. 4. Knowledge Function: Provides order, structure, or meaning by simplifying decisions with clear information. Marketing Implications: Utilitarian: Highlight product benefits. Ego-Defensive: Use fear appeals or reassurance. Value-Expressive: Associate products with values or identity. Knowledge: Simplify choices with straightforward information. Fast and Slow Attitudes: Cognitive vs. Affective Dual-Process Thinking: Type 1 (Fast Thinking): Automatic, intuitive processes. Type 2 (Slow Thinking): Deliberative, analytical processes. Cognitive Focus: Based on beliefs about product attributes. Multi-Attribute Attitude Models: Attributes: Product characteristics (e.g., reputation). Beliefs: Perceptions of the extent to which the product has specific attributes. Cons. Behavior 11  Importance: Weight assigned to attributes. Affective Focus: Moods and emotions shape attitudes. Linking products to positive emotions through sentimental campaigns. 6.2 How We Form Attitudes Levels of Commitment (Consumers vary in their attachment to products). Consistency Principle: People strive for harmony between thoughts, feelings, and behaviors. Cognitive Dissonance: A mismatch between attitude and behavior causes discomfort. 6.3 Persuasion: How Do Marketers Change Attitudes? High vs. Low Involvement Products: High-Involvement Products: Perceived high risk (financial, physical, social, etc.). Consumers engage in central route to persuasion (slow thinking). Focus on message content and arguments presented. Take time to deliberate and weigh options. Low-Involvement Products: Perceived low risk. Consumers engage in peripheral route to persuasion (fast thinking). Focus on superficial factors (packaging, endorsements, emotions). Cons. Behavior 12  Decisions made quickly. Routes to Persuasion: 1. Central Route: Careful processing of message arguments. Quality of argument is key. 2. Peripheral Route: Presentation (format) matters more than content. Relies on emotional or superficial cues. 6.4 Crafting Persuasive Communication Strategies The Source: Credibility: Expertise, objectivity, and trustworthiness of the communicator. Example: A trusted expert may be more persuasive than the message itself. Attractiveness: Value attributed to the communicator. Can include physical attractiveness, social status, personality, or similarity to the consumer. The Message: Types of Appeals: Rational vs. Emotional. Rational appeals focus on logic and facts. Emotional appeals evoke feelings and sentiments. The Medium: Cons. Behavior 13  Modern strategies due to consumer ad fatigue: Advertainment: Entertaining ads integrated into content. Native Advertising: Ads that blend with the platform’s content. Product Placement: Subtle inclusion of products in media. Advergaming: Branding integrated into games. Chapter 7 LEARNING OBJECTIVES: 7.1 Two primary ways in which consumers make decisions 7.2 Steps in the rational decision-making 7.3 Ways in which we engage in fast thinking 7.4 Context effects 7.1 Two primary ways in which consumers make decisions 7.2 Steps in the rational decision-making Cons. Behavior 14  1. Search for Information: Consumers with moderate knowledge about a product are most likely to search for information. 2. Evaluate Alternatives: Evoked Set: Products the consumer is aware of. Consideration Set: Products being actively considered for purchase. Evaluative Criteria: Dimensions used to judge competing options. Determinant Attributes: Features used to differentiate choices. Example: For a TV, attributes like screen size, resolution, and price could serve as evaluative criteria. 1. Decision Rules: Compensatory Rules: Products can compensate for shortcomings in one area by excelling in another. Simple Additive Rule: Choose the product with the most positive attributes. Weighted Additive Rule: Evaluate attributes based on their importance (e.g., multi-attribute models). Cons. Behavior 15  Non-Compensatory Rules: If a product fails one key criterion, it is rejected. Lexicographic Rule: Choose the brand best on the most important attribute. Elimination-by-Aspects Rule: Choose only products with specific features (e.g., foldable screens). Conjunctive Rule: Only consider brands meeting all attribute cutoffs. 7.3 Ways in Which We Engage in Fast Thinking 1. Habitual Decision-Making: Decisions are made with little or no conscious effort. Repeated purchases could stem from: Inertia: Buying familiar products due to ease and lack of effort. Brand Loyalty: A conscious, committed preference for a brand. 