Do social advergames affect brand attitudes and advocacy?

Advergames have been used for some time as a form of branded entertainment designed to engage prospective customers in a branded activity for an extended period of time. Increasingly, advergames are imbued with social qualities related to the rise in popularity of social media, especially social networking. Despite the popularity of social advergames, little is known about the brand benefits of incorporating social features into games. Moreover, while creativity has been studied in the context of more traditional advertising, less is known about its effects on brand development in the context of advergames. Although advertising creativity, as characterized by novelty and relevance, has been shown to impact advertised brands, it is not clear how creativity interacts with advergame socialness to affect brand development. To address these gaps in the literature, this paper reports on three experimental studies that compare the brand effects of advergames that enable social interactions to advergames that are not social. The results indicate that relative to non-social advergames, social advergames result in more positive game attitudes, attitudes toward the brand sponsor, and brand advocacy, particularly when advergames are novel. Finally, this article discusses implications for managers and directions for future research.     

How to grow a brand: Retain or acquire customers?

While customer acquisition is clearly important for new brands, mature brands are often said to rely on defection management for maintenance and growth. Yet the theory to support this approach has been subject to very little empirical investigation. How do brands actually increase the size of their customer base? Through superior acquisition or by reducing customer defection? Or some mixture of both? Conversely, do brands decline through deficient acquisition or excessive defection? This work analyzes changes in ‘first brand loyal’ customers to answer these questions, using a combination of panel data on the prescribing behavior of doctors and a cross-sectional tracking survey for residential finance. This study is the first research to compare defection and acquisition against stochastic benchmarks for customer churn under stationary conditions. The results are surprising: for both growth and decline, unusual acquisition plays a much stronger role than unusual defection. This finding demonstrates that acquisition has been under-rated in the past, and implies that prospect management is at least as important as defection reduction. A simulation shows that unusual acquisition also accounts for far more improvement in profit than does unusual defection.     

When do unethical brand perceptions spill over to competitors?

We examine whether the unethical actions of marketplace brands (e.g., the Volkswagen emissions scandal) hurt the ethical perceptions of competing brands (e.g., Ford, BMW). Across two studies, we find evidence for this unethical spillover effect and show that it can negatively affect consumers’ liking and purchase intentions for a competing brand. The results show that the spillover effect (1) only occurs for similar competitors and (2) is moderated by construal level (CL). Specifically, the spillover effect is more likely to occur when consumers focus on the finer details of the unethical brand’s transgression (i.e., low CL) but not when they focus on the bigger picture of the transgression (i.e., high CL). Thus, while it is intuitively appealing to assume that brands may benefit from a competitor’s foible, this research indicates that competitors may be hurt by a similar brand’s wrongdoing.     

How does workplace harassment influence the employees’ response in a deluxe hotel?

Recently, workplace harassment in the form of superiors abusing their power over subordinates has emerged as a social problem. In the deluxe hotel work environment, dealing with this issue starts by asking whether harassment by a superior has taken place – and if so, how it has influenced subordinates’ responses. The purpose of this study was to measure the perception of workplace harassment among employees and to explain the relationships between workplace harassment and employee engagement, satisfaction, burnout, and turnover intent in deluxe hotels in South Korea. The results showed that verbal aggression had a significant negative effect on employee engagement, while isolation, disrespectful behavior, and physical aggression exacerbated employee burnout. In addition, employee engagement significantly enhanced job satisfaction, while burnout increased employees’ turnover intent. Limitations and future research directions are also discussed.     

Luxury fashion brand customers’ perceptions of mobile marketing: Evidence of multiple communications and marketing channels

Previous studies have addressed some of the issues of customers' perceptions of mobile marketing, particularly the affordances of multiple communications and channels. Despite a proliferation of studies in this field, the theoretical exploration of luxury fashion customers' perceptions of multiple mobile communications and marketing channels remains at an exploratory stage. Drawing on the elaboration likelihood model and a social constructivist perspective, the current study conducted 37 in-depth interviews with Generation Z mobile luxury customers. We specifically examined how customers' emotionally and cognitively based perceptions emerge as they navigate multiple mobile marketing channels and message communications. Our model conceptualizes four elements of customers' perceptions of their mobile marketing journey that can drive mobile customer engagement and acquisition behavior. The integrative model opens up interesting avenues for further research on mobile marketing and luxury fashion consumers’ perceptions of the effects of multiple communications and marketing channels.     

