CH-6 Personality, Lifestyles, And Values – Consumer Behaviour: Buying, Having, Being : Book Guide

Chapter 6 Personality, Lifestyles, And Values CHAPTER OBJECTIVES When students finish this chapter they should: •Understand that a consumer’s personality can influence the way he or she responds to marketing stimuli. •Understand how the various theories of personality differ. •Understand that trait theory proposes that various consumer characteristics can be measured and used to predict outcomes. •Understand that marketers can use a variety of techniques to create “brand personality.” •Understand that consumers’ lifestyles are key to many marketing strategies. •Understand that psychographics go beyond simple demographics to help marketers understand and reach different consumer segments. •Understand that every culture has a set of core values that it imparts to its members. CHAPTER SUMMARY •The concept of personality refers to a person’s unique psychological makeup and how it consistently influences the way a person responds to his or her environment. Marketing strategies based on personality differences have been met with mixed success, partly because of the way these differences in personality traits have been measured and applied to consumption contexts. Some approaches have attempted to understand underlying differences in small samples of consumers by employing techniques based on Freudian psychology and variations of this perspective, whereas others have tried to assess these dimensions more objectively using large samples and sophisticated quantitative techniques. •A consumer’s lifestyle refers to the ways he or she chooses to spend time and money and how his or her values and tastes are reflected by consumption choices. Lifestyle research is useful for tracking societal consumption preferences and also for positioning specific products and services to different segments. Marketers segment by lifestyle differences, often by grouping consumers in terms of their aios (activities, interests, and opinions). •Psychographic techniques attempt to classify consumers in terms of psychological, subjective variables in addition to observable characteristics (demographics). A variety of systems, such as VALS, have been developed to identify consumer “types” and to differentiate them in terms of their brand or product preferences, media usage, leisure-time activities, and attitudes toward such broad issues as politics and religion. •Interrelated sets of products and activities are associated with social roles to form consumption constellations. People often purchase a product or service because it is associated with a constellation that, in turn, is linked to a lifestyle they find desirable. A set of techniques called geodemography analyzes consumption patterns using geographical and demographic data and identifies clusters of consumers who exhibit similar psychographic characteristics. •Consumer motivations are often driven by underlying values. In this context, products take on meaning because they are seen as being instrumental in helping the person to achieve some goal that is linked to a value, such as individuality or freedom. Each culture is characterized by a set of core values to which many of its members adhere. •Consumers vary in the importance they attach to worldly possessions, and this orientation in turn has an impact on their priorities and behaviours. •Materialism refers to the importance people attach to worldly possessions. Although many people can be described as being materialists, there are indications of a value shift within a sizable portion of the population. LECTURE/DISCUSSION IDEAS VII. PERSONALITY – Unique psychological make up A. Consumer Behaviour on the Couch: Freudian Theory 1. Freudian systems •Id: pleasure principle – immediate gratification (party animal) •Ego: reality principle – finds acceptable ways to satisfy the id •Super ego: moral principle – ‘voice within’ (conscious) 2. Sometimes a cigar is just a cigar – Sexual symbolism Class Interaction Opportunity: What are some products that are usually sold by telling you that the use of the product will make you attractive to the opposite gender? Class Interaction Opportunity: What are some products that make their appeals primarily to the id? To the ego? To the superego? How do these appeals work? B. Motivational Research – Ernest Dichter and depth interviews (e.g., Tiger in Your Tank) o Criticism of motivational research – some say it doesn’t work, others say it works too well (subliminal perception) o The positive side of motivational research •Cost efficiency – less expensive than large-scale quantitative surveys •Providing insights – appeals to deep-seated needs •Intuitive sense – some findings are intuitively plausible Class Interaction Opportunity: Bring evidence of symbolism found in magazine advertisements that might be considered Freudian. Class Interaction Opportunity: Why is the Freudian school often associated with sex and sexuality? What ramifications do these associations have for marketing? Does sex sell? According to Freud, why or why not? 1. Neo-Freudian Theories of Personality o Karen Horney’s theory •Compliant: moving toward others •Detached: moving away from others •Aggressive: moving against others o Carl Jung’s theory •Rejected the sexual aspects of personality and developed analytical psychology based on a son’s past and future •Archetypes: universally shared ideas and behaviour patterns o Some brands have personalities which can be measured using the Brand Asset Archetypes model to show the health of a brand’s personality Class Interaction Opportunity: Bring in illustrations of Karen Horney’s and Carl Jung’s theories in contemporary advertising. Discuss why you think the ads apply. C. Trait Theories – Extrovert, introvert, innovative, materialistic, self-conscious  Materialism has been conceptualized as a personality trait, though later work has regarded the construct as a value: this perspective will be discussed later in the book.i  The trait of innovativeness is particularly relevant to many marketing applications, insofar as its measurement can aid researchers in assigning consumers to adopter categories.ii  Trait theory is helpful in understanding the dynamics involved in breast reconstruction and the use of prostheses by mastectomy patients whose female identity is threatened by the loss of one or both breasts.iii 1. Are you and Innie or an Outie? o Idiocentrics and allocentrics differ in: •Contentment: higher for the idios •Health consciousness: higher for the allos •Food preparation: favourite of the allos •Workaholisim: greater for idios •Travel and entertainment: idios like to travel; differ in hobbies and interests 2. When traits are useful •Interact with situational factors (public self-consciousness; need for uniqueness; need for cognition) II. BRAND PERSONALITY – A set of traits people attribute to a product as if it was a person •Brand equity: strong positive associations in a consumer’s memory; commands a lot of loyalty as a result •Animism: the attribution of conscious life to inanimate objects Class Interaction Opportunity: Ask students if they can think of products that seem “to come alive.” How does the marketer or advertiser create this illusion? What impact does this animism have on the consumer? What are the dangers of animism? A. Personality of Positioning – Brand personality is a statement about how the brand is positioned III. LIFESTYLES AND PSYCHOGRAPHICS – Products are tailor made for lifestyle segments A. Lifestyle: Who We Are, What We Do – Lifestyle is a pattern of consumption reflecting a person’s choices on how to spend time and money Class Interaction Opportunity: What are some of the different lifestyles that people about your age (those attending and not attending college or university) tend to follow? 