Open access peer-reviewed chapter

Dissecting Changes in Consumer Characteristics through Psychographics

By Sumitro Sarkum

Submitted: April 10th 2019Reviewed: September 9th 2019Published: December 13th 2019

DOI: 10.5772/intechopen.89635

Downloaded: 143

Abstract

The importance of a psychographic approach is to find out what underlies the lifestyle of people in Indonesia as consumers of various product brands and services circulating in traditional and modern markets. Pattern forming the consumers’ insight needs to be known and seen from the activities, desires, and opinions expressed through their shopping styles. Basically, this perception is a way to show others around them that they have different ways of getting what they want. This insight continues to develop along with technological developments that provide convenience in facilitating products and services. This chapter will discuss the consumers’ typologies based on their psychographic segment in Indonesia and the influence of technology trends in higher aspiration purchases within online and offline markets.

Keywords

  • psychographics
  • characteristics of consumer markets
  • offline and online marketing
  • new segments of marketing
  • Labuhanbatu Regency Indonesia

1. Introduction

The hustle and bustle of traditional markets and the entry of modern markets in the competition to win the hearts of consumers have changed the face of Labuhanbatu Regency into an area that continues to be in demand by supermarket and mall business practitioners. These forms of modern businesses quickly win the hearts of consumers and expand their market share. Changes and transitions of the modern shops concept also penetrated the local business to be able to compete with the practitioners of mini market businesses that have been scattered almost all over the region. Modern outlets that are displayed offer more to increase the value of consumers’ social class that seems luxurious, elegant, fast, and friendly service along with professional management [1]. Those all are different with the appearance presented by business people in traditional outlets, seeming slum, stink, and shabby; therefore, almost most of the traditional business people are eliminated from competition. However, those who quickly adjust to the market-changing conditions can survive even if they seem to live in shame but unwilling to die.

Another factor that arises upon social value in class advancement in Labuhanbatu community is the emergence of online transportation that can spoil consumers by shopping online service with no need to waste time getting out of the house. Modern business people quickly and responsively act to the emergence of this online transportation to cooperate in logistics matters. The traditional business people seem slow in responding to this despite starting to join in handling situations and business conditions that are constantly improving. Another case with existing marketplaces in Indonesia such as Tokopedia, Blibli, Bukalapak, Lazada, Zilingo, Shopie, JD.id, and others also influences the shopping style of Labuhanbatu community by consuming permanent goods which are cheaper than the prices in modern and traditional stores.

Changes in the shopping style of Labuhanbatu community are inseparable from the role of internet operators who are increasingly competing with each other to facilitate internet in Indonesia, so that from the corners of the country they can also do the shopping online align with support from many business operators in logistics to spoil consumers.

In this chapter, we will first start by distinguishing geographical groups in Psychographics segmentation in order to know theoretically what they mean and what theories view from the perspective of Psychographics. Then, it proceeds to look at the characteristics of consumers in a developing market and the lifestyle of each consumer. Then, the latest marketing system in Indonesia will be reviewed from both sides: offline and online markets. From this background, it will be possible to judge the possibility of what will happen to the marketing system that has changed by dissecting it through changes in consumers’ characteristics toward their lifestyle in shopping.

2. Psychographics

Psychographics is not entirely new concept because many researchers have been employing psychographic measurements for many years but simply did not know it. Based on their survey result, Winter and Russell [2] found that Psychographics has a great value to copywriters because it gives them a detailed portrait of the person they are trying to communicate with. Psychographics offers a fresh approach to understand the consumer and is more fully understood by those with the task of communicating with the consumer. Although the need for a common definition of psychographics is obvious, no single definition has met with general approval. However, Wells [3] concluded to the marketing practitioner psychographic methods have offered a way of describing consumers that have many advantages over alternative methods, even though much work on reliability and validity remains to be done. To researchers with more general interests, psychographics methods have offered new ways of looking at old problems, new dimensions for charting trends, and a new vocabulary in which consumer typologies may be described. From the speed with which psychographics have diffused through the marketing community, it seems obvious that they are perceived as meeting a keenly felt need. The problem now is not so much one of pioneering as it is one of sorting out the techniques that work best. As that process proceeds, it seems extremely likely that psychographic methods will gradually become more familiar and less controversial and eventually will merge into the mainstream of marketing research.

