Amir Grinstein & Udi Nisan

Demarketing, Minorities, and

National Attachment
This study addresses two important global trends: protection of public goods, specifically the environment, and the
emergence of multiethnic societies with influential minority groups. The study tests the effect of a government
proenvironmental demarketing campaign on the deconsumption behavior of minority groups and the majority
population. It suggests that minority consumers use consumption or deconsumption to manifest their social identity,
beliefs, and goals as minorities in relation to the majority and that their motivation to respond positively to a
government’s demarketing campaign is shaped by their national attachment levels. The study was conducted in
Jerusalem, Israel, and involved a large data set (N = 66,272) containing household-level data on actual behavior
of consumers. The studied groups involved the majority of non-ultra-Orthodox Jews and three minority groups:
Israeli Arabs, ultra-Orthodox Jews, and Jewish Russian immigrants. The findings show that in a proenvironmental
context, government demarketing is more effective on the majority group than on any of the three minority groups.
In addition, minority groups with lower national attachment levels respond more negatively to the demarketing
effort. However, higher education levels lead to a more positive response across the majority and minority groups.
A central implication of the findings is related to the benefits derived from demarketing for different consumer
groups (majorities versus minorities based on religion, ethnicity, and immigration status). The findings also provide
a benchmark for demarketing efforts in an environmental context. Finally, they suggest that policy makers and
marketers should consider using demarketing more to complement regulatory and economic tools.

Keywords: demarketing, minority groups, national attachment, public goods, public policy, environmental behavior

n recent years, two global trends have dramatically Furthermore, the use of proenvironmental demarketing is

I changed cultures, consumption patterns, and marketers’

behaviors. The first, the protection and development of
public goods, especially the environment, has become a
major concern for societies (e.g., Baker and Sinkula 2005;
Banerjee, Iyer, and Kashyap 2003). Second, global popula-
tions have become increasingly diverse and multiethnic,
leading to an increase in conflict between different ethnic
groups (e.g., Grier and Deshpandé 2001; Penaloza and
Gilly 1999). In the wake of the first trend, public policy
makers in many countries have tried to discourage people
from consuming products or following behaviors that may
have a negative effect on the environment, using economic,
legal, technological, and demarketing approaches. However,
the effectiveness of these efforts, particularly demarketing,
which is of special interest to marketers and marketing
scholars, is not clear (Pechmann et al. 2003; Wall 2005).
Amir Grinstein is Assistant Professor of Marketing, Guilford Glazer School
of Business and Management, Ben-Gurion University of the Negev, Beer-
Sheva (e-mail: gramir@bgu.ac.il). Udi Nisan is Director General, Israel
Government Companies Authority, and a lecturer, School of Public Policy,
The Hebrew University, Jerusalem (e-mail: udinisan@gca.gov.il). The
authors acknowledge Liza Teper and Ori Sharf for their excellent research
assistance. They are grateful to Gal Hershkovitz, Hagichon, and the
Municipality of Jerusalem for providing the data for this research. They
also express thanks to Rohit Deshpandé, William Baker, Danit Ein-Gar,
and three anonymous JM reviewers for their helpful and constructive com-
ments. The research was conducted while the authors were visiting schol-
ars at Harvard University: the first author at the Harvard Business School
and the second author at Kennedy School of Government.
more complex in highly heterogeneous societies with influ-
ential minority groups and increased interethnic conflict.
Although there have been calls to account for cultural diver-
sity through minority targeting in marketing efforts (e.g.,
Deshpandé and Stayman 1994), an important open question
is whether and under what conditions minority groups con-
form to the general norm of provisioning public goods and,
specifically, how these groups react to government demar-
keting efforts in an environmental context. Knowledge of
the ways minority groups behave in this context would help
policy makers better cater to the heterogeneous needs of
different ethnic groups, minimize tension and conflict
among these groups, and implement policy more effec-
tively, while developing and protecting the environment.
We contend that minority consumers’ motivation to
respond positively to a government’s demarketing cam-
paign is often shaped by the tension between national and
minority group attachment. National attachment reflects a
person’s feelings of loyalty and patriotism to and sense of
identification with a country (Sidanius et al. 1997). Minor-
ity group attachment reflects a person’s respect for the main
symbols of the group, its rules, and leadership and the belief
that the group is superior to others (Roccas, Klar, and Livi-
atan 2006). There is often a conflict between attachment to
a minority group and attachment to the country because
minorities and the majority may possess a different set of
goals and priorities (Berger and Heath 2007; Triandis
1995). In turn, this may result in severe ethnic conflict and
substantial economic losses to a country (Penaloza and
Gilly 1999; Triandis 1995). Furthermore, because con-

