External Influences on Consumer Behavior SaGa is a European fashion store chain that specializes in accessible, trendy clothes and accessories for men and women. Its target audience includes fashion-conscious young men and women, ages 16-30. After success in Europe, SaGa is getting ready to launch its flagship stores in five U.S. markets-New York, Los Angeles, Chicago, San Francisco, and Miami. Based on its product offerings, SaGa is targeting millennials (those born between 1982 and 2000, also called gen Y). As a group, millennials are open to making impulse purchases, and are socially connected as demonstrated by their use of Twitter to tweet about products and brands. Also, based on its "accessible" price for its fashion offerings, SaGa is targeting middle-to upper-middle-class millennials. SaGa's advertising agency of record was excited about the impending launch campaign in the U.S. and its first-ever foray into the American market, which is heavily influenced by celebrity and pop culture. The agency was developing a campaign that focused on "usage occasion"-the ad would show a group of friends, in their 20s, getting together for a Friday night out in the city. A social occasion such as a night out with friends, combined with the setting of a city street lined with trendy clubs and restaurants, highlighted a perfect usage occasion for wearing fashionable clothes from SaGa. In the ad, the friends walk through a busy city street that has a party atmosphere, and pass several other people whose fashion sense is not as trendy as theirs. As they pass these people, the contrast between their group and the other people is highlighted by the use of muted, fading colors (for the other people) versus bright and pleasing colors (for the group of friends wearing SaGa). The agency was thus contrasting those who do not wear SaGa, a dissociative group, with those who do. Meanwhile, RaZa, a high-end fashion store chain in Europe, is planning to enter the Japanese market. RaZa's promotional strategy decisions include highlighting the purchase situation in their ads by showing the exclusive boutique store atmosphere, and by using international supermodels that denoted an aspirational group for their target audience. RaZa targeted older and more affluent consumers compared to SaGa; their target market consisted of upper-class gen X'ers in Japan (those born between 1965 and 1976). RaZa's research revealed that the Japanese culture understood and respected high-end fashion. The consumer does not make purchase decisions in isolation. A number of external factors have been identified that may influence consumer decision-making, such as culture, subcultures, social class, reference groups, and situational determinants. Match the various external (or environmental) influences on consumer behavior to the relevant situations in SaGa's promotional decisions. Then match these external influences to examples found in RaZa's decisions. Culture Exclusive boutique-like shopping atmosphere SaGa's Promotional Decisions External Influences on Consumer Behavior Examples of External Influence from RaZa's Promotional Decisions

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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Question
ces
Mc
Graw
Hill
External Influences on Consumer Behavior
SaGa is a European fashion store chain that specializes in accessible, trendy clothes and accessories for men and women. Its target
audience includes fashion-conscious young men and women, ages 16-30. After success in Europe, SaGa is getting ready to launch its
flagship stores in five U.S. markets-New York, Los Angeles, Chicago, San Francisco, and Miami.
Based on its product offerings, SaGa is targeting millennials (those born between 1982 and 2000, also called gen Y). As a group,
millennials are open to making impulse purchases, and are socially connected as demonstrated by their use of Twitter to tweet about
products and brands. Also, based on its "accessible" price for its fashion offerings, SaGa is targeting middle-to upper-middle-class
millennials.
SaGa's advertising agency of record was excited about the impending launch campaign in the U.S. and its first-ever foray into the
American market, which is heavily influenced by celebrity and pop culture. The agency was developing a campaign that focused on
"usage occasion"-the ad would show a group of friends, in their 20s, getting together for a Friday night out in the city. A social
occasion such as a night out with friends, combined with the setting of a city street lined with trendy clubs and restaurants, highlighted
a perfect usage occasion for wearing fashionable clothes from SaGa. In the ad, the friends walk through a busy city street that has a
party atmosphere, and pass several other people whose fashion sense is not as trendy as theirs. As they pass these people, the
contrast between their group and the other people is highlighted by the use of muted, fading colors (for the other people) versus
bright and pleasing colors (for the group of friends wearing SaGa). The agency was thus contrasting those who do not wear SaGa, a
dissociative group, with those who do.
Meanwhile, RaZa, a high-end fashion store chain in Europe, is planning to enter the Japanese market. RaZa's promotional strategy
decisions include highlighting the purchase situation in their ads by showing the exclusive boutique store atmosphere, and by using
international supermodels that denoted an aspirational group for their target audience. RaZa targeted older and more affluent
consumers compared to SaGa; their target market consisted of upper-class gen X'ers in Japan (those born between 1965 and 1976).
RaZa's research revealed that the Japanese culture understood and respected high-end fashion.
The consumer does not make purchase decisions in isolation. A number of external factors have been identified that may influence
consumer decision-making, such as culture, subcultures, social class, reference groups, and situational determinants.
Match the various external (or environmental) influences on consumer behavior to the relevant situations in SaGa's promotional
decisions. Then match these external influences to examples found in RaZa's decisions.
