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Consumer Behaviour - MKT 531, MBM (Third Semester)

UNIT - 2 Sociology of Consumption


Definition of Social Group

 According to Baron and Byrne (1988): "Groups consist of two or more persons engaged in social
interaction who have some stable structure relationship with one another, are interdependent, share
common goals and perceive that they are infect part of a group.

 According to Stephen P. Robbins (2009): "A group is defined as two or more individuals, interacting
and interdependent, who have come together to achieve particular objections.

Thus when two or more individuals gather together to serve a common purpose or common motive, it is called a
group. Groups are formed informally or formally for fulfillment of power, prestige, recognition, satisfaction of
social needs like friendship, approval, affiliation, security etc. In addition, a group consists of two or more
individuals who share a set of norms, values or beliefs and have certain implicitly or explicitly defined
relationship with one another, such that their behaviour is interdependent. Groups give an opportunity to
individuals to learn and socialize. Marketers use the knowledge of group influences when designing market
strategy.

Primary Group and Secondary Group

Based on the regularity of contact and the importance given to subsequent interaction, groups may be classified
as primary and secondary. When people interact with each other on a regular basis, and regard each others’
opinions as valuable and significant, they are said to constitute a primary group; an individual who interacts
with others regularly, is said to be a member of that primary group. For example, family, neighbours, work
peers, co-workers and colleagues. Secondary groups, on the other hand, are those, where the level of interaction
is infrequent, irregular and occasional, and not much of value is given to other’s judgments and beliefs. When a
person interacts with others on an occasional basis, he is said to be a constituent of a secondary group.
 What are primary groups?
Primary groups are small and characterized by close, personal, and intimate relationships that last a long time,
maybe a lifetime. These relationships are deeply personal and loaded with emotion. The members typically
include family, childhood friends, romantic partners, and members of religious groups who have regular face-to-
face or verbal interaction and a shared culture and frequently engage in activities together.
The ties that bind the relationships in primary groups are made up of love, caring, concern, loyalty, and support.
These relationships play important roles in the formation of individuals' sense of self and identity because these
people are influential in the development of values, norms, morals, beliefs, worldview, and everyday behaviors
and practices of all members of the group. The relationships play important roles in the process of
socialization that people experience as they age.
 What are secondary groups?
Secondary groups comprise relatively impersonal and temporary relationships that are goal- or task-oriented and
are often found in employment or educational settings. While the relationships within primary groups are
intimate, personal, and enduring, the relationships within secondary groups are organized around narrow ranges
of practical interests or goals without which these groups would not exist. Secondary groups are functional
groups created to carry out a task or achieve a goal.
Typically a person becomes a member of a secondary group voluntarily, out of shared interest with the others
involved. Common examples include coworkers in an employment setting or students, teachers, and
administrators in an educational setting. Such groups can be large or small, ranging from all the employees or
students within an organization to the select few who work together on a project. Small secondary groups such
as these often disband after completion of the task or project.
 Primary vs. Secondary groups
An important distinction between secondary and primary groups is that the former often have an organized
structure, formal rules, and an authority figure who oversees the rules, members, and the project or task in which
the group is involved. Primary groups, on the other hand, are typically informally organized, and the rules are
more likely to be implicit and transmitted through socialization.
While it is useful to understand the distinctions between primary and secondary groups and the different kinds
of relationships that characterize them, it's also important to recognize that there can be overlap between the
two. For example, an individual could meet a person in a secondary group who over time becomes a close,
personal friend or a romantic partner who becomes a spouse. These people become part of the individual's
primary group.
Such an overlap can result in confusion or embarrassment for those involved, for instance, when a child enters a
school where a parent is a teacher or administrator or when an intimate romantic relationship develops between
coworkers.

