The Concept of Marketing - Essay Example

INFLUENCE OF TEENS ON HOUSEHOLD CONSUMPTION (Module (Module (SID Number) (Word count) Table of contents Title page .. 1 Table of content 2 Summary ... 3 Literature review ... 3 Research theory . 6 Methodology .. 7 a. Sample ... 8 b. Research tools ... 9 c. Data collection .. 10 d. Data analysis . 10 Results ... 11 Discussion .. 14 Conclusion . 15 References .. 17 Appendices . 19 Executive summary This research was carried out to fill the research gap that existed in accounting for the influence that exists between a sub-culture and an interest group in that sub-culture. Using the influence that exist between the teen on household consumption patter, the research sought to find how that influence can be used in creating a wide market base for product which seemingly identify members of a sub-culture. In the research a sample size of 5 supermarkets were selected for the study in which a sample size of 30 people including 15 teens and 15 parents were father interviewed for the study. An observation schedule was used to asses the shopping trend. The data was collected over a 1 week period. It was analyzed using simple analytical tools. The study found out that teens had a lot of influence in their parents' consumption pattern. Literature review The concept of marketing has become broad and refined with seemingly segmentation of the market. It has been well studied to come up with the best marketing strategy for organization. This is because marketing forms the core operation of any profit oriented organization. It is a powerful tool for a business to have a breakthrough in its existence. Currently the scholarly world is concerned with studying the effects of having an effective marketing strategy based on different market segments. (Willis, 1990) Market segmentation has continued to grow day by day as more and more researches are revealing needs of different segments of the market. It has tried to shift from tradition segmentation of male and females, old and young, and other segmentation to more refined one. It has also seen the emergence of consumer clubs sub-culture which has driven the market in another direction. These clubs have gone on marketing spree at one time buying particular goods which seemingly identifies a particular club. (Hall, 1997) Sarah (1997a) defines Culture as some particular values or tastes that define a particular group of people. A sub-culture is a division of a culture with particular tastes or values that are not shared with other members of a culture. Marketing have been targeting a particular subculture within a diverse culture. This has become a valued aspect in any marketing strategy. This is important to address various demographic characteristics that are evident in a particular culture. It has become evident that people within a culture do not share the same values and tastes. For example it will be difficult to find the old and the young sharing the same tastes in fashions. This has become important to address the needs of every subculture and also to help create a notable difference between the two sub-cultures. Marketers have been using the concept of sub-cultures to develop refined marketing strategies that address the needs of each and every group in a culture and on the other hand to market product that are seemingly acceptable to consumers. (Donovan and Henley, 2003) The strategy of manufacturing and branding goods targeting the whole population has not bee very successful. It has led to pile up of goods in warehouse due to low sales. Market research data has revealed manufacturing and branding goods with a particular target to a group with a clear knowledge of its demands in terms of purchase power and the consumption pattern. For example the teen group has been found to fast in consumption compared to the old. A senile member of the community will buy a pair of shoe once in a year while a teen of the same community will have bought more than three pairs of shoes in the same time bracket. This particular trend in consumption pattern of different groups in the same setting makes it difficult to generalize market demands. Targeted marking has been found to be very effective. (Roz, 1998) But there seems to be diverging interests in each subculture. This is a research gap to be filled in future studies. It has also been found that in a particular culture or subcultures, the diverging interest of a particular group have a lot of influence on the consumption pattern of that culture or subculture. According to Jefferey and Hyperion (2000), this may translate to be an influence on consumption of most commodities in the market which have been targeted to a particular culture or sub-culture. The interest in a group may go further and drive the consumption pattern of another group in the same direction. This can be explained by the emergence of consumption clubs which starts within a subculture which grows very fast to an extent of consuming almost the entire sub-culture or the consumption pattern of a certain sub-culture which goes to influence the consumption of a particular group. (Bourdieu, 1997) According to Sarah (1997b), one of the sub-cultures that have been found to wield a lot of influence in the market is the teen subculture. Teen subculture emerges due to classification of age based on culture. This subculture is described by an age group of 14 to 19 years but its influence goes beyond this bracket. This is a group that holds a lot of struggle to free itself from the bond of parental watch that dictates its life since setting the foot on his world. It is also a group that is easily influence by the market forces and also has a big say in the market. According to Weisner (2000), this group has a lot of knowledge about the market trends and acts as a source of information to the other groups. It holds a lot of knowledge and interest in electronic media than other modes of marketing. This marks the period the period begging the development of brand loyalty which may have an everlasting mark in the life of an individual person. Researches have found that this group is quite elusive and over-committed to particular brands. Caruana and Vassallo (2003), says that the group is also very mobile and very diverse. This translates to a wide market that has been created in this group due to their diverse marketing taste. Perhaps the marketing force for this group is due to the overwhelming influence that they have for one another. This influence particular makes it the largest consumer group. The group can be described as savvy and setter of marketing trends. (Beckwith, 2000) According