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Family – A family is a group of two or more persons
  related by blood, marriage, or adoption who reside
  together.

It has one of the strongest, most immediate & pervasive
   effects on a consumer’s personality, motivation &
   attitude.

This is primary & strongest reference group.

From marketing point of view, investigating the family
  becomes important since attitude towards savings &
  spending, brands and products are often moulded by
  the family.
The Evolving Indian Family

1 From joint family to nuclear family –
a due to urbanization & industrialization which has
  caused occupational changes.
b accommodation of cities being expensive compelling
  families to stay small.
2 Working women –
a women are more & more exploring their potential in
  the work force
b distribution of power & responsibilities has also
  changed.
The latest Nuclear Urban Family

1 The members are highly individualistic.
2 The members have divergent tastes.
3 They have adequate spending power.
4 They have unique needs.
Socialization of family members – It refers to a process
  by which a family member learns the system of
  values, norms, & expected behavior patterns from
  each other.

1 Consumer socialization of children – the process by
  which children acquires the skills, attitudes,
  knowledge & experience necessary to function as
  consumers.
Children watch & imitate parent’s behavior which serve
  them as role model.

2 Adult socialization – Adults get socialized by both
  family & friends. Family guides them on broader
  values whereas friends make them learn specific
  behavior.
Intergenerational socialization – Some product loyalties
   or brand preferences are transferred from one
   generation to another.

Other functions of the family

1 Economic well being – to provide economic support to
  its members. Though the responsibility to provide
  economic well being has changed over the last
  decade.

2 Emotional support – emotional nourishment including
  love, affection & intimacy.

3 Sustainable family lifestyle – based on culture &
  economic conditions family decides the importance of
  various things in their kids life education career etc.
Family decision making & consumption related roles –

Key consumption roles –
1 Initiator – who thinks about buying products &
  gathering of information to aid decision .
2 Influencers – whose opinions are sought concerning
  the criteria the family should use in purchases &
  which product of brands most likely fit those
  evaluative criteria.
3 Deciders – The person with the financial
  authority/power to choose how the family money will
  be spent & the products or brands that will be
  chosen.
4 Buyer – The person who purchases the product.
5 Preparers – Who transforms the product into a form
  suitable for consumption by other family members.
6 Users – who use or consume a particular product or
  service.
7 Maintainers – who service or repair the product so that
  it will provide continued satisfaction.
8 Disposers – who initiate or carry out the disposal or
  discontinuation of a particular product or service.
Role structure & relative influence across product
  categories – Traditionally men have been associated
  with instrumental (functional roles), female usually
  play (expressive role).

Role structure & relative influence by stage of decision
  making process – As initiators of ideas all family
  members prove to be important; but as deciders the
  head of the family played the more important roles.
How family make purchase decisions

Major characteristics of Indian family are as follows

1 family makes & spends money continuously for many
   years.
2 Family decisions are made with private, intimate, &
   social group.
3 Family consumption decisions are often not
   independent from one another.
4 Family has multiple decision makers.
5 family decision making differs by the type of product
   being studied.
6 Family differ significantly among themselves.
Dynamic husband – wife decision making – Marketers
  are particularly interested in understanding spousal
  influence patterns & decision making processes in
  order to communicate messages, shape brand
  choice & guide personal selling activities.

These decisions could be husband-dominated, wife-
  dominated or autonomic.
Family Life cycle - The FLC is a composite variable
  created by systematically combining such commonly
  used demographic variables as marital status, size of
  family, age of family members, presence or absence
  of children at home.

Stage 1 – Bachelorhood (Youth)

Stage 2 – Honeymooners

Stage 3 – Parenthood

Stage 4 – Post-parenthood

Stage 5 - Dissolution
Kids Pester Power

Role of children in family decision making

Core category
Peripheral category
Adult category

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Family

  • 1. Family – A family is a group of two or more persons related by blood, marriage, or adoption who reside together. It has one of the strongest, most immediate & pervasive effects on a consumer’s personality, motivation & attitude. This is primary & strongest reference group. From marketing point of view, investigating the family becomes important since attitude towards savings & spending, brands and products are often moulded by the family.
  • 2. The Evolving Indian Family 1 From joint family to nuclear family – a due to urbanization & industrialization which has caused occupational changes. b accommodation of cities being expensive compelling families to stay small. 2 Working women – a women are more & more exploring their potential in the work force b distribution of power & responsibilities has also changed.
  • 3. The latest Nuclear Urban Family 1 The members are highly individualistic. 2 The members have divergent tastes. 3 They have adequate spending power. 4 They have unique needs.
  • 4. Socialization of family members – It refers to a process by which a family member learns the system of values, norms, & expected behavior patterns from each other. 1 Consumer socialization of children – the process by which children acquires the skills, attitudes, knowledge & experience necessary to function as consumers. Children watch & imitate parent’s behavior which serve them as role model. 2 Adult socialization – Adults get socialized by both family & friends. Family guides them on broader values whereas friends make them learn specific behavior.
  • 5. Intergenerational socialization – Some product loyalties or brand preferences are transferred from one generation to another. Other functions of the family 1 Economic well being – to provide economic support to its members. Though the responsibility to provide economic well being has changed over the last decade. 2 Emotional support – emotional nourishment including love, affection & intimacy. 3 Sustainable family lifestyle – based on culture & economic conditions family decides the importance of various things in their kids life education career etc.
  • 6. Family decision making & consumption related roles – Key consumption roles – 1 Initiator – who thinks about buying products & gathering of information to aid decision . 2 Influencers – whose opinions are sought concerning the criteria the family should use in purchases & which product of brands most likely fit those evaluative criteria. 3 Deciders – The person with the financial authority/power to choose how the family money will be spent & the products or brands that will be chosen. 4 Buyer – The person who purchases the product.
  • 7. 5 Preparers – Who transforms the product into a form suitable for consumption by other family members. 6 Users – who use or consume a particular product or service. 7 Maintainers – who service or repair the product so that it will provide continued satisfaction. 8 Disposers – who initiate or carry out the disposal or discontinuation of a particular product or service.
  • 8. Role structure & relative influence across product categories – Traditionally men have been associated with instrumental (functional roles), female usually play (expressive role). Role structure & relative influence by stage of decision making process – As initiators of ideas all family members prove to be important; but as deciders the head of the family played the more important roles.
  • 9. How family make purchase decisions Major characteristics of Indian family are as follows 1 family makes & spends money continuously for many years. 2 Family decisions are made with private, intimate, & social group. 3 Family consumption decisions are often not independent from one another. 4 Family has multiple decision makers. 5 family decision making differs by the type of product being studied. 6 Family differ significantly among themselves.
  • 10. Dynamic husband – wife decision making – Marketers are particularly interested in understanding spousal influence patterns & decision making processes in order to communicate messages, shape brand choice & guide personal selling activities. These decisions could be husband-dominated, wife- dominated or autonomic.
  • 11. Family Life cycle - The FLC is a composite variable created by systematically combining such commonly used demographic variables as marital status, size of family, age of family members, presence or absence of children at home. Stage 1 – Bachelorhood (Youth) Stage 2 – Honeymooners Stage 3 – Parenthood Stage 4 – Post-parenthood Stage 5 - Dissolution
  • 12. Kids Pester Power Role of children in family decision making Core category Peripheral category Adult category