What drives brand love for natural products? The moderating role of household size

Natural products, including food, cosmetics, and other fast-moving consumer goods, are becoming increasingly popular, and their health-related benefits are widely recognized. Despite the growing awareness and use of natural products, little is known about the enablers and barriers that influence consumers' brand love toward them. The present study attempts to address this gap and better explain consumer behavior toward natural products by utilizing the stimuli-organism-response (S–O-R) theory. The study rests on the premise that certain stimuli influence the internal state of consumers (i.e., the organism), which, in turn, shape their response to products and services. This study uses health consciousness and environmental concern as the stimuli, both facilitators (natural content and regional product) and inhibitors (usage and image barriers) as the internal state of the ‘organism’, and brand love as the response. Based on analysis of 720 responses, the study empirically reveals that health consciousness and environmental concern significantly influence the consumers' internal state, as represented by the identified facilitators and inhibitors . Three of these, namely, regional product, image barriers, and usage barriers, are found to shape brand love for natural products. The moderating role of household size on brand love is also confirmed.The findings of the study contribute to the literature on consumer behavior and practice.     

Algarve hotel price determinants: A hedonic pricing model

This study sought to assess customers' willingness to pay for a wide variety of characteristics and attributes of hotels in Portugal's Algarve region. After collecting nearly all the information available on TripAdvisor for hotels in this region, a hedonic pricing model was developed using a database of 9992 cases. The results suggest that – after standardisation – the most important variable shaping Algarve hotel room rates is the previous day's prices. When associated with a family-friendly hotel, star category and services have a greater value than beaches or golf courses do. Customers also appreciate some types of hotels, such as boutique, quaint or trendy hotels, but view others negatively, such as family-friendly or business hotels. Only the specific location of Falesia Beach adds value, although the Algarve is a desirable destination overall. Both destination and hotel managers can use the proposed method to analyse data for their region on customers' propensity to pay.     

Dynamic cooperative promotion in the presence of consumer reference effect with competing retailers

This paper studies the cooperative promotion problem in the presence of the promotion reference effect. We consider retailer price-reduction promotion activities that enhance their sales but may impair brand image for the manufacturer. Moreover, because frequently used promotion induces a promotion reference effect on customers, we investigate how the promotion reference effect influences cooperative control strategies. We do so by examining the context in a supply chain with one leading manufacturer and two competing retailers, where the manufacturer implements a cooperative promotion program for the retailers. We use differential game models vis-a-vis dynamic promotion control strategies and cooperative promotion strategies under the scenario of existence and non-existence of the reference effect. Findings show that the presence of a promotion reference effect increases profit for the manufacturer but generates reduced profit for the retailers. We also find that the manufacturer augments the level of national brand advertising when incorporating the reference effect, and retailers raise (lower) their degree of promotion when the negative effect is low (high).     

Examining customer engagement and brand intimacy in social media context

Customer engagement (CE) is critical for firms to cultivate and improve customer brand experience in the customer journey. However, few studies are available on the effects of customer-based driving forces on CE in a defined brand experience context. Given the multidimensional nature of CE, the interrelationships among CE dimensions and various dimensional effects on the customer–brand relationship, represented by brand intimacy, have not been thoroughly explored. To address these research gaps, this study explores three customer- and context-based forces that drive CE in social media contexts from a consumer’s perspective. CE is operationalized as a second-order construct consisting of three dimensions (i.e., consumption, contribution, and creation) to reflect its multifaceted nature. An online survey was used to collect data. The results suggest that customer-based forces, advice seeking, and self-image expression exert positive influences on behavioral CE dimensions. The effect of a context-based factor, that is, fashion involvement, is salient only when gender difference is integrated. Moreover, the three facets of behavioral CE affect brand intimacy to different extents. Brand intimacy is the most affected by creation followed by consumption. The research findings contribute to the literature on CE and brand intimacy and also offer practical insights on marketing communications and segmentation.     

Do you punish or forgive socially responsible companies? A cross-country analysis of boycott campaigns

This study empirically investigates how companies' social contribution affects boycott intention by considering the role of brand strength. We use a dataset from two politically and historically conflicting countries, South Korea and Japan, at two points in time. A structural equation model is employed to test the hypotheses. Our findings reveal the pivotal role of companies’ social contribution in mitigating boycott intention through enhanced brand strength. The results, which are unexpected, show that the direct and negative link of social contribution to boycott intention is stronger for South Korea than for Japan. By elaborating the mediating role of brand strength, this study contributes to the literature by examining the differential impacts of corporate social responsibility (CSR) practices on consumer boycotts in the context of a cross-country difference. Additionally, one managerial implication of this study is that global companies should appropriately respond to public expectations of being socially responsible actors while associating CSR practices with brand strength through creative communications.     

