1. McGraw-Hill/Irwin Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.

2. CHAPTER 3 THE CHANGING AMERICAN SOCIETY: VALUES 3-2

3. 3-3 Marketing Strategy and Values  Green Marketing  Cause-Related Marketing  Marketing to Gay and Lesbian Consumers  Gender-Based Marketing THE CHANGING AMERICAN SOCIETY: VALUES

4. Consumer Behavior In The News… Sixty-seven percent of Americans Believe that Environmental Quality is Getting Worse.  Do you think this is an increase or decrease since 2005?  Who is more worried: Women or Men?  Who wants more drastic action to correct?  18-49 years old  50-64 years old  65 + years old Source: L. Saad, “Environmental Concern Holds Firm During Past Year,” Gallup.com, March 26, 2007.Gallup.com 3-4

5. Consumer Behavior In The News… Sixty-seven percent of Americans Believe that Environmental Quality is Getting Worse.  You were correct if you said concern has increased (by 13 percent)  You were correct if you said Women (48%) more than Men (37%)  65+ group is least likely to want drastic action:  18-49 years old (40%)  50-64 years old (42%)  65 + years old (27%) Source: L. Saad, “Environmental Concern Holds Firm During Past Year,” Gallup.com, March 26, 2007.Gallup.com 3-5

6. Changes in American Cultural Values Cultural values Cultural values are widely held beliefs that affirm what is desirable. cultural values Observable shifts in behavior, including consumption behavior, often reflect underlying shifts in cultural values. value shifts Therefore, it is necessary to understand the underlying value shifts in order to understand current and future consumer behavior. 3-6

7. Changes in American Cultural Values Traditional, Current, and Emerging American Values 3-7

8. Marketing Strategy and Values  Green Marketing  Cause-Related Marketing  Marketing to Gay and Lesbian Consumers  Gender-Based Marketing 3-8

9. Green Marketing (1) developing products whose production, use, or disposal is less harmful to the environment than the traditional versions of the product; (2) developing products that have a positive impact on the environment; or (3) tying the purchase of a product to an environmental organization or event. 3-9

10. Cause-Related Marketing (CRM) Cause-Related Marketing (CRM) Cause-Related Marketing (CRM) is marketing that ties a company and its products to an issue or cause with the goal of improving sales or corporate image while providing benefits to the cause. Cause-related sponsorship (corporate spending toward CRM) continues to rise, with an increase from $120 million in 1990 to $1.5 billion in 2008! 3-10

11. Applications in Consumer Behavior CRM or Social Marketing? You Decide! Courtesy Ford. Warriors in Pink. Powered by Ford. Fordcares.comFordcares.com. 3-11

12. Marketing to Gay and Lesbian Consumers The gay market is estimated to be approximately 7% of the adult U.S. population, or 15.3 million people over age18. The purchase power of the gay market has been estimated at $723 billion. 3-12

13. Marketing to Gay and Lesbian Consumers Many companies find the gay market to be a highly attractive segment. Product and communication issues are major considerations. 3-13

14. Marketing to Gay and Lesbian Consumers Product and Communication Issues Include: Does the product need to be modified to meet the needs of this market? Should the firm advertise in gay-oriented media using its standard ads? Should it advertise in gay media using ads with gay themes? To what extent should the firm be involved in gay community activities? Should its ads in mainstream media include gay themes? 3-14

15. Gender-Based Marketing  Gender Identity versus Gender Roles  Ascribed versus Achievement Roles  Traditional versus Modern Gender Orientation 3-15

16. Gender-Based Marketing Gender roles in the U.S. are shifting, both genders making many purchase decisions. Example: Today, women influence 80% of all vehicles sold. Implications for dealerships and sales training? 3-16

17. Gender-Based Marketing  Market Segmentation Based on Role Identity  Traditional Housewife  Trapped Housewife  Trapped Working Woman  Career Working Woman  Product Strategy  Marketing Communications  Retailing Strategy 3-17

18. Gender-Based Marketing Product Strategy Moving beyond stereotypes: Rather than adapting colors to fit stereotypes (e.g., pink power tools), companies are adapting their features in ways that make their products more functional. Click the online button to link to Barbara K tools. Barbara K tools – cushioned handles Smith & Wesson – redesigned to “fit” women’s hands 3-18

19. Gender-Based Marketing Marketing Communications Men and women also consume different media. 3-19

20. Gender-Based Marketing Retail Strategy Men are increasingly shopping for household and other products traditionally purchased by females, and females are shopping for “masculine” products such as lawn mowers and power tools. Retailers have begun showing very masculine men shopping for household products and carry power tools targeted at women. 3-20

21. Discussion Questions 26. Cause-related marketing is done to enhance the firm’s sales or image. Some critics consider such marketing to be unethical. What is your position? 29. Do you think housewives may be defensive or sensitive about not having employment outside of the home? If so, what implications will this have for marketing practice?