Some people just want to read: The roles of age,interactivity, and perceived usefulness of print in the consumption of digital information products

With the advent of digital technologies, both academic researchers and marketing practitioners alike continually seek a richer understanding of the way information is produced and consumed. Against this backdrop, this study explores the relationship between interactivity, consumer satisfaction and adoption intention in the context of digital information products. Drawing broadly on the services marketing literature, interactivity literature and diffusion theory, the results of our study suggest that in a utilitarian context, consumers are more likely to adopt interactive books than more traditional static e-books. However, satisfaction with interactivity is moderated by the age of the consumer, with older “digital immigrant” participants more satisfied by static e-books and younger “digital native” participants more satisfied by interactive e-books. Also, the less useful consumers find print products, the more likely they will be to adopt interactive digital books, and this effect is also moderated by the age of the consumer. Finally, with the proliferation of digital devices only expected to continue, these findings have important implications for both product development and marketing communication programs.     

Digital marketing and social media: Why bother?

Changes in consumer behavior require firms to rethink their marketing strategies in the digital domain. Currently, a significant portion of the associated research is focused more on the customer than on the firm. To redress this shortcoming, this study adopts the perspective of the firm to facilitate an understanding of digital marketing and social media usage as well as its benefits and inhibitors. The second generation of Internet-based applications enhances marketing efforts by allowing firms to implement innovative forms of communication and co-create content with their customers. Based on a survey of marketing managers, this article shows that firms face internal and external pressures to adopt a digital presence in social media platforms. Firms’ digital marketing engagement can be categorized according to perceived benefits and digital marketing usage. To improve digital marketing engagement, marketers must focus on relationship-based interactions with their customers. This article demonstrates how some firms are already accomplishing just that.     

Augmented reality: Designing immersive experiences that maximize consumer engagement

Innovative marketers can now leverage augmented reality to craft immersive brand experiences, create more interactive advertising, and enable consumers to experience products and spaces in novel ways. Augmented reality (AR) is the practice of displaying digital information over people's real-time view of objects, people, or spaces in the physical world. While AR can play a valuable role in integrated marketing programs, little is known about the practice and how to execute effective AR programs in the marketplace. We address this gap by presenting a framework that describes the active and passive ingredients of augmented reality. We then describe the basic design decisions that marketers need to make when planning an augmented reality campaign. In addition, we explain how understanding and addressing the dynamics between various active and passive AR ingredients can help marketers to optimize their AR campaigns and enhance various types of consumer engagement: user-brand engagement, user-user engagement, and user-bystander engagement. Through our framework and analysis, we develop eight actionable recommendations—described with the acronym ENTANGLE—marketing managers can use to design immersive AR experiences that maximize consumer engagement.     

What's new about new media? How multi-channel networks work with content creators

With the rise and rapid proliferation of digital and online marketing, increased cord-cutting by consumers, and new content being created online, Internet-based advertising is the single fastest-growing ad expenditure category, outstripping TV, radio, and other more traditional media formats. With the rise of new media and the increased content creation, the ability of content creators to manage and guide their brand has become more important than ever. This article investigates one such mechanism for managing the new media phenomenon, the Multi-Channel Network (MCN) model. An MCN is any entity or organization which either partners with content creators or directly produces a variety of distinctive content and works to perform business and marketing functions on the platform in which said content is released. This article investigates the MCN phenomena as it specifically addresses the needs of content creators in the new prosumptive consumer culture that helps inform and create new media content. It highlights strategies for managing and navigating the new media and MCN domain.     

Staying in “the works of living”: How older adults employ marketplace resources to age successfully

Despite being a large and rapidly growing consumer population, limited marketing research examines how older adult consumers pursue marketplace well-being in the face of the challenges posed by aging. Using depth interviews and drawing on literatures from both marketing and gerontology, we develop a model that bridges disparate perspectives of older adults in the marketing literature, exploring how older consumers navigate the tensions between successful aging and vulnerability as they seek to maximize their quality of life in the marketplace. From this analysis, we present a more nuanced portrait of how older adults pursue well-being across consumption domains to fulfill their aspirations and maintain their independence, as well as identify ways that marketers and public policymakers can assist in those pursuits.     