1. Lifestyles as group identities – A statement of who one is and who one is not (other terms: consumer group, symbolic community, status culture, taste public) •Each lifestyle is (somewhat) unique – many ingredients are shared, but most people add their own twist (e.g., university student might collect Hello Kitty) •Lifestyles don’t stay still – attitudes towards clothes, physical activity, social activism, material goods, home, family, etc. will change B. Products are the Building Blocks of Lifestyles – Products are associated with social situations. In ads people, products, and settings represent consumption style. o Lifestyle marketing – must look at patterns of behaviour o Product complementarity – symbolic means of certain products are related •Some products and brands seem to go together (suit and tie) •Some do not (a can of snuff in an executive’s pocket) Class Interaction Opportunity: Ask students to make a list of ten items they think you must have to attain a good life. Why did you select these items? How might marketers use this information? C. Psychographics – Use of psychological, sociological, and anthropological factors to segment target markets D. Conducting a Psychographic Analysis – Ask pertinent consumer questions E. AIOs – (Activities, Interests, and Opinions) – Demographic information based on: •How people spend their time •What they find interesting and important •How they view themselves and the world around them Class Interaction Opportunity: Why are AIOs important to marketers? How could marketers use this information to promote their products? F. Uses of Psychographic Segmentation •Define the target market •Create a new view of the market •Position the product •Better communicate product attributes •Develop overall strategy •Market social and political issues Class Interaction Opportunity: Can you think of a company that uses psychographic segmentation to position its product in the marketplace? Do you think it is effective? Why or why not? G. Psychographic Segmentation Typologies – Based on AIOs and other perceptions H. VALS – (Values and Lifestyles) – Divides people into eight groups that are determined by psychological characteristics, income, education, energy levels, and eagerness to buy: • Innovators: successful with many resources, open to change • Thinkers: satisfied, reflective, comfortable, practical • Achievers: career-oriented, avoid risk, self-discovery • Experiencers: impulsive, young, offbeat, love risk • Believers: strong principles, favour proven brands
• Strivers: like achievers but with fewer resources, need approval • Makers: action-oriented, self-sufficiency, “do-it-yourselfers”
• Strugglers: bottom-of-ladder, immediate gratification Class Interaction Opportunity: In which of the eight VALS categories do you think a researcher would place you? Where do you think your parents would be placed? 1. Geodemography – Geographic information combines consumer spending and other socioeconomic factors o Birds of a feather: Clustering consumers – cluster analysis: identifies groups of people who share important characteristics (‘like-mind’ people) o Single-source data: Putting it all together •Data on actual purchase history, combined with geodemographic data •Use of UPC scanner, household panel, and TV to track purchases •Tests the impact of ads, pricing, shelf placement, and promotions Class Interaction Opportunity: What are the ethical implications of a single-source data system? Is it good for producers? Is it good for consumers? Is it good for society? Explain. IV. VALUES – Belief that some condition is preferred over another (e.g., freedom to slavery); values change over time Class Interaction Opportunity: What are some values that are important to you?  Instructors wishing to expand their coverage of values may wish to consult an additional perspective on values. Sheth, Newman and Gross develop a theory of market choice based on what they term consumption values. The five consumption values are functional, social, emotional, epistemic, and conditional. This approach focuses to a great extent on the benefits perceived as derived from brand choice, rather than the view of products as helping to obtain culturally-valued goals. It provides specific guidelines for operationalization, measurement, and application.iv A. Core Values – The set of values that uniquely define a culture; those which have been claimed to characterize most Western cultures include equality; achievement; activity; youthfulness; subject to change •Value system – The relative importance of universal values (such as health, wisdom, peace – those that appeal to everyone) •Enculturation – Learning the beliefs and behaviours endorsed by one’s culture •Acculturation – Learning the value system and behaviours of another culture B. How Values Link to Consumer Behaviour – Broad-based concepts (freedom, security) aren’t likely to affect differentiation between brands so more helpful to distinguish between: •Cultural values – broad-based (security, happiness) •Consumption-specific values (convenience, speed of service) •Product-specific values (ease of use, durability) C. Ways to Classify Values o Rokeach Value Survey – Identifies two sets of values •Terminal values: desired end-states that apply to many different cultures •Instrumental values: actions needed to achieve these terminal values  See reference for an application of Rokeach's work to consumer behaviour that focuses on sets of values rather than just the highest-ranked ones, and identifies value-based segments in a Brazilian sample.v o List of Values (LOV) Scale – Identifies nine consumer segments based on the values they endorse (and then relates these to consumption) D. Conscientious Consumerism: A New Core Value? – Growing interest in global health; LOHAS segment E. Materialism: ‘He Who Dies With the Most Toys Wins’ – Importance of worldly possessions, influence on behaviour END-OF-CHAPTER SUPPORT MATERIAL Summary of Special Feature Boxes 1. Marketing Insight I: Trait Theory This box examines a technique used by eLoyalty which exemplifies the application of trait theory to marketing. This company, which builds tools and services for call centres, compiles personality profiles of each individual caller and matches them with a customer service representative who works best with that personality type. The system’s creator divided people into six main personality types, each of which has a different communication style and each of which has different stress triggers. It’s based on the idea that if you know the personality type of the person you’re speaking with, you can modify your own communication style to work more effectively with that person. 2. Consumers in Focus I: Brand Personality This box emphasizes that brands and products that people own might communicate something about their own personalities to others. Not only do people often infer personality traits from an individual’s possessions, but they are surprisingly accurate in their trait inferences. Individuals are also very good at accurately conveying their personality traits to others online. 3. Marketing Insight II: Sharing Economy This box looks at the sharing economy as exemplified by: AirBnB, Uber and Zipcar. The sharing economy represents a major shift in consumer lifestyles. Instead of buying and owning a material good for a higher price, consumers can borrow or share anything from transportation to accommodation to household appliances. This also represents a shift in consumer values, suggesting that consumers are putting less emphasis on the ownership of material goods. 4. CB As I See It Tandy Chalmers Thomas, Queen’s University conducts research on the lifestyle marketing perspective, which aligns the goals of marketers with the way consumers view their own lives. She looks at consumption communities (groups of consumers with a shared passion for a consumption activity, product class, or brand) and the interactions that take place within these communities, finding that a variety of exchanges take place (consumer-producer, consumer-consumer, producer-producer) of social and economic resources that lead to benefits for the different members of the community. This leads to the thinking that brands have important roles within communities, just like people. 