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CHAPTER TWELVE Subcultures and Consumer Behavior

Learning Objectives 1. To Under Underst stand and What What Subc Subcult ultur ure e Is, Is, and and Its Relationship to Culture. 2. To Unde Unders rsta tand nd Natio National nality ity as a Subc Subcult ultur ural al Influence on Consumer Behavior. 3. To Under Underst stand and Reli Religio gious us Affil Affilia iatio tion n as a Subc Subcult ultur ural al Influence on Consumer Behavior. 4. To Under Underst stand and Geogr Geograph aphic ic and and Regi Regiona onall Resi Residen dences ces as Subcultural Influences on Consumer Behavior.

Learning Objectives 1. To Under Underst stand and What What Subc Subcult ultur ure e Is, Is, and and Its Relationship to Culture. 2. To Unde Unders rsta tand nd Natio National nality ity as a Subc Subcult ultur ural al Influence on Consumer Behavior. 3. To Under Underst stand and Reli Religio gious us Affil Affilia iatio tion n as a Subc Subcult ultur ural al Influence on Consumer Behavior. 4. To Under Underst stand and Geogr Geograph aphic ic and and Regi Regiona onall Resi Residen dences ces as Subcultural Influences on Consumer Behavior.

Learning Objectives (continued) (continued) 5. To Unde Unders rsta tand nd Racia Raciall Ident Identity ity as a Subc Subcult ultur ural al Influence on Consumer Behavior. 6. To Unde Unders rsta tand nd Age Age as a Subcu Subcultu lturral Influ Influenc ence e on Consumer Behavior. Behavior. 7. To Under Underst stand and Gend Gender er as a Subcu Subcultu lturral Influe Influence nce on on Consumer Behavior. Behavior. 8. To Under Underst stand and How How Multip Multiple le Subcul Subcultur tural al Memberships Jointly Influence Consumer Behavior.

Why Is State Farm Running Magazine Ads in Spanish? At Whom Are These Ads Directed?

To Build their Market by Reaching the Hispanic American Consumer

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Chapter Twelve Slide

5

Subculture

A distinct cultural group that exists as an identifiable segment within a larger, more complex society.

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Chapter Twelve Slide

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Discussion Questions •

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Would you categorize yourself as belonging to any subcultures? How does it affect your consumer purchases?

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Chapter Twelve Slide

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Relationship Between Culture and Subculture - Figure 12.2

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Chapter Twelve Slide

8

Examples of Major Subcultural Categories Table 12.1 CATEGORIES

EXAMPLES

 Nationality

Greek, Italian, Russian

Religion

Catholic, Hindu, Mormon

Geographic region

Eastern, Southern, Southwestern

Race

African American, Asian, Caucasian

Age

Teenagers, Xers, elderly

Gender 

Female, male

Occupation

Bus driver, cook, scientist

Social class

Lower, middle, upper 

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Chapter Twelve Slide

9

Nationality Subculture - Hispanic •

•

•

•

Stronger preference for well-established brands Prefer to shop at smaller stores Some are shifting food shopping to nonethnic American-style supermarkets Youths are more fashion conscious than non-Hispanic peers

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Chapter Twelve Slide 10

Why Is Days Inn Running Ads in Spanish, and Who Are the Consumers Targeted by Such Ads?

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Chapter Twelve Slide 11

Because Hispanic Americans who Speak Spanish as a First Language Tend to Prefer Spanish-Language Advertising

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Chapter Twelve Slide 12

Nationality Subculture – Hispanic U.S. Hispanic Population by Place of Origin Figure 12.3

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Chapter Twelve Slide 13

Segmenting the Hispanic Market Figure 12.5

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Chapter Twelve Slide 14

Religious Subcultures •

•

200+ organized religious groups in the U.S. Primary organized faiths include:  –

 –

 –

 –

•

Protestant denominations Roman Catholicism Islam Judaism

Consumer behavior symbolically and ritualistically associated with the celebration of religious holidays. Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Chapter Twelve Slide 15

Regional Subcultures •

Many regional differences exist in consumption behavior  –

 –

 –

 –

Westerners have a mug of black coffee Easterners have a cup of coffee with milk and sugar White bread is preferred in the South and Midwest Rye and whole wheat are preferred on the East and West coasts

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Chapter Twelve Slide 16

Major Racial Subcultures African American •

The African American Consumer  –

13 percent of the U.S. population

 –

Purchasing power estimated at $845 billion

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Chapter Twelve Slide 17

What Are the Strategic Goals of This Ad?