While the research which was conducted by Becherer et al. [4] on a questionnaire was mailed to 1000 applicants, 233 of these were respondents who held bank credit card banking services; they found that results of research highlight the potential role of psychographics as a new way to look at an old problem. For this reason, it is necessary to understand that market segmentation is an activity to sort a market into several groups of different buyers with different needs and characteristics and behaviors to meet product needs through different marketing mix. Based on the findings of Burns and Harrison [5], their study on the reliability of psychographic measurements during a 1-year time interval does not support the use of this instrument as a precise measure of the lifestyle of the individual consumer. In marketing, the most prevalent method of gaining insight into consumer leisure time activity involvement has been the use of activity and interest items or psychographics [6].

3. Characteristics of consumer markets in Indonesia

The characteristics of the consumer market are influenced by several factors including cultural, social, and psychological factors. Cultural factor is the most extensive factor to see consumer behavior, where the basic values of perceptions and desires are based on life experiences so that reality is very permanently influencing behavior. This refers to the influence of social and family status. While personality factors are seen from age, work, life patterns, and self-concepts that shape identity, psychological factors shape someone to be motivated to interpret themselves from their experience and knowledge with their beliefs and attitudes toward one’s tendency to remain consistent. In November–December 2004, a survey titled Face of Indonesia [7, 8, 9] conducted by Lowe Indonesia and Prompt Research took more than 2000 consumers as sample. They were randomly selected from urban and rural areas throughout Indonesia, with various socioeconomic backgrounds and educational levels. Quantitative research was conducted randomly in 9 of the 63 urban areas in Indonesia, namely Central Jakarta, Bandung, Makassar, Gianyar, Magelang, Padang, Lampung, Surabaya, and Sidoarjo. Representing 78 rural areas, 8 regions were randomly selected, namely Bekasi, Garut, Karanganyar, Magetan, Lumajang, Tegal, Prabumulih, and Padang Sidempuan [10]. This survey dissects the following eight consumer characters in Indonesia:

  1. Consumer behavior and attitude in seeing the brand

  2. The type of brand wanted

  3. Consumer aspirations in choosing products

  4. Activities that represent themselves in various conditions

  5. The effect of advertising on purchasing behavior

  6. The most aspirational media as a window to life

  7. Types of advertisements wanted

The following are eight psychographic segments that describe consumers in Indonesia:

  1. Established confident

    The demographic percentage is 15.2%, generally men of mature age, highly educated, and living in urban areas. Very confident and strong character likes peace in his social life, very normative, and helpful. The picture that approached him might be the figure of a good father; in this group, the basic desire is to put the family more than the material, have a good reputation, and is to be quite acceptable to the community.

  2. The optimistic domestic goddess

    The number of the optimistic domestic goddess is quite large, 13.5%. The character of the group, mostly mature women from rural areas with low socioeconomic conditions, is trying to live a modest, realistic, family, and normative life. Like housewives in Indonesia, they like cooking as a hobby, not just an obligation. Their basic desires are neither material nor any other things since family is everything.

  3. The chance-expecting lad

    This group is a group of consumers of which 10.5% are boys, living in urban areas, but their socioeconomic level is lower middle class. Their character is life oriented toward friends (group). The word “friends” for them means “One for all, all for one.” According to them, friends are everything. For the sake of friends, they will do anything. Because of the circumstances and the environment, they are very tolerant of sex. To be accepted and loved by friends has become their basic desire. Friends have been their life motivation and material for them or are still a means of survival. This group is usually seen hanging out in malls (neither in restaurants nor cafes) while joking and smoking.

  4. The cheerful humanist

    This group has 12.1% in number. This group, which mostly consists of young women from rural areas with low socioeconomic levels, tends not to be the center of attention, even though it is accepted in their environment. They like a peaceful environment full of harmony. They are very attentive and empathetic to the environment and the people around them and feel very valued if the environment accepts them as they are. With such a character, their basic desires are clearly not concerned with the material but want to always be needed by the environment and enjoy being together.

