11.3 Children as Consumers and Their Influence on Family Purchases

Children as consumers play a crucial role in the marketplace. From a young age, they develop skills and attitudes through consumer socialization, influenced by parents, peers, media, and schools. This process shapes their brand preferences, consumer skills, and values.

As children progress through cognitive stages, their understanding of the consumer world evolves. They gain the ability to compare products, understand advertising intent, and make more complex decisions. Children also significantly influence family purchases, particularly in categories like food, clothing, and entertainment.

Children as Consumers

Socialization of child consumers

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• Consumer socialization process by which children acquire skills, knowledge, attitudes relevant to functioning as consumers in marketplace
  • Begins at young age continues through adolescence into adulthood
  • Perceptual stage (3-7 years old) children recognize brands make requests based on perceptual cues (color, packaging)
  • Analytical stage (7-11 years old) children develop more sophisticated understanding of marketplace can compare products based on multiple attributes (price, quality)
  • Reflective stage (11-16 years old) children develop nuanced understanding of social, economic aspects of consumption influenced by peer groups, media
• Agents of consumer socialization play key roles in shaping children's consumer behavior
  • Parents serve as role models provide direct instruction on budgeting, comparison shopping
  • Peers influence brand preferences, consumption patterns through social comparison, conformity (wearing popular clothing brands)
  • Media exposes children to wide range of products, marketing messages shaping attitudes, desires as consumers (TV commercials, online ads)
  • Schools provide education on financial literacy, media literacy, responsible consumption
• Outcomes of consumer socialization include development of brand preferences, loyalty acquisition of consumer skills (budgeting) formation of materialistic values, attitudes towards consumption

Cognitive stages in consumer behavior

• Piaget's stages of cognitive development impact children's understanding of consumer world
  • Sensorimotor stage (0-2 years old) limited understanding of world beyond immediate sensory experiences no significant impact on consumer behavior
  • Preoperational stage (2-7 years old) children develop symbolic thinking, engage in pretend play focus on perceptual features of products have limited understanding of persuasive intent behind advertising
  • Concrete operational stage (7-11 years old) children develop logical thinking abilities can compare products based on multiple attributes have growing understanding of persuasive intent behind advertising
  • Formal operational stage (11+ years old) children develop abstract thinking abilities increased skepticism towards advertising claims consider social, ethical aspects of consumption
• Information processing abilities also influence children's consumer behavior
  • Attention younger children have limited attention spans easily distracted by peripheral cues in advertising (music, animation)
  • Memory older children have better memory for brand names, product attributes
  • Decision-making as children develop they become more systematic in decision-making considering multiple factors, weighing alternatives

Children's influence on family purchases

• Children influence family purchase decisions across various product categories
  • Food and beverages children have significant influence on snack foods, breakfast cereals, fast food choices
  • Clothing and accessories children's preferences for certain brands, styles can shape family purchasing patterns (Nike, Gap)
  • Entertainment and leisure children's desires for toys, games, movies, family vacations often drive these purchases
  • Technology children's familiarity with technology can influence family decisions about computers, smartphones, other devices (iPad, Xbox)
• Children's roles in family purchase decisions vary
  • Initiators children often introduce new product ideas, brands to family through exposure to media, peer influences
  • Influencers children can influence family purchase decisions through persuasion, negotiation, emotional appeals more influential for products for their own use (toys, snacks)
  • Joint decision-makers in some cases children actively involved in decision-making process alongside parents more likely for major purchases affecting entire family (cars, homes)
• Factors affecting children's influence on family purchases include
  • Child's age older children tend to have more influence than younger children
  • Product category more influence on products for their own use less influence on household products (cleaning supplies)
  • Family characteristics parenting style, socioeconomic status, family communication patterns impact children's influence

Ethics of marketing to children

• Vulnerability of children raises ethical concerns in marketing
  • Children's cognitive limitations, lack of experience make them more susceptible to marketing influences
  • Concerns about exploiting children's naivete, trust for commercial gain
• Advertising to children is controversial
  • Debates about appropriateness of targeting children with persuasive messages
  • Concerns about effects of advertising on children's values, health, well-being (promoting materialism, unhealthy eating habits)
  • Need for clear separation between advertising, educational/entertainment content
• Product safety, labeling are important ethical considerations
  • Ensuring products marketed to children are safe, age-appropriate is crucial
  • Clear, accurate labeling helps parents make informed decisions about purchases for children
• Data collection, privacy issues arise in marketing to children
  • Concerns about collection, use of children's personal information for marketing purposes
  • Need for parental consent, protection of children's online privacy (COPPA regulations)
• Responsible marketing practices can support children's healthy development as consumers
  • Encouraging responsible consumption habits, financial literacy among children
  • Avoiding stereotypes promoting diversity, inclusivity in marketing messages
  • Partnering with parents, educators, community organizations to support children's well-being