The effect of product touch information and sale proneness on consumers' responses to price discounts

Since price discounts are costly and can negatively affect consumers' perceptions of quality, it is crucial to identify the factors that make them effective in stimulating purchase behavior. Drawing on cue utilization theory, we examine price discount effectiveness in affecting consumers' reliance on the sale cue based on the provided product touch information as an intrinsic cue and individual consumer differences in sale proneness. Two experimental studies indicate that price discount information, product touch information, and sale proneness interact to determine consumers' responses. Perceived quality is the underlying mechanism behind the observed effects. For nonsale-prone consumers, product touch information favorably influences responses to large price discounts by addressing product quality concerns and enhancing purchase confidence, but has no effect for regularly priced or low discounted products. For sale-prone consumers, product touch information is not effective in increasing their responses regardless of the discount size. A qualitative study provides support for these results and highlights the role of perceived quality and purchase confidence. The research contributes to behavioral pricing, cue utilization theory, and sensory marketing and suggests that marketing managers should provide consumers with product touch information when implementing high discounts for products for which prepurchase touch is important.     

Antecedents of Green Brand Equity: An Integrated Approach

A steady demand for green products from concerned consumers has led companies to introduce new product lines that match or exceed consumer environmental concerns. Nonetheless, not all the organizations were able to achieve significant returns on their investments in green products. These failures are generally attributed towards companies’ inability to overcome consumer scepticism towards the performance of functional and green attributes of their brands to generate a positive green image and green value in consumers mind. Therefore, the question arises that does the success in promoting green brand image and value depend on consumer existing perceptions about the brand quality and credibility? This study analyzes the influence of brand perceive quality and credibility on consumer perceptions towards a brand green image, green value and green equity. A theoretical model with hypothesized relationships is developed and tested to answer these research questions. Data have been collected from the consumers of electrical and electronic goods. The hypothesized relationships were tested with the help of structural equation modeling procedure. The results suggest that brand perceived quality and its overall credibility does have a significant influence on generating a greener image, green perceive value and green brand equity.     

Effectiveness of Marketing Cues on Consumer Perceptions of Quality: The Moderating Roles of Brand Reputation and Third‐Party Information

Consumers usually infer unobservable product quality by processing multiple‐quality cues in the environment. Prior research considering the simultaneous effects of marketing cues on consumer quality perceptions is sparse. Despite the growing importance of third‐party information, research examining its simultaneous effects with marketing cues on consumers’ decision making is especially absent. This research, drawing on cue‐diagnosticity, cue‐consistency, and negativity bias theories, proposes and tests a conceptual framework to reveal interplays among various marketing‐ and nonmarketing‐controlled product cues. The first study examines how two‐ and three‐way interactions of high‐scope (i.e., brand reputation) and low‐scope marketing cues (i.e., price and warranty) affect consumer perceptions. The second study examines a set of interaction effects between third‐party quality ratings and marketing cues (i.e., price and warranty) on consumers’ perceptions. Overall, the results reveal theoretical and managerial implications for processing multiple‐quality cues in consumers’ inference‐making behaviors and suggest that consumers generally aggregate perceptions in more complex ways than suggested in the prior literature when making global product quality evaluations.     

Country of origin: A competitive advantage?

Country of origin has been identified in the literature as an important cue that might be used by global marketers to influence consumers' valuation of the brand. Its effect on consumer perceptions, affect and behavioral intentions has been widely documented, based on consumer surveys and laboratory experiments. Despite this empirical evidence, we argue that country of origin is only one extrinsic cue among many extrinsic and intrinsic cues available to the consumer in a real purchase situation. Furthermore, in real life, consumers are likely to engage in some level of information search, which would further dilute the country of origin effect in the marketplace. Based on these arguments, we conclude that country of origin might not necessarily lead to a competitive (dis)advantage in terms of a price premium or discount. For a sample of products, we show that the objective product quality varies significantly by country of origin, and that these differences are consistent with extant research on country of origin effects on consumers' perceptions. After controlling for quality differences across brands, we demonstrate that marketers from different countries charge prices that are justified by differences in product quality. Price premiums or discounts are therefore explained by differences in product quality rather than the image effect produced by the country of origin cue.     