© 2009, American Marketing Association Journal of Marketing

ISSN: 0022-2429 (print), 1547-7185 (electronic) 105 Vol. 73 (March 2009), 105–122
sumers often use consumption as a way to express them-
selves (Aaker 1999; Belk 1988), particularly in product
domains that are symbolic of identity (Berger and Heath
2007; Levy 1959), minority consumers may use consump-
tion or deconsumption to manifest their social identity,
beliefs, and goals as minorities, demonstrating their posi-
tion in relation to the majority group and the government
that represents it (Deshpandé and Stayman 1994; Ustuner
and Holt 2007). This suggests that the greater the tension
between national and group attachment, the less is minority
consumers’ motivation to respond positively to national
demarketing efforts.
Our conceptual framework combines research on
demarketing and environmental protection with literature
on group attachment and consumption as self-expression.
Drawing on this, we develop a set of hypotheses aimed at
understanding the effect of a government proenvironmental
demarketing campaign on minority groups versus the
majority population, its effect on minority groups with dif-
ferent national attachment levels, and the moderating effect
of a key consumer characteristic—namely, education—on
the consumption pattern of the minority and majority
groups. Specifically, we use household-level data on actual
consumers’ behavior to understand the implications of a
government campaign aimed at reducing water consump-
tion. The depletion of water resources is a major concern to
societies and constitutes a frequently studied research area
in environmental studies (Potter 2001; Talukdar, Gulyani,
and Salmen 2005). Furthermore, household water consump-
tion provides an interesting case because of its extremely
low demand elasticity (Deutsch and Liebermann 1985).
Finally, water and the meaning of water play an important
role in shaping national attachment and conflicts among
groups (Alatout 2006; Menahem 1998; Morag 2001). We
studied a government demarketing campaign that took
place in Israel in the 1999–2001 period, following a few
years of drought that, in turn, led to a crisis in the Israeli
water sector. We draw our large and heterogeneous sample
(N = 66,272) from Jerusalem, Israel’s capital and a highly
heterogeneous metropolis. Jerusalem includes three main
minority groups—Israeli Arabs, ultra-Orthodox Jews, and
Jewish Russian immigrants—who live alongside the major-
ity of non-ultra-Orthodox Jews. The Israeli case is also
unique because it enables us to jointly study and compare
three facets of minorities: religion (Jews versus Muslims
and Christians), ethnic background (ultra-Orthodox Jews
versus Jewish Russian immigrants), and immigration status
(immigrants versus nonimmigrants).
This article contributes to the marketing literature in
several ways. First, it addresses and jointly studies two
important global trends: environmental protection and the
emergence of multiethnic societies composed of influential
minority groups. It tests the effect of a government proenvi-
ronmental demarketing campaign on minority groups, thus
contributing to research on ethnic and minority groups’ con-
sumption patterns and reactions to marketers’ efforts (e.g.,
Deshpandé and Stayman 1994; Grier and Deshpandé 2001;
Penaloza 1994) and to research on environmental marketing
(e.g., Banerjee, Iyer, and Kashyap 2003; Pieters et al. 1998;
Schlegelmilch, Bohlen, and Diamantopoulos 1996).
106 / Journal of Marketing, March 2009
Specifically, we find that the three minority groups studied
were less responsive than the majority population in reduc-
ing their water consumption and that the less the national
attachment of the minority group, the less responsive was
the group. The findings suggest that higher education levels
were related to a more positive response across both minor-
ity and majority consumers.
Second, the study contributes to the debate in marketing
about the effectiveness of demarketing (Pechmann et al.
2003), providing evidence of a general positive effect in the
population. The validity of our results is enhanced because
the “product” examined is household water consumption,
an item with extremely low demand elasticity. To be
regarded successful in such a product category, a demarket-
ing campaign must overcome relatively strong consumer
resistance (Deutsch and Liebermann 1985).
Third, the study is one of the few available empirical
demarketing and environmental marketing studies based on
actual consumer behavior, not self-reported attitudes
(Deutsch and Liebermann 1985). This has several advan-
tages over previous research, which has typically examined
consumer attitudes using self-reported measures (Schlegel-
milch, Bohlen, and Diamantopoulos 1996). Although self-
reports can provide valuable insights into consumer motiva-
tions and attitudes, they might be biased because of their
subjective nature. In addition, previous research has demon-
strated a weak linkage between consumer attitudes and
actual behavior (Rangan, Karim, and Sandberg 1996;
Schlegelmilch, Bohlen, and Diamantopoulos 1996). Finally,
the sample we used is especially large and at the household
level rather than the aggregate level.
We organize the rest of this article as follows: We begin
with a review of the relevant literature and present our
hypotheses. Then, we describe the methods used and our
main findings. We conclude with a discussion of the find-
ings, a discussion of the study’s limitations, and suggestions
for further research.
Conceptual Development
Environmental Protection: The Consumer
Perspective
The conservation and protection of the natural environment
is an area of growing interest for policy makers, marketers,
consumers, and society as a whole (Baker and Sinkula
2005; Banerjee, Iyer, and Kashyap 2003; Granzin and
Olsen 1991; Menon and Menon 1997). Research in this area
discusses the ways governments, companies, and con-
sumers can develop and protect the environment. It specifi-
cally suggests that 30%–40% of environmental degradation
has been brought about by the consumption activities of pri-
vate households (Grunert 1993). Thus, changing consumer
behavior can have a substantial impact on the environment
(McDougall et al. 1981; Stern 1999).
Society’s growing awareness of the environment has led
to consumers who demonstrate concern through their pur-
chasing decisions, preferring environmentally friendly,
“green” products (Menon and Menon 1997; Newell, Gold-
smith, and Banzhaf 1998; Zinkhan and Carlson 1995). The
number of proenvironmental consumers is constantly rising,
increasing the targeted population for proenvironmental
marketing and demarketing efforts (Granzin and Olsen
1991; Menon and Menon 1997; Pieters et al. 1998).
Nonetheless, this behavioral change is not easy for most
consumers. There are many products and behaviors whose
deconsumption would benefit the environment but whose
personal benefits to consumers are only secondary; further-
more, such environmental benefits are often associated with
the distant future (Kasulis, Huettner, and Dikeman 1981;
Osterhus 1997). Although the secondary personal benefits
(e.g., social) should not be ignored, they are likely to be less
valued when deconsumption is considered in the context of
environmental protection (Frederick, Loewenstein, and
O’Donoghue 2002; Rangan, Karim, and Sandberg 1996). In
addition, such behavioral changes are costly, involving, for
example, switching and transportation costs (Osterhus
1997; Pieters et al. 1998). Overall, this suggests that the
intangible, costly, indirect future benefits of deconsuming
non-environmentally-friendly products raise concerns about
the ability to elicit desired consumer behavior (Pechmann et
al. 2003; Rangan, Karim, and Sandberg 1996; Zinkhan and
Carlson 1995).
Demarketing
The need to change consumer behavior in the context of the
environment leads public policy makers to employ a range
of economic, legal, technological, and demarketing treat-
ments (e.g., Andrews et al. 2004; Stern 1999; Wall 2005).
Of special interest to marketers and marketing scholars is
the effectiveness of demarketing. The concept of demarket-
ing can be traced back to the 1970s. It was first defined by
Kotler and Levy (1971, p. 75): “Demarketing is the aspect
of marketing that deals with discouraging customers in gen-
eral or a certain class of customers in particular on either a
temporary or a permanent basis.” Demarketing campaigns
typically involve traditional marketing efforts, such as
advertising, public relations, and sponsorships (Deutsch and
Liebermann 1985; Pechmann et al. 2003; Wall 2005).
Empirical research on demarketing is scarce. Marketing
scholars have studied demarketing primarily in the context
of smoking (e.g., Andrews et al. 2004; Pechmann et al.
2003), drug use (e.g., Kelly, Swaim, and Wayman 1996),
and energy conservation (e.g., Deutsch and Liebermann
1985; Kasulis, Huettner, and Dikeman 1981), often focus-
ing on government, not business, demarketing (Gerstner,
Hess, and Chu 1993).
Although demarketing is viewed as more expensive
than regulatory and economic tools, it is increasingly being
employed (Andrews et al. 2004). Still, there is disagreement
in the literature as to the effectiveness of these campaigns
and whether they work better than alternative methods
(Pechmann et al. 2003; Wall 2005). In the specific case of
proenvironmental deconsumption, evidence is also incon-
clusive (e.g., Deutsch and Liebermann 1985; Newell, Gold-
smith, and Banzhaf 1998; Osterhus 1997; Rangan, Karim,
and Sandberg 1996). Overall, therefore, it is unclear
whether demarketing works well in general and, in particu-
lar, for proenvironmental issues.
Group Attachment
The growth of heterogeneous societies involving influential
minorities may have significant consequences for consumer
behavior in an environmental context. Specifically, the
degree of tension between majority and minority groups
may be important in explaining minority consumers’ will-
ingness to protect the environment. Next, we introduce the
concept of group attachment and discuss how tension
between national attachment and minority group attachment
may evolve.
Across many disciplines, there is interest in examining
the links people have to their groups. For example, social
psychologists are interested in the way people identify with
a group (e.g., Gaertner and Insko 2000), cross-cultural
psychologists examine the tendency to extend the self to
include groups (e.g., Triandis 1995), political scientists
examine identification with political parties and the nation
(e.g., Kosterman and Feshbach 1989), and marketing schol-
ars study the impact of identification with a country on con-
sumer behavior (e.g., Balabanis et al. 2001).
Group attachment is evident when there is the emer-
gence of a social pattern consisting of closely linked people
who consider themselves a part of one or more collectives
(family, coworkers, tribe, country). People who are highly
attached to their social groups are primarily motivated by
the norms of and duties imposed by those collectives, and
they are willing to give priority to the goals of these collec-
tives over their own personal goals and to emphasize their
connectedness to the members of these collectives (Triandis
1995). In the specific case of national attachment, people
define themselves in terms of their country membership.
They extend their self-concept to include the country,
respect the central symbols of the country (e.g., its flag,
national anthem, rules, leadership), and believe that their
country is better and more worthy than other countries
(Roccas, Klar, and Liviatan 2006). National attachment is
associated with patriotism, which is defined as the positive
identification with the values of one’s country or simply as
love for one’s country (Kosterman and Feshbach 1989;
Schatz and Staub 1997).
In the case of minorities, these groups often face the
dilemma of balancing their in-group attachment with their
attachment to their country (Sidanius et al. 1997). Indeed,
the recent and dramatic increase in interethnic conflict and
tension within multiethnic states (for examples, see
Penaloza and Gilly 1999) raises the question whether it is
possible to foster loyalty and identification with one’s own
ethnic group and, at the same time, maintain shared national
values and a sense of common national identification (Sida-
nius et al. 1997). There is an underlying assumption that
national identity, or a sense of “belongingness” to the
nation, is more strongly associated with membership in a
dominant ethnic group (i.e., the majority) and less strongly
associated with membership in subordinate groups (i.e., the
minorities) (Sidanius et al. 1997). Furthermore, this state of
national attachment is stable, not sensitive to contextual
cues (Roccas et al. 2008).
The tension between majority and minority groups and
the associated differences in national attachment are driven
Demarketing, Minorities, and National Attachment / 107
by several forces. First, the groups often possess different
sets of priorities and goals, and the tension increases when
minority groups are not willing to sacrifice their goals for
