Consumer Behaviour: Personality, Values, Lifestyle PDF

Consumer Behaviour: PERSONALITY, VALUES LIFESTYLE Unit 6 MR 3023  PERSONALITY Personality is unique to each individual. Our personality influences our responses to our environment. Personality can be defined as the qualities and traits, that define the character or behavior of a s...

Consumer Behaviour: PERSONALITY, VALUES LIFESTYLE Unit 6 MR 3023  PERSONALITY Personality is unique to each individual. Our personality influences our responses to our environment. Personality can be defined as the qualities and traits, that define the character or behavior of a specific person. We can see that we and others behave differently in different circumstances or around different people. Psychologists look at personality by looking at what traits people report or demonstrate, but also they look at the context of the behaviour. Marketers want to understand personality so they can segment consumers as far as activities, tastes and lifestyles. (psychographics) The better they understand the consumer the more accurate a marketing campaign could be. But how do they define personality? Lifestyle TRAIT THEORY Researchers look at what's called Trait Theory. Traits are the identifiable characteristics that define a person; for example, extroversion versus introversion. Traits interesting to marketers are innovation, materialism, self-consciousness, and need for recognition. Using trait theory in marketing is problematic because researchers do not always agree on which traits to measure. There are many scales that purport to measure personality like Myers- Briggs, The Big Five or True Colors. Many of these are not valid or reliable. Conditions of testing vary and instruments are under revision. Many measure overall tendencies. Because the context or conditions of a behaviour is also important, it can be difficult to recreate situations as they really may be in the real world. BRAND PERSONALITY Just as we have personality, we can look at brands as having personality. Marketers work to develop Brand Identity to get positive brand equity. Brand equity is the extent to which a consumer holds a strong favourable and unique association with the brand. It is value derived from perception of the brand name of a particular product or service, rather than from the product or service itself. Creation and communication of a distinctive brand personality can make a product stand out. Personality dimensions can be used to compare and contrast characters of brands. In our module on learning, we looked closely at the associations between the Apple Macintosh brand and the iconic people in the Think Different campaign. These associations create a strong brand identity- unique, different, innovative, creative. FREUD & CONSUMER BEHAVIOUR What words come to mind when you hear the name Freud? Did you say "sex" the "unconscious" or "psychoanalysis"? Freud related a lot of what we do to our unconscious sexual desires. Freud believed that much of behaviour is from a conflict between a desire to gratify needs and be responsible. He divided the self into three categories: REVIEW: the id, the ego and the superego. According to Freud when we are born we are under the control of the Id. The id doesn't care about reality; it wants what it wants. Within the next 3 years the ego develops. The ego is based on the reality principle. Ego’s job is to meet the needs of the id, while considering the reality of a situation. By age 5 the superego begins to develop. The Superego is our moral compass. It develops because of the restraints placed on us by those who bring us up. Often the superego is thought of as our conscience dictating what is right and wrong. REVIEW: Freud: Id vs Superego mediated by Ego Freud: The Basics Take a few minutes to watch this corny video about Freud. You will laugh but you’ll remember the main points! URL https://youtu.be/YJRZQGFYpZY Applications of Freud: Motivational Research In 1946, Ernst Dichter founded the Institute of Motivational Research bringing aspects of Freudian theory and symbolism of products to the world of advertising, He believed people were not exactly rational and did not understand the real reasons behind their purchases. According to Dichter, product use was motivated by unconscious forces. Motivational research used in-depth interviews to find reasons behind a consumer's motivation. In the1950s, Motivational research was appealing to marketers because it made intuitive sense and was cost efficient using small group interviews which came to be known as focus groups. Motivational Research Ernst Dichter The campaign for Esso "Put a tiger in your tank" is an example of a Freudian appeal. What is the unconscious meaning in putting a tiger in your tank? According to Dichter, humans were immature, irrational and insecure with erotic desires. He claimed women smoked more when they viewed erect cigarettes in the hands of other women. He was also responsible for Barbie's unnatural curves. It was he who recommended increasing the size of the original Barbie's bust. "Be smart, get a fresh start with Ivory soap," because bathing, in its old ritualistic, anthropological sense, is getting rid of all your bad feelings, your sins, your immorality, and cleansing yourself, baptism, etc." (Ernst Dichter, describing his first motivation research study) On the next slide watch a short movie about Dichter and Motivational Research and find out why you have to add an egg to that cake mix or packaged cookie mix! Motivational Research Ernst Dichter Dichter fell out of favour in the 60's, but Louis Cheskin continued with motivational research. Today it continues to be re-invented under names like psychometrics, factor-analysis, multidimensional scaling and data clustering. Motivational research has been attacked by many because of its power to manipulate, its over-emphasis on the analyst's conclusion, and the influence of Freud and sex.  