Reference Group is one of the key concepts of consumer behavior theory. It refers to a group of people to which a person or group is compared. In fact, it is the group that inspires an individual the most. Thus, it becomes the major influence in forming his consumer behavior.
Every segment in consumer behavior is differentiated on the basis of various characteristics and socio-logical attributes. These characteristics and attributes are formed through many factors and Reference group is one of those factors. It determines the identity, attitude, social and cultural ties of a person.