to Foxman et al., (1989), the influence this group holds is further extended not only to the group members but to other group members as well. This influence can be used to asses the influence a particular group has on the whole culture or the influence of a particular group in a certain sub-culture. Do the diverging interests in a particular subculture affect its consumption pattern of that group To what extent does this influence have on the group consumption pattern Does the whole group succumb to the consumption pattern of a group Research finding on this issue can help in producing and branding commodities that will help in addressing different interest of group members which will further be acceptable to the group as a whole. (Lee and Betty, 2002) Research theory The influence that subculture have on consumption pattern among the member has been explored. This influence has been found to be great among the teen group and has been found to extend even to members outside the teen group. Understanding the influence of the teen group on consumption patterns of other group members can be used as reference data in determining household needs since teens are part of each household. The literature review has clearly shown a deficiency about how diverging interests in a group influence the consumption pattern of that group. This is important in helping to determine how the interest in taste of a particular sub-culture with a lot of influence can influence the taste of the rest of the sub-cultures in a culture which can translate into changing the consumption pattern of the whole group. With knowledge about this influence can help in developing products and market strategies which puts into consideration the interests of those groups in order to produce goods that are acceptable to the whole group. Understanding the influence of teens can be important in determining consumption patterns of other groups and further in determining household consumption patterns. Methodology In data collection, different supermarkets were randomly selected. Then from these supermarkets, teens and their parents were randomly selected for the interview. The shopping patterns in the selected supermarkets were closely observed in relation to the observation schedule. To collect an accurate data, the research employed two methods of data collection. This was intended to reduce bias in the study as much as possible and ensure that the sample size was large enough to capture diverse groups in the market. The research employed observation research as well as interview In the interviews, random teens and parents in shopping action were randomly interviewed. Direct personal interview was the best method of data collection employed since it would capture direct feelings and expressions of those interviewed. Observation schedule was important in looking closely at the marketing pattern in terms of the relative number of teens who went shopping compared to other groups and also the accompaniment of parents and their teens in shopping. This was important in determining the household segment that had a lot of influence in the market. It was also helpful in understanding how parents incorporated the teens in shopping. Research sample and sampling procedure A sample of 5 supermarkets was selected for the study such that in each supermarket two people were interviewed. Supermarkets were chosen since they were the best place where the research could capture shopper in action. The sampling frame for the research included teen of both sex as well as parents of both sexes who were shopping. In the research a sample size of 30 people was selected from the sampling frame. Initially the research intended to interview both sexes but variation in shopping trends among the sexes was also supposed to be captured in the study. This design was intended to reduce biasness in the research. Teens were chosen since the research wanted to find out the influence of the teen group in household consumption. More females were chosen since they are mostly involved in household shopping. Random sampling was used for selecting the research sample. Random sampling was used because it reduced biasness in the study and also helped to capture the right image of shoppers. The first random sampling was done on supermarkets. The names of all supermarkets were listed each on small pieces of paper and folded. The papers were then thoroughly mixed and 5 papers selected at random. From the selected 5 supermarkets, a sample of 5 people was randomly selected from each supermarket. The 5 supermarkets were randomly distributed such that the study did not concentrate on higher income area or low income area. The study wanted to capture the reality of all social groups in order to avoid bias. Use of data collection tools The data was collected over a period of one week visiting all the supermarkets daily. This was supposed to capture variability in days of shopping putting into consideration that on weekdays, teens were in schools and parents were at work. Hence spreading the period of study across the whole week helped in determining days when shopping took place. This was in order to assess who were more responsible for shopping and to assess whether parents came to shopping on weekends in company of their teens or came alone on weed days or teens were sent shopping on week day. This was important in assessing the shopping trend in the household. The tools that were employed in the study were believed to be the best in order to get the desired results. Standard tools for data collection were employed following the accepted rules and procedures as per each. In the observation schedule, the research intended to capture the shopping trends between teens and other members of the household. It was out to assess the household group that was involved in shopping for the household. The observation schedule observed the age group of shoppers in the selected supermarkets mainly in the morning and afternoons. The observation on teens shopping also tried to capture whether they came as individual or in a group or in company of their parents. In the interview schedule teenagers were selected randomly and interviewed on various aspects of shopping. The interview schedule for teens enquired the nature of shopping (whether personal or family), their influence in family shopping, their shopping pertaining to fashion, and other factors that determined that particular shopping. For the parents the interview concentrated on the responsibility of family shopping, the influence of teens in family shopping, and other aspects. Data collection Data was