5. Consumers in Focus II: Understanding Values Values play a critical role in consumer behaviour, and differences in the importance of values are thus important for marketers. This box presents the ‘freedom’ value in the U.S., contrasted with the ‘equality’ value in Canada, as an example of how values are reflected in our culture and behaviours. 6. Marketing Insight III: Forever Young? This box provides an example of the prevalence of youth as an important value in some cultures – it discusses the popularity and function of the RealAge website. It also introduces issues of privacy as it discusses how the site operates by selling the provided information to third parties. Review Questions 1. Describe the id, ego, and superego and tell how they work together according to Freudian theory. Answer: The id is entirely oriented toward immediate gratification—it is the “party animal “of the mind. The superego is the counterweight to the id. This system is essentially the person’s conscience. It internalizes society’s rules (especially as parents teach them to us and works to prevent the id from seeking selfish gratification). Finally, the ego is the system that mediates between the id and the superego. It is in a way a referee in the fight between temptation and virtue. 2. What is motivational research? Give an example of a marketing study that used this approach. Answer: In the 1950s, a perspective called motivational research attempted to use Freudian ideas to understand the deeper meanings of products and advertisements. This approach was largely based on psychoanalytic (Freudian) interpretations, with a heavy emphasis on unconscious motives. A basic assumption is that socially unacceptable needs are channeled into acceptable outlets. Motivational research for the American Red Cross did find that men (but not women) tend to drastically overestimate the amount of blood taken from them during a donation. The Red Cross counteracted the fear of loss of virility by symbolically equating the act of giving blood with fertilization: “Give the gift of life.” 3. Describe three personality traits relevant to marketers. Answer: Some specific traits that are relevant to consumer behavior include: innovativeness (the degree to which a person likes to try new things); materialism (amount of emphasis placed on acquiring and owning products); self-consciousness (the degree to which a person deliberately monitors and controls the image of the self that is projected to others), and need for cognition (the degree to which a person likes to think about things and by extension expands the necessary effort to process brand information). Another trait relevant to consumer behavior is frugality. Frugal people deny short- term purchasing whims, choosing instead to resourcefully use what they already own. 4. Define a brand personality and give two examples. Answer: A brand personality is the set of traits people attribute to a product as if it were a person. Many of the most recognizable figures in popular culture are spokes characters for long-standing brands, such as the Jolly Green Giant, Mr. Peanut, or the Pillsbury Doughboy. 5. How does lifestyle differ from income? Answer: Lifestyle refers to a pattern of consumption reflecting a person’s choices of how he or she spends time and money. In an economic sense, one’s lifestyle represents the way one has elected to allocate income, both in terms of relative allocations to different products and services, and to specific alternatives within these categories. 6. What is the basic philosophy behind a lifestyle marketing strategy? Answer: A lifestyle marketing perspective recognizes that people sort themselves into groups on the basis of the things they like to do, how they like to spend their leisure time, and how they choose to spend their disposable income. 7. Define psychographics, and describe three ways marketers can use it. Answer: When marketers combine personality variables with knowledge of lifestyle preferences, they have a powerful lens with which to focus on consumer segments. We call this approach psychographics, which involves the “use of psychological, sociological, and anthropological factors…to determine how the market is segmented by the propensity of groups within the market—and their reasons—to make a particular decision about a product, person, ideology, or otherwise hold an attitude or use a medium.” Psychographic studies can take several different forms: • A lifestyle profile looks for items that differentiate between users and nonusers of a product. • A product-specific profile identifies a target group and then profiles these consumers on product-relevant dimensions. • A general lifestyle segmentation places a large sample of respondents into homogenous groups based on similarities of their overall preferences. • A product-specific segmentation tailors questions to a product category. For example, in a study done specifically for a stomach medicine, the item “I worry too much” might be rephrased as “I get stomach problems if I worry too much.” This allows the researcher to more finely discriminate between users of competing brands. 8. What are three specific kinds of AIOs? Answer: Most contemporary psychographic research attempts to group consumers according to some combination of three categories of variables—activities, interests, and opinions—known as AIOs. Using data from large samples, marketers create profiles of customers who resemble each other in terms of their activities and patterns of product usage. 9. What are values, and why should marketers care? Answer: A value is a belief that some condition is preferable to its opposite. For example, it’s safe to assume that most people place a priority on freedom, preferring it to slavery. Others avidly pursue products and services that will make them look young, believing that this is preferable to appearing old. A person’s set of values plays a very important role in consumption activities. Consumers purchase many products and services because they believe these products will help to attain a value-related goal. 10. What is the difference between enculturation and acculturation? How do we figure out what a culture values? Answer: We term the process of learning the beliefs and behaviours endorsed by one’s own culture enculturation. In contrast, we call the process of learning the value system and behaviours of another culture (often a priority for those who wish to understand consumers and markets in foreign countries) acculturation. 11. What is LOHAS and why are people who follow this lifestyle important? Answer: LOHAS is an acronym for "lifestyles of health and sustainability.” This label refers to people who are concerned about the environment. Lohasians represent a good market for eco-friendly products and they are demanding that companies do more to produce sustainable products. This conscientious consumerism is now spreading to the mass market. 12. What is materialism and why is it relevant to marketing? Answer: Materialism refers to the importance people attach to worldly possessions. Marketing is a system that provides a certain standard of living to consumers through products and services. The more materialistic a society is, the greater the demand will be for products and services. CONSUMER BEHAVIOUR CHALLENGE Discussion Questions 1. What consumption constellation might characterize you and your friends today? Answer: Students should be directed to individually develop a constellation of products that are complementary with respect to the symbolic meaning that they hold for the consumer. What are the social roles that a person holds? How are those social roles defined, communicated, and performed through product consumption? Today, my friends and I might be characterized by a consumption constellation centered around digital technology and sustainability. We prioritize eco-friendly products, support tech innovations, and value experiences like travel and fitness. Our consumption patterns reflect a blend of environmental consciousness and a passion for staying connected and active. 