Reference Group

Reference Group: A reference group may be a person or a group to which an individual looks up as a frame
of reference for his general and specific acts of behavior, values, opinions, attitudes etc. In addition, a reference
group includes individuals or groups that influence our opinions, beliefs, attitudes and behaviors. They often
serve as our role models and inspiration. Marketers view reference groups as important because they influence
how consumers interpret information and make purchasing decisions. Reference groups influence what types of
products you will purchase and which brand of product you choose.
Reference groups can be divided into various forms:
 Primary and secondary reference groups: Such group(s) with which a person has a direct (face-to-
face) contact and where a direct influence occurs, is known as a primary reference group(s). For
example, family, friends, neighbours, superiors, peers, colleagues etc. At the time of its origin, reference
groups were narrowly defined so as to include only such groups. Gradually the concept broadened to
include both direct and indirect influences. So such group(s) with which a person has an indirect contact
and where an indirect influence occurs, is known as a secondary reference group. For example, movie
stars and celebrities, sportsmen, successful business men, political leaders, religious leaders etc.
 Normative and comparative reference group: A Normative reference group influences your norms,
attitudes, and values through direct interaction. Examples of your normative reference groups include
your parents, siblings, teachers, peers, associates and friends. A comparative reference group is a group
of individuals whom you compare yourself against and may strive to be like. Examples include
celebrities and heroes.
 Membership and Non-membership reference groups: This is a simple and self-explanatory
classification. A membership group is one to which one belongs. Non-membership group are groups of
which you are not a member but may aspire to belong to.
 Formal and Informal reference group: A formal group has a structure and some objectives and the
roles of the members are defined. Certain rules and regulations are followed. An informal group has no
structure. People come and go at random, e.g., a group meeting in the market place having tea and
snacks together, meeting without much purpose.

The reference person or the reference group exercises tremendous influence on an individual. This is true for
consumer behavior as well. A consumer always has with him in his conscious and sub-conscious state, a person
or a group that he looks up to as a reference point. Consumer actually looks up to reference groups because:
a) He desires information before he actually decides to go in for the purchase of a product and service offering.
As reference groups are regarded as impartial and have no hidden agenda like salespersons, consumers trust the
former more than the latter.
b) He wants social approval for the product/services purchased or the brands bought, and he feels that once he
has this approval from the reference group, he would not face any kind of social embarrassment.
c) He feels that he would be much at ease if he does something that others approve of.
Impact of social group on consumer behavior

Each consumer in society is a member of different groups depending on their culture, various subcultures or
even social class can influence their consumer purchase. A group can be formed when two or more individuals
share a set of norms and beliefs. A group becomes a reference group when an individual recognizes with the
group and takes on many of the values, attitudes or personal standards of group members and use it as the base
of his/her day to day behavior. Reference group is defined as having significant relevance upon an ‘individual’s
evaluations, aspirations or behavior influencing the consumer. The nature of reference group influence can take
three forms, this is because some groups and individuals are able to influence greater than others and affect a
range of consumption.

1. Informational influence: This is when the reference group is used as a knowledgeable source in the
different parts of the buyer’s decision process. This type of influence emerges when an individual or the member
uses the behaviors and beliefs of the reference group as dependable sources. This influence is based either on the
similarity of the buyer’s desires with the ones of the group members. For example in the biker subculture the
members all share similar desires for purchasing Harley Davidson products therefore influencing the individual
decision process in selecting certain products. The members in baby boomer subculture are also likely to
purchase similar latest fashion products.
2. Normative influence (known as utilitarian influence): The reference group creates a level of values
and norms of an individual, in the process of purchasing brands or products. For example both the Harley
Davidson biker subculture and baby boomer subculture will have an influence on the member’s decisions on
which types of products to consumer to fit in with the values and attitudes of the subculture. Harley Davidson
subculture values can affect the characteristics of the member’s lives such as their ‘social, political and spiritual’
aspects.
3. Identification influence (known as value-expressive influence): The reference group is used to
confirm the consumer’s attitudes, norms and actual behavior. The individual behaves reliable with the group’s
norms and beliefs because the individual’s and the group’s norms, attitudes and beliefs are the same. For
example this can be seen in Harley Davidson subculture in which the members view the subculture as a
‘religious icon’ sharing the same values and norms as other members.

Impact of family on consumption

The family members play a crucial role in designing one’s preferences and behavior. It offers an environment
where in the individual evolves, develop personality and acquire values. A child develops his buying behavior
and preferences by watching his parents and tends to buy the same products or services even when he grows old.
The family can influence the buying behavior of an individual in either of the two ways:

 Influences the personality, attitude, beliefs, and characteristics of the individual.


 Influences the decision making of an individual with respect to the purchase of certain goods and
services.
It is believed that an individual passes through two families: Family of Orientation and Family of
Procreation. In the former type, it is the family wherein an individual has taken the birth, and the parents
have a strong influence on his behavior. While in the family of procreation, it is the family created by an
individual with his spouse and children and as such the preferences tend to change with the influence of the
spouse.

Social Class

Social class usually is defined by the amount of status that members of a specific class possess in relation to
members of other classes. Social-class membership often serves as a frame of reference for the development of
consumer attitudes and behaviour.
People may be placed on different positions on a continuum or a range; the continuum, in fact is divided into
specific social classes, or strata. Thus, people in a society may be placed in different strata based on their status;
each of these strata may be referred to as social class.

