Having seen people with a range of digital cameras she was unsure which technical features would be suited to her needs so she turned to her peers and family for advice because she wanted to attract positive attention to herself and build her dominant position within her family and friends.
The technical features that her friends and family advised her to look for were
- USB for moving her pictures on to her computer so they could be stored and viewed at her convenience. Once her photos were on the computer she would easily be able to attach them onto emails.
- Software that would be compatible with her computer so that she could download, edit and store pictures and so that she could organize her photos for each social event.
- Video features with voice recording so she could capture her experiences and share them with her friends and family.
- Optical zoom in and take photos from a distance without affecting the quality of the photo.
- Pictbridge facility to print photos if she decided to buy a printer in the future.
- The size of the LCD Screen was important because this would be the primary base of viewing her photos and showing others.
Gadgets such as a digital cameras have many technical functions and the most latest technology aims to put more features into one product. Her need to have a camera with the most technical functions is in accordance to materialistic personality and having ownership of innovative and expensive items would help her to remove the image of a low earning student with low disposable income.
She found that every Digital camera she looked at included many technical functions so she decided to narrow down her choices by considering the right product in terms of its ancillary features.
ANCILLARY USE FUNCTION
Ancillary-use function for the Digital camera is the technical functions such as the Megapixel as this is associated with the performance of the core function.
Other Ancillary features she considered were
- Stabilizers which was the ability to take photos in any fast or shaken environment
- Shutter lag which is the time taken between capturing each photo
- Macro photo capability - ability to produce extreme close-up images.
She found that Ancillary features affected the price range of cameras. Regarding her budget she decided to invest her money into a camera, which had the highest Megapixel which was a 5.0 so that the photos she took, were good quality thus fulfilling her technical and convenience in use needs.
As the technological market is dynamic she wanted a digital camera that would holds its place in the market for some time so that she could fulfil her want to be a trend setter with the hope that her peers and family seeing would also buy a similar product.
CONVENIENCE IN USE FUNCTIONS.
The 5.0 Megapixel digital camera she saw were very compact in design and fulfilled her desire to have a complicated gadget that would make her camera more recognizable in her social group. Her peers would assume she has a dominant position in her working life as smaller gadgets are seen to be the most expensive. Having such recognition from her peers would help boost her self-image.
The main convenience in use functions that she wanted included
- View photos in slide show so when she took the camera to her social events she could easily show others what she had been upto.
- Battery power indicators so her camera was always recharged when she needed it
- Options of taking different size photographs so she could have pictures enlarged and display them in her room.
- Easy to hold preferably fit into the palm of her hand.
- A function menu so that she could easily switch from taking photos to making videos as well as adjust colour and sound.
LEGALISTIC CRITERIA
Although she wanted the camera for her own use she still consulted with her brother as he was knowledgeable about latest gadgets in the market. She also looked to her Mum for advice, as she was highly influential figure in the family who had authority over the purchases made in the family.
She would be taking photos of her family and had a desire to please them with the purchase she made. They would be directly affected buy the purchase as they would be first to test and evaluate the performance of the camera. By considering their opinions and advice in her purchase decision she would have no regrets or dissatisfaction with the product and thus fulfill her satisfaction needs.
C. INTEGRATIVE CRITERIA
‘Many rational models of decision making treat the individual as a non-social being, divorced from social pressures and communal controls that affect the choice process.’
However, brands may be more appealing because:
- They promise more social integration
- They have more status and recognition
- They facilitate better integration with a person's ethical values or personal integrity.
Belongingness is a major value that is to be accepted but this may conflict with other values such as wanting to be different, rise above the crowd or even achieving status. This may be true of the consumer who wants to be individual and have a camera that although is well known, few people have.
Advertising tends to stress just one out of the three values at a time, rather than altogether.
- Social integration.
FASHIONABLE SENSE, NORMS
‘Under social integration comes adherence to conventions, fashion, fads, and the desire for status recognition and prestige.’
