Social Class

Social Class : Social Stratification

• Group consisting of a number of people who have approximately equal
positions in a society.
• Positions are achieved not ascribed.
• Depend for opportunity for upward or downward movement to either classes.
• CHARACTERSTICS:
1. Social classes exhibit status
– Net equivalent but related
– Status =Rank in social system perceived by other members of society
= Function of social class and personal characteristics
– E.g. Scientist – High rank social system but in a prestigious capacity other in
small R&D late. His professional contribution to society determines his status.
– Factors that determines status are , Authority over other
Power ( political , Economic , Military)
Property , Income , Consumption Pattern , Lifestyle , Occupation , Education ,
Public Service , Ancestry , Associations and Connections
Social Class : Social Stratification
– Symbols of status ( Mark of Distinction)
▪ Things consumer buys become symbols ( Status Symbolization) because of scarcity and social desirability.
▪ Conspicuous Consumption (Buying things we don’t need).
▪ Shunning prestige items frivolity and a lavish display of wealth.
▪ Stealth wealth – Quieter buy of quality item that don’t scream money , glamour and glitz.
▪ Financial wealth dictates status.
▪ Possessions are substitute indicator of status.
▪ Marketers cater to consumers looking for something to give them an edge (Real or imagined) over their peers.
▪ Need for prestige is universal (Admired , Praised , envied and acknowledged)
▪ Relatively expensive , high quality, limited supply products purchased by a respected and admired group of
people.

– Blurring of Symbolism
▪ Luxury goods market supported by middle class upscale tastes.
▪ Pseudo affluent purchase upscale indulgences.
▪ Genuine affluent have many of the “Common mans” consumption habits
Social Class : Social Stratification

– Blurring of Symbolism (Conti….)

▪ Truly rich view luxury goods as Toys.
▪ Designer labels mass marketing result in “less –than – clear” distinctions
between social classes.

2. Social classes are Multidimensional

– Based on numerous components like occupation and income.

– Some of these variable are more reliable substitutes
▪ Eg Colgate Palmolive used “neighborhood” to drop 10 Million samples of
their detergent (Based on one criteria “You are where you live”)

3. Social classes are Hierarchical

– Vertical order from high to low.
Social Class : Social Stratification

4. Social classes restrict behaviour

– Assiciation with same social class because of sharing of similar

education , occupation , income level ,lifestyle.

5. Social classes are Homogeneous

– People in one class have similar attitudes , activities, interests and
other behavior patterns.
– Exposed to similar media shop in similar stores.

6. Social classes are Dynamic

– Open systems (Move up or down)
– Closed systems ( inherited / ascribed status eg. Rural India)
Social Class : Measurement of Social Class
1. Subjective Method:
– Rank self in social class hierarchy but reluctance to categorize lower or
upper results in unrealistic middle class.
1. Reputation Method:
– Member of communality rank each other
– Limited to small communities.
1. Objective Method:
– Computerized status index (CSI) including education , occupation, area of
residence ,family income etc.
– Warner described six classes:
– Upper Upper (UU)
– Lower Upper ( LU)
– Upper Middle ( UM)
– Lower Middle ( LM)
– Upper Lower (UL)
– Lower Lower (LL)
– Other classification are done by Gilbert and Kahl, Coleman and Rainwater
Social Class : Measurement of Social Class
3. Objective Method: (Cont..)
– Other classification are done by Gilbert and Kahl, Coleman and Rainwater.
– The Upper Class
 Quality Merchandise
 Prestige Brands
 Good Taste
 Intellectual
 Political
 Gracious living
 Reputed
– Upper – Upper Class or “OLD MONEY”
 Old ,Locally prominent families
 Aristocracy of birth and wealth with at least three generations
 International in residence and relationships, friendships.
 Financers , Entrepreneurs
 Sense of communality responsibility
 Maharajas ..
Social Class : Measurement of Social Class
3. Objective Method: (Cont..)
– Lower – Upper Class or “New Rich”
 Recently arrived wealth
 Executive Elite
 Founders of large business, wealthy doctors, engineers , lawyers, entertainers, sports
stars.
 Highest incomes and millionaires.
 Not spendthrift but save and invest
– Upper- Middle Class or “Brains and Eyes”
 Owners of medium- sized business.
 Younger men and women reaching higher status level in few years
 Reach social advancement for them and children
 Play cards , watch plays , go to museums, art galleries, golf , Yacht etc.
 Their reference group is upper class.

