Using emotional benefits as a differentiation strategy in saturated markets

The high level of product substitution in most consumer markets often makes it difficult to match supply with demand, especially in sectors with mature, saturated markets with intense competition and a high degree of product differentiation. The difficulty of using technical characteristics such as quality and/or price to differentiate products suggests that marketers could profit from gaining more insight into the way in which consumers' purchase decisions are influenced by their perceived emotions. This paper investigates this issue in the wine market, a highly saturated market with homogeneous supply, obtaining results that appear to support the notion that emotions do indeed play a part in consumer choice structures, which show a higher degree of abstraction in those segments that report a greater number of perceived emotions. This considerably complicates the task of creating a differentiated marketing strategy, in the sense that suppliers need to give much greater consideration to consumers' self‐awareness. © 2009 Wiley Periodicals, Inc.     

Reaching the U.S. Hispanic Wine Market: Highlighting the Opportunities

With over 50 million Hispanics living in the United States commanding 1.2 trillion dollars in purchasing power, Hispanic wine consumers may comprise a lucrative market for the saturated wine industry. Yet the wine industry has largely ignored consumers who do not fit the profile of its traditional demographic base. This study aims to fill a gap in the existing body of knowledge on Hispanic consumers of wine. Building on acculturation theory, the current study investigates predominant attitudes, opinions, and interests of the Hispanic consumer relating to wine consumption. The results of three focus groups indicate that the core cultural values of family, food, and social interaction are critical factors in developing an interest in wine among Hispanic wine consumers. Levels of acculturation also play a significant role in wine consumption among Hispanic consumers. Special attention should be addressed to younger, more acculturated consumers, as they are not only the primary consumers of wine but also advocates for wine for their parents and other groups of consumers.     

Does delaying service-failure resolution ever make sense?

Conventional wisdom suggests that service providers should respond to their failures as quickly as possible. Some research, however, points out that delaying resolutions may produce highly desirable results. The study here investigates these competing views by examining under which conditions an immediate or a delaying resolution produces more positive consumer responses in term of re-patronage and negative word-of-mouth intentions. Based on the concept of service separation, this research identifies an interaction effect between service separation (separated service, non-separated service) and response timing (immediate response, delaying response) on consumers' post-consumption intention. This research also finds that the relationship between service separation-response timing interaction and consumer response is mediated by consumers' negative emotions. This study contributes to refining our understanding of consumer psychology in service recovery. Practically, the studies also enable service providers to better allocate their resources to recover different types of services' failure.     

Charitable organizations' storytelling influence on donors' emotions and intentions

The stories told by charitable organizations are typically designed to take the consumer through different emotional stages. This research probes the view that following exposure to the inciting incident or problem statement in the appeal for a particular charity, the consumer feels negative emotions. These feelings convert into anticipated positive emotions when the consumer is given the opportunity to help the person in need through a donation. Feedback that donors receive from the charitable organization will help to strengthen the emotional pay-off and enhances future donation intentions. The research utilizes an experimental design and data from 319 undergraduate students in a large U.S. university to confirm these hypotheses. Theoretical and managerial implications are then presented.     

The HASSLE Scale

Abstract

Retailers can respond to consumer complaints of perceived problems in many different ways. The response chosen by the retailer, as well as the time and effort exerted by the consumer, can influence consumer satisfaction/dissatisfaction (S/D) with the complaint resolution process. Results suggest that consumer S/D with the complaint resolution process has four critical dimensions. The two consumer input dimensions are consumer time and consumer effort expended in an attempt to resolve the problem. The two outcome dimensions are compensation received and attributes of the retailer's representative.     

A Conjoint Analysis of Quality Wine

Abstract

Weighted least squares approach for conjoint analysis is used to examine buyer preferences towards wines produced in different Spanish regions. Two producer regions are considered, Na-varra and Aragon, and three wine attributes: price, origin and grape vintage year (wine age). In both regions, differences between urban and rural consumers' preferences are tested. Results indicate that the origin of the grapes is the most important attribute for the wine consumer. Rural consumers prefer locally produced wines while Rioja wines are better considered by urban consumers. The price and the age of the wines are secondary attributes in consumer preferences. Finally, some market segments are formed based on individual consumer preferences and some of their sociodemographic characteristics in order to address differentiated marketing strategies to these segments.     

Becoming familiar with eternal anonymity: how sperm banks use relationship marketing strategy

The article focuses on donor profiles as a major marketing tool of the fertility industry and proposes some theoretical insights into sperm banking and sperm consumption, using a content analysis of 135 extended sperm donor profiles and a visual analysis of 36 baby photos in nine sperm banks. Theorizing sperm consumption is inspired by Grönroos' conceptualization of relationship marketing (RM). Contrary to conventional logic, I show how RM itself has become a product on its own, rather than a business strategy: while the sperm consumer is invited through anonymously written narratives to become an active prosumer by encoding and decoding parts of the donor's identity, the imaginary relationship with the donor constitutes the core product. Since donor profiles are purchased as a complementary service product, sperm banks activate identity construction among the donors by asking them to provide lengthy essays; donors produce polyphonic narratives and therefore participate in a Bakhtinian mask parade.     

