November 16, 2011

If there is a difference in culture, there is a difference in consumer

If she opens an excel sheet, and has to analyze behavior of a consumer based on numbetrs, the first step would be to keep the numbers aside. She would need to quanitfy the cultural aspects that influence multi-racial societies , and so influence consumer behavior. Having taken the cultural differences  in the auto-filter, she needs to look at what other macros she can add. Should they be around brands, attitude, demographics, communication channels, or simply weather. Then she needs to sort the variables based on cultural parity, and trace precedents, and dependents. That's how she would avoid circular reference, and make data clean, and locally relevant. After that make infographics, and share them with everyone. They are information that can be good-to-know; They can be presented in a presentation, if they are good-to-act.


Individualism-Collectivism is the lens that would make the analysis for an average Singaporean, or a Malaysian worth the while, worth the bucks, and worth the time. Ethnicity goes a long way in understanding why an average person drives the car he drives, and fills the gas he fills.

A recent study shows that Chinese are loyal to immediate family, but compared to Malays, and Indians still show high level of individualism. Only 34% Chinese agreed to conformism. For Asian-Indians, and Malay the number has been much higher. They like to conform to family values, and enjoy collectivism in any decision making.

Chinese are less likely to engage in information sharing compared to the rest of ethnicities. Also-Chinese tend to trust few reference groups 

Malays, and Indians are more likely to display their love for their ethnicity by dressing in traditional clothes, and wearing jewelry that keeps them connected to their traditions. They like nice fancy meals, and like to work to maintain their social status. Working wives only make a third of the Malay working couple.

Asian Indians in the study had less openness to risk, ambiguity, but they were modern, and as high on brand loyalty, as Chinese. 40% of all married Indian women in Singapore work.

What would be the consumer behavior for an average resident filling gas in a car in Malaysia?

- Who is he : Indian, Malay, Chinese
- What is his preference

- Attitude towards conformism (will he take the same road that others are taking to reach office)
- Brand Loyalty (what car would he drive)
- Marriage
- Number of kids
- Family wealth
- Decision making in house

Now after she has made these inferences, and used the auto-filters, she would know if the consumer would buy gas during peak traffic hours, or when is he likely to buy gas. This is not demographics, or any other label that we give. It's psychographic way of looking at numbers. 

Now that the wok is warm, and the blends are put, time to put spices, and make the Nasi Lemak look every bit worth its name.