FAMILY & FAMILY LIFE FAMILY & FAMILY LIFE CYCLE CYCLE

Functions of Family Functions of Family

Economic Well Being Emotional Support Suitable Family Life Styles Socialization of Family Members

Roles in Family Decision MakingRoles in Family Decision Making

Information Gatherer Influencer Gatekeepers Decision Maker Purchaser

Perspectives in Family Perspectives in Family Purchasing Decision Purchasing Decision

Role Structure Power Structure

ROLE STRUCTURE ROLE STRUCTURE

Instrumental & Expressive Roles:– Roles relating to achievement of Particular goal or task &

Giving emotional Support Purchase Process Roles:

– Initiator Role– Influencer Role– Information Gatherer Role – Decision maker Role – Purchaser Role – User Role

Role Load

POWER STRUCTURE POWER STRUCTURE Purchase Influence Pattern:

– Power Relationships within the Family – Autonomic, Husband Dominant, Wife Dominant &

Joint

Alternative Family Decision Making Role Structures :– Parallel Decision Making – Hierarchical Decision Making

Family Life Cycle Family Life Cycle

A series of Predictable Stages A progression of stages through which many

Family members pass It is a composite variable created by systematically

combining demographic variables as Marital Status, Size of Family, Age of Family members & Employment Status

Helps to understand the behavior of consumers at various stages of their lives so as to effectively design the right Marketing Strategy

Family Life Cycle Family Life Cycle

Five Basic Stages :– Bachelorhood : Young Single Adult living

alone– Honeymooners : Young Married Couples with

no children – Parenthood :Married Couples with at least

one child – Post parent Hood: Older Married Couple with

no children at home – Dissolution: One Surviving Spouse

Family Life Cycle Family Life Cycle

Stage One:Bachelor Hood:– Single Working Men/Women – Two Groups:– Living with Parents:

Entertainment, Clothes & Personal Care

– Living Independently: Rent, Home Furnishings, Automobile , Clothes &

accessories

Family Life CycleFamily Life CycleStage Two:Honeymooners :

– Post Marriage before Kids– Lifestyle shifts to Joint Lifestyle – Joint Decisions & Shared Roles – Savings, Household Furnishings, Major Appliances

and host of utensils and accessory items – Movie Tickets, Expensive Cloths and outings

Family Life CycleFamily Life Cycle

Stage Three:Parenthood:– Changes in Lifestyle after addition of child

Three Stages:Full Nest I: Immediately after birth of child

– New Purchase in areas of Baby Clothes, Furniture, Food and Health Care Products

Full Nest II: Improved Financial Position of Family – Better Buying Experiences – Relatively Low Influence of Advertising

Family Life CycleFamily Life Cycle

Full Nest III:Children Start getting employed High Expenditure for Durable Goods, New

Furniture, Luxury Appliances and Cars

Family Life CycleFamily Life Cycle

Stage Four:Post Parent Hood:Children Leave homesEmpty Nest I: Satisfactory Financial Position

– Leisure Time, Frequent Traveling, Vacations & Gifts

Empty Nest II: Low Income – Medical Care, Health Product a& basic necessities

Family Life CycleFamily Life Cycle

Dissolution Stage :– Death of one Spouse – Simple Pattern of living and very economical

Marketing Applications Marketing Applications

Understand the Differences in consumption Patterns of different households

Develop Product & Promotional Strategies with recognition of changing roles & responsibilities

Use Concept of Family Life Cycle as a basis for Segmenting the Markets

Target Products & Services Properly for Family Roles in Decision making