Culture
Exclusive boutique-like
shopping atmosphere
SEP
22
SaGa's Promotional Decisions
40
www
External Influences Examples of External
on Consumer
Influence from
Behavior
RaZa's Promotional
Decisions
< Prev
THE
46
1 of 1
www
stv
Next >
A
Transcribed Image Text:ces Mc Graw Hill External Influences on Consumer Behavior SaGa is a European fashion store chain that specializes in accessible, trendy clothes and accessories for men and women. Its target audience includes fashion-conscious young men and women, ages 16-30. After success in Europe, SaGa is getting ready to launch its flagship stores in five U.S. markets-New York, Los Angeles, Chicago, San Francisco, and Miami. Based on its product offerings, SaGa is targeting millennials (those born between 1982 and 2000, also called gen Y). As a group, millennials are open to making impulse purchases, and are socially connected as demonstrated by their use of Twitter to tweet about products and brands. Also, based on its "accessible" price for its fashion offerings, SaGa is targeting middle-to upper-middle-class millennials. SaGa's advertising agency of record was excited about the impending launch campaign in the U.S. and its first-ever foray into the American market, which is heavily influenced by celebrity and pop culture. The agency was developing a campaign that focused on "usage occasion"-the ad would show a group of friends, in their 20s, getting together for a Friday night out in the city. A social occasion such as a night out with friends, combined with the setting of a city street lined with trendy clubs and restaurants, highlighted a perfect usage occasion for wearing fashionable clothes from SaGa. In the ad, the friends walk through a busy city street that has a party atmosphere, and pass several other people whose fashion sense is not as trendy as theirs. As they pass these people, the contrast between their group and the other people is highlighted by the use of muted, fading colors (for the other people) versus bright and pleasing colors (for the group of friends wearing SaGa). The agency was thus contrasting those who do not wear SaGa, a dissociative group, with those who do. Meanwhile, RaZa, a high-end fashion store chain in Europe, is planning to enter the Japanese market. RaZa's promotional strategy decisions include highlighting the purchase situation in their ads by showing the exclusive boutique store atmosphere, and by using international supermodels that denoted an aspirational group for their target audience. RaZa targeted older and more affluent consumers compared to SaGa; their target market consisted of upper-class gen X'ers in Japan (those born between 1965 and 1976). RaZa's research revealed that the Japanese culture understood and respected high-end fashion. The consumer does not make purchase decisions in isolation. A number of external factors have been identified that may influence consumer decision-making, such as culture, subcultures, social class, reference groups, and situational determinants. Match the various external (or environmental) influences on consumer behavior to the relevant situations in SaGa's promotional decisions. Then match these external influences to examples found in RaZa's decisions. Culture Exclusive boutique-like shopping atmosphere SEP 22 SaGa's Promotional Decisions 40 www External Influences Examples of External on Consumer Influence from Behavior RaZa's Promotional Decisions < Prev THE 46 1 of 1 www stv Next > A
& Drag - Chapter 4 i
RaZa's research revealed that the Japanese culture understood and respected high-end fashion.
The consumer does not make purchase decisions in isolation. A number of external factors have been identified that may in
consumer decision-making, such as culture, subcultures, social class, reference groups, and situational determinants.
Match the various external (or environmental) influences on consumer behavior to the relevant situations in SaGa's promotional
decisions. Then match these external influences to examples found in RaZa's decisions.
Culture
Exclusive boutique-like
shopping atmosphere
Born between 1965-1976
Japanese appreciation
for high-end fashion
Social class
Situational determinants
Reference groups
Supermodels
Affluent consumers
Subculture
Reset
SaGa's Promotional Decisions
Decision to launch in America, which represented a
new culture, compared to their existing markets.
Target consumers: millennials
Target consumers: middle and upper-middle class
Ads featured people that the target consumers identify
with (associative groups), and also people that the
target group does not belong to (dissociative groups).
Ads featured a typical usage occasion for SaGa's
product offerings - a Friday night out with friends.
SEP
22
40
75
Saved
External Influences
on Consumer
Behavior
< Prev
Examples of External
Influence from
RaZa's Promotional
Decisions
1 of 1
TO
⠀
H+H
Next >
Transcribed Image Text:& Drag - Chapter 4 i RaZa's research revealed that the Japanese culture understood and respected high-end fashion. The consumer does not make purchase decisions in isolation. A number of external factors have been identified that may in consumer decision-making, such as culture, subcultures, social class, reference groups, and situational determinants. Match the various external (or environmental) influences on consumer behavior to the relevant situations in SaGa's promotional decisions. Then match these external influences to examples found in RaZa's decisions. Culture Exclusive boutique-like shopping atmosphere Born between 1965-1976 Japanese appreciation for high-end fashion Social class Situational determinants Reference groups Supermodels Affluent consumers Subculture Reset SaGa's Promotional Decisions Decision to launch in America, which represented a new culture, compared to their existing markets. Target consumers: millennials Target consumers: middle and upper-middle class Ads featured people that the target consumers identify with (associative groups), and also people that the target group does not belong to (dissociative groups). Ads featured a typical usage occasion for SaGa's product offerings - a Friday night out with friends. SEP 22 40 75 Saved External Influences on Consumer Behavior < Prev Examples of External Influence from RaZa's Promotional Decisions 1 of 1 TO ⠀ H+H Next >
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