The power of consumption-imagery in communicating retail-store deals

We show that subtle differences in textual marketing communications can impact the evocation of consumption-imagery, implicitly subsuming all the senses, which consequently affects consumer attitudes toward the communication and the product. Specifically, we demonstrate, through four experiments, that retail-store deals which communicate stronger association between products (“get matching shirt free”) are more imagery-evocative compared to those with weaker association (“get second item free”), thereby impacting consumer evaluations. We use literature on imagery, sensory perception, and information processing, specifically relational and item-specific processing, to build our hypotheses. We also provide evidence for how working memory capacity limitations disrupt imagery processing. Our results on effective communication of retail-store deals are even more crucial in today's digital marketplace where imagery is especially important.     

Consumer Power: Evolution in the Digital Age

The predictions of growing consumer power in the digital age that predated the turn of the century were fueled by the rise of the Internet, then reignited by social media. This article explores the intersection of consumer behavior and digital media by clearly defining consumer power and empowerment in Internet and social media contexts and by presenting a theoretical framework of four distinct consumer power sources: demand-, information-, network-, and crowd-based power. Furthermore, we highlight technology's evolutionary role in the development of these power sources and discuss the nature of shifts in power from marketers to consumers in terms of each source. The framework organizes prior marketing literature on Internet-enabled consumer empowerment and highlights gaps in current research. Specific research questions are elaborated for each source of power outlining the agenda for future research areas.     

Augmented reality: Research agenda for studying the impact of its media characteristics on consumer behaviour

Augmented reality has emerged as a new interactive technology and its unprecedented way of complementing the physical environment with virtual annotations offers innovative modes for accessing commercially-relevant content. However, little is known about how consumers respond to its features. This paper approaches augmented reality (AR) by studying media characteristics of interactive technologies and shows to which extent they are indicative of current AR commercial apps. Based on a literature review about consumer responses to these characteristics, potential media effects of AR on consumer behaviour are discussed. Finally, the article proposes a research agenda for further study of this new phenomenon in marketing.     

Getting permission: Exploring factors affecting permission marketing

Permission marketing suggests an evolution of direct marketing, particularly used with e-mail. It combines databases of customers who agree to receive marketing messages with low-cost, customized e-mails that attempt to slice through advertising clutter, attract increased customer support, and change behavior.This applied research examined implementing permission marketing, relevant literature, and permission marketing's effectiveness influencing consumer interest and behavior. A case study tested the propositions resulting from the literature review and evaluated responses to a permission marketing campaign that used traditional and new media. This study found that relevance—personalization, brand equity, and previous relationships—influenced response rates. This article adds to the growing body of research on permission marketing's role in marketing theory, as well as its applied effectiveness in the marketplace.     

Branding in the era of digital (dis)intermediation

Marketing academics are keenly aware of the seismic shifts in today's marketing environment caused by digital (dis)intermediation. In this article, we discuss four types of digital (dis)intermediation, and how they affect branding activities of incumbents and new firms. First, we discuss digital transaction intermediation, a development that is closely tied to the rise of ecommerce retailers. A second type is digital transaction disintermediation associated with the rise of ecommerce D2C models. These first two types of digital (dis) intermediation are primarily top-down processes, where firms are developing new ways to sell their brands to consumers. The next two types of digital (dis) intermediation are of the bottom-up kind — the consumer is in the driver's seat. Digital marketing intermediation and the rise of D2C brand-building models is powered by crowdsourcing. A final development is digital marketing disintermediation, which is closely tied to the rise of C2C models. We present issues in need of future research for each type of digital (dis)intermediation. We conclude with an appeal that marketing takes the lead in developing overarching, indigenous theories of digital (dis)intermediation to make sense of the rapid changes in the marketplace.     

