Chapter 11,Group Influence and Opinion Leadership,CONSUMER BEHAVIOR Fourth Edition Michael R. Solomon,Reference Groups,A Reference Group is an Actual or Imaginary Individual or Group Conceived of Having Significant Relevance Upon an Individuals Evaluations, Aspirations, or Behavior. Reference Groups Influence Consumers in Three Ways:,Informational,Value-Expressive,Utilitarian,Influence and Types of Reference Groups,Normative Influence Reference group helps to set and enforce fundamental standards of conduct. (i.e. family) Comparative Influence Reference group affects decisions about specific brands or activities. (i.e. club) Formal Versus Informal Groups Small, informal groups are more common and important to us because of their high Normative Influence. Larger, formal groups tend to be higher in Comparative Influence.,Membership Versus Aspirational Reference Groups,Propinquity,Mere Exposure,Group Cohesiveness,The Likelihood That People Will Become Part of a Consumers Identificational Reference Group is Affected By:,When Reference Groups Are Important,Luxuries Rather Than Necessities,Socially Conspicuousor Visible to Others,A Reference Groups Influence Is More Powerful and Important for Purchases That Are:,The Power of Reference Groups,Social Power,Referent Power,Legitimate Power,Information Power,Expert Power,Coercive Power,Reward Power,Types of Reference Group Power,Informational Conformity That Occurs Because the Groups Behavior is Taken as Evidence About Reality.,Conformity,Conformity Refers to a Change in Beliefs or Actions as a Reaction to Real or Imagined Group Pressure.,Types of Social Influence,Normative Person Conforms to Meet the Expectations of a Person or Group.,Factors Affecting the Likelihood of Conformity,Cultural Pressures,Fear of Deviance,Commitment,Group Dynamics,Sex Differences,Interpersonal Influences,Social Comparison,Social Comparison Theory assets that we look to the behavior of others to provide a yardstick about reality as a way to increase the stability of ones self-evaluation. Consumers are selective about whom they use for benchmarks. In general, people tend to choose a Co-Oriented Peer, or a person of equivalent standing when performing social comparisons.,Compliance and Obedience,Foot-in-the-Door,Low-Ball Technique,Door-in-the-Face,Make a Small Request First, Then Make a Larger One Later.,Person is Asked for a Small Favor That Turns Out to Be Costly.,Make an Extreme Request First, Then a Reasonable Request Later.,The Way a Request for Compliance is Phrased or Structured Can Make a Difference in Acceptance.,Resistance to Influence,Vs.,Anticomformity Defiance of the Group is the Object of Behavior,Independence Deep-Seated Need to Preserve Freedom of Choice,Reactance People try to Overcome a Loss of Freedom,Word-of-Mouth Communication,Much Information About Products and Services is Actually Conveyed by Individuals on an Informal Basis called Word-of-Mouth Communication (WOM). Factors That Encourage WOM Are:,Person May be Uncertain About a Recent Purchase,Negative Word-of-Mouth,Negative Word-of-Mouth: Is weighted more heavily by consumers than positive comments. Has been shown to reduce the credibility of a firms advertising. May influence consumers attitudes toward a product as well as their intention to buy it.Rumors are the chief form of negative WOM. Rumors often result in Boycotts of products, companies, or services.,Opinion Leaders,An Opinion Leader is Someone Who is Knowledgeable About Products and Whose Advice is Taken Seriously By Others.,Have Prescreened, Evaluated, and Synthesized Product Information,Are Similar to the Consumer in Values and Beliefs,Have Prescreened, Evaluated, and Synthesized Product Information,Are Socially Active in Their Community,Are Technically Competent and Have Expert Power,Are Often Among the First to Buy New Products,Opinion Leaders,Extent of An Opinion Leaders Influence,Very few people are Generalized Opinion Leaders, someone whose recommendations are sought for all types of purchases. More likely, opinion leaders are either: Monomorphic, or an expert in a limited field. Polymorphic, or an expert in several fields. Even opinion leaders who are Polymorphic, tend to concentrate on one broad domain, such as electronics or fashion.,Characteristics of Opinion Leaders,Appearance- Conscious and Narcissistic,Own More Clothing With a Broader Range of Styles,Are Opinion Seekers,Early Communicators,Innovators,Key Characteristics of Opinion Leaders,Socially Active,Like Music and Magazines,Identifying Opinion Leaders,Self-Designating Method,Bona Fide Opinion Leader,Sociometric Method,Key Informant,Marketers Are Interested in Identifying Opinion Leaders Because They Influence Consumer Decision Making.,Examines Referral Behavior,Examines Cliques and Networks,