Cross cultural psychological segmentation
Cross-cultural advertising is a responsible effort to borrow those cultural ways seen as helpful for the better solution to a society’s particular problem. It
Cross-cultural advertising is a responsible effort to borrow those cultural ways seen as helpful for the better solution to a society’s particular problem. It is
important for an advertiser to learn about the different cultures worldwide if he wants to globalize a brand.
The basic elements of culture that define the behavior of buyers are their lifestyles, attitudes, gender, perceptions, habits, behaviors, wants and needs.
The social factors responsible are – reference groups, family, social roles and statuses. Primary groups can be classified as family, friends, neighbors and
co-workers. Secondary groups can be religious, professional, trade union.
In Cross cultural psychological segmentation, buyers are divided into different groups on the basis of psychological and personal traits, lifestyles, or values.
People within the same demographic group can exhibit very different psychological profiles. Values and lifestyles significantly affect the product and brand
choices of customers. Religion has significant influence on values and lifestyles. The strict norms that consumers follow with respect to food habits or even
dress codes are representative examples in this regard.
There are two types of knowledge, factual knowledge about culture which is obvious and must be learnt. Different meanings of colour, different taste etc.
and other traits indigenous to a culture are facts that an advertiser, marketer can anticipate, study and absorb. The other is interpretative knowledge, an
ability to understand and fully appreciate the meanings of different cultural traits and patters. Factual knowledge as a fact about culture assumes
additional significance whereas the interpreted within the context of the culture.
In cross cultural psychological segmentation, customers are divided into 2 major groups, they are higher resource groups and lower resource groups.
The major tendencies of the four groups with higher resource are:
1. Innovators: Successful, sophisticated, active, “take-charge” people with high self esteem. Purchases often reflect cultivated tastes for relatively
upscale, niche-oriented products and services.
2. Thinkers: Mature, satisfied, and reflective people who are motivated by ideal and value order, knowledge, and responsibility. Favor durability,
functionality, and value in products.
3. Achievers: Successful goal oriented people who focus on career and family. Favor a premium product that demonstrates success to their peers.
4. Experiencers: Young, enthusiastic, impulsive people who seek variety and excitement. Spend a comparatively high proportion of income on fashion,
entertainment, and socializing.
The major tendencies of the four groups with lower resources are:
1. Believers: Conservative, conventional, and traditional people with concrete beliefs. Favor familiar, products and are loyal to established brands.
2. Strivers: Trendy and fun loving people who are resource- constrained. Favor stylish products that emulate the purchases to those with greater
material wealth.
3. Makers: Practical, down-to-earth, self sufficient people who like to work with their hands. Favor products with a functional or practical purpose.
4. Survivors: Elderly, passive people who are concerned about change. Loyal to their favorite brands.
Case Study 1:
The market for wrist watches provides illustrations of segmentation based on lifestyle parameters. Titan watches have a wide range of sub-brands within
their brand, such as Edge, Regalia, Nebula and Raga, to appeal to different lifestyle segments. Some of these models are ornate watches with gold plated
bracelets while some have leather straps. The brand Titan is prominently mentioned in these ranges. The company’s range of watches under the Fastrack
brand is for the youth. The company has another value-for-money brand, Sonata, targeted at people who want to own a good-looking watch at an
affordable price.
Case study 2:
Multinational companies spread all over the world use different ad strategies for every country depending upon their buying habits, culture and people. E.g.:
Pepsi’ Lays etc.