10 LIFESTYLES, VALUES AND CULTURE Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski Lifestyles, values and culture At the end of this session, you should understand: • • • • • • • • What is meant by lifestyle, values and culture The use of lifestyle factors in market segmentation The increasing use of technology in market segmentation The major social and lifestyle trends that will influence marketing in the coming years The influence of consumer values on buying behaviour The influence of culture on consumer behaviour The unique consumption behaviour of subcultures and the influence of cultural diversity on mainstream consumption The influence of social class on consumption Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-2 Lifestyle, values and culture defined • Lifestyle – The way we choose to allocate our time and resources • Values – A reflection of our fundamental belief systems • Culture – A complex system of knowledge, values, customs and beliefs that are shared by a society Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-3 Lifestyle segmentation • Lifestyle segmentation looks at differentiating between groups of consumers based on their lifestyles – the activities they are involved in, their interests and their opinions • Two broad approaches to lifestyle segmentation: – AIO – Activities Interests Opinions VALS Values and lifestyles Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-4 Roy Morgan ‘VALS’ model Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-5 Roy Morgan ‘VALS’ model Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-6 Changing Australian lifestyles • • • • • • • Australia’s ageing population Internet usage and online purchasing Internet usage by children Social and lifestyle trends – Media consumption trends – Sports and marketing in Australia Time poor consumers Healthy lifestyles Changing gender roles and society See EXHIBIT 10.1 Targeting the time poor customer, page 285. Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-7 Marketers of skin-care products now target men See EXHIBIT 10.2 Marketers of many products now target men specifically, page 286. Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-8 Patriotism and the Australian identity • ‘Australian made and owned’ See EXHIBIT 10.3 Australian-made Dick Smith Foods, page 287. • What does this statement mean to you? Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-9 Culture • Our basic system of values – incorporates knowledge, beliefs, art, morals, laws, customs and other habits acquired by members of a society • Made up of three interrelated elements: – – – Physical environment – natural geography Social environment – political, educational, family, class structures Training environment – formal and informal socialisation Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-10 Elements of culture • Norms – – – Shared values or ‘rules’ These outline acceptable behaviour of that culture Includes legal norms - laws • Values – Shared social ideals – which are a reflection of social norms Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-11 Society and socialisation • By interacting within a society we learn from them • Primary tool for socialisation is our family • Also learn from – – – School Peer groups Media Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-12 Cultural diversity - subcultures • List the types of ethnic restaurants available in your city or town Subcultures • A subculture is a group within the wider community that has a unique set of characteristics, motivations and patterns of behaviour • This includes: – – – • Different ethnic groups and communities The youth market Baby boomers and the ageing market There are numerous marketing opportunities appealing to different subcultures within the wider community Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-13 ACTIVITY • Discuss the concept of sub culture. Can you identify some sub cultures within China? Within Shanghai? Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-14 Social class and social stratification • Social class system: – A hierarchical division of a society into relatively distinct and homogeneous groups with respect to attitudes, values and lifestyles • Social stratification – The division of a society into different social tiers known as classes • Does social class exist in Australia? Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-15 Theories on social class • Social stratification • Middle Australia • The ‘AB’ demographic • Measuring social class Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-16 ACTIVITY • Discuss the idea of social class in a marketing context. • How do marketers use social class in Australia to segment the market? Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-17 ACTIVITY • Now think about China. What differences are there between rural dwellers and urban dwellers? Concentrate on issues that affect Buyer Behaviour. Are there other social groups in China? Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-18 ACTIVITY • Think about a shopping centre that you are familiar with. Picture some of the retail outlets and the type of merchandise they have. • Do these outlets appeal to different social classes? Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-19 Marketing implications of social class • Market segmentation and product positioning – E.g. luxury, prestige cars appealing to those with high social status See EXHIBIT 10.6 This advertisement represents ‘visible achievement’, page 306. Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-20 A social class appeal See EXHIBIT 10.5 A social class appeal, page 301. Copyright 2005 McGraw-Hill Australia Pty Ltd PPTs t/a Consumer Behaviour by Karen Webb Slides prepared by Sarah Fletcher and Morena Dobrowolski 10-21