Marketplace literacy education and coping behaviors among subsistence consumer–entrepreneurs during demonetization in India

We study the impact of marketplace literacy education on marketplace coping behaviors in the face of systemic shock due to demonetization, deriving important implications for consumer affairs from this radically distinct context. We study whether and how such education can have positive impact even in the face of such macrolevel disruption that disproportionately affects those with the least resources and renders them even more vulnerable. Marketplace literacy education encompasses awareness and knowledge about marketing as well as self‐confidence and awareness of rights as buyers and sellers. We examine the influence of marketplace literacy in urban and rural areas on coping behaviors of low‐income women consumer–entrepreneurs during demonetization in India, using a retrospective survey. We derive implications to mitigate the effect of future shocks on consumers and entrepreneurs at the vulnerable end of the income spectrum.     

Modelling short-and long-term marketing effects in the consumer purchase journey

The role of advertising in consumer demand has received much attention in the marketing literature, where the marketing response model has emerged as a dominant analytical framework. In recent years, the basic model structure has evolved in three directions. Firstly, the incorporation of online paid, owned and earned media to accommodate the off-online path-to-purchase. Secondly, the introduction of consumer mindset metrics to capture the emotional foundations of brand-building. Finally, combinations of both to offer a complete view of the consumer purchase journey. In this paper, we argue that no one development successfully provides a fully holistic representation of the role of advertising. We thus propose a more comprehensive structural approach: one that combines search, paid, owned and earned media with a cointegrating mechanism for brand-building, linking mindset metrics directly to long-term base sales. The result is a practical modelling system for marketing mix practitioners with a rigorous economic and statistical foundation for short and long-term advertising effects. The proposed approach is applied to a global electronics manufacturer in the US market, where results fall into three broad areas. Firstly, we demonstrate how off and online marketing interact in the journey structure, the part played by search, owned and earned media and how specific media types play different roles. Secondly, we illustrate how consumer touchpoint experience is a key element of the process, improving measurement of in-store marketing. Finally, we show how consumer mindset metrics and social media play an important word-of-mouth role, with paid and earned media working together to drive long-term demand evolution.     

Purchase power: An examination of consumption as voting

Abstract

There has been a reported increase in political activity through the marketplace in the form of ‘consumer votes’. The use of marketplace votes by consumers to address their concerns about societal issues is a phenomenon that has growing relevance for firms, since they are often affected by such consumer citizenship. Therefore, this paper aims to enhance our conceptual understanding of the consumer voting phenomenon. It explores marketplace power relations and the constraints and enabling mechanisms they may pose to consumers seeking change through consumer voting. Consumer voting practices, consumer sovereignty discourses, and power tensions in marketplace encounters are examined in relation to Foucault's notions of power, technologies of the self, and governmentality. Foucault provides a critical lens to illuminate the potential for consumer resistance, an approach that so far has been somewhat neglected by the extant marketing and consumer research literature.     

IMC in an emerging economy: the Chinese perspective

Integrated marketing communications (IMC) planning and implementation vary greatly by market and country. This study, based on the survey data compiled from 135 Chinese marketing executives, focuses on IMC in China's emerging economy, with the goal of providing an outlook of IMC's current development in China while uncovering factors in the country's socioeconomic and business infrastructures that may cause IMC to deviate from the traditional Western model. The study also explores Chinese responses to the rising proliferation of digital media and its implications for IMC development.

The study concludes that despite uneven business development and a current lack of training in IMC-related skills, IMC appears to be the inevitable course or the future of Chinese marketing communications. Due to factors unique to the Chinese business landscape, such as government-owned business structures, political nuances in marketing channel relationships, and uneven development of consumer culture, IMC in China will likely evolve differently than in the US. Survey respondents reveal that IMC is progressing much faster in local, privately owned firms than in their state-owned counterparts. The rise of digital media will also disrupt traditional media outlets, providing challenges to the Chinese marketer.     

