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Consumer Decision Process

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Influence of the Social Environment

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Family

• How does the family affect consumer

behavior?

(consumer socialization)

• Roles in Family Decision Making

•

Who is the Decision Maker(Husband dominant, wife dominant, and joint

decision making)

• Family Life Cycle

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Group/Family Decision Making

• Decision Roles:

 – Influencer: influences the purchase decision.

 – Gatekeeper: Role to control as in organization.

 – Decider: makes the final decision regarding a purchase.

 – Buyer: engages in the actual transaction/ purchase.

 – Preparer: prepares the purchased goods for use.

 – User: uses the purchased good(s).

 – Maintainer: maintains or takes care of the good(s).

 – Disposer: chooses when and how to dispose of the

good(s).

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FAMILY INFLUENCES

•

 Four roles of spouses: Autonomic role —  partners independently make an equal number

of decisions.

 Husband-dominant role —  husband usually makes certain buying

decisions, such as purchasing life insurance.

Wife-dominant role —  wife makes buying decisions, such as buying

children’s clothing.

Syncratic role —  buying decision made jointly.

(Increasing occurrence of two-income households increases likelihood of spouses

making joint buying decisions.)

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Family Influences

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Families and HouseholdsHouseholds are

composed of all thosepeople who occupy a

living unit

 – The Nuclear Family

 – The Extended Family

 – The Detached Nuclear

Family

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Family Households:• Married couples

• Married with children at home• Married with no children at

home

• Single fathers

• Single mothers

•Other families

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Nonfamily Households:

• Men Living

Alone

• Women Living

Alone

• Other

Nonfamilies

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Some Household Trends

• Childless couples 45-64 have the mostbuying power.

 – Single parents/childless singles over 45 have

the least.

• Size has shrunk from 3.14 to 2.67 persons.

 – Increase in divorce: children leave home prior

to marriage: older people maintain ownhomes.

• Later marriage.

•

2-career families.

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Relationships among Purchasers and

Consumers in the Family

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Traditional Family Life Cycle Stages 

Stage I: Bachelorhood- Young single adult

living apart from parents. Spend their

income on rent, basic home requirements,

lifestyles, entertainment.

Stage II: Honeymooners- Young married

couple. Start-up expenses on appliances,

utensils, accessories, vacations.Stage III: Parenthood- married couple

with atleast one child at home. Expenses

on education

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Stage IV: Postparenthood- older married couple

with no children living at home. Worrying about

marriage of remaining children.

Higher disposable income because of savings &

investments.

Expenses on travel, entertainment, club fee,

refurnishing home, market for new automobiles,luxury goods.

Stage V: Dissolution- occurs at the death of one

spouse.Expenses on health, donations etc.

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• Marketers use the family life cycle to

 –Segment the market

 –Analyze market potential

 –Identify target markets

 –Develop more effective marketing

strategies

• Developing marketing strategies for the

bachelor segment is a challenge

• Some stages in the family life cycle are

more important markets than others

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Family Life Cycle Stages 1. Young Single

2. Young Married with no Children (DINKS)

3. Young - married with children

- divorced without children

- divorced with children

4. Middle Aged

a. married without children

b. divorced without childrenc. married with children

d. divorced with children

e. married without dependent children

f. divorced without dependent children5. Older

(i) older married (ii) older unmarried (divorced, widowed)

6. Other- SSWDs

single separated widowed / divorced

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Functions of Family

1.Economic Well-Being

2.Emotional Support

3.Suitable Family

Lifestyle

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