2. Geodemographic techniques assume that people who live in the same neighborhood have other things in common as well. Why is this assumption made, and how accurate is it? Answer: Although members of the Canadian culture share a common national identity, purchase and consumption patterns of different regions have been shaped by unique climates, cultural influences, and resources. Just as we have come to realize that cultural differences between countries are significant, regional differences are recognized as influential (e.g., different names for the same thing—pop, soft drink, soda, soda pop, soda water, coke, tonic). 3. Should organizations or individuals be allowed to create websites that advocate potentially harmful practices? Why or why not? Answer: On the one hand is the principle of free speech as guaranteed by the Constitution. Current law extends this principle to almost all avenues of the Internet. Federal legislation, however, has strongly and firmly prohibited hate crimes. An interesting way to approach the dilemma posed in this question is to have a debate. Please remember that this question must be handled carefully and at all costs must not be used offensively. Set some ground rules on this one. 4. Wireless devices have quickly become an indispensable part of many consumers’ lifestyles. How do you view this rapid transition to a situation where many of us are lost without our Smartphones? What impact on other lifestyle activities do you predict as a result? Answer: Students have grown up using technology and have become incredibly skilled at adapting and using new technology. Most students will view the transition positively. What are the positives and negatives of society's transition to a wireless lifestyle? Wireless technology has many diverse uses such GPS for travel, payment by cell phone, interactive learning, control of electrical appliances and applications for almost any need. The rapid transition to relying on smartphones highlights our dependence on connectivity and instant access to information. This shift has made tasks like navigation, communication, and even social interactions more convenient, but it may also lead to reduced face-to-face interactions and an over-reliance on technology for daily activities. We might see a greater emphasis on digital solutions and a potential decline in traditional practices. 5. Starbucks is solidly established as a go-to location for coffee, tea, and pastries, but in order to grow, the company needs to expand its offerings so that customers spend more of their time (and money) there. The chain is experimenting with a new concept, Starbucks Evenings, where after 4:00 each afternoon the store flips to a different menu that includes wine, beer, and small plates like truffle mac and cheese, sandwiches, and salads. Is Starbucks too entrenched in our “coffeehouse lifestyle,” or does the chain have room to expand? What recommendations would you make to Starbucks to help the company expand its lifestyle marketing strategy? Answer: Students will have strong opinions about this new direction. Many students will view the transition positively and point to the fact that Starbucks will further expand their revenue possibilities and maximize profit potential (since alcohol product tend to carry high margins). Other students will point to the fact that Starbucks has worked very hard to build their brand equity and their identity is clearly established as a casual higher-end coffee shop where consumers are free to take their time. The reputation has been earned with consistent image. Students may also start to think of their own experiences late at night during exam season where a Starbucks location has served as a refuge. Would it still be the case if it fully embraces this approach? Starbucks' strong coffeehouse brand might limit its immediate acceptance of a broader evening menu, but the shift to offering wine and small plates could attract new customer segments and increase store visit duration. To expand its lifestyle marketing, Starbucks could emphasize the social and relaxing aspects of their evening concept, promote it as a chic, casual evening destination, and integrate local or seasonal offerings to enhance appeal. 6. Behavioural targeting techniques give marketers access to a wide range of information about a consumer by relaying websites he or she visits. Do you believe this “knowledge power” presents any ethical problems with regard to consumer privacy? Should the government regulate access to such information? Should consumers have the right to limit access to these data? Answer: Many students will see behavioural targeting as an invasion of their privacy. The collection and selling of consumer personal data may make consumers uneasy. Targeting leads to online profiling, which could maintain and/or increase cultural biases. It could also limit the availability of information to consumers. Other students will appreciate the advantages of behavioural targeting. For example, it can help ensure that only relevant information is relayed to the consumer, thereby streamlining the information search process and improving the consumers' online experience. Privacy watchdogs believe that the government should regulate access to information because of the probability of misuse. At the very least, permission should be obtained from consumers to gather and distribute their personal data and such information should be non-personally identifiable. Yes, behavioral targeting raises significant ethical concerns about consumer privacy, as it involves collecting detailed data on individuals without always obtaining explicit consent. Government regulation could help ensure transparency and protect privacy, while consumers should certainly have the right to control and limit access to their personal data. Balancing marketing effectiveness with privacy rights is crucial in addressing these concerns. 7. The chapter notes the growing trend of marketers commissioning recording artists to create original songs for their commercials. Do you see this as just another way to encourage new music when other funding is drying up, or is there something ominous about companies influencing the creativity of artists? Answer: Students should be encouraged to look at both the positives and negatives of this practice before answering the question. The use of popular recording artists to create original songs can have a significantly positive impact on brand identity and could influence sales of the product. It is another way to fund artists so that they may pursue development of their own music. In addition it is unlikely payment for commercial music will deter artists from creating new music. However, there is a danger that companies will place restrictions on an artist's creation of future music. Commissioning original songs for commercials can provide artists with much-needed funding and exposure, potentially fostering new music. However, it also raises concerns about companies influencing artistic creativity and prioritizing commercial interests over artistic integrity. Balancing artistic freedom with commercial partnerships is key to ensuring genuine creativity isn’t compromised. Experiential Exercises 8. Construct a brand personality inventory for three different brands within a product category. Ask a small number of consumers to rate each brand on ten different personality dimensions. What differences can you locate? Do these “personalities” relate to the advertising and packaging strategies used to differentiate these products? Answer: The first thing students will have to do to answer this question is to establish the ten personality dimensions. They are free to construct these as they choose; however, some suggestions are offered by the material in the chapter. It will be easier for them if they choose products from a brand category with which they are familiar. (Many times students will know more about the brand than what is shown in the advertisement). Be sure students demonstrate “how” personalities relate to the advertising and packaging used by the marketer to differentiate these products. To create a brand personality inventory, rate three brands within a category (e.g., athletic shoes) on dimensions like excitement, competence, sophistication, ruggedness, sincerity, and others. For example, Nike might score high on excitement and ruggedness, while Adidas could rate high on competence and sophistication. These personality traits often align with their advertising and packaging strategies—Nike's dynamic ads reflect its energetic, adventurous personality, whereas Adidas's sophisticated branding underscores its focus on performance and style. 