  5. The introverted wallflower

    Identified about 8.1% of the entire population of Indonesia, they are generally mature-age women who have low education and live in the area. Because their lives are mediocre, this consumer group does not have many desires and is not too optimistic about their future. They tend to flow like water, without having to “disturb” other people.

  6. The savvy conqueror/city slickers

    This group is very straightforward and attractive. His goal in life is to achieve glory. Therefore, they really like to compete and tend to be dominant in relationships. Those who are generally mature educated men, from urban areas, would really enjoy their life. As an example is their attitude toward sex as a form of relaxation. They really like fashion, enjoy cuisine, and fond of advertising. Thus, their basic desire that always arises is to be pampered with material and possessions, to be flattered and revered, as well as accommodating and full of energy. These attractive consumers are demographically very large in number, about 16%.

  7. The networking pleasure seeker

    It is also quite large in amount, around 11% of total Indonesian consumers. They are such consumers who are very open, sociable, and full of passion. They generally are also dominated by women of mature age, but they live in urban areas with an A + socio-economic level. They are very materialistic, and for them, possessing (wealth/things) is the peak of happiness in life. Moreover, they feel that the success achieved was not obtained from formal education.

    Believe that friendship is an investment, in their eyes; friendship is more like networking than bonding. So for them, self-recognition exists if it is highly accepted by the social environment. According to them, friends (relatives/families) are supporters of their success.

  8. Spontaneous fun-loving

    This group stands around 13.6%. Similar to the men (The Savvy Conqueror), a group of mostly women from urban areas with high socioeconomic really likes to be the center of attention. They like to get along, show off, and involve in activities outside home, such as parties and gatherings. They like new things that are becoming trends, like fashion and gadgets, and really enjoy life. They believe that material is a tool to meet the demands of lifestyle, flattery and idol are a proof of self-recognition, and the group is a means of achieving popularity.

In general, it has been identified that the following are typically the Indonesian consumer’s behaviors:

  1. Really care about the people around

  2. Very concerned about people’s opinions about him

  3. Feel uncomfortable if alienated from the environment

  4. Care deeply about norms and traditions

  5. Uphold seniority compared with one’s abilities

  6. Looking for a safe position in the social strata

  7. Crave harmony and polite relations

  8. Prioritize cooperation rather than working alone

  9. Expect people to do the same thing as he did

This typical Indonesian consumer is not directly related to the way of consumption, but from the beginning Lowe Indonesia agreed that there is a narrative of consumption, where the consumption has a story and basically the consumer is an actor. Consumer attitudes toward advertising, direct marketing, and promotion show that 80.47% of the preferred advertisements are funny and entertaining. While the level of consumer optimism, 78.01% believes that the ability to provide better material for the family than experience can lead to success in the future up to 72.57%. Consumer opinion on traditional Indonesian values shows 70.66% that the views of Indonesian people have changed a lot. Likewise with the view of sexual permissiveness, Indonesian consumers do not care about the sex lives of others as long as it can be addressed in an adult manner.

Proving the results of the survey, this chapter explains the results of the survey reconducted to dissect the characteristics of consumers in other regions in Indonesia, namely Labuhanbatu district. Samples taken randomly were conducted on a minimum sample of 312 people [11], by not changing the indicators in the eight Psychographic clusters of Indonesian consumer behavior. Changes in survey findings can be seen in Table 1.

IndicatorsCharacteristicsSurvey 2019Survey 2004 [9]
Brand insightEstablished confidentsHigh-quality brands both local and abroad, halal logo is included, not too expensive, easy to find, can be maintained, and able to understand consumer needs and durableBrand easily established, conservative style, expensive prices, made of durable materials, sold at special outlets, local and abroad
The optimistic family personNot brand-focused, easy to reach and has a low priceNot well known to the famous brands(certain), widely used by people, trendy, the prices can be cheap or expensive
The change-expecting ladA brand that can make the consumers feel proud when using it, seems glamorous, luxurious, and affordableFast food/drink, cheap prices, popular, simple, made in Japan or China
Cheerful humanistBrands that are able to meet the needs, varied, widely used in accordance with the criteria and affordable pricesUnknown to famous brands (certain), brands are widely used by people, trendy, low prices
Introvert wallflowerLow prices, easy to get, available anywhere, affordable, hygienic, tasty, attractive, and up-to-date product brandsFood and beverage products that will be processed again, toiletries are cheap, cheap electronics, festive, investment with a small budget
The savvy conqueror/city slickersPopular and expensive products that make consumers look glamorous when using them, well-known and high-quality products
  • Premium food and drinks of various kinds, available in luxury places, clothing and cosmetics, brands made in foreign countries