Conforming to these varies between cultures and in countries such as the USA where individualism is stronger these pressures are much less.
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Convention and social norms.
Although most consumers have an idea of appropriate social conduct, they tend not to realise the extent to which they are affected by behaviors and norms around them
Often it is personal identification with various reference groups that influences much of consumer’s behavior. Unlike habits, e.g. dress styles are simply seen as resulting from the socialization process.
‘Conventions are viewed as instrumental to coordinated action whereas social norms are not. Convention influences everyone e.g. the type of houses we buy, to its location and even to its furnishing.
Specific group norms are more popular in western societies now and what may be socially appropriate for one group, may not be socially appropriate behavior for those in another group. This could be related to this consumer where she may buy an expensive camera and feel that this is acceptable, however, another group may feel this is too expensive or unnecessary and this behavior promotes distancing rather than sharing.
Fashion: ‘There are conventions in fashion, but whereas we adhere to conventions to avoid conflict and coordinate our actions with others, we adopt certain fashions as part of image management to signal social aspirations and identifications.’
This consumer is certainly preoccupied with personal identity and fashion may help her to establish that identity.
Fashion often gives a group a sense of identity that marks them off from the public at large. The possessions of this consumer’s aspiring group became her desire to purchase a digital camera too eventually become part of them, like a trendsetter.
Any group in society can be the source of fashion, which of course doesn’t need to be defined to clothing.
Fads: Faddish products are noncyclical and generate some in-group feeling and a sharing of status emanating from mastering skills associated with the product. This could be mastering features within the camera e.g. how to use the flash.
2. Status and recognition.
A concern for status is a concern for social recognition and prestige. A search for purchases that signal social distinction goes on relentlessly in spite of societal demands for equality and democracy. This is because status symbols can be a social passport. The desire to be different, to rise above the crowd, can be in conflict with the desire to conform. In such cases, if the desire to be different dominates, then whatever is the most popular brand may be viewed as a reason for not buying it. As one woman said in a protocol of her buying episode: "I want it to be me so it should not be used by many people". The desire for status affects not only what is bought but where it is bought and even how it is paid for; the particular credit card or bank. The desire for status is directly linked with the desire for power, fame, and wealth.
The extent to which there is support within the culture for status differences, the greater will be the desire for status. When objective knowledge about an individual's standing cannot be easily known, status symbols are a substitute for the real thing. But symbols of status can differ between cultures and within the same culture at different time periods. Thus in the sixteenth century Europe, to serve sugar was a sign of status. There is the hope in possessing the symbols of either escaping being treated as a nobody or, 'at the very least, avoiding the shame of being thought poor' The desire for status/recognition is tied to the concept of self discussed in the last chapter under the headings of self-concept; self-esteem; self-confidence and ideal-self. Consumers collect what is called symbolic capital by collecting status goods. Status helps shift the power balance when we deal with others, which, in turn, increases the likelihood of getting our way.
People wish to signal their status; possessions lessen the danger of that status going unrecognized. A good deal of advertising is concerned with associating the product with status, social recognition, and a certain lifestyle. A key to most services is the symbolization of status through customized execution involving personal recognition. Good service is very tied to massaging egos.
We have talked of the tension between wanting to be part of the group yet wanting recognition and to be above the crowd. Yet sometimes people seem willing to transfer their desire for status and recognition to the group; to accept their own status and the group's are one and the same. This can happen in cults but also in religion and the army.
3. Ethical values and integrity
We now turn to the third component of integrative criteria, the desire for products that fit ethical values. Consumers have a sense of themselves as moral agents with their buying behavior expressing ethical values. We have what has been called second-order desires that is, desires to have certain desires such as to be ethical in our dealings with the world. Buying, like all social conduct, includes not only self-interest but promotion of ideals. The particular balance that is adopted is intimately tied to an individual's self-image and emotional nature. Support for firms believed to act in a social and morally responsible manner makes consumers feel good about contributing to a better life while at the same time getting a glow of pleasure arising from living up to an idealized self-image.
