Chapter 15 Social Influences on Consumer Behavior Copyright

Key Concepts 1. General sources of influence differ in four key ways. 2. Influence of opinion leaders. 3. Types/characteristics of reference groups. 4. Normative versus informational influence. Copyright © Cengage Learning. All rights reserved. 15 | 2

Social Influences “. . . information pressures. . . [that have] a strong influence on consumers because the information source is very credible; . . . they have a strong influence simply because the source can communicate information widely. ” Copyright © Cengage Learning. All rights reserved. 15 | 3

Chapter Overview: Social Influences (Exhibit 15. 1) Copyright © Cengage Learning. All rights reserved.

General Sources of Influence • Marketer-dominated • Non-marketer-dominated • Delivered – Via mass media – Personally • Sources differ? – Reach – Capacity for two-way communication – Credibility Copyright © Cengage Learning. All rights reserved. 15 | 5

Sources of Influence (Exhibit 15. 2) Copyright © Cengage Learning. All rights reserved. 15

Opinion Leaders • Gatekeepers – – Knowledgeable about products Heavy users of mass media Buy new products when introduced Perceived as credible • Market maven • Marketing implications – Target – Use in marketing communications – Refer consumers to Copyright © Cengage Learning. All rights reserved. 15 | 7

Reference Groups as Sources of Influence: Types of Reference Groups • Aspirational – Associate products with • Associative – Accurately represent – Brand communities • Disassociative – Avoid using Copyright © Cengage Learning. All rights reserved. 15 | 8

Reference Groups Characteristics • Degree of Group Contact – Primary – Secondary • • • Formality Homophily: Similarity among members Group attractiveness Density Degree of identity Tie strength Copyright © Cengage Learning. All rights reserved. 15 | 9

Tie-Strength and Social Influence (Exhibit 15. 7) Copyright © Cengage Learning. All rights reserved.

Marketing Implications • • • Understand information transmission Target formal reference groups Target homophilous consumers Target the network Understand strength of weak ties – Embedded markets Copyright © Cengage Learning. All rights reserved. 15 | 11

Reference Groups as Socializing Agents • People • Media and marketplace Copyright © Cengage

Normative Influence “. . . derives from norms, society’s collective decisions about what behavior should be. ” • Implies Consumers Will Be – Sanctioned/punished if norms not followed – Rewarded for performing expected behaviors Copyright © Cengage Learning. All rights reserved. 15 | 13

Sources and Types of Influence (Exhibit 15. 9) Copyright © Cengage Learning. All rights

Normative Influence and Consumer Behavior • Brand-choice congruence and conformity • Compliance versus reactance • Characteristics affecting strength – Product – Consumer – Group-coercive power Copyright © Cengage Learning. All rights reserved. 15 | 15

Reference Group Influences on Publicly/Privately Consumed Products (Exhibit 15. 10) Copyright © Cengage Learning.

Marketing Implications • • Rewards/sanctions for product use/nonuse Create norms for group behavior Create conformity pressures Use compliance techniques – Foot-in-the door – Door-in-the-face – Even-a-penny will help • Ask consumers to predict behavior • Provide freedom of choice • Use service providers similar to customers Copyright © Cengage Learning. All rights reserved. 15 | 17

Informational Influence “. . . influence, reference groups and other influence sources can exert. . . by offering information to help make decisions. ” “. . . can affect how much time and effort consumers devote to information search and decision making. ” Copyright © Cengage Learning. All rights reserved. 15 | 18

Factors Affecting Informational Influence Strength • Product characteristics • Consumer and influencer characteristics • Group characteristics Copyright © Cengage Learning. All rights reserved. 15 | 19

Descriptive Dimensions of Information • Valence: Information positive or negative? – Negative more likely to be communicated – People pay more attention to and give weight to negative • Modality: Verbal or nonverbal? • Pervasive/Persuasive: Word-of-mouth, viral marketing Copyright © Cengage Learning. All rights reserved. 15 | 20

Restoring Public Trust (Exhibit 15. 13) Copyright © Cengage Learning. All rights reserved. 15

Negative Word of Mouth • Pervasive and persuasive – Viral marketing • What to do – Prevent and respond to negative word of mouth – Engineer favorable word of mouth – Handle rumors – Track word of mouth Copyright © Cengage Learning. All rights reserved. 15 | 22