collected from the following supermarkets in New York City including ShopRite, Trade fair, Pioneers, Peters, and Hillside Supermarkets. After selecting the supermarkets, permission was sought from the supermarkets for data collection in their area of jurisdiction. The shopping trends in each supermarket were observed on various aspects of teen shopping and results recorded in the observation schedule. The observation was made in the morning and afternoon to capture the differences in shopping for different groups. In each supermarket, 6 interviewees were selected and consequently interviewed. In collecting the data, the research made sure that it kept strictly to the questions in the interview but at the same time considered person expression to get more meaning of the study. The period of data collection was spread within one week in order to capture the trends in marketing throughout the week. This was to asses the shopping trend based on commitment to know whether teens went to shop because they had a lot of time to do so, was it for fun like a group activity, was it meant for the family, or were they responsible for family shopping. For parents the interview concentrated on assessing how their teens influenced them in their shopping decision. Data analysis Standard procedures of data analysis were employed in order accurately the desired resulted from the study. The data was analyzed using simple analysis procedures. Percentages, means, deviations, and other data analysis tools were used to analyses the data. These results were then used to interpret and relate the study to other studies Results The research had achieved the initial intentions of unveiling the influence of teens on household shopping. The results were positive and gave more results which could be compared to other studies that have been carried before. The following were the results of the study. Among the teens interviewed 9 of them were females while 6 were males. On general observation, 74% of the shoppers were females while 36% of them were males. 10 of the parents who were interviewed were females while 5 of the parents were males. It was also observed that 88% of the parents who were accompanies by teens in shopping were females. The data collected revealed that there was variability on shopping trends depending on the days of the week. The study found that there were more teens doing shopping on weekends that on week days. It was observed that 67% of teens were doing their shopping on weekends compared to 33% who did their shopping on weekdays. It also found that more teens were dong their shopping in afternoons mostly in the evening. This could be attributed to the fact that most teens are school going and since they are busy during the day, they result to doing their shopping after school. However it was found that 80% of the teens who came to shopping on week days were doing family shopping. This percentage reviewed that these teens were doing so on behalf of their parents. The research also found that about 40% of those doing shopping in the weekends were teens and young adults slightly above the teenage. This was the largest group doing shopping any particular time within the study period. The study also found that out that about 57% of this teenage population coming for shopping on the weekend came in company of their parents while 30% parents came shopping in groups and 13% came personally. This shows that teens are an important group influencing the household shopping. This study did not reveal a strong shopping bond between teenage as only a mere 30% who came shopping in groups. The interview also reviewed that majority of the 13% that came shopping alone were doing a family shopping and not a personal shopping. The nature of shopping revealed a close tag between personal shopping and family shopping. The study showed that 52% of the teens interviewed said that they came for personal shopping while 48% came for family shopping. Most of those coming for personal shopping, about 87% were shopping for fashionable clothe, shoes, and jewels. Only 13% of the teen shoppers were shopping school materials. 70% of those who came for personal shopping revealed that they were looking for fashions that have had seen their peers with while 30% were scavenging for new fashions that had come in the market. This showed a strong peer influence among teens on shopping trends. Among the teens those who were interviewed responded that they influenced the shopping for their family. 74% revealed that their parents consulted them before they could go for shopping or accompanied their parents to the market for shopping. 26% of the teens revealed that if they did not accompany their parents to shopping, they were alternatively given money to go and buy what they wanted. Most of them said they influenced even food consumption pattern in the family. 70% of the parents reviewed that they consulted their teens before going for shopping. They revealed that they could not buy clothes or shoes for their teens and had to be accompanied by them to the shop or they gave them money to go and shop for the clothes. 56% responded that they consulted their teens before deciding what was to be eaten in the family and they revealed having changed the family eating patterns because of the teens. For parents with more than one teen in the family, many aspects of family consumption had changed. Asked about how they felt about the shopping trend of their children, 97% of the parents responded that they understood their teens and their consumption pattern and they were happy to include them in family consumption decision. Only 7% of parents revealed that they were strict to their teens on their shopping tastes. Asked about how they felt about the influence of their teens in the trend of family consumption and shopping, 88% revealed that family shopping had rapidly increased when their children reached teenage. They also revealed that in the same way when their children reach later twenties, the family consumption pattern also changes. This consumption was reported to be more leaned towards food consumption pattern. They revealed that teens have a lot of influence on what is prepared at home and some even insist on directly sent to the market to do food shopping. They acknowledge that when they go for shopping, they have a conscious of picking what will be accepted by their teens. These parents revealed that they feared shopping without the consent of their teens since most of them ended up refusing to eat if they were not consulted. Fearing the health of their teens, most parents had resulted in going to shopping with