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CHAPTER 11

CHAPTER 11. SOCIAL CLASS AND CONSUMER BEHAVIOR. WHAT IS SOCIAL CLASS. A range of social positions on which each member of society can be placed. The division of members of a society into a hierarchy of distinct status classes, so that – Members of each class have relatively the same status

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CHAPTER 11

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  1. CHAPTER 11 SOCIAL CLASS AND CONSUMER BEHAVIOR

  2. WHAT IS SOCIAL CLASS A range of social positions on which each member of society can be placed. The division of members of a society into a hierarchy of distinct status classes, so that – • Members of each class have relatively the same status • Members of all other classes have either more or less status

  3. Social class and social status In social-class research (social stratification), status is thought of as the relative rankings of members of each social class in terms of specific status factors. • Wealth • Power • Prestige

  4. Social comparison theory Individuals normally compare their own material possessions with those owned by others in order to determine their relative social standings. • Consumers’ purchasing power • Consumers’ possessions In making such a comparison, an individual consumer use • Downward comparison (bolster his/her self-esteem) • Upward comparison (create inferiority)

  5. Marketing practitioners most often use three socio-economic variables on a daily basis to measure social-class – • Family income • Occupational status • Educational attainment

  6. Social class is hierarchical anda natural form of segmentation Social-class categories usually are ranked in a hierarchy, ranging from low to high status. Social-class membership serves consumers as a frame of reference for the development of their attitudes and behaviors. The various social-class strata provide a natural basis for market segmentation for many products and services.

  7. THE MEASUREMENT OF SOCIAL CLASS 1. Subjective measures Individuals are asked to estimate their own social-class positions. The resulting classification is based on the participants’ self-perceptions or self-images. It reflects an individual’s sense of belonging/identification with others. (class consciousness) Subjective measures tend to produce overabundance of people who classify themselves as middle class.

  8. 2. Reputational measures Selected community informants make initial judgments concerning the social-class membership of others within the community. 3. Objective measures Selected demographic or socioeconomic variables are measured through questionnaires that ask respondents several factual questions about themselves.

  9. Single-variable indexes (one socioeconomic variable) • Occupation • Education • Income • Other variables - Quality of neighborhood Dollar value of residence Possessions (Chapin’s social status scale)

  10. Composite-variable indexes (a number of socioeconomic factors) • Index of status characteristics (ISC) • Developed by Warner • Occupation, source of income (not the amount), house type, dwelling area (quality of neighborhood) • Socioeconomic status score (SES) • Developed by The United States Bureau of the Census • Occupation, family income, occupational attainment

  11. SOCIAL-CLASS PROFILE The upper-upper class (country club establishment) The lower-upper class (new wealth) The upper-middle class (achieving professionals) The lower-middle class (faithful followers) The upper-lower class (security-minded majority) The lower-lower class (rock bottom)

  12. SELECTED CONSUMER BEHAVIOR APPLICATIONS OF SOCIAL CLASS Clothing, fashion, and shopping The pursuit of leisure Saving, spending, and credit Communication

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