1. Heuristics and Mental Accounting: Bounded Rationality: Settling for an adequate (not the best) solution to save time and effort. Heuristics: Mental shortcuts to simplify decisions: "Higher prices mean higher quality." Cons. Behavior 16  "Buy what my family has always used." "Generic products are the same as name brands at a lower price." 7.4 Context Effects 1. Framing: How information is presented affects decision-making. Prospect Theory: Decisions under risk depend on perceived gains or losses and the framing of choices. Sunk-Cost Fallacy: People resist wasting something they have already paid for (e.g., staying at a football game despite bad weather because the ticket cost money). 2. Priming: Cues in the environment subtly influence consumer behavior without them being aware. Examples: Fast music: Encourages quick dining in fast-food restaurants. Slow music: Encourages relaxation and longer stays in retail spaces. Loud music: Promotes quick decisions. Soft music: Encourages deliberate decisions. 3. Nudging: A deliberate change to the environment to steer consumer behavior. Key Difference Between Nudging and Priming: Nudging: Alters the buying environment to steer choices while keeping all options available. Priming: Subconsciously activates associations or feelings through environmental cues. Cons. Behavior 17  Chapter 8 LEARNING OBJECTIVES 8-1 Explain the factors that influence consumers’ shopping experience during each phase of the purchasing process. 8-2 Describe how the virtualization of shopping increases our reliance on digital assets. 8-3 Summarize how the growth of a “sharing economy” changes the way consumers think about using and owning. 8-4 Explain how the climate change crisis requires us to think differently about buying, using, and disposing to limit our environmental footprint. 8-5 Identify the maladaptive consumer behaviors that can occur in the purchasing and using stages Learning Objective 8.1: Factors Influencing the Shopping Experience 1. Shopping Purpose: Cons. Behavior 18  Utilitarian: Shopping with a specific purpose (functional, task-oriented). Hedonic: Shopping for fun, pleasure, or emotional gratification (e.g., "retail therapy"), motives might include: Gratification seeking. Idea shopping: Seeking inspiration or new ideas. Adventure seeking: Experiencing something exciting or new. Social shopping: Engaging in a social experience while shopping. Role play: Trying out new identities or lifestyles. Value shopping: Finding bargains or deals. Atmospherics: Retailers design spaces to evoke specific feelings in buyers and encourage them to stay longer. Learning Objective 8.2: Virtualization of Shopping and Digital Assets Growth in online shopping has increased reliance on digital platforms for: Browsing: Virtual storefronts and catalogs. Purchasing: Online checkout and payment systems. Product Recommendations: Algorithms that suggest items based on past behavior. Consumers depend more on digital assets like: Reviews and ratings. Comparison tools. Mobile apps and online shopping platforms. Cons. Behavior 19  Learning Objective 8.3: Sharing Economy Definition: A shift from ownership to access and sharing ( ex: Car-sharing (e.g., Zipcar), rental services (e.g., Airbnb), and subscription services) Consumer Mindset: Reduces the need for personal ownership of goods. Encourages collaborative consumption, focusing on using rather than owning. Benefits: Cost savings. Greater access to resources and experiences. Learning Objective 8.4: Climate Change and Consumer Behavior Impact on Buying, Using, and Disposing: Consumers are encouraged to adopt sustainable practices to limit their environmental footprint. Sustainable Practices: Buying durable, eco-friendly, or secondhand products. Participating in recycling and upcycling programs. Reducing consumption of single-use goods. Climate crisis calls for rethinking consumption patterns: Shift from disposable to reusable items. Supporting brands with sustainable practices. Learning Objective 8.5: Maladaptive Consumer Behaviors Cons. Behavior 20  In-Store Decision Making: Unplanned Buying: Happens due to unfamiliarity with the store, time pressure, or new need recognition (e.g., seeing a product that reminds you of something you need). Impulse Buying: Triggered by a sudden, irresistible urge (common with small items like candy or gum). Maladaptive Behaviors: Substance-Related Addictions: Includes alcohol, tobacco, or opioid dependencies. Behavioral Addictions: Gambling. Overeating. Overusing technology or social media. Compulsive shopping disorder. Hoarding. Chapter 9 CHAPTER OBJECTIVES 9-1 Explain how the self-concept strongly influences consumer behavior. 