9. Compile a set of recent ads that attempt to link consumption of a product with a specific lifestyle. How is this goal usually accomplished? Answer: Students should be able to find a variety of advertisements to represent the link of product consumption with specific lifestyle. Examples include luxury cars, cruises, polo, and golf linked to an affluent lifestyle; used cars and furniture, small apartments, stereos, and books linked to the university student lifestyle; Miller beer linked to the young, single, sports-fanatic male lifestyle. Recent ads linking products to specific lifestyles often use aspirational imagery, relatable scenarios, and influencer endorsements. For example, a luxury car ad might depict a glamorous, adventurous lifestyle, while a fitness brand ad could feature athletes achieving personal goals. These ads accomplish their goal by creating an emotional connection between the product and the desired lifestyle, making the product seem essential to achieving that ideal life. 10. Psychographic analyses can be used to market politicians. Conduct research on the marketing strategies used in a recent major election. How were voters segmented in terms of values? Can you find evidence that communications strategies were guided by this information? Answer: Students should recognize the power of psychographic analyses in defining target consumers and positioning political candidates for office. They should search for campaign literature that is designed for different targets and that might even contradict each other, looking for obvious and subtle differences. This type of polling data is difficult to get because it is closely guarded by the candidates and their pollsters, but often just by viewing the ads one can identify the target audience. In recent major elections, psychographic analyses segmented voters by values such as economic security, social justice, and national identity. For instance, campaigns often targeted suburban voters with messages on economic stability and safety, while focusing on social justice and reform for younger, urban voters. Evidence of this includes tailored ads and social media campaigns that address specific concerns and values of each segment, demonstrating how communications strategies were influenced by psychographic data. 11. Construct separate advertising executions for cosmetic products targeted to the Belonger, Achiever, Experiential, and Maker VALS types. How would the basic appeal differ for each group? Answer: Students should review the information in the text before trying to design advertising campaigns for the various VALS types. • Actualizers—successful with many resources open to change. • Fulfilled—satisfied, reflective, comfortable, practical. • Achievers—career-oriented, avoid risk, self-discovery. • Experiencers—impulsive, young, offbeat, love risk. • Believers—strong principles, favor proven brands. • Strivers—like achievers, but with fewer resources, need approval. • Makers—action-oriented, self-sufficiency, do-it-yourselfers. • Strugglers—bottom-of-the-ladder, immediate gratification Belonger: Ads would emphasize community and family values, showcasing the product as enhancing natural beauty and fitting into a supportive, everyday lifestyle. Achiever: Focus on success and professionalism, highlighting how the product contributes to a polished, confident appearance that aligns with career achievements. Experiential: Showcase the product as part of a fun, dynamic lifestyle, featuring vibrant colors and exciting experiences to appeal to their adventurous spirit. Maker: Highlight practicality and authenticity, with ads presenting the product as high-quality and straightforward, fitting into a hands-on, self-reliant lifestyle. 12. Using media targeted to the group, construct a consumption constellation for the social role of university students. What set of products, activities, and interests tend to appear in advertisements depicting “typical” university students? How realistic is this constellation? Answer: Students should enjoy developing a consumption constellation for their role segment. The instructor might point out how the students serve as “experts” with respect to this segment and how their constellation might differ from that constructed by their professors, parents, or business executives. For university students, advertisements often feature products like laptops, coffee, textbooks, and trendy, casual clothing. Activities include studying, socializing at campus events, and exploring nightlife. Interests typically focus on academic success, social connections, and personal growth. While this constellation reflects common student experiences, it can oversimplify by not accounting for diverse backgrounds and individual differences. 13. Extreme sports. Day trading. Chat rooms. Vegetarianism. Can you predict what will be “hot” in the near future? Identify a lifestyle trend that is just surfacing in your universe. Describe this trend in detail and justify your prediction. What specific styles and/or products are part of this trend? Answer: Depending on when this exercise is assigned, the responses will vary considerably. Many trends tend to be short lived. This will be particularly true of trends that have not actually become popular yet. Many students will likely identify an underground trend simply because they identify with it. This is all okay. The objective of this exercise is to describe a trend according to lifestyle and psychographics and to identify styles and products that would be congruent with this description. One emerging trend is digital minimalism—a lifestyle focusing on reducing digital clutter and prioritizing offline experiences. This trend is gaining traction as people seek to counteract tech burnout and enhance personal well-being. It involves decluttering digital devices, setting boundaries for screen time, and engaging in activities like mindfulness and face-to-face interactions. Products like digital detox apps, minimalist phone cases, and guided journals are gaining popularity as part of this movement. CASE STUDY TEACHING NOTES I. Do you think Allen’s idea to bring personality, psychographics, and value measures to gaming development has merit? Why or why not? Answer: As the gaming industry becomes a more competitive arena, game developers must approach new consumer markets. While demographic segmentation variables such as gender, age and ethnicity are effective in defining new markets and gaming ideas, personality, psychographics and value measures also have merit. A person’s personality, for example, consistently influences the way he or she responds to the environment. In Carl Jung’s neo-Freudian theory of personality, he argued that people are shaped by archetypes or universally shared ideas and behaviour patterns. Themes such as birth, death, the hero and the devil appear frequently in today’s popular culture. Franchise video games such as Call of Duty, Halo and Gears of War speak to these images. Similarly, personality traits can assist in examining the consumption differences between individuals. An individual with a high need for uniqueness, the degree to which a person is motivated to conform to the preferences of others versus standing apart from the crowd, is more likely to be ideocentric rather than allocentric. As a