,GroupandPersonalInfluence,CHAPTER13,GroupandPersonalInfluencesonIndividuals,GroupandPersonalInfluencesonIndividuals,Otherpeople,whetherasindividualsorgroups,exertenormousinfluenceonconsumersBelongingtogroups,tryingto“fitin,”andstrivingtopleaseothersaffectseverystageinthedecisionprocess,GroupandPersonalInfluencesonIndividuals,Referencegroup:anypersonorgroupofpeoplewhosignificantlyinfluencesanindividualsbehaviorMaybeindividuals(celebrities,athletes,orpoliticalleaders)orgroupsofindividualswithsimilarities(musicalgroupsorsportsteams),LifestylesBehaviorsPurchasesConsumption,LowDegreeofInfluence,HighDegreeofInfluence,PersonalandGroupInfluenceonIndividuals,PersonalInfluences:GroupsIndividuals,PersonalandGroupInfluenceonIndividuals,TypesofReferenceGroups,PrimaryGroups:asocialaggregationthatissufficientlyintimatetopermitandfacilitateunrestricteddirectinteraction(e.g.,family),TypesofReferenceGroups,SecondaryGroups:alsohavedirectinteraction,butitismoresporadic,lesscomprehensive,andlessinfluentialinshapingthoughtandbehavior(e.g.,professionalassociationsorcommunityorganizations),TypesofReferenceGroups,FormalGroups:characterizedbyadefinedstructure(oftenwritten)andaknownlistofmembersandrequirementsformembershipInformalGroups:havelessstructurethanformalgroupsandarelikelytobebasedonfriendshiporinterests,TypesofReferenceGroups,Membership:whenindividualsarerecognizedasmembersofagroup,theyhaveachievedformalacceptancestatusinthegroupAspirationalGroups:exhibitadesiretoadoptthenorms,values,andbehaviorsofotherswithwhomtheindividualsaspiretoassociate,TypesofReferenceGroups,DissociativeGroups:groupsfromwhichanindividualtriestoavoidassociationVirtualGroups:groupsthatarebasedonvirtualcommunitiesratherthangeographicones,PersonalInfluences:GroupsIndividuals,PersonalandGroupInfluenceonIndividuals,PersonalandGroupInfluenceonIndividuals,TypesofGroupInfluence,Normative:whenindividualsaltertheirbehaviorsorbeliefstomeettheexpectationsofaparticulargroup,TypesofGroupInfluence,Normative:whenindividualsaltertheirbehaviorsorbeliefstomeettheexpectationsofaparticulargroupValue-expressive:whenaneedforpsychologicalassociationwithagroupcausesacceptanceofitsnorms,values,attitudes,orbehaviors,TypesofGroupInfluence,Normative:whenindividualsaltertheirbehaviorsorbeliefstomeettheexpectationsofaparticulargroupValue-expressive:whenaneedforpsychologicalassociationwithagroupcausesacceptanceofitsnorms,values,attitudes,orbehaviorsInformational:whenpeoplehavedifficultyassessingproductorbrandcharacteristicsbytheirownobservationsorcontact,PersonalandGroupInfluenceonIndividuals,PersonalandGroupInfluenceonIndividuals,Transmission,LifestylesBehaviorsPurchasesConsumption,LowDegreeofInfluence,HighDegreeofInfluence,PersonalandGroupInfluenceonIndividuals,TypesofInfluenceNormativeValueExpressiveInformational,PersonalInfluences:GroupsIndividuals,HowReferenceGroupsInfluenceIndividuals,HowReferenceGroupsInfluenceIndividuals,Socialization:permitsanindividualtoknowwhatbehaviorislikelytoresultinstabilitybothfortheindividualandthegroupCompanymanualmayexplainthedresscodeintheworkplaceInformalgroupsmaytellthemwhatstylesaremostcomfortableandeasiesttomaintain,HowReferenceGroupsInfluenceIndividuals,Self-concept:peopleprotectandmodifytheirself-conceptbytheirinteractionswithgroupmembersPeoplecanmaintainself-conceptbyconformingtolearnedrolesTestimonialadvertisingiseffectivewhentheselfprojectedintheadisconsistentwiththeidealizedselfofthetargetconsumer,ReferenceGroupsHelpDefineSelf-Concept,HowReferenceGroupsInfluenceIndividuals,Socialcomparison:individualsoftenevaluatethemselvesbycomparingthemselvestoothersConsumersoftenusereferencegroupsasbenchmarkstomeasuretheirownbehaviors,opinions,abilities,andpossessionsAdvertisingortelevisioncanbesourcesofsocialcomparison,HowReferenceGroupsInfluenceIndividuals,Conformity:achangeinbeliefsoractionsbasedonrealorperceivedgrouppressures,Compliance:whenanindividualconformstothewishesofthegroupwithoutacceptingallitsbeliefsorbehaviorsAcceptance:whenanindividualactuallychangeshisorherbeliefsandvaluestothoseofthegroup,HowReferenceGroupsInfluenceIndividuals,Factorsaffectinghowlikelypeoplearetoconformtogroupnorms:,HowReferenceGroupsInfluenceIndividuals,Whenarepeoplemorelikelytoconformtonorms?,HowReferenceGroupsInfluenceIndividuals,Factorsaffectinghowlikelypeoplearetoconformtogroupnorms:,DesireforsocialacceptanceDegreeofexperienceinsituationorwithdecisionConspicuousnessComplexproductorluxuryitem,PRIVATELUXURIESInfluence:Strongproductinnovationsareideas,behaviors,orthingsthatarequalitativelydifferentfromexistingforms,InnovationsandNewProducts,Marketersoftenusetheword“new”tocallattentiontoproductsrecentlyintroducedtothemarketplaceTheuseoftheword“new”inadvertisingislimitedtoproductsavailableforlessthansixmonthsNewproductscanchangethewayconsumersliveandhowsocietyisorganized,TypesofInnovations,TypesofInnovations,Classifiedbasedontheimpactoftheinnovationonbehaviorinthesocialstructure,TypesofInnovations,Classifiedbasedontheimpactoftheinnovationonbehaviorinthesocialstructure,ContinuousinnovationDynamicallycontinuousinnovationDiscontinuousinnovation,ContinuousInnovation,ThemodificationofanexistingproductratherthantheestablishmentofatotallynewproductModificationmaybeinthetaste,appearance,performance,orreliabilityoftheexistingproduct,ContinuousInnovation,DynamicallyContinuousInnovation,MayinvolveeitherthecreationofanewproductorasignificantalterationofanexistingoneDoesnotgenerallyalterestablishedpurchaseorusagepatterns,DynamicallyContinuousInnovation,DiscontinuousInnovation,InvolvestheintroductionofanentirelynewproductthatsignificantlyaltersconsumersbehaviorpatternsandlifestylesExamplesincludeautomobiles,televisions,videocassetterecorders,andcomputers,TypesofInnovations,Whileinnovationsareusuallyconsideredintermsofnewproducts,theymightalsobeusagebasedfindingnewusesforoldproducts,WhySomeInnovationsSucceedandOthersDont,Successfulproductsarethosethatbecomeculturallyanchoredsoinextricablyapartofaconsumerslifeandsocioculturalsurroundingsthattheperson-productinterfaceisanimportantpartoftheindividualsself-conceptImaginebeingwithoutpersonalcomputersormicrowaveovens,RelativeAdvantageCompatibilityComplexityTrialabilityObservability,WhySomeInnovationsSucceedandOthersDont,RelativeAdvantage,Thedegreetowhichconsumersmayperceivetheinnovationtooffersubstantiallygreaterbenefitsthantheproducttheycurrentlyuse,RelativeAdvantage,Thedegreetowhichconsumersmayperceivetheinnovationtooffersubstantiallygreaterbenefitsthantheproducttheycurrentlyuse,Towhatdegreewillthenewproductbeasubstituteforexistingonesorcomplementthosealreadyinconsumersinventories?Newproductsmostlikelytosucceedappealstronglytofeltconsumerneeds,Compatibility,Thedegreetowhichanewproductisconsistentwithanindividualsexistingpractices,values,needs,andpastexperiencesofthepotentialadopters,Compatibility,Thedegreetowhichanewproductisconsistentwithanindividualsexistingpractices,values,needs,andpastexperiencesofthepotentialadopters,Howdoestheinnovationblendwithproductsconsumersmightown?Willitreplaceotherproductsorwillitbecomeapartofanexistingsystem?Howdoestheinnovationfitcurrentpurchaseorconsumptionbehaviors?,Complexity,ThedegreetowhichaninnovationisperceivedasdifficulttounderstandanduseThemorecomplex,themoredifficultitwillbetogainacceptanceComplexityisadeterrentoftryingnewtechnology,Complexity,Howdifficultistheinnovationtounderstand?Howeasyisittoexplaintoconsumersinwrittenformandoralcommunication?Howfrustratingwillitbetoconsumerswhenevaluatingproductsorlearninghowtousenewinnovation?Howmuchtimewillconsumershavetodevotetolearninghowtouseandcarefortheproduct?,Trialability,Newproductsaremoreapttosucceedwhenconsumerscanexperimentwithortrytheideaonalimitedbasis,withlimitedfinancialrisk,Howcanacompanyencourageconsumerstotryanewproduct?Wherewillconsumersbeabletotrytheinnovationandhowwilltheyreceiveanswerstotheirquestions?,Observability,ThedegreetowhichresultsfromusinganewproductarevisibletofriendsandneighborsIfconsumerscanseeothersbenefitingfromtheuseofanewproduct,thatinnovationismorelikelytobesuccessfulanddiffusefaster,TheDiffusionProcess,TheDiffusionProcess,Diffusion:theprocessbywhichaninnovation(newidea)iscommunicatedthroughcertainchannelsovertimeamongthemembersofasocialsystem,TheDiffusionProcess,Diffusion:theprocessbywhichaninnovation(newidea)iscommunicatedthroughcertainchannelsovertimeamongthemembersofasocialsystemIncludes:,DiffusionofinformationandcommunicationConsumerdecisionprocessDiffusionordemiseofinnovation,TheDiffusionProcess,Influencer,Consumer,Organi-zation,Reject,Accept,DemiseofInnovation,DiffusionofInnovation,Consumerdecisionprocess,DiffusionofInformationandCommunication,(Xnumberofpeople),FactorsAffectingDiffusion,Communication(howconsumerslearnaboutnewproducts)Time(howlongittakesforapersontomovefromproductawarenesstoproductpurchaseorrejection)Socialsystem(groupsorsegmentstowhichindividualsbelongaffectadoptionorrejection),SpeedofDiffusion,Diffusionwillbefasterif:,SpeedofDiffusion,Diffusionwillbefasterif:,SupplierisintenselycompetitiveSuppliersreputationisgoodStandardizedtechnologyisusedVerticalcoordinationamongchannelmembersexistsResourcecommitmentsaresignificant,ConsumerDecisionProcessforInnovations,Knowledge:beginswhentheconsumerreceivesphysicalorsocialstimulithatgivesexposureandattentiontothenewproductandhowitworksHowapersonreceivesandinterpretstheknowledgeisaffectedbytheirpersonalcharacteristics,RogersModelofInnovationDecisionProcess,RogersModelofInnovationDecisionProcess,Knowledge,CharacteristicsoftheDecisionMakingUnit,RogersModelofInnovationDecisionProcess,Persuasion:referstotheformationoffavorableorunfavorableattitudestowardstheinnovationPersuasivenessisrelatedtotheperceivedrisksandconsequencesofadoptingandusingthenewproduct,RogersModelofInnovationDecisionProcess,Knowledge,Persuasion,PerceivedCharacteristicsoftheInnovation,RogersModelofInnovationDecisionProcess,Decision:involvesachoicebetweenadoptingandrejectingtheinnovationAdoptorsarepeoplewhohavemadeadecisiontouseanewproductwhereasotherarenonadoptorsRejectionmaybeactiveorpassive,RogersModelofInnovationDecisionProcess,Decision,Knowledge,Persuasion,AdoptionRejection,ContinuedadoptionLateradoptionDiscontinuanceContinuedRejection,RogersModelofInnovationDecisionProcess,Implementation:occurswhentheconsumerputsaninnovationtouseTheprocesshasbeenamentalexerciseuntilthispointwhereitrequiresabehavioralchangeThestrengthofthemarketingplanmaybethecriticaldeterminantinasaleresulting,RogersModelofInnovationDecisionProcess,Implemen-tation,Decision,Knowledge,Persuasion,RogersModelofInnovationDecisionProcess,Confirmation:duringthisstage,consumerseekreinforcementfortheirinnovationdecisionConsumermayreversepreviousdecisionduetoconflictingmessagesresultingindissonanceDiscontinuanceisaseriousconcerntomarketerswhostriveforcontinuedacceptance,RogersModelofInnovationDecisionProcess,Implemen-tation,Decision,Knowledge,Confirmation,Persuasion,RogersModelofInnovationDecisionProcess,Implemen-tation,Decision,Knowledge,Confirmation,Persuasion,CommunicationChannels,ConsumerMostLikelytoBuyNewProducts,ConsumerMostLikelytoBuyNewProducts,MarketersneedtodeterminewhoismostlikelytobuythenewproductwhileinthedevelopmentprocessDeterminantsincludeindividualspersonalities,socialstatus,educationlevel,andaversiontooracceptanceofriskDifferentadoptorclassificationsbehavedifferentlyduringthedecisionprocess,A,B,C,D,E,A=Innovators(2.5%)B=EarlyAdopters(13.5%)C=EarlyMajority(34%)D=LateMajority(34%)E=Laggards(16%),AdopterClasses,ConsumersLikelytoBuyNewProducts,Innovators:thefirstconsumergrouptoadoptproductsEarlyadopters:opinionleadersandrolemodelsforothers,withgoodsocialskillsandrespectwithinlargersocialsystemsEarlymajority:consumerswhodeliberateextensivelybeforebuyingnewproducts,yetadoptthemjustbeforetheaveragetimeittakesthetargetpopulationasawhole,ConsumersLikelytoBuyNewProduc