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REFERENT POWER AND WHY IT CAN BE A POTENT FORCE FOR MARKETING APPEALS. Mariam Hashmi Contents 1. SUMMERY: 3 2. INTRODUCTION: 3 3. THE NATURE OF REFERENCE GROUP INFLUENCE 3 3.1. Informational Influence 3 3.2. Normative influence 4 3.3. Identification Influence 4 4. Celebrity as a referent power in advertising 4 5. Referent power involvement 7 6. How Much Does It affect 8 7. Degree of Reference Group Influence 9 8. when will it effect 9. CONCLUSION 10 10. REFERENCES 12 1. SUMMARY Referent power plays a very important role in marketing communication, following report look in to different influences groups and referent power. How referent power affect one. How affective a referent power is? How a marketer can use it to his advantage. What are the factors which make referent power effective? Different theories have been discussed. This report will be looking critically on evaluating the role of referent power in marketing, evaluate the role it will play in future, and provide a future marketing plan. 2. INTRODUCTION This report of "Referent power and why it can be a potent force for marketing appeals" was written as a final assignment for the Consumer Behavior module. Humans are social animals and they always looks to other for appreciation, they want acceptance in the social circle. They identify themselves with some groups and consciously or subconsciously they imitate members of the group "to fit in". They try to imitate those qualities by copying the referent's behavior. What we think of ourselves is influenced in our social interaction by the reaction of others whose values we share or judgment we respect. Our attire, vehicles we use and career make statements about us, and our behaviors and lifestyles are the presentation of ourselves to our influence groups. By wearing a particular brand T shirt bring us closure to our group. 3. THE NATURE OF REFERENCE GROUP INFLUENCE Advertisers have different task while creating a promo or advertising depending on what are their target segment. ...read more.


High involvement Low involvement Significant Differences between brands Complex buying behavior Variety- seeking buying behavior Few Differens between brands Dissonance-reducing Buying behavior Habitual buying behavior (Table 5.1) If the need is high there is less power of referent for example when one want to buy a microwave. Reference group influence will be higher if one wants to buy things which is less necessary e.g. in buying clothes or in simple words on can say that decision to buy toothpaste tennis racket, a personal computer, a refrigetor are all very different. Expensive and complex purchase or things which involve more knowledge involve more participant and more suggestion from peer are taken.( Table 5.1)( Henry 1987) Relationship, bondage of of an individual with the group is another very important criteria which can affect on purchasing decision. More one feels committed to the group more he get influence by the referent power . One will be more careful when in dressing up when joining a group whom he wants to influence than when he wants to go for dinner with group he doesn't feel related or committed. It also depends on activity in which individual is involve with a group , How relevant is the activity for example going for office dinner is more important than going out with your friend for a match. There is clear evidence that individual differ in tendency in getting powered by influence (keillor et al,1996)Reference influence is also related to a reward or punishments, reward may be in the form of acceptance in the group, promotion gain trust with your peer and punishments may be in the form of rejection or hatred. In preteen group it may be severe and of social consequences. So to it can be said that referent power should have authority to implement both. We can still argue that referent power should not misuse legal power or illegally pressurize as he might use credibility Refrent power is someone which is look upon by individual and if it loses credibility and trust power will be gone. ...read more.


him offer him warranty period or an extended trial period will help in Him becoming a potential referent power over other buyers 10.REFERENCES Agins, T. (1999) `The End of Fashion', Willian Morrow, New York. Auty,S, Elliot,R.(2001)," Advances in Consumer Research, vol,28,pp. 235-41 Agins, T. (2001) `Hilfiger returns to preppy roots, but sales slump', The Wall Street Journal, 2nd February. B1. Bearden, W.O., Netemeyer, R.G. and Teel, J.E. (1989), "Measurement of consumer susceptibility to interpersonal influence", Journal of Consumer Research, Vol. 15, pp. 473-81. Bradley, S. (1996), "Marketers are always looking for good pitchers", Brand week, pp.36-7. Case, T., Dosier, L., Murkison, G., Keys, B. (1988), "How managers influence superiors: a study of upward influence tactics", Leadership and Organisational Development Journal, Vol. 9 pp.25-31. Chain Store Age (2000) `Retail Entrepreneur of the Year: Anne Yuuri Namba', Chain Store Age, Vol. 76, No. 12, pp. 67�70. Corneo, G. and Olivier J. (1999) `Segmented communication and fashionable behavior', Journal of Economic Behavior and Organization, Vol. 39, No. 4, pp. 371�385. Farrell, M.A, Schroder, W (1998), "The effect of power bases in the selection and purchase of advertising agency services", Australasian Marketing Journal, Vol. 6 No.1, pp.51-62. Graves, E. G. (1998) `Don't spend where you don't count', Black Enterprise, Vol. 28, No. 12, p. 9. Mark Farrell, Bill Schroder.(1999), " Power and influence in the buying centre," European Journal of marketing,vol.33 Issue 11/12.,pp1161-1170 Fisher R.J, Akerman, D., "The Effect Of recognisation and Group Need on Volunteerism," Journal of Consumer Research, December,pp262-77 Ghoneim, A. I. (1987), "Power and influence structure within the organizational buying centre", Pennsylvania State University, PA, unpublished PhD thesis, Heider ,F. (1946). Attitudes and cognitive organization. Journal of Psychology, 21, 107-112. Henry Assael, consumer behavior and Marketing Action( 1987), Boston an dkent publishing co, pp87 Kahle, L.R, Homer, P.M. (1985), "Physical attractiveness of the celebrity endorser: a social adaptation perspective", Journal of Consumer Research, Vol. 11 No.4, pp.954-61. Kazi-Ferrouillet, K. (1990) `Reebok', Black Collegian, Vol. 21, No. 12, pp. 130�133. Keilllor,B.D., R.S. Parker, and A. Scaefe. ...read more.

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