Schiffman defines social class as “the division of /members of a society into a hierarchy of distinct status
classes, so that members of each class have relatively the same status and members of all other classes have
either more or less status”.

The difference in the consumption behaviour of social classes is due to the following factors:
 Economic
 Psychological
 Life-style

Class structure and its impact on marketing

i) Hierarchical structure: Social class is hierarchical in nature. The social-class categories are ranked in a
hierarchy that ranges from low to high. Based on education, occupation and income, the society is divided into
various ranks, such that people in a particular rank are similar to others in the same rank and different across
various ranks. So members of a particular social class view themselves as a) having a status similar to others in
their own class; and b) having a status high or low than members of the higher or lower class. Based on the
social class, they view themselves equal to other (in the same social class), inferior to others (from higher social
class), and superior to others (from lower social class). The hierarchical structure holds relevance for a marketer.
- First, marketers can use this as a basis to segment the market; the various strata provide a basis for market
segmentation.
- Second, when people are “other-directed” or susceptible to social influence, they would buy such products and
services and/or brands that people from their respective social classes purchase. This is because they look for
social approval. So they would purchase certain products and service offerings and/or brands because they are
used and favored by members of their own class.
- Third, people are class conscious and relate brands to their social class; thus, they would buy brands which
they feel relate to their “class”, and would avoid brands that they relate to “lower class" products. There are
social-class influences on the actual consumption of products.
-Fourth, the higher social class or the upper social class also acts as reference groups, for people in the lower
class. The latter aspire to emulate the former and desire buying products and brands which the former buy.

ii) Similarity of people within a social class: People within a social class are similar to each other. This
similarity is not only witnessed in terms of their education, occupation and income, but also their thinking,
values, norms, attitudes, lifestyle and behavioral patterns. There is similarity among members within each social
class and dissimilarity with between social classes.

Marketers are particularly interested in social classes as the knowledge helps them formulating appropriate
market segmentation, positioning, pricing, distribution, and communicating strategies. The six commonly
identified social classes are:
 Upper-upper
 Lower-upper
 Upper-middle
 Lower-middle
 Upper-lower
 Lower-lower

Class mobility and consumption


People in community can move from one strata to another. They can move either up or down the social class;
this mobility gets exhibited in two forms. One, individuals can move either up or down in social-class standing
across generations, i.e. while their parents may have belonged to one strata, they begin to belong to another,
either upper or lower. Two, such a trasition may also be seen through one’s life, i.e. as a person becomes
independent and starts earning, he may belong to one class and as he progresses in life, he may begin to belong
to another. Upward mobility is more common and is generally the trend these days.

As mentioned above, the higher social classes often become aspirational and reference groups for people of
lower social status. Marketers realize this and use symbols of higher-class status into their products, as also the
advertisement, both in terms of content and context. It has also been seen that that products and services that
were traditionally within the realm of one social class, are now getting into the realm of lower social classes.
The influence of upper classes on lower, has also benefited the “me-too” marketers, who come up with
counterfeiters and cloners, to satisfy the lower classes; thus we have “me-too” products for various products
and/or brands.

Measurement of class

A wide variety of tools and techniques have been used to measure social class. Broadly speaking, the various
techniques that are used are subjective measures, reputational measures, and objective measures of social class.

1. Subjective Measures: The subjective approach to measure social class requires a self-assessment on the part
of the individual who is asked to specify the class to which he belongs. In other words, the individual self-
perceives his social class in response to a question like, “Which one of the following best describes your social
class: the lower class, the middle class, or the upper class?” Thus, the person is asked to estimate and specify his
own social-class position. The person answers on the basis of his feeling of belongingness and identification
with others, as well as class consciousness. However, the problem with this approach is that it leads to a lot of
responses that fall in the mid-range (or the middle class). People are often conscious or shy or may even refrain
from giving the true response and have a safe say by opting for the middle class, when they should have been
correctly classified as belonging to either the lower or upper class.

2. Reputational Measures: The reputational measure to measure social class requires independent informants
from the society, to identify and make comments related to the social class membership of people in the
community. Sociological researchers as also market researchers select informants within the community, and
ask them to assess and make judgment about the class membership of other people in the community. Much
remains to the discretion of the researcher who is left with the final task of assigning people in the community to
the various class categories based on his knowledge, expertise and experience. The methods lack reliability and
has proved to be impractical, primarily in studies related to marketing and consumer behavior. Unlike,
sociology, the consumption pattern and resultant behavior may not always be assessed correctly by observers.

