ChatGPT and consumers: Benefits,Pitfalls and Future Research Agenda

The need of the hour is to encourage research on topics with newness and novelty. In this context, this article discusses multidimensional benefits and potential pitfalls of using artificial intelligence-based Chat Generative Pre-trained Transformer (ChatGPT), and provides numerous ideas for future research in consumer studies and marketing in the context of ChatGPT. ChatGPT provides algorithm-generated conversational responses to text-based prompts. Since its launch in the late 2022, ChatGPT has generated significant debate surrounding its hallmarks, benefits and potential pitfalls. On the one hand, ChatGPT can offer enhanced consumer engagement, improved customer service, personalization and shopping, social interaction and communication practice, cost-effectiveness, insights into consumer behaviour and improved marketing campaigns. On the other hand, potential pitfalls include concerns about consumer well-being, bias, misinformation, lack of context, privacy concerns, ethical considerations and security. The article concludes by outlining a potential future research agenda in the area of ChatGPT and consumer studies. Overall, this article provides valuable insights into the benefits and challenges associated with ChatGPT, shedding light on its potential applications and the need for further research.     

Shaping online consumer choice by partitioning the Web

This research explores how partitioning attributes in online search interfaces changes the valuations of those attributes—and impacts subsequent choice—such that attributes that are displayed as separate categories tend to receive greater decision weight than attributes grouped under umbrella categories. Across several choice domains—cars, dates, and hotels—we show that different attribute partitions impact the importance assigned to attributes (Studies 1 and 2), as well as consumer choices (Studies 3 and 4). We argue that these effects are due in part to users' willingness to use the implicit recommendations of interface designers to determine the importance of attributes, a willingness that extends to following explicit recommendations of online agents based on those attributes (Study 5). © 2009 Wiley Periodicals, Inc.     

A Low-Effort Recommendation System with High Accuracy

In recent studies on recommendation systems, the choice-based conjoint analysis has been suggested as a method for measuring consumer preferences. This approach achieves high recommendation accuracy and does not suffer from the start-up problem because it is also applicable for recommendations for new consumers or of new products. However, this method requires massive consumer input, which causes consumer reluctance. In a simulation study, we demonstrate the high accuracy, but also the high user’s effort for using a utility-based recommendation system using a choice-based conjoint analysis with hierarchical Bayes estimation. In order to reduce the conflict between consumer effort and recommendation accuracy, we develop a novel approach that only shows Pareto-efficient alternatives and ranks them according to the number of dominated attributes. We demonstrate that, in terms of the decision accuracy of the recommended products, the ranked Pareto-front approach performs better than a recommendation system that employs choice-based conjoint analysis. Furthermore, the consumer’s effort is kept low and comparable to that of simple systems that require little consumer input.     

The Era of the Functional Consumer

A discrete choice experiment was conducted to analyze consumer preferences for fruit and vegetable attributes in the context of the 2010 MyPlate Dietary Guidelines for Americans recommendations and to consider the role of health benefits and potential tradeoffs among fruit and vegetable quantity and quality attributes. Higher willingness to pay for fruit and vegetable attributes by the medium-high income respondents compared to low-income respondents may reflect the reality of a greater ability to pay. The magnitude of WTP toward satisfying MyPlate recommendations is substantially below the cost; therefore, it is not surprising that current consumption levels are well below the recommendation. Organic products had a stigmatizing effect for low-income respondents.     

How e-WOM recommendations influence product consideration and quality of choice: A motivation to process information perspective

A laboratory experiment examines the effects of electronic word-of-mouth (e-WOM) on consumer consideration and choice of an experience product. Specifically, we manipulated the number of consumer recommendations and the optimality of the recommended product in a realistic online shopping environment. The results indicate that e-WOM is likely to result in more time considering the recommended product. For consumers more motivated to process information, e-WOM recommendations lead to more time spent on the choice task overall. Further, consumers with less motivation to process information make suboptimal decisions based on e-WOM recommendations. Consumers with a high motivation to process information are willing to accept recommendations and switch from declared attribute preferences, but choose only optimal products.     

