475GroupInfluence

Group Influence: 

Group Influence Two or more individuals who share a set of norms, values, or beliefs and have certain implicitly or explicitly defined relationships to one another such that their behavior is interdependent. Groups are different than a collection or amalgamation of individuals. How? Reference groups are those groups within which members influence or have the potential to influence other member’s behaviors. Group: Definition:

Types of Groups: 

Types of Groups Member/Non-member (if non-memb) Aspirational Avoidance Associative vs. Disassociative Formal vs. informal -- based upon membership requirements Primary vs. secondary -- .. Frequency of interaction .. Type of contact (face to face) .. Size

The ASCH Study and Similar Studies: 

The ASCH Study and Similar Studies Asch -- studies in small groups asked about relationships among lines. (4 lines two equal); mistakes in non-group treatment -- 3, group treatment -- 194 Venkatesen -- men’s suits three identical suits Note: evidence suggested that not only verbal conformity occurs but actual beliefs are altered Also, these groups were simple, short-termed and among prior strangers.

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Three Types of Group Influence Normative Informational Identification Conformity Degree of reward or sanction from group Importance of information provided by group Degree to which group attitudes/values guide individual attitudes/values

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Consumption Situations and Reference Group Influences Informational A friend mentions that Brooks Brothers has a good selection of suits. At several friends’ homes, Maxwell House coffee is served. The best skier in the group uses TRAK skis. Needing a new suit, Tim visits a Brooks Brothers store. Tim decides to give Maxwell House a try. Tim buys a set of TRAK skis. Situation Behavioral response Type of influence

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Consumption Situations and Reference Group Influences Normative Two neighbors joke about Tim’s car being dirty. Tim notices that his friends buy premium beers though he can’t taste the difference. An ad stresses that “Even your friends won’t tell you” if you have bad breath — they will just ignore you. Tim washes and waxes his car. For parties, but not for home use, Tim buys some premium beers. Tim buys the recommended mouthwash.

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Consumption Situations and Reference Group Influences Identification Over time, Tim notices that successful executives dress conservatively. Tim sees an ad showing “smart young people on the way up” serving Spring Water. Many of Tim’s friends regularly consume health foods. Tim believes that a conservative image is appropriate for execu-tives and develops a conservative wardrobe. Tim begins to serve Spring Water. Tim decides that health foods are good for you and begins to consume them regularly.

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Reference Groups Change as the Situation Changes Co-workers at weekend job Hometown friends Friends from apartment complex Consumer behavior classmates Intramural basketball team Immediate family Individual Reference group influencing behavior at Thanksgiving Day dinner celebration Reference group influencing behavior at “After the final exam” celebration

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Two Consumption Situation Characteristics and Product/Brand Choice Necessity Non-necessity (Luxury) Consumption Visible (conspicuous) Strong reference group influence on brand Private Weak reference group influence on brand Weak reference group influence on product Public necessities Influence: Weak product & strong brand Examples: Wristwatch, Automobile Private necessities Influence: Weak product & brand Examples: Mattress, Refrigerator Strong reference group influence on product Public luxuries Influence: Strong product & brand Examples: Snow skis, Health club Private luxuries Influence: Strong product & weak brand Examples: Hot tubs, Home entertainment center

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Consumption Situation Determinants of Reference Group Influence High degree of reference group influence Visible/conspicuous usage High relevance of product to group Low individual purchase confidence Strong individual commitment to group Non-necessary/luxury item

Significant Others: 

Significant Others Significant other’s are those reference group members that we typically admire and wish to emulate generally such individuals are not found in formal secondary groups but are prominent in many types of primary groups and informal secondary. Significant others can be: .. Specific individuals .. Generalized others (stereotypes) .. Animated objects

OPINION LEADERS AND DIFFUSION OF INFORMATION: 

OPINION LEADERS AND DIFFUSION OF INFORMATION OPINION LEADER/DEFINED : AN INDIVIDUAL WHO FILTERS, INTERPRETS OR PROVIDES INFORMATION FOR OTHER GROUP MEMBERS. GENERALIZED OPINION LEADERS ARE INDIVIDUALS WHO DO THIS CONSISTENTLY ACROSS PRODUCTS AND GROUPS. NO EVIDENCE THAT SUCH GOLs EXIST, THOUGH THERE TENDS TO BE CORRELATIONS ACROSS SIMILAR PRODUCTS / and SIMILAR GROUPS.

HOW DO WE MEASURE OPINION LEADERSHIP: 

HOW DO WE MEASURE OPINION LEADERSHIP SOCIOMETRIC - ASK GROUP MEMBERS “FROM WHOM DO YOU SEEK ADVICE?” -- RECORD FREQUENCIES ACROSS RESPONDENTS KEY INFORMANT- ASK GROUP MEMBERS WHO THEY BELIEVE IS/ARE AN OPINION LEADER(S) SELF-DETERMINATION-- ASSESS YOUR OWN EXTENT OF INFLUENCE UPON OTHERS OBSERVATION

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CHARACTERISTICS OF OPINION LEADERS OPINION LEADERS ARE TYPICALLY NO DIFFERENT AS COMPARED TO THOSE THEY INFLUENCE, REGARDING: MOST PERSONALITY TRAITS DEMOGRAPHIC CHARACTERISTICS SOCIAL CLASS CHARACTERISTICS

OPINION LEADERS DO DIFFER WITH REGARD TO : : 

OPINION LEADERS DO DIFFER WITH REGARD TO : Types of information sources they rely on Their involvement with mass media Gregariousness Associations with clubs/formal groups Price and style conscious

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Types of Communication Flow Direct Flow 2 Step Flow Message Source Message Source Intended Receiver Message Message Opinion Leader Intended Receiver

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HOW MARKETERS UTILIZE OPINION LEADERS FREE SAMPLES DIRECT CONTESTS AND/OR PROMOTIONS TO THEM FOCUS ON GREGARIOUS TYPES, CREATE CURIOUSITY / INTEREST IN A PRODUCT OR BRAND.

New Product Diffusion: 

New Product Diffusion What is a new product? What factors influencing how rapidly a product is diffused in the marketplace?

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Determinants of a Rapid Rate of Diffusion High observability Rapid diffusion Low risk Low complexity Large relative advantage High compatibility Strong felt need Extensive marketing effort Individual adoption decision Change-prone target market Easy trial

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The New Product Adoption Process Awareness Interest Evaluation Trial Adoption

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Diffusion Rate of an Innovation over Time Time Fast diffusion Percentage of total group adopting innovation 100 0 Typical diffusion Slow diffusion

OPINION LEADERS ARE NOTPRODUCT INNOVATORS: 

OPINION LEADERS ARE NOT PRODUCT INNOVATORS OPINION LEADERS ARE INFORMATION DISSEMINATORS AND ARE TYPICALLY RATHER RISK AVERSE, WHILE INNOVATORS ARE TYPICALLY LESS RISK AVERSE AND PERHAPS EVEN RISK SEEKING. OPINION LEADERS ARE MORE LIKELY TO BE EARLY ADOPTERS. OPINION LEADERS ARE VIEWED AS MORE RELIABLE TO THE RESTOF THE POPULATION THAN ARE INNOVATORS DUE TO THE RISK NATURE OF THE INNOVATOR’S ACTIONS AND STYLE.