Impact Of Culture And Subculture On Consumer Behavior

Assignment on “Impact of culture and subculture on consumer Behavior”

Submitted by Sandeep singh MBA Roll no 81501317094

THE IMPACT OF CULTURE AND SUBCULTURE ON CONSUMER BEHAVIOR The study of culture is a challenging undertaking because its primary focus is on the broadest component of social behavior - an entire society In contrast to the psychologist, who is principally concerned with the study of individual behavior, or the sociologist, who is concerned with the study of groups, the anthropologist is primarily interested in identifying the very fabric of society itself

What Is Culture? Given the broad and pervasive nature of culture, its study generally requires a detailed examination of the character of the total society, including such factors as language, knowledge, laws, religions, food customs, music, art, technology, work patterns, products, and other artifacts that give a society its distinctive flavor In a sense, culture is a society's personality For this reason, it is not easy to define its boundaries Because our objective is to understand the influence of culture on consumer behavior, we define culture as “the sum total of learned beliefs, values, and customs that serve to direct the consumer behavior of members of a particular society” The belief and value components refer to the accumulated feelings and priorities that individuals have about "things" and possessions. More precisely, beliefs consist of the very large number of mental or verbal statements (i.e. "I believe ____") that reflect a person's particular knowledge and assessment of something (another person, a store, a product, a brand) Values also are beliefs However; values differ from, because they meet the following criteria (1) They are relatively few in number (2) They serve as a guide for culturally appropriate behavior (3) They are enduring or difficult to change (4) They are not tied to specific objects or situations (5) They are widely accepted by the members of a society Therefore, in a broad sense, both values and beliefs are mental images that affect a wide range of specific attitudes that, in turn, influence the way a person is likely to respond in a specific situation. For example, the criteria a person uses to evaluate alternative brands in a product category (such as Volvo versus Jaguar automobiles), or his or her eventual

preference for one of these brands over the other, are influenced by both a person's general values (perceptions as to what constitutes quality and the meaning of country of origin) and specific beliefs (particular perceptions about the quality of Swedish-made versus English-made cars) In contrast to beliefs and values, customs are overt modes of behavior that constitute culturally approved or acceptable ways of behaving in specific situations Customs consist of everyday or routine behavior For example, a consumer's routine behavior, such as adding sugar and milk to coffee, putting ketchup on hamburgers putting mustard on frankfurters, and having a salad after rather than before the main course of a meal, are customs Thus, whereas beliefs and values are guides for behavior, customs are usual and acceptable ways of behaving Understanding of various cultures of a society helps marketers predict consumer acceptance of their products

What is Subculture? The members of a specific subculture possess beliefs, values, and customs that set them apart from other members of the same society. In addition, they adhere to most of the dominant cultural beliefs, values, and behavioral patterns of the larger society. We define subculture, then, as “a distinct cultural group that exists as an identifiable segment within a larger, more complex society”. Thus, the cultural profile of a society or nation is a composite of two distinct elements (1) The unique beliefs, values, and customs subscribed to by members of specific subcultures (2) The central or core cultural themes that are shared by most of the population, regardless of specific sub-cultural memberships. Relationship Between Culture and Subculture

The above figure presents a simple model of the relationship between two sub-cultural groups (geographic or regional subcultures (Easterners and Westerners) and the larger culture. As the figure depicts, each subculture has its own unique traits, yet both groups share the dominant traits of the overall American culture. In other words - each American is, in large part, a product of the American way of life. Each American, however, is at the same time a member of various subcultures. For example, an 11-year-old boy may simultaneously be Hispanic American, Catholic, preteen and a South Carolinian. We would expect that membership in each different subculture would provide its own set of specific beliefs, values, attitudes, and customs.

