A cross-cultural study of switching barriers and propensity to stay with service providers

This study examines the important and often underestimated role that switching barriers play in the propensity to stay with service providers. Three service types (with different structural characteristics) were studied across two diverse cultures—Australia (Western, individualistic culture) and Thailand (Eastern, collectivist culture). Six potential switching barriers are examined: search costs; loss of social bonds; setup costs; functional risk; attractiveness of alternatives; and loss of special treatment benefits. The results from a series of multiple regression analyses show switching costs capture a substantial amount of the explained variance in the dependent variable, propensity to stay with a focal service provider. Furthermore we demonstrate using interaction terms that these switching costs appear to be universal across west-east cultures. However, significant variations were found across industries. Next, using a hierarchical regression procedure, we add a satisfaction variable into each model. The incremental gain in R² is significant in each industry. Nonetheless the significant impact of switching barriers gives rise to the identification of a new type of service loyalty, which we term “captive loyalty.”     

Three dimensional product presentation quality antecedents and their consequences for online retailers: The moderating role of virtual product experience

This study investigates the impact of three-dimensional (3D) product presentation quality (3D-Q) on attitude toward presented product and attitude toward website, which in turn affect users’ satisfaction. Therefore, this research developed a hypothetical online retailer website, which presents a variety of 3D laptops that allows users to control the content and form of the 3D flashes. We measured 3D-quality based on a multi-dimensional construct. In other words, we define and operationalize 3D-quality based on information quality, system quality, authenticity, and enjoyment (second-order). We employed a non-student sample (n=410) to collect the data. We find that 3D-quality determines perceptions of attitude toward presented product and attitude toward website, which in turn influence users’ satisfaction. Furthermore, we find that virtual product experience moderates the relationships between attitude toward presented product, attitude toward website and users’ satisfaction. Our study provides important implications for e-tailers.     

The antecedents of customer loyalty: A moderated mediation model of customer relationship management quality and brand image

This study examines the mediating role of customer relationship management (CRM) quality to better explain the effects of service evaluation variables (service quality, customer satisfaction and customer value) on customer loyalty. The study also investigates the moderating effect of brand image on these mediated relationships. The mediating role of CRM quality on the relationship between the service evaluation variables and customer loyalty is supported. Further, it is found that the indirect effect of customer satisfaction on customer loyalty via CRM quality is stronger when perceived brand image is high than when it is low. The results have implications for relationship managers, brand managers and scholars who use service evaluation and relational metrics to predict customer loyalty.     

Employing brand governance mechanisms with export channel partners: What are the performance consequences and contingent effects?

For decades leading international business scholars have assessed the benefits accruing from successful governance mechanisms. Although the critical importance of initiating and maintaining good relationships with export channel partners is recognized within the literature, there has been little research focus placed on the optimal approach for governing intangible aspects of these relationships. We offer the first integrated definition of export brand governance of channel partners (EBGoCP) and investigate its influence on export performance. Drawing from relational governance theory and contingency theory, we develop and test a model of the contingent effects of different country specific advantages and firm characteristics on the performance upshots of EBGoCP. Using survey data from UK exporters, our findings validate the hypothesized enhancing effects of EBGoCP on export performance outcomes. Furthermore, consistent with our contingency based predictions, we find country-of-origin-image, firm size and scope of exporting moderate the impact of EBGoCP on export performance. Along with providing fresh insights from the results, this study opens up a new stream of international business governance research and offers productive future research paths to follow.     

Effects of online retailer after delivery services on repurchase intention: An empirical analysis of customers’ past experience and future confidence with the retailer

This study empirically examines the influence of after delivery services on customer perception of satisfaction, trust, and repurchase intention. Data from 262 survey respondents, analyzed through structural equation modeling, indicate three critical after service factors related to customer satisfaction: product exchange, returns, and refunds. Analyses also indicate significant mediating effects of customer satisfaction and trust with after delivery services upon repurchase intention. Results reveal that customer satisfaction with services also mediate the relationship between after delivery services and consumers’ trust in the retailer. The findings suggest implications for management and future research directions.     