  • Multi-functional, newest, compatible, imported, futuristic body design, high technology applicable models

  • Vehicles designed for high speed, branded, comfortable, futuristic, made in Europe, America, Japan, Korea

The networking pleasure seekerBrands that can understand my needs are produced by well-known companies with quality products, expensive prices, standardized, trendy, imported qualityFamous brands, produced by well-known companies, have cheap-expensive prices, quality, trendy, the latest models/series, futuristic, and foreign-made
The spontaneous fun-lovingFamous brands, trendy, stylish, guaranteed quality, affordable, and luxuriousFamous brands, trendy, stylish, bought at premium, models, online banking systems, available in shopping centers, and accepted at many newest, futuristic, handmade merchants overseas
Some relevant brandsEstablished confidentsAlmira, holster wadimor, Gajah duduk, Atlas, zoya, Rabbani, Lucky Strike, Djie Sam Soe, Sampoerna, Dunhill, Marlboro, Surya, Oppo, Vivo, Toyota, Suzuki, Honda, Yamaha, Honda, Suzuki, Nokia, Xiomi, Polytron, LG, Polytron, Panasonic, Samsung, Iphone, Puma, Loggo, Gucci, Converse, Brick, Fladeo, Yongki Kamladi, Krisbow, Alexander Cristie, Masako, Cosmos, Tupperware, Seiko, Mustika queen, Lifeboy, Biore, Downy, DaiaTissot, Tagheur, Guess, Seiko, Nokia 9210, 9300, 9500, Motorolla, Bally, Hush N Puppies, Next, Everbest, Toyota (Toyota) Innova
The optimistic family personCooking spices such as royco, masako, bimoli, instant noodles, dolphin salt, blue triangle. Cosmetic tools (wardah, ponds, viva, pixy inez, mustika queen, olay), nuvo, Daia, lux, hock, rinai, kirin, maspion, sharp, NokiaDry noodles, Dua telor, Bogasari: segitiga biru-kunci, cakra, Filma, Royco, Kecap Bango, Sari Ayu, Mustika Ratu, Ponds, Nivea, Oriflame, Accent, Executive 99, Alba, Citizen, Bata, Eagle
The change-expecting ladShoes (Adidas, Nike, Ardiles, Vans, Bata, Carvil) clothing (Hugo, Room, Bontera, Cardinal, Cresida), Vivo, Oppo, Samsung, Yamaha, Honda, Honda, Suzuki, Garnier, Biore, Pond’s, Pop Mie, Indomie, KFC, Le Mineral, Walls, Amanda Brownis, Yakult, Sprite, Marlboro, Sampoerna, SuryaIndomie, Indomilk Milk, KFC, Kapal Api, Coca Cola, Alexander Christy, Casio G-Shock, Yamaha, Honda, Jin Ceng, Polytron, Digitek, Sampoerna A Mild, Gatsby, Tanco
Cheerful humanistSkincare: Citra, Wardah, Harmony Soap, Downy, and Molto Clothing fragrance, Oppo, Samsung, Indomie, Pop Mie, Wardah, Mustika Ratu, Wadimor cover, Exona, Konicare, My baby, Johnson and TupperwareInstant noodles Supermi, Indomie, Salami, mie Sedaap, Pop Ice powder drinks, Viva, Marina, Sari Ayu, Mustika Ratu, Ponds, Adidas, Fila, Nokia 2100, 2600, 3300, Sony Ericson T230, J200
Introvert wallflowerHarmony Soap, Royco, Ajinomoto, Masako, Baygon, My Baby, Ponds, Olay, Detol, Molto, Instant Noodles, SOS Bottle Tea, Flag, Clear, Sunsilk, Lifebuoy, Lux, Milo, Harmony, Daia, Molto Mas, Economic soap, bukrim, Oppo, Nakio, Changhong, Panasonic and BlackberryMasako, Miwon, Ajonomoto, The Sariwangi, Bimoli, Kunci Mas, Kopi Kapal Api, Wheat Flour from Bogasari, GIV, Lifebuoy, Lux, Fujitec, Akira, Crystal, BRI and BNI savings
The savvy conqueror/city slickersNike, Adidas, Reebok, Canon, Toyota, Philip brand shoes, J.CO Donuts
  • Starbucks Coffee, Tamani Cafe Steak, Win Café, Piza Café ice cream, flush bred talk bread, mineral water Equil, coca cola diet, beer, country juice choice, berry juice, fisherman friends, fox, etc.

