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AIPMM Webinar Series
Socio-Cultural Influences on Purchase
Decision Making
(Part 3 of 3)
Paula Gray
AIPMM Director of Research & Knowledge Development
Applied Anthropologist
Our Speaker
What We Will
Cover
Cultural Influences-cultural
framework
Cross Cultural Perspectives-looking
outside our own
Social Influences-the people
Cultural Influences
Culture
Defined:
Values
Beliefs
Behaviors
That are:
Learned
Shared
What’s the
Difference
Between
Society and
Culture?
Culture is learned
Society is people (from Latin
socius = companion)
Components
of Culture
Norms
Mores (pronounced more-aye)
Taboos
Customs
Values
Beliefs
Rituals
Material artifacts
Languages
and
“languages”
of Culture
Native Tongue (words)
Colors
Time
Gestures
Symbols
Friendship
Government
and Laws
Impact
Culture
Individual access to goods and
services
Trade barriers
Impacts cost of doing business
Potential marketing and
advertising restrictions
Goods &
Services Hold
Cultural
Meanings
Wedding dress, prom dress, sun dress
Smart car, Lamborghini
Vegan organic couscous salad, beef
ribs slow smoked over Texas mesquite
Super Cuts, Vidal Sassoon
Graduation cap and gown, poncho and
baseball cap
Lederhosen, Kimono, Burka, Kilt, Sari
Why is this
important to
marketers?
Produce more effective and
acceptable products and
messaging
Work within time perceptions,
proper protocol
Understand friendship and how it
impacts vendor agreements
Understand the true cost of doing
business
Cross-Cultural
Perspectives
Ethnocentrism The idea that “my” culture is
superior to others
My culture is “right” or is how it
is, reality
My culture is the correct manner
in which to live
Consumer
Ethnocentrism
Consumers prefer products that
originate from or were produced
in their own country
◦May believe they are superior
◦May want to economically support
their own country
Key Values
Comparison
Developed by Dr.
Geert Hofstede
Individualistic vs Collectivistic
Cultures
Masculine vs Feminine Cultures
High vs Low Uncertainty
Avoidance Cultures
Culture in the US
How “American Values” Translate to Consumer Behaviors
Established Values
Actively Master Performance, ease of operation, precision
Open/Change Innovation, novelty, new
Individual Aspirations, position, status, wealth,
success
Emerging Values
Leisure Activities, parks, outdoors
Environment Nature, recycling, preservation
Why is this
important to
marketers?
Position products on either
established or emerging
American values
Create messaging that resonates
with customers based on their
beliefs and values
Subcultures “Single” view of any nation is not very
aware or informed.
Nationality/Ethnicity
Age
Geographic Region
Religion
Why is this
important to
marketers?
Opportunities might be available to
market products tied to religious
holidays or rituals
Market same product differently in
different regions
Match products to age groups
most likely to buy – with messaging
that resonates
Segment groups according to their
identification with subcultural
groups
Social Influences
Social Class is
NOT About
Judgment
One is not “better” than the
other
Words “Upper” or “Lower” refer
to economic impact NOT the
value or worth of the individuals
or the group
US Lower-Middle and Upper-
Lower account for 60%-70% of
the population
Social Class –
Membership
Factors
Occupation
Income source
Possessions
Associations
Level of influence
Why is
understanding
Social Class
important?
Influences marketplace behavior
Allows marketers to segment consumers
and target them
Influences the products they buy
Influences the media they use to learn
about products
Influences the type of communications
that resonate
Influences their choice of outlets
Influences the manner in which they buy
Reference
Groups-
“The Joneses”
Set levels for individual aspiration
Help define what’s acceptable
Social Power Reward
Coercive
Expert
Referent
Why is this
important for
marketers to
understand?
Identify the reference group(s)
most likely to influence your
customer
Create messaging that resonates
with their social group
Identify the type of power those
groups have over existing or
aspiring members
The family is the single most significant
influence on all consumer behavior.
Household as
a
Consumption
Unit
Composition of households is
changing
Family life stage (within the life
cycle)
Household members hold
different roles in consumer
decision process and can vary by
stage in the process
◦Negotiation more common
◦Children wield significant influence
Why is this
important for
marketers to
understand?
Know who is narrowing down the
selection of options
AND
Who will ultimately be making the
purchase decision
Know the level of influence that
children will play
Clearly target needs of ACTUAL
households, which may be smaller,
older, single, roommates, etc.
Summary Cultural Influences-cultural framework
◦ Components of culture
◦ Languages of culture
◦ Goods and services hold symbolic meaning
Cross Cultural Perspectives-looking
outside our own
◦ Ethnocentrism and Consumer Ethnocentrism
◦ Key Values comparison- Dr. Geert Hofstede
Social Influences-the people
◦ Social class
◦ Reference groups
◦ Household as consumption unit
Thank You! You can contact me at:
paula.gray@aipmm.com
Q & A Session
Ask questions. Our team is standing by to help.