More on the role of switching costs in service markets: A research note

The present paper focuses on several important and under-researched issues related to switching costs (SC) as a defensive marketing tool in retaining customers with complaint handling. While most previous research analyzed the effects of SC on the behavioral intent of customers, our findings have focused on the actual behavior of bank customers; that is, staying with or leaving the bank to which they had complained previously. The findings show that, of the six potential facets of SC, only two significantly affect the actual behavior of complainants, one directly (i.e., Continuity Costs) and the other as a moderator (i.e., Learning Costs). Likewise, a customer's evaluation of the complaint handling affects behavior directly.     

Achieving brand and dealer loyalty: the case of the automotive industry

The analysis shows that customer satisfaction can be considered the central determinant in all phases of the contact chain. Multi-dimensional recording of customer loyalty reveals clear differences in the interactions, first, with brand loyalty and, second, with dealer loyalty. In contrast to the opinion widely held in practice, customers in the automotive sector definitely do not perceive the brand and the dealer as one unit. Since similar studies in different countries come to almost the same conclusions, it can be argued that the results are valid in several cultural settings. The results obtained are so fundamental that they can be translated into implications even by internationally operating companies.     

Antecedents and consequences of brand attachment: A literature review and research agenda

Consumers develop powerful connections with brands and they feel a strong bond or attachment to favourite brands that can lead to re-purchase behaviour, reduced price sensitivity and increased customer loyalty. Gaining greater in-depth knowledge of brand attachment offers a powerful means of understanding and facilitates modelling the mechanisms for achieving greater profitability and increased revenue for firms. The purpose of this paper is first to map the antecedents, mediators and consequences of brand attachment; second to provide scholars with a map of prior research as a starting point for future research; and third to offer insights to extend understanding of how consumers relate to and engage with brands. The antecedents to brand attachment are categorized under five headings: brand-related concepts; self-brand connection and connection; congruence and the self; emotional drivers of brand attachment; and service-related concepts. The consequences of brand attachment are categorized as: brand loyalty and switching resistance; purchase intentions and willingness to pay; and word of mouth. The review and future research agenda utilize the Theory, Context, Characteristics, Methodology structure: (T) theory and concepts; (C) context and industry sectors; (C) characteristics (antecedents, mediators and consequences); (M) methods used in prior research. Recommendations focus on: social media marketing; social media marketing influencers and psychological ownership.     

Retailers with traits of consumer: Exploring the existence and antecedents of brand loyalty in small unorganized retailers

Retail in most emerging countries, like India, is dominated by the informal sector consisting of small unorganized retailers and marketers selling through them desperately want to win them over because it can be a powerful competitive advantage in these markets.Small unorganized retail store is a unique setting because most of these stores are owned and managed by individual proprietors who are neither schooled in systematic business decision making and nor have access to professional expertise and scientific tools to assist in taking business decisions in a systematic way. With loads of decisions to be made by this individual, it can be assumed that heuristics and common sense drive a lot of their business decisions and this makes them very similar to the decision making done by the end consumers, who also engage in buying decisions but are not scientific in their approach.Based on this similarity, this study attempts to explore a simple but profound question that like individual consumers, do these retail customers’ buying decisions also get affected by brand loyalty? In that direction, the study assesses the role of three variables - salesperson quality, self-experience with the brand and perceived company support, for predicting brand loyalty in small unorganized retailers.Using Structured Equation Modelling on data collected from 543 retailers, the proposed hypothesized paths have been tested. The results strongly support the proposition made. This study extends the application of the existing attitudinal – behavioural framework of brand loyalty to retailers and puts forward a vital and a unique way for marketers to get these retailers on-board and work as an influencer to push their brand.     