There is a connection between adherence to some set of community values and respect for oneself. In pursuing intersubjective community social values, consumers not only perceive themselves as fostering such values but are expressing an identification with others. To quote the Economist (May 16th, 1992):"A growing number of consumers now base their buying decisions on "non-commercial" concerns. Does a product harm the environment? Was it tested on animals? Is it recyclable? Was it made in a Surinam sweatshop? If a firm can answer "no" to all the above, it can make an ethical killing":
To sum up, one way of enhancing a brand's value to the consumer is by building into the offering (product, price, promotion, and distribution) whatever signals social acceptance, social esteem, fashion, status, and consumer values. Integrative criteria can be key in buying socially visible products. Sometimes integrative criteria are called non-rational. This is because (i) social norms may dictate buying without attention to utilitarian functions (ii) the search for status seems empty (iii) sacrificing material (legal) gain for conscience seems purely emotional. But most buying that takes account of social norms and status can be done in the most calculating way, while practical rationality does not dictate exclusive concern with selfish ends.
D. ADAPTIVE CRITERIA
‘Adaptive criteria reflect the desire to minimize risk and uncertainty in buying. Uncertainty occurs when the situation is unique so risk cannot be estimated (though those who accept the concept of subjective probability deny there is anything but risk).’
The consumer had just the right amount of information from family and friends in order for her not to be uncertain. The purchase process was relatively simple as she knew what she wanted and for what purpose and therefore the financial risk in buying the wrong product for the application envisaged was low.
The social risk in not buying what is most socially appropriate would also have been low as it was a digital camera that she wanted in order for her to become a member of her aspired group and portray confident self image. She wanted to be an early trend setter so other people could aspire to her.
Although there can be pre-purchase fear of making a mistake or the fear of regret, the consumer here knows what she wants and will not be self satisfied until she has the product. The want for being materialistic and having ownership is seen to her as having a ‘high status’ and is likely to drive towards purchasing the product.
Buyers do not want their choices to be problematic yet uncertainty is inherent in buying.’ Adapting to e.g. information overload or uncertainty is natural. Although consumers do generally inspect products, the truth is not always revealed, however, this consumer’s view is the more the features available the better the product.
The consumer want a product which is likely to hold a high value for a long time. She may well be disheartened should the value of the product fall. ‘This tendency has been described as myopic loss aversion in the financial literature.’
In adapting to uncertainty consumers adopt a number of strategies. One is to imitate those "in the know".
Often consumers will imitate other consumers who seem to be ‘in the know’ as they don’t themselves have time to expand their own knowledge on products. Nevertheless, this consumer has taken advice from family and friends but she feels that the fewer the people that have this camera, the more prestigious it is.
Following social norms or convention is "normative conformity"; imitating those in the know is "informational conformity, where the consumer is genuinely persuaded.’ This is not the case for the consumer who wants the camera of her own accord for her own satisfaction.
Another strategy is to seek advice which in this case the consumer has done through her family and friends as well as reassurance through the actual retailer. Advice is particularly influential when those giving advice are known to have a long term interest in the product. She links the retailer to the manufacturer, the better the service at the retailer, the better the manufacturer’s product. Often consumers do dislike interactions with e.g. sales people, as they have greater knowledge which could mean loss of control by the consumer
A third strategy is to look for guarantees such as money-back guarantees e.g. for buyers who change their mind within thirty days. ‘Guarantees may not be formally declared but assumed just as I may take it for granted that I can return goods if dissatisfied. When a prestigious retail outlet displays and promotes a certain brand, there is an implicit guarantee.’ This may benefit the consumer who has seeked reassurance from the retailer when buying the camera.
The consumer may buy the best or most expensive product because doing so provides a sense of guarantee for her.
