Marketing Chapter 10 Microcultures Learning Objectives After Studying This The Student Should Able

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Chapter 10

Microcultures

Learning Objectives

After studying this chapter, the student should be able to accomplish the following objectives.

10-1 Apply the concept of microculture as it influences consumer behavior.

10-3 Realize that microculture is not a uniquely American phenomenon.

10-5 Identify major cultural and demographic trends.

Lecture Example

Struggling to find its way out of the recession, the hotel industry has set its eyes on a new group

of patrons. The individuals in this group, popularly known as the Millennials, are those in their

20s and mid-30s. Obsessed with social media and technology, the Generation Y are sometimes

called avid travelers. Besides comfort, they look for innovative services and are likely to spend

more on designer hotels. Hoteliers have been prompt in seizing this new trend as a valuable

opportunity. Wi-Fi access, power consoles, and airport-like check-in kiosks are fast becoming

regular features of the modern hotel. As some industry experts claim, this trend is no passing fad,

but an enduring change.

Lecture Outline with PowerPoint® Slides

LO 10-1: Apply the concept of microculture as it influences consumer behavior.

I. Microculture and Consumer Behavior [Instructor PPT Slide 3]

The chapter begins with an example explaining how a microclimate exists within a climate and is

correlated to the concept of microculture. A microculture is indeed a culture, only smaller. A

microculture is defined as a group of people who share similar values and tastes that are

behavior.

A. Culture Is Hierarchical [Instructor PPT Slides 4–6]

Culture is a universal phenomenon. It is everywhere and ultimately explains the habits and

idiosyncrasies of all groups of consumers. Culture is hierarchical. A consumer belongs to one

B. Microcultural Roles and Value [Instructor PPT Slide 7]

Microculture membership changes the value of things. Consumers often choose membership

in microcultures in an effort to stand out or distinguish themselves from the crowd. This

phenomenon is known as divergence.

Q: Define role conflict and divergence.

LO 10-2: Know the major U.S. Microcultural groups.

II. Major U.S. Microcultures [Instructor PPT Slide 8]

Marketers can divide the U.S. population into consumer groups along a number of dimensions

relative to market segmentation. These groupings are particularly effective when microcultures

are involved because the consumers within these groups likely have very similar preferences.

A. Regional Microculture [Instructor PPT Slide 9]

In 1981, Joel Garreau published the book The Nine Nations of North America. The book

identifies nine geographical regions that supposedly share similar value profiles and thus

contain consumers with similar preferences. However, they don’t neatly fit with conventional

regional distinctions. Exhibit 10.2 illustrates this concept.

B. Sex Roles and Microculture [Instructor PPT Slide 10]

Sex roles refer to the societal expectations for men and women among members of a cultural

group. Sex roles are ubiquitous in society, and inconsistency with them can be a source of

sanctions.

Societal Role Expectations

Even in Western cultures, certain responsibilities such as child care and household cleaning

are unevenly spread among cultures. Marketers need to be aware of the relative sex roles

within societies. Men and women may share purchasing responsibilities differently from

culture to culture.

Male and Female Segments

A great deal of marketing communication is directed toward either a male or a female

market segment. Although role expectations associate certain types of purchases with men

or women, marketers sometimes reach out to the opposite sex. Marketers need to keep in

C. Age-Based Microculture [Instructor PPT Slide 11]

The term age-based microculture describes the concept that people of the same age end up

sharing many of the same values and develop similar consumer preferences. Perhaps no age-

based group receives more attention than teens. Nearly 21 million Americans are between 15

and 19 years of age.

World Teen Culture?

The Internet facilitates communication among consumers around the world, contributing to

what some believe is a more universally similar world teen culture. Although teens

around the world may find value in many of the same types of music and clothing, research

Q: Does the concept of a world teen culture benefit marketers? Justify your answer.

D. Generation Microculture [Instructor PPT Slide 12]

Age-based groups can be distinguished from generational groups. Consumers grow out of age

groups. People who are in the same generation still belong to the same cohort. A cohort is a

group of people who have lived the same major experiences in their lives, and the experiences

end up shaping their core values. Life experiences have many different effects on a cohort.

Greatest Generation

Silent Generation

Silent generation consumers were born between 1928 and 1945. These consumers were

Baby Boomers

The Baby Boomers were born between 1946 and 1964. Boomers were born during a time

in the United States that was marked by optimism and relative economic security. Boomers

represent a major force in the consumer culture, and they are a substantial force in the

economy. It should not be surprising, therefore, that they receive significant marketing

attention. Many Boomers have saved significant sums of money for retirement and plan to

enjoy good times well into their elderly years. Boomers, by and large, have a huge amount

of spending power relative to other generations.