Exploring the incidence and antecedents of buying an FMCG brand and UPC for the first time

Two studies provide estimates of the upper range of incidence of first-time (brand and UPC) purchases, claimed reasons for these new purchases, and consumer profiles of first-time brand buyers. Study 1 analyzes three years of transaction data from 10,000 loyalty card members; Study 2 reports on 510 mall-intercept interviews in two different stores. Despite the vast range of items available in modern supermarkets, new brand purchasing is not particularly common: new brands constitute about 5% of items in a basket and are purchased on about 1/3 of shopping trips. The majority of these new-to-consumer purchases have been prompted by in-store stimuli (noticing new brands, price promotions and stock-outs). Interestingly, demographic characteristics between first-time and existing buyers did not differ. Providing further evidence to the habitual nature of grocery shopping, the results indicate limited opportunities to expand/change consumer repertoires suggesting the need for ongoing marketing activities for FMCGs.     

Do reward programs build loyalty for services?: The moderating effect of satisfaction on type and timing of rewards

While reward programs have been widely used as a means to engender customer loyalty, it is not clear if the ends are justified. Some researchers argue that we do not fully understand the mechanism underlying reward programs and how it affects consumer acceptability of such programs. In this study, we examine two variables; timing (immediate vs. delayed) and type (direct vs. indirect) of rewards in two service conditions (satisfied vs. dissatisfied). We conduct the experiment in two service settings and the results indicate that when consumers are satisfied, they prefer delayed, direct rewards (of higher values) to immediate, direct rewards. However, when consumers are dissatisfied, they prefer immediate, direct rewards to delayed, direct rewards (of higher values). Interestingly, the preference for direct over indirect rewards is apparent only if the rewards are delayed (for the satisfactory service experience) or immediate (for the dissatisfactory service experience).     

A multi-country study of bank reputation among customers in Africa: Key antecedents and consequences

This paper studies the antecedents related to service quality and the consequences of bank reputation among bank customers in three prominent markets in Africa, the continent on which one of the banking industries with the highest potential in the world is located. The research hypotheses were tested through the use of partial least squares modelling and by employing data collected from almost 1000 retail-banking customers from Ghana (n = 349), Kenya (n = 337), and South Africa (n = 300). An analysis of these data indicates that service quality dimensions, namely service offering appeal and customer care, meaningfully contribute to the strong perceptions customers have of their banks as regards reputation. The positive role of bank reputation in the development of trust and customer loyalty is also validated in this study. Furthermore, the multi-group analysis shows differences among countries in the case of all the relationships analysed, with the exception of the weight of customer care on bank reputation. Finally, the conclusion is reached that bank managers should focus their reputational strategies on improving the competitiveness of their bank products and should consider subtle institutional differences outside the bank's home-country in order to succeed in their internationalization strategies on the continent.     

Customer perceptions of frontline employee service delivery: A study of Russian bank customer satisfaction and behavioural intentions

This study examines the nature of relationships between customer perceptions of frontline employee service delivery (core and relational), satisfaction and selected behavioural intentions by using customers of a commercial retail bank in Russia as its setting. Contrary to findings from North American-Western research, the study findings show that relational service delivery only significantly impacts customer satisfaction for Russian males whereas core service delivery only impacts this affective outcome for Russian female customers. Implications of the results are discussed and future research avenues are offered.     

Understanding the antecedents of consumers' attitudes towards doggy bags in restaurants: Concern about food waste,culture, norms and emotions

Based on a qualitative study with 20 respondents in France and 20 respondents from the Czech Republic, this study aims to better understand how consumers’ concern about food waste, culture, social norms and emotions contribute to consumers’ attitudes and behaviors related to doggy bags. Results highlight a double paradox between conflicting norms and emotions: personal norms encourage not to waste while salient social norms encourage leaving leftovers; asking for a doggy bag generates immediate shame while leaving leftovers produces anticipated regret and guilt. Finally, the study sheds light on obstacles to overcome for the adoption of this social innovation.     

Branded product information search on the Web: The role of brand trust and credibility of online information sources

Drawing upon the cost–benefit framework and trust mechanism as a risk reducer, this study examines the influence of brand factors and source credibility on branded product information Web searches. The online survey was conducted within the pre-purchase context of digital camera brands. The results revealed that brand factors did not influence overall branded information search efforts. However, brand trust and source credibility appeared to influence the different types of online information sources sought.     

