Scribd
Upload
5 views8 pages

Understanding Reference Groups in Marketing

The document discusses reference groups, which are groups or individuals that people identify with and use as benchmarks or points of reference. It outlines different types of reference groups including membership, formal/informal, primary/secondary, and symbolic/aspirational. The influence of reference groups depends on whether products are necessities or luxuries, public or private, and is affected by experience, knowledge, and credibility. Celebrities, experts, and company spokespeople can be used as endorsers or reference groups for brands based on their referent, expert, legitimate, reward, or coercive power.

Uploaded by

imad
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
5 views8 pages

Understanding Reference Groups in Marketing

The document discusses reference groups, which are groups or individuals that people identify with and use as benchmarks or points of reference. It outlines different types of reference groups including membership, formal/informal, primary/secondary, and symbolic/aspirational. The influence of reference groups depends on whether products are necessities or luxuries, public or private, and is affected by experience, knowledge, and credibility. Celebrities, experts, and company spokespeople can be used as endorsers or reference groups for brands based on their referent, expert, legitimate, reward, or coercive power.

Uploaded by

imad
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd

REFERENCE

GROUPS
A group or a single person with
whom the consumer identifies with
and to the extent that this group /
person becomes a benchmark or a
point of reference
Kinds of behaviour

Normative
Comparative
Disassociative
Types of Reference Groups

Membership / Non-membership

Formal / Informal

Primary / Secondary

Symbolic / Anticipatory Aspiration


REFERENCE GROUP INFLUENCE
NECESSITY LUXURY
Weak rg influence Strong rg
on product influence on
product

PUBLIC PUBLIC PUBLIC


Strong rg NECESSITIES LUXURIES
influence on Weak product inf & Strong product
brand strong brand inf & strong
influence brand influence

PRIVATE PRIVATE PRIVATE


Weak rg NECESSITIES LUXURIES
influence on Weak product inf & Strong product inf &
brand weak brand weak brand
influence influence
Factors Affecting Influence of RG

Experience and Knowledge

Credibility
Endorsers for Brands

Referent Power
Celebrity
Expert Power Co. Spokesperson / Expert /
Celebrity
Legitimate Power Testimonial /
Co. Spokesperson

Reward Power Celebrity/ Trade


Character
Coercive Power Testimonial /

You might also like