the sake of the majority (Triandis 1995). Second, dominant
groups (i.e., the majority) often regard themselves as having
a preeminent right to and ownership of the country, its
resources, and its symbols, sometimes placing restrictions
on the legal and social rights of subordinate groups (i.e., the
minorities) (Sidanius et al. 1997). Indeed, in many coun-
tries, minorities lack political access and power and often
experience discrimination, inequality, and alienation (e.g.,
Askegaard, Arnould, and Kjeldgaard 2005; Kretzmer 1990;
Ling 2004; Ustuner and Holt 2007). Third, minorities often
dissociate themselves from the majority to strengthen their
social identity (Deshpandé and Stayman 1994; Ustuner and
Holt 2007). Finally, tension is often apparent when people
with affective attachment to the country show intolerance
toward people and groups that do not conform to the coun-
try’s norms, such as minorities (Duckitt 1989).
Consumption as Self-Expression
The degree of national attachment can be manifested
through consumers’ consumption patterns. Consumers often
use consumption as a way to express their identity and
beliefs, and products are often consumed because of what
they symbolize (Levy 1959). Objects, such as brands, and
consumption patterns, such as eating out, can be associated
with personality traits that provide self-expressive or sym-
bolic benefits for the consumer (Aaker 1999; Berger and
Heath 2007). These behaviors are important drivers of con-
sumer preference and choice (Belk 1988).
Consumers’ self-conception and the associated self-
expressive behaviors depend on the particular social role the
consumer is playing, the degree of salience of this role, and
the product domain (Aaker 1999; Belk 1988). Affiliation
with a minority group is a salient social role, much more
than belonging to a majority group (Deshpandé and Stay-
man 1994). Previous research in marketing has explored
how affinity to a minority group affects consumption pat-
terns and responsiveness to advertising. For example,
Crockett and Wallendorf (2004) study how the political ide-
ology of African American consumers structures their con-
sumer choice as minorities, and Deshpandé and colleagues
(e.g., Deshpandé and Stayman 1994; Grier and Deshpandé
2001) examine how marketers can leverage salient ethnicity
among the Mexican American minority in the United States
to gain positive responses from this group of consumers.
Regarding the effect of product domains, previous
research in anthropology, psychology, and marketing has
suggested that consumption is used to express desired iden-
tities, especially when products are more symbolic (e.g.,
Belk 1988; Berger and Heath 2007; Cialdini et al. 1976;
Levy 1959; Strang 2005; Ustuner and Holt 2007). Identity-
relevant products involve, for example, a flag, a university
sweatshirt, a national monument, or natural resources (Belk
1988; Berger and Heath 2007; Strang 2005). Natural
resources, such as water and land, have often been studied
as identity-relevant symbolic products (Alatout 2006;
Strang 2005). Of special interest to this study is the link
between water consumption and a person’s national iden-
108 / Journal of Marketing, March 2009
tity. The rich literature on water in anthropology, geogra-
phy, policy, and environmental studies suggests that water,
an essential resource to all human beings, can be viewed as
a symbolic material that creates different national identities
and boundaries (e.g., Alatout 2006; Blatter, Ingram, and
Levesque 2001; Menahem 1998; Morag 2001; Strang
2005). In the Middle East, the context of this study, water is
a component of economic development and national secu-
rity and a source of regional conflict (Blatter, Ingram, and
Levesque 2001; Le Billon 2001). Indeed, water often stands
at the heart of national conflicts and disputes over borders
and resources, which in turn emphasizes its centrality to the
meaning of national identity (Blatter, Ingram, and Levesque
2001; Le Billon 2001; Morag 2001).
Identity-relevant products, such as water, are highly
relevant in the case of minorities who want to establish and
communicate effectively their social identity (Deshpandé
and Stayman 1994). Thus, minority consumers are likely to
use consumption as a means to manifest their social iden-
tity, beliefs, and goals as minorities, demonstrating their
position in relation to the majority group and the govern-
ment that represents it. Indeed, as we discuss in detail in the
next section, minority and majority groups in the Israeli
case we study possess different meanings of water and
water consumption that are likely to reflect on their national
identity and attachment. Furthermore, because self-
expression should be congruent with the group’s beliefs and
goals (Berger and Heath 2007; Sirgy 1982), in the case of
an identity-relevant marketing effort, such as a government
demarketing campaign, and the associated identity-relevant
“product”—namely, the protection of national water
resources—the self-expressed consumption pattern is most
likely to reflect the group’s attitudes toward the government
and the country.
Synthesis and Hypotheses
We develop a set of hypotheses aimed at understanding the
effect of a government proenvironmental demarketing cam-
paign on minority groups versus the majority population, as
well as its effect on minority groups with different national
attachment levels. In addition, we study the effect of educa-
tion levels on majority and minority consumers’ responses
to demarketing efforts. Education is a central sociodemo-
graphic factor, important for understanding and characteriz-
ing different minority and proenvironmental consumers
(Ergil 2000; Schlegelmilch, Bohlen, and Diamantopoulos
1996).
Although our preceding discussion of demarketing and
consumers’ proenvironmental behavior offers mixed evi-
dence regarding the merit of demarketing campaigns, taken
together with the trend toward environmentalism and the
growing number of proenvironmental consumers, we
hypothesize that, overall, a government proenvironmental
demarketing campaign can positively affect the majority
population. First, increasing concerns for the environment
and the growing awareness of environmental issues suggest
that consumers exposed to a proenvironmental campaign
are more motivated than before to adopt the desirable con-
sumption behavior (Pieters et al. 1998). Second, previous
research has found that consumers are now more willing to
pay a premium for environmentally friendly products Halutzim and nation building (Carmeli and Fadlon 1997;
(Menon and Menon 1997; Newell, Goldsmith, and Banzhaf Leshem and Sicron 1998). Finally, for ultra-Orthodox Jews,
1998). This implies that consumers may also be willing to some of which are hostile toward the secularist Zionist
pay the costs of sacrificing favored or customary behaviors movement and state, water may take on religious symbol-
for a common public goal by deconsuming products that ism, but its role in the foundation and development of mod-
have a negative environmental effect (Pieters et al. 1998; ern Israel is less meaningful (Stadler 2002; Toft 2002).
Rangan, Karim, and Sandberg 1996). In the specific case of Thus:
government demarketing, the motivation underlying the H1: Government demarketing of proenvironmental products is
behavior of the majority group can be altruistic and patri- more positively related to the deconsumption behavior of
otic, involving a true sense of concern about the environ- majority group consumers than to the deconsumption
ment and the public good. Although the motivation may behavior of minority group consumers.
also be egoistic, involving a search for psychological out-
Different minority groups may possess different
comes, such as recognition or a sense of pride, these too
national attachment levels because each ethnic group main-
represent a strong identification with the idea of contribut-
tains its own particular goals and priorities, cultural charac-
ing to the country (Belk 1988; Luo 2005). These motiva-
teristics, and attitudes toward the notion of full participation
tions are less likely to be shared by minority groups.
in the dominant society (Sidanius et al. 1997). A central
Minorities’ sense of national attachment is likely to be
stream of research on the emergence of minority groups and
lower than that of the majority group, they often hold less
their national attachment discusses different motivations for
positive attitudes toward the government, the country’s
immigrating. Specifically, immigration motivated by the
goals as reflected by the government campaign are often not
desire to assimilate in a new country (e.g., immigration dri-
congruent with the goals of the minority group, and minori-
ven by political ideology) is expected to lead to higher
ties often dissociate themselves from the majority to
national attachment than immigration motivated by other
strengthen their social identity (Deshpandé and Stayman
reasons (e.g., searching for economic opportunities, joining
1994; Sidanius et al. 1997; Triandis 1995). Thus, we sug-
other family members, escaping economic recession)
gest that minorities are likely to manifest their consumption
(Leshem and Sicron 1998; Penaloza 1994). It has also been
patterns to reflect a less positive response to the government
suggested that some minority groups put more effort than
campaign.
others into increasing involvement in the society through
This conclusion seems especially true in the case of
political, economic, cultural, and educational activity. In
water deconsumption in the Israeli context we study
turn, this is likely to increase national attachment. For
because water takes on different meanings by the majority
example, De la Garza, Falcon, and Garcia (1996) find that
and minority groups, causing it to be differently associated
Mexican Americans use ethnicity to create resources, such
with the groups’ national attachment. For the majority
as group solidarity and political organizations, to facilitate
group of non-ultra-Orthodox Jews, the meaning of water is
their full participation in American society. Finally, differ-
closely associated with national attachment because it is
ent minority groups express their culture and beliefs in
linked to the process of nation building and establishment
varying consumption patterns. For example, while Indian
of its Jewish identity (Alatout 2006; Azaryahu 2001).
immigrants to the United States often consume products
Specifically, water symbolizes the ethos of the Halutzim,
and items that are brought from India, Mexican American
the Zionist pioneers who established agricultural settle-
consumption patterns tend to be similar on many dimen-
ments in Palestine during the nineteenth and early twentieth
sions to those of Anglo-Americans in the southwestern
centuries and who are considered the founders of the Jewish
United States (Penaloza 1994). In turn, consuming local
state (Azaryahu 2001; Menahem 1998; Morag 2001). It also
brands and following local consumption patterns are likely
symbolizes the country’s economic and demographic devel-
to increase the sense of national attachment.
opment because water and water management played a
The three minority groups in our study—Israeli Arabs,
major role in allowing the absorption of large-scale Jewish
ultra-Orthodox Jews, and Russian immigrants—possess dif-
immigration and the creation of Jewish demographic pres-
ferent national attachment levels.1 Israeli Arabs possess the
ence in arid regions of the state (Menahem 1998; Morag
lowest attachment level. First, they differ from both the
2001). Finally, water is associated with the country’s tech-
majority and other minority groups in their religion (they
nological advancements that have led Israel to be a leader in
are mostly Muslims and Christians, not Jews). This estab-
modern agriculture, water research and management, and
lishes their position as a subordinate group in Israel, a coun-
desert development (Morag 2001). Conversely, for the
try that is defined as the “Jewish state” in its declaration of
largest minority in Israel, the Israeli Arabs, though currently
independence, national anthem, and laws (Kretzmer 1990;
an equal partner for water consumption, water symbolizes
Toft 2002). Second, many Israeli Arabs have family rela-
the historic, ongoing conflict over water supply and sources
tions with Palestinians, citizens of the Palestinian Authority
between Israel and the surrounding Arab entities, as well as
in the West Bank and Gaza. Some even affiliate themselves
some inequalities in the allocation of water rations for agri-
culture (Beeri, Carmon, and Shamir 2005; Blatter, Ingram, 1Although we contend that, in general, there are significant dif-
and Levesque 2001; Ichilov 2003). The Jewish Russian
ferences between national attachment levels of the three minority
immigrants also do not share the majority’s view of water groups and that each group is relatively homogeneous, it is impor-
because they all come from a country that is rich in this tant to note that within each minority group there is a range of
resource and are not as strongly attached to the ethos of the opinions and behaviors and that exceptions can be found.