Generation X

Generation X consumers were born between 1965 and 1980. They have also been referred

to as “latchkey” kids to signify the idea that many of these consumers spent a great deal of

time alone due to having both parents at work. Many Generation Xers also came from

Millennials

Millennials were born between 1981 and 1995. This group was originally referred to as

Generation Y. A lot of research attention has been focused on this group not only because

Generation Z

This group follows the Millennials and represents young consumers born between 1995

and 2010. They will also be the first truly “global” generation, due to racial and cultural

diversity, increased population mobility and migration, and comfort with mobile

technologies.

Generational Influence and Marketing

Q: Discuss how generations have influenced education and learning styles.

E. Religious Microculture [Instructor PPT Slide 13]

Religion represents one of the key institutions that shape consumer culture. Not surprisingly,

then, religious affiliation provides a basis for microcultures within national or regional

cultures.

F. Ethnic Microculture [Instructor PPT Slide 14]

The United States is sometimes referred to as a melting pot. The analogy tries to make the

point that America is a land filled with people from a wide range of ethnic backgrounds.

Thus, even for multigenerational Americans, consumption is affected by heritage.

Consumption in the United States, however, remains tied to ethnicity to varying extents.

Exhibit 10.6 breaks down the major ethnic groups in the United States.

Hispanic Culture

Hispanics are expected to account for nearly 20% by 2020. The term bicultural is used to

describe immigrants as they face decisions and form preferences based on their old or new

cultures. Bicultural consumers begin to express lower ethnocentrism than their counterparts

in the native country and thus are more open to products from their new country.

African American Culture

many times over in the past few decades, as has the number of African American-owned

businesses.

Asian Culture

This segment represents between 4% and 5% of the U.S. population. Asian American

consumers are very favorable toward luxury brands, tend to own their homes, and retain a

preference for Asian foods. Asian Americans also are concentrated in large numbers in a

few areas of the United States. The fact that they are concentrated in specific locations in

the United States facilitates marketers’ ability to effectively reach this market.

Q: What does bicultural mean? Discuss its relation with ethnocentrism and

consumption patterns.

G. Income and Social Class Microculture [Instructor PPT Slide 15]

Income level and social class are closely related, but distinct, concepts. Income level is truly a

demographic issue, based on the amount of monetary resources a person receives. Social class

refers to a culturally defined group to which a consumer belongs based on resources like

prestige, income, occupation, and education. The term habitus refers to mental and cognitive

structures through which individuals perceive the world based largely on their standing in a

social class.

Social Class in the United States

Six major social classes have been identified in the United States. These include Upper

Class, Lower Upper Class, Upper Middle Class, Lower Middle Class, Upper Lower Class,

and Lower Lower Class. Some consumers are born into a social class (termed an ascribed

status), while others work their way into a class (termed an achieved status).

sociology, this is referred to as homogamy, or assortative mating.

Social Stratification

The concept of social stratification underscores the role of social class in society. Social

stratification can be defined as the division of society into classes that have unequal

access to scarce and valuable resources. Luxury items and status symbols are enjoyed by

these groups, while the bare essentials are relegated to the Lower Lower Class.

Social Class Worldwide

H. Street Microculture [Instructor PPT Slide 16]

Microcultures can grow around any number of phenomena, not just around differences in

ethnicity, income/social class, generation, region, or religion. Sports can also provide a basis

for microculture. Microcultures can even grow out of gaming experiences, virtual

LO 10-3: Realize that microculture is not a uniquely American phenomenon.

III. Microculture Is Not Uniquely American

Microculture membership affects the value of things. It is important to remember that

microcultures are truly global phenomena and are not confined to any one region or country.

A. Microcultures Around the World [Instructor PPT Slide 17]

B. Street Microcultures Worldwide

LO 10-4: Perform a demographic analysis.

IV. Demographic Analysis [Instructor PPT Slides 18 and 19]

Demographics refer to observable, statistical aspects of populations such as age, gender, or

income. Demographic variables are closely related to microculture and help one to describe

microcultures. A demographic analysis develops a profile of a consumer group based on their

demographics. These analyses often include geodemographic approaches, because marketers

find it advantageous to know where targeted consumers live. These analyses become important

components of a demographic segmentation strategy.

A. U.S. Census Data [Instructor PPT Slide 20]

Q: Explain how a demographic analysis helps marketers to target specific customers.

LO 10-5: Identify major cultural and demographic trends.