Too much of a good thing? Consumer response to strategic changes in brand image

The current research investigates a potential disadvantage of building brand associations that resonate with consumers' identities and facilitate consumer–brand bonding. The authors propose a theory of consumer response to changes that either dampen or augment the associations central to brand image (e.g., due to brand acquisitions or repositioning). The results show that consumers with a high degree of self–brand connection respond more negatively than others do to changes that dampen brand associations. Counterintuitively, changes augmenting brand associations can also lead to unfavorable consumer sentiments in certain instances. When brand connection was linked to an ideal self-identity (i.e., self-enhancement motives), changes that augmented the brand image increased the brand's ability to signal an ideal identity. Conversely, when brand connection was linked to the actual self-identity (i.e., self-verification motives), augmenting brand image reduced the perceived similarity between the self and the brand, thus causing brand identification to deteriorate.     

Colours and price offers: How different price communications can affect sales and customers’ perceptions

It has been studied that colours are important pieces of information in everyday life and that they ‘boost memory, engage participation, attract attention, convey messages, and create feeling’. Despite the awareness of the importance of colours also for marketers, academic research is not abundant and there is a lack of studies that link colours to the management of the marketing mix. The present work tries to understand how colours may affect price perceptions and how the effectiveness of different price mechanisms may vary using different colours in the FMCG market.A 2x2 (red vs yellow special display/discount vs LPG price deal) experiment has been conducted in a real store environment thanks to the collaboration of a leading italian chain.The results obtained from a three-way analysis (instore observations, instore questionnaires and sales data) can add valuable pieces of information regarding the effectinevess of colours in improving the performance of instore marketing strategies.     

Exploring the role of extrovert-introvert customers’ personality prototype as a driver of customer engagement: Does relationship duration matter?

Drawing on social exchange theory, the current study examines new drivers and their associated processes of customer engagement. In spirit, the study tests the direct and indirect impacts of the extraversion–introversion personality trait on customer engagement. The study takes into consideration the contingency role of time by testing the moderating role of relationship duration. Results demonstrate that the more extraverted customers are, the more they are likely to engage with service firms. Further, extraversion is positively related to customer–employee interaction, which in turn leads to more utilitarian and hedonic values perceived by customers. Both types of value, then, induce higher customer engagement behaviors in terms of customer referrals, knowledge sharing, and social-influence. Findings demonstrate that relationship duration moderates some of the examined relationships. The current study contributes to the literature by extending the knowledge on customer engagement's predisposition and social causes.     

Brands as labour rights advocates? Potential and limits of brand advocacy in global supply chains

There is a growing phenomenon of brand advocacy, where brands pressure a producer country government to take pro‐worker actions such as respecting the rights of activists and raising minimum wages. This article examines the potential and limits of brand advocacy by developing a conceptual framework and analysing three recent cases of brand advocacy in Cambodia's garment industry. The study shows that brands' action and influence are shaped by issue salience, mobilization structures, political opportunities/contexts, and resource dependency. This article makes both empirical and theoretical contributions. This is one of the first studies delving into the advocacy role of brands in promoting labour rights and conditions vis‐à‐vis government. Moreover, the article develops a testable framework specifying the conditions under which brands are likely to respond, act collectively, and influence government for pro‐worker change. It also offers novel insights by applying social movement lenses and casting brands as social movement actors.     

