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Product Upgrades: Who Buys?

Advertising has to appeal to a wide range of consumer types. That's why marketers adopt so many different strategies for different audiences: consumers vary in what motivates them. Now, some researchers have classified consumer motivations into two main groups: it's all about having either a "promotion focus, or a prevention focus."

According to their findings, when consumers see themselves as independent of others, promotion goals are more important; they focus on achieving gains. Conversely, when they see themselves as interdependent and connected with others, prevention goals are paramount; they focus on avoiding losses.

Promotion-focused consumers seek personal growth and positive outcomes from the products they purchase. They pay more attention to who they ideally want to be rather than who they currently are. Younger, single consumers and professionals tend to fit this category. They like to upgrade to products that appeal to their desire for improvement.

Prevention-focused consumers are concerned about safety and security. Think: family man or mom, seniors. They are often most comfortable remaining with the status quo. To them, staying with their current product means they avoid the potential negative outcomes that might ensue from trying something new.

The Po!nt: Focus your upgrade promotions on promotion-focused consumers. Or, when marketing a product upgrade, make sure you emphasize the product's role in helping consumers be all they can be.

Source: "Goal Orientation and Consumer Preference for the Status Quo" by Alexander Chernev. Journal of Consumer Research, 2004. Click here and then click "Chicago GSB" to obtain the full report.

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