result, they may be more content with their life, less health conscious, more of a workaholic and more interested in travel and entertainment. In this regard, these trait profiles play a role in helping video game developers understand the consumer and what they would value in a video game. The notion that consumers buy products that are extensions of their personality makes intuitive sense. Similar statements could be made regarding the merit of psychographics and value measures in video game development. A lifestyle marketing perspective recognizes that people sort themselves into groups on the basis of the things that they like to do, how they like to spend their leisure time and how they choose to spend their disposable income. Psychographics can help marketers fine-tune their video game offerings to meet the needs of different segments. A person’s value system can also play a very important role in his or her lifestyle and psychographic profile. Many products and services are purchased, for example, because they help attain a value-related goal. As a result, values are central to what makes consumers distinct in their consumption. II. Of the individual difference measures you have learned about, which do you feel has most applicability in the gaming industry? Why? Answer: Although brand personality measures such as the BrandAsset Archetypes model can play a role in helping market researchers determine how consumer’s view brands, individual difference measures such as the VALS (Values and Lifestyles) segmentation system are useful in helping isolate values with more direct marketing applications and applicability in the gaming industry. As noted in Question 1, a person’s set of values plays a very important role in his or her consumption activities. In some cases, two people who believe in the same behaviour such as video gaming may have entirely different underlying belief systems. Whereas one person may view video gaming as a form of socialization, another person may view video gaming as a leisurely activity to relieve stress. By using VALS to identify the nine consumer segments on the basis of the values they endorse, video game developers may be able to better understand each segment’s differences. Whereas consumers who give priority to values such as a sense of belonging are more likely to prefer video games that are multi-player and allow group interaction, consumers who endorse the value of excitement may prefer video games that are action-oriented. III. Of the game categories that currently exist, which map to the individual difference constructs you have learned about? Answer: Using the VALS (Values and Lifestyles) segmentation system noted in Question 2, market researchers could apply each of the eight consumer groups to different game categories that currently exist. Innovators who are successful consumers with many resources may prefer serious video games that are intended to educate or train the player. These games tend to promote education, science, social change, health care or even the military. Although these games have no specific ending or goal in the game, the players learn real life lessons from the game. •Thinkers who are satisfied, reflective and comfortable are likely to prefer educational video games. As the name implies, these games attempt to teach the user using the game as a vehicle and often target young users from children to mid-teens. •Achievers who are career-oriented and seek systematic predictability in their activities are likely to prefer games that provide achievement and reward. Games that provide structure and a path to winning will be sought by this group. •Experiencers who are impulsive and enjoy offbeat or risky experiences are likely to enjoy simulation games. These include racing simulators as well as flight training programs as example. These games emphasize actually experiencing the activity in a virtual world. •Believers who have strong principles are likely to favour video game that provide meaning and validate principles held in society. Games that reaffirm what is right and wrong would be attractive to this segment. •Strivers, like achievers, are concerned about success, but are more willing to accept uncertainty. These individuals are likely to prefer strategy video games, which require careful and skillful thinking and planning in order to achieve victory and reward. •Makers who are action-oriented and tend to focus their energies on self-sufficiency may prefer life simulation games such as The Sims that involve living or controlling one or more artificial lives. Biological simulations may allow the player to experiment with genetics, survival or ecosystems. Likewise, god games allow the player control over the lives of people just as a maker would have control over his or herself and influence friends and family. •Survivors who are more concerned with meeting the needs of the moment are likely to prefer casual video games that are targeted towards those who do not wish to dedicate much time and effort to playing. These video gamers enjoy gaming as a short and relaxing pastime with fast rewards. IV. If you were charged with game development and had this idea - what new games would you propose? Answer: Given Allen’s interest in developing games for new and growing markets, Allen could propose video games that targeted North American early female teenagers and young adults. This customer segment is likely to have a lifestyle that is predominantly based on social events, recreation, fashion, media, education and the future. In terms of personality, they may have a low need for uniqueness and are likely to have a group orientation. Video games that would appeal to this customer segment include multiplayer life simulation games that can revolve around individuals, relationships or an ecosystem. Life simulation games such as The Sims or Animal Crossing allow players to create virtual people, place them in houses, help direct their mood and satisfy their desires. Given that early female teenagers and young adults are also likely to have differences between their ideal and actual self, life simulation games would also allow these players to express their ideal selves. FIELD PROJECT IDEAS Individual Assignments 1. Ask students to think of a specific lifestyle (their own, their parent's, their aspirations, etc.) and then to make a list of products and services that are linked in the consumer's mind to that specific lifestyle. (Hint: You might ask them to decorate their living room, design a wardrobe, buy options for a car, etc.) Answer: For a sustainable lifestyle, products might include bamboo furniture, eco-friendly cleaning supplies, and a hybrid car. Services could involve home composting, green energy plans, and organic meal delivery. 2. Have students investigate a successful or unsuccessful global marketer, such as Coca-Cola, Levi-Straus or Toyota. Then have the student explain to the class the reasons for the company's success or failure. Does an understanding or misunderstanding of the foreign culture of the company seem to play a role in the outcome? Answer: Toyota’s global success is largely due to its adaptation to local markets and emphasis on quality. Failure in some regions, like its struggles in India, often stemmed from misjudging local preferences and competition. 3. Ask students to interview two people from two different cultures. Have the student determine the extent to which variations in the values or traditions of those cultures seem to have an effect on how the product is used and the frequency of use? (Examples: products such as toothpaste, perfume, beer, ice, personal computers, bicycles, and DVDs). Answer: Interviewing individuals from different cultures about beer consumption might reveal varying traditions and frequency of use, such as daily use in some cultures and occasional use in others, influenced by cultural values and social norms. 