I'll have what she's having: (Social) Perceptions of default options and implications for marketing and decision making

The power that default options have in shaping choice has been well established, yet relatively little is known about how decision makers experience and interpret such preselected options. Research suggests that individuals assume defaults represent a recommended course of action, yet the basis for this recommendation is unclear. Across two experimental studies, we explored consumer theories of default recommendations, examining spontaneous and experimentally manipulated perceptions of the basis of the default, and the impact on decision making across different contexts. Evidence across diverse populations and tasks shows that options were retained to a greater extent when represented as the default, consistent with classic default effects. Furthermore, a significant default effect emerged when the decision context was framed as complex. In line with research on social influence, defaults were most effective when they were presumed to reflect the most popular option (regardless of context). Interestingly, participants rated defaults as being more likely to represent the most popular option, regardless of decision context or default explanation provided to them. These findings highlight the importance of understanding the contexts in which default choices are relied upon and how those defaults are perceived by decision makers.     

What Is the Right Delivery Option for You? Consumer Preferences for Delivery Attributes in Online Retailing

Nowadays, online retailers are offering a variety of delivery options consisting of varying combinations of delivery attributes. This study investigates how consumers value these delivery attributes (e.g., delivery speed, time slot, daytime/evening delivery, delivery date, and delivery fee) when selecting a delivery option for their online purchases. Mental accounting theory is used to frame the research and to suggest how mental accounts for money, time, and convenience influence consumer preferences for online delivery options. Specifically, the results of a conjoint analysis show that the most important attribute in shaping consumer preferences is the delivery fee, followed by nonprice delivery attributes. For individual attributes, significant differences are found in consumer preferences between gender and income groups. Cluster analysis reveals three consumer segments that show distinct preference structures: We identify a “price‐oriented,” a “time‐ and convenience‐oriented,” and a “value‐for‐money‐oriented” consumer segment. This study has practical implications for online retailers when implementing suitable delivery strategies and designing effective delivery options to maximize consumer satisfaction.     

On ChatGPT and beyond: How generative artificial intelligence may affect research,teaching, and practice

How does ChatGPT, and other forms of Generative Artificial Intelligence (GenAI) affect the way we have been conducting—and evaluating—academic research, teaching, and business practice? What are the implications for the theory and practice of marketing? What are the opportunities and threats, and what are some interesting avenues for future research? This editorial aims to kick off an initial discussion and stimulate research that will help us better understand how the marketing field can fully exploit the potential of GenAI and effectively cope with its challenges.     

Consumer participation in using online recommendation agents: effects on satisfaction,trust, and purchase intentions

Online product recommendation agents (RAs) are gaining greater strategic importance as a critical touch-point between marketers and consumers. Yet, the role of consumer participation in using RAs has not been examined. This study shows that greater consumer participation in using an RA leads to more satisfaction, greater trust, and higher purchase intentions, related to the RA and its recommendations. In contrast, the financial risk (associated with the product under consideration) reduces satisfaction, trust, and purchase intentions, and it also moderates the effect of consumer participation on these same variables. The findings extend the literature and suggest actionable implications for marketing strategy.     

Consumer Willingness to Pay for Seafood Safety Assurances

Despite its many health benefits, seafood consumption has declined partially due to consumers' safety concerns. Efforts to provide safety assurance to consumers have focused on provision of government inspection programs; programs that both consumer groups and the seafood industry have called inadequate. This study explores consumer preferences for a wide array of alternative safety assurances. Consumers' selection of and willingness to pay for seafood safety assurances were elicited using an in-person market-like experiment. Results indicate that consumers are able to demonstrate clear preferences and values for alternative assurances. This indicates further consumer research is warranted to provide a basis for public policy recommendations regarding seafood safety assurances.     