Inclusive advertising featuring disability on instagram: Effect on consumer well-being,brand engagement,and purchase intention

Should advertisers continue to promote their brands through brand endorsers without considering their diverse characteristics, or should they embrace diversity in advertising? Gender, age, ethnicity, and sexual orientation are some of the aspects of diversity that have been investigated in advertising research, primarily in the context of Western and developed countries. However, it remains underexplored how physical disabilities in influencer advertising on Instagram affect consumer well-being and consumers’ responses toward brands in a non-Western market. Through an experimental design (including both inclusive and non-inclusive samples), this study examined the effects of inclusive advertising (including disabled persons) on consumer well-being (both hedonic and eudaimonic), brand engagement, and purchase intention. Two studies were conducted to test the hypotheses. In Study 1 (shampoo brand case), a data analysis of 260 young Pakistani consumers revealed that inclusive (vs non-inclusive) advertisements enhance both hedonic well-being (HWB) and eudaimonic well-being (EWB), with a stronger effect for EWB. The spillover effects of EWB and HWB indicated a significant influence on brand engagement and purchase intention, whereas the effect of HWB is significant only on brand engagement. The effects of HWB on brand engagement and of EWB on purchase intention showed a greater influence in the case of inclusive advertisements than in traditional non-inclusive advertisements. In Study 2 (clothing brand case), an analysis of 235 respondents revealed that inclusive advertising drives both HWB and EWB, which have a greater influence on brand engagement and purchase intention when individuals are exposed to an inclusive advertisement featuring disabled persons than a non-inclusive one. These studies confirm that inclusive advertisements attract a more diverse customer base in addition to existing customers. These findings offer theoretical and practical insights for advertising and consumer research.     

History matters: The role of history in corporate brand strategy

This article explores how an organization can use its history to define and deliver its corporate brand strategy. We specifically look at Adidas, which, having rejected its history at one stage, rediscovered and used the philosophy and ideas of its founder to provide direction for the future, legitimate strategic choices, and enrich the corporate brand. Through analysis of material evidence and interviews with senior and long-serving employees, we conceptualize the way Adidas developed a systematic approach to the use of history in its corporate brand strategy by creating the means to uncover, remember, curate, and then embed it. Combining the lessons of the Adidas case with evidence from other cases in which history was used to refocus and revitalize corporate brands, we deliver key recommendations for managers.     

What drives brand love and purchase intentions toward the local food distribution system? A study of social media-based REKO (fair consumption) groups

Local food is gaining increasing popularity among consumers due to its association with sustainable consumption. However, for a product to be commercially successful, such growing popularity should translate into high purchase intentions and positive associations with the product post-consumption. Although this success has not yet been reflected for local food consumption, research in this area has remained limited. The present study addresses this gap by examining the antecedents of brand love for both the local food distribution system and the local food it distributes. The study thus employs the stimuli-organism-response (SOR) theory, which indicates that certain environmental stimuli influence the consumers' internal state or organism and shapes their behavior, in turn. Specifically, this study uses altruism as the stimulus, supporting local producers, transparency, satisfaction with labeling, and desire for labeling as the consumers’ internal state (organism), and purchase intentions and brand love as the response. Cross-sectional data were collected from 2045 local food consumers associated with Facebook-based REKO (fair consumption) groups in Finland. Findings indicate that altruism is associated with internal state, i.e., desire for labeling, supporting local producers, and satisfaction with labeling. These variables, in turn, are associated with brand love for the local food distribution system. Furthermore, purchase intentions positively mediate the association of the four internal states with brand love.     

Who spoils the barrel? Negative spillover effect on competitor brands during food crises

Despite an increase in food crisis incidents and their negative influence, little attention has been paid to spillover effects from food crises on competitor brands. Thus, this study examined reciprocal spillover effects (horizontal and vertical) from food crises on competitors' brands depending on the directionality of spillover and association strength. In order to test the reciprocal spillover effects on competitor brands, this study employed an experimental design using restaurant brands’ food crises. The results indicated that a stronger negative spillover was found among high equity brands (High to High compared to Low to Low) and when association strength was high rather than low. Interestingly, the results also showed a spillover effect from low equity brands to high equity brands (Low to High compared to High to Low), supporting the power of a small apple to spoil the whole barrel. These results enhanced the field’s understanding of spillover effects in the restaurant industry and suggested the need for pre-crisis communication strategies.