Concept of Consumerism and Chronological Advances - Essay Example

Branded Identities May 4, 2007 Brand Identities reflect relationship and binding between brands and consumers of different kinds. Interestingly both brands and consumers have been passing through a long history of evolution that is still going on. Considering the consumer evolution, it obviously relates to the evolution of brand as well. Historically, both grew simultaneously in past and the trend still survives. In short, it is difficult to separate consumer evolution from brand evolution. Consumer is a person who purchases product or service for his or her ultimate consumption. The way consumers buy these days is different from the way they used to previously. Similarly, the identities of brands, being closely linked with consumer behaviour, also have different value and impact over consumers' choice. Consumerism: Concept of consumerism has gone through various chronological advances. Traditional consumer models believed consumers are not effected by any influences but by their own brain's instinct and external factors like family, friends, choices cannot influence their buying decisions. This theory could not survive longer as it was limited in conception and did not fulfil the needs of various analyses. Traditional theory considered consumers as information processors who are not affected by any choices and alternatives available. On contrary it also describes that companies can dominate the mind of customers and customer don't bother about available or missing information. (Simon, 1955, Q. J. of Econ.) Consumerism gone through another change during the time of McFadden who gives description of consumerism that is closely knitted with economic and psychological choices. "The existence of underlying preferences is a vital scientific question for economists. If the answer is affirmative, then the evidence from cognitive psychology implies only that economists must look through the smoke screen of rules to discern deeper preferences that are needed to value economic policies. This is a difficult task but not an impossible one. If the answer is negative, then economists need to seek a foundation for policy analysis that does not require that the concept of 'the greatest good for the greatest number' be meaningful. I am guardedly optimistic that the question has an affirmative answer." (McFadden, D. 2000. p. 345-346). Consumerism & Psychology: Similarly, consumerism and psychological aspects are also attached together. Various theories are presented to establish a strong link between these two. Weber's ([1904] 1998) "iron cage" is also the depiction of psychological trap of consumers. Furthermore, Psychologist Barry Schwartz (1994), also is of the opinion that external and demographic factors psychological influence a person's buying behaviour. Barry Schwartz believes that companies offer incentives and psychological benefits to customers which are in real life very much meaningful for the consumers and consumers has a sense of achievement by having these benefits with them. "By embracing the "freedom" of the marketplace in all aspects of our lives, we find that many of the things we value most deeply-meaningful, satisfying work; intimate, compassionate friends, family and community; real education; significant spiritual and ethical commitment; political involvement; and even, ultimately, material well-being-are increasingly difficult to achieve." (P. 10) Consumerism and its Historical, Social and Economic Impact: Cognitive psychologists believe that culture is manifest in peoples mind. (DiMaggio 1997, p.272; Cf. Shore 1996). They also believe that historical aspect and social background, and consumers' experiences play a vital role to develop their self-concept and identity. Different consumers behave differently because of their difference in socio-cultural background, behavior and economic perspective. 'Iron cage', is in fact, 'mental cage' that is influenced by various culturally framed mental fields.(Zerubavl 1991). Further conceptual debates reveal that consumers behavior, most of the time is not like a forced or coercively modified behavior, it is voluntary and complex. Modern consumer is information seeking and they have not welcomed many intrusions into their lives deliberately. (Rudmin and Kilbourne 1996). Consumerism, Self Identity & Self-concept: The question if self exists is answered different by different researchers. In eastern culture's belief person's identity comes from the social groups he or she believes. Confucian belief says self-reputes derives from success and ostentation. In general, self-concept and self-identity are a person's belief about his or her attributes. Self-concept may be contradictory in many cases but no one can overly influence the person's self-concept. Self-concept in demonstrated and implied form is self-identity. Consumers own perception can be distorted when it comes to their appearance and presentation. Self-esteem, social comparison and self conscience focus in marketing efforts target self concept of consumers and try to create a better self identity by offering modified and personalized products. Consumer is virtually lost between ideal self and actual self and marketing people have successfully tired to bridge this gap between selves. Such gaps are filled by focusing and offering fantasy and fantasy appeals.