  • Panasonic, Philip, Electrolux, Sony, Samsung, Pioneer, Kenwood, Hewlett Package, IBM, Toshiba, Vertus, Nokia, Samsung, Motorolla, O2, Tag Heuer, Swatch

  • Mercedes Benz, BMW, Audi, Wrangler, Ford, Lexus, VW, Maserati, Ducati, Harley Davidson, Cagiva, Tony Car, Honda, etc.

  • Valino, Van Heusen, G 2000, Arrow, Nike, Adidas, Reebok, Fila, Next, And1, M 2000, Levis, Dunhill, Doviduff, Giorgio Armani, Hugo, Boss, CK1

The networking pleasure seekerInez, wardah, mustika queen, oriflame, yongki komaladi, rabbani, zoya, brick, elzatta, azale, hondaSari Ayu, Mustika queen, Pantene, Lifebuoy, Alba, Citizen, Rado, Tissot, Toyota (Innova, Vios, Avanza, etc.)), as well as well-known local brands, Nokia 7260, 9300, 9500, Sony Ericson K7000, S700
The spontaneous fun-lovingCoffee Crowd, KFC, the body shop, Oriflame, Wardah, Converse All Star, Nike, Honda, Rabbani, Charles and KeithStarbuck Coffee, Tamani Café, The Body Shop, Revlon, Kanebo, Mark & Spencer, G2000, Kijang Innova, Toyota Vios, Honda Odessy, Nokia 7650, Citibank, HSBC, BCA, Amex
Strategy to work on the marketEstablished confidentsEasily found in markets, mini-markets, supermarkets, clean and safe, advertisements in various media and often hold discounts. The product is placed in a strategic position and has a discount or give away for each purchase of the product. Improve quality and reduce selling pricesNiche market strategy, product differentiation strategy, premium price strategy, placing products in executive outlets at premium prices (places made exclusively)
The optimistic family personThe company maintains the product quality, easy to reach, has many discounts, and can be paid with creditMass market strategy, specifically for FMCG, products must be available even in the level of stalls and available in traditional markets, promotions especially above the line (ATL) (television)
The change-expecting ladThe company releases products that follow trends, easy to reach, mass strategy, affordable pricesMass marketing strategy, mass product strategy, placing products in traditional outlets with visitors from low SES levels offering low-priced products
Cheerful humanistThe company lists the composition of the product, has a BPOM permit, made of materials that are safe for the skin, and halal label, easily obtained and sold at the market center, stores and mini marketsMass market strategy, lower price strategy, specifically for FMCG: products must be available to the level of stalls and available in traditional markets, promotion especially ATL (television)
Introvert wallflowerCompanies must be able to make consumers interested in good and quality products by doing extensive marketing on a large scale, affordable prices, easy to get, and have sale promotional programsMass marketing that emphasize product functions
The savvy conqueror/city slickersThe company should focus its products on just one type of product that is different from similar products and has a warranty, for example, smartphone products, television, cars, etc.Niche-market strategy, product differentiation, premium prices, outlets in prestigious locations, intended for the SES A & B
The networking pleasure seekerAvailable at the mall, up to dateMass market strategy, product differentiation strategy, value oriented
The spontaneous fun-lovingPlacing products in good, luxurious, and comfortable outlets, premium prices, appropriate quality, providing a place to negotiateNiche market strategy, product differentiation strategy, premium price strategy, placing products in exclusive outlets/outlets
PackagingEstablished confidentsSimple and easy to carry product packaging. Tidy, comfortable, durable, not easily damaged, and looks elegant, beautiful with attractive colors, sealed, halal labeled, safe, and waterproofConservative colors, unobtrusive, displaying brands and logos, elegant, perceived quality, including natural raw materials, not easily damaged, comfortable, and luxurious impression
The optimistic family personPackaging which lists product composition, expired date, BPOM permission, and has a halal labelUnique, colorful, expensive, including the composition of raw materials, highlighting the color, logo, and brand
The change-expecting ladProducts with simple and attractive packaging, neat, beautiful, colorful, not conspicuous, easy to hold and uniqueColorful and bright, easy to handle and consume
Cheerful humanistHas a simple, unique design. Attractive and elegant sightUnique and colorful, accentuating the brand and logo
Introvert wallflowerHas a simple and attractive form, and fashionableSimple
The savvy conqueror/city slickersPackaging products that seem luxurious, brand labels, innovate, following trendsUnique with bright colors, content in foreign languages, ingredient information, produk companies, durable, futuristic, following trends, and seem expensive
The networking pleasure seekerUnique, attractive colors, elegant, accentuating the brand, luxurious design, comfortable, durable, elegant, and fantasticUnique, with striking colors, the content must be clear, impulse, elegant, accentuating the brand and logo, trendy, and expensive
The spontaneous fun-lovingColorful, attractive, luxurious, and has an elegant design, includes composition, sealed, and halalUnique, colorful, impressed with luxury, including the composition of raw materials, highlighting the brand with cartoon or velvet packaging, striking colors
CommunicationEstablished confidentsAds that provide information about product benefits and provide discounts at several events. Motivational and inspirational advertising. Halal and certifiedCommunicating charity activities, highlighting product character, product functionalities, product benefits and values, ATL, and below the line (BTL)
