S8 - Culture and Consumer behaviour Flashcards
What are the six main universal values who differs from one culture to another?
- Power distance belief
- The extent to which the members of a society accept and expect that power is distributed unequally - Individualism/Collectivism
- The extent to which the members of a society prioritize individual goals or group interests. - Indulgence
- The extent to which the members of a society consider gratification of hedonic desires (have fun) as free or more strict (restraint) - Uncertainty Avoidance
- The extent to which the members of a society tolerate uncertainty/ambiguity - Femininity/Masculinity
- The extent to which members of society values traits traditionally associated with men or women - Long-term Orientation
- The extent to which the members of a society are focused on obtaining gains in the short term or in the future
What differs from one culture to another? Why are they important in marketing
Values, norms, rituals, language, symbols and meaning shared by the members of a society.
“Personality of a society”.
They influence our consumption decisions.
What should brands prioritize in ads when there is a high power distance belief? low?
High:
- Featuring celebrities (respect higher status, trusted more than non-celebrities)
Low:
- Ordinary people
What should brands prioritize in ads in collective societies? individualist?
Collective:
- local brands
- they don’t want to stand out
Individualist:
- radical product innovation (standing out)
What should brands prioritize in ads when there is a high uncertainty avoidance? low?
High:
- mass customization -> multiple choice -> more uncertainty
Low:
- after sales service (reduces perceived risk)
What should brands prioritize in ads in a feminine culture? masculine culture?
Masculine:
- competitiveness, dominance, social power
- luxury brand (signal social status and power)
Feminine
- compassion, empathy, nurturance, modesty
What should brands prioritize in ads when there is a high long-term orientation score? low?
long-term orientation:
- future rewards
- durability
- more convincing
short term orientation:
- immediate gratifications, gains, present-day realities
- more impulsive
What should brands prioritize in ads when there is a high indulgence score? low?
high indulgence:
- relaxed, open to change, value enjoyment
high restraint:
- traditional, conformism, self-control, social obligations
What are norms? Why is it important for international brands to consider them?
Norms: rules dictating what is right or wrong, what is acceptable or not.
Important to have a good knowledge of norms in a country and to respect them.
If a brand breaks a norm in a certain country -> public backlash.
What are rituals? Why is it important for international brands to consider them?
Rituals: Activities that occur in a fixed sequence and that tend to be repeated periodically.
Important for companies to consider them for two main reasons:
- A majority of these rituals involves a consumption of goods, which companies could supply (be part of the ritual).
- A company can build rituals around their products/services. Or associates actual rituals with them.
Why do companies need to consider language and symbols?
There are meanings attached to symbols (colours, numbers).
Ex.: death = black in North America and white in China.
Make sure that marketing strategy are well aligned with a country’s cultural orientation.
How to decide between standardization or localization?
No general rule, it depends.
The more different the countries are in the way to behave towards a product category, more localization strategy is necessary.
What are three important subcultures that we need to consider?
Subculture: smaller culture within a broader culture.
Age
- generations, age cohorts
Regions
- regional market are important (ex.. Quebec vs Canada)
Ethnicity
- multicultural countries
- shapes consumption decision (ex.: muslim don’t eat pork)
What are microcultures? Examples?
Small groups of people with common lifestyle/aesthetic preference.
Strong identification with an activity/art form. Unique set of norms, vocabulary, product insignias)
Examples:
- fans of Star Wars
- followers of certain sports leagues (hockey fans)
- fans of TV series
- consumers of brand (ex.: Dime, Supreme)
Why do people do word-of-mouth?
- Impression management
- identify signalling, self-enhancement - Emotion regulation
- venting, vengeance, support, reducing dissonance - Social bonding
- reducing loneliness, reinforcing shares values - Informing others
- help others make better decisions, resolve problems - Persuading others