‘The fourth strategy is to sample, which offers an opportunity for direct experience: the product is tried at minimum cost. The well-known brand is usually first to be considered when a new product is being bought.’ The consumer sis say that she wants a well-known brand which is likely to boost positive attention to her image
When shopping around, buyers may also look at the more expensive brands to judge what features to seek when buying a less expensive model. This may be true with this consumer who said she will base her decision around the features offered to her. The more features the camera has, she believes the more valuable it will be.
Comparison shopping is often used by consumers to discover what it is they want by seeing what is on offer. The consumer may have done this with the camera to see the best features offered.
ECONOMIC CRITERIA
‘A buying situation is an approach/avoidance situation.
The approach is the anticipated benefits; the avoidance is the sacrifice consisting of the price and the effort expended.’
Economic criteria take into account anticipated sacrifice.
Although consumers do balance benefits against sacrifices, this consumer doesn’t seem to be affected by the cost of the camera. Her view is the more expensive, the better, and a well-known brand is better as the more people that recognise the brand, the better the quality of the camera.
‘There are two types of price conscious consumer: the deal sensitive, switching amongst their favored brands, buying on special offer and the price sensitive who, regardless of brand, simply choose the cheapest.’ This consumer doesn’t seem to be either. She knows that she wants an expensive camera and price in her eyes will reflect quality.
The consumer is likely to pay any price as long as she knows that her image will be boosted in a positive way and that people she aspires to recognise her camera as a well known one. The consumers main objective is to fulfill her ‘obsession’ and increase her self confidence as well as set her apart from a typical student and be seen as a trendsetter. Therefore sacrifices such as cost, fair price and social perceptions of the wisdom of the purchase at that price do not matter.
Expectations for prices on products bought infrequently are natural although these can change as consumers learn about real prices and the added benefits that could be received by paying more
‘A high price, given the right product, supportive promotion, and appropriate distribution, can help project a desirable social image, signaling exclusivity/scarcity and status for a socially visible product.’ This consumer is likely to agree with this. Her belief is that the more benefits and features, the better the camera will be.
Often consumers react to bargains although often they may get the feeling that the price is just too good to be true. The consumer believes that a sale on an expensive product is justifiable and a valuable bargain.
Prices of cameras are likely to be similar although depending on brands and features can vary and it is because of this that appearances and 'word-of-mouth' can be so important. This is the reason the consumer has consulted family and friends in order for her to make the best possible choice for the purchase of her camera.
The effort involved with a purchase may also be seen as a sacrifice although the consumer shows no sign of this being a problem and as a student, probably has less time pressures than others.
VI. CHOICE CRITERIA AND COMPETITION
Brands that perform the same core-use functions are substitutes for each other, but brands are close segment rivals only when they cater to the same overall choice criteria. If offerings are perceived as undifferentiated, habit, picking, or just liking (say of the brand name) will direct choices. Since these processes favor the market pioneers, market shares can be uneven, making little sense given the objective differences among brands. Whatever criteria are stressed, the target audience is being invited to believe these are the important ones. Thus if only economic criteria are emphasized, the focus is on value for money. Hence it should not be surprising if allegiance is merely rented.
XII. IDENTIFYING CHOICE CRITERIA
The choice criteria used by consumers can be discovered through the use of protocols. In the protocol a sample of consumers is asked to give a continuous verbal report, that is, to think aloud:
before buying (the anticipatory account)
during buying (the contemporaneous account)
after buying (the retrospective account)
All thoughts that occur to them are recorded .The record of this verbal report is called a protocol. Such protocols are used to study mental processes but here we are just concerned with using them to identify wants, beliefs and choice criteria and anything about the decision-making process that can be captured. Sometimes the buying decision takes place over a long period of time and it may not be possible to conveniently record the whole buying episode but resort may have to be made to recording different consumers at the different stages of before, during and after.
At the time of taking the protocol, any situational factors that might have unconsciously influenced the consumer should be recorded. Similarly, it is useful to note the consumer's actions since sometimes thought manifests itself in what consumers do and not just in what they say.
