MK0016 B1809 SLM Unit 10
MK0016 B1809 SLM Unit 10
MK0016 B1809 SLM Unit 10
Unit 10
Unit 10
Structure:
10.1 Introduction
Objectives
10.2 Evolving Consumer Segments
The sunshine economy and Generation Me
Confident youth
Brat power
Assertive working women
DINK family
Metrosexual
Elderly population
10.3 Summary
10.4 Glossary
10.5 Terminal Questions
10.6 Answers
10.7 Case Study
10.1 Introduction
In Unit 2, we have discussed the rapid changes in the socio-economic
environment that influence marketers and advertisers. In this unit, we will
discuss the demographic and psychographic changes that are happening at
the individual level which have the capacity to influence advertising because
they are making fundamental changes in the profile of Indias target
audiences. These demographic changes are measurable and visible.
These, in turn, are changing individuals inside at the psychological level as
well, which influence purchase decisions and spending patterns even more.
This is the invisible part of a consumer that has to be watched keenly,
because it cannot be seen or measured, yet it is still at the core of an
advertising appeal.
More disposable income, fading differences between urban and semi-rural
areas as far as consumption is concerned, breaking down of the feudal
system where just a few persons controlled all the money and decisions of a
large extended family, small families with independent decisions even within
the family (like for a brand of soap used by each member), etc. are some of
the factors creating these changes.
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lives and look to them to give them courage and inspiration to achieve
their goals.
The study categorised mothers in three main types. The Lifeline Seeker is
one who has given up hopes of the husband improving her life and does
everything for the child with a view to depend on him/her in the future. The
Coronation Seeker looks forward to her childs achievements to revel in
their glory and use them to make a statement about herself. The
Independence Seeker strives to excel in the mothers role in order to
foster independence and self-reliance in her child, so that she will have
the freedom and space for her own pursuits. While the study focuses on
mothers, it has revealed three types of fathers too, as sketched by the
mothers. The study implies that brands must reflect the new sets of
motherhood values and attitudes and connect with the mother and child
both.
(Source: JWT study finds the payoffs from Mother India, www.agencyfaqs.com)
Let us see what type of newer consumer segments are evolving. These
consumer groups may go through several transition phases that involve
their psychological, behavioural, economical and environmental factors.
Again, these segments are only illustrative and not exhaustive.
10.2.1 The sunshine economy and Generation Me
In 200809, Indian economy along with the rest of the world was quiet when
buying was cautious and restrained. But this was a passing phase and did
not change the fundamental shifts in the personality and aspirations of
people in general. Ordinarily, evolution does not go backwards, only
purchases get postponed.
The last decade had seen a rapid rise in the disposable income and
relaxation of parental control over young people. Nuclear families have only
one or two kids and they are the centre of the universe for their parents. A
large percentage of Indian population like 55% is between 18 and 34, where
the highest income and consumption are. These young Indians will create
the destiny of the country for the next three decades. They are hardworking,
ambitious, have global aspirations in both career and acquisitiveness and
they are going to get it.
The disposable money in the hands of high school and college students at a
certain segment is any businessmans delight. Branded jeans like Levi
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music, computer games, etc., it is the young people who occupy the mind of
the art directors of advertising agencies.
Parents now accept their childrens choice even in the products which really
have nothing much to do with children, such as cars, holidays, computers
and electronic equipment. Fathers are no longer the feared patriarchs and
feel the pressure to provide the luxuries advertised on Cartoon Networks,
even though they know that children are highly selfish, pleasure seeking,
irresponsible and inexperienced in both products or brand selection and
decision-making.
It triggers a severe imbalance in family equations and sociologists feel it is
creating a whole generation of selfish kids who will become equally selfish
adults. But this social development is here to stay now and advertising has
adjusted to it rapidly.
10.2.3 Brat power
Kids are now the new-age customers, and they are conscious of their
pestering power over their parents. They have perfected the art of shopping
and know all about branded products. Since 30% of Indian kids are below
15, these cartoon-loving kids are now the target of marketers and
advertisers. From Walt Disney to Cartoon Network, everybody is doing
brand extension to cover footwear, eyewear watches, etc. Pogo Wheels of
Cartoon Networks plans apparel. Gifts, novelties, etc. are designed
exclusively for rich kids worldwide, including India. The use of
spokespersons and celebrities, cartoons, premiums, collectibles, games,
contests, etc. has increased manifold to attract this young target. Even
moviemakers are running after this age group, knowing their money clout.