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Chapter Twelve Slide 18

This Ad is Placed in “Black Media” which is Very Important to Many African Americans.

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Chapter Twelve Slide 19

Major Racial Subcultures African American •

•

•

•

Prefer leading brands over private-label brands Brand loyal Higher than average trips to grocery store and higher spending Spend more then other segments on telephone services

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Chapter Twelve Slide 20

Major Racial Subcultures Asian American •

Fastest growing racial segment

•

Diverse group including 6 major ethnicities:  –

•

Chinese, Filipino, Indian, Vietnamese, Korean, and Japanese

95% live in metropolitan areas and business ownership is high

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Chapter Twelve Slide

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Region of Residence for Selected Subcultural Groups  – Figure 12.7

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Chapter Twelve Slide

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Major Racial Subcultures Asian American •

•

•

Increasing buying power

Figure 12.8

Diverse so few trends Many prefer ads in English as language is self reported as well spoken

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Chapter Twelve Slide 23

Major Age Subcultures

Generation Y

Generation X

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Baby Boomers

Seniors

Chapter Twelve Slide 24

Generation Y •

•

•

According to sources, born 1977-1994 OR 1982-2000 Three groups  –

Gen Y Adults  – 19-28

 –

Gen Y Teens  – 13-18

 –

Gen Y Tweens 8-12

Twixters – 21-29 and live with parents

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Chapter Twelve Slide 25

Discussion Questions •

•

Is it ethical for marketers of high-priced goods, an iPod for example, to target tweens? How might they market responsibly?

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Chapter Twelve Slide 26

Generation X •

Born between 1965 and 1979

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Also referred to as Xers, busters, or slackers

•

Do not like labels, are cynical, and do not want to be marketed to

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Chapter Twelve Slide 27

Baby Boomers •

•

•

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Born between 1946  – 1964 More than 40 percent of the adult population Motivated consumers Not anxious to retire and handle it as:  –

 –

 –

 –

Opportunity for a new start A continuation of preretirement life Unwelcome disruption Transition to old age

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Chapter Twelve Slide 28

Older Consumers •

•

•

Roughly 65 years and older Growing segment due to better medical care, declining birthrate and the aging of the large baby boomer segment Three segments by age  –

The Young-Old (65-74)

 –

The Old (75-84)

 –

The Old-Old (85 and older)

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Chapter Twelve Slide 29

Older Consumers •

•

Segmentation can also be done on motivations and quality-of-life orientation Cyberseniors

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Chapter Twelve Slide 30

How Seniors Use the Internet Figure 12.9

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Chapter Twelve Slide 31

Discussion Questions •

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How might the three senior segments differ in their consumption of food products? How might a marketer of a food product market differently to the three subgroups?

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Chapter Twelve Slide 32

Issues in Understanding Gender as a Subculture •

Sex Roles and Consumer Behavior  –

Masculine vs. Feminine Traits

•

Consumer Products and Sex Roles

•

Women as depicted in Media

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Chapter Twelve Slide 33

Working Women •

Segments of ALL women  –

Stay-at-home

 –

Plan-to-work

 –

Just-a-job working

 –

Career-oriented working

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Chapter Twelve Slide 34

Consumer Electronics Products Women Are Most Interested in Buying - Figure 12.10

Subcultural Interaction

Marketers should strive to understand how multiple subcultural memberships jointly influence consumers  behavior