The optimistic family personExplains the benefits, functions, and usability of the productHighlighting unique selling points, structural benefits and emotional benefits, above the line and below the line
The change-expecting ladAds provide good, healthy facilities; there are promos in stores and supermarketsEmphasizing emotional benefits, above the line (more emphasize especially on promos at outlets/shopping places)
Cheerful humanistHighlighting benefits, advantages, quality, and affordable pricesHighlighting functional benefits and value (low prices), ATL, and BTL
Introvert wallflowerA simple ads, cheap, describes the function of the product in detail, and at an affordable priceEmphasizing the function and the price is cheap
The savvy conqueror/city slickersPromotion through SPG, exposing the functions of the product and conducting promotions in various exhibitionsCommunication events that involve not only emotions but also supported by the function of the goods, promotions below the line, premium prices
The networking pleasure seekerProminence of function and benefits, quality superiority is trusted, comfortable, and trendy. Highlight the functional product and easy to getHighlighting functional and emotive benefits and value orientation, proportion of above the line (ATL), and below the line (BTL) 80:20
The spontaneous fun-lovingThere are SPGs or people who can be asked about these products, and highlighting the uniqueness of the product and its advantagesHighlighting unique selling points, emotional benefits and values, ATL and BTL (more emphasize especially on promo outlets/shopping places)
MediaEstablished confidentsSocial media (YouTube, Facebook, Instagram), radio, televisionTV, magazine
The optimistic family personElectronic media such as television (GTV, MNC, RCTI, SCTV) and digital (social media), word of mouth, exhibitionTV (especially RCTI, SCTV, Indonesia, TPI), local radio, national newspapers, tabloids, magazine
The change-expecting ladSocial media (Facebook, Instagram, WhatsApp, Twitter, online magazines, YouTube) television and radioTV (RCTI, SCTV, Global TV), youth segment radio, youth magazine
Cheerful humanistSocial media and televisionTV (especially RCTI, CTV, Indosiar, TPI) local radio
Introvert wallflowerTelevision, print and online media, Facebook, WhatsApp, InstagramTV and radio
The savvy conqueror/city slickersOnline media, television, magazines, newspapersTV, radio, magazines, newspapers
The networking pleasure seekerTelevision, online media, magazines and social mediaTV (especially RCTI, SCTV, Metro, Indosiar, Trans), radio, national and local newspapers, magazines
The spontaneous fun-lovingTV, online media, and magazinesTV (especially RCTI, SCTV, Metro, Indosiar, Trans), top segment radio, national newspapers, top segment magazines
AdsEstablished confidentsAds that use social media accessed by smart phones. It shows that if they are women, then they will cover their genitals and pay attention to the contents that does not offend any party so that it can affect purchasing powerHighlighting the character to the “Father,” showing the quality and functional products, endorser is a public figure who has long been famous, highlighting the brand, and product excellence, companies are advised to bring up programs on TV
The optimistic family personAds that are attractive, unique, and not boring and use well-known endorsers and not only whiteUnique, involving emotions, endorsers are public figures that are on the rise/foreign artists, causing a sense of pride when using these products, highlighting the brand, and product excellence
The change-expecting ladUses a rising public figure. Ads linked to smart phones and testimonials that can affect purchasing strengthInvolving emotions, accentuating teamwork/teams, smelling unfamiliar, creating a sense of pride when using these products, accentuating the brand. Appeared on TV shows that involve many people such as sporting events
Cheerful humanistAds that not only promote products but also contain educational meaning, unique, and use well-known artists. Ads linked to apps on smartphones, education, using artists that can influence purchasing strengthUnique, engaging emotions, endorsers are the rising public figures/artists, creating pride when using the product, accentuating the brand, and product excellence
Introvert wallflowerCompany promotes its products in the form of ads in various media, so that people can get to know the products they offer, interesting and not boring. Not impressed, the expensive, simple, and attractiveThematic advertisements, endorsers do not need to be famous
The savvy conqueror/city slickersHighlight the delicacy; highlight the luxury and excellence of the product. Online media on smartphones is very influential on consumer interestThematic, illustrating the positive side of consumers when consuming these products, by highlighting the incomparable taste of taste
The networking pleasure seekerAttractive, engaging emotions, arousing desire to buy, endorsers from famous artists, accentuating brands, and quality. Advertising is quite influential on consumer interest in determining and looking for workUnique, involving emotions, endorsers are public figures from SES above who are on the rise/foreign artists, foreign, causing pride when using these products, accentuating the brand and brand excellence and excellence product
The spontaneous fun-lovingUsing famous endorse public figures and hits. Adverts on smartphone also greatly affect consumer interest in a productUsing endorsers of public figures from SES on the rising/foreign artists, foreign, giving pride to the product, accentuating the brand and product excellence