Stakeholder Perceptions of Offshoring and Outsourcing: The Role of Embedded Issues

We contribute to the study of offshoring and outsourcing by examining how stakeholders’ ethical evaluations of these decisions are influenced by both their roles and the issues embedded within the decisions. Although offshoring and outsourcing have been studied from a transactional perspective, the moral issues embedded within these decisions can profoundly affect how the organization is perceived by outside stakeholders. First, we contend that investors use different moral paradigms compared with consumer stakeholders, as a result the stakeholder role an individual occupies significantly influences their ethical evaluation of offshoring and outsourcing decisions. Next, we examine whether embedded issues of product quality and information security increase the moral intensity of offshoring and outsourcing decisions, thereby negatively influencing ethical evaluations. Using vignettes, we find that respon- dents viewed either offshoring or outsourcing less favorably than relocation. Surprisingly, respondents viewed offshoring with data security risks more negatively than offshore outsourcing with quality risks, suggesting that the issue of information security has a greater moral intensity than the issue of product or service quality for both consumer and investor stakeholders. Thus, we show that that embedded issues play a significant role in stakeholders’ ethical judgments of business decisions, such as offshoring and outsourcing.     

See How Much We’ve Sold Already! Effects of Displaying Sales and Stock Level Information on Consumers’ Online Product Choices

Many online retailers make sales and stock level information live available to customers on their websites and offline retailers also increasingly can display this information. Yet it is unclear how consumers perceive such information and how it influences consumer choice. High sales and low stock may both signal popularity and quality, which will stimulate further sales. We however argue that sales level is more diagnostic than stock level as a cue and hence the effect of sales level on consumer choice will be stronger than that of stock level. Also, when both cues are available, the effect of sales level is expected to dominate. In addition, brand familiarity is expected to moderate these effects. These hypotheses are tested in two scenario-based online experiments in which participants choose between competing products for which information about either sales levels, stock levels, or both sales and stock levels is displayed. Results support the hypotheses and also show that sales level is indeed a more diagnostic cue than stock level. Analyses further reveal how perceptions of the popularity and quality of a product mediate the effects of sales and stock levels on consumer choice. The findings imply that retailers can successfully use sales and stock level information to induce quality perceptions and influence consumer choices.     

Effects of voice assistant recommendations on consumer behavior

The present study compares the influence of text-based recommendations; traditionally known as online consumer reviews, and the influence of voice-based recommendations provided by voice-driven virtual assistants on consumer behaviors. Based on media richness theory, the research model investigates how voice versus text modality influences consumers' perceptions of credibility and usefulness, as well as their behavioral intentions and actual behaviors. In addition, the study analyses if these relationships vary based on the type of product and compares the influence of masculine and feminine voices. Two studies were conducted using between-subjects experimental designs, partial least squares-structural equation modeling, and logistic regression. The core finding is that voice-based recommendations are more effective than online consumer reviews in altering consumer behaviors. In addition, the first study showed that the influence of recommendations on behavioral intentions is mediated by consumers' perceptions of their credibility and usefulness. The second study confirmed, in a realistic setting, that voice-based recommendations affect consumer choices to a greater extent. Recommendations for search products and provided by males are also found to be more effective. These results contribute to the voice assistant and e-WOM literature by highlighting the effectiveness of voice-based recommendations in predicting consumer behaviors, confirming that credibility and usefulness are key factors that determine the influence of recommendations, and showing that recommendations are more effective when they focus on search products.     

The Quality Dimensions of Internet Retail Food Purchasing

ABSTRACT

This exploratory study examines relevant factors affecting consumers' evaluation of product and service quality in the context of Internet retail food purchasing. A total of 489 anecdotes, written by online consumers based on their own shopping experience, were collected and content analyzed. In turn, 18 quality dimensions and 58 sub-attributes were identified. The asymmetric effect of positive and negative attribute-level performances on consumer dis/satisfaction was discussed. The impact of two delivery strategies on consumers' perceived quality was also examined. Finally, managerial implications and recommendations were provided in order to pave the way for possible improvement of the quality of Internet retail food purchasing and, in turn, consumer satisfaction.     

Impact of national traumatic events on consumer purchasing

The purpose of this research is to evaluate differences in consumer perception before and after national traumatic events such as the terrorist attacks that took place on 11 September 2001. The authors found a significant difference in consumer ethnocentrism, patriotism, time management, attitude towards regulation of business and product quality following the terrorist attacks. These differences impact consumer purchase decision processes and become important to businesses that are targeting these consumers with their product offerings. In addition, marketing managers' understanding of change in consumer perceptions and attitude should impact how consumer products are marketed.     

