Chapter 11 Group Influence and Opinion Leadership By Michael R. Solomon Consumer Behavior Buying, Having, and Being Sixth Edition 11 - 1 Opening Vignette: Zachary • Does Zachary meet your mental stereotype for a Harley Davidson owner? • Why does Zachary desire to have more Harley “stuff”? • How do Zach’s fellow RUBs influence his purchases? • What benefits does Zach enjoy from his association with other Harley owners? 11 - 2 Harley Owners Group 11 - 3 Reference Groups • Reference Group – An actual or imaginary individual or group conceived of having significant relevance upon an individual’s evaluations, aspirations, or behavior – Three ways reference groups influence consumers • Informational • Utilitarian • Value-Expressive – Some people are more influential than others in affecting consumers’ product preferences. 11 - 4 Relative Reference Groups’ Influence on Purchase Intention Figure 11.1 11 - 5 When Reference Groups Are Important • Social Power: – The capacity to alter the actions of others • Referent Power: – When consumers imitate qualities by copying behaviors of a prominent person they admire. • Information Power: – Able to influence consumer opinion by virtue of their (assumed) access to the “truth” • Legitimate Power: – Granted to people by virtue of social agreements, sometimes conferred by a uniform 11 - 6 Expert Power • A physician has expert power, and a white coat reinforces this expertise by conferring legitimate power. 11 - 7 When Reference Groups Are Important (cont.) • Expert Power: – Derived from possessing specific knowledge about a content area • Reward Power: – When a person or group has the means to provide positive reinforcement • Coercive Power: – Influencing a person by social or physical intimidation 11 - 8 Types of Reference Groups • Reference Group: – Any external influence that provides social cues • Normative Influence: – The reference group helps to set and enforce fundamental standards of conduct. • Comparative Influence: – When decisions about specific brands or activities are affected. 11 - 9 Discussion Question • Marketers often portray products being used in groups that represent favorable reference groups to the target market. • What type of message does this ad convey? What type of influence is this ad designed to exert on its target audience? 11 - 10 Brand Communities and Tribes • Brand Community: – A set of consumers who share a set of social relationships based upon usage or interest in a product. • Brandfests • Consumer Tribe: – A group of people who share a lifestyle and who can identify with each other because of a shared allegiance to an activity or product. • Tribal Marketing: – To link one’s product to the needs of a group as a whole. 11 - 11 Products as a Way to be Popular • Many products, especially those targeted to young people, are often touted as a way to take the inside track to popularity. This Brazilian ad lets us know about people who don’t like a certain shoe. 11 - 12 Membership vs. Aspirational Reference Groups • Aspirational Reference Groups – Comprise idealized figures such as successful business people, athletes, or performers. • Membership Reference Group – Ordinary people whose consumption activities provide informational social influence. • Propinquity: Physical nearness. • Mere Exposure: Liking persons or things simply as a result of seeing them more often (mere exposure phenomenon) • Group Cohesiveness: The degree to which members of a group are attracted to each other and value their group membership. 11 - 13 Match.com 11 - 14 Positive Versus Negative Reference Groups • Avoidance Groups – Groups that consumers purposely try to distance themselves from • Nerds • Druggies • Preppies – The motivation to distance oneself from a negative reference group can be as powerful or more powerful than the desire to please a positive group 11 - 15 Positive Reference Groups • This recruiting ad presents a compelling role model for young women contemplating a career in the armed forces. 11 - 16 Consumers Do it in Groups • Deindividuation: – A process in which individual identities become submerged within a group. • Social Loafing: – People do not devote as much to a task when their contribution is part of a larger group effort • Risky Shift: – Group members are willing to consider riskier alternatives subsequent to group discussion • Diffusion of Responsibility: – As more people are involved in a decision, each individual is less accountable for the outcome 11 - 17 Deindividuation • Costumes hide our true identities and encourage deindividuation. 11 - 18 Consumers Do it in Groups (cont.) • Value Hypothesis: – Riskiness is a culturally valued characteristic to which individuals feel pressure to conform • Decision Polarization: – Whichever direction the group members were leaning toward before discussion becomes more extreme subsequent to discussion • Home Shopping Parties: – Capitalize on group pressures to increase sales 11 - 19 Home Shopping Parties • Women at a home Tupperware party. 11 - 20 Group Influences • Group pressure often influences our clothing choices. 