Demarketing, Minorities, and National Attachment / 109

with the Palestinian Authority. This leads to conflicting
feelings of commitment to and identification with Israel
because of the long-term violent territorial conflict between
Palestinians and Israelis (Gordon and Arian 2001; Ichilov
2003). Third, fighting for one’s country is considered a
measure of patriotism, and soldiers who fight and sacrifice
themselves for the country are an example of the lengths to
which people are willing to go in the name of the country
and national attachment (Gibson and Abell 2004). In this
respect, the vast majority of Israeli Arabs do not join the
Israeli Defense Forces (IDF), though Israeli Jews must
complete a mandatory military service of two to three years
(Toft 2002). Military service is especially important in
Israel, where it is perceived as a symbol of good citizenship,
shapes civic identities, and reflects differential modes of
participation in and belonging to the Israeli state (Lomsky-
Feder and Ben-Ari 1999; Sasson-Levy 2002). Finally,
Israeli Arabs reside in their own separate neighborhoods
and have developed an education system that is independent
of the state (Cohen 2004; Kop 2005).
Ultra-Orthodox Jews are second to Israeli Arabs in their
low national attachment levels. Although they belong to the
Jewish majority and are better institutionalized and linked
to the Israeli country and its resources than the Arab minor-
ity (Gordon and Arian 2001), this religious group is highly
segregated and follows a different agenda than that of the
secular Israeli state. Its main goal is the establishment of a
religious Jewish state that will have religious education and
lifestyle, regulated by this group’s interpretation of the Holy
Scripture (Stadler 2002; Toft 2002). The fundamental con-
flict between secular and ultra-Orthodox Jews sometimes
leads to violent acts by ultra-Orthodox extremists, which in
turn increases the tension and animosity between these
groups (Gordon and Arian 2001; Toft 2002). Many ultra-
Orthodox Jews do not support the existence of the secular
Israeli state and do not fully participate in daily life.
Specifically, a large share of ultra-Orthodox men do not
work, opting to attend religious school (“yeshiva”) full
time, and they typically do not serve in the IDF, despite the
mandatory military service imposed on Israeli Jews (Ichilov
2003; Toft 2002). In addition, ultra-Orthodox Jews reside in
their own discrete neighborhoods and have developed an
education system that is independent of the state (Cohen
2004; Kop 2005).
Russian immigrants possess the highest national attach-
ment level among the three minority groups. First, although
many of these immigrants migrated to Israel because of fear
and economic reasons, escaping waves of anti-Semitism
and economic recession in the former Soviet Union, sub-
stantial numbers over the years were Zionists and came out
of a sense of identification with the Jewish state (Leshem
and Sicron 1998). Second, this group has made efforts to
participate fully in and assimilate into the Israeli society in
the years since their immigration; they contribute to scien-
tific work, entrepreneurial and business activities, the arts,
sports, and political life, and they typically serve in the IDF
(Carmeli and Fadlon 1997; Lerner and Menahem 2003;
Leshem and Sicron 1998). Unlike ultra-Orthodox Jews and
Israeli Arabs, they live in mixed neighborhoods and send
their children to the state education system (Cohen 2004;
110 / Journal of Marketing, March 2009
Kop 2005). Third, compared with the other minority
groups, this group of immigrants is relatively new to the
country, the majority of whom arrived in the early 1990s.
Thus, they have had less time to make negative inferences
about the government and the country. In turn, this is likely
to lead to less negative national attachment levels, as
reflected through their consumption experiences (Belk
1988; Proshansky 1978). Still, throughout its assimilation
process, this group has retained many of its traditions and
social arrangements, including its language, establishing a
social identity that is different from that of native Israelis
(Leshem and Sicron 1998). In addition, compared with the
majority of non-ultra-Orthodox Jews, Russian immigrants
have more negative attitudes toward the IDF and thus are
less willing to join it (Ben-Shalom and Horenczyk 2002;
Carmeli and Fadlon 1997).
In the context of water, this national resource is equally
distributed among all Israeli households, and there are no
conflicts over water among the different groups or evidence
of significant difference in usage patterns (Beeri, Carmon,
and Shamir 2005). However, there is a historic, ongoing
conflict regarding water supply and sources between Israel
and the surrounding Arab entities (Blatter, Ingram, and
Levesque 2001), as well as some inequalities in allocation
of water rations for agriculture among Israeli Arabs (Ichilov
2003). This may have an impact only on the Israeli Arabs,
contributing to their low national attachment levels and
increasing their antagonism toward the notion of protecting
Israel’s water resources. Thus:
H2: National attachment of the minority group moderates the
relationship between government demarketing of proenvi-
ronmental products and deconsumption behavior of
minority group consumers, such that the higher the
national attachment, the stronger is the relationship
between government demarketing and deconsumption
behavior.
The relationship between minority group association
and the response to a government proenvironmental cam-
paign may be moderated by consumers’ level of education.
There is evidence that more educated consumers are more
likely to be aware of environmental problems and act in an
environmentally friendly manner (Schlegelmilch, Bohlen,
and Diamantopoulos 1996; Torras and Boyce 1998). These
consumers are likely to seek knowledge, are capable of
interpreting it and its implications, often critically assess
government actions, and are more politically involved
(Banerjee, Iyer, and Kashyap 2003; Schlegelmilch, Bohlen,
and Diamantopoulos 1996; Torras and Boyce 1998). Educa-
tional levels have been linked to greater participation in
environmental protection activities, energy conservation,
and willingness to pay more for environmental cleanup
(Granzin and Olsen 1991).
This suggests that both majority and minority con-
sumers with high education levels will be knowledgeable
about environmental problems and solutions. Still, it is not
clear whether both will be motivated to act in an
environmentally friendly manner. Highly educated con-
sumers belonging to the majority group will likely be moti-
vated to contribute to the public good and respond posi-
tively to the government proenvironmental demarketing
campaign, but minority consumers are likely to face a
dilemma. It has been suggested that the more educated the
minority person, the more likely he or she is to be conscious
and active in using consumption to manifest self- and social
identity (Belk 1988; Sirgy 1982). Thus, these people are
more knowledgeable not only about environmental issues
but also about their social identity and social, economical,
and political goals as a minority group, and they are often
the leading activists (Pick and Dayaram 2006). This knowl-
edge might make them the greatest opponents of the gov-
ernment, leading them not to follow the general norm of
provisioning public goods. Still, in an environmental con-
text, more educated minority consumers are likely to be
aware of the long-term, negative, and sometimes irre-
versible consequences of a non-environmentally-friendly
behavior and of its potential effect on the minority group. In
turn, this is expected to lead to responsible behavior. Thus,
we suggest that higher education levels, whether among
majority or minority consumers, lead to more positive reac-
tions to the demarketing effort:
H3: Consumer education moderates the relationship between
government demarketing of proenvironmental products
and deconsumption behavior among consumer groups
with different attachment levels, such that the higher the
education, the stronger is the relationship between govern-
ment demarketing and deconsumption behavior for all
groups.
Methods
Study Context
The study was conducted in Jerusalem, Israel. Israel’s water
resources depend mainly on two large equippers and on the
Sea of Galilee, which are all interconnected. Natural water
resource usage reached its maximum potential in the mid-
1990s. Both 1999 and 2000 were drought years, and to
avoid supply difficulties, the Israeli government needed to
find ways to reduce water usage. As the drought developed,
the government decided to raise water prices and limit the
water supply quotas for agricultural use only. Because of
the low price elasticity of household water demand and the
regressive effect of a potential rise in household water
prices, the government decided to undertake a water savings
campaign instead of using the price tool. As we report in
greater detail subsequently, the price for household water
usage was fixed for the period of interest (1999–2001), and
there were no quotas for household water consumption.
The large-scale government campaign included mass-
media advertisements, an educational program for schools
and youth movements, and campaigns aimed at both the
majority population and the three central minority groups
(i.e., Israeli Arabs, ultra-Orthodox Jews, and Russian immi-
grants). The government budget invested in the campaign
was 11.25 million Israeli shekels ($2.5 million). The main
theme was, “Think a drop” (in Hebrew, “drop” is also a
small amount). The campaign was “instructional” (Rangan,
Karim, and Sandberg 1996), involving instructions about
easy things people could do at home to reduce water con-
sumption and frequent reminders to them. The same theme
and spokesperson (a young boy) were used across the dif-
ferent consumer groups, and customization was mostly lan-
guage based: The campaign aimed at the majority popula-
tion was in Hebrew, the one aimed at Israeli Arabs was in
Arabic, the one aimed at ultra-Orthodox Jews was in
Hebrew, and the one aimed at Russian immigrants was in
Russian. The campaign involved three intensive efforts,
each lasting a month between 1999 and 2001 (winter 1999–
2000, summer 2000, and winter 2000–2001) (Beeri, Car-
mon, and Shamir 2005).
In the natural-experiment setting we examined, it is dif-
ficult to conclude that changes in household water con-
sumption are entirely the result of the demarketing cam-
paign. Still, we present several arguments in support of this
notion. First, the price of water in Jerusalem was fixed for
the entire relevant period (January 1999–December 2001).2
Second, the campaign was widespread and reached the
entire Israeli population. Specifically, demarketing efforts
were distributed according to the relative size of the tar-
geted groups; the majority of non-ultra-Orthodox Jews
received most of the attention, followed by the Israeli
Arabs, ultra-Orthodox Jews, and Russian immigrants