9-2 Describe how our consumption choices are expressions of our identities and extensions of our selves. Cons. Behavior 21  9-3 Summarize how consumers are finding new ways to express identity via their consumption choices. 9-4 Recognize the many sociocultural factors that contribute to gender identity. 9-5 Discuss how our bodies are an important component of our identities. 9.1 Self-Concept, Identity, Ideal vs. Actual vs. Avoidance Self Self-Concept: Encompasses all beliefs an individual holds about their own attributes and how they evaluate themselves based on those attributes. Identity: Specific labels with which individuals self-associate (e.g., "college student," "Prius driver," etc.). Ideal, Actual, and Avoidance Selves: Ideal Self: The person we aspire to be. Actual Self: A realistic assessment of who we are. Avoidance Self: The person we strive not to become. Marketing Implications: Products are chosen based on alignment with the actual self or as a step toward the ideal self. Fantasy appeals, such as makeovers, target consumers with a significant gap between their actual and ideal selves. Multiple Selves: People have as many selves as social roles (e.g., professional, family, friend, etc.). Cons. Behavior 22  Certain identities are more central (e.g., "mother" vs. "doctor") or situation-dependent (e.g., "gamer" or "advocate"). Looking Glass Self: The process of shaping one's self-concept based on how they believe others view them. Social Comparison: Evaluating oneself by comparing with others. Self-Construal: The extent to which an individual defines themselves as independent (focused on personal traits) or interdependent (defined by relationships). Western cultures: More independent self-concept. Eastern cultures: More interdependent self-concept. Individuals may exhibit both tendencies, though one often dominates. Self-Image Congruence Models: Consumers choose products that align with aspects of their self-concept. Research Findings: Congruence exists between consumers and their favorite brands (e.g., beer, toothpaste, stores). Example: Living spaces reflect personalities, as study participants could accurately infer owners' traits from photos of their living rooms. 9.2 The Extended Self Definition: External objects, possessions, or symbols that individuals consider part of their identity. Four Levels of the Extended Self: Cons. Behavior 23  Examples: Tattoos of hometowns, cultural symbols, or loved ones reflect identity and connection to one's extended self. 9.3 Compensatory Consumption and Symbolic Self-Completion Compensatory Consumption: A response to threats to self-esteem or unmet emotional needs. Consumers purchase products to "compensate" for: Unfulfilled social status. Low self-esteem. Lack of happiness. Examples: Luxury goods, beauty products, technology, food, and alcohol. Symbolic Self-Completion: When individuals with an incomplete self-definition acquire symbols to reinforce their identity. Examples: Buying a high-end laptop to "complete" the identity of a competent manager OR Acquiring products to embody and display traits or roles they aspire to. Cons. Behavior 24  Chapter 10 CHAPTER OBJECTIVES 10-1 Explain how our personality influences the way we process marketing communications, make decisions, and respond to social influences. 10-2 Describe how our behavior is shaped by our values and attitudes toward money, things, and time. 10-3 Explain how our lifestyle is related to and informed by our consumer behavior. 10-4 Describe the many ways brands become meaningful to consumers. 10.1 Personality and Marketing Personality and Consumer Behavior: Personality influences how individuals process marketing communications, make decisions, and respond to social influences. The connection between personality and response to marketing is not fully understood. The Big Five Personality Traits: Openness to Experience: Curiosity and creativity. Conscientiousness: Organization and dependability. Extroversion: Sociability and assertiveness. Agreeableness: Compassion and cooperation. Cons. Behavior 25  Neuroticism: Emotional instability and anxiety. 