3. Objective Measures: Objective measures make use of demographic and particularly socioeconomic variables
for assessing the social class of individuals. The researchers use questionnaires that are administered to people
in the community. Such questionnaires directly or indirectly help in determining their social class. Questions
relate to their address (so as to determine place of residence), and particularly to the more important variables
like occupation, income and education. Such demographic and socioeconomic indicators help determine the
social-class membership. The objective measures of social class may be divided into two categories, viz., single
variable indexes and composite-variable indexes.
a) Single-Variable Indexes: As the term denotes, single variable indexes, are those that use one socioeconomic
variable to assess social-class membership of a person. For consumer behavior, the commonly used indexes are
i) education; ii) occupation; and iii) income. Certain types of products and their usage is related to occupation
and marketers define the target market on the basis of occupation, for example, for publishers, professors and
teachers via missionary selling act as viable targets. Education and occupation also determine the income level
of a person. In fact, all these three indexes are used to determine the social class standing of a person. Another
variable that indirectly determines the social class membership is the address of residence and the
neighbourhood that one is a part of.
b) Composite-Variable Indexes: The composite-variable indexes use a combination of demographic and
socioeconomic factors to assess and measure the social class of an individual. As indexes, they are more reliable
for consumer researchers as they better reflect and assess the dynamics and complexity of social class than
single-variable indexes. For example, education, occupation and income are taken together to have reliable and
valid findings with respect to the social class that one belongs to. The three variables have an impact on the
lifestyle of individuals, and thus when put together, are useful in assessment of social class.

Culture
Concept of culture
The culture a person is born into goes a long way toward determining that individual's behavior patterns,
beliefs and values. Culture is defined as a shared set of practices or beliefs among a group of people in a
particular place and time.

Culture may be defined as the “personality of a society”. It is broad and all pervasive in nature, inclusive of
language, customs and traditions, norms and laws, religion, art and music, etc. It also includes the interests of
people, the work practices and orientations, as also their attitudes towards general and specific issues. Culture is
a society's personality, unique in itself and differentiated from others; it is further divided into various sub-
cultures.

The culture of a society also has a bearing on buying patterns and consumption behavior. In terms of consumer
behavior, Schiffman defines culture as “the sum total of learned beliefs, values, and customs that serve to direct
the consumer behavior of members of a particular society”. The kinds of products and services and/or brands
that consumers’ buy and use, are all based on their cultures and sub-cultures. For example, the food they eat and
the kinds of clothes they buy and wear, are all impacted by their culture, their customs, traditions, norms and
values.

Culture and its impact on consumption behavior can be better explained by understanding the nature and
characteristics of culture:
a) Culture is natural and permeates naturally into the social system.
b) Culture helps in satisfaction of needs.
c) Culture is not inborn; it is learnt as a result of the socialization process.
d) Culture is shared.
e) Culture is dynamic in nature, and evolves constantly with time.

Elements of culture

Culture is reflected through the various components that it comprises viz., values, language, myths, customs,
rituals and laws. These are briefly explained as follows:
1. Values: Values are the beliefs and ideals shared by the people of a society, for which they have great respect
and regard. They could assume both positive (do’s) and negative (dont’s) connotations, and are indicative of
appropriate thoughts, feelings and acts of behavior.
2. Language: Man is a social animal and needs to communicate with others. Language is used as a means to
communicate with people in a social set up. It is the common language that binds together the people in a social
structure.
3. Myths: Myths are legendary folktales and stories that describe events and occurrences, and teach values to
society. They are imaginary and fictitious, and comprise characters that are gods, heroes and common men,
ultimately aimed at giving lessons to the people, with respect to the causes and effects, good and bad, right and
wrong, etc. Myths describe the values that members of a social structure should share.
4. Customs: Customs are habitual practices that formulate the established way of doing things and reflect
culturally accepted patterns of behavior. They reflect practices that have permanent continuance and are so long
established that they have the force of law; in other words they are conventions. People in a social system
follow such practices collectively, and the habitual activity gets transmitted from one generation to another.
5. Rituals: Rituals are prescribed processes and procedures for conduct of religious or social rites. They are
established rites, ceremonies and proceedings that are symbolic in nature. Rituals are collective in nature,
comprising many patterns of behavior that are interdependent to each other.
6. Laws: Laws are principles, rules and regulations that are formulated/sanctioned by an authority (ruler,
government, constitution etc.), and supported/protected by judicial authority. Their basis can actually be found
in the society’s values, customs, and rituals. Laws are universally applicable across people in a society/country.
They are written collection of rules and regulations to be adhered to by the people, and non-adherence to which
would lead to legal action from the judiciary.