(Beeri, Carmon, and Shamir 2005). Six exposure surveys of
the entire population were undertaken during and after the
campaign, confirming high pubic exposure rates (75% on
average) (Beeri, Carmon, and Shamir 2005). Third, before
the campaign, household water consumption was in a con-
tinuous upswing for a decade (Figure 1). Finally, the aver-
age temperatures in 1999–2001 were similar (Figure 2).
2Prices included two tariffs: water and sewage charges.
Jerusalem used a three-block IBT (increasing block tariff) pricing
structure set by the Israeli parliament. In 1999–2001, the average
price in the first block, applying to the first 96 cubic meters (m3),
was $1.2/m3 including a sewage surcharge. The price in the second
block, for additional consumption up to 84m3, was $1.5/m3. The
charge for all extra consumption was $1.9/m3. Water prices were
not adjusted to inflation automatically. Thus, until it was adjusted
in August 2001, the real price of water in Jerusalem actually had
been moderately declining.
FIGURE 1
Yearly per Capita Household Water Consumption
in Israel: 1992–2002
Source: Israel state budget for 2004.
Demarketing, Minorities, and National Attachment / 111
 FIGURE 2
Average Temperatures in Israel: 1999–2001
Source: The Israeli Central Bureau of Statistics (2005).
Sample and Data Collection
This study uses disaggregate actual behavior data. The data
include information on household-level water consumption
and on several other household characteristics in Jerusalem.
The city’s diversified household structure makes this data
set attractive. It contains enough households to test the
effect of demarketing on different minority groups (Israeli
Arabs, ultra-Orthodox Jews, Russian immigrants) and on
the majority of non-ultra-Orthodox Jews. Data came from
three sources: Hagichon (the only water supply company in
Jerusalem), the Municipality of Jerusalem, and the Ministry
of the Interior.
The original data cover water consumption for most
households in Jerusalem for the 1999–2001 period. Because
of data limitations and to facilitate a longitudinal assess-
The Data Sets
Data set for 1999a
Data set for 2000a
Data set for 2001a
Merged data set for 1999–2001
Merged data set without deviation of 20% or more
Merged data set without deviation of 40% or more
aWeexcluded observations for several reasons: households with shared meters, households larger than 12 people, and households that
metered only part of the year.
112 / Journal of Marketing, March 2009
ment of the same households during the entire period, we
focused only on households that remained in the same
apartment for the entire period and retained their household
size. In addition, we conducted an outlier analysis and
removed from the sample observations with a deviation of
40% or more in water consumption (both down and up)
between 1999 and 2001 because these can substantially
inflate the sample’s standard deviation and affect overall
results (Hadi 1992). To demonstrate the robustness of our
results, we subsequently conducted an analysis that
includes outliers and found that our results do not change.
Thus, the original sample, which involves data on water
consumption, is labeled Sample 1 and involves 66,272
observations. We then merged Sample 1 with data on
household schooling to create Sample 2. The latter data set
originates in the municipality’s education department and
involves data on the schooling years of parents and their
children. Unfortunately, this data set does not contain edu-
cation data for all households. Rather, it includes only data
on households with children in the school system in the last
decade (1995–2004). Thus, Sample 2 involves 30,543
observations. Table 1 details the original data, the merging
process, and the two samples we use.
Measures
We measured household water savings by water savings
rate. We measured the decline in household water consump-
tion following the demarketing campaign (in 2001) as a per-
centage of household water consumption before the cam-
paign (in 1999). We also conducted all the analyses using
an alternative dependent variable—namely, water quantity
saved between 1999 and 2001 in cubic meters (m3); our
results do not change.
For minority status, our sample captures Jerusalem’s
four main groups of population: the majority of non-ultra-
Orthodox Jews and the three minority groups: Israeli Arabs,
ultra-Orthodox Jews, and Russian immigrants. Those
minority groups have their own commercial centers and
advertisement channels. Furthermore, the ultra-Orthodox
Jewish and Israeli Arab communities have their own neigh-
borhoods. An ultra-Orthodox Jewish household is defined
TABLE 1
All Populations With Schooling Data
The Majority The Majority
of Non-Ultra- of Non-Ultra-
All Orthodox Jews All Orthodox Jews
103,381 71,854 44,519 29,851
107,973 75,374 46,543 31,367
109,729 76,697 47,277 31,892
79,323 57,752 34,350 24,754
45,168 32,851 21,704 15,404
66,272 48,674 30,543 22,034
as such if it is located in an ultra-Orthodox neighborhood,
as classified by the Jerusalem master plan (Cohen 2004).
Similarly, a household is defined as Israeli Arab if it is
located in an Arab neighborhood, as classified by the
Jerusalem master plan. The Jerusalem master plan charac-
terizes 200 neighborhoods in the city. This increases the
accuracy of this measure. A new immigrant is entitled to
reduced property tax for one year during his or her first five
years in the country. We define a household as a new immi-
grant if it received this tax reduction for any year between
1999 and 2001. Most new immigrants in Israel come from
the former Soviet Union and speak Russian (Leshem and
Sicron 1998). Therefore, we define them as Russian immi-
grants. As we noted previously, the three minority groups
possess different national attachment levels. Russian immi-
grants are expected to have the highest national attachment
levels, followed by ultra-Orthodox Jews and then Israeli
Arabs. To validate this ranking, we use data on level of
patriotism. Patriotism reflects an important emotional bond
with a country and is often used to measure national attach-
ment and identification (Kosterman and Feshbach 1989;
Schatz and Staub 1997). Specifically, we use secondary
data obtained from a survey of a representative sample of
Israeli citizens that was conducted by the Institute for Pol-
icy and Strategy at the Interdisciplinary Center of Herzliya
(Institute for Policy and Strategy 2007). The survey, titled
“Patriotism and National Strength in Israel,” was conducted
for the first time in 2005 and then again in 2006. The mea-
sure of patriotism involved the question, “Do you consider
yourself ‘very much patriotic,’ ‘very patriotic,’ ‘somewhat
patriotic,’ or ‘not very patriotic’?” This measure has been
widely used in both academic and applied research (e.g.,
American Enterprise Institute for Public Policy Research
2007; Bennet and Resnick 1990). The findings are consis-
tent across 2005/2006 and suggest that the majority (72%)
of non-ultra-Orthodox Jews possess the highest levels of
patriotism (i.e., “very much patriotic” and “very patriotic”),
followed by the Russian immigrants (64%), the ultra-
Orthodox Jews (49%), and finally the Israeli Arabs (28%).
We measured education as the schooling years of the
heads of the household. When there were two adults in the
household, we took the maximum figure. In the analysis,
we follow previous research in economics (e.g., Lahiri and
Xing 2004) and use the dichotomous variable—academic
versus nonacademic education—with 13 schooling years as
the cutoff point. An alternative measure—average schooling
years of the household—yields similar results.
In addition, we control for wealth, household size, and
lawn ownership. Previous research in marketing and envi-
ronmental economics has suggested that wealthier con-
sumers are more concerned about the environment and are
more active about its preservation (McConnell 1997;
Newell, Goldsmith, and Banzhaf 1998). We measured
wealth as apartment size. This is a good proxy of household
permanent income (Dahan and Nisan 2007). The use of an
alternative measure—apartment size per person—yields
similar results. We also control for household size as it
appears in the Ministry of the Interior data. Finally, we
control for lawn ownership because 12% of households in
Jerusalem have irrigated lawns. Lawn size can represent a
wealth effect or irrigation decision following the campaign.
We introduce two parameters in the regression: a dummy
variable for having a lawn and a continuous lawn size
variable.
Analysis and Results
Descriptive Data
Average per-capita water consumption in Jerusalem is
56m3/year, 7% lower than the average (60m3/year) in coun-
tries belonging to the Organisation for Economic Coopera-
tion and Development (OECD) (see Figure 3). Table 2
reports descriptive statistics of water savings rates and
quantities by different household characteristics for the
sample without schooling data (Sample 1). Because the
sample with schooling data (Sample 2) shows similar
descriptive findings, we discuss only Sample 1 data in
detail.
The general demarketing effect we find is relatively
high—an average of 5.78% household water savings for the
entire population. Large differences are evident among the
different groups we study: The water savings rate among
the Israeli Arab population is very low (.7%), and the water
savings rate among ultra-Orthodox Jews (4.4%) and Russ-
ian immigrants (5.2%) is less than the majority population
of non ultra-Orthodox Jews (6.6%).
There is a strong positive correlation between wealth
and water savings; households with large apartments save
more than households with small apartments (7% and 4.9%,
respectively). It is also evident that household size has a
negative effect: Large households save less than small
households (4.1% and 6.9%, respectively). Lawn ownership
and lawn size show a positive influence (2.3% more than an
average household and 8.3% savings on average, respec-
tively). An additional relevant finding, based on the descrip-
tive analysis of Sample 2 (with schooling data), suggests
that the water savings rate for households with academic
education (6%) is higher than for households without acad-
emic education (4.8%). Additional descriptive data on the
study’s constructs, including the correlation matrix, means,
and standard deviations, appear in Table 3.
Estimated Model
To estimate the effect of the demarketing campaign, we
compared household water consumption before and after
the campaign. We ran a model using ordinary least squares
regression for the dependent variable—rate of household
water consumption decline between the years 1999 and
2001. The model is as follows:
Δy i
(1) = α + βx i + ε i ,
y99
where Δyi is the difference in household i’s water consump-
tion between 1999 and 2001 and xi denotes a vector of
household characteristics as documented in 1999, which is
constant until 2001. There are four groups of variables:
minority status, education level, wealth indicators (apart-
Demarketing, Minorities, and National Attachment / 113
 FIGURE 3
Average per Capita Water Consumption in Israel and Other OECD Countries