Consumers' perceptions of food packaging: an exploratory investigation in Potchefstroom,South Africa

Consumers form perceptions of various food products through their comprehension of the visual stimuli on food packaging that attract their attention. These perceptions directly affect their purchasing decision at the point of purchase, which emphasizes the importance of attention‐capturing packaging attributes. However, little research is available regarding consumers' perceptions of food packaging, especially in the South African context. This study aimed to explore a sample of South African consumers' perceptions of food packaging and how these perceptions were formed through the perceptual process. A qualitative, exploratory study was conducted by means of 25 semi‐structured interviews and through the use of ambiguous mock packaging as a projective technique. Participants were questioned regarding their general perceptions of food packaging. The attention‐capturing ability of packaging as well as consumers' interpretation of this packaging after exposure to the mock packaging was also discussed. Findings from the study indicated that participants mainly based their perception of food packaging on its functional (being purposive, recyclable and informative) and physical attributes (being attractive, of high quality and hygienic). This study also indicated that information and visual attributes of packaging are important to gain consumers' attention in‐store. Participants' comprehension of packaging included general associations of specific food products with certain types of packaging, such as associations with quality and shelf life. Negative associations with packaging mostly entailed difficulty to handle the product, poor quality of the product and environmental problems. This study identifies those product attributes that participants regarded as the most important stimuli for forming positive perceptions regarding food packaging. It is important for manufacturers to pay attention to the information on perceptions that was gained in this study, as it might help them to create packaging that better fulfil consumer needs. These findings could also be applied in a larger study of a quantitative nature, which will ultimately result in more positive consumer shopping experiences and consumer satisfaction regarding food packaging.     

基于网络的消费者社会互动及管理研究

消费者的购买决策受到其他消费者意见和行为的影响,现代技术的发展极大地提升了消费者社会互动作为市场力的重要性,同时信息技术的发展也为企业促进这两种社会互动创造了越来越多的机会。通过介绍口碑传播和观察模仿的内涵,分析其对销售的不同影响及产品生命周期对消费者社会互动的影响,认为企业应在产品的投入期关注消费者社会互动,应在网站上提供现有消费者的选择信息,应慎重提供消费者发布评语的平台,应区分不同等级的顾客;应根据不同的产品市场状况,制定不同的反应策略,正确应对第三方的产品评论,以此管理消费者的社会互动。     

“Made in Country” Versus “Made in County”: Effects of Local Manufacturing Origins on Price Perceptions

Consumers often use an array of extrinsic and intrinsic attributes to infer product quality and to assess monetary sacrifice. However, literature reveals little about how and if consumers would use information on product's manufacturing origins differently if it was national rather than local. In two studies, the role played by uncertainty in judgments of the quality of locally made products is examined. It is shown that when consumers are motivated to process information and quality ratings are high, local identity effects are elicited and monetary sacrifice perceptions are diminished. These results suggest that favorable quality ratings need to be prominently featured when promoting locally made products, and that locally made products are preferred to national ones only when quality is not a concern.     

Do green packages lead to misperceptions? The influence of package colors on consumers’ perceptions of brands with environmental claims

Consumers need accurate information about brands’ environmental impacts to guide their purchase decisions. Researchers have studied consumers’ perceptions of green products and marketers’ environmental claims. Policy makers provide guidelines to minimize deceptiveness of environmental claims. Yet, little attention has been paid to what contextual cues can influence consumers’ judgments of environmental claims and green products. Drawing on conceptual fluency theory, the current research proposes that a color that matches the content of a message makes the information easier to process, thereby increasing the appeal of the message. The authors demonstrate that using the color green on a product’s package can enhance consumers’ perceptions of the brand’s environmental impact. Ironically, this positive effect of green can also lead to consumers’ misperceptions of the brand’s environmental impact if green is used for brands that are not environmentally superior. Implications and suggestions for policy makers, marketers, and consumers are provided.     