Cultural values
 Cultural values are the core principles and ideals upon which an entire community exists and protect
and rely upon for existence and harmonious relationship. The concept is made up of several parts:
customs, which involve traditions and rituals; values, which are beliefs; and culture, which is all of a
group's guiding values. 
 Norms and ways of behavior conditioning attitudes and reactions to events and various phenomena in a
context of a culture
 Various norms and trends that emerge constantly from the group effect which in returns creates a set of
belief and common understanding perceptions. 
 Set of values and generic beliefs that individuals naturally learn through education and socialization and
that are recognized and shared by the members of a society.

Values are the central feature of a culture. They shape tangible cultural differences. For example, a cultural
emphasis on success is reflected in achievement-orientated characteristics like competitive economic systems
—for example, capitalism—, child-rearing practices that encourage and reward achievement, a high prevalence
of status symbols such as luxury goods, heroes who have accumulated great wealth or fame, and the acceptance
and promotion of assertive and ambitious behaviour.

Values are core beliefs and practices from which people operate. Each culture possesses its own particular
values, traditions, and ideals. Integrity in the application of a “value” over time ensures its continuity, and this
continuity separates a value from simple beliefs, opinions, and ideals. Cultural groups may endorse shared
values. However, a given individual within that culture may vary in agreement with the group cultural values.

Dimensional approach to cultural value


The Hofstede’s Cultural Dimensions Theory, developed by Geert Hofstede, is a framework used to understand
the differences in culture across countries and to discern the ways that business is done across different cultures.
In other words, the framework is used to distinguish between different national cultures, the dimensions of
culture, and their impact on a business setting. The Hofstede’s Cultural Dimensions Theory was created in 1980
by Dutch management researcher Geert Hofstede. The aim of the study was to determine the dimensions in
which cultures vary.

Hofstede identified six categories that define culture:


 Power Distance Index
 Collectivism vs. Individualism
 Uncertainty Avoidance Index
 Femininity vs. Masculinity
 Short-Term vs. Long-Term Orientation
 Restraint vs. Indulgence
 
1. Power Distance Index: The power distance index considers the extent to which inequality and power are
tolerated. In this dimension, inequality and power are viewed from the viewpoint of the followers – the lower
level. High power distance index indicates that a culture accepts inequity and power differences,
encourages bureaucracy and shows high respect for rank and authority. Low power distance index indicates that
a culture encourages organizational structures that are flat, decentralized decision-making responsibility,
participative style of management, and places emphasis on power distribution. 

2. Individualism vs. Collectivism: The individualism vs. collectivism dimension considers the degree to which
societies are integrated into groups and their perceived obligation and dependence on groups. Individualism
indicates that there is greater importance on attaining personal goals. A person’s self-image in this category is
defined as “I.” Collectivism indicates that there is greater importance on the goals and well-being of the group.
A person’s self-image in this category is defined as “We”.
 3. Uncertainty Avoidance Index: The uncertainty avoidance index considers the extent to which uncertainty
and ambiguity are tolerated. This dimension considers how unknown situations and unexpected events are dealt
with. High uncertainty avoidance index indicates a low tolerance for uncertainty, ambiguity, and risk-taking.
The unknown is minimized through strict rules, regulations, etc. Low uncertainty avoidance index indicates a
high tolerance for uncertainty, ambiguity, and risk-taking. The unknown is more openly accepted, and there are
lax rules, regulations, etc.

4. Masculinity vs. Femininity: The masculinity vs. femininity dimension is also referred to as “tough vs.
tender,” and considers the preference of society for achievement, attitude towards sexuality equality, behavior,
etc. Masculinity comes with the following characteristics: distinct gender roles, assertive, and concentrated on
material achievements and wealth-building. Femininity comes with the following characteristics: fluid gender
roles, modest, nurturing, and concerned with the quality of life.

5. Long-Term Orientation vs. Short-Term Orientation: The long-term orientation vs. short-term orientation
dimension considers the extent to which society views its time horizon. Long-term orientation shows focus on
the future and involves delaying short-term success or gratification in order to achieve long-term success. Long-
term orientation emphasizes persistence, perseverance, and long-term growth. Short-term orientation shows
focus on the near future, involves delivering short-term success or gratification and places a stronger emphasis
on the present than the future. Short-term orientate on emphasizes quick results and respect for tradition. 

