Utilitarian reference group influence
Utilitarian reference group influence refers to the influence that a person’s reference group has on their purchasing decisions and consumption behavior based on the perceived utility or benefits gained from belonging to that group.
For example, if a person is part of a reference group that values sustainability and environmentally friendly products, they are more likely to purchase eco-friendly products to align with the values of their group, even if it means paying a higher price for those products.
On the other hand, if a person’s reference group values luxury and status symbols, they may be influenced to purchase expensive designer items to signal their belonging to that group and gain social approval from other members.
Utilitarian reference group influence can have a significant impact on consumer behavior and purchasing decisions, as individuals are motivated by the perceived benefits or values associated with belonging to a particular group.
Reference: Wikipedia – Reference group