11 - 21 Conformity • Conformity – A change in beliefs or actions as a reaction to real or imagined group pressure. • Norms – Informal rules that govern behavior. • Factors Influencing the Likelihood of Conformity – Cultural Pressures – Fear of Deviance – Commitment • Principle of Least Interest – Group Unanimity, Size, and Expertise – Susceptibility to Interpersonal Influence • Role-relaxed consumers 11 - 22 Social Comparison • Social Comparison Theory: – Asserts that people look to the behavior of others to increase the stability of their self-evaluation – Co-oriented peer: A person of equivalent standing • Resisting Conformity: – Independence: Being oblivious or indifferent to the expectations of others – Anticonformity: Defiance of the group is the actual behavior – Reactance: The negative emotional state that results when we are deprived of our freedom to choose 11 - 23 Word of mouth 11 - 24 Word-of-Mouth Communication • Word-of-Mouth (WOM): – Product information transmitted by individuals to individuals. • Negative WOM and the Power of Rumors: – Negative WOM: Consumers weigh negative info from other consumers more heavily than they do positive comments 11 - 25 Discussion Question • This ad for a video game says, “Conformity Bytes!”, but then captions, “Join the Revolution!” Why? • Does this ad encourage independence or anticonformity? 11 - 26 Word-of-Mouth • The U.S. Postal Service hopes to create a buzz via word of mouth. 11 - 27 Rumors • Hoaxkill.com is a Web site dedicated to tracking hoaxes and debunking product rumors. 11 - 28 The Transmission of Misinformation Figure 11.2 11 - 29 Changing Information • Serial Reproduction: – Technique to examine the phenomenon that information changes as it is transmitted among consumers • Assimilation: Distortions tend to follow a pattern from ambiguous to conventional to fit with existing schemas • Leveling: Details are omitted to simplify structure • Sharpening: Prominent details are accentuated 11 - 30 Cutting-Edge WOM Strategies • Virtual Communities – Virtual Community of Consumption: A collection of people whose online interactions are based upon shared enthusiasm for and knowledge of a specific consumption activity. • • • • Multi-user Dungeons (MUD) Rooms, rings and lists (e.g. chat rooms) Boards Blogs (weblog) 11 - 31 Multi-User Dungeons 11 - 32 Four Types of Virtual Community Members • Tourists: – Lack strong social ties to the group • Minglers: – Maintain strong social ties, but are not interested in the central consumption activity • Devotees: – Express strong interest in the activity, but have few social attachments to the group • Insiders: – Exhibit both strong social ties and strong interest in the activity 11 - 33 Virtual Communities Figure 11.3 11 - 34 Guerrilla Marketing • Guerrilla Marketing – Promotional strategies that use unconventional locations and intensive word-of-mouth campaigns to push products. • Brand Ambassadors • Viral Marketing – Refers to the strategy of getting customers to sell a product on behalf of the company that creates it. 11 - 35 Guerrilla Marketing Ads • Ads painted on sidewalks are one form of guerrilla marketing. 11 - 36 Opinion Leadership • The Nature of Opinion Leadership – Opinion Leaders: People who are knowledgeable about products and whose advice is taken seriously by others. – Homophily: The degree to which a pair of individuals is similar in terms of education, social status, and beliefs. • How Influential Is an Opinion Leader? – Generalized Opinion Leader: Somebody whose recommendations are sought for all types of purchases. – Monomorphic: An expert in a limited field. – Polymorphic: An expert in many fields. 11 - 37 Opinion Leaders Market Shoes • Opinion leadership is a big factor in the marketing of athletic shoes. Many styles first become popular in the inner city and then spread by word-ofmouth. 11 - 38 Types of Opinion Leaders • Innovators – Early purchasers • Innovative Communicators – Opinion leaders who also are early purchasers – Opinion leaders also are likely to be opinion seekers • The Market Maven – Describes people who are actively involved in transmitting marketplace information of all types. • The Surrogate Consumer – A person who is hired to provide input in purchase decisions. 11 - 39 Cool hunters and mavens • • • Maven - unpaid enthusiasts who initiate discussions with consumers and respond to requests for information – neighbourhoods mavens – professional mavens (critics, reviewers, correspondents) – celebrity mavens (Beckham) modern consumers need maverns to – seek relevant information – provide a ‘trustworthy’ recommendation – decide which is best examples – Blair Witch Project – Harry Potter http://www.NewConsumer.co.uk/ Lewis and Bridger 2000 11 - 40 Perspectives on the Communications Process Figure 11.4 11 - 41 Fashion Opinion Leaders • Fashion opinion leaders tend to be knowledgeable about clothing and highly motivated to stay on top of fashion trends. 11 - 42 Identifying Opinion Leaders • Self-designated Opinion Leaders • Sociometric Methods – Trace Communication patterns among members of a group. – Referral Behavior – Network Analysis: Focuses on communication in social systems – Referral Network – Tie Strength: The nature of the bond between people. – Bridging Function: Allows a consumer access between subgroups. – Cliques: Subgroups 11 - 43 Revised Opinion Leadership Scale Figure 11.5 11 - 44