All interpretation involves 'theory' of a sort, however inchoate and the interpretation of protocols is no different except it is hoped the interpreter will make extensive use of social science theories as discussed in the last chapter. Every protocol throws up the problem of how to relate the parts to the whole. A single statement or even a word in the protocol can be key to explaining the buy. The analysis of the protocols involves reading the whole protocol (including remarks made by the researcher at the time) and studying the parts in relation to the whole. In studying each statement, the analyst notes the key words used by the consumer as the basis for identifying the rules being followed. Thus if someone says she bought the brand because it was the most 'familiar', it is in the idea of familiarity that we look for the rule used (for example, 'I buy that which is most familiar'). Behavior follows rules, either in the sense that the behavior could be shown to fit some rules or the behavior is actually guided by rules; fitting is simply a matter of true description while guiding suggests deliberate compliance. To interpret a protocol is to make what is said intelligible in the context of where, how, and when it was spoken. One way of making it intelligible is to explain as well as possible the logic behind it. Of course there can be different interpretations of protocol statements but the aim is to choose "from among various competing interpretations on the basis of the evidence provided by a close reading of the textual details".
The meaning of the situation for the individual emerges in the form of the reasons given to justify decisions or actions taken. But when consumers are asked about their reasons, not all the answers reflect the real reasons since some will be rationalizations or socially appropriate, prudent replies. If we want to capture as many of the real reasons as possible, it is more likely to happen if we record at the time what people have to say ('off the back of their heads', so to speak) before buying, during buying and after buying. It is better to just let consumers talk rather than question them or ask them to recall later what went through their minds. Verbal reports are less useful when subjects are asked to remember what they thought, rather than report their thoughts as they happen. At the end of the chapter there is a protocol and an analysis of it (Appendix I). If the respondent's goals, wants and beliefs were typical of those within the market segment, this would have fundamental implications for the firm's marketing.
The whole process of protocol recording and analysis should be based on rules that guide objectivity, rules such as (a) meticulous observation and recording of what is said without any leading questions being put to the respondent (b) even-handed review of the social science literature for concepts and findings that would seem to be relevant to the analysis (c) scrupulous attention to the evidence contained in the protocol and the observations made at the time, whether supporting or not the analyst's evolving interpretation (d) choosing among rival interpretations on the basis of the best information and evidence available (e) a resolution not to go beyond the evidence in suggesting marketing implications.
It is sometimes suggested that the consumers' own account of their reasons for buying or whatever should be taken as decisive. This is the doctrine of 'privileged access' but it should not be taken to be universal. An observer or protocol interpreter may have insight which the respondent lacks. If humans are rational animals, they are often also rationalizing animals, protecting their egos.
Within any particular segment, a fairly small sample will quickly yield the choice criteria being used. However, if interest lies in discovering how the various choice criteria are weighted, then a proper sampling procedure should be instituted.
Marketing implications for Digital Cameras
When I saw the TV advertisement for the Panasonic FX8 camera I was quiet amazed by its ability to take photos in any situation. The TV ad showed a man on a buffalo trying to take a picture of a family at the airport but he was finding it difficult as the buffalo was moving so fast. Towards the end of the ad I saw he had taken a perfectly still photograph due to the camera having a stabilizer.
According to O ` Shaughnessy Panasonic had considered
“ The core function for which the product was designed versus the function for which the product is used, so that the two coincide”
This convenience-in-use function had a major appeal to me, as this was the only digital camera I had seen which was advertising its ancillary use function other then just its Megapixel. I decided to research this camera further on the Curry’s website as they offered a lot of product information and allowed me to compare prices as I had a budget on what I wanted to spend on the digital camera.
This coincides with O Shaughnessy account of consumers searching for products that offer more for their money.
“Consumers commonly take the quality and range of technical functions for granted, viewing all brands within some price range to be equivalent technically. Where this is so, manufacturers must either have something technically better to offer (and can be seen to be so) or focus on other choice criteria.”