4. Have students bring in three ads for the same basic type of product (e.g., pens, clothes, cars, watches, restaurants, etc.) that use "lifestyle" segmentation in advertising to differentiate the product. How do the companies achieve differentiation? Are the products really different? Answer: Ads for the same car brand might target different lifestyles: one focusing on luxury, another on family practicality, and a third on adventure. The differentiation is achieved through tailored imagery and messaging, though the core product remains similar. 5. Ask students to examine several foreign magazines and newspapers in the library. Have students comment on the similarities and differences that were observed in advertising from various countries. Then have students speculate on the reasons for differences. Answer: Foreign ads may differ in cultural references, humor, and emotional appeal. For example, Western ads might emphasize individualism, while Asian ads could focus on family values or communal harmony. 6. Have students locate an article on a marketing failure by a Canadian company operating in a foreign market. What was the reported reason for the failure? Could an improved cultural understanding have prevented this failure? How? Answer: Target’s failure in Canada was partly due to poor market research and a lack of understanding of Canadian shopping habits. Better cultural insights could have led to more tailored product offerings and store experiences. 7. Ask students to do a comparative analysis of various promotions used for Disney parks in the U.S., Japan, and Europe. See if they can point out some of the similarities and differences in the way the parks position themselves. Answer: Disney parks' promotions in the U.S. might emphasize familiar characters and attractions, while in Japan, ads could focus on unique seasonal events and cultural elements, reflecting regional preferences and marketing strategies. Team Assignments 8. Bring in some magazines targeted toward specific regional or local groups (Western Living, Atlantic Progress, Beautiful BC, Up Here, etc.) and ask the students to look through the magazine and describe the types of articles and advertisements contained in each magazine. How effective are they in reaching their target market? Answer: Magazines like Western Living and Beautiful BC often feature regional lifestyle articles, local events, and ads for products and services relevant to their specific areas. These publications effectively reach their target market by focusing on local interests and needs, creating a strong sense of community and relevance. 9. Ask students to compile a selection of recent ads that attempt to link consumption of a product with a specific lifestyle. How is this goal usually accomplished? Answer: Ads linking products to a specific lifestyle often use aspirational imagery, relatable scenarios, and targeted messaging. For example, luxury car ads might depict a high-status lifestyle, while outdoor gear ads might showcase adventurous, rugged activities. 10. Have students find three advertisements in popular magazines that they believe are targeted toward a particular psychographic segment. See if they think the ads are achieving their goal. What criteria did they use in their evaluation? Answer: Ads targeted at psychographic segments might focus on values like sustainability, luxury, or family life. Evaluation criteria could include the relevance of the message to the segment, the appeal of imagery and language, and the effectiveness in conveying the desired lifestyle or values. Individual or Team Assignments 11. Have students assume that the owners of a fast-food chain have asked your class to prepare a psychographic profile of families living in the communities surrounding a new location they are considering. (Select any area that the students would mostly likely know.) Ask students to construct a 10-question psychographic inventory appropriate for segmenting families in terms of their dining-out preferences. Answer: To profile families for a fast-food chain, questions might include: "What are your family's dining-out habits?", "How important is convenience in your dining choices?", "Do you prioritize healthy options when eating out?", and "What types of promotions or menu items attract your family?" 12. Either collect a sample of ads or have your students do so that appear to appeal to consumers' values. Ask them what value is being communicated in each and how this is done. See if they think this is an effective approach to designing a marketing communication. Answer: Analyzing ads that appeal to values like environmental sustainability or luxury can reveal how these values are communicated through imagery, language, and brand positioning. Effectiveness is determined by how well the ad resonates with the target audience's values and prompts desired actions. eLAB Individual Assignments 1. Go to www.benjerry.com and www.chapmans.ca. What are the primary differences between these two popular websites? What lifestyles are segmented? Which site better expresses values? Profile the typical consumer of both organizations. What are the differences between the two profiles? Explain how you constructed the profiles. Answer: Ben & Jerry's emphasizes social activism and sustainability, targeting environmentally-conscious consumers, while Chapman’s focuses on family-friendly, traditional values. Ben & Jerry’s profiles a socially-aware, progressive consumer, whereas Chapman’s appeals to family-oriented, value-driven individuals. Profiles were constructed based on site content, messaging, and brand values. 2. Go to www.burtsbees.ca. How does this site use lifestyle marketing to its advantage? What lifestyle would be most associated with the products shown on this site? After reading the history of the founders, how were the founders able to project their own lifestyles into the products produced by the company? How could the company expand its sales into other lifestyle segments? Answer: Burt's Bees uses lifestyle marketing by promoting natural, eco-friendly products that appeal to health-conscious and environmentally-minded consumers. The founders’ commitment to sustainability is reflected in their product lines. To expand, the company could target lifestyle segments interested in luxury or convenience by introducing premium or innovative product lines. 3. Go to www.mp3.com. Which MP3 products seem to be the greatest hit with today’s youth (feel free to expand your search to other websites to answer the question; you might try www.kazaa.com, www.morpheus.com, or www.apple.com/itunes/). Have market segments other than Gen X adopted MP3 technology? Explain. What could MP3.com add to their website to expand to other generations or lifestyles? Explain. Answer: MP3 products popular with youth include streaming services and portable players. Other segments, such as Millennials and Boomers, have adopted MP3 technology for its convenience. MP3.com could add features like personalized playlists or family sharing options to appeal to a broader audience. 4. Go to www.scion.com. Explore the site and describe in detail the personality of this brand. Answer: Scion’s site reflects a youthful, edgy brand personality with a focus on customization and individuality. It uses vibrant graphics and interactive elements to appeal to creative and trend-setting consumers. 5. Go to www.bebe.com. Analyze the product offerings for this company based on the id and the superego. Do people who buy this brand do so based on one or the other? Explain how the ego may create balance. Answer: Bebe’s offerings cater to the id with bold, fashionable styles and the superego with high-end, sophisticated branding. Customers often balance these desires with the ego, seeking products that satisfy both immediate desires and long-term self-image. eLAB Team Assignments 1. Go to www.gijoe.com (or www.hasbro.com) and www.barbie.com. Which of these organizations has done a better job of lifestyle marketing? What can you tell about personality from visitors to these sites? How do the sites use fantasy to their advantage? How have the two sites tried to update their products to meet modern needs? How has the G. I. Joe site dealt with violence (or the aversion to it)? Evaluate the Barbie website’s ability to allow a customer to design his or her own doll? What do you think of this customization feature? What do you project as the future for these two product groups? Answer: Barbie.com has excelled in lifestyle marketing by emphasizing customization and modern trends, appealing to personal expression and creativity. The site allows users to design dolls, catering to the desire for individuality. G.I. Joe integrates fantasy with action and adventure but addresses modern concerns by moderating violence through more strategic storytelling and less intense imagery. Both sites have updated products to reflect contemporary tastes, with Barbie embracing technology and personalization and G.I. Joe focusing on more nuanced, less violent themes. 2. Have students go to www.strategicbusinessinsights.com/VALS/