Preference for green packaging in consumer product choices – Do consumers care?

In this paper, consumer environmental choice is studied by analysing the relative importance of green packaging when compared with other relevant product attributes. The empirical study is based on a choice‐based conjoint analysis of preferences for functional drink products of a sample of 330 consumers using these products. Our choice‐based approach on environmental behaviour brings new insights to previous research, which predominantly relies on attitude models. Results indicate that consumers differ in their preferences for packaging, brand, price and convenience of use of daily products. In addition, various distinctive consumer segments can be identified on the market. Contrary to several previous studies, we found that the largest consumer segment, one‐third of consumers, favoured environmentally labelled packaging as the most important criteria in their choice. The findings emphasize the increasing importance of ethical and environmental dimension in product choices. We also propose that the attention in environmental consumer research should be shifted from general attitude studies towards the study of actual product choices.     

Context and Task Effects on Choice Deferral

This article reviews recent research that has examined consumer decision making when the option of not choosing any of the alternatives is provided. The attractiveness of the decision outcomes and the difficulty of choosing are posited to be two key factors that determine the preference for a no-choice option. Building on the notion that preferences are often constructed, it is proposed that task and contextual variables can alter how the choice situation is evaluated on the two factors and consequently choice incidence. Several experiments that explore and manipulate decision attractiveness and decision difficulty are reviewed, and areas for future research are suggested. We conclude with a discussion of the implications of these results for research on consumer choice.     

Online Music Consumption in Today’s Technological Context: Putting the Influence of Ethics in Perspective

Whereas in the past ‘free’ and ‘illegal’ were nearly synonymous in the music industry, consumers nowadays face a myriad of music platforms with widely different characteristics in terms of business model (advertising supported, fee based, etc.), delivery mode (streaming, downloading, etc.), and others. The current research examines music consumption preferences in this new context. In order to break with the outmoded free-illegal versus paid-legal dichotomy, the present research studies consumer preferences for a broader range of music platform attributes, including free versus paying business models, (il)legality of use, artist revenues, downloading versus streaming, and audio quality. Based on a literature review and a qualitative study with in-depth interviews (N = 92), an online conjoint survey (N = 764) quantifies online music preferences. Results show that consumers of all ages clearly and consistently prefer legal and ethical options if available, but favor different ways of making this economically viable. Youngsters and young adults are more open to advertising, while middle-aged adults are more often willing to pay for advertising-free platforms. Thus, in real-life choices, youngsters may appear to be less ethical and law abiding, but the driving force behind this is mainly economical. Finally, a market segmentation provides deeper insights into online music consumer preferences and leads to recommendations on how to define viable legal and ethical music offerings.     

Tradeoffs Between Price and Quality: How a Value Index Affects

The present research examines how the availability of information about the value of a product, expressed as a ratio of the quality received per dollar, influences preference formation. This index, similar to unit price which provides information about how much quantity is received per dollar, presents consumers with information regarding the quality received per dollar. An experiment that compares consumers' preferences inferred from a choice task with their preferences inferred from a conjoint task was conducted. In the choice task consumers selected the most attractive alternative from a set of options, while in the conjoint task the attractiveness of each option was rated. Consumers, presented with an index of quality received per dollar paid (the value index), are more likely to choose a lower priced, higher value option rather than a higher priced, higher quality option compared to consumers presented with only price and quality information. Clearly, how a consumer chooses to “get the best for his or her money” depends on the ease with which information about the choices can be processed.     

Are consumers heterogeneous in their preferences for odd and even prices? Findings from a choice-based conjoint study

While marketing theories provide some justification for the common practice of setting 9-ending prices, the results of empirical studies are not conclusive on the effects of odd pricing. Nearly all empirical studies have been conducted at the aggregate consumer level, thereby implicitly assuming that consumers respond to odd prices homogeneously. In this research, we analyze consumers' preferences for 9-ending versus 0-ending prices at the individual level. Our findings suggest that some consumers strongly prefer 9-ending prices, whereas other consumers favor 0-ending prices. We further address the existence of level effects and investigate the influence of consumer characteristics on preferences for odd prices.     