Source: OECD (1999).

TABLE 2
Descriptive Statistics: Water Savings by Household Characteristics (Data Set Without Schooling Data:
Sample 1)

Water Water
Consumption Consumption Decrease in Rate of Number of
1999 2001 Consumption Decrease Observations

All populations 227.94 212.34 15.61 5.78% 66,271

Consumer Groups
Non-ultra-Orthodox Jews 212.39 195.40 16.99 6.60% 48,674
Israeli Arabs 322.81 317.03 5.78 .70% 4,242
Ultra-Orthodox Jews 254.48 240.79 13.69 4.40% 13,355
Russian immigrants 164.82 153.86 10.96 5.20% 299
Wealth (Apartment Size)a
Large apartment size 274.96 253.40 21.57 7.00% 28,622
Small apartment size 183.76 173.26 10.49 4.94% 28,886
Apartment size: missing data 220.02 207.02 13.00 4.58% 8,763
Control Variables
Large householdsb 296.39 280.12 16.28 4.12% 26,595
Small households 182.06 166.90 15.16 6.89% 39,676
Lawn owners 341.46 310.98 30.47 8.06% 9,588
Large lawnsc 378.08 344.02 34.07 8.29% 5,504
Small lawns 292.10 266.46 25.63 7.75% 4,084
aLarge is defined as more than the median (78 square meters).
bLarge is defined as four members or more.
cLarge is defined as more than the median (100 square meters).

ment size, lawn ownership), and household size. Regarding tiveness on the majority population (non-ultra-Orthodox
minority status, the regression includes three dummy Jews only) compared with the minority groups: Israeli
variables to represent the difference in the campaign effec- Arabs, ultra-Orthodox Jews, and Russian immigrants.

114 / Journal of Marketing, March 2009

 TABLE 3
Correlation Matrix and Descriptive Statistics of the Study’s Constructs

Constructs 1 2 3 4 5 6 7 8 9 10

Water savings rate 1

Household size –.12** 1
Wealth (apartment size) .07** .19** 1
Apartment size: missing data –.01* –.13** –.62** 1
Lawn owners .07** .07** .28** –.03** 1
Lawn size .06** .03** .26** –.01** .72** 1
Academic education .04** .05** .14** .01** .06** .03** 1
Ultra-Orthodox Jews –.05** .34** .06** –.06** –.10** –.11** .19** 1
Israeli Arabs –.06** .13** –.05** .01* .02** .08** –.14** –.11** 1
Russian immigrants –.01 –.03** –.03** .04** –.01* –.01 .02** –.01 –.01 1

M .05 4.43 81.40 .07 .18 23.97 .55 .24 .04 .00
SD .17 2.09 36.89 .26 .39 70.27 .50 .43 .19 .05
*p < .05.
**p < .01.

Results non-ultra-Orthodox Jewish households reacted significantly

The effect of demarketing on majority and minority more positively to the campaign than the ultra-Orthodox
groups. Table 4 reports the coefficients and p-values for the Jews (t-value = 5.47, p < .0001), who responded more posi-
estimated model. We present the estimates for the model for
both samples (Samples 1 and 2).
Based on the analysis of Sample 1 (the data set without TABLE 4
schooling data), the demarketing effect for an average non- Campaign Effectiveness
ultra-Orthodox Jewish household, with average household
Dependent Variable:
size and wealth and without a lawn, is approximately 6% of Water Savings Rate
the yearly household water consumption.3 All the minority
groups responded less positively to the campaign: Israeli Sample 1 Sample 2
Arabs were less likely to save water (–4.7%, p = .0001), fol- Intercept .054** .056**
lowed by ultra-Orthodox Jews (–1%, p = .0001). Although (.0001) (.0001)
the coefficient for Russian immigrants is also negative Household size –.008** –.010**
(–1.4%, p = .1831), it is not significant, suggesting that this (.0001) (.0001)
group responded more positively to the campaign than the Wealth (apartment size) .0004** .0004**
other minority groups. We also conduct a series of t-tests to (.0001) (.0001)
Apartment size: missing data .022** .019**
confirm the differences between the estimators and find that (.0001) (.0001)
Lawn owners .026** .026**
(.0001) (.0001)
3To calculate the demarketing effect for the typical non-ultra- Lawn size –.00003* –.00002
Orthodox Jewish household, we undertake the following proce- (.0500) (.4347)
dure: Our point of departure is the regression intercept, which rep- Academic education — .010**
resents the baseline effect on the average household in the entire (.0001)
population. We then add to the intercept two multiplicative terms Ultra-Orthodox Jews –.010** .002
that refer to the non–dummy variables included in the regression: (.0001) (.6954)
household and apartment size (specifically, for non-ultra-Orthodox Ultra-Orthodox Jews × academic — –.009
Jewish households, we multiply their average household size education (.0534)
[three family members] and average apartment size [80 square Israeli Arabs –.047** –.034**
meters] by their estimates and add these terms to the intercept). (.0001) (.0001)
Overall, the calculation (see Table 4) yields a demarketing effect Israeli Arabs × academic — –.001
slightly above 6%: .054 + 3 × (–.008) + 80 × (.0004) ≈ 6%. To cal- education (.9339)
culate the demarketing effect for all other populations (Israeli Russian immigrants –.014 .021
Arabs, ultra-Orthodox Jews, Russian immigrants), it is necessary (.1831) (.5961)
to add to the intercept (5.4%) the two multiplicative terms that Russian immigrants × academic — –.061
refer to household and apartment size (multiplying the relevant education (.1901)
regression coefficients by the specific group’s average household
size and average apartment size). To calculate the demarketing F-value 175.9** 76.5**
effect for households with lawns, whether related to the majority Adjusted R2 .02 .03
or minority groups, it is necessary to add to the overall demarket- Number of observations 66,271 30,543
ing effect of the group (e.g., approximately 6% in the case of non- *p < .05.
ultra-Orthodox Jewish households) the lawn size dummy coeffi- **p < .01.
cient (2.6%). Notes: p-values are in parentheses.