Table 1.

Changing in consumer behavior characteristic.

In Table 1, it shows that consumer behavior is still assessing the same brand whether it is from overseas and local with quality, but there is nothing new in the findings this time where consumers state that products must include passed and certified halal, easy in maintenance and not too expensive. In relevant brands, there are significant changes local brands begin to change consumer behavior. While the strategy to work on the market is more influenced by advertising, discounts and easy to find which is very different from the previous survey which found that the strategy to work on the market places the product in the executive place at a premium price. As with packaging, consumer behavior changes with simplicity, easy to carry, safe, smart, and lawful, which previously featured an elegant brand and logo, included natural raw materials, not perishable and comfortable, and seemed luxurious. Likewise with reemphasizing communication “halal,” certified even though there are similarities about the benefits of the product. Changes also exist in terms of media where the magazine is no longer a medium for product delivery but in fact has changed into social media. Meanwhile, advertising also experienced a change where advertisements using social media such as Facebook, YouTube, and Instagram that can be accessed through smartphones are found more effective than television and magazines. The emphasis of halal endorse is resticking in advertisements this time and is very much different from previous surveys which also emphasize on specific, well-known endorsers and appear on a special program on television.

4. New segments of marketing in Labuhanbatu Regency Indonesia

Bella [12] wrote inmarketer.comthat trend technology has higher aspirations than before. How many followers or subscribers have search through mobile phones that are expressive and have a great desire to stand out of Integrate online and offline. Hijrah’s research results [13] patterns of internet use, the online consumer market consists of three segmentations that are generally commonly used, namely: segmentation in the basic communication pattern, in this segment consumers use the internet primarily to communicate via e-mail, then the trade segment or shopping, in this segment consumers use the internet to surf and browse online stores and the third segments is social relationships and pleasure, in this segment consumers exploit the internet by using interactive features to interact and entertain themselves by chatting, blogging, video streaming, gaming, stalking and downloading. Another case with Sarkum et al.’s research findings [14] on owners, managers, or business owners and SME managers who conduct two marketing systems from offline to online confirms the gap of previous research that the dynamic capabilities, involvement and performance of actors are still a contradiction in between research results. In addition, there is still a gap phenomenon in increasing business performance in SMEs in both offline to online marketing systems.

