A reference group is a group with whom an individual identifies to the point where the group dictates a standard of behavior.
Reference groups exert tremendous influence on consumers’ hospitality and tourism purchase decisions. Every individual is influenced directly and indirectly. Marketing research has identified three types of reference groups: comparative, status, and normative.
First, individual consumers use reference groups to compare their own feelings and thoughts with those of others. For example, an individual may have gone to dinner at a restaurant and felt that the food and service were excellent.
Before these perceptions are internalized, however, a reference group is often consulted to validate the perceptions. An individual may check with friends who are members of a reference group, asking for their perceptions of the restaurant. The individual will then compare her friends’ perceptions against her own. In many cases, the perceptions of a reference group can influence purchase and repeat purchase behavior.
Second, reference groups also serve a status function. For example, when an individual seeks to become a member of a group, his or her actions are likely to emulate the group members’ behaviors. If someone looks up to a reference group as a source of status, he or she is likely to model the behavior exhibited by the members of the reference group.
Third, reference groups establish norms and values that regulate the behavior of individuals. For example, consider a high-school-age reference group dining out. The group norm may state that patronizing chain restaurant
A is more desirable than going to locally owned restaurant B, yet objective analysis indicates that restaurant B’s product-service mix is superior. The group’s norms and values might still point toward the established chain restaurant.
Simply put, dining at restaurant A is “cool” and dining at restaurant B is not. What is in favor within the reference group will