Japanese consumers' use of extrinsic and intrinsic cues to mitigate risky food choices

The stated preference data were used to simulate and examine consumers' valuation of important extrinsic and intrinsic cues that are associated with risky foods. This analysis generates information on how consumers assess trade‐offs between price and selected intrinsic and extrinsic cues to determine their choice among alternative products. From this, optimum level of product quality attributes (i.e. intrinsic cues) and optimum price level for import products can be derived. Also, most effective sources of communicating food safety and risk management can be identified. The results show that the country origin cue is a key factor in understanding consumers' choice behaviour for food product that entails potential risk, which may suggest that consumers are using this information as a risk‐reduction strategy.     

Reinventing the branch: An empirical assessment of banking strategies to environmental differentiation

The present study investigates the effects of two atmospheric differentiation strategies currently used by banks: co-locating with a hedonic business vs. refurbishing through an upscale environment. We assessed the potential moderating effects of congruency between the retail environment and the type of services. Using a Structural Equation Model based on 300 bank visit intercepts, we found significant differences between modern branch concepts and the traditional one in their influence on customers’ retail experience. More specifically, the type of atmospheric strategy moderates the relationship between retail environment and customers’ affect and the relationship between affect and approach behavior. Also, the mediating role of the employees and financial services evaluation varies depending on the branch environment. We conclude that a modern, mildly arousing and pleasure-oriented retail environment is the most suited at maximizing customers approach behavior. Adverse effects from a highly-arousing environment are discussed in the light of the financial services context. Theoretical and managerial implications along with avenues for future research are proposed.     

Competition for memory retrieval between private label and national brands

Perceptions of private label brands (PLBs) reside in consumer memory along with national brands (NBs). When a consumer engages in a choice situation, both PLBs and NBs rely on links to retrieval cues in consumer memory to give them a chance of purchase. This study examines the underlying competition between NBs and PLBs across different retrieval cues. The findings show that PLBs link to the same attributes as NBs and so compete with NBs for retrieval. However, while any brand typically competes most with the brands more commonly associated with any specific cue, the study finds evidence of PLB sub-categorization. That is, if a consumer elicits one PLB for a certain cue, he/she has four times the propensity to elicit other PLBs than elicit a NB for that same cue. This heightened propensity suggests that when a consumer learns that one PLB has a particular quality, the consumer generalizes that quality to other PLBs. Therefore, retailers should realize that the image of competitor retailers' PLBs affects the image of their own PLBs.     

代指在创名牌产品中的应用

本文认为,对换位思考的本质认识不清,对顾客代指标感知规律及如何进行有效传播的研究不足,是导致我国品牌建设落后的重要原因。有效的营销传播策略,第一,要研究本土化的代指标体系是什么,不同类型产品顾客使用的代指标是什么及顾客如何使用代指标这些影响到产品形象的基本问题;第二,一定要在研究不同产品的顾客代指标感知规律重要性的基础上,根据营销传播的协同作用,设计出有效的营销传播策略。     

When Beauty Backfires: The Effects of Server Attractiveness on Consumer Taste Perceptions

The current research tests whether and how being in the presence of attractive individuals alters consumers’ evaluations of their expected dining experience and the taste of the products consumed. Our results uncover a novel phenomenon in the domains of physical attractiveness and taste perception: attractiveness does indeed impact taste perception, but its influence varies as a function of the valence of the food consumed. When the server is attractive, good food tastes better but bad food tastes worse. Six studies demonstrate this effect and, importantly, show that it occurs for male, but not female consumers and only if the male consumers are low in need for cognition. The implications of this work and potential avenues for additional research are discussed.     

Category expansion through cross-channel demand spillovers

Does the local presence of premium branded stores with strong associations to a product group help promote the relevant category as a whole? Based on the Starbucks example, this paper documents such a demand spillover effect for coffee across channels and firms: The firm’s stores stimulate coffee demand in mass-market grocery channels, benefiting rival firms that target consumption at home. I show the spillover at the household level, as well as with retail scanner data, employing a demand model to account for supply-side responses. To establish causality, I use a strict fixed effects specification with trend controls, and also validate the findings using instrumental variables based on the supply-side advantage to operating chain stores in proximate markets. In a representative market, the presence of a Starbucks stores boosts rival packaged coffee sales by 1.2%. The increase appears consistent a consumption stimulation effect of Starbucks stores acting as environmental cues for coffee, their main product. Evidence from other chains confirms the spillover, mainly from more premium brands with high demand-stimulating potential to lower-end mass products. The effect builds over time, and as cue theories predict, interacts positively with past consumption, suggesting a reinforcing effect on consumption habits.     

The effect of product touch information and sale proneness on consumers' responses to price discounts

Since price discounts are costly and can negatively affect consumers' perceptions of quality, it is crucial to identify the factors that make them effective in stimulating purchase behavior. Drawing on cue utilization theory, we examine price discount effectiveness in affecting consumers' reliance on the sale cue based on the provided product touch information as an intrinsic cue and individual consumer differences in sale proneness. Two experimental studies indicate that price discount information, product touch information, and sale proneness interact to determine consumers' responses. Perceived quality is the underlying mechanism behind the observed effects. For nonsale-prone consumers, product touch information favorably influences responses to large price discounts by addressing product quality concerns and enhancing purchase confidence, but has no effect for regularly priced or low discounted products. For sale-prone consumers, product touch information is not effective in increasing their responses regardless of the discount size. A qualitative study provides support for these results and highlights the role of perceived quality and purchase confidence. The research contributes to behavioral pricing, cue utilization theory, and sensory marketing and suggests that marketing managers should provide consumers with product touch information when implementing high discounts for products for which prepurchase touch is important.