Multiple reference effects in service evaluations: Roles of alternative attractiveness and self-image congruity

Customer satisfaction and service evaluation research has examined the reference effect but largely adopted an expectancy-disconfirmation paradigm that focuses on referents centered on the product or service in question. This study examines two additional reference effects, alternative attractiveness and self-image congruity, and their interaction. The framework of multiple reference effects in service evaluations integrates insights from regret theory, the investment model of interpersonal relationships, and self-image congruity theory. An empirical study of a hairstyling service confirms that comparisons involving other-object and self-based reference points contribute significantly to consumer service evaluations. Self-image congruity has the most significant impact on both customer satisfaction and commitment judgments. In general, the negative effect of alternative attractiveness on both customer satisfaction and commitment becomes weaker as the level of self-image congruity increases; as long as consumers find a good fit between their self-image and the service image, they are less likely to consider alternative services. However, for consumers with high self-image congruity with the focal service, the presence of an attractive alternative may induce them to exhibit an enhancement bias or “play up” effect (i.e., report higher satisfaction with the focal service).     

Functional matching effect in CRM: Moderating roles of perceived message quality and skepticism

By applying the functional matching effect to the domain of cause-related marketing (CRM), this study examined the conditions under which the CRM message matching to attitude bases would elicit greater persuasion. In this study, a matched (or mismatched) CRM message is represented by the ad message featuring an argument that matches (or mismatches) consumers' primary motivation for purchasing the product supporting a social cause. Using a before-and-after experimental design, the perceived message quality and consumer skepticism about CRM practices were tested as moderators of the relationship between the functional matching of arguments and persuasion. This study assessed persuasion by measuring attitudes toward the CRM ad and the brand, and purchase intention. As expected, the functionally matched message appeared to generate greater persuasion when the argument was perceived to be strong. Additionally, low skeptics showed more favorable responses to the matched message compared to high skeptics. Theoretical and managerial implications were discussed to enhance the persuasiveness of CRM messages.     

Schema-ing with color and temperature: The effects of color-temperature congruity and the role of non-temperature associations

The present investigation utilizes schema congruity theory to predict when consumers use or do not use color-temperature associations to make downstream judgments of products. The results of five studies reveal that consumers use red-heat (blue-cold) color-temperature associations when the triggered red (blue) schema has no active non-temperature associations during product selection. In these cases, color-temperature congruity (red-heat and blue-cold) leads to more positive responses than color-temperature incongruity (red-cold and blue-heat). Additionally, the findings indicate that consumers do not use color-temperature associations when the situation activates both temperature and non-temperature associations for the red or blue schema (red-sales promotions or blue-trade dress). In these instances, consumers negate the influence of color-temperature associations in favor of non-temperature associations. This indicates that color-temperature congruency or incongruency does not affect downstream consumer responses because of a shift in the salience of schematic associations that weakens the influence of color-temperature associations.     

The Relationship between Mutual TSI and Interfirm Contracts: The Moderating Effect of Strong Ties

ABSTRACT

Purpose: This study examines the influence that tie strength has on contractual relationships between exchange parties with specific investments and also explores the role of network intensity in contractual relationships between buyers and suppliers. We hypothesize that the relationship between transaction-specific investments (TSIs) and contracts is moderated by network intensity.

Methodology: An empirical test is carried out by analyzing buyer–supplier relationships of manufacturing companies. The construct measures were based on those obtained from prior research, and the reliability and validity were established using exploratory and confirmatory factor analysis. The overall measurement model was then assessed with structural equation modeling using AMOS.

Findings: We focus primarily on contract variables as a governance mechanism that can be affected by the strength of ties among firms and the results of our empirical study indicate that supplier TSIs improve the use of informal contracts while the use of formal contracts undermines the effect on supplier TSIs. In addition, we found that firms with weak ties with their partners in the network are more likely to use both formal and informal contracts than those with strong ties.

Contribution: Our study has several contributions. First, our research improves the understanding of the relationship between TSIs and the choice of contracts as a governance mechanism, especially for mutual TSIs. Second, our research improves our understanding of the network strength in the context of business-to-business relationships extending the understanding of the relationship intensity among firms in a network. Third, we focused on the effects of network intensity on contractual relationships.     

User-generated product reviews on the internet: the drivers and outcomes of the perceived usefulness of product reviews

This study examines how people cope with the user-generated product reviews (UGPRs) found on various websites where anonymous web users post and share their personal product usage experiences. Based on information processing model of communication, we postulate that there are source, message, media, and receiver factors to influence individuals' psychological processing of the UGPR messages, and its subsequent behavioral outcomes. A survey was administered by a professional market research firm to 262 randomly selected US residents from 18 to 55 years old. Consistent with the predictions, the results of the structural equation modeling analysis showed that the perceived source expertise, message objectivity, website credibility, and receiver–source similarity had positive and direct impacts on the perceptions of UGPR usefulness, which, in turn, positively influenced individuals' willingness to share product reviews with others. A series of causal model invariance tests also confirmed that the findings were statistically invariant across different subgroups divided by such factors as product categories, websites, subjective product class knowledge, past UGPR experience, and the susceptibility to informational influence.     