Exploring the factors affecting customers’ intention to purchase a smart speaker

Although the sale of smart speakers is predicted to have a significant growth, the usage of smart speakers is not very popular in some countries and need further investigation. While the Bluetooth earphone and speakers are popular, the sales of smart speakers are challenging. Hence, the research purpose is to explore the determinants of the intention to purchase smart speakers and compare the differences between customers and potential customers. This study proposes ten hypotheses in a research framework according to the diffusion of innovation theory (DOI), task-technology fit (TTF), and perceived values. This study develops an online questionnaire to collect data from popular social networking sites. Finally, 249 valid responses collected from the website users are remained. The ten hypotheses are validated by using smartPLS software. According to the path analyses, five hypotheses were supported in potential customer group while only three hypotheses were supported in customer group. Users' perceived emotion-related value had significant direct influences on all customers' intention to buy smart speakers. Surprisingly, TTF was demonstrated to not significantly influence customers’ intention to purchase. The insights of the findings can be provided to smart speaker developers to design their products and sales strategies.     

Consumers' cognitive and affective responses to brand origin misclassifications: Does confidence in brand origin identification matter?

Although research on country-of-origin (COO) effects in general is abundant, findings regarding the phenomenon of brand origin misclassification (i.e., consumers' association of a brand with the wrong COO) remain limited and inconclusive. This study fills this research gap by investigating how consumers' cognitive and affective responses upon learning the true origin of a previously misclassified brand drive the extent to which they revise their brand evaluation. Specifically, the authors explore the role of consumers' confidence in brand origin identification in this context. The results from an empirical study in South Korea (N = 259) suggest that consumers tend to adjust their brand evaluations only if the true COO is perceived more favorably; they tend not to take a worse COO into consideration. Moreover, negative emotions lead to greater losses in brand evaluation than positive emotions lead to gains in that respect.     

Impacts of product,store and retailer perceptions on consumers’ relationship to terroir store brand

This research shows that consumers’ relationship to terroir store brand, measured through attachment and two facets of brand loyalty (attitudinal and behavioral) is respectively influenced by their perceptions of the product, retailer and store. More specifically, the perceived authenticity of the products of the terroir store brand and its perceived value have a positive and significant influence on the attachment and behavioral loyalty of the regular buyers of this store brand and a positive and significant influence on the attachment of its occasional buyers. Trust in the retailer has a positive and significant impact on the behavioral loyalty of the regular buyers of this terroir store brand while perceived image of the store has only a positive and significant impact on the attitudinal loyalty of its occasional buyers.     

Does culture affect sentiments expressed in cruise tours’ eWOM?

The study aims to examine the sentiment differences in the content of cruise tour online reviews across North Americans and Europeans, as representing the two largest cruise markets. Dictionary-based sentiment analysis has been carried out on 1127 reviews on guided tours retrieved from TripAdvisor. The results indicate significant differences in the sentiment score of the reviews, with North Americans’ texts being more emotionally charged than the European ones. In addition, North Americans’ reviews conveyed a more positive affect and had a more subjective and intimate tone, while those written by Europeans contained a smaller amount of sentiment-bearing words and their tone was more objective. The study’s contribution lies in (i) providing evidence for the influence of culture on electronic word-of-mouth communication in terms of varying sentiment expression, (ii) demonstrating the effectiveness of sentiment analysis for recognizing cultural differences and (iii) enhancing the current understanding of cruisers’ tour experience.     

Overcompensation as a service recovery strategy: the financial aspect of customers’ extra effort

Service Business - Compensation is one of the most important elements of service. Companies often pursue a strategy of overcompensation; however, there are contradictory results in the literature...     

Music as a Service as an Alternative to Music Piracy?

