CHAPTER NO. 3 Subculture Types of ethnic subcultures and its importance in marketing. Consumer behavior patterns within black, Asian- American, and Hispanic subcultures, as well as possible marketing mixes to target each effective. Characteristics of elder and youth subcultures and their behavior patterns. 1PREPARED BY: AZHAR ALI (RED ROSE N)

subculture The group have values, customs, traditions, and other ways of behaving that are peculiar to a particular group within culture. Consumer can be divided into the following subgroups 1. Race : people having same biological heritage involve certain physical distinction. 2. Nationality : people having same national origin i.e. language, living style. 3. Religion: people having same & unique kind of worship. 2PREPARED BY: AZHAR ALI (RED ROSE N)

The black culture Demographic characteristics: Black people more likely than whites to live in crowded, poorer neighborhoods of large cities. Size : they are 30 million people,12% of total American market. Location: they often change their locality but their population is south America which is 56%. While the immigrants are approximately 29%. 3PREPARED BY: AZHAR ALI (RED ROSE N)

Conti… Income and employment: the blacks buying power stands at approximately $150 billion which is 57% of the whites. Education: blacks are steady in education, they only pass high school but after that they leave the education, which shows lower rates than whites. Family and age: almost 50% blacks live in families headed by a female with no husband present 4PREPARED BY: AZHAR ALI (RED ROSE N)

Conti.. Psychographic characteristics The blacks people females are differs from the whites in respect to fashion and style. Black women have stronger perception about neatness and cleanness. Product purchase pattern: they are differ on consumption pattern i.e. they attempt to purchase the goods which are reflective to their achievement of full status. They don’t spend money on depreciation goods e.g. electronic goods 5PREPARED BY: AZHAR ALI (RED ROSE N)

Conti… Shopping behavior: the 22% blacks like shopping as favorite leisure activity, with over half of the black population shopping for relaxation. clothing purchases by black women have also been the subject of some research studies. Promotion to blacks: for promotion we can use radio, Television, magazines and newspaper. The big advertisement for blacks give good perception. PREPARED BY: AZHAR ALI (RED ROSE N)6

The Asian culture Demographic characteristics Size : the Asian population in USA is almost 8million, (3%) of the total population. Location : 56% Asian live in the west.12 states have 10,00,000 Asian people in America. Income & employment: the Asian have higher income than other subcultures due to 3 points: 1. They have high education.(2) they live high salary living areas.(3)two or more than two earners PREPARED BY: AZHAR ALI (RED ROSE N)7

Conti… Education : the Asian people like education,37% of Asian people complete there graduation. Which is far better than other subcultures. Family & age: the Asian have mostly age of PREPARED BY: AZHAR ALI (RED ROSE N)8

PSYCHOGRAPHIC CHARACTERISTICS The Asian culture influence people by their values and norms, some of them are: 1. Women’s place is in home. 2. Caring for aged people even their parents. 3. Every family should have a son. 4. They interact closely with relatives. 5. The decision mostly consider by the family. 6. Their relationship with parents are formal. PREPARED BY: AZHAR ALI (RED ROSE N)9

Conti.. Product purchase pattern : due to youthfulness and educational level Asian are much more comfortable with technology. They are likely to use ATM, VCR, DVD etc. Shopping behavior: Asian people like quality more than price. They like family shopping instead of individual shopping. PREPARED BY: AZHAR ALI (RED ROSE N)10

Conti.. Promoting to Asian: They give less time to radio, television, and newspaper. The message should be most effective and tactfulness. The advertisement language should be simple. Marketer must be sensitive to appeals, they shouldn't be use. PREPARED BY: AZHAR ALI (RED ROSE N)11

Hispanic culture Demographic characteristics Size :this market is consist of approximately 20 million people or 8% of the total population. A large portion of this market’s growth comes from immigration. Location : they live mostly in urban areas, i.e. new York, Texas, California, Illinois. Income & employment: these people have low income than American's. they do mostly blue collar job while some people do white collar job i.e. 58% and 24% respectively. PREPARED BY: AZHAR ALI (RED ROSE N)12

Conti… Education : Hispanic people generally attain lower level of education than blacks & American’s. approximately 57% have completed high school. Family & age: this segment have age years. They have mostly more persons then non-Hispanic subculture. The family head is mostly male & 20% female. PREPARED BY: AZHAR ALI (RED ROSE N)13

PSYCHOGRAPHIC CHARACTERISTICS These people have homogeneity (same) in life style and living pattern. They are more committed to US traditions. Product purchase pattern : Hispanic people are highly individualistic in their product and give priority to brands. They are highly brand loyal, high quality & familiar brands. PREPARED BY: AZHAR ALI (RED ROSE N)14

Conti.. Shopping behavior: Hispanic people don’t like supermarket due to language problem. Some pattern are as follows: 1. Convenience store shopping is more frequent. 2. Men are shoppers more often. 3. Teens are more likely to be primary liquor shopper. PREPARED BY: AZHAR ALI (RED ROSE N)15

Conti… Promoting to Hispanic: Hispanic people are mostly live in urban areas, but they are problem in language. 1. TV is important medium for advertisement. 2. Radio is also use for advertisement if it is in Spanish. 3. Magazines and news paper are also sources of advertisements. PREPARED BY: AZHAR ALI (RED ROSE N)16

Youth subculture Demographic characteristics Size : the population of this segment is 27million in Income & employment : these people usually jobless but some of them do simple work like jobs in restaurants. Some of them do work as a salesman's. PREPARED BY: AZHAR ALI (RED ROSE N)17

PSYCHOGRAPHIC CHARACTERISTICS Want to learn but don’t want to told. Want to be treated as adult but don’t want too much responsibility. Want to try new things. They are very sensitive and critical PREPARED BY: AZHAR ALI (RED ROSE N)18

Conti… Product purchase pattern: they like cosmetics, stereos, clothes, and entertainment equipments. They influence their parents for more brands. Those teenagers which have two earner in home (father, mother), they buy more fast foods. Shopping behavior: they spend many hours in shopping on weekend. They mostly go to those stores which are more friendly with them. PREPARED BY: AZHAR ALI (RED ROSE N)19

Conti… Promoting to youth: there are many effective media available to reach to the market i.e. radio, TV, direct mail, magazines, and newspaper. The following things should be keep in mind during promotion 1. Be straightforward. 2. Give credit to the youth for being motivated. 3. Be personal as possible. PREPARED BY: AZHAR ALI (RED ROSE N)20

Elder subculture Demographic characteristics Size: in 1990 the population of old people was 20millions or almost 13% of total population. Location : the largest group of elder consumers lives in central part of America i.e. New York, California & Illinois. Income : their income is low because they are mostly retire but those who saved the money in insurance companies or other business they earn after their retirement which is about $900. PREPARED BY: AZHAR ALI (RED ROSE N)21

PSYCHOGRAPHIC CHARACTERISTICS They move from cold to warm areas during winters. They take care of their health. They like activities for keeping fit They response to others very quickly. PREPARED BY: AZHAR ALI (RED ROSE N)22

Conti… Product purchase pattern: they like soft drinks i.e. coke, orange juices, coffee etc. They like cosmetics which hide age e.g. hair colors, removing of wrinkles. They like services because they are mostly weak and can’t do work. PREPARED BY: AZHAR ALI (RED ROSE N)23

Conti… Promoting to older market: for older consumer marketer mostly provide TV ads, radio and magazine ads. They like simple ads which shows more information. They like shopping from the supermarket due to weakness. PREPARED BY: AZHAR ALI (RED ROSE N)24