6. Indulgence vs. Restraint: The indulgence vs. restraint dimension considers the extent and tendency for a
society to fulfill its desires. In other words, this dimension revolves around how societies can control their
impulses and desires. Indulgence indicates that a society allows relatively free gratification related to enjoying
life and having fun. Restraint indicates that a society suppresses gratification of needs and regulates it through
social norms.

Cultural influence on consumption


Sometimes, it’s really obvious how culture influences buying behaviour. Cultural prohibitions against
consuming products such as alcohol or meat, or cultural preferences for styles of clothing, make it easy to
understand some buying patterns. Cultural behaviours, such as household size or the role of women in managing
households, also influence who buys certain products or in what size. But others are more subtle. Cultural
elements such as time orientation (whether a culture tends to focus on the past, present or future) seem to bear
influence on elements of online shopping such as trust and social interaction.

Of course, human personalities vary and that variety encompasses the extent to which an individual takes on
board the particular influences of their culture. Indian or Nepalese consumers tend to be more family orientated
than western ones but that doesn’t mean there aren’t Indian or Nepalese consumers who don’t make highly
individualistic purchasing decisions – or Western ones that don’t think collectively. To some extent, culture is
simply what comes most naturally to a person – what fits within their values and belief systems, and what they
see others around them doing. Culture influences what feels right, normal and desirable. Retailers that ask
consumers to swim against the social current are making it harder for the consumer to choose their services. It’s
usually better practice to make it possible and easy for consumers to choose your product within their cultural
comfort zone.