Exploring antecedents and consequences of consumer ethnocentrism: evidence from Asian immigrants in the US

The US is a multicultural society due to its growing number of ethnic minorities. These ethnic populations have made intracultural studies more difficult because of the different senses of identity and degrees of acculturation the varied groups possess. The current study examined the impact of perceived ethnicity (Asian vs. Asian American) and acculturation level (low vs. high) on consumer ethnocentrism towards the country of immigration (the US) and its consequences with respect to Asian immigrants, the fastest growing minority in the US. One hundred and eighty‐five responses from Asian immigrants were collected through a convenience sample from a university campus located in the southwest US as well as a snowball sampling technique. Results revealed that perceived ethnicity and acculturation play an important role in influencing Asian immigrants' ethnocentrism towards the US, which in turn affects their attitudes and behavioural intentions towards products made in the US. Implications and future research directions are suggested.     

A brand preference and repurchase intention model: the role of consumer experience

Consumer brand preference is an essential step towards understanding consumer choice behaviour, and has therefore always received great attention from marketers. However, the study of brand preference has been limited to traditional marketing focusing on functional attributes to maximise utility. But now the shift to experiential marketing broadens the role of the brand from a bundle of attributes to experiences. Technological advancements have helped to increase the similarities between brand attributes and product commoditisation. Consequently, consumers cannot shape their preferences among brands using rational attributes only. They seek out brands that create experiences; that intrigue them in a sensorial, emotional and creative way. This study seeks to develop a model that provides an understanding of how brand knowledge and brand experience determine brand preference and to investigate its impact on brand repurchase intention. Accordingly, exploratory focus group discussions are employed followed by a survey of mobile phone users in Egypt. The findings provide insights into the relative importance of consumer perceptions on different brand knowledge factors in shaping brand preferences. It also demonstrates the significance of consumers’ experiential responses towards brands in developing their brand preferences that in turn influence brand repurchase intention. The model therefore offers managers a new perspective for building strong brands able to gain consumer preferences.     

The antecedents and consequences of a market orientation: the moderating role of organisational life cycles

Abstract

There is widespread agreement in the marketing literature that newly founded and established mature companies have different perspectives on marketing. However, there is little comparative research in this respect. Therefore, the current research compares the antecedents and effects of a market orientation (MO) – as one major construct in marketing research – across organisational life-cycle stages, thereby integrating organisational life-cycle theory into MO research. Our hypotheses are based on the information-processing model of Tushman and Nadler (1978 Tushman, M. and Nadler, D. 1978. Information processing as an integrating concept in organizational design. The Academy of Management Review, 3(3): 613–624. [Crossref] , [Google Scholar]). In order to test these hypotheses, we conduct a survey-based empirical study of 252 new high-tech ventures. Our results show that the organisational life-cycle stage does indeed exert a moderating influence on the links between MO and its antecedents, and performance consequences. The implications for the market literature are discussed in detail. A map of possible future research topics is derived.     

Beyond close vs. distant ties: Understanding post-service sharing of information with close,exchange, and hybrid ties

Customers' post-service sharing of information (PSSI) occurs with a range of social ties typically conceptualized in terms of closeness/tie strength. We extend this research by orthogonally crossing the dimension of closeness with exchange to define close, exchange, and hybrid ties. Study 1, a survey of actual PSSI behavior, supports our conceptualization regarding the dimensions of closeness and exchange defining audiences for PSSI. Study 2, a survey of PSSI intentions, further supports the significance of this extended conceptualization by showing that a model with close, exchange, and hybrid ties has a significantly better fit than a model with only close ties. We provide further evidence of the significance of these three ties by showing that service outcome and process have distinct effects on PSSI to each social tie. Satisfaction has a non-linear effect on PSSI to close ties, and positive and negative linear effects on exchange and hybrid ties respectively. Further, satisfaction is the sole predictor of PSSI to close ties, whereas satisfaction, provider status and customer power interactively drive PSSI to exchange and hybrid ties. Thus, considering close, exchange, and hybrid ties enables a more comprehensive understanding of PSSI.