them so that they can help them in selection of foods to be eaten in the household. Concerning conflict of interest based on the family consumption pattern, 61% of the parents interviewed revealed that there were constant conflicts between the family members and the teens on household consumption. This study makes some important finding showing that teenage group has a lot of influence on the consumption pattern of the family. This can be concluded that they tend to change their consumption pattern in order to follow what the teen wants. They develop a conscious liking for what their teens appreciate and like, which in turn changes their consumption pattern. This study reveals same other studies which have shown the influence of the children and teenage on the family. A study by Belch et al., (1985), showed that children had a lot of influence on decision making process of the family which influences even their consumption pattern. Discussion This study has revealed important information that can be used as a marketing tool. The power of targeting a certain group or a subgroup has been acknowledged in the marketing cycle and is being applied in marketing. However as per our literature review, we have found that there is still more that is to be done concerning the influence of different group within a subgroup or a group in order to asses how that influence affect the consumption pattern of the whole group. The influence of such interest held by subgroups within a group sometimes may be positive or negative, but we have to acknowledge that that interest has an influence. This study embarked on assessing the extent of the influence of teens on household consumption pattern. The study has revealed that many families change their consumption patterns due to the influence of the teens. This knowledge can be used in determining the design of products that are meant for family consumption. If parents can change their consumption pattern based on what the teens needs, the same influence may be extended to production and branding of products that are meant for parents. This can translate to a wide market for a product. Take an example of the fashion trend. The "hip-star" jeans fashion was born in America mainly targeting teens. It took the stage by storm and all female teens were characterized by this fashion. But slowly, the fashion trend has consumed not only the young adults, but their parents have also been consumed. It is not rare to spot a parent wearing a "hip-star" same as her daughter. This has had an effect of expanding the market base for this fashion. This fashion was acceptable because it was appealing in design to both groups. If the same designing and branding can be applied to other products using the same concepts of the sub-group influence on the whole group, new marketing strategies can be implemented. Conclusion This research makes a lot of contribution to the marketing approaches and theories used in planning marketing strategies. It provides information about the extent of the influence that can exist between interest groups which are a part of a large group and which may change the consumption pattern of the whole group. It explores the information gap which links the sub-group influence and group interest. It can be concluded that a good marketing strategy should first make a thorough study on the extent of influence that exist between different sub-cultures that makes up a culture. This influence can be used to create a wider market base for a product. If marketing strategies take closer look at the aspect of a certain divas club on the entire female group, it can produce products which may be more appealing to the entire female population but which identifies the divas club. This will create a wider market for that product. In this research few assumption were made. It was assumed that the sample size selected was a representative of the whole population. It was assumed that the information collected in the interview was true with a negligible degree of deviation. Many limitations were faced in the study. First it was difficult to get permission from some of the supermarket that were selected and the researcher went on from on super market each time making a new random selection until the number required for the study was obtained. Another limitation in the study was of finding male shoppers as most of the shoppers were females and the few males who were present did not consent to be interviewed. However at the end the research was able to gain the number required for the study and the study was carried out. References Beckwith, H. (2000). The Four Keys to Modern Marketing. Warner Books Belch,G. Belch, M, & Ceresino, G. (1985). Parental and teenage influence. Journal of Business Research, Vol. 12(3): 160-170 Bourdieu, P. (1997). Outline of a theory of Practice. Cambridge University Press. Caruana, A. & Vassallo, R. (2003). Children's perception and influence on purchases: Parental Communication. Journal of Consumer Marketing, Vol. 20(2): 45-67 Donovan, R. & Henley, N. (2003). 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Appendices: Observation schedule Day Date Time Flow of shopping (Rate it out of 10 according to appropriate time) Morning Evening Per 10 people who enter the mall for shopping, indicated the number seemingly the teens Number of parents accompanied by teens for shopping (indicate the appropriate number per every 10 adult shopper visiting the shop) Number of teens coming for shopping (Indicate the actual number coming in per out of 10 teen shoppers according) In groups Alone With parents Interview schedule (For teens) Name Age Reason for shopping (Tick accordingly) Personal Family For personal shopping, enquire the reason for shopping (Tick accordingly) Due to peer influence Looking for new fashions For fun Do you parent trust you with family shopping Do you influence what your family is shopping Do you parent give you money for your own shopping Do you like the new fashions your friends wear Does you parent dictate to you what to were or eat Do you think you parents like your shopping taste Interview questionnaire (For parents) Name Gender How many teens do you have in your family Do you trust you teen(s) with family shopping Do they have a say in what you buy How can you rate their influence on family consumption (Rate out of ten) How do they influence the family consumption Increase Decrease No influence Do you give them money for their own shopping Do you like their tastes and fashions Do their taste and fashion influence you taste and fashion as well Are you restrictive to them on what they use or wear Read More