Opinion leadership

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Amity Business School Amity Business School MBA Class of 2014, Semester II Consumer Behavior Ms.Vandana Gupta

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Transcript of Opinion leadership

Page 1: Opinion leadership

Amity Business School

Amity Business SchoolMBA Class of 2014, Semester II

Consumer Behavior

Ms.Vandana Gupta

Page 2: Opinion leadership

Amity Business School

Opinion Leadership

The process by which one person (the opinion leader)

informally influences the consumption

actions or attitudes of others who may be opinion seekers or opinion recipients.

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What Is Opinion Leadership?

Opinion Leader

Opinion Receiver

Opinion Seeker

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Word of Mouth in ActionFigure 15-1

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Dynamics of the Opinion Leadership Process

• Credibility

• Positive and Negative Product Information

• Information and Advice

• Opinion Leadership Is Category-Specific

• Opinion Leadership Is a Two-way Street

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Many not-for-profit

organizations that hope to

change behavior, count

on opinion leaders.

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Motivations Behind Opinion Leadership

• The Needs of Opinion Leaders

• The Needs of Opinion Receivers

• Purchase Pals• Surrogate Buyers

versus Opinion Leaders

• Self-involvement• Social involvement• Product involvement• Message involvement

Issues

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Motivations Behind Opinion Leadership

• The Needs of Opinion Leaders

• The Needs of Opinion Receivers

• Purchase Pals• Surrogate Buyers

versus Opinion Leaders

• New product or new usage information

• Reduction of perceived risk

• Reduction of search time• Receiving the approval of

the opinion leader

Issues

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Motivations Behind Opinion Leadership

• The Needs of Opinion Leaders

• The Needs of Opinion Receivers

• Purchase Pals• Surrogate Buyers

versus Opinion Leaders

• Actually accompany consumers on shopping trips

• Used 25 percent of the time for purchases of electronic equipment

Issues

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Motivations Behind Opinion Leadership

• The Needs of Opinion Leaders

• The Needs of Opinion Receivers

• Purchase Pals• Surrogate Buyers

versus Opinion Leaders

• Surrogate buyers may replace opinion leaders

• An example is a wardrobe consultant who helps in the purchase of business clothes

Issues

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Key Differences Between Opinion Leaders and Surrogate Buyers

Part I: Opinion Leaders

OPINION LEADER 1. Informal relationship with end users 2. Information exchange occurs in the context of a casual interaction 3. Homophilous (to a certain extent) to end users 4. Does not get paid for advice 5. Usually socially more active than end users 6. Accountability limited regarding the outcome of advice 7. As accountability limited, rigor in search and screening of alternatives

low 8. Likely to have used the product personally 9. More than one can be consulted before making a final decision10. Same person can be an opinion leader for a variety of related product

categories

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Key Differences Between Opinion Leaders and Surrogate Buyers

Part II: Surrogate Buyers

SURROGATE BUYER 1. Formal relationship; occupation-related status 2. Information exchange in the form of formal instructions/advice 3. Heterophilus to end users (that is, is the source of power) 4. Usually hired, therefore gets paid 5. Not necessarily socially more active than end-users 6. High level of accountability 7. Search and screening of alternatives more rigorous 8. May not have used the product for personal consumption 9. Second opinion taken on rare occasions10. Usually specializes for a specific product/service category

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Measurement of Opinion Leadership

• Self-Designating Method

• Sociometric Method

• Key Informant Method

• Objective Method

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Amity Business SchoolMeasuring Opinion Leadership

SELF-DESIGNATING METHOD

“Do you influence other people in their selection of products?”

Each respondent is asked a series of questions to determine the degree to which he or she perceives himself or herself to be an opinion leader.

OPINION LEADERSHIP OPINION LEADERSHIP MEASUREMENT MEASUREMENT METHODMETHOD

SAMPLE SAMPLE QUESTIONS ASKEDQUESTIONS ASKED

DESCRIPTION OF METHODDESCRIPTION OF METHOD

SOCIOMETRIC METHOD

Members of a social system are asked to identify to whom they give advice and to whom they go for advice.

“Whom do you ask?”“Who asks you for info about that product category?”

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OPINION OPINION LEADERSHIP LEADERSHIP MEASUREMENT MEASUREMENT METHODMETHOD

SAMPLE SAMPLE QUESTIONS QUESTIONS

ASKEDASKEDDESCRIPTION OF METHODDESCRIPTION OF METHOD

KEY INFORMANT METHOD

“Who are the most influential people in the group?”

Carefully selected key informants in a social system are asked to designate opinion leaders.

Artificially places individuals in a position to act as opinion leaders and measures results of their efforts.

“Have you tried the product?”

OBJECTIVE METHOD

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Profile of Opinion Leaders

GENERALIZED ATTRIBUTES ACROSS PRODUCT CATEGORIES

CATEGORY-SPECIFIC ATTRIBUTES

InnovativenessWillingness to talkSelf-confidenceGregariousnessCognitive differentiation

InterestKnowledgeSpecial-interest media exposureSame ageSame social statusSocial exposure outside group

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Market Maven

Individuals whose influence stems from a general knowledge or market expertise that

leads to an early awareness of new

products and services.

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The Interpersonal Flow of Communication

• Two-Step Flow– A communication model that portrays opinion

leaders as direct receivers of information from mass media sources who, in turn, interpret and transmit this information

• Multistep Flow– A revision of the traditional two-step theory

that shows multiple communication flows

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Two-Step Flow of Communication Theory

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Multistep Flow of Communication Theory

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Issues in Opinion Leadership and Marketing Strategy

• Advertisements Stimulating Opinion Leadership

• Word of Mouth May Be Uncontrollable

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Marketers Seek to Take Control of the Opinion Leadership Process

• Creating products with built-in buzz potential

• Strategy designed to stimulate buzz

• Viral marketing

• Weblogs