Chapter 4, 5, & 6

Mature Market:

Pre-Depression, Depression, Baby Boomers

Define a Generation or age cohort

A generation or age cohort is a group of persons who have experienced a common social, political, historical, and economic environment.

Household Life Cycle

- Each HLC stage presents unique needs and wants as well as financial conditions and experiences. - HLC provides marketers with relatively homogeneous household segments that share similar needs with respect to household-related problems and purchases.

Generation X (1960's-1980's)

- Exposed to civil rights - Exposed to 9/11 - Technology - Smaller than previous generations - highly educated, more college attendance & graduates than PREVIOUS generations - More diverse and open to diversity - Both cynical and sophisticated about products, ads and shopping - Materialistic and impatient

Generation Y/Millennials (1980's on)

- Internet was completely out - 9/11 shaped environment - Really Two Sub-Markets: Young Gen Y and Older Gen Y - Expected to have at least as high of education level as previous generation

characteristics of the ethnic subcultures:

- African Americans - Hispanics - Asian Americans - Native Americans (American Indians) - Asian-Indian Americans - Arab Americans

Baby Boom (1945-1960)

- Mature Market - Higher income, Higher education - More tech savvy - defining retirement differently - Strong market for "anti-aging" products, travel, and financial services - Often alienated by overly "youth oriented" appeals in ads

What are the 5 generation cohorts that we have?

- Pre-Depression (1930 and prior) - Depression (1930-1945) - Baby Boom (1945-1960) - Generation X (1960's-1980's) - Generation Y/Millennials (1980's on)

Regional subcultures arise as a result of the following:

- climate conditions - natural environment and resources - characteristics of the various immigrant groups that have settled in each region, and - significant social and political events

Family decision making has been categorized as

- husband-dominant - wife-dominant - joint - individualized

Occupation and education directly influence preferences for ....

...Products, media, and activities; income provides the means to acquire them.

Define A social class system

A social class system is a hierarchical division of a society into relatively distinct and homogeneous groups with respect to attitudes, values, and lifestyles. "Pure" social classes do not exist in the U.S. or most other industrialized societies

Subculture

A subculture is a segment of a larger culture whose members share distinguishing values and patterns of behavior. (Ethnic, regional, religious and generational)

Define Subjective Discretionary Income (SDI)

An estimate by the consumer of how much money he/she has available to spend on nonessentials

What's a common mistake with an ethnic groups?

Common Mistake - assuming an ethnic group's members are the same as the larger culture except for superficial differences. Attention must be given to the language, script, actors and setting to target effectively.

Consumer socialization:

Consumer socialization is the process by which young people acquire skills, knowledge, and attitudes relevant to their functioning as consumers in the marketplace.

Consumer socialization occurs ...

Consumer socialization occurs primarily through family, as well as through a number of avenues including advertising and friends.

Ethnic subcultures

Ethnic subcultures are those subcultures whose members' unique shared behaviors are based on a common racial, language, or nationality background.

Event Marketing

Event Marketing involves creating or sponsoring an event that has a particular appeal to a market segment. This can be an effective with African American and other ethnic communities.

Family Household

Family Household: One having at least two members related by birth, marriage, or adoption, one of whom is the householder (householder owns or rents the residence).

Define a family decision

Family decision making is the process by which decisions that directly or indirectly involve two or more family members are made.

Household

Household: Consists of all the people who occupy a housing unit (a house, apartment, group of rooms, or single room designed to be occupied as a separate living quarters).

Define a non-family Household

Non-family Household: A householder living alone or exclusively with others to whom he or she is not related.

Depression (1930-1945)

Not a lot left around (most have died) - Mature Market

Pre-Depression (1930 and prior)

Not a lot left around (most have died) - Mature market

Social Rank:

Social Rank is one's position relative to others on one or more dimensions valued by society, also referred to as social class and social standing.

Income enabled purchases but ....

does not generally cause or explain them.

Parents socialize children through:

• Instrumental training—occurs when a parent or sibling specifically and directly attempts to bring about certain responses through reasoning or reinforcement. • Modeling—occurs when a child learns appropriate, or inappropriate, consumption behaviors by observing others. • Mediation—occurs when a parent alters a child's initial interpretation of, or response to, a marketing or other stimulus.

Name the types of demographic

• Population & Size • Occupation • Education • Income • Age