Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.

8 8 Chapter Lifestyles: Consumption Subcultures

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Learning Objectives After completing this chapter, you should be able to: Identify role-related product constellations. Describe psychographics and lifestyle research. Understand the use of lifestyles data to profile lifestyle segments, identify related lifestyle interests, and locate lifestyle segments geographically. Recognize lifestyle typologies such as VALS, LOV, Japan VALS, and Global Scan. Understand how lifestyle may be used at various levels of aggregation. Identify the value and limitations of lifestyle research.

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Product Constellations Lifestyle pattern of behavior that reflects consumption of interrelated product constellations Product constellations clusters of complementary products, specific brands, and/or consumption activities Brand tribes people devoted to a particular product Product constellations can be matched with demographic and media preferences to improve targeting

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Product Constellations Product constellations are clusters of complementary products, specific brands, and/or consumption activities. Professional Seiko watch Burberry raincoat Lacoste shirt Atlantic magazine Brooks Bros. suit Bass loafers silk tie French wine BMW automobiles Public defender Levi’s cords Wallaby shoes Calvin Klein glasses Molson beer L.L. Bean shirt RCA VCR Volkswagen rabbit Esquire magazine

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Psychographics and Lifestyles Psychographics measure lifestyles by linking individual psychological factors to characteristic patterns of consumer behavior to determine who is in the market Psychographic techniques divide the total market into segments based on activities, interests, values, opinions, personality characteristics, and attitudes AIO measures activities, interests and opinions of consumers

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Very General Very Specific AIOs at a very general level AIOs focus on purchase and consumption AIOS focus on purchase and consumption of product category AIOS focus on purchase and consumption of specific brands Psychographic Continuum for AIO Statements

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Psychographic Segmentation Schemes VALS 1 (Values and Lifestyles Systems) VALS 2 Japan VALS LOVs (List of Values) Cohort Analysis

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Exhibit 8.2 VALS 2 Segment Profiles

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Values and Lifestyles Systems VALS 1 partitions market into 9 groups based on Maslow’s hierarchy of needs VALS 2 classifies people into segments based on their control of resources and three aspects of their basic motivational self-orientation: principles, status, action Japan VALS identifies 4 important dimensions: exploration, self-expression, achievement, tradition

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Exhibit 8.4 Japan VALS Segments

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Values and Lifestyles Systems LOVs assesses adaptation to various roles through fulfillment of values such as self-respect, sense of belonging, excitement, etc. Cohort Analysis understanding power of cohorts

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Regional Lifestyles Consumer cultures vary geographically as a result of change in climate, topography, ethnic history, distribution of jobs and industries, etc. Regional differences affect consumption. PRIZM a lifestyle segmentation system which identifies 62 distinct clusters composed of people with similar lifestyles

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Shifting Lifestyles Lifestyle trends are triggered by major major demographic (women entering workforce) and attitudinal (growing organic food consumption) shifts Lifestyle trends affect industries as well as products and services Lifestyle can be personified by a single person (e.g., Martha Stewart)

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Global Scan Measures a wide variety of attitude and consumer values, media use, and buying patterns primarily of Triad and Pacific Rim countries and assigns them to five segments adapters traditionals pressureds achievers strivers International Lifestyle Segments

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Industry Insights 8.6 Global Scan Segments in Three Countries

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Recent lifestyle segmentation: Turkish lifestyles: Liberals/trend setters - college educated and high-income earners Moderates/survivors - Traditionalist/conservative - concerned with price over prestige and style International Lifestyle Segments

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Recent lifestyle segmentation: New Zealand lifestyles: Active family values people Conservative quiet lifers Educated liberals Accepted mid-lifers Success-driven extroverts Pragmatic strugglers Social strivers International Lifestyle Segments

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Recent lifestyle segmentation: Chinese females’ lifestyles: Conventional women - family is a priority Contemporary females - combine work and family as main priority Searching singles - career and image-oriented, postpone marriage Followers - low involvement in social, cultural, and other physical activities International Lifestyle Segments

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Criticism of Lifestyle Research Central concepts (i.e., lifestyles, psychographics, etc.) tend to be ill defined and it is not always clear why particular segments express particular consumer preferences Current lifestyle measures are not very food at capturing the fluidity of lifestyle segment membership Fairly low level of correlation between lifestyle segments and particular behaviors such as brand choice

Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Key Terms achievement achievers action-oriented people adapters AIO measures brand tribes cohort analysis explorations Global Scan Japan VALS nine nations of North America pressureds principle-oriented people PRIZM product constellations psychographics regional lifestyles self expression status-oriented people strivers tradition traditionals VALS 1 VALS 2