– The Middle Class

 Common Man
 Managerial worker, Medium business owners, white color workers.
 Moderately successful professionals like doctors , professors , lawyers.
 Focus on achieving success in careers, income levels and advancement on social leader.
Social Class : Measurement of Social Class
3. Objective Method: (Cont..)
– The Middle Class
 Fashionable , do popular things
 Well-maintained , neatly furnished nice neighborhood homes.
 Spend money on education , quality brands , autos , clothing , vacations, house
hold goods.
 Largest consuming class in India.
– The Lower Class
 Poor people below poverty line
 Income from welfare or illegal activity.
 Farm workers , unrecognized labors, unskilled workers , domestic help.
 Illiterate or little educated.
 Slum dwellings , fatalistic in outlook.
 Income spent on food and shelter
Social Class : Measurement of Social Class
Social Class in India

 By NCAER- 5 social class categories

based on access to economic resources.

Very Rich --------------------------Upper

Consuming Class ------------ Middle

Clumbers------------------------

Aspirates------------------------Lower
Destitute------------------------
PERSONAL INFLUENCE

– Change in a person’s attitude as a result communication

– Sources- initiated or Recipient – initiated
(Influencer) (Influencee)
– One way or two way influence
– Verbal (Word of mouth) or non Visual
– Synthetic or Real
Consumer-1

Consumer-4

– Marketer O.L Consumer-2

Consumer-5
Consumer-3
(General or situational
or market mavens)
Consumer-6

Consumer-7

Consumer-8

Consumer-9
Social Class : Adoption and Diffusion of Innovations

1. Innovation

– Any idea , Practice , material artifact perceved to be new by relevant

adopting unit.

1. Types

– Continuous innovations :
 ( Tooth paste , Automobiles) Least disrupting influence on established consumption
patterns involve product alteration.

– Dynamically continuous innovations: The Lower Class

 More disruptive effect but do not alter established patterns , involve new products
as well as alterations.
( eg. Electronic Tooth Brush, Electric Cars, LCD TV,
Video Telephones)
– Discontinuous innovations:
 New products and new behavior pattern
(eg TV, Computers, automobiles)
Social Class : Adoption and Diffusion of
Innovations
Adoption
• Acceptance and continued use of a
product by an individual
Adoption (Useful scale or continued purchase)
• Adoption model

(Consumers tests or tries the

Trial
product for utility)

Legitimation (Convinced for adoption)

Attitude (Favorite or un favorite

predispositions)

Comprehension (Knowledge and understanding of

product and its use)

•Speed of adoption is significant Awareness (Potential adopter finds out about

existence of a product but have very
•Marketers communication vary at each little information.)
stage.
Social Class : Adoption and Diffusion of
Innovations
Diffusion Process:

– Group process by which innovation spread

– Involves adoption process of many individuals over time
– Adoption within social systems encouraged by marketing activities
e.g. Fashion from elite to mass
– Factors that affect the rate of diffusion.
1. Relative advantage: Degree to which innovation is superior e.g. easier
maintenance larger life.
2. Compatibility : Degree to which an innovation is consistent which values
experiences.
3. Complexity: Difficulty in innovation to understand and use.
4. Traialability: Extent to which innovation may be tried on a limited basis.
5. Observability: More visible products are communicated most readily to
adapters.
6. Cost: Magnitude of finance required to obtain and operate the innovation.
PERCEPTION
•INFORMATION PROCESSING
EXPOSURE
ATTENTION
INTERPRETATION
MEMORY

•MARKETING STRATEGY
RETAIL
BRAND NAME
LOGO DEVELOPMENT
MEDIA STRATEGY
ADS
PACKAGE DESIGN
INFORMATION PROCESSING

ACTIVITY SERIES

STIMULI

PERCEIVED

TRANSFORMED INFORMATION

STORED
PERCEPTUAL DEFENSES
INDIVIDUALS NOT AS PASSIVE RECIPIENTS OF MARKETING MESSAGES

LIMITED EXPOSURE

SMALL % ATTENTED

INFORMATION
AVAILABLE PASSED TO CNS

INTERPRETATION

LIMITED ACTIVE MEMORY

EXPOSURE
STIMULUS

RANGE

SENSORY
RECEPTOR NERVES
Information Processing

Exposure
Perception Random Deliberate

Low Attention High

Involvement Involvement

Interpretation High
Low
Involvement Involvement

Short Term Long Term

Memory
Stored experiences
Active problem solving Values, decisions,
rules, feelings

Purchase and consumption decisions