10.2 Values and Consumer Behavior Values: A value reflects what we consider important, good, or bad (e.g., “Family is important”). Universal Values: Shared globally (e.g., health, peace). Cultural Values: Vary across societies. Values Related to Consumer Behavior: Values Related to Things: Materialism: The importance placed on worldly possessions. Materialists: Value possessions for their status and appearance. Link self-identity to products. Non-Materialists: Value products that foster relationships or bring personal joy. Values Related to Money: Spending Orientation: Tendency to spend or save. Cons. Behavior 26  Psychological meanings of money can influence spending habits. Lifestyle depletion may occur when financial resources are strained. Values Related to Time: Timestyles: Metaphors capturing time perception: Time is a pressure cooker: Rushed and deadline-driven. Time is a map: Plans and schedules. Time is a mirror: Reflection on the past. Time is a river: Focus on the present. Time is a feast: Enjoyment of life and abundance. 10.3 Lifestyle, Psychographics, AIOS, and VALS Lifestyle: A pattern of consumption reflecting how individuals choose to spend time and money. Lifestyle Marketing Perspective: People sort themselves into groups based on: Activities they enjoy. How they spend leisure time. How they allocate disposable income. These choices help define consumer identity. Psychographics: Combines psychological, sociological, and anthropological factors to segment markets. Purpose: Cons. Behavior 27  Demographics focus on who buys what. Psychographics focus on why people buy. Uses: Define target markets. Create new market views. Position products effectively. Communicate product attributes better. Develop product strategies. Promote social or political causes. Values and Lifestyles System (VALS2): 10.4 Brand Personality and Brand Resonance Brand Personality: Cons. Behavior 28  Brands can be attributed traits, making them appear like real people. These traits help form a unique identity for the brand in the consumer’s mind. Brand Resonance: Occurs when a brand aligns deeply with a consumer’s life or culture. Resonant brands feel personally meaningful and culturally relevant to consumers. Chapter 12 CHAPTER OBJECTIVES 12-1 Describe the role of reference groups and social norms in influencing consumer behaviour. 12-2 Describe how social influences flow through word-of-mouth communication and how they’re especially powerful when they come from opinion leaders. 12-3 Explain how, whether in a family or a corporation, members of a group unit play different roles and have different amounts of influence when making collective decisions. 12-4 Explain how consumers are social beings that form groups, tribes, and communities around consumption practices and brands. 12.1 Role of Reference Groups and Social Norms in Consumer Behavior Cons. Behavior 29  Social Identity Theory: We identify with groups so strongly that our sense of self shifts from "I" to "WE." We are drawn to people who share our identity and form stronger bonds within our group. Reference Groups: Groups or individuals that influence a consumer’s evaluations, aspirations, or behavior. Types of Reference Groups: 1. Associative Reference Group (Membership): People we actually know and are part of our social identity. Advertisers use "ordinary people" in their campaigns (e.g., Primark, Hema). 2. Aspirational Reference Group: People we do not know but admire. Advertisers use celebrities or aspirational figures (e.g., Victoria’s Secret, Pepsi). 3. Avoidance Groups (Dissociative): Groups we do not want to be associated with. Consumers avoid purchasing products or behaving in ways that align with these groups. Perceived Typicality: How closely an influencer matches the stereotypical image of a brand’s consumer. Can strengthen or dilute a brand's image depending on their conformity. Cons. Behavior 30  Social Power: Referent Power: Admiring people and imitating their behaviors or purchases. Information Power: Possession of unique knowledge. Expert Power: Expertise in a specific area. 12.2 Social Influence Through Word of Mouth and Opinion Leaders Word of Mouth (WOM): Especially powerful when consumers are unfamiliar with a product category. Negative WOM: Weighted more heavily than positive WOM and can significantly damage brand reputation. Opinion Leaders: Individuals who are knowledgeable about products and influence others’ attitudes or behaviors. Characteristics of Opinion Leaders: Competent and possess expert power. Process product information in an unbiased way (knowledge power). Socially active and interconnected within communities. Often hold community leadership roles. Tend to share similar values and beliefs with the target consumer (referent power). Cons. Behavior 31  12.3 Group Members' Roles in Collective Decision-Making In families or organizations, group members assume specific roles and have varying levels of influence. Cultural