Validating the search,experience, and credence product classification framework

Prior research identifies the influential factors for patronage intentions as product classes, retailer attributes, and risk perceptions. The Internet's ability to offer easy information search, therefore to reduce certain types of risk for products mandates evaluation of a new product classification framework called Search, Experience, and Credence. To test the nomological validity of the SEC-framework, this study investigates whether the SEC-products influence the (1) level of importance consumers place on retailer attributes, (2) level and types of risks consumers perceive, and (3) consumer patronage intentions for Internet and physical stores. The relationships between the (4) importance consumers place on retailer attributes and their risk perceptions, and (5) risk perceptions and patronage intentions for Internet and physical stores are investigated. The findings indicate while the importance of retailer attributes is equally significant across the four product classes, the SEC-products influence consumer risk perceptions and purchase-intentions for online and physical-stores. The relationship between important retailer attributes and risk perceptions is also significant.     

Perceived assortment and consideration of customized products

Customization in the marketplace has become much more commonplace as information technology and flexible manufacturing systems continue to evolve. Consumer research into customization decisions has subsequently examined the implications of customization as compared to traditional assortment product offerings, finding that customization yields both positive implications for consumer preference matching as well as higher evaluations of retailers, chosen products, and even the process itself. The present research examines the implications that customization of products has on consumers’ decision processes, and on their perceptions of assortment and how they consider products. Two experimental studies suggest that customization decisions may negatively affect consumers’ perceptions of assortment, while also reducing the number of alternatives they consider, and that this in turn may have implications for their evaluation of, and willingness-to-pay for, customized products.     

Decision-making mechanism of online retailer based on additional online comments of consumers

With improving capability of providing online comments, more and more e-business firms have been developing their online platforms that enable consumers to offer their comments and user experiences. However, there might be conflicting information contained in initial and additional consumer comments, and that information have different value perceptions for potential consumers. Therefore, it is of great significance for online retailers to investigate subsequent rounds of comments and their relationship with potential consumers' purchasing decisions. Enriching the relevant literature, we develop an analytical model to analyze the impact of online retailers' after-sales service on their profits, leading to discussions of the decision-making mechanism of online retailers. The results show that product pricing is influenced by consumers’ perceived utility through after-sales service, and product-demand mismatch and after-sales service quality play important roles in the performance of the online retailer and the after-sales service expand the amount of positive additional comments, and earn the retailer more profits.     

Physicians' perceptions of consumers' attitudes: satisfaction,quality and selection criteria

A mail survey of physicians from Sacramento, California, elicited information on perceptions of consumer satisfaction, service quality for 10 types of service providers including physicians and the importance ratings of 12 choice criteria for the selection of a physician by consumers. The two most important selection criteria for physicians as perceived for consumers by physicians were ‘consumer's previous experience with provider’ and ‘reputation/recommendation’. The results are compared with an earlier consumer survey.     

The influence of social capital through social media: a study of the creation of value in shopping behaviour

When consumers access information from groups through social network sites (SNSs), they develop social capital in the form of bonding and bridging ties with these groups. The purpose of this study is to investigate the influence of these bonding and bridging behaviours on consumers’ use of the social network information (SNI) gained from SNSs in their purchasing decisions. The study integrates constructs from the Technology Acceptance Model and the concept of flow to examine how these behaviours influence consumers’ perceptions of how useful the SNI is, of how easy the SNI is to use, and how they engage with SNI. The study utilizes structural equation modelling to examine questionnaire data from a random sample of social network users. The findings demonstrate that bonding and bridging ties influence consumers’ perceptions of the usefulness and ease of use of the information provided by SNSs, and therefore influence their use of the information when making shopping decisions. In addition, consumers who access SNI through bonding ties are likely to have flow experiences which further contribute to their use of the information. This study makes a theoretical contribution by expanding knowledge of the social capital influences on consumers’ perceptions of the value of the social media shopping experience.     

Enhancing Poultry Industry Competitiveness: Consumer Perspective on Chicken Meat Quality Based on Sensory Characteristics

The increasing demand for chicken meat has caused producers to increase their productivity through enhanced production techniques. Further increase in demand for quality meat products has been predicted in the country. This study seeks to investigate factors that influence consumer perception toward chicken meat quality. Face-to-face interviews were carried out with 569 consumers at selected shopping malls located in Klang Valley areas. The majority of the respondents perceived quality as an important criterion for buying decisions. The finding revealed that nine factors have influenced consumer perception on meat quality, namely color, size, springiness, chicken aroma, fatty/oily taste, sweetness, visible fat, tenderness, and fibrousness. Among these factors, tenderness was found to be the most important criterion that influenced consumer preference toward chicken meat quality during buying decisions. Good production practices and proper marketing strategies are among recommendations to poultry industry players toward fulfilling consumer demand for good quality chicken meat.