Changing Trends of Global Consumers (Mktg10)

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LIFESTYLE

NATURE
3 COMPONENTS
ACTIVITIES
INTEREST
OPINION

RESEACRH:HELP MARKETERS
UNDERSTAND HOW PRODUCTS
FITS INTO CONSUMERS
CONSUMERS WHO ENGAGE IN
DIFFERENT ACTIVITIES AND HAVE
DIFFERENT OPINIONS AND
INTEREST MAY REPRESENT
DISTINCT LIFESTYLE SEGMENTS
FOR MARKETERS
Changing Trends of Global
Consumers
Cultural Flows
The spread of ideas, media, products,
brands, and lifestyles to new places---
increasing as the number of cultural poles
rises and the world becomes more
interconnected
Time Pressure
Effects are felt most in most intensely in
developed countries, change is occurring
most rapidly in emerging markets.

Cultural Multipolarity
the ability to produce and disseminate
culture in its modern forms is rising in
more places around the world.
Asia Rising
the countries of Asia are strengthening their
economic and cultural clout and boosting their
prominence in the world.

Media spread
 more people have access to mass media than ever
before.
 media devices including radios, TVs, computers
and mobile phones are becoming more affordable,
and new broadcast media like satellite and the
internet are increasing choice and accessibility.
Social freedom
the range of personal, political, and
economic options open to individuals is
growing around the world.

Transparency
the increasing ability to gather, store, and
share information is making it easier to
know about people, products, companies,
and governments, propelling the world.
Monetization
Consumers are increasingly substituting
purchased products, devices, and services for
labor and time.

Rising Mobility
people are upgrading their mobility, enabling
them to move further and faster than before.
emerging markets will be transformational,
impacting lifestyles and opening up new areas
of demand for mobility-related goods and
services.
Migration
will affect language, social values, food,
entertainment, and many other aspects of daily life.

Networked World
networked information devices are spreading,
enabling new connections between people,
organizations, and objects and allowing more
information to travel faster.
having profound impacts, which are likely to
accelerate.
Consumerism
consumerism is becoming an option for
more people than ever before.
as this happens, lifestyles that rely on
consumer goods and center on the
acquisition of these goods continue to
spread around the world.
Changing Families

the basic size and structure of families are


changing all over the world. Fertility rates
are falling, resulting in fewer births and
smaller families.
Smaller families are driving the aging of the
world population, and changing the structure
of many societies in emerging and
developing markets.
Women’s power
women around the globe continue to gain
social, political, and economic power.
they are exercising greater control over their
lives and pursuing new options, propelled by
better education and changing values and
social attitudes.
Electrification
Electricity is growing around the world,
and a number of developing nations are
pushing forward aggressively with
electrification programs.
Electricity changes lives how people cook
and do daily chores, how they work, their
access to entertainment and information,
and the general pace of life.
Aging
the global population is not only aging,
but will age faster in coming decades than
in the past.
by 2050, the median age is projected to
rise by 10-37 years, and there will be
nearly 2 billion people aged 60 and over.
Ethical Consumption
 Integrates personal values into purchasing choices.
Rather than focusing solely on standard consumer
variables such as price, quality, and convenience,
buyers consider ethical, religious, political, and other
beliefs in their decisions.

Population Growth
 one of the worlds most significant trends. every decade
adds hundreds of millions of people to the global
population, with the vast majority to medium and lower
income countries.
Middle-Class Growth
 over the last century the emergence of large middle-
income groups within more developed societies has gone
hand in hand with the creation of modern consumerism.

Urbanization
 the number of people living in urban areas has risen
sharply in recent decades, from roughly 1 billion in 1960
to 3 billion.
 People’s lives change when they move from rural areas to
cities. They can do different work, increase their income,
and encounter new social rules, ideas, and lifestyles.
Personality
consistof the distinctive patterns of behaviors
tendencies, qualities, or personal dispositions
that make one individual different from
another and lead to a consistent response to
environmental stimuli.
these patterns are internal characteristics that
we are born with or that result from the way
we have been raised.
the concept of personality helps us
understand why people behave differently
in different situations.
an internal characteristics that determines
how individuals behave in various
situations.
the study of personality and its relationship
to human behavior can be traced back to
the earliest writings of the European
Greeks, Chinese, and Egyptians.
Research Approaches to Personality
The social science provides various approaches
to studying personality. This section reviews five
that consumers researches apply:

