Ch. 5: Lifestyle Segmentation

Lifestyle Segmentation

• Consumers are grouped based on their lifestyle

• Plan product/service better and is in line with it

• Based on how they think and what they like

• Evolving

Psychographics'

• Psychological characteristics that impact buying behaviour

• : Thought processes, likes/dislikes, interests and hobbies

Behavioralistics

• How the customer relates to the prod.

• : Loyalty, usage

Psychographics Segmentation

• Science of using psychology tied to demographics

  • Better understand consumers and predict behaviour

• Works to identify consumer likes, dislikes and interests

• Most difficult to identify

AIO

• Activities

• Interests

• Opinions

• Also could include motivation

Motivation

• Needs, desires, wants or drives within an individual

• Understanding how it can influence consumers to purchasing is a strong marketing tool

• Maslow’s Hierarchy of Needs: physiological, safety and esteem needs

Young and Rubican’s Four Cs

• The Aspirer

• Reformer

• Explorer

• Mainstream

• Succeeder

• Struggler

• Resigned

The Resigned

• Mostly older people with constant and unchanging values

• Respect institutions and traditional roles

• Brand choices driven by safety and economy

• Familiarity

• : Coca Cola

The Struggler

• YOLO

• With little aims and few resources other than physical

• Visual impact and phyical sensation

• Core need: escape

The Mainstream

• Live in the world of domestic and the everyday

• Daily routine

• Largest group of people

• Core need: Security

• Respond to big established brands

• : Toyota

The Aspirer

• Materialistic people driven by other people’s pov of them

• Superficial: Image, persona and appearance

• Attractive package is just as important as contents

• Core need: Status

The Succeeder

• Possesses self confidence, with a strong goal orientation and very organized

• Tend to have lots of responsibility

• Seek brands with reward and prestige, the best because that’s what they think they deserve

• Core Need: Control

The Explorer

• Driven by the need for challenge and trying new things

• First to try new ideas/experiences so they respond to brands that do this

• Core need: Discovery

The Reformers

• Socially aware and pride themselves on tolerance

• Leading edge of society and intellectual

• Core need: Enlightenment

Behavioural Segmentation

• How consumers interact with the product

• Knowledge of, attitude, usage rate or response to a product

• : Why they buy, brand loyalty, search for info and usage rate

Benefits Sought

Group individuals according to the benefits they seek from the product

Involvement is Activated By…

• Person’s background

• Aspirational focus

• Environment at decision making time

High Involvement Learning

People spend more time in the decision making process and report high satisfaction

Low Involvement Learning

Routine or relatively unimportant decision making

Loyalty Status

• Groups individuals according to their level of loyalty to the product

• Hardcore or softcore loyals

• Switchers: Won’t be specific, usually will buy at convenience or if on sale

Buyer Readiness Stage

• Based their readiness to purchase the product

• Useful when formulating and monitoring marketing communication strategies