THE POWER OF FREUDIAN PSYCHOLOGY IN ADVERTISING – LEARN MORE! EXAMPLES HERE Carl Jung, The Collective Unconscious & Archetypes Carl Jung, a colleague of Freud, believed in the existence of the collective unconscious. The collective unconscious is that part of the mind containing memories and impulses we are not aware of. According to Jung, we come into the world with a storehouse of memories from our ancestors. These shared memories invoke archetypes. Archetypes are innate, universal prototypes for ideas and may be used to interpret observations. As you'll see archetypes appear frequently in advertising and branding.  Archetypes Psychology of Consumer Behaviour  Carl Jung believed in the existence of the Collective Unconscious. The collective unconscious is the part of the mind containing memories and impulses we are not aware of. According to Jung, we come to the world with a storehouse of memories from our ancestors. The shared memories invoke archetypes. These archetypes appear frequently in marketing.  Archetypes are innate, universal prototypes for ideas and may be used to interpret observations. Mother Archetype The Mother archetype is symbolized by the primordial mother or “Earth Mother” of Mythology, by Eve and Mary and by less personal symbols like church, nation, forest, ocean. Mother Archetype Mother Archetype Mother Earth Mother Archetype The Mother  Mana Archetype In primitive societies, phallic symbols symbolize Mana or Spiritual Power. These symbols would be displaced on occasions when the spirits are called on to increase the yield of corn, fish or to heal someone. Mana- hero-Godlike The Green Giant looks over his valley and yield. Mana – Hero Archetype The Hero The Hero The Shadow Sex and life instincts are part of the Shadow. It is the dark side of the ego, and the evil that we are capable of. Symbols of the shadow include the snake, monsters, demons and dragons. The Shadow URL https://youtu.b e/B1JpOSz4lnI The Shadow  Persona The persona represents your public image. It is the mask you put on. At best it is the good impression, but could be a false impression to manipulate others  Persona Angel - Devil Mac Ad Persona Persona  Persona The Most Interesting Man in the World - Dos Equis Anima-Animus : Picture: Animus Anima, Why? Wendy Stark, YouTube  Anima-Animus A part of persona is the role of male or female we play. In a Male this archetype finds expression as a feminine inner personality: anima. In the unconscious of a woman it is expressed as a masculine inner personality: animus. The anima may be represented by a young girl, spontaneous, intuitive or a witch or earth mother. The animus may be the wise old man, sorcerer, young boy. The Witch Magical Boy “Ender’s Game” -Boy to the Rescue  Wise Old Man The Witch The Wise Old Man The Wise Old Man Archetypes used in  The Innocent The Hero/Warrior The Regular Guy/The EveryMan The Nurturer/Care Giver The Artist/Dreamer/Idealist The Explorer The Rebel The Lover/Seducer The Magician/Catalyst The Leader The Jester The Sage/Guru The Jester Skittles The Innocent The Innocent Everyman - Bud Light The Artist The Caregiver The Lover/Seducer The Explorer – North Face Mr Clean The Hero Harley Davidson - The Rebel Harley Davidson - The Rebel The Catalyst - Axe The Hero – Explorer - Rebel What Archetype? Brand Personality & Archetypes URL https://youtu.be/QfalPMjJTl8 Animism Animism, is the idea that inanimate objects can be given human characteristics. We have discussed brands in terms of personality assigning different characteristics such as tough, strong, delicate, innovative, conservative, etc. When we do that are we accepting brands as human? It's not so much the thing but the meaning we assign that creates the bonds. There's something innately satisfying about the depth of feelings we have with inanimate objects. When brands assume an extended role in our lives perhaps they provide the same kind of comfort. Consider the animated characters that often come to represent the brand. Have a look at the Pillsbury Dough Boy. From our reactions to him, you'd think he was a living breathing creature. URL https://youtu.be/b2ZZWa9o_kQ Anthropomorphism Anthropomorphism is the attribution of uniquely human characteristics to non-human creatures and beings, natural and supernatural phenomena, material states and objects or abstract concepts. When we give human traits to non-human objects related to an actual product or its brand representations, we personify the brand. The most easily identified type of anthropomorphism is the spokescharacter, or advertising icon. The character embodies human traits and is tied to a brand through a visual image such as a cartoon or human character. The Pillsbury Dough Boy is one example. URL https://youtu.be/P0IUdIXsu Another example would be the older Mac vs PC commercials. The Apple brand Macintosh is the cool character, and the boring other character PC is the not cool character. The actual Mac computer is embodied in the young cool guy character. Also consider ads where an animal acts or behaves like a human. In the top example here we identify with the animals plight. Below we see the dog family’s life in the Subaru commercial URL https://youtu.be/Pjl2R_XZ4 Lifestyles & Psychographics Two people can share similar demographic background; for example, middle class, similar education, age, occupation, and income, yet they may have very different psychographics and different buying or consuming practices. Each person has a different lifestyle. Even twins who live together will have different life experiences. Demographics: the observable measurements of a population's characteristics, such as birthrate, age distribution and income Psychographics: the use of psychological, sociological, and anthropological factors to construct market segments. Uses AIOs to group consumers (activities, interests and opinions) Lifestyle: a set of shared values or tastes exhibited by a group of consumers especially as these are reflected in consumption patterns 21 Lifestyles & Psychographics By understanding lifestyle, marketers can separate people into groups by looking at their leisure behaviours and by seeing how they spend disposable income. They can also see lifestyle by looking at online activities-- who the person associates with, the groups they join, the social networks they belong to, the things they share. Lifestyle defines who we are and who we are not, It is not set in