Koi Mil Gaya, Krishh, Hanuman, Chhota Bheem, etc., were specifically
made for young children, even though they delighted adults as well.
Several studies done to gauge childrens influence in family decision-making
concluded that:
Childrens involvement is primarily at the first stage of buying, that is, the
initiation stage. This means that, often, they initiate potential purchases.
Children tend to suggest buying the product category, brand and model
more often with regard to products typically aimed at children (e.g., juice,
soft drinks, cereals) than product categories aimed at the family in
general (vitamin pills, shampoo and toothpaste). For durables, parents
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clich is fading and they are a social and economic force in their own right.
They now have the freedom to succeed and spend.
This is the glamorous side. Majority of Indian women are still economically
dependent, socially inferior and controlled by the family. Yet, even at that
level, rebellion is in action and they are being increasingly assertive, with
which comes independent and assertive buyers.
Many earn more than their husbands. According to an IMRB survey, the
urban Indian woman who earned Rs 4,492 per month in 2001 was taking
home as much as Rs 9,457 as of 2010.1 They control the purchase of family
necessities as well as luxuries like cars, insurance, retirement plans,
expensive holidays and properties. More and more young women stay
single longer.
Not only are women increasingly influencing buying decisions, but they are
also turning out to be one of the fastest growing consumer categories.
Hence, marketers are creating special products for women of independent
means and doing highly focused and narrow-targeted advertising. The
percentage of women who really want to remain homemakers is falling
rapidly.
All this translates into huge disposable money in the hands of women, a
much desired state for the advertising industry. Surveys carried out all over
India from 20052010 show:
710% growth in beauty care products
Hair care market is over Rs. 1,500 crore
Womens apparel market is Rs. 29,000 crore
30% Reebok revenue comes from womens products such as track
pants, workout gear
The womans income now pays for vacations, higher education, better
house, retirement plans, etc.
Women hire housekeepers, full-time maids, child-minders, cleaners,
cooks, drivers, gardeners, all the way down to dog walkers because they
are not at home. This pushes in new money into the system, which
supports many more people
Source: Sharma, S., & Singh, N. (2011, June 26). In 10 years, urban Indian
women's average income doubles. The Times of India.
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Women are getting disabled by their jobs just like men. That means they
buy accident and health insurance, better quality medical care, etc.
All these are advertised products and services. Todays women are also
strong confident people who can take their own decisions, pay for their
purchases and expect to be kept informed correctly by advertising and
promotions.
Attitudes are changing too. A study of 3,400 women in 9 cities surveyed by
EvesDropping study of Trikaya Grey found that 51% wanted to live for today
gone are the days when even working women lived for their family and
spent every rupee of their earnings on them, leaving nothing for themselves,
their image or future. A growing number of women put themselves first now.
Over 60% women held money as critical to show success.
10.2.5 DINK family
DINK refers to Double Income No Kids family pattern that is slowly
emerging and even seen in Indian scenario. DINK couples are able to afford
a slightly more expensive lifestyle than those with families. Hence, DINKs
are often the target of marketing efforts for luxury items such
as expensive cars and vacations. Here, husbands and wives earn, spend
and save without having to worry about raising kids. They adopt a lifestyle of
being without children and basically look after each other or their parents. In
the age of globalisation, where husband may work for an MNC and wife may
have to constantly travel on work, there is little time left for them to stay at
home or even raise kids. Besides, the cost of living and expenditures may
lead to couples voluntarily deciding not to have kids. The post-2000
economic crises have made this social pattern more permanent as more
couples wait longer than ever to have kids and one in five people choose
not to have them at all.2
A 2008 survey by the Associated Chamber of Commerce & Industry of India
(ASSOCHAM) on Changing Consumption Patterns of Delhi revealed that
DINKs are high spenders. The survey of around 1500 couples showed that
75% DINK couples spend rupees 20,000 per month on entertainment,
fitness, eating out and shopping for branded wear. The survey also revealed
the following:
2
Source: www.wikipedia.org
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DINK is sometimes also used to refer to gay and lesbian couples who are
childless.4 Even live-in relationships constitute the need for sharing
expenses and household chores but ideally they cannot be termed as
family. Socially, it would be considered as an adjustment without much
commitment.