(M.R.Solomon) Role identities are different components of self-depicting different personality facets of same consumer like. Some times consumers do imagine themselves in other persons or vice versa. Such feelings, expressions and actions portray the hidden needs and psychological motives of person. In the similar fashion, people are very careful about their identity and protect it from any possible theft. That is the reason why people wear designer's wear and like to buy customized solutions. Intense self-concept leads to self-consciousness, which is a mental state of being watched by others. Self-Consciousness is converted into public Self-Consciousness and consumers become more vigilant about their self-identity in public, focus more on presentation of self, and portray the best self in public. In background of these self-identity issues, self-monitoring keeps working in consumer's mind that guides consumer how to behave and present in public. (Ana Oliveria) Because of applied self-concept and self-identity, consumers buy many products to highlight or hide their self. Products like cars, shampoos, hair dyes are some examples of these buying. Consumerism and Gender Differences: Gender divide is the old warfare in the battlefield of marketing. Commodity signs often depict sexuality and signify gender differences. Marketing efforts produce vivid concept of gender difference, brands are mostly divided in masculine and feminine categories. In the world of marketing and advertising, women are structured as object of male gaze and it is not restricted to female's brands it applies on all product categories including shaving creams, razors, men's garments and perfumes. Some times in modern age of business, gay & lesbian advertising intending to appeal these newly emerging demographic segments tries to promote without offending heterosexuals. (Danae Clark, "Commodity Lesbianism") Sex identity is another focused area of modern business and consumerism. Males are believed to have more self-assertion and mastery whereas female show more affiliation and foster harmonious relations. Products are grouped into masculine, feminine and androgyny i.e., mixed gender characteristics. Another variation in the subject is emerging role and participation of gay, lesbian, bisexual and transgender (GLBT) consumers. GLBT has emerged as another big segment of attraction for marketers during last few years. Some examples of gender defined or sex-typed products are: Masculine Feminine Tool kit Baby oil Shaving Cream Facial Tissues Stereo system Clothes dryer Wall paint Hand lotion Scotch Scarf Camera Bedroom slippers (M.R.Solomon) If we look back, we can find consumers less conscious about their personality while buying the products or services but modern consumer associates image of product with his or her personality and prefers to buy the brand of choice only. This evolution of thought, took many decades to take place. Various factors are responsible for this change such as: Demographic Changes, especially changes in income groups, family size, life style, education and self-concept. Increase in competition, resulting in close alternatives for both homogenous and heterogeneous products. Advent of various media options, free availability of content, product and market information leading to improved and intense marketing efforts. Local markets expanded into world markets forming global village. Cultural and life style changes brought new mindsets and consumer preferences. Psychologically, consumer did not feel as powerful before as he or she feels today. Some reasons of this powerful feeling are more self-reliance, awareness of rights and choices available, economic freedom and social independence. Just few decades back consumer was reluctant to make independent choices and most of consumer decisions were family or peer group dependant, but now the situation is different even adolescence consumer makes an independent choice and goes for the product that 'suites' him or her. Consumers are psychologically motivated by internal and external motives whereas needs and their level also play an important role in determining the psychological behaviour of consumers. Consumerism also has gone through a series of change. From big houses consumer has shifted to compact living and apartments. Consumer rejects the idea of uniformed products for all, because it denies the importance of consumer as individual, so customised solutions are popular and every one likes to buy a product specially designed for him or her. Old consumer also lives a fun filled life today and not ashamed of wearing bright colours and enjoying parties with young. Retail flooding and intensive personal selling efforts are also responsible for the changes in modern consumer's behaviour. Kiosk selling, use of plastic money, online selling, peer group influence, easy availability of consumer finance and changed concept of shopping from saving are some other forces behind this change. One can find some other interesting changes in consumerism during last three decades specially. Consumer is highly active in making and implementing purchase