A Cluster Analytic Approach for Consumer Segmentation Using the Vegetarian/Meatarian Distinction

Abstract

In this study, we use cluster analysis to create a consumer segmentation scheme based on individuals' vegetarian/meatarian orientation, along with key attitudinal, personality, and demographic characteristics. Such characteristics include concern for animals, concern with health, concern for the environment, attitude toward corporate ethical practices, need for cognition, social conformity, age, gender, and level of education. In segmenting consumers along these dimensions, this research study not only expands our knowledge about consumers, but also provides useful insight for marketers of food products and services.     

Multi-Attribute Dimensions of Service Quality in the Fast Food Restaurant Industry

Abstract

As the fast food restaurant industry grows in the Western industrialized world, it has also become increasingly competitive. In such an environment, marketers are concerned about how to increase or maintain market share through better service quality and effective segmentation strategies. This paper reports a two-phase exploratory study conducted to determine the dimensions of service quality in the fast food industry, from the consumer's perspective. Factor analysis revealed 10 dimensions made up of 57 different attributes. The 10 dimensions were able to discriminate among three groups of fast food patrons, namely: frequent, less frequent, and more frequent patrons. Managerial implications of these findings, for market segmentation, targeting, positioning, and promotional strategies are discussed.     

Understanding the Influences of Atmospheric Cues on the Emotional Responses and Behaviours of Museum Visitors

ABSTRACT

The ability of an atmosphere to affect consumer emotions and behaviour is known to be particularly relevant for service organisations. This study examined the role of atmospherics in a service domain via a survey of the responses to relevant stimuli among a sample of visitors to ten UK museums. A model indicating the relationships between museum atmospherics and visitor conduct was developed and tested. Visitors' internal reactions to various atmospheric factors were explored and the consequences of these responses for an individual's approach-avoidance behaviour were evaluated.     

The concept of consumer vulnerability: Scale development and validation

Although studies of nonrational consumer behaviour in the fields of psychology and marketing are widespread, few scholars have discussed this issue from the integrated perspective of individual characteristics and consumer welfare. Extant research has introduced the concept of consumer vulnerability to deepen the study of nonrational behaviour. The present research defines consumer vulnerability as an individual characteristic, that is, a tendency to be influenced by an external stimulation or temptation that leads to decisions harmful to the person's own welfare. To operationalize this concept, this study develops a consumer vulnerability scale. Results from exploratory factor analysis and confirmatory factor analysis reveal the following seven dimensions of consumer vulnerability: product knowledge, product promotion, marketing and emotional stress, social pressure, purchasing power, refunds policy and discrimination ability. After verifying the scale's reliability and validity, this study confirms that it can be applied to measure the degree to which consumer welfare has been harmed and predict nonrational decision‐making behaviour. Limitations and future research directions also are discussed.     

Product,Environmental, and Service Attributes That Influence Consumer Attitudes and Purchases at Wineries

Abstract

Direct sales of wine and winery souvenirs to winery visitors is important in a number of regions throughout the United States and around the world. The attributes that influence winery visitors' beliefs can have a significant impact upon wine purchases, repeat visits, positive word-of-mouth comments, and upon future purchases at restaurants and other retail outlets. A study of winery visitors found four underlying factors from a list of 17 attributes. Regression results indicated that several wine, environment, and service attributes have a significant impact upon consumer attitudes and purchases. Product and purchase involvement were also found to impact purchase behavior.     

The role of emotional wisdom in salespersons' relationships with colleagues and customers

Emotional wisdom is defined as a set of seven dimensions of basic skills and meta‐narratives concerning how to regulate emotions within specific domains in such a way that the individual's and firm's well‐being are tied together. Using operationalizations of emotional wisdom for salespersons from a wide range of industries (Study 1) and in automotive dealerships (Study 2), with respect to both colleagues and customers, it is discovered that salespeople who score high on emotional wisdom cope differently with socially challenging situations and achieve better social relationships than those who score low on emotional wisdom. © 2010 Wiley Periodicals, Inc.     

