It includes groups (reference, aspirational and member groups), family, roles and status. This explains the outside influences of others on our purchase decisions either directly or indirectly. Social factors are among the factors influencing consumer behavior significantly.
They fall into three categories:
Reference groups & Membership Groups
Family and
Social roles and status.
Reference groups and membership groups
The membership groups of an individual are social groups to which he belongs and which will influence him. The membership groups are usually related to its social origin, age, place of residence, work, hobbies, leisure, etc. Reference groups have potential in forming a person's attitude or behavior. The impact of reference groups varies across products and brands.
Example- If the product is visible such as dress, shoes, car etc then the influence of reference groups will be high. Reference groups also include opinion leader (a person who influences other because of his special skill, knowledge or other characteristics).
They influence the image that the individual has of himself as well as his behavior. Whether it is a membership group or a non-membership group. Because the individual can also be influenced by a group to which he doesn't belong yet but wishes to be part of. This is called an aspirational group. This group will have a direct influence on the consumer who, wishes to belong to this group and look like its members, and will try to buy the same products.
Example- A person doesn't need it yet, a beginner may want to buy "sports bike" just as used by other friends (aspirational group) in order to get closer to this group.
While a teen may want the smartphone or of the same price range or with those very features used by the group of popular guy from his high school (aspirational group) in order to be accepted by this group.
Some brands have understood this very well and communicate, implicitly or not, on the social benefit provided by their products.
Within a reference group that influences the consumer buying behavior, several roles have been identified:
The initiator: The person who suggests buying a product or service
The influencer: The person whose point of view or advice will influence the buying decision. It may be a person outside the group (singer, athlete, actor, etc) but on which group members rely on.
The decision-maker: The person who will choose which product to buy. In general, it's the consumer but in some cases it may be another person.
Example- The leader of a cricket supporters group (membership group) that will define, for the whole group, which supporter's T-shirt to buy and wear during the next match.
The buyer: The person who will buy the product. Generally, this will be the final consumer.
Family
The family is maybe the 'most influencing factor' for an individual. It forms an environment of socialization in which an individual will evolve, shape his personality, acquire values. But also develop attitudes and opinions on various subjects such as politics, society, social relations or himself and his desires.
Buyer behavior is strongly influenced by the member of a family. Therefore marketers are trying to find the roles and influence of the husband, wife and children. If the buying decision of a particular product is influenced by wife then the marketers will try to target the women in their advertisement. Here we should note that buying roles change with change in consumer lifestyles.
Example- If you have never drunk Coke during your childhood and your parents have described it as a product full of sugar and not good for health . There is far less chance that you are going to buy it when you will grow up that someone who drinks Coke since childhood.
Social roles and status
The position of an individual within his family, his work, his country club and his group of friends etc. All this can be defined in terms of role and social status. A social role is a set of attitudes and activities that an individual is supposed to have and do according to his profession and his position at work, his position in the family, his gender, etc. and expectations of the people around him.
Example- A consumer may buy a Ferrari or a Porsche for the quality of the car but also for the external signs of social success that this kind of cars represents.
Moreover, it is likely that a CEO driving a small car like a Ford Fiesta or a Volkswagen Golf would be taken less seriously by its customers and business partners than if he is driving a German luxury car.
And this kind of behaviors and influences can be found at every level and for every role and social status. Again, many brands have understood it by creating an image associated with their products reflecting an important social role or status.
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