CHAPTER 6 – PERSONALITY & LIFESTYLES Study questions Define PERSONALITY When marketers refer to Lifestyles when talking about consumers, what elements/dimensions are they focused on? Who is Freud and what was the focus of his research? Describe the id, ego, and superego and tell how they work together according to Freudian theory. What is the marketing implications of the Freudian system? What is motivational research? What are the criticisms of this research? Give an example of a marketing study that using motivational research. There are 4 Neo-Freudian theories presented in your text book. List the 4 theories and the people with whom these are associated. Karen Horney: Alfred Adler: Harry S. Sullivan: Carl Jung: What are Archetypes as describes by Jung? How do marketers use this concept? Define Personality Traits Describe personality traits relevant to marketers. Contrast idiocentrics and allocentrics. List three problems with applying trait theory to marketing contexts. Define brand personality and give two examples. Define lifestyle. What are some terms that describe lifestyle? What is the basic philosophy behind a lifestyle marketing strategy? Define psychographics, and describe three ways marketers can use it. Part of Psychographic research attempts to group consumers according to some combination of 3 categories: Activities – Interestes – Opinions. What are three specific kinds of AIOs? ? Look at Table 6.3 for examples. What is the 80/20 rule when examining AIO / Lifestyle research Alcohol drinkers vary sharply in terms of the number of drinks they may consume, from those who occasionally have one at a cocktail party to regular imbibers. Explain how the 80/20 rule applies to this product category. How can a marketer use Psychographic segmentation? One type of pscyographic tool is the VALS concept. What is VALS2, and how do marketers use it? Other tools used to determine psychographic segments include the following. Define & explain how each are used: Global Mosaic RISC Geodemography PRIZM by Claitas 1. ANSWERS TO DISCUSSION QUESTIONS Describe the id, ego, and superego and tell how they work together according to Freudian theory. The id is entirely oriented toward immediate gratification—it is the “party animal” of the mind.The superego is the counterweight to the id. This system is essentially the person’s conscience. It internalizes society’s rules (especially as parents teach them to us and works to prevent the id from seeking selfish gratification. Finally, the ego is the system that mediates between the id and the superego. It is in a way a referee in the fight between temptation and virtue. 2. What is motivational research? Give an example of a marketing study that used this approach. In the 1950s, a perspective called motivational research attempted to use Freudian ideas to understand the deeper meanings of products and advertisements. This approach was largely based on psychoanalytic (Freudian) interpretations, with a heavy emphasis on unconscious motives. A basic assumption is that socially unacceptable needs are channeled into acceptable outlets. Motivational research for the American Red Cross did find that men (but not women) tend to drastically overestimate the amount of blood taken from them during a donation. The Red Cross counteracted the fear of loss of virility by symbolically equating the act of giving blood with fertilization: “Give the gift of life.” 3. Describe three personality traits relevant to marketers. Some specific traits that are relevant to consumer behavior include: innovativeness (the degree to which a person likes to try new things); materialism (amount of emphasis placed on acquiring and owning products); self-consciousness (the degree to which a person deliberately monitors and controls the image of the self that is projected to others), and need for cognition (the degree to which a person likes to think about things and by extension expands the necessary effort to process brand information). Another trait relevant to consumer behavior is frugality. Frugal people deny short-term purchasing whims, choosing instead to resourcefully use what they already own. 4. Contrast idiocentrics and allocentrics. Idiocentrics is having an individualist orientation while allocentrics is having a group orientation. 5. List three problems with applying trait theory to marketing contexts. The use of standard personality trait measurements to predict product choices has met with mixed success at best. In general, marketing researchers simply have not been able to predict consumers’ behaviors on the basis of measured personality traits. These are some explanations for these equivocal results: Many of the scales are not sufficiently valid or reliable; they do not adequately measure what they are supposed to measure, and their results may not be stable over time. Personality tests are often developed for specific populations (e.g., mentally ill people); these tests are then “borrowed” and applied to the general population where their relevance is questionable. Often the tests