Lecture Consumer behaviour: Chapter 15 - Cathy Neal, Pascale Quester, Del Hawkins

Chapter 15 Social Class
• Concept of social class
• How social classes are measured
• Measurement problems marketing managers face
• Impact of social class on the consumption process
• Use of social class in developing marketing

strategies

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Social Class
• Social class and consumption
• Social class
–
–
–

cultural differences
components of social class
measurements of social class

• Social class and consumption differences
–
–

global similarities
segmenting the affluent

• Status symbols

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Social Standing and Behaviour

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Not all Behaviours are Unique

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Behaviour and Social Class
• Unique behaviours
–
–

Product: fine china
Situation: entertainment


e.g. Opera subscription

• Not all behaviours are unique:

• Shared behaviours
–

Situation: entertainment


e.g. Football match

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Status Crystallisation
• Degree of consistency on status dimensions
–
–
–
–

occupation
education
income
ownership

• Status crystallisation is low in Australia

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Social Class in Australia*
• Upper class
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10% of population

• Middle class
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60%

• Lower class
–

30%

*Source: ABS

 Copyright ª 2004 McGraw­Hill Australia Pty Ltd 

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The Functional Approach to
Social-Class Structure

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The Reputational Approach to
Social-Class Structure

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Positioning Within Social Class

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Upward-Pull Strategy Targeted at the
Middle Class

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Measurement of Social Class and its
Application to Marketing Strategy
• Single-item indexes
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e.g. education

• Multiple-item indexes
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e.g. Hollingshead Index of Social Position

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Measurement of Social Class and its
Application to Marketing Strategy (cont.)
• Uses:
–

Differences in product consumption




instant coffee
snack foods
imported wine

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Consumption Differences Across the
Hollingshead Index of Social Position Strata

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Social Class and Marketing Strategy
• Relate status variables to product consumption
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Usage, motivation, symbolic meaning

• Target social status
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Actual lifestyle, desired lifestyle, media, etc.

• Develop product position
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Select desired position (based on actual/desired lifestyle)

• Marketing mix decisions
–

Develop mix

 Copyright ª 2004 McGraw­Hill Australia Pty Ltd 

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Using Social Stratification to Develop

Marketing Strategy

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Use of Income and Purchase Motivation for
Target Market Appeal

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Next Lecture…
Chapter 16:
Culture and Cross-Cultural Variations in
Consumer Behaviour

 Copyright ª 2004 McGraw­Hill Australia Pty Ltd 

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