Taking marketing strategy risks with seemingly no expected gains

This paper investigates the competitive rationale for firms to invest in marketing activities aiming to enhance valuation and achieve differentiation and competitive advantage, while carrying the strategic risks of causing unintended negative consequences. We build a stylized theoretical model where firms offering similar (homogenous) products are competing by determining their marketing strategy and pricing. Each firm must choose between several marketing activities that have different potentials of enhancing consumers’ product valuations while carrying some risk of lowering consumer valuation if unintended negative outcomes occur. The stochastic nature of marketing implies that (1) even when both firms invest the same amount of money aiming to enhance product valuations by the same level, there will be a variety of (posterior) vertical differentiation scenarios where the consumers could value either firm’s product as better as or worse than the rival’s. (2) The firms may employ marketing activities that do not even lead to gains in consumer product valuation in expectation. The duopoly model analysis indicates that associated with strategic pricing, even such stochastic marketing activities may constitute desirable strategies for two a priori symmetric firms in order to avoid a Bertrand type competition as the benefit from differentiation is found to be significant enough to offset the unintended negative outcomes. The oligopoly model analysis indicates that there is an increased incentive to take marketing risk when there is a greater level of competitive intensity in the marketplace. Preliminary experimental evidence is presented to support the main findings from theoretical model analyses. The paper thus provides important managerial implications for firms contemplating investment in seemingly risky marketing activities.

     

To Share and Protect: Using Regulatory Focus Theory to Examine the Privacy Paradox of Consumers' Social Media Engagement and Online Privacy Protection Behaviors

Consumers' personal information often informs retailers' marketing efforts in terms of creating value in the online marketplace. This study examines four factors related to consumers' social media engagement and online privacy protection behaviors. Regulatory focus, social exchange, and marketing relationship theories explain the online consumer personal information share-and-protect model developed. Consumers aged 18–64 years across the United States participated in this survey research. The results suggest that while personal privacy violation experience and perceived secondary control of one's personal information are influential antecedents, privacy concerns and trust in social media websites mediate each of these respectively. The findings suggest that promotion- and prevention-related behaviors regarding personal information align with the orientation of the antecedents, indicating that regulatory focus theory shows promise for examining the privacy paradox. We conclude by developing a matrix that integrates regulatory focus and social exchange theories to guide future research.     

The Determinants of Pricing Strategies for Industrial Products in International Markets

ABSTRACT

The global marketplace is becoming increasingly complex in which to conduct business. Firms marketing consumer goods have a somewhat easier time than those selling industrial products, since more has been written about them and the international consumer goods have been analyzed for a longer period of time. In addition, the international marketing literature, has looked more at the elements of product, promotion and place than price. This literature gap has created a void in the understanding of marketers as to how to effectively price industrial products in international markets.

The paper identifies the important industrial pricing strategies in international marketing and examines the underlying determinants that affect their outcome. In addition, the specific causal relationships between the determinants and pricing strategies are examined through a logistic regression analysis.     

Predicting future consumer purchases in grocery retailing with the condensed Poisson lognormal model

To identify the effect of marketing actions on consumer purchasing, analysts must disentangle the dynamic component of purchasing from expected period-to-period stochastic fluctuations. This is done by comparing marketplace observations to the conditional expectation of future purchasing. Current methods of deriving the conditional expectation contain systematic bias and rely on certain unrealistic modelling assumptions. We therefore propose a new model to predict future consumer purchases in grocery retailing. The new model is a mixture of Erlang-2, Poisson and lognormal distributions or a condensed Poisson lognormal model (CPLN). Using two grocery retailing datasets from the UK, we demonstrate that the CPLN model predicts future consumer purchases well with error of 7% and 9%, respectively. Compared with the previous benchmark model, the condensed Negative Binominal Distribution (CNBD), the CPLN model reduces error by 50% (7% versus 14%) and 67% (9% versus 27%), respectively. Theoretical and practical implications for retailers are discussed.     

Organizational Music the Role of Listening in Interaction Processes

The paper focuses on consumer cynicism in online environments, using the anti‐Christmas sites of the Internet as an empirical case. Drawing on the discursive power model of consumer resistance, critical management studies on organizational cynicism, and Foucauldian ideas of political struggle as “politics of self,” it is argued that consumer cynicism, in online environments, may represent a form of resistance against markets and the marketing institution, which is brought about through the problematization and partial rejection of the normalized forms of consumer subjectivity that are offered in the marketplace. The paper illustrates how consumers employ a cynical rhetoric and discursive strategy, creatively drawing from the story of Ebenezer Scrooge, to problematize the received, highly commercialized ways of celebrating Christmas and to work on a cynical identity project, the scrooge, which represents an alternative form of consumer subjectivity, disillusioned and critical toward the market and the marketing institution.