are not administered under the appropriate conditions; people who are not properly trained may give them in a classroom or at a kitchen table. The researchers often make changes in the instruments to adapt them to their own situations, in the process deleting or adding items and renaming variables. These ad hoc changes dilute the validity of the measures and also reduce researchers’ ability to compare results across consumer samples. Many trait scales are intended to measure gross, overall tendencies (e.g., emotional stability or introversion); these results are then used to make predictions about purchases of specific brands. In many cases, a number of scales are given with no advance thought about how these measures should be related to consumer behavior. The researchers then use a “shotgun approach,” following up on anything that happens to look interesting. 6. Define a brand personality and give two examples. A brand personality is the set of traits people attribute to a product as if it were a person. Many of the most recognizable figures in popular culture are spokescharacters for long-standing brands, such as the Jolly Green Giant, the Keebler Elves, or Charlie the Tuna. 7. How does lifestyle differ from income? Lifestyle refers to a pattern of consumption reflecting a person’s choices of how he or she spends time and money. In an economic sense, one’s lifestyle represents the way one has elected to allocate income, both in terms of relative allocations to different products and services, and to specific alternatives within these categories. 8. What is the basic philosophy behind a lifestyle marketing strategy? A lifestyle marketing perspective recognizes that people sort themselves into groups on the basis of the things they like to do, how they like to spend their leisure time, and how they choose to spend their disposable income. 9. Define psychographics, and describe three ways marketers can use it. When marketers combine personality variables with knowledge of lifestyle preferences, they have a powerful lens with which to focus on consumer segments. We call this approach psychographics, which involves the “use of psychological, sociological, and anthropological factors . . . to determine how the market is segmented by the propensity of groups within the market—and their reasons—to make a particular decision about a product, person, ideology, or otherwise hold an attitude or use a medium.” Psychographic studies can take several different forms: A lifestyle profile looks for items that differentiate between users and nonusers of a product. A product-specific profile identifies a target group and then profiles these consumers on product-relevant dimensions. A general lifestyle segmentation places a large sample of respondents into homogenous groups based on similarities of their overall preferences. A product-specific segmentation tailors questions to a product category. For example, in a study done specifically for a stomach medicine, the item “I worry too much” might be rephrased as “I get stomach problems if I worry too much.” This allows the researcher to more finely discriminate between users of competing brands. 10. What are three specific kinds of AIOs? Most contemporary psychographic research attempts to group consumers according to some combination of three categories of variables—activities, interests, and opinions—known as AIOs. Using data from large samples, marketers create profiles of customers who resemble each other in terms of their activities and patterns of product usage. 11. What is VALS2, and how do marketers use it? One well-known segmentation system is The Values and Lifestyles (VALS™) System, developed at SRI International in California. The original VALS™ system was based on how consumers agreed or disagreed with various social issues such as abortion rights. After about 10 years, SRI discovered that the social issues it used to categorize consumers were not as predictive of consumer behavior as they once had been. SRI searched for a more powerful way to segment consumers, and the company discovered that certain lifestyle indicators such as “I like a lot of excitement in my life” were better predictors of purchase behavior than the degree to which a person agreed or disagreed with a social value. The current VALS2™ system uses a battery of 39 items (35 psychological and four demographic) to divide U.S. adults into groups, each with distinctive characteristics. 12. Alcohol drinkers vary sharply in terms of the number of drinks they may consume, from those who occasionally have one at a cocktail party to regular imbibers. Explain how the 80/20 rule applies to this product category. According to a very general rule of thumb frequently used in marketing research called the 80/20 rule, only 20 percent of a product’s users account for 80 percent of the volume of product sold. As far as the consumption of alcoholic beverages is concerned, a minority of the customers consumer the majority of the product. Most of the revenues for this industry are racked up by heavy users.