Demarketing, Minorities, and National Attachment / 115

tively than the Israeli Arabs (t-value = 12.02, p < .0001). associations affected their deconsumption patterns. We use
Still, the Russian immigrants responded more positively to association with the state education system (relative to an
the campaign than the other minority groups because the independent system) because this can explain higher
estimator of this group is not significantly different from national attachment levels following institutionalization and
that of non-ultra-Orthodox Jews (t-value = 1.33, p > .1). In indoctrination of national values, traditions, and admiration
general, these findings support H1 and H2. (Ergil 2000). Because we have relevant and detailed school-
Education. From our analysis of Sample 2, which incor- ing data only for Israeli Arabs, we added to our model a
porates schooling data, we conclude that households with dummy representing whether Israeli Arabs send their chil-
academic education save an average of 1% more than dren to the state education system or to an independent sys-
households without academic education (p = .0001). This tem. Our findings (Table 5) suggest that households with
implies approximately 10% more water saving quantities or children in the Israeli education system were more likely to
campaign effectiveness than households with lower educa- deconsume water following the campaign (–2.4%, p =
tion levels. .0047) than households with children in the independent
In the case of the interaction of education with different education system (–4.3%, p = .0001), in support of the
minority groups, we find that the effects among Israeli notion that national attachment plays an important role in
Arabs (–.1%, p = .9339) and Russian immigrants (–6.1%,
p = .1901) are nonsignificant, suggesting, as we expected,
that the effect of education on these groups is similar to that TABLE 5
of the entire population. That is, these minority groups and Ruling out Variations in Exposure to the
the majority population are affected similarly by education. Campaign as an Alternative Explanation
The interaction effect of education with the ultra-Orthodox Dependent Variable:
Jews was significant and negative (–.09%, p = .0534). The Water Saving Rates
negative sign estimator implies that the education effect on (Sample 2)
a non-ultra-Orthodox Jewish household does not affect the Intercept .056* .056*
ultra-Orthodox group. As we explain in greater detail in the (.0001) (.0001)
“Discussion” section, this is likely the result of the unique, Household size –.010* –.010*
highly focused nature of education in this group (religious (.0001) (.0001)
studies). This negative interaction effect, which contributes Wealth (apartment size) .0004* .0004*
(.0001) (.0001)
to the insignificant main effect of association with this Apartment size: missing data .019* .019*
population on the campaign effectiveness, demonstrates (.0001) (.0001)
how this group differs from the entire population. Overall, Lawn owners .026* .026*
therefore, these findings partially support H3. (.0001) (.0001)
Controls. The estimate for apartment size, which Lawn size –.00002 –.00002
(.4347) (.4076)
reflects wealth, is .04% per square meter. This reflects a
Academic education .010* .010*
positive correlation between demarketing effects and level (.0001) (.0001)
of wealth. Each 25 square meters adds 1% more campaign Ultra-Orthodox Jews .002 .002
effectiveness, which implies 16% more than an average (.6954) (.6909)
household. We also find that household size is significant Ultra-Orthodox Jews × academic –.009 –.009
and negative in all models, implying a negative effect on education (.0534) (.0534)
water savings, most likely because of the limited impact on Israeli Arabs –.034* —
(.0001)
children. Finally, the lawn ownership dummy variable is Israeli Arabs × academic –.001 —
significant and positive in both models, reflecting a 2.6% education (.9339)
additional demarketing wealth effect. Lawn size is signifi- Israeli Arabs in the Israeli — –.024*
cant only in the first model and can reflect either an addi- education system (.0047)
tional wealth effect or irrigation needs in 2001 compared Israeli Arabs in the Israeli education — –.017
with 1999. system × academic education (.3333)
Israeli Arabs not in the Israeli — –.043*
Sensitivity analysis. We conducted several sensitivity education system (.0001)
analyses to demonstrate the robustness of our findings. We Israeli Arabs not in the Israeli — .015
first attempted to rule out a main alternative explanation to education system × academic (.4241)
our findings—namely, that the different responses to the education .021
demarketing effort were the result of variation in exposure Russian immigrants .021
to the campaign by different groups rather than the result of (.5961) (.5964)
Russian immigrants × academic –.061 –.061
the groups’ different national attachment levels. Thus, we education (.1901) (.1901)
differentiated between two subgroups belonging to the
same minority population on the basis of association with F-value 76.5* 65.8*
the education system—state versus independent. Because Adjusted R2 .03 .03
the two subgroups were likely to be similarly exposed to the Number of observations 30,543 30,543
demarketing campaign in terms of language and media *p < .01.
exposure, we examined whether the different education Notes: p-values are in parentheses.

116 / Journal of Marketing, March 2009

explaining minority groups’ reaction to government
demarketing.4
We also want to confirm that the different groups stud-
ied do not possess social networks that systematically differ
in their structure and strength, because this may also
explain variability in reception of the campaign. Thus, we
collected data on utilization of social networks (i.e., fre-
quency of communication with friends and family) of non-
ultra-Orthodox Jews, ultra-Orthodox Jews, and Israeli
Arabs from the Israeli Central Bureau of Statistics (2002).
Overall, the data do not indicate any systematic difference
among the groups. For example, while the ultra-Orthodox
Jews talk more frequently with friends than do the other
groups, the Israeli Arabs more frequently meet with family
members.5 Furthermore, the data suggest that the majority
of non-ultra-Orthodox Jews’ utilization of social networks
is not stronger than those of ultra-Orthodox Jews and Israeli
Arabs. Because the former reacted more positively to the
campaign than the latter two groups, this provides some
indication that the variability in reception of the campaign
is not driven by social networks.
Because our measure of wealth (i.e., apartment size)
might not be satisfactory as a result of differences in house-
hold size, we also measured it using apartment size per per-
son. In addition, we ran an ordinary least squares regression
using the original measure, this time for households of four
people only. In general, the estimates remain significant and
similar (Table 6).
Finally, in the early analysis, we excluded outlier obser-
vations (i.e., households that showed more than 40%
change in water consumption in 2001 compared with 1999).
Because this was an ad hoc cutoff point, we also ran the
model after omitting outlier observations using a 20% cut-
off point. Again, this analysis does not change the nature of
our results (Table 6).

Conclusions and Implications

4The difference between the two Israeli Arab groups is signifi-
cant at the 10% level (t-value = 1.73).
5Frequency of communication with friends and family involved
the measures “I talk/meet with my friends/family every day/almost
every day.” In the case of talking with friends, first in line were
ultra-Orthodox Jews (49.8%), then non-ultra-Orthodox Jews
(41.4%), and finally Israeli Arabs (28.6%). In the case of meeting
with family, first in line were Israeli Arabs (36.8%), then ultra-
Orthodox Jews (24.8%), and finally non-ultra-Orthodox Jews
(24.5%).
This study addresses two important trends: protection of
public goods and the emergence of multiethnic societies
that involve influential minority groups. We were able to
accurately assess the effect of government demarketing on
different minority groups because of our use of actual water
consumption data instead of self-reported attitudes and
because no other policy tool was employed during the
examined period. The study offers implications for market-
ing scholars, policy makers, and marketers.

TABLE 6
Sensitivity Analysis
Dependent Variable: Water Savings Rate
Apartment Size Apartment Size Population After Removing
per Person (Four People per Household) 20% Deviation or Less
Intercept .076** .013* .024**
(.0001) (.0302) (.0001)
Household size –.006** — –.003**
(.0009) (.0001)
Wealth (apartment size) .000123** .000069** .00020**
(.0013) (.0001) (.0001)
Apartment size: missing data –.006* .023** .011**
(.0189) (.0039) (.0001)
Lawn owners .032** .029** .011**
(.0001) (.0001) (.0001)
Lawn size –.000 –.000 –.000
(.5437) (.0515) (.4057)
Ultra-Orthodox Jews –.011** –.009 –.007**
(.0001) (.0950) (.0001)
Israeli Arabs –.052** –.040** –.027**
(.0001) (.0001) (.0001)
Russian immigrants –.013 –.050 –.01
(.2195) (.1429) (.1431)

F value 147.4** 25.0** 68.0**

Adjusted R2 .02 .02 .01
Number of observations 66,271 8968 45,168
*p < .05.
**p < .01.
Notes: p-values are in parentheses.

