Answer to Question #206976 in Management for Prince

Question

SUBJECT : CONSUMER BEHAVIOUR

Explain the importance of reference groups for the purpose of buying the following , give 4 points with elaboration for importance for each :-

(1) Garments

(ii) Mobile phones

(iii) Holiday packages

(iv) Shampoo

Answer 1

In buying garments, reference groups are so instrumental that they influence the buying decision of the consumer. Reference group endorses a certain garment or clothing, either through use or statements about the product, those that look to the group will often purchase that product. Most people will be much influenced because of the fitting of the clothing, and people will like the fashion and go purchase. People especially teenagers like fashion and fitting clothes, thus they will always purchase based on the reference groups.

Mobile phones have several features that interest people differently. Reference groups will thus influence consumers on which mobile phones to buy. People will be influenced by factors such as high-quality cameras, high RAM, higher storage and therefore make the decision to buy.

Holiday packages are quite influential. people will like to adventure to a certain destination based on the experiences of the reference groups. They will catalyze their urge to travel by being described how that place is beautiful, by pictures. They will end purchasing the tickets.

Ladies love their hair so much. If a certain shampoo interests someone she can refer her friends to use it based on her own experience. Reference groups will use their hair by how it looks appealing to influence ladies to use a certain shampoo to have similar hair. This will influence their purchasing decision and they will end up purchasing similar shampoo.