A New Look at Constructed Choice Processes

Normative models of choice assert axiomatically that preferences are consistent, coherent, and determined only by relevant alternatives. In contrast to this classical economic perspective, behavioral models derived from research in psychology and consumer behavior assert that preferences are not guided by an internal, stable utility function but are constructed during the choice process. The current paper is based on a session on constructed choice processes (CCP) at the 2004 Choice Symposium that focused on how the standard CCP model can be enriched by bringing theories and tools from modern research in social cognition to bear on choice phenomenon. The richer conceptual framework presented by new, currently unpublished empirical work provides a novel perspective on choice construction by integrating the roles of subjective construal, experiential information, attribution, goals, and satisfaction in understanding preference construction processes in choice.     

Cross-National Sensory Segments in the Organic Market Based on Stated Preferences for the Five Basic Tastes

Taste is one of the most important motivations for purchasing food. Studies regarding sensory preferences for specific product categories prove that consumers differ in their liking of sensory attributes. However, little is known about general consumers’ taste preferences that are not related to a certain product. Therefore, this study analyzes if patterns of general taste preferences exist, and how they can be characterized. To this end, 1,796 organic consumers from six different European countries, interviewed as part of an EU-funded research project between October 2010 and February 2011, were segmented based on their stated preferences for the five basic tastes: sweet, salty, sour, bitter, and umami. Seven consumer segments were identified. They differed in their size as well as in their distributions of gender, age, and organic consumption frequency. All seven taste patterns can be found in each of the six study countries. As an approach toward stronger marketing-oriented sensory research, this study shows that a consumer segmentation based on general taste preferences as a fundament for sensory marketing is meaningful and promising.     

Does Processing Level Affect Vegetable Region of Production Certification Preferences?

While a number of U.S. agricultural industries have implemented a region of production (ROP) certification, little research has focused on ROP valuation associated with both whole and processed forms of a food product. Understanding consumer preferences toward certified products sold in multiple forms is critical to the success of a new certification program in an industry that sells products at multiple levels of processing. This study examines preferences for a possible ROP-certified vegetable across two product forms: fresh and processed. Discrete choice analysis was conducted using data collected from an online panel survey of 553 U.S. food consumers. A chile pepper product’s ROP was deemed important by participants, although the ROP certifier appears to matter less than other potential certifications (e.g., safety, quality). Differences in the importance of ROP between product forms suggest a single certification can have disparate effects on consumer preferences for different forms of a ROP-certified vegetable.     

Personalization without Interrogation: Towards more Effective Interactions between Consumers and Feature-Based Recommendation Agents

Software agents that provide consumers with personalized product recommendations based on individual-level feature-based preference models have been shown to facilitate better consumption choices while dramatically reducing the effort required to make these choices. This article examines why, despite their usefulness, such tools have not yet been widely adopted in the marketplace. We argue that the primary reason for this is that the usability of recommendation systems has been largely neglected – both in academic research and in practice – and we outline a roadmap for future research that might lead to recommendation agents that are more readily adopted by consumers.     

A tale of two recommender systems: The moderating role of consumer expertise on artificial intelligence based product recommendations

Recommender systems are used in e-Commerce websites to make product recommendations or deliver personalized content to users. We constructed a beer recommendation program using review data from existing online community to test the hypotheses. This research aims to bridge the gap between marketing and computer science by investigating the moderating effects of consumer knowledge (expertise) on the performance and evaluation of two widely-used recommendation systems – user-based collaborative filtering and content-based. The results show that expert consumers prefer user-based collaborative filtering systems, whereas there is no difference between the two systems among novice consumers. Theoretical and managerial implications are discussed.