"What is a reference group? Why does a consumer look up towards a reference group?"

My teacher asked this question during the lecture. Do you know about the reference group?
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"It is a natural tendency on the part of an individual to look up to another as with comparison; each one of us looks towards another individual or a group as a point of comparison. This group to which a person looks up as a point of comparison is known as a reference group. A reference group may be a person or a group to which an individual looks up as a frame of reference for his general and specific acts of behavior, values, opinions, attitudes etc. The reference person or the reference group exercises tremendous influence on an individual. This is true for consumer behavior as well. A consumer always has with him in his conscious and sub-conscious state, a person or a group that he looks up to as a reference point. Consumer actually look up to reference groups because: a) He desires information before he actually decides to go in for the purchase of a product and service offering. As reference groups are regarded as impartial and have no hidden agenda like salespersons, consumers trust the former more than the latter. b) He wants social approval for the product/services purchased or the brands bought, and he feels that once he has this approval from the reference group, he would not face any kind of social embarrassment . c) He feels that he would be much at ease if he does something that others approve of. The reference group exercises impact on the manner in which a consumer selects, purchases and uses a product or service offerings and/or brands. He influences the purchase decision making process as also the purchase decisions, consumption patterns and resultant behavior. It is noteworthy that consumers have different reference groups; he may look towards one for guidance and advice of one product, and he may look towards another for purchase of another product. Gradually, the consumer begins to adopt the standards and norms used by the reference group(s) and behaves like them. Thus, marketers make effective use of reference groups in bringing about changes in a consumer’s thinking and purchasing pattern. Source:"
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Some sort of referrals class can be a notion making reference to friends to which somebody or one more class is actually as opposed.Reference point groups are utilized to be able to evaluate and establish the nature of your given particular person or perhaps additional group's attributes in addition to sociological attributes. It is the team that the person relates or maybe aspires to bond herself or maybe their self psychologically. It becomes your persons frame of reference and also supply with regard to purchasing his / her experiences, awareness, knowledge, in addition to suggestions involving personal. It's important intended for finding out someone's self applied-identification, thinking, in addition to social scarves. It becomes the basis regarding referrals to make evaluations or perhaps contrasts and in assessing your show and performance.
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