V. Major Cultural and Demographic Trends

As with other consumer behavior topics, it is not enough to simply understand cultural and

demographic factors as they currently exist. These factors evolve over time. For this reason, it is

important to identify the emerging trends that influence behavior.

A. Trends Affecting Consumer Behavior [Instructor PPT Slides 21–23]

While there are a number of trends, four notable trends that are relevant to consumer

researchers and managers deserve careful attention.

Declining Birthrates

One of the biggest trends in Western countries is the declining birthrate. If this trend

continues, these countries will experience declining populations. One particularly

Increasing Consumer Affluence

The combination of working couples and lower birth rates has led to greater levels of

consumer affluence, particularly in the United States. To the contrary, poverty remains a

major problem in many nations, as evidenced by the approximately 4 billion “bottom of the

pyramid” consumers.

Increasing Life Expectancy and the Aging Consumer

The right pane of Exhibit 10.9 displays the life expectancy for citizens of a number of

different countries.

Increasing Cultural Diversity

One way in which cultures become more diverse is through immigration and the growth of

microcultures.

Q: In what way are the emerging trends of working couples and lower birthrates

interrelated?

Video material for this chapter can be found on page 18 of the IM

End of Chapter Material

Discussion Questions

(*) Indicates material on prep cards.

1. *How do microcultures affect value?

2. How does the fact that culture is hierarchical affect consumer behavior?

3. How is role conflict related to microcultures?

4. What are the major U.S. microcultures?

5. How are consumer product choices influenced by the “Nine Nations of North America”?

6. *What are some of the distinguishing characteristics of the Millennial microculture in the

United States?

7. Which microcultures play a role in influencing consumer behavior worldwide?

8. How is the middle class microculture evolving in various regions of the world?

9. What is meant by the term “demographic analysis”?

10. How are demographic and geodemographic analyses similar?

11. What are the major cultural and demographic trends that are influencing consumer

behavior?

12. *What is the major factor that is influencing the increase in cultural diversity worldwide?

Group Activity

Divide the class into groups comprising different microcultures. Of course, this will vary

depending on the enrollment of the student’s university or college. An easy choice would be

different ethnic microcultures, but religious, income, or generational might apply as well.

Have them discuss the differences in value that they receive from various products. Examples

would include things like mp3 players, laptops, various kinds of music, different fashions,

activities they enjoy in their spare time, etc. They could even discuss how they view things like

Assignments

1. *Using a popular geodemographic tool such as Nielsen PRIZM, find out information about

your local college town. What social classes are present in your college town according to

this tool? Are all of the social classes discussed in the textbook present in your town?

2. Interview classmates who are in the Millennial generation and who are related to

consumers in Generation Z (for example, brothers, sisters, cousins, etc.). How do they

describe the differences between themselves and their relatives? Are these differences

reflected in the discussion regarding these microcultures in the textbook?

3. Ask fellow students to describe the hierarchical nature of culture and microcultures as they

relate to their own lives. Does their portrayal reflect the depiction presented in Exhibit

10.1?

4. Browse the Internet, using a tool such as Google Images to search for photos of college-

aged students in various microcultures worldwide. For example, look for Emo or Goth

consumers in a country that you consider to be foreign. Would these consumers appear to

fit in your home culture? Why, or why not? How are they different from Emos or Goths in

your home country?

5. Interview a fellow student from another culture, and ask them how societal role

expectations differ in their home culture as compared to the local culture at your school.

Are you surprised by their descriptions? Why, or why not?

DISC: International Perspective

LO: 10-1

Topic: A-head: Microculture and Consumer Behavior

Bloom’s: Application

Difficulty: Moderate

Chapter Video Summary

To view the video case on Vans, access the Chapter 10 Media Quiz in CB8 Online (create a

course at login.cengage.com).

Vans

At Vans, the focus is on building strong and enduring relationships through strategic PR. The

expenditure on advertising at Vans is huge, and it involves print, online, TV, and outdoor

advertisements. Vans is also engaged in sponsoring events in order to promote bonding and

spread its culture. It also deals in cause marketing and athlete endorsements—activities that are

perceived to strengthen the brand. Besides conventional marketing, Vans also focuses on

interactive marketing and collaborations are part of its product-oriented marketing strategy. With

the expansion of its product line, the focus on brand promotion has now shifted to mixing

branding advertisements with product-driven advertisements. With the changing face of

technology, Vans plans to do more interactive marketing in the future.

Ask Your Students

1. Explain how Vans’ target audience influences the company’s advertising and marketing

strategies. Why, in your opinion, are these strategies necessary for the company to target its

audience?