presurvey.shtml. Have each of them take the survey and print out the page with the results. They should also print the list of VALS classifications and description. Then, have them discuss the outcomes in groups. Specifically, they should discuss whether they feel that the results are characteristic of them. Answer: They will complete the VALS survey to identify their psychographic profiles, which will be discussed in groups. They'll assess whether the results accurately reflect their values and behaviors, using the VALS classifications to understand how well their personal traits align with these segments. PROFESSORS ON THE GO! Chapter Objectives
When students finish this chapter they should understand why: •A consumer’s personality can influence the way s/he responds to marketing stimuli Ask students to examine advertisements and determine which appear to be Freudian or Neo-Freudian in nature. How is this determined? What were the messages in the advertisements? Have students develop a description of his or her own pleasure principle as it relates to consumption. In other words, how is pleasure maximized and pain minimized when buying certain types of products? What are the things that marketers do to appeal to this? •The various theories of personality differ Have the students summarize Horney and Jung’s theories and present implications for marketers. •Trait theory proposes that various characteristics of consumers can be measured and used to predict outcomes Have students characterize three different people that he or she associates with (friends, co-workers, classmates, family members, etc.) based on traits (trait theory). Each of the three should be distinct. How could this information be used by an advertiser? •There are a variety of techniques that marketers can use to create ‘brand personality’ Ask students to list three products that seem to have personalities. Describe the personalities. What types of people buy these products? Is there a match between the consumer’s personality and that of the brand or product? Have students select a product category. Then have them develop a simple survey asking respondents how much they would be willing to pay for 1) a generic version of the product, 2) a minor brand in the market, and 3) the market leading brand. Have the students distribute this to ten individuals. Have the students tally the results as a demonstration of brand equity. •Consumers’ lifestyles are key to many marketing strategies Ask students to compile a selection of recent ads that attempt to link consumption of a product with a specific lifestyle. In class, have students demonstrate what they have found. Discuss how the goal of linking product consumption to a lifestyle is usually accomplished. Ask students to think of a specific lifestyle (your own, your parents’, your aspirations, etc.), and then make a list of products and services that are linked in the consumer’s mind to that specific lifestyle. (Hint: You might decorate your living room, design a wardrobe, think of options for a car, etc.) Bring in some magazines targeted toward specific regional or local groups. Have student groups look through the magazines and describe the types of articles and advertisements contained in each. How effective are the magazines in reaching their target market? How do they use lifestyles? •Psychographics go beyond simple demographics to help marketers understand and reach different consumer segments This chapter mentions that psychographic analyses can be used by politicians to market themselves. What are some of the marketing strategies and techniques used by politicians in recent elections? Did the candidates design special appeals to attract the attention of special target markets? What communication strategies were used? Discuss your observations with the class. Tell students that the owners of a fast-food chain have asked your class to prepare a psychographic profile of families living in the communities surrounding a new location they are considering. (You—the instructor—should select any area that the students would most likely know.) Construct a ten-question psychographic inventory appropriate for segmenting families in terms of their dining-out preferences. Using AIO segmentation, have groups of students design a new advertising campaign for a chain of restaurants targeting young professional college graduates. Have them explain the process they went through. Have students go to www.sric-bi.com/VALS/presurvey.shtml. Have each of them take the survey and print out the page with the results. They should also print the list of VALS classifications and description. Then have them discuss the outcomes in groups. Specifically, they should discuss whether they feel that the results are characteristic of them. •Every culture has a set of values that it imparts to its members Have each student list what he or she perceives to be the five most important values for themselves. For their parents? How do these values transfer to purchase decisions? How would marketers find out about their values? After reading the section entitled “Materialism: ‘He Who Dies with the Most Toys, Wins,’ ” have students create an argument either for or against more materialism. Does the Internet promote materialism? Explain. Go to www.burningman.com/. Become familiar with the purpose of this festival. As a group, discuss the extent to which it is possible to achieve the purposes set forth by this organization. Discuss the irony of this. ENDNOTES i Russell W. Belk, "Materialism: Trait Aspects of Living in the Material World," Journal of Consumer Research 12 (December 1985); 265-80; Dennis Cole, Newell D. Wright, M. Joseph Sirgy, Rustan Kosenko, Don Rahtz, and H. Lee Meadow, "Testing the Reliability and Validity of Belk's and Richins' Materialism Scales," in Proceeding of the Academy of Marketing Science (1992); Seth R. Ellis, "A Factor Analytic Investigation of Belk's Structure of the Materialism Construct," in Advances in Consumer Research 19, eds,John F. Sherry, Jr. and Brian Sternthal (Provo, Utah: Association of Consumer Reseaarch, 1992), 688. ii See, for example, Ronald E. Goldsmith and Charles F. Hofacker, "Measuring Consumer Innovativeness," Journal of the Academy of Marketing Science 19 (1991) 3: 209-21; Gordon R. Faxall and Ronald E. Goldsmith, "Personality and Consumer Research: Another Look," Journal of the Market Research Society 30 (1988)2: 111-25. iii Betty L. Feather, Susan B. Kaiser, and Margaret Rucker, "Breast Reconstruction and Prosthesis Use as Forms of Symbolic Completion of the Physical Self," Home Economics Research Journal 17 (March 1989): 216-27. iv Jagdish N. Sheth, Bruce I. Newman, and Barbara L. Gross, Consumption Values and Market Choices: Theory and Applications (Cincinnati, South-Western Publishing Co.: 1991). v Wagner A. Kamakura and Jose Afonso Mazzon, "Value Segmentation: A Model for the Measurement of Values and Value Systems," Journal of Consumer Research 18 (September 1991) 2: 208-218. Solution Manual for Consumer Behaviour: Buying, Having, Being Michael R. Solomon, Katherine White, Darren W. Dahl 9780133958096