5. Discussion

Consumer typology as outlined in this book chapter is the result of the latest survey that was first held in Labuhan Batu Regency and does not describe the overall character of consumers in Indonesia, but to describe and understand the behavior of Indonesian consumers is important, especially adopting trends in society. The report by Bella [12] states that Judging from MarkPlus Analysis data regarding Customer Attitude/Lifestyle and Facilitating Technology Trends (2012–2020) there are five Marketers summarized from a number of insights related to Indonesian consumer trends in recent times, including the following:

  1. Multiple aspiration and poverty lines

    Now, Indonesian consumers have higher aspirations than before. Consumers can now feel like a rich person for a moment but can also feel poor instantly. This feeling can be felt so easily and quickly.

  2. “F” factor

    The second problem is the “F” factor (Fans/Followers, Friends, and Family driving rate democracy). If people used to think that their assets were how many advertising channels they could reach, now these assets change to how many followers or subscribers they have and how high their engagement is.

  3. Spontaneous discovery

    “About 96% of Indonesia’s population is affected by TVC, 52% of whom search via mobile phones while watching television,” said Yosanova. Nowadays, consumers can easily find something. They can see content on television and at that moment also search for what they see on television via mobile phone. Businesses can respond to this behavior by utilizing sensor technology, ranging from basic ones such as UPC Barcodes or QR Codes to advanced ones such as Location-Based Services, NFC, Digital Wallet, and Augmented Reality.

  4. High demand for customization

    The more advanced the technology the more diverse the desires of consumers. Moreover, young consumers in urban areas are very expressive and have great desires to accentuate themselves. The key lies in customer analytics. How often do you hear about Indonesia as a potential market for business people? Maybe this statement is familiar to your ears because almost business players in every industry admit this.

  5. Offline experience still matters

    As the world becomes more digital, consumers increasingly miss the role of offline. For that, the solution is a human interface. Do not underestimate any channel because we cannot see so many opportunities.

    So from this, it is necessary for further research, so that what is found can be proven with the predicted trend. In conclusion, Dharmmesta [15] summarizes that understanding the role of consumer behavior research in the context of marketing analysis assumes that we master consumer behavior in the context in which this occurs. If this is done, we can focus on consumer-oriented corporate behavior. Understanding the nature and behavior of companies requires an adequate understanding of consumer choices. The same thing was revealed by Brotspies [16] stating that segmenting business markets is challenging but potentially highly rewarding. An in-depth understanding of how to segment markets is necessary to guide the best decisions leading to profitable targeting. Business markets are changing rapidly due to new technology and a more complex business environment.

6. Conclusions

Mapping market segmentation of consumer behavior in Indonesia has changed. Originally, the characteristics of consumer behavior in Indonesia still relied on luxury goods and focused on glamorous brands, changed in quality at an affordable price. It is important to remember that there are new things that did not appear in the results of the previous survey, where the findings of consumers’ behavior are requesting the products from upstream to downstream to be certified and halal. This indicates that the wanted products contain religious values and are safe for consumption by consumers in Indonesia.

The segmentation of consumer behavior in advertising and promotional media has also changed, which was originally delivered by television media turned into online media. This has become the basis that promotion and advertising of a product is more effectively done with social media and online.

Acknowledgments

The author thanks the 6D and E semester students of the Labuhanbatu University Faculty of Economics and Business marketing class who have helped conduct the research for this chapter. LLDikti Region I North Sumatera and Ministry of Research, Technology and Higher Education of the Republic of Indonesia.

© 2019 The Author(s). Licensee IntechOpen. This chapter is distributed under the terms of the Creative Commons Attribution 3.0 License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

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Sumitro Sarkum (December 13th 2019). Dissecting Changes in Consumer Characteristics through Psychographics, Promotion and Marketing Communications, Umut Ayman and Anıl Kemal Kaya, IntechOpen, DOI: 10.5772/intechopen.89635. Available from:

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