What is a reference group? Describe three different types of reference groups that can have an impact on a consumer's purchasing behaviour.
Answer: Reference groups consist of all the groups that have a direct (face-to-face) or indirect influence on attitudes or behaviour. Types of reference groups that can impact a consumer's purchasing behavior include membership groups, primary groups, secondary groups, aspirational groups, and disassociative groups.
Membership groups are the groups which have a direct influence on the person. Primary groups are the groups with whom the person interacts fairly continuously and informally, such as family, friends, neighbors, and coworkers. Secondary groups tend to be more formal and require less continuous interaction. Aspirational groups are those a person hopes to join; and dissociative groups are those whose values or behavior an individual rejects.