stone--it evolves through our lifetimes 21 Demographics allow marketer to describe who buys a product Psychographics allow marketer to understand why they buy a product. Psychographic Studies Forms of psychographic studies: ○ a lifestyle profile that looks at items that differentiate between users and non users of a product (who they are and who they are not) ○ a product-specific profile identifying a target group that then profiles the consumers on product-relevant dimensions ○ a study using personality traits as descriptors where some variable such as concern for environment, is analyzed to find related personality traits ○ a general lifestyle segmentation, where the respondents in a large sample are placed in homogeneous groups based on preferences ○ a product-specific segmentation where questions used in general approach are tailored to a product category. AIOs: Activities, Interests & Opinions Psychographic research uses AIOs Activities-Interests-Opinions to group consumers. Consumers are given a large number of statements and asked to indicate how much they agree with each; the result is how people spend time, interests, self view, world view and demographic information What people report about themselves may not be accurate, but what it may reflect is what a person would like to be like (closer to ideal self) which is also relevant. Recall the importance of the gap between the actual self and the ideal self. The greater the difference the more opportunity to appeal to fantasy. Today all these can be learned about through the things we do and share on social media and on the internet. The 20/80 Rule The 20/80 rule says about 20% of consumers in a product category account for 80% of sales. These 20% make up a brand loyal group. Researchers try to determine who are heavy users, moderate users and light users. The Pareto principle (also known as the 80/20 rule, the law of the vital few, or the principle of factor sparsity) states that, for many events, roughly 80% of the effects come from 20% of the causes. How is Psychographic Segmentation Used? It is used to Define target market -for example, to determine what general characteristics make up the target group Create a new view of market -for example, to define where there is an opportunity Position the product - for example, to define the characteristics of the product to fit a particular group Better communicate product attributes- for example, to define the key qualities of the product(s) Develop an overall strategy- for example, to define how (the tactics) to appeal to the consumer Market social and political issues Psychographic Segmentation - The VALS The VALS (Values and Lifestyles survey) is a psychographic segmentation system to categorize consumers into clusters) Bottom level are consumers without much money. Top level are consumers with more money. Right are people who are experiential; they tend to want to make things, experience the world. Left are more cerebral thinkers; they want to think things through. Psychographic Segmentation - The VALS Main categories and levels are: High Resources/Innovation Innovators : successful consumers with resources, concerned socially, open to change Sufficient Resources Thinkers : satisfied, reflective, comfortable, practical, value function Achievers: career oriented, they prefer predictability Experiencers: impulsive, young, enjoy offbeat and risk, they have Fewer Resources/lower innovation 2nd Lowest Level of Resources Believers: strong principles, they favour proven brand(s) Strivers: like achievers with fewer resources, they have a concern for approval Makers: action oriented, focus on self-sufficiency, works on car, cans vegetables, build house Lowest Level of Resources Survivors: concern to meet needs of moment While the VALS survey is interesting, it can be critiqued because of its obvious western bias. If you look closely you can see its roots inside of Maslow's Hierarchy of Needs. Geodemography Geodemography is analytical techniques that combine data on consumer expenditures and other socioeconomic factors with geographic information on areas where people live. The idea is birds of a feather flock together. Researchers now also look at single source data (information that includes different aspects of consumption and demographic data for common consumer segments). Think how outdoor transit ads might vary depending on the area in the city you live in. Geography tells us a lot about the income and lifestyle of those in an area. Lifestyle Trends Today technology definies us more and more. One thing we seem to have in common is time poverty. While we can see a trend towards a more laid-back lifestyle and casual work environments, we never have enough time. The five consumer trends identified by the BDC (Business Development Bank) 2013 The buy-local movement: Consumers are shopping close to home, looking for locally made goods and aware that buying Canadian-made may be a better ethical and environmental choice. Rising health awareness: The aging population is becoming more aware of healthy choices in food, cosmetics and ergonomically designed products. Half of Canadians consider the health impact of a product when making purchasing decisions and one-third are willing to pay a premium for healthy products. Frugality: Canadian incomes are stagnant and debt is high, meaning consumers are cautious about spending. As the baby boomers retire, an increasing portion of the population will be living on fixed incomes. The desire for customized goods: Consumers are looking to get exactly what they want and new technology makes it possible for them to buy it. The impact of the internet: An increasing amount of research about products is done online, even when consumers don’t buy online. At the same time, online shopping is growing and online reviews are critical. Source: 5 Consumer Trends to Shape the Future of Retail Trends According to Trend Hunter Megatrends 2020-25 Url https://www.youtube.com/watch?v=GZ68i2Nt5KI Trend Hunter Report 2020-2025 References: Class Text Thanks for watching Consumer Behaviour: Buying, Having and Being, 8th Canadian Edition, Solomon, Main, White, Dahl, Pearson, ISBN Chapter 7