The influence of culture,emotions, intangibility,and atmospheric cues on online behavior

This paper examines how emotions and website atmospheric cues influence service tangibility and consumer attitudes. The proposed model was compared across three cultures: North America (Canada and U.S.), China, and the Middle East. The findings support the overall model and demonstrate several non-invariant paths across the groups. Particularly, the results suggest how the influences of two emotional dimensions (pleasure and dominance) on consumer perceptions of site atmospherics vary across cultures. Moreover, the effects of service tangibility dimensions (physical tangibility, specificity, and mental tangibility) on consumers' attitudes toward the website and service vary significantly across the three cultures. Mental tangibility has the greatest influence on North American customers' attitudes, while physical tangibility and specificity have the greatest impact on Chinese and Middle Eastern customers' attitudes, respectively.     

The effect of payment type on product-related emotions: evidence from an experimental study

Consumption and payments have been shown to be closely associated in consumers' minds. Based on the idea of ‘coupling’, it is hypothesized that product-related emotions will differ depending on payment type (i.e. repayment and prepayment). Moreover, it has been suggested that forecasted emotions do not always correspond to experienced emotions. This is tested in a longitudinal experiment, which simulated a saving and credit situation, and assessed forecasted and experienced product-related emotions. As hypothesized, prepayment led to more positive product-related emotions than repayment. Moreover, participants showed some inconsistencies between forecasted and experienced emotions. Implications for marketing and consumer education are discussed.     

Effective Nonverbal Communication Techniques

Developing effective marketing strategies for profes- sional service firms presents many unique challen es and is an im- portant area of practice development that many &ns often wer- look. Professional service firms ossess very distinctive P characteristics which differentiate them rom other service firms and require specialized marketing strategies. The purpose of this article is to assist practitioners in their efforts to develop promotional strat- egies which will enhance their firm's professional image and in- crease the firm's ability to engage new clients. These strategies arc aimed specifically at certified public accountants, lawyers, archi- tects, and other professionals.     

Information Privacy and Online Behaviors

Abstract

This study explores several key potential influences of privacy concerns on consumers' attitudes toward websites. Using a sample of 221 subjects, it was found that privacy concerns could decrease the likelihood of purchasing online. This finding highlights the importance of privacy concerns and contributes to the understanding of Internet marketing in that the early literature incompletely addresses the issue of consumer privacy empirically, which represents a potential threat to the growth of e-commerce. Thus, online marketers should be careful not to abuse (e.g., distribute it without permission) the personal information of consumers. In sum, it is advised that online marketers assure the public that consumer information will not be tracked and traded without the individual consumer's knowledge or consent.     

Homeownership as a Sign of Immigrants’ Consumer Acculturation: The Role of Region of Origin

ABSTRACT

One of the limitations highlighted by the consumer acculturation literature is the lack of empirical research to identify better constructs or indicators of consumer acculturation. In this article, the use of homeownership by immigrants in the host society is proposed as an indicator of advanced consumer acculturation. The decision to own a home by a minority group, such as immigrants, represents a key landmark in the process of adaptation to the new culture and a commitment with the host country's values and culture. The empirical case used is the immigrant population of Spain. The sharp rise in its foreign-born population during the last decade and the significantly higher homeownership rates of natives in comparison with other countries makes the Spanish scenario a relevant case study. The results obtained show homeownership is linked to features associated with highly acculturated consumers. Moreover, the analysis conducted reveals important differences in the way immigrants from different origins advance in their consumer acculturation processes and suggest distinct approaches when marketing to these groups.     

Predicting consumer behavior with two emotion appraisal dimensions: Emotion valence and agency in gift giving

Decades of emotion research have demonstrated the unique influences of many specific emotions on consumer behaviors. These countless numbers of emotion effects can make it difficult to understand the role of emotions in consumer behavior. The current research introduces a parsimonious framework that can predict the effects of emotions on the consumer behavior of gift giving with just two appraisal dimensions: valence and agency. A series of studies examining gift giving reveals that positive emotions exert positive effects on gift giving, independent of their agency. In contrast, agency does predict the effects of negative emotions on gift giving. Negative self-caused emotions increase gift giving, whereas negative other-caused emotions decrease gift giving. These findings seem to hold for inactive and active emotions, and for uncertain and certain emotions. Together, these findings make a unique theoretical and empirical contribution to the understanding of emotions in gift giving. Moreover, it provides a pragmatic framework for both academics and practitioners.     

中国新奢侈品营销策略研究

目前,中国正成为世界上重要而且快速增长的新奢侈品消费市场。新奢侈品消费已经显示出消费群体以中产阶层为主、消费形式网络化、情感体验型消费、消费由一线城市向二三线城市扩张等特征。基于新奢侈品利用新的消费者心理,将高质量商品消费大众化,将消费的物品提升为一种新的体验和享乐的趋势,中国应根据自身独特环境来选择适合的营销策略,采取突出品牌个性,加快整合多种传播渠道,实施差异化品牌传播与体验式营销,发展品牌战略联盟等措施。优化产品营销规划,正确引导消费者进行理性选择,推动消费升级。并在全球市场竞争中立于不败之地。