Examples of Major Sub-cultural Categories Categories Nationality Religion Geographic region Race Age Gender Occupation Social class

Examples Jamaican, Vietnamese, French Mormon, Baptist, Catholic Northeast. Southwest, Midwest Pacific Islander, Native American, Caucasian Senior citizen, teenager Female, male Bus driver, mechanic, engineer, executive Lower, middle, upper

Table above lists typical sub-cultural categories and corresponding examples of specific sub-cultural groups. This list is by no means exhaustive. Subcultural analysis enables the marketing manager to focus on sizable and natural market segments. When carrying out such analyses, the marketer must determine whether the beliefs, values, and customs shared by members of a specific subgroup make them desirable candidates for special marketing attention. Subcultures, therefore, are relevant units of analysis for market research. However these subcultures are dynamic - the different ethnic groups that comprise the U.S. population have been changing and will continue to change in size and economic power in the coming years. For instance, the white (non-Hispanic) population of the Unites States, which made up 71 percent of Americans in the year 2000, is projected to represent about 53 percent of the U.S. population by the year 2050. Frequently a "window on the future," the State of California in 1999 reported that the state's multicultural or combined minority population became the state's majority population. A recent study of ethnic media usage in California also found that 84 percent of Asian American, African American, and Hispanic American respondents claimed to get information from ethnic television, radio, and publications. Furthermore, 68 percent

preferred ethnic-language TV stations to English channels for news, and 40 percent reported paying greater attention to ethnic language ads than English-language ads.

The Impact of Culture The impact of culture is so natural and automatic that its influence on behavior is usually taken for granted For instance, when consumer researchers ask people why they do certain things, they frequently answer, “Because it's the right thing to do” This seemingly superficial response partially reflects the ingrained influence of culture on our behavior Often it is only when we are exposed to people with different cultural values or customs (as when visiting a different region or a different country) that we become aware of how culture has molded our own behavior Thus, a true appreciation of the influence that culture has on our daily life requires some knowledge of at least one other society with different cultural characteristics For example to understand that brushing our teeth twice a day with flavored toothpaste is a cultural phenomenon requires some awareness that members of another society either do not brush their teeth at all or do so in a distinctly different manner than our own society Perhaps the following statement expresses it best ‘Consumers both view themselves in the context of their culture and react to their environment based upon the cultural framework that they bring to that experience Each individual perceives the world through his own cultural lens’

The Impact of Subculture Black Subculture A high proportion of families are headed by women Black women influence many purchases that might otherwise be purchased by men Advertising often appeals to the strength black women portray in life Often unavailability of shopping areas in neighborhoods causes great disparity in spending power Differences in decision making patterns and in media usage

Hispanics They think of themselves as Hispanic or Latino first and as Americans second 90% indicate that Spanish is the most important feature of their culture Two-thirds of Hispanics prefer to speak Spanish at home 20% of Hispanics do not speak English at all Key Ideas • • •

Latinos are concentrated geographically Latinos are generally brand loyal Latinos emphasize the importance of the family

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Latin identity - ethnic identity Importance of religion

Religious Subcultures • • • •

What is the impact of Catholicism, Protestantism, Judaism, Islam, etc on the products the consumers buy and use? The holidays they celebrate? The foods they should and should not use? The gifts they give?

What do people know about their religious heritage? If they are second or thirdgeneration, do they need information Subculture Based on Age Preteens They influence purchases in approx. 60 product categories They select the stores in which they spend their own money By appealing to preteens, marketers build brand loyalty at an early stage The medium of choice for them is television Teens • • • • • • •

They make up 6% of the population, but growth will be flat until 2010 They have been segmented into several lifestyle groups Increasing influence on purchasing Increasing spending power Teens are preoccupied with their appearance They are open to new ideas and new products Teens are avid television viewers

Young Adults—Generation X • • • •

Those born between 1965 and 1977 (40 million people) They are distrustful of marketing They look for a balance between work and leisure Gen X-ers are close to their parents and they tend to live at home

Generation X (continued) • • •

They are not drawn to traditional forms of advertising (i.e., hyping up products) Gen X-ers express their need to stay in control by purchasing communications equipment such as beepers, fax machines, e-mail, and mobile phones They prefer products based on their practicality

Baby Boomers Those born between 1946 and 1964 (78 million) Total income is over $1 trillion, increasing at a rate of 10% per year (versus 5% for the rest of the population) They have a high level of education They have more discretionary income than other groups and they buy more and save less Boomers are health conscious Baby Boomers (continued) They are becoming less materialistic in outlook and their product and service selections reflect their concern for the environment and quality of life They use credit cards and buy expensive exercise equipment Boomers keep up with fashions The marketing of nostalgia works well with them (especially older baby boomers) Seniors There were approx. 35 million people over 65 in 2000—it is the fastest growing segment of the population