So which cultural elements are likely to influence buying behaviour? There are many different aspects of culture
that have been analysed by cultural researchers over the years. These include, in particular, youth orientation,
long-term vs short-term orientation (also known as time orientation), masculinity vs. femininity, the power
distance index, individualism/collectivism, indulgence against restraint and uncertainty avoidance. Much
research showed a strong relationship between culture and consumer behavior. Culture is an important force that
has a deep impact on several things in people’s lives from their taste to their wisdom and basic choices. It affects
the style a person loves to the music he prefers and even the literature he reads. Even in this era of globalization,
the power of culture is intact. It is why, the marketers focus upon cultural factors while marketing to diverse
populations of consumers. A Chinese customer is bound to have a different taste than a Malaysian and so will be
Japanese from an American or Indian.
Demographic Factors
1. Gender: We can classify gender into
two categories—male and female.
Women
in our society have started
purchasing most of the goods items
and other
household goods, they can take
independent decisions now. But men
still make
most purchasing decisions relating to
automobiles, TVs, refrigerators,
cameras,
and other consumer durables. Thus,
who will purchase, the product, affect
the
study of consumer behaviour.
2. Age: Infant, child, adolescent,
young adults, mature adults, senior
citizens, etc.
Our wants, needs, desires, and
aspirations all change with age.
3. Marital Status: Single, engaged,
married, separated, divorced, widow,
etc.
Married people always constitute a
stronger market for homes, life
insurance,
consumer durables and children’s
clothing than unmarried people.
The shopping behaviour of a widow is
totally different as compared to others
married women. Thus it is important
to study marital status of a consumer
before finding out his/her shopping
behaviour.
4. Ethnic Factor: Low class, middle
class, upper class etc. Minority
group
everywhere have traditionally
received less education, fewer
cultural
opportunities and earned lower
incomes than others. The condition of
such people
is no doubt changing but still the
consumption pattern of minority group
people
w.r.t. both ‘type and quality’ of goods
they purchase differ from others.
5. Income factor: Low, low middle,
middle, upper middle, upper etc. An
individual’s financial gain determines
to an awfully nice extent the kind and
quality of merchandise he buys. People
with low income are forced to spend
most of their money on food, rent,
clothing, and other essentials. As they
become
more affluent, they tend to purchase
higher quality items and buy more
non-
essentials. Of course, people earning
the same amount of money may spend
it
in different ways depending on other
personal factors.
6. Education: Illiterate, primary
education, high school education,
college
education, university education,
professional education, etc.
researches have
shown that preferences in music, art,
entertainment, food, clothing,
automobiles
etc. are influenced by the extent, kind
and quality of one’s education.
Generally
Impact of Various Demographic Factors on
Consumer Behaviour... 111
speaking, the more educated a person
is, the more discriminating a shopper
he
is.
7. Occupation: Unskilled,
semiskilled, skilled people,
agriculturist, govt.
employees, bureaucrats, professional,
businessmen etc. The product
preferences
of white-collar employees tend to
be quite different from that of blue-
collar
employees. Thus the study and
prediction of the behaviour of a
shopper is possible
if we know his occupation.
8. Family Size: Small family, big
family, and joint family etc. If the size
of the
family small it will purchase essentials
in small quantity but if the size of the
family is large it will purchase
essential products like food, clothes,
etc. in large
quantity to fulfil the necessity of every
member of the house.
Demographic Factors
1. Gender: We can classify gender into
two categories—male and female.
Women
in our society have started
purchasing most of the goods items
and other
household goods, they can take
independent decisions now. But men
still make
most purchasing decisions relating to
automobiles, TVs, refrigerators,
cameras,
and other consumer durables. Thus,
who will purchase, the product, affect
the
study of consumer behaviour.
2. Age: Infant, child, adolescent,
young adults, mature adults, senior
citizens, etc.
Our wants, needs, desires, and
aspirations all change with age.
3. Marital Status: Single, engaged,
married, separated, divorced, widow,
etc.
Married people always constitute a
stronger market for homes, life
insurance,
consumer durables and children’s
clothing than unmarried people.
The shopping behaviour of a widow is
totally different as compared to others
married women. Thus it is important
to study marital status of a consumer
before finding out his/her shopping
behaviour.
4. Ethnic Factor: Low class, middle
class, upper class etc. Minority
group
everywhere have traditionally
received less education, fewer
cultural
opportunities and earned lower
incomes than others. The condition of
such people
is no doubt changing but still the
consumption pattern of minority group
people
w.r.t. both ‘type and quality’ of goods
they purchase differ from others.
5. Income factor: Low, low middle,
middle, upper middle, upper etc. An
individual’s financial gain determines
to an awfully nice extent the kind and
quality of merchandise he buys. People
with low income are forced to spend
most of their money on food, rent,
clothing, and other essentials. As they
become
more affluent, they tend to purchase
higher quality items and buy more
non-
essentials. Of course, people earning
the same amount of money may spend
it
in different ways depending on other
personal factors.
6. Education: Illiterate, primary
education, high school education,
college
education, university education,
professional education, etc.
researches have
shown that preferences in music, art,
entertainment, food, clothing,
automobiles
etc. are influenced by the extent, kind
and quality of one’s education.
Generally
Impact of Various Demographic Factors on
Consumer Behaviour... 111
speaking, the more educated a person
is, the more discriminating a shopper
he
is.
7. Occupation: Unskilled,
semiskilled, skilled people,
agriculturist, govt.
employees, bureaucrats, professional,
businessmen etc. The product
preferences
of white-collar employees tend to
be quite different from that of blue-
collar
employees. Thus the study and
prediction of the behaviour of a
shopper is possible
if we know his occupation.
8. Family Size: Small family, big
family, and joint family etc. If the size
of the
family small it will purchase essentials
in small quantity but if the size of the
family is large it will purchase
essential products like food, clothes,
etc. in large
quantity to fulfil the necessity of every
member of the house.
Gender: We can classify gender into
two categories—male and female.
Women
in our society have started
purchasing most of the goods items
and other
household goods, they can take
independent decisions now. But men
still make
most purchasing decisions relating to
automobiles, TVs, refrigerators,
cameras,
and other consumer durables. Thus,
who will purchase, the product, affect
the
study of consumer behaviour.
2. Age: Infant, child, adolescent,
young adults, mature adults, senior
citizens, etc.
Our wants, needs, desires, and
aspirations all change with age.
3. Marital Status: Single, engaged,
married, separated, divorced, widow,
etc.
Married people always constitute a
stronger market for homes, life
insurance,
consumer durables and children’s
clothing than unmarried people.
The shopping behaviour of a widow is
totally different as compared to others
married women. Thus it is important
to study marital status of a consumer
before finding out his/her shopping
behaviour.
4. Ethnic Factor: Low class, middle
class, upper class etc. Minority
group
everywhere have traditionally
received less education, fewer
cultural
opportunities and earned lower
incomes than others. The condition of
such people
is no doubt changing but still the
consumption pattern of minority group
people
w.r.t. both ‘type and quality’ of goods
they purchase differ from others.
5. Income factor: Low, low middle,
middle, upper middle, upper etc. An
individual’s financial gain determines
to an awfully nice extent the kind and
quality of merchandise he buys. People
with low income are forced to spend
most of their money on food, rent,
clothing, and other essentials. As they
become
more affluent, they tend to purchase
higher quality items and buy more
non-
essentials. Of course, people earning
the same amount of money may spend
it
in different ways depending on other
personal factors.
6. Education: Illiterate, primary
education, high school education,
college
education, university education,
professional education, etc.
researches have
shown that preferences in music, art,
entertainment, food, clothing,
automobiles
etc. are influenced by the extent, kind
and quality of one’s education.
Generally
Gender: We can classify gender into
two categories—male and female.
Women
in our society have started
purchasing most of the goods items
and other
household goods, they can take
independent decisions now. But men
still make
most purchasing decisions relating to
automobiles, TVs, refrigerators,
cameras,
and other consumer durables. Thus,
who will purchase, the product, affect
the
study of consumer behaviour.
2. Age: Infant, child, adolescent,
young adults, mature adults, senior
citizens, etc.
Our wants, needs, desires, and
aspirations all change with age.
3. Marital Status: Single, engaged,
married, separated, divorced, widow,
etc.
Married people always constitute a
stronger market for homes, life
insurance,
consumer durables and children’s
clothing than unmarried people.
The shopping behaviour of a widow is
totally different as compared to others
married women. Thus it is important
to study marital status of a consumer
before finding out his/her shopping
behaviour.
4. Ethnic Factor: Low class, middle
class, upper class etc. Minority
group
everywhere have traditionally
received less education, fewer
cultural
opportunities and earned lower
incomes than others. The condition of
such people
is no doubt changing but still the
consumption pattern of minority group
people
w.r.t. both ‘type and quality’ of goods
they purchase differ from others.
5. Income factor: Low, low middle,
middle, upper middle, upper etc. An
individual’s financial gain determines
to an awfully nice extent the kind and
quality of merchandise he buys. People
with low income are forced to spend
most of their money on food, rent,
clothing, and other essentials. As they
become
more affluent, they tend to purchase
higher quality items and buy more
non-
essentials. Of course, people earning
the same amount of money may spend
it
in different ways depending on other
personal factors.
6. Education: Illiterate, primary
education, high school education,
college
education, university education,
professional education, etc.
researches have
shown that preferences in music, art,
entertainment, food, clothing,
automobiles
etc. are influenced by the extent, kind
and quality of one’s education.
Generally
Demographic variables and its impact on consumption