Despite increasing acceptance of digital channels, total sales in the music business decreased by 31 % from 2004 to 2010. Music piracy is still considered one of the main causes for this. However, several studies found no effects or even positive effects of illegal downloading on record sales. In the past, piracy has been counteracted especially by prosecution and legal offers. Music as a Service (MaaS) represents a new, differing distribution approach in digital music. In contrast to the well-known music platforms for so-called à-la-carte downloads, such as the iTunes Store, MaaS possesses two important characteristics: transmission (streaming instead of downloading) and pricing model (flat rate instead of pay-per-download). Therefore, the consumption of music by means of purchasing and downloading is replaced by a monthly payment service (paid MaaS) and an ad-supported (free MaaS) service. First user surveys suggest that many music pirates are making use of these offers. To find out if MaaS is an attractive distribution channel for music pirates, we developed a model to explain the intention to use MaaS based on the Theory of Planned Behavior. To empirically test this model, we surveyed 132 music pirates. Among others, the outcome shows that the intention to use free MaaS is mainly affected by the attitude towards MaaS, while using paid MaaS is predominantly a result of the influence of users’ closest peers. The attitude towards MaaS is positively influenced by the desire to receive music recommendations, the payment type (in the form of a flat rate model), and the relative advantage of MaaS compared to illegal choices.     

Does poor fit always lead to negative evaluations? Extension advertising and perceived brand quality

This article investigates the moderating roles of advertising strategy (relational vs. elaborational) and perceived parent brand quality on the influence that parent brand–extension fit exerts on consumer evaluations of both extensions and the parent brand. Two studies manipulate fit in terms of either brand concept consistency or product feature similarity. Lower fit results in negative consumer responses, yet an elaborational advertising strategy mitigates the negative effects of lower fit on extension evaluations. This mitigating effect is stronger for high quality than for average quality brands. The results also indicate extension feedback effects for the parent brand, suggesting that elaborational advertising strategies may reduce the impact of fit on parent brand feedback effects. This latter link is not moderated by parent brand quality.     

Does Nutrition Information Contribute to Grocery Shoppers’ Willingness to Pay?

An experimental auction and the eye-tracking technology are used to detect the relationship between consumers’ understanding of the nutrition information and their willingness to pay for food items. Additional attention is given to health-conscious individuals. Salad mix and apple juice are selected for the experiment. A Tobit model is used for the analysis. The results show that nutrition information has some effect on consumers’ purchasing decision. Shoppers are willing to pay less for fat and mineral information, but more for ingredient, protein, sodium, and carbohydrate information of salad mix. As for apple juice, shoppers care only for energy and other nutrient information, as well as the health claim “vitamin C naturally high.” Further, health-conscious individuals are more responsive to the nutrition claims, such as “high in fiber” (salad mix) and “vitamin C naturally high” (orange juice). A possible limitation of the conclusion exists due to the small sample size.     

Does the decision to issue public debt affect firm valuation? Russian evidence

This paper examines the association between firm valuation and the sources of debt financing. In particular, using a sample of 353 firms, we test whether the decision to issue bonds affects the firm's stock market performance in the emerging Russian markets. Our results indicate that public debt financing may have a negative effect on the firm's market valuation. After controlling for the differences in firm-specific characteristics and addressing potential endogeneity issues, we document that the firms which rely on public debt underperform relative to firms with other sources of debt financing in terms of stock market valuation.     

More than a mere cup of coffee: When perceived luxuriousness triggers Chinese customers’ perceptions of quality and self-congruity

While prior research shows that atmospheric cues such as visual design trigger customers' cognition and emotions, thus leading to approach-avoidance responses, this article proposes self-congruity as a mediator, paralleling cognitive evaluation (i.e., perceived quality). More specifically, this article, situated in the context of the coffee shop industry in China, investigates how perceived luxuriousness, reflected from the service provider's visual design, affects customers' willingness to pay a price premium (WTPP). The findings show that perceived luxuriousness leads to customers' inferences of high quality of the coffee and high self-congruity, thus increasing WTPP. Further, cosmopolitanism moderates the effect of perceived luxuriousness only via self-congruity, but not via perceived quality. This article contributes to the existing literature on atmospherics, self-congruity, brand equity, and cosmopolitanism. More importantly, this article provides managerial implications for global coffee/food brands that aim to set up their chain outlets and expand rapidly in China, one of the largest emerging markets.