It should be remembered that DINK family style may not include those
married couples who would like to have kids but due to certain reasons
cannot bear children.
10.2.6 Metrosexual
A new consumer group created entirely by media hype is the metrosexual
3
4
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men living in cosmopolitan metro cities who are in touch with their feminine
sides. A metrosexual has thus been defined as a heterosexual, usually
urban male, who pays much attention to his personal looks and has an
upscale lifestyle. He loves to shop, he may wear jewellery and his bathroom
counter is most likely filled with male-targeted grooming products, including
moisturisers (and perhaps even a little makeup).
Curiosity about metrosexuals climbed considerably in June when the
agency Euro RSCG Worldwide explored the changing face of American
males in a report entitled The Future of Men: USA. As part of this research,
men aged 21 to 48 throughout the U.S. were surveyed on masculinityrelated issues. According to the report, there is an emerging wave of men
who chafe against the restrictions of traditional male roles and who do
what they want, buy what they want, enjoy what they want regardless of
whether some people might consider these things unmanly. The most
important shift in masculinity is that there is less avoidance of femininity and
the emergence of a segment of men who have embraced customs and
attitudes once deemed the province of women. Thus, the metrosexual male
is also more sensitive and emotionally expressive than his father was.
This emerging metrosexuality can be partly attributed to a new breed of
male-oriented magazines such as Maxim, fashion and film world and a
growing acceptance of homosexuals. Another prominent reason is that
women are now shopping less than earlier for mens products, thus
propelling men into stores and changing their shopping habits. According to
a 2005 article published by The New York Times, In 1985 only 25% of all
men's apparel was bought by men; 75% was bought by women for men. By
1998 men were buying 52% of apparel; in 2004 that number grew to 69%
and shows no sign of slowing. One result of this shift is that men have
started caring more about how they look than the women shopping for them
did.5
Along with male metrosexuality, female metrosexuality can also be
observed. Now many women dress more like men well-cut, excellent
quality, stylish but comfortable and unfussy clothes and little make-up or
jewellery. Whereas men are taking to self-adornment and fashion
5
Source: David, C. (2005, June 19). Gay or Straight? Hard to Tell. The New York
Times.
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manicured hands, blow-dried designer haircut, gold and silver jewellery and
ornate clothes. It is not shameful for women to show strength and dress
practically and for men to show feelings and enjoy beautiful clothes. These
are human qualities and not gender-linked.
What has this social development got to do with advertising? Many
marketers and advertisers are also evolving to take advantage of
metrosexuality. Ergo the increase in mens grooming products such as
fairness creams and face washes and even household products targeted to
men. It is also this emerging metrosexuality that led Lux to portray Shah
Rukh Khan in its commercial as depicted in Figure 10.1 commemorating 75
years of its existence.
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4. What is DINK?
5. Which consumer group is considered to occupy the mind of the art
directors of advertising agencies?
6. Nuclear families have a maximum of ________ children.
7. Match the following groups of consumers with appropriate words:
Set I
i. Kids or Brats
ii. ii Assertive working women
iii. Metrosexual
Set II
a. Freedom to succeed and spend
b. Media hyped
c. Easily swayed
10.3 Summary
Let us recapitulate the important concepts discussed in this Unit:
The whole world as well as India have changed and progressed more in
the last 6070 years than in the previous several centuries put together.
The rapid advance in technology creates a gain in the earning power
which, in turn, triggers massive social and psychological changes.
Indian society is going through cataclysmic changes at all levels
economic, social, psychological, behavioural and spiritual. It is as if a
repressed nation that had been under colonial rule for over thousand
years, is suddenly set free and catching up with itself. Just as society
and people are changing, products and services are evolving to cater to
them too. And the way to sell these also has to interface sensitively with
their chosen target segments.
We have listed only some of the areas where there are well established
signals for the marketing and advertising professionals to adjust to. This
is by no means an exhaustive list but just an indicator of how fast and in
how many directions the target group profile is changing and how
difficult it is now to draw a correct picture of the person to whom the
advertising campaign wishes to talk to. Not only society, people and
economy are changing, the personality and aspirations of the target
itself does not stay in one place, but keeps changing. If this factor is not
kept in mind constantly, majority of the advertising budget will be wasted
or even alienate the target as being over the top or too old fashioned.
