HOUSEHOLD DECISION MAKING

By: Matt JorgensenAn Le

Article

Charles Duhigg, February 12, 2010 How Companies Learn Your Secrets (Target)

Article focuses on behavioral changes and decision making habits that occur from being a single man/woman to married couple with kids.

Why do these changes take place, and at what stages?

Family Decisions

Consensual purchase decisions Members agree on the desired purchase Likely to engage in problem solving and

consider alternatives until group goal is found.

Accommodative purchase decisions Group members have different preferences or

priorities and can not agree on a purchase. Likely to use bargaining, coercion, and

compromise to achieve agreement.

Family Decisions

4 factors that can cause conflict

Interpersonal need Product Involvement Responsibility Power

Discussion- which factor is most often seen with college roommates?

Sex Roles and Decision Making

Autonomic decision: One family member makes a decision

Syncretic decision: decision that involves both partners.

Discussion- which strategy do your parents use when buying a pet, a car, or decorating a room in the house?

Children as Decision Makers

Marketing to children starts before birth.

Marketers split up children into 3 markets. Primary Market Influence Market (Parental yielding) Future Market

Children as Decision Makers

Another method to segment children is by age.

Measured in terms of cognitive development or their ability to comprehend concepts of increasing complexity.

Swiss psychologist Jean Piaget takes it a step further by identifying 3 segments. Limited Cued Strategic

Discussion- Do you think sex roles still influence decision making in a household?

Any impact with a boyfriend or girlfriend?

Sources

http://www.nytimes.com/2012/02/19/magazine/shopping-habits.html?_r=2&pagewanted=1&sq=children%20marketing&st=cse&scp=4

Solomon, Michael R. Consumer Behavior. Pearson Custom Business Resources. New York: Pearson Custom Publishing, 2009

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