decisions. Shopaholic, the term established in recent past, describes high spending habit of modern consumer who was a careful spender few decades back. Old trend was to save more and modern one is to spend more. Even adolescence consumer takes full freedom of choice and picks the product or service of choice. Despite this high involvement in buying process and projection of stronger self, modern consumer demonstrates another contrary but interesting attribute of being at home. The home delivery, doorstep solution, home offices and home like environment show this practically in different branding strategies. Gender war is not new in consumer market. Modern consumer, like the old one, is also conscious of personal identity and self-concept. Many products like different food items, cars, bikes, stationery and perfumes are branded on gender divide. Male consumers show independence in buying and they aim for material benefit and reliance in their purchases. Whereas, female consumers show a different buying behaviour, they show dependence, and mainly buy for emotional or psychological benefit of the product or service. Even in this situation many products are free from gender divid i.e., computers, sofwares, movies and educational products. Psychological self is obvious among all consumers including males, females, old, young or teenagers. Now consumer likes quality and variety and does not go for the quantity of product alone. It is a challenge for the brand makers in modern marketing and companies offer a vast range of homogenous products, to catter this specific need of customers. Consumer does not need the physical position alone; consumer needs to satisfy his or her psychological needs Youth of modern marketing era is well informed, educated, aware of available alternatives, and very good at following new trends. It is not easy to sell a similar product to the youth repeatedly. To cope with this situation companies manage to invent new trendy brands and promote these brands exclusively for the youth. As most of innovators are young consumers, if a company successfully introduces a new brand, it becomes a hit in growth stage due to overwhelming response of young consumers who like that product. Selfhood and self-concept are also responsible for developing a specific consumer behaviour towards a brand. Being human, consumer purchases the product that suites his or her personality. Enhancing self-image and building self-identity may not be the basic need of consumer but buying behaviour of consumer is highly effected by these. Self-actualization and sense of social acceptance also motivate consumer to buy a specific products. This is obvious from the behaviour consumer shows while buying clothes, shoes, perfumes, spectacles etc. Similarly, for gender specific products men and women show their self-identity in their own way. Apart from psychological reasons, some physical and biological reasons are also responsible for gender specific brands. Size, colour, shape, weight and strength of various products bought by female consumers are different from those bought by male consumers i.e., umbrellas, bikes, scooters, pens, bags, spectacles. Conclusion: Consumerism has evolved largely during last few decades. Now consumers are more powerful as they are aware of their rights, choices and alternatives available. Many new gender and culture based demographic groups have emerged in the scene. Making strong and profitable brand hiddenites amidst modern, diverse and ever changing consumerism is one of the challenges faced by modern marketing. The companies those will vigilantly observe and track the changes in consumer behaviour can only develop good brand identities. Modern demographic trends especially youth and gender related trends are more in focus. Making and surviving brand identities is not an easy game in intense competitive global scenario, it will always require great level of market awareness, modern R&D and persistent marketing efforts. To cope with branding challenges companies like Gillette, Micro Soft, 3M, P&G, Toyota, Sony and Amazon have a long list of products and services in pipeline for the days to come. They constantly work on these products and make these products more compatible and likeable for the consumers. Key to success is getting ready with a futuristic vision of success, as good companies do not believe in predicting future but in creating future. No company can create future without creating strong brand iddenites. Reference: Martin J. Evans, Luiz Moutinho, W. Fred Van Raaij, "Applied Consumer Behaviour" 1996 Addison-Wesley - Publishing Company Inc. Baudrillard [1972] 1988; Gabriel and Lang 1995; Rumbo 2002. Leiss, W., Kline, S., & Jhally, S., [1986] 1997. Social communication in advertising: persons, products, and images of well-being. 2nd ed. London, UK: Routledge. McCarthy, T., 1978. The critical theory of Jurgen Habermas. Cambridge, MA: MIT Press. Melucci, A., 1989. Nomads of the present: social movements and individual needs in contemporary society. Ed. by J. Keane & P. Mier. Philadelphia, PA: Temple University Press. ______., 1995a. The process of collective identity. In H. Johnston & B. Klandermans, eds. Social movements and culture. 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