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10.4 Glossary
Globalisation: Elimination of barriers to trade and increasing the
connectivity and interdependence of the world's markets and businesses
Nuclear families: a family group that consists only of father, mother, and
one or two children
Assertive: being self-confident and positive
10.6 Answers
Self Assessment Questions
1. False
2. True
3. True
4. Double Income No Kids
5. Youth or the young people
6. Two
7. i-c; ii-a; iii-b
Terminal Questions
1. The present young generation has relatively more disposable income
than before. They have different aspirations and ambitions. This kind of
generations have definitely influenced advertisements. In addition,
advertisers and companies aware of the decision-making power in the
hands of young people, and hence they pamper the youngsters by
creating commercials directed at them. Refer section 10.2.1 and 10.2.2
for more details.
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2. Kids are now the new-age customers. Several studies have been
conducted to gauge childrens influence in family decision-making. Refer
section 10.2.3 for more details.
3. Rising literacy levels, increased penetration of satellite and cable
television and increase in economic independence are some of the
causes for the increase in the Indian womans influence on buying
decisions. Refer section 10.2.4 for more details.
4. DINK couples are able to afford a slightly more expensive lifestyle than
other families. Hence, they are often the target of marketing efforts for
luxury items. Refer section 10.2.5 for more details.
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overlap between the two activities suggesting that people who date are also
looking for a mate.8
Owing to the close-knit social structure of India, families and friends still
have an important role to play in online matchmaking. Often parents are
seen posting their childrens profiles, and while the final choice may be the
childrens, parents extensively carry out activities like gathering information,
filtering profiles, matching horoscopes, etc. Experiences of friends also
guide in the decision-making. Advertising and communication by
matrimonial websites are also key in decision-making. Online advertising as
well as conventional television and print advertising are popular media
choices for most portals. Advertising seems to be harping on factors like
wide profile choices, relevant matches, and a joint selection process that
satisfies the entire family.
One such piece of communication triggered the dormant desire of finding a
life partner for Venkat. While watching the film Metro, Venkat was exposed
to Shaadi.com. The movie depicted actors Konkana Sen Sharma and Irrfan
Khan getting older and feeling the need to find a life partner, and then
turning to Shaadi.com for help. Sen Sharma was shown logging on to the
website, and there were mentions of Shaadi.com in her conversations with
Khan and even comical scenes in which the protagonists viewed some
funny profiles on the site and enjoyed a good laugh.9 The movie propelled
Venkat into online matchmaking. He believed that the biggest advantage of
online matrimonial sites was their massive database, which offered people a
wide choice of matches across both objective and subjective evaluation
criteria such as education and career, religion, family background, location,
personal preferences, personality, etc. He zeroed in on Shaadi.com after a
little search, most importantly because the name had created a distinct
impression in his mind through the movie. One of prospects he emailed was
Preethi; the two of them hit it off and decided to marry. Preethi had chosen
Shaadi.com as she was particularly impressed with its strict profile
screening system, and the simplified search technology that increased the
8
Source: Devina Joshi, Slice of life branding opportunities galore in this city,
May 9, 2007, www.agencyfaqs.com
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References:
Chasin, A. (2000). Selling Out: The Gay and Lesbian Movement Goes to
Market. New York: Palgrave.
Chatterjee, S. (2006, October). Building brands among sub-cultures.
Pitch, pp. 8384.
David, C. (2005, June 19). Gay or Straight? Hard to Tell. The New York
Times.
Fejes, F. Advertising and the Political Economy of Lesbian/Gay Identity.
E. R. Meehan & E. Riordan (eds.)
Sharma, S. & Singh, N. (2011, June 26). In 10 years, urban Indian
women's average income doubles. The Times of India.
(2002). Sex & Money: Feminism and Political Economy in the Media.
Minneapolis: University of Minnesota Press.
E-References:
http://www.agencyfaqs.com. JWT study finds the payoffs from Mother
India, Retrieved on 5th November 2007
http://www.shaaditimes.com. Reality check: The DINK way, Retrieved on
March 2008
www.wikipedia.org