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It wouldnǯt be wrong to say that our choice of product is derived from our terminal vales
whereas our choice of brand is guided by our instrumental values.

In order to prove the point there were a lot of research done. In the book the writer talks
about an experiment or you can say an investigation on homemakerǯs purchases of
household appliances and, used terminal and instrumental value list, to find out the
relationship between purchases and values. Many women were interviewed who wanted to
buy one or more of 8 major household appliances. Investigators found out that terminal
values were related when it came to product choice where as instrumental values were
related when it came to brand choice.

By understanding peopleǯs instrumental and terminal values and knowing that some
people show some values strongly then other people, we can determine promotional
appeals, product positioning and design, distribution channel and pricing approaches.

People with different values have different life style, and people with different life style
donǯt tend to buy the same brand. By studying peopleǯs value we can also understand
demography efficiently and position our product effectively in to the market.

I would like to give 2 hypothetical examples here. First one is the example of soft fizzy
drinks. 2 people (same age, occupation etc..) who seek for Dzpleasuredz (terminal value) will
probably want to have a fizzy drink, but the person who is cheerful (instrumental value)
will probably drink coke, where as the person who is like ambitious, sporty and
hardworking will probably get mountain due or red bull or Gatorade (energy drinks).
„nother example I would like to give you is of Milk. Two people (same age, occupation etc),
the terminal value of one of them is a comfortable life and pleasure, were as the terminal
value of the other person is Dzexcitementdz. They both want milk, the person who is cheerful
(instrumental value) in nature will probably go for the brand tarang, where as the person
who is more open-minded (terminal value) will go for olper

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This Flow chart explains, how each set of the values seem to affect our choice criteria
(product or brand). The choice criteria in turn seem influence our brand or product
selection.

Terminal values seem to influence our product choice criteria; the choice criteria in turn
influence our product selection. Instrumental values seem to influence or brand choice
criteria, which in turn seem to influence our brand selection.

„ll these researches can be very helpful in placing the brand so that the advertisement can
show how this brand is better then the customerǯs product.


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http://changingminds.org/explanations/values/values_types.htm#Instrumental