Influences on Conformity: Collectivist Cultures: Stronger pressure to conform. Individualist Cultures: More freedom to deviate. Why Do People Conform? Cultural Pressure: Group norms in collectivistic cultures encourage conformity. Fear of Deviance: Non-conformists face sanctions or social exclusion. Commitment: The group member with the least interest holds more power (Principle of Least Interest). Group Unanimity: The presence of consensus reinforces conformity. Environmental Cues: Situational factors like room temperature (e.g., warm rooms encourage conformity). Forms of Conformity: Red Sneaker Effect: Non-conformity can increase an individual’s perceived status (e.g., wearing something unique). Social Default: Unthinking imitation of others. 12.4 Social Beings, Tribes, and Communities Cons. Behavior 32  Consumers naturally form groups, tribes, and communities around shared consumption practices or brand loyalty. Brand Tribes: Groups of highly engaged consumers who form communities around specific brands or products. Brands become meaningful by fostering shared experiences and identities within these tribes. Chapter 14 CHAPTER OBJECTIVES 14-1 Describe how culture is a society’s personality. 14-2 Discuss how consumption rituals structure our experiences and convey our cultural values. 14-3 Summarize how products, brands, and practices are vessels of cultural meanings. 14-4 Explain how products, ideas, and practices circulate through society via the process of diffusion. 14.1 Culture as a Society’s Personality Definition of Culture: Culture reflects a society’s personality, encompassing: Abstract Ideas: Values, ethics, and norms. Material Objects: Cars, clothes, art, etc. Components of Culture: Shared meanings, rituals, norms, and traditions within a group or society. Cons. Behavior 33  Why Culture Matters in Consumer Behavior: It shapes what people buy, how they behave, and what they value in products and brands. Hofstede’s Dimensions of National Culture: 1. Power Distance: Acceptance of inequality in power distribution. 2. Individualism vs. Collectivism: Emphasis on personal achievements vs. group harmony. 3. Masculinity vs. Femininity: Preference for competitiveness vs. nurturing roles. 4. Uncertainty Avoidance: Tolerance for ambiguity and risk. 5. Long-Term Orientation: Focus on future rewards vs. short-term benefits. 6. Indulgence vs. Restraint: Gratification of desires vs. strict control over behavior. 14.2 Consumption Rituals and Cultural Values Rituals: Sets of symbolic behaviors performed in a fixed sequence and repeated periodically. Examples: Sunday brunch, daily Starbucks visits, tailgating at football games. Types of Rituals: Private Rituals: Performed individually (e.g., morning grooming routines). Public Rituals: Performed socially (e.g., holiday celebrations). Cons. Behavior 34  Brands and Rituals: Some brands become integral to rituals and are termed "fortress brands" (e.g., razors for grooming, specific foods for holidays). Common Rituals: Grooming Rituals: Self-care routines. Gift-Giving Rituals: Exchanging gifts during special occasions. Holiday Rituals: Festive traditions. Religious Ceremonies: Rituals tied to religious practices. Conditioned Superstition: Items become "lucky" when paired with rewards or successful outcomes (e.g., lucky pens, t-shirts). 14.3 Products, Brands, and Practices as Vessels of Cultural Meanings Sacred vs. Profane Consumption: Sacred Consumption: Items or events treated with respect or awe (e.g., wedding dresses). - Not necessarily religious in context. Profane Consumption: Ordinary, everyday items (e.g., work attire). Processes of Sacralization: 1. Sacralization: Assigning sacred meaning to ordinary objects, events, or people. 2. Objectification: Attributing sacred qualities to mundane items (e.g., souvenirs). 3. Collecting: Systematic acquisition of items deemed significant. Cons. Behavior 35  Desacralization: Sacred items lose their special meaning through mass production or secularization. Examples: American flag on t-shirts. Che Guevara's image on mugs. Secularized celebrations of religious holidays like Christmas or Ramadan. 14.4 Diffusion of Innovation Definition of Innovation: Any product, service, or idea perceived as new by consumers. Types of Innovation: New manufacturing techniques. Product variations. New ways to deliver or package products. Diffusion of Innovation: The spread of innovations through a population over time. Adoption rates vary depending on the type of innovation and consumer segment. Cons. Behavior 36 Cons. Behavior 37