The webinar slides will be posted to our
website and our
http://www.Slideshare.net/aipmm
The webinar recording will be posted at
http://www.AIPMM.net
for members
Upcoming Webinars
AUGUST 25, 2017
6 Lean Steps to Get to Market in Record Time
WWW.AIPMM.COM/AIPMM_WEBINARS
AIPMM Webinar Series:
http://aipmm.com/aipmm_webinars
Topic Suggestions: support@aipmm.com
Announcements: http://www.aipmm.com
LinkedIn: http://www.linkedin.com/company/aipmm
Membership: http://www.aipmm.com/memberships
Certification: http://aipmm.com/html/certification/

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Socio-Cultural Influences on Purchase Decision Making

  • 1. AIPMM Webinar Series Socio-Cultural Influences on Purchase Decision Making (Part 3 of 3)
  • 2. Paula Gray AIPMM Director of Research & Knowledge Development Applied Anthropologist Our Speaker
  • 3. What We Will Cover Cultural Influences-cultural framework Cross Cultural Perspectives-looking outside our own Social Influences-the people
  • 6. What’s the Difference Between Society and Culture? Culture is learned Society is people (from Latin socius = companion)
  • 7. Components of Culture Norms Mores (pronounced more-aye) Taboos Customs Values Beliefs Rituals Material artifacts
  • 8. Languages and “languages” of Culture Native Tongue (words) Colors Time Gestures Symbols Friendship
  • 9. Government and Laws Impact Culture Individual access to goods and services Trade barriers Impacts cost of doing business Potential marketing and advertising restrictions
  • 10. Goods & Services Hold Cultural Meanings Wedding dress, prom dress, sun dress Smart car, Lamborghini Vegan organic couscous salad, beef ribs slow smoked over Texas mesquite Super Cuts, Vidal Sassoon Graduation cap and gown, poncho and baseball cap Lederhosen, Kimono, Burka, Kilt, Sari
  • 11. Why is this important to marketers? Produce more effective and acceptable products and messaging Work within time perceptions, proper protocol Understand friendship and how it impacts vendor agreements Understand the true cost of doing business
  • 13. Ethnocentrism The idea that “my” culture is superior to others My culture is “right” or is how it is, reality My culture is the correct manner in which to live
  • 14. Consumer Ethnocentrism Consumers prefer products that originate from or were produced in their own country ◦May believe they are superior ◦May want to economically support their own country
  • 15. Key Values Comparison Developed by Dr. Geert Hofstede Individualistic vs Collectivistic Cultures Masculine vs Feminine Cultures High vs Low Uncertainty Avoidance Cultures
  • 16. Culture in the US How “American Values” Translate to Consumer Behaviors Established Values Actively Master Performance, ease of operation, precision Open/Change Innovation, novelty, new Individual Aspirations, position, status, wealth, success Emerging Values Leisure Activities, parks, outdoors Environment Nature, recycling, preservation
  • 17. Why is this important to marketers? Position products on either established or emerging American values Create messaging that resonates with customers based on their beliefs and values
  • 18. Subcultures “Single” view of any nation is not very aware or informed. Nationality/Ethnicity Age Geographic Region Religion
  • 19. Why is this important to marketers? Opportunities might be available to market products tied to religious holidays or rituals Market same product differently in different regions Match products to age groups most likely to buy – with messaging that resonates Segment groups according to their identification with subcultural groups
  • 21. Social Class is NOT About Judgment One is not “better” than the other Words “Upper” or “Lower” refer to economic impact NOT the value or worth of the individuals or the group US Lower-Middle and Upper- Lower account for 60%-70% of the population
  • 22. Social Class – Membership Factors Occupation Income source Possessions Associations Level of influence
  • 23. Why is understanding Social Class important? Influences marketplace behavior Allows marketers to segment consumers and target them Influences the products they buy Influences the media they use to learn about products Influences the type of communications that resonate Influences their choice of outlets Influences the manner in which they buy
  • 24. Reference Groups- “The Joneses” Set levels for individual aspiration Help define what’s acceptable
  • 26. Why is this important for marketers to understand? Identify the reference group(s) most likely to influence your customer Create messaging that resonates with their social group Identify the type of power those groups have over existing or aspiring members
  • 27. The family is the single most significant influence on all consumer behavior.
  • 28. Household as a Consumption Unit Composition of households is changing Family life stage (within the life cycle) Household members hold different roles in consumer decision process and can vary by stage in the process ◦Negotiation more common ◦Children wield significant influence
  • 29. Why is this important for marketers to understand? Know who is narrowing down the selection of options AND Who will ultimately be making the purchase decision Know the level of influence that children will play Clearly target needs of ACTUAL households, which may be smaller, older, single, roommates, etc.
  • 30. Summary Cultural Influences-cultural framework ◦ Components of culture ◦ Languages of culture ◦ Goods and services hold symbolic meaning Cross Cultural Perspectives-looking outside our own ◦ Ethnocentrism and Consumer Ethnocentrism ◦ Key Values comparison- Dr. Geert Hofstede Social Influences-the people ◦ Social class ◦ Reference groups ◦ Household as consumption unit
  • 31. Thank You! You can contact me at: paula.gray@aipmm.com
  • 32. Q & A Session Ask questions. Our team is standing by to help. The webinar slides will be posted to our website and our http://www.Slideshare.net/aipmm The webinar recording will be posted at http://www.AIPMM.net for members
  • 33. Upcoming Webinars AUGUST 25, 2017 6 Lean Steps to Get to Market in Record Time WWW.AIPMM.COM/AIPMM_WEBINARS AIPMM Webinar Series: http://aipmm.com/aipmm_webinars Topic Suggestions: support@aipmm.com Announcements: http://www.aipmm.com LinkedIn: http://www.linkedin.com/company/aipmm Membership: http://www.aipmm.com/memberships Certification: http://aipmm.com/html/certification/