1. Gender: We can classify gender into two categories—male and female. Women in our society have started
purchasing most of the goods items and other household goods, they can take independent decisions now. But
men still make most purchasing decisions relating to automobiles, TVs, refrigerators, cameras, and other
consumer durables. Thus, who will purchase, the product, affect the study of consumer behaviour.
2. Age: Infant, child, adolescent, young adults, matures adults, senior citizens, etc. Our wants, needs, desires,
and aspirations all change with age.
3. Marital Status: Single, engaged, married, separated, divorced, widow, etc. Married people always constitute
a stronger market for homes, life insurance, consumer durables and children’s clothing than unmarried people.
The shopping behaviour of a widow is totally different as compared to others married women. Thus it is
important to study marital status of a consumer before finding out his/her shopping behaviour.
4. Ethnic Factor: Low class, middle class, upper class etc. Minority group everywhere have traditionally
received less education, fewer cultural opportunities and earned lower incomes than others. The condition of
such people is no doubt changing but still the consumption pattern of minority group people w.r.t. both ‘type
and quality’ of goods they purchase differ from others.
5. Income factor: Low, low middle, middle, upper middle, upper etc. An individual’s financial gain determines
to an awfully nice extent the kind and quality of merchandise he buys. People with low income are forced to
spend most of their money on food, rent, clothing, and other essentials. As they become more affluent, they tend
to purchase higher quality items and buy more nonessentials. Of course, people earning the same amount of
money may spend it in different ways depending on other personal factors.
6. Education: Illiterate, primary education, high school education, college education, university education,
professional education, etc. researchers have shown that preferences in music, art, entertainment, food, clothing,
automobiles etc. are influenced by the extent, kind and quality of one’s education. Generally speaking, the more
educated a person is, the more discriminating a shopper he is.
7. Occupation: Unskilled, semiskilled, skilled people, agriculturist, govt. employees, bureaucrats, professional,
businessmen etc. The product preferences of white-collar employees tend to be quite different from that of blue-
collar employees. Thus the study and prediction of the behaviour of a shopper is possible if we know his
occupation.
8. Family Size: Small family, big family, and joint family etc. If the size of the family small it will purchase
essentials in small quantity but if the size of the family is large it will purchase essential products like food,
clothes, etc. in large quantity to fulfill the necessity of every member of the house.

Should be study also


 Reference vs. occupied group
 Impact of family (urban family, rural family) neighborhoods and communities on consumptions
 Impact of reference group on consumer behavior
 Reference group behavior in modern society
 Qualitative approach in culture

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