1. Psychoanalytic approaches
2. Trait theories
3. Phenomenological approaches
4. Social-psychological approaches
5. Behavioral approaches
Psychoanalytic approaches

Personality
 arises from a set of dynamic, unconscious
internal struggles with the mind.
(according psychoanalytic theories)

SIGMUND FREUD – proposed that we passed


through several development stages in forming
our personalities.
Oral stage- the infant is entirely
independent on others for need satisfaction
and receives oral gratification from sucking,
eating, and biting.
Anal stage- the child is confronted with the
problem of toilet training.
Phallic stage- the youth becomes aware of
his or her genitals and must deal with desires
for the opposite sex parent.
Trait Conception of Personality Types
Consumers can be classified according to whether
they have introverted or extroverted personality traits.

These traits can lead to the identification of various


personality types (moody, peaceful, lively, and
aggressive). Interestingly, these traits can be collected
into four major groups that correspond to the basic
temperaments identified by the ancient Greek
physician HIPPOCRATES many centuries ago.
Phenomenological Approaches
Proposed that personality is largely shaped by
individual’s interpretations of life events.
A key concept of the phenomenological
approaches is LOCUS OF CONTROL or
peoples interpretations of why specific things
happen.
Locus of control- can heavily influence
consumers perceptions of satisfaction in a
consumption experience and determine how the
consumer feels.
Social-Psychological Theories
In this theory, researches distinguish
between state-oriented consumers, who
are more likely rely on subjected norms
to guide their behavior, and action
oriented consumers, whose behavior is
based more on their own attitudes.
Behavior can be characterized by three
major orientations:
1. Complaint individuals- are dependent on other
and humble, trusting, and tied to a group.
2. Aggressive individuals- need power, move away
from others, and are outgoing, assertive, self-
confident, and tough-minded.
3. Detached individuals- are dependent and self-
sufficient but suspicious and introverted.

These three orientations are measured by the CAD


scale.
Behavioral approaches
proposed the differences in personality
are a function of how individuals have
been rewarded or punished in the past.
according to behavioral approaches,
individuals are more likely trait or engage
in behaviors for which they have positive
reinforcement.
Determining whether personality characteristics
affects consumer behavior
Much of the consumer-related personality research has
followed the trait approach and focused on identifying
specific personality traits that explain differences in
consumer purchase, use, and disposition behavior.

Marketers may also find personality more useful for


targeting some products and services categories than
others. In particular, our choice of offerings that
involves subjective or hedonic features such as looks,
style and aesthetics may be somewhat related to
personality.
Types of personality traits:
OPTIMAL STIMULATION LEVEL
 peoples preferred level of stimulation which is
usually moderate.
 people refer things that are moderately arousing to
things that are either too arousing or not arousing at
all.

PERSONALITY AND AD APPEAL


 Ad message are often designed to appeal to certain
personalities. This ad is directed those who have a
more adventurous personality.
DOGMATISM
 dogmatism or closed-minded, consumers are relatively
resistant to new products, new promotions and new ads.

NEEDS FOR UNIQUENESS


 the desire for the novelty through the purchase, use, and
disposition of products and services.
 Consumers with high need uniqueness who were asked to
explain their decision made unconventional choices were
outside the norm.
 those consumers with a high need for uniqueness may
avoid well-known global brands in favor of small, local
brands.
CREATIVITY
a departure from conventional consumption
practice in a novel and a function way.

NEED FOR COGNITION


a trait that describes how much people like to
think.
those with a low need for cognition do not like
to think or prefer to take shortcuts or to rely on
their feelings.
FRUGALITY
 is the degree to which consumers take disciplined
approach to short term acquisitions and are resourceful in
using products and services to achieve longer-term goals.

NATIONAL CHARACTER
 the personality of a country
 Personality traits can sometimes be used to stereotype
people of a particular country as having a national
character.
 these characterizations represent only very broad
generalizations about a particular country, obviously
individuals vary a great deal.
COMPETITIVENESS
these traits have been associated with the
desire to outdo others through conspicuous
consumption of materials items such as
electronic gadgets.
it also plays a role in consumers wanting to do
better than others in a direct way (through a
sport or gambling for instance).

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