Demarketing, Minorities, and National Attachment / 117

 The notion that minority consumers respond favorably
to marketing efforts targeted at their minority status using
ethnically congruent stimuli is intuitive and has been sup-
ported empirically (e.g., Deshpandé and Stayman 1994;
Grier and Deshpandé 2001). However, we find that when
the marketer is the government and the product is a public
good, this notion does not apply. Specifically, we find that
majority and minority consumers behave differently with a
public good, especially one that is more symbolic. In this
respect, the tension between national and group identifica-
tion is likely to be an important force explaining behavior.
Thus, policy makers and marketers should make an effort to
identify the reference group of the different minorities: the
country or their in-group (Roccas, Klar, and Liviatan 2006;
Triandis 1995). When the reference group is not the country
and minorities may believe that what is good for their coun-
try is not necessarily good for their group, it might prove
useful to reconfigure a demarketing campaign so that it is
not linked to the benefits of the country but rather to the
personal benefits of the minority consumer.
The finding that the reaction among Israeli Arabs to the
campaign was more negative than the other two minority
groups we studied emphasizes their divergence from the
core Israeli society and its central goals. Although there are
many differences between this group and the majority of the
Jewish population, there are many common goals as well,
including regional peace, economic prosperity, and protec-
tion of the natural environment. Policy makers and mar-
keters should identify and then emphasize such similarities
and mutual goals among different ethnic groups as a means
to help decrease interethnic tension and improve the effec-
tiveness of government marketing efforts.
An important issue is that of generalizability. Although
Israel represents a unique case in which ethnicity and reli-
gion are interrelated to some extent, we believe that our
findings can be generalized to other countries in which
minority groups play an important role. Note that though
religion is central in shaping Israelis’ identity, the different
minority groups in Israel are not classified only on the basis
of their religion. Specifically, in our study we capture three
important facets of minorities—religion, ethnicity, and
immigration status—and compare Muslims (and some
Christians) and Jews, groups of Jews with different ethnic
backgrounds (Russian immigrants and ultra-Orthodox
Jews), and immigrants and nonimmigrants. Our findings
show that different minority characteristics affect demarket-
ing effectiveness through national attachment. Thus, the
findings can be related to minorities in different countries in
which minority status is dictated by these forces and issues
of national identity and attachment significantly influence
minorities’ behavior in general and their consumption in
particular. This would be the case for religious and ethnic-
based minority immigrants, such as the North African Mus-
lims in France and Mexican Americans in the United States,
as well as for religious and ethnic-based minority nonimmi-
grants, such as the Basques in Spain and African Americans
in the United States. Indeed, recent research on African
Americans and their consumption patterns suggests that
political ideology, in which issues of national attachment
play an important role, is central to understanding shopping
118 / Journal of Marketing, March 2009
and consumption as an expression of social and political
identities of different consumer groups (Crockett and Wal-
lendorf 2004).
The general demarketing effect we find is relatively
high—an average of 5.78% household water savings for the
entire population. This finding contributes to the debate in
marketing regarding the effectiveness of demarketing
efforts, at least in the context of proenvironmental products
(Deutsch and Liebermann 1985; Pechmann et al. 2003).
The validity of our results is enhanced because the “prod-
uct” examined is household water consumption, an item
with extremely low demand elasticity (Deutsch and Lieber-
mann 1985). Furthermore, in an additional analysis, we
examine the unique contribution of demarketing on the dif-
ferent studied groups beyond the various control variables.
Similar to previous demarketing studies (e.g., Andrews et
al. 2004), we find that demarketing has a significant but
incremental contribution, explaining an additional 4.2% of
the variance in household consumption.
The effect of education on different groups’ responses to
the campaign is noteworthy. First, it suggests that higher
education levels positively affect environmentally friendly
behavior. Second, it suggests that education can reduce the
negative response of minority groups. In the case of ultra-
Orthodox Jews, we find a negative interaction effect. The
reason is that high education levels in this group are associ-
ated with religious studies that are likely to limit this
group’s exposure to other types of knowledge, specifically
knowledge about environmental and ecological issues.
We find that the less wealthy households reacted more
negatively to the campaign. Although we cannot rule out
that the special features of the proenvironmental campaign
caused this difference, it may be a more general result of the
response to the demarketing efforts. This is an additional
indication of both the benefits and the limitations of demar-
keting on different sectors of the population. Another exam-
ple is the finding that household size has a negative effect in
all models, reflecting the difficulties in using demarketing
to influence children’s behavior.
Our results indicate that several groups, classified
according to minority and socioeconomic status, reacted
less positively to a national demarketing campaign. This
raises important questions for policy makers and social
marketers: How much investment, if any, should be directed
toward customizing campaigns to these groups? What is the
importance of targeting audiences on the basis of socioeco-
nomic criteria (e.g., wealth, education) versus minority sta-
tus? Our results emphasize the importance of minority tar-
geting. For example, in the case of Israeli Arabs, more than
50% of their nonresponsive reaction to the campaign can be
attributed to their minority status. Although some may
argue that, based on our results, a viable option for cam-
paign strategists is to ignore audiences that are less likely to
respond to the marketing effort, we believe that from both
sociopolitical and economic standpoints, a more appropriate
approach would be to focus attention also on minorities and
invest, at least to some degree, in campaign customization.
Although demarketing campaigns are costly, the use of
alternative approaches to reduce water consumption seems
costlier. For example, employing the water price tool to
obtain the same water savings rate would have caused a sig-
nificant regressive effect. To reduce water consumption by
nearly 6%, water prices would have had to be raised by
more than 35%, if we assume that the elasticity of demand
in Jerusalem is –.17 (Dahan and Nisan 2007). Furthermore,
investments in new desalination plants are high. Thus, the
water savings potential from a demarketing effort should be
taken into account when planning the water supply system
and designing investment plans.
The general picture that emerges from this research
should encourage policy designers and regulators to make
more use of demarketing, combining it with other policy
tools. Although the relatively clear approach of forecasting
economic effects would seem to encourage the use of direct
economic tools (e.g., price), the demarketing effect we
show herein can shed light on the potential contribution of
demarketing to policy makers. Furthermore, a better under-
standing of the way different consumer groups are willing
to participate in environmental protection activities will
make it possible to develop and target appropriate policies
and demarketing efforts at specific consumer segments to
elicit behavioral change (Granzin and Olsen 1991). Finally,
the results we report might provide a benchmark for demar-
keting effects in other environmental contexts and for other
products.
Limitations and Future Research
Directions
Our findings elicit several possible alternative explanations
that should be addressed. First, we need to rule out the
explanation that the different responses to the demarketing
effort were due to variation in exposure to the campaign by
different groups rather than to the groups’ different national
attachment levels. We first show that this is not the case by
controlling for several factors that might create variability
in reception of the campaign (e.g., household size). We then
rule out this alternative explanation by studying one of the
minority groups—Israeli Arabs—for which we had relevant
and detailed education data. Specifically, although all
Israeli Arabs were likely to be similarly exposed to the cam-
paign, their reactions varied according to association with
the education system. Indeed, Israeli Arabs who send their
children to the state education system, and therefore are
likely to have higher national attachment levels, responded
more positively to the government campaign than those
who send their children to the independent system. Finally,
we collected data on utilization of social networks by the
different minority groups and ensured that there was no sig-
nificant systematic difference among the groups that might
have affected reception of the campaign.
Second, it is important to rule out the alternative expla-
nation that minorities respond negatively to proenvironmen-
tal campaigns because they typically have lower levels of
environmental beliefs and values than majority populations.
After reviewing prior research on environmentalism and
ethnicity, we contend that this may not be the case. Specifi-
cally, a review of this issue concludes that minority and
majority populations have similar environmental beliefs and
values (Johnson, Bowker, and Cordell 2004). Furthermore,
a 2006 survey on Israelis’ concerns about environmental
issues conducted by the Pratt Foundation and Heschel Cen-
ter for Environmental Learning and Leadership shows that
Jews and Israeli Arabs share similar concerns about various
environmental topics, such as air pollution, global warming,
depletion of natural resources, noise, and water pollution.6
Overall, this provides some indication that national attach-
ment may play a more important role than consumers’ envi-
ronmental beliefs and values.
This study suffers from additional limitations that might
suggest future research opportunities. First, we studied
actual consumers’ behavior, not their motivations and atti-
tudes. Although there are substantial benefits to the use of
behavioral data and though a growing number of researchers
in marketing recommend studying actual behavior of con-
sumers (e.g., Rangan, Karim, and Sandberg 1996;
Schlegelmilch, Bohlen, and Diamantopoulos 1996), this
approach also has its weaknesses in our context. Our behav-
ioral data can inform us about what different consumer
groups are actually doing but may be limited in explaining
the reasons for such behavior. Indeed, we cannot firmly
conclude that majority and minority consumers think differ-
ently about public goods, such as water, or that different
consumers identify similarly with their minority or majority
in-group. Some prior research on ethnic groups has indi-
cated that there may be variation within minority groups
regarding identification and attachment of individuals to
their group (e.g., Deshpandé and Stayman 1994; Penaloza
1994) and that some minority individuals may simultane-
ously identify with their in-group and with the majority
group (Sidanius et al. 1997). Further research might be
valuable here, complementing behavioral data with data
based on survey and ethnographic research that will gener-
ate deeper insights into the mechanism that drives the
behavior of majority and minority consumers. For example,
research efforts in these directions may benefit from prior
ethnographic work on the underlying motivations of ethnic
consumer groups (e.g., Penaloza 1994, 1995) and from sur-
vey research on the motivations driving environmental con-
sumers (e.g., Pieters et al. 1998). Still, note that though
these research methods can provide insights into the moti-
vations and attitudes of consumers and consumer groups,
their main weakness is that they may not be able to predict
actual behavior. Second, the study was conducted in a spe-
cific country and product context. Although Israel is similar
to many other developed countries and though water
scarcity is a global environmental concern, the specific
nature of the case might limit the general applicability of
the findings. It might be useful to conduct cross-country
research on demarketing for different environmental prod-
ucts and additional cultural groups. Third, we did not study
the specific characteristics of the demarketing campaign in
depth. Because different themes and framings can differ-
ently affect a demarketing campaign’s effectiveness (Pech-
mann et al. 2003), further research should also control for
6See http://www.heschel.org.il/Media/seker06.pdf.
Demarketing, Minorities, and National Attachment / 119
these factors. Finally, the effect of demarketing over time is
not clear. In this study, it was difficult to test for the long-
term effect of the demarketing campaign because substan-
tial price changes in late 2001 made it impossible to isolate
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