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(1)

Bamisha 1

Reference

Group

PPs – MM

FE – Manajemen

Universitas Muhammadiyah

(2)

Bamisha 2

Reference Group

Is a group that serves as a reference

point for the individual in the information

of his or her

 beliefs,

 attitudes and

(3)

Bamisha 3

The influence a group exerts on

an individual purchasing

behavior

Depend on three factors:

 The individual’s attitude toward the

group

 The nature of the group

(4)

Bamisha 4

The Individual’s Attitude Toward

the Group (Bearden & Rose)

 Views the group as a credible source of

information about the product or service

 Values the views and reactions of group

members regarding purchasing decision

 Accepts the rewards and sanctions

(5)

Bamisha 5

The Nature of the Group

Homogenous in that members

have similar norms and values

Frequently interacting, thus

creating more opportunities to

influence members

Distinctive and exclusive in that

(6)

Bamisha 6

The Nature of the Product

Visible product

 Clothing

 Cosmetics

 furniture

Exclusive products that might

(7)

Bamisha 7

Types of reference Group

1. Positive Attitude

a. Membership

 Positive Membership Groups b. Nonmembership

 Aspiration Group

2. Negative Attitude

a. Membership

 Disclaimant Group b. Nonmembership

(8)

Bamisha 8

Types of Membership

Groups

1. Primary

a. Informal

 Family/ Peer Groups

b. Formal

 School Groups  Business Groups

2. Secondary

a. Informal

 Shopping Groups  Sports Groups

b. Formal

 Alumni Groups

(9)

Bamisha 9

Types of Aspiration Groups

1.

Contact

 anticipatory

2.

No contact

(10)

Bamisha 10

Nature of Reference Groups

1.

Norms

2.

Roles

3.

Status

(11)

Bamisha 11

Norms

Are the rules and standards of

conduct the group establishes

 The appropriateness of clothes

 Eating habits

 Makes of cars

(12)

Bamisha 12

Roles

Are functions that the individual

assumes or that the group assigns

to the individual to attain group

objectives

Roles hav

e been identified in family

decision making:

 The influencer, the gatekeeper, the decision

(13)

Bamisha 13

Status

Refers to the position the individual

occupies within the groups

High status implies greater power

and influence

Example:

 A chairperson

 Highest status  within groups

(14)

Bamisha 14

Socialization

The process by which an individual

learns the group’s norms and role

expectations

The two most important types:

 The socialization of children

 The socialization of new residents in a

(15)

Bamisha 15

Power

 Three power are particularly relevant:

1. Expert power

 An individual or group must have experience

and knowledge

2. Referent power

 The individual’s identification with members of

the group

3. Reward power

 Based on the group’s ability to reward and

(16)

Bamisha 16

Types of Influence Exerted

by Reference Groups

Nature of

(17)

Bamisha 17

Informational Influence

There are two conditions:

 When there is social, financial or

performance risk in buying the product

 The individual has limited knowledge

(18)

Bamisha 18

Comparative Influence

Moschis

 Consumers likely are likely to seek

information from friends viewed as similar to themselves and to regard such sources as credible

The salesperson is effective if:

 Customer sees the similarity of tastes,

(19)

Bamisha 19

Normative Influence

Park and Lessig

 a consumer is motivated to conform

to the norms and behavior of the group if;

1. The group provides significant rewards for compliance and punishment for lack of compliance

(20)

Bamisha 20

Conformity

Is the ultimate goal of normative

influence as it means that

consumers will buy the brands and

product categories the group

approves

Marketers are interested in such

imitative behavior, because

(21)

Bamisha 21

Social Multiplier Effect

James Duesenberry:

 The demonstration principle states

(22)

Bamisha 22

Park and Lessig

 The type of products to be subject to

comparative

1. Technologically complex

 Auto’s, color TVs, air conditioners

2. Require objective informational criteria for

selection

 Insurance, physicians, headache remedies

 The type of products to be subject to

(23)

Bamisha 23

Two ways the group

purchases

1.

Conformity to group norms

2.

An assertion of quality (the

(24)

Bamisha 24

Rosen’s and Olshavsky’s

 Group recommendations supplant

brand evaluation in three possibilities:

1. Go along with the group’s

recommendations without evaluating brand alternatives

2. Evaluate alternatives brands

3. Rely on group recommendations to narrow

(25)

Bamisha 25

Group Influence by Type of

Product

1.

Influence on product and brand

2.

Influence on brand only

(26)

Bamisha 26

Strategic Applications

1. Advertising strategies

 Use of spokespersons

 Using referent spokespersons

 Conveying normative influence

2. Personnel strategies

 Sales strategy implications of

informational and comparative influence

 Sales strategy implications of bargaining

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