Schema strength,processing opportunity,and the rewarding nature of incongruity resolution in advertising

Extant literature calls for more research to identify the boundary conditions as well as the process underlying the effects of ad messages that violate specific brand beliefs. This paper examines different levels of ad–brand incongruity, considering brand schema strength and processing opportunity as factors that influence the perception and the resolution of incongruity. Moreover, it provides empirical evidence for the process mediating attitudinal responses to ad–brand incongruity. Experiment 1 shows superiority for moderately incongruent ads over congruent and extremely incongruent ads which is eliminated when participants have a weak, as opposed to a strong, brand schema. Experiment 2 replicates the nonmonotonic pattern for strong, real brands but further shows that low processing opportunity favors congruent ads. Mediation analysis reveals that the psychological satisfaction experienced during the ad interpretation process has an asymmetric mediating effect, such that moderate levels of ad–brand incongruity generate highest levels of satisfaction which then leads to more positive responses.     

The influence of gender,social cause,charitable support,and message appeal on Gen Y's responses to cause-related marketing

Abstract

This study examined the influence of gender, type of social cause, amount of charitable support, and message appeal on Gen Y consumers' attitudes and purchase intentions towards an apparel brand within the context of cause-related marketing. A questionnaire, with an experimental design component, was administered to a sample of 562 Gen Y college students. Results suggest that Gen Y consumers are more likely to form positive attitudes towards an apparel brand when the amount of the charitable support is clearly communicated. Gender did not influence attitude towards brand, but did predict purchase intentions. Attitude towards brand, subjective norm, evaluation of the advertisement, and involvement in social causes were strong predictors of purchase intentions. When developing CRM initiatives, marketers should consider Gen Y's involvement in a social cause (e.g. volunteerism) rather than their stated interest in the given cause, and they would be well advised to state precisely (in advertisements) the amount of monetary contribution made to charitable causes.     

Effects of game‐product congruity on in‐app interstitial advertising and the moderation of media‐context factors

Advertising has become one of the major sources of game apps revenues and interstitial ads, in particular, are the most used monetization method among the types of in‐game mobile ad formats. Interstitial ads overlaid on top of a mobile game app have more obvious advertising intent and a higher degree of forced exposure and perceived intrusiveness. This study examined how the degree of congruity (high vs. moderate vs. low) between the promoted products in interstitial ads and the mobile game app environment affects consumers’ responses. The moderating effects of media‐context factors (i.e., excited– or calm–happiness game types and game immersion) were further assessed. The results of two experiments revealed that game‐product congruity lead to better consumers’ responses toward ads and advertised products. The positive effects of game‐product congruity were more salient when consumers played calm–happiness games and were less immersed in the game. Theoretical implications on integrating perspectives across disciplines such as schema theory, happiness, and immersion within the media‐context framework, as well as practical suggestions are discussed.     

Impact of marketing activities on relationship quality in the Malaysian banking sector

The current study investigates the impact of marketing activities on relationship quality in the Malaysian banking sector. Analysis of survey results show that greater client and employees' relational orientation yields higher relationship quality and results in better relationship continuity. Results also show that committed client relationships lead to client satisfaction, loyalty, positive word of mouth and promotion However, mutual disclosure was found to have no significant relationship with relationship quality.This may indicate that bank customers in Malaysia do not feel that having close relationships with the bank will have any positive impact on relationship quality. This particular finding may serve as a warning signal to practitioners and scholars alike that thorough research must be carried out on the use of relationship marketing prior to implementation.     

Exploring effects of source similarity,message valence,and receiver regulatory focus on yelp review persuasiveness and purchase intentions

This study is among the first to investigate the impact of message, source, and receiver characteristics on user attitudes toward Yelp reviews, with the subsequent impact of these attitudinal evaluations on review persuasiveness. Specifically, it examines the roles of review valence (positive/negative) and sidedness (one-sided/two-sided), as well as perceived similarity with the reviewer, on user perceptions of helpfulness, trustworthiness, and credibility of the review. The study also tests moderating effects of perceived source similarity and user regulatory focus on the relationships among message characteristics, attitudinal variables, and purchase intentions. Our results disconfirm the negativity bias reported in previous studies and indicate that positive reviews are perceived as more trustworthy, credible, and helpful than negative or two-sided reviews. Review helpfulness and credibility, in turn, positively impacts its persuasiveness, with regulatory focus playing a complex nuanced role in the persuasiveness – behavioral intentions relationship. Based on the findings, future research avenues and managerial implications are proposed.     

The effects of influencer type,regulatory focus,and perceived authenticity on consumers' purchase intention

Companies often use influencers to promote their products, and many celebrities have expanded their activities on social media as influencers. In this work, we classified influencers into celebrity and noncelebrity groups and analyzed how they affect consumers' purchase intention. We also analyzed how psychological variables, such as regulatory focus and perceived authenticity affect this process. We conducted three studies with consumers in China, South Korea, and the United States who participated in each between-subjects experiment. The results showed that people have higher purchase intention for products recommended by noncelebrity influencers than those recommended by celebrity influencers. We also found that regulatory focus moderates the relationship between the influencer type and consumers' purchase intention. Purchase intention for products recommended by noncelebrity influencers were stronger among prevention-focused consumers. However, no significant difference in the effect of influencer type was found among promotion-focused consumers. We found that perceived authenticity mediated this moderating effect. The results of this study provide effective marketing strategies and implications for companies when they use influencers as a tool for marketing activities.     

What influences the relationship between customer satisfaction and repurchase intention? Investigating the effects of adjusted expectations and customer loyalty

This study examines how loyalty influences the relationship between customer satisfaction (CS) and repurchase intention (RPI). Considering the effect of time, the study introduces adjusted expectations, which are expectations updated after consumption experience. The present study investigates the role of adjusted expectations in the CS–RPI link. With structural‐equation analysis, the proposed model was tested in the family‐restaurant setting. The results show that adjusted expectations can mediate the effect of CS on RPI. The results also indicate that processes underlying the CS–RPI link are different between low‐loyalty and high‐loyalty customers. Specifically, the transient route, which reflects the indirect path from CS to RPI via adjusted expectations, has a greater impact for nonloyals than for loyals. On the other hand, the chronic route, which represents the direct path from CS to RPI, has a greater impact for loyals than for nonloyals. CS is found to have no direct influence on RPI for low‐loyalty customers. © 2004 Wiley Periodicals, Inc.     

Moderating effects of consumer empowerment on the relationship between involvement in eco‐friendly food and eco‐friendly food behaviour

This study investigates the moderating effect of consumer empowerment on the relationship between involvement in and purchase behaviour towards eco‐friendly food. It uses the generalized linear model, with data from the 2017 Research on Food Consumption. The results showed that gender is related only to involvement in eco‐friendly food and this involvement is higher for women than for men. Moreover, involvement in eco‐friendly food, purchase empowerment, engagement empowerment and frequency of buying eco‐friendly food increase as age increases, with the highest increases observed at ages 40–49 and 50–59; the score for those older than these age groups was much lower, resembling an inverted U shape. Groups with high education and income levels presented high scores for involvement in eco‐friendly food, purchase empowerment, engagement empowerment and frequency of buying eco‐friendly food. Regarding the effects of involvement in eco‐friendly food, purchase empowerment and engagement empowerment on the frequency of buying eco‐friendly food, the main effects of involvement in eco‐friendly food and purchase empowerment as well as the interactive effects between involvement in eco‐friendly food and engagement empowerment were statistically significant.     

Advertising to the masses: the effects of crowding on the attention to place-based advertising

Advertising situated in environments where people congregate or pass through on their way to somewhere else benefit from being placed in such high traffic areas. However, these strategically placed ads also suffer from conditions of human crowding that prevents them from being noticed and processed. We undertake a study of place-based advertising in a shopping mall using facial recognition software to determine the effect of human density on the attention directed to advertising. We find that as human density increases, attention to advertising decreases, but only to a point where it begins to increase again. Our research also finds that human density plays a moderating role on the motivation to process advertising.     

The ties that bind us: examining relationship marketing orientation and its impact on firm performance in the information systems outsourcing services sector

The objective of this study is to analyze the adoption of a relationship marketing orientation (RMO) by firms in the information systems (IS) outsourcing service sector. The study frames RMO as a hierarchical, reflective construct which models seven dimensions including bonding, communication, empathy, harmonious conflict resolution, shared value, trust, and reciprocity. A sample of 114 senior executives from firms in the IS outsourcing industry in Hong Kong were obtained from a survey. Empirical analysis via structural equation modeling confirms the hierarchical, seven construct reflective structure of the RMO model, and the high levels of a firms’ RMO lead to a direct positive impact on firm performance outcomes. The findings provide valuable managerial insights for measuring and managing an RMO in the IS outsourcing sector, and professional services generally. Both theoretical and practical implications are discussed along with future research directions of the study.     

The relationship between the marketing mix and share of category requirements

A criticism of purchase-based brand loyalty measures is that they are confounded by the marketing mix variables that affect brand choice. This paper investigates the magnitude and direction of the associations for share of category requirements (SCR), defined as each brand's share among the group of households who bought the brand at least once during the time period under consideration. We discuss the theoretical foundations for the relationships between SCR and a set of marketing mix variables (price, promotions, retail distribution) and conduct a latent structure regression analysis of brand-level data to test these relationships. We find that, although the relationship between the marketing mix variables and SCR is statistically significant, in real terms the magnitude of the association is fairly low.     

A marketing perspective on the rise of China: monopoly,politics and value

Abstract

As researchers in the social sciences seek an understanding of the spectacular rise of China, the seemingly counterintuitive stance of an autocratic regime attaining such sustained economic performance challenges multiple analytical frames. The relatively ponderous responses of the United States and Europe to recent global conditions, and the democratic uprisings in Arabic states, further represent a glaring contrast. While the marketing literature is rich in the particulars of specific management issues in the China market, no analysis from the discipline has attempted to provide a broad, distinctly marketing contribution to the China phenomenon. Choice is a fundamental construct underpinning theories of politics, economics and marketing, though it is notably absent from Chinese politics. The changing relationship between markets, business and government reveals a question that is clearly important to marketers, and China is a challenging boundary case for marketing management.     

Moderating effects of tolerance for ambiguity and risktaking propensity on the role conflict-perceived performance relationship: Evidence from singaporean entrepreneurs

This study investigates the effects of tolerance for ambiguity and risktaking propensity in mediating the relationships between role conflict and perceived performance among 70 entrepreneurs in small and medium-sized businesses in Singapore. Entrepreneurial activity has been widely recognized as a major factor driving Singapore's economic development. Further insights therefore can be gained by this study, which addresses the above issues from the perspective of Singaporean entrepreneurs. As founders of their enterprises, entrepreneurs are often involved with many aspects of activities that create a high potential for conflict, having to play multiple roles, coping with competing and conflicting demands, and overcoming or accommodating to constraints. Role conflict faced by the entrepreneur can impede the entrepreneur's ability to perform effectively. However, the relationship between role conflict and perceived performance is not direct.Many entrepreneurial decisions will also involve ambiguity, because these decisions result in actions that are innovative and original. As entrepreneurs, they will have a significantly greater capacity to tolerate ambiguity than managers have. This suggests that an entrepreneur's tolerance for ambiguity may be able to assist in dealing with, or to moderate, the adverse personal effects of role pressures generated by role conflict. Investigation into this is the thrust of the first part of this research.The literature on entrepreneurship has often portrayed the entrepreneur as a risk-taker with expectation of receiving a profit as reward for this risk-bearing. Many studies on risk-taking behavior among entrepreneurs are focused on the risk-profile of entrepreneurs, that is, whether entrepreneurs are decidedly more risk-taking than nonentrepreneurs. In this second part of research, the investigation examines whether the effects of role conflict on performance outcomes are tempered by the entrepreneur's risk-taking propensity. An entrepreneur with high risk-taking propensity is more likely to succeed in coping with uncertainty and minimizing role stress than one with low risk-taking propensity.Results indicate that Singaporean entrepreneurs higher on tolerance for ambiguity or in risk-taking propensity are better positioned to “neutralize” the effects of role stress in the entrepreneurial role, leading to better performance outcomes. The weaker interactive effects however could be explained by several constraining circumstances: “the stringent control and omnipresence of the government in most businesses” (Tan and Tay 1994); “dominance of MNCs in key industries, and the domination of government-linked businesses in various services” (Boey and Chiam-Lee 1994)—all of which are said to somewhat discourage risk-taking and uncertainty-bearing. Despite the small moderator effects, these findings should be of significance to practitioners, because they suggest that the examination of the relationship between role conflict and performance would be incomplete without also considering the moderating effects of tolerance for ambiguity and risk-taking propensity.     

The moderating effects of in-store marketing on the relationships between shopping motivations and loyalty intentions

This study attempts to understand the moderating roles of in-store marketing by incorporating the effects of shopping motivations on repatronage and word-of-mouth intentions in the context of fashion apparel by applying theories related to self-determination and social impact. Structural equation modeling using data collected from young adult fashion apparel shoppers in Thailand reveals positive effects of shopping motivations. The utilitarian shopping motivation shows a greater effect in predicting loyalty intentions than hedonistic shopping motivation. In-store marketing is shown to have a moderating effect on loyalty intentions, although the influence of each moderator on the investigated direct effects varies. The findings can prove helpful to fashion